ASSEP Philippines Inc.

2- day Proactive Risk Management Workshop

 PROACTIVE RISK MANAGEMENT d

SECTION 1

AN ADVANCE HAZARDS & RISK MANAGEMENT WORKSHOP

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 OSH LEGISLATION d

What is a REQUIREMENT?

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 OSH LEGISLATION d

STANDARDS VS. REGULATIONS

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 OSH LEGISLATION d

COMPLIANCE VS. CONFORMANCE

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 OSH LEGISLATION d

MAIN OBJECTIVE OF SAFETY?

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 OSH LEGISLATION d

EMPLOYER’s RESPONSIBILITY

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 DUTIES & RESPONSIBILITIES d

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 Question d

International VS Local Regulations

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 DUTIES & RESPONSIBILITIES d
 ILO OSH 2001 3.3.2 (g)
“Establish effective arrangements to identify and eliminate or control
work-related hazards and risks, and promote health at work”

 OSHS RULE 1005.1 (a)

Each employer covered by the provisions of this Standards shall:
a. furnish his workers a place of employment free from hazardous
conditions that are causing or are likely to cause death, illness or physical
harm to his workers;

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 DUTIES & RESPONSIBILITIES d
 ILO OSH 2001 3.3.2 (b & c)

3.3.2. The employer and senior management should allocate

responsibility, accountability and authority for the development,
implementation and Performance of the OSH management system
and the achievement of the relevant OSH objectives.
(b) define and communicate to the members of the organization
the responsibility, accountability and authority of persons who
identify, evaluate or control OSH hazards and risks
(c) provide effective supervision, as necessary, to ensure the
protection of workers’ safety and health

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 DUTIES & RESPONSIBILITIES d
1045 (1) & (4) : Duties of the Employers:
Health and Safety committees play very important roles in eliminating work hazards.
Developing workers’ interest and participation in the planning and development of safety
program is the responsibility of the employer. The employer must exercise the necessary
leadership and provide support to make the program work. The principal duties of the
employer are:

(1) Establishes and adopts in writing administrative policies on safety in conformity with
the provisions of this Standards outlining therein his responsibility and authority
delegated.
(4) Acts on recommended measures by the health and safety committee by adopting the
elements of the health and safety program in the production process or workplace and
in case of non-adoption of the Health and Safety Committee’s recommendation, to
inform the committee of his reasons.

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 HAZARDS & RISKS d

FACTORS IN HAZID

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 PROACTIVE HAZARD IDENTIFICATION d

Factors to consider in HAZID:

 Task Sequence of an activity
 Scenario or situation
 Immediate effect
 Materials, tools & equipment
 Working condition
 Simultaneous operation

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 PROACTIVE RISK MANAGEMENT d

SEC1 MODULE 5: FACTORS IN ASSESSING RISK LEVEL

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 ASSESSING RISK LEVEL d

ASSESSING LIKELIHOOD FACTORS

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 ASSESSING RISK LEVEL d

LIKELIHOOD FACTORS:
 Percentage of workforce exposed.
 Frequency of exposure.
 Probability of occurrence.

Example: Likelihood is
 15 out of 100
 Daily
 1:3 ratio of amputation
4
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 ASSESSING RISK LEVEL d

Likelihood
Scale 1 2 3 4 5
Frequency of Once every 10 Once every year Once every month Once every Week Once every Day
exposure years

Workforce % Less Than 10% 11% to 25% 26% to 50% 51% to 75% More than 75%

Probability of Less than 10% Less than 25% Less than 50% Less than 75% 75% and above
occurrence Chance chance chance chance chance

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 ASSESSING RISK LEVEL d

ASSESSING SEVERITY LEVEL

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 ASSESSING RISK LEVEL d

Severity Scale
1 2 3 4 5
Severe injury or
Non-immobilizing Very severe life-
Minor non- Immobilizing injury or trauma requiring
injury or trauma but threatening event
immobilizing injury or trauma requiring urgent hospital
requiring hospital e.g. Permanent
trauma not requiring hospital treatment treatment
treatment disabilities &
hospital treatment e.g. Injuries requiring e.g. injuries requiring
e.g. Stitching, IV fatalities
e.g. First Aid restrictions immediate operations
Likely injections
Damages more than
Damages of less than Damages less than Damages less than
Damages of less than 80% of its value or
10% of its costs but 60% of its value 80% of its value
35% of its value replacement causing
not requiring causing minor impact causing more than 24
requiring immediate more than 48 hours
immediate reworks to operations hours delay on
reworks in operation
operation

