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Safety, Health and Environment Management How to Implement for Success?

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Presentation on theme: "Safety, Health and Environment Management How to Implement for Success?"— Presentation transcript:

1 Safety, Health and Environment Management How to Implement for Success?

2 Implementing SH&E Mgmt for Success Describe what is necessary by examining Noble Corporation – R.W. Campbell Award Background - Off-shore drilling How to Implement for Success –Executive Leadership –Core Business Value –Identifying and understanding SH&E risks –Comprehensive SH&E management system –Behaviour focused leading indicators –External audits –Senior Executive Management System Review

3 Implementing SH&E Mgmt for Success Background - Off-shore drilling –Extremely challenging business Unforgiving natural environment Capital intensive Continually evolving technology Significant operational risks –Piper Alpha –Campos Basin P-36

4 Implementing SH&E Mgmt for Success Piper Alpha - North Sea –Value $2 billion –Produced from 24 wells –229 crew –Explosion crew dead Loss of the unit Total loss > $11 billion

5 Implementing SH&E Mgmt for Success Campos Basin P-36 –Value $500 Million –180,000 barrels/day –175 crew – Explosion crew dead Total loss of the unit

6 Implementing SH&E Mgmt for Success Noble Corporation –84 years in operation –60 units world wide including Hibernia (NFLD) –5300 employees –12 years of improving safety performance –R.W. Campbell award for SH&E mgmt. excellence –Selected for the Dow Jones Sustainability Index –Highest ever operating revenues in 2004

7 Implementing SH&E Mgmt for Success Noble Corporation How does this company achieve success?

8 Implementing SH&E Mgmt for Success Noble Corporation –Corporate Values & Expectations –Executive & Senior Mgr. Leadership & Commitment –SH&E Management System SH&E Policy, Goals and Objectives Effective Communication Hazard (Risk) identification, planning & control Design and Engineering SH&E Programmes Employee Competency & Empowerment SH&E Performance measures & monitoring Continuous SH&E performance improvement

9 Implementing SH&E Mgmt for Success Noble Corporation –Corporate values & expectations Health, Safety & Environment are corporate values identified in Policy & Code of Conduct Board oversight of Nobles HSE Committee ensures a high level of scrutiny of this critical area and reinforces the importance of HSE performance to Nobles management and employees. SH&E performance is considered critical to business success.

10 Implementing SH&E Mgmt for Success Noble Corporation –Executive Leadership & Commitment Policy a signed quotation of the CEO Executive Team reviews and approves the HSE Plan for the year CEO chairs Monday morning operations meeting –Opening topic is HSE performance. CEO chairs the HSE Committee –Assess Nobles HSE improvement efforts, performance data and leading indicators –Review and approve initiatives, policies and practices –Assess and monitor HSE risks

11 Implementing SH&E Mgmt for Success Noble Corporation –SH&E Management System SH&E Policy, Goals and Objectives Effective Communication Hazard (Risk) identification, planning & control Design and Engineering SH&E Programmes Employee Competency & Empowerment SH&E Performance measures & monitoring Continuous SH&E performance improvement

12 Implementing SH&E Mgmt for Success Noble Corporation SH&E Mgmt System –SH&E Policy, Goals and Objectives Policy Statement –The Noble Way – Doing the Right Thing Clear long term goals –SH&E performance excellence Clear yearly objectives and targets –Continually challenging –Benchmarked against the industry »Consistently better than IADC

13 Implementing SH&E Mgmt for Success Noble Corporation SH&E Mgmt System Effective Communication –Noble Daily Operating Report (NDOR) –First topic at Monday morning operations meeting –Extensive orientation training and indoctrination »Green hat (rooky) and individual mentor –Safety leadership training –Job Safety Analysis work planning –STOP safe behaviours re-enforcement Relentless reiteration of Nobles expectations

14 Implementing SH&E Mgmt for Success Noble Corporation SH&E Mgmt System –Hazard (risk) Identification & Control SH&E considered & integrated into platform design & operations

15 Implementing SH&E Mgmt for Success Noble Corporation SH&E Mgmt System Design and Engineering –Yellow non-skid drill mats to draw attention and prevent slips and falls –Developed and tested an aluminium alloy drilling riser that has numerous cost, safety and operational advantages. –Continuing develop of lightweight materials in offshore equipment to reduce safety hazards and improve operational efficiency

16 Implementing SH&E Mgmt for Success Noble Corporation SH&E Mgmt System SH&E Programmes –Safety Leadership Workshops »Completed the sixth cycle training 1500 supervisors worldwide –Job Safety Analysis »Systematic process to prompt employees to consider potential safety, health and environmental risks prior to the execution of work –STOP safety observations and feedback –Severe Weather Preparations

17 Implementing SH&E Mgmt for Success Noble Corporation SH&E Mgmt System Severe Weather Preparations –Extensive planning enables Noble to minimize damage to platforms struck by hurricanes

18 Implementing SH&E Mgmt for Success Noble Corporation SH&E Mgmt System –SH&E Programmes Recognition & reward for excellence –Internal recognition »CEO award for SH&E performance excellence –External Certifications »ISO14001 certification for all facilities worldwide »ISO 9001 »International Safety Mgmt. ISM Code Certificate –External Awards for SH&E performance »IADC North Sea Chapter 2003 Safety »Marathon Oil 2004 HES Excellence Award »International Regulators Form 2005 Award »R.W. Campbell Award for SH&E Mgmt. Excellence

19 Implementing SH&E Mgmt for Success Noble Corporation SH&E Mgmt System –SH&E Programme: STOP Observation & feedback

20 Implementing SH&E Mgmt for Success Noble Corporation SH&E Mgmt System –Employee Competency and Empowerment Employee selection and orientation –Highly selective to have the right combination of communication, problem solving and team skills –Extensive orientation training & individual mentoring –Green hat identification of new employees Competency Assurance Program –Assesses and verifies an employees capability to perform all job requirements –Ensures employees know requirements, have needed skills and can accomplish tasks prior to promotion –Establishes clear criteria for advancement

21 Implementing SH&E Mgmt for Success Noble Corporation SH&E Mgmt System –SH&E Performance measures Safety measures –Adherence to international standard –Lost time (workday) incident rate, fatal accidents Environment measures –Adherence to international standard –Recycling, Halon reduction –Emissions – CO 2 –Energy use

22 Implementing SH&E Mgmt for Success Noble Corporation SH&E Mgmt System –SH&E Performance monitoring & reporting Daily operating reports (NDOR) Weekly Monday morning reporting Quarterly SH&E Committee meetings –Review progress towards objectives Regular SH&E management system audits Risk management audits –Procedural controls –Equipment integrity Annual Sustainability Report

23 Implementing SH&E Mgmt for Success Noble Corporation SH&E Mgmt System –Continuous performance improvement

24 Implementing SH&E Mgmt for Success Noble Corporation Benefits –Continuous performance improvement Safety, Health & Environment Operations Investor returns –38 consecutive quarters of positive earnings –Minimal losses –Maximized return on equipment –Low insurance costs –Recognized industry leader!

25 Implementing SH&E Mgmt for Success Noble Corporation Benefits –Continuous performance improvement

26 Noble Benefits: Safe and Profitable

27 Implementing SH&E Mgmt for Success Noble Corporation Benefits Recognized Leader

28 Implementing SH&E Mgmt for Success Your Challenge Your Corporation Benefits Become a Recognized Leader


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