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 COURSE ACTIVITY d

 With your same group

Based on the given scenario below identify the
risk level and priority level:

4 teams: 1 – foreman, 2 electricians & 1 helper

Tightening of bolts in a 2ft x 3ft panel – every 2 months
2nd degree burn due to electrocution

 Assess the RISK LEVEL & PRIORITY LEVEL

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 PROACTIVE RISK MANAGEMENT d

SEC1 MODULE 5: REVIEW OF RISK MANAGEMENT PARAMETERS

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 RISK MANAGEMENT PARAMETERS d

UPDATING RISK MATRIX

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 THOROUGH RISK ASSESSMENT d

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 RISK MANAGEMENT PARAMETERS d

UPDATING LIKELIHOOD SCALE

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 ASSESSING RISK LEVEL d

Likelihood
Scale 1 2 3 4 5
Frequency of Once every 10 Once every year Once every month Once every Week Once every Day
exposure years

Workforce % Less Than 10% 11% to 25% 26% to 50% 51% to 75% More than 75%

Probability of Less than 10% Less than 25% Less than 50% Less than 75% 75% and above
occurrence Chance chance chance chance chance

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 RISK MANAGEMENT PARAMETERS d

UPDATING SEVERITY SCALE

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 ASSESSING RISK LEVEL d

Severity Scale
1 2 3 4 5
Severe injury or
Non-immobilizing Very severe life-
Minor non- Immobilizing injury or trauma requiring
injury or trauma but threatening event
immobilizing injury or trauma requiring urgent hospital
requiring hospital e.g. Permanent
trauma not requiring hospital treatment treatment
treatment disabilities &
hospital treatment e.g. Injuries requiring e.g. injuries requiring
e.g. Stitching, IV fatalities
e.g. First Aid restrictions immediate operations
Likely injections
Damages more than
Damages of less than Damages less than Damages less than
Damages of less than 65% of its value or
5% of its costs but not 45% of its value 65% of its value
20% of its value replacement causing
requiring immediate causing minor impact causing more than 24
requiring immediate more than 48 hours
reworks to operations hours delay on
reworks in operation
operation

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 PROACTIVE RISK MANAGEMENT d

SECTION 2

AN ADVANCE HAZARDS & RISK MANAGEMENT WORKSHOP

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 PROACTIVE RISK MANAGEMENT d

SEC2 MODULE 1: COUNTERMEASURES

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 COURSE ACTIVITY d

1. Identify ALL the Hazards of the activity sequence below:

2. Identify the Risks of the first 2 hazards & assess the level
of risks.
3. Recommend the controls to mitigate the risk up to its
acceptable level

Activity Sequence:
“Stacking of 8 AWG Copper Wire Rolls in a Warehouse.”

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 COUNTERMEASURES d

WHAT IS COUNTERMEASURE?

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 COUNTERMEASURES d

A countermeasure is an action,
process, device, or system that can
prevent, or mitigate the effects of
hazards

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 COUNTERMEASURES d

FREE FROM HAZARDOUS

CONDITIONS

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 COUNTERMEASURES d

HOW MANY TYPES OF CONTROLS DO

WE HAVE?

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 COUNTERMEASURES d

Two Types of Controls:

ENGINEERING CONTROLS
Devices
Equipments
Process
SYSTEM CONTROLS
Guidelines or Rules
Instructions
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 COUNTERMEASURES d

ENGINEERING CONTROLS
Process that eliminates hazards or risks
Process that reduce risk
Devices that isolates the hazard
Devices that reduce the risk
Equipment that reduce the risk

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 COUNTERMEASURES d

SYSTEM CONTROLS
Rules that prohibits to isolate the hazard
Rules that reduce the risk
Guidelines to reduce risks
Instructions that reduce the risk

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 COUNTERMEASURES d

THEREFORE:

PPE CONTROLS WILL FALL

UNDER ENGINEERING CONTROLS

& ALL SYSTEM CONTROLS ARE

ADMINISTRATIVE CONTROLS

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 HIERARCHY OF CONTROLS d

IS HIERARCHY OF CONTROLS
IMPORTANT?

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 HIERARCHY OF CONTROLS d

HIERARCHY OF CONTROLS
Elimination - is there any possible removable of
hazards or risks
Isolation - can we prevent interaction between the
risk and the property or person at risk
Reduction - can we minimize the likelihood or
severity of the risk
Administration - can we control the risk by putting a
systematic arrangement
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 HIERARCHY OF CONTROLS d

HOW TO PRIORITIZE CONTROLS?

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 HIERARCHY OF CONTROLS d

REASSESSMENT OF RESIDUAL RISKS

Assessment of Risk Reduction Factor
- Identify how the control could affect the Likelihood
factors
- Analyze how the probability of reduction can affect
the severity or likelihood
- Recalculate the likelihood level and severity level
after controls

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 HIERARCHY OF CONTROLS d

Risk Level Controls Residual Risk

25 LR-Engineering Control 20
SR-Engineering Control 16
LR-Engineering Control 12
LR-System Control 8
SR-Engineering Control 6
LR-System Control 3
SR-System Control 2

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 HIERARCHY OF CONTROLS d

GUIDE IN SELECTING CONTROLS

Applicability Immediate effect
Efficiency Standards
Practicability Cost / Resources
Reasonability Level of Value
Vulnerability Failure

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 COURSE ACTIVITY d

Identify ALL the applicable controls to

ensure provision of a workplace free from
hazardous condition:

Activity: Parking a 40-ft container van in a bay-

loading area to unload delivery materials

Hazard: Blind Spot

Immediate Effect: Struck by

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 COST-BENEFIT ANALYSIS d

WHY COST-BENEFIT ANALYSIS IS

IMPORTANT?

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 COST-BENEFIT ANALYSIS d

COST VS BENEFIT
Cost of Materials Risk Reduction Rate
Cost of Man-hour Efficiency Rate
Life-timer or expiry Return of Investment
Cost of Maintenance Cost of Damage
Cost of Implementation Efficiency Rate

OVERALL COST OVERALL SAVINGS

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 COURSE ACTIVITY d

Make a costing of controls that you

establish for the previous activity:

Activity: Parking a 40-ft container van in a

bay-loading area to unload delivery materials

Hazard: Blind Spot

Immediate Effect: Struck by

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 COST-BENEFIT ANALYSIS d

HOW TO ASSESS THE COST OF

LOSSES?

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 ACCOUNTING OF LOSSES d

SOURCES OF LOSSES
Cost of Accidents
Medical Cost
Replacement Cost
Manpower Cost
Investigation Cost
Cost of Delay
Increase in Insurance Premium
Cost of Repair
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 ACCOUNTING OF LOSSES d

SOURCES OF LOSSES
Cost of Controls
Cost of Materials
Labor Cost
Maintenance Cost
Implementation Cost
Cost of Delay

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 ACCOUNTING OF LOSSES d

SOURCES OF LOSSES
Cost of Compliance
Cost of Implementation
Cost of Delay
Cost of Over-compliance
Cost of Non-compliance

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Make an accounting of the losses of an accident below:

Fire in a warehouse with 100% damage & 2 casualties with 3rd degree burn
injuries (a supervisor and a warehouseman).

Scenario:
13 Racks for P12,000 each
57 Boxes of Copper Wires for P15,200 per box (Copper wire salvage value at
13% of its original cost)
Effect on operation 27% of its daily production with a value of P1,800,000 per
day.
Restoration will be at 27M with Insurance participation of 70% for 3 months
Investigation will be conducted for 4 hours a day in max 7 days by the team of
5 and witnesses of 4 employees

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