Competitive advantage is a phrase not typically associated with safety and health. When most people think of safety, the words cost, expense and compliance come to mind, but competitive advantage, not so often. Maybe that should change.
According to an article published in the Journal of Economics and Business:
“Occupational health and safety can contribute to competitive advantage since it is unique to each organization and it is a part of company history and culture that adds value to an organization above the cost of creating it…Occupational health and safety management also contributes to competitive advantage both directly and indirectly by creating safe workplaces and a healthy environment. This results in an increase in employee satisfaction, motivation, productivity, communication, work quality, operational effectiveness and efficiency, organizational learning, risk management, and firm reputation. Thus, in turn, it increases firm performance; namely, market share, sales and revenue, profit and financial returns and it also improves shareholder’s confidence and trust.” 1
How does a leader drive competitive advantage and create high-level safety and health excellence? And how do construction management executive teams develop the knowledge and skills in safety and health necessary to lead the industry?
Leaders can plan for increased competitive advantage in construction through the implementation of a deliberate professional development path in safety and health for their organizations. Training, education and certification are a part of every successful professional development plan. When everyone in an organization knows and implements the actions that make a difference to the bottom line, the resulting focus moves the entire company forward.
What are those actions?
ABC’s 2019 Safety Performance Report (SPR) revealed that eight core leading indicators are consistently implemented by their highest performing contractors using the Safety Training Evaluation Process (STEP) Safety Management System. Developed in 1989 by safety professionals, STEP uses a self-evaluation process where companies rank themselves in 24 key component or management system areas. Of the eight indicators that made the biggest positive impact in 2019, four align directly with the development of the workforce. These four are toolbox safety talks, safety program performance reviews, employer supervisory meetings and safety program goal setting.
- Toolbox Safety Talks. Daily toolbox talks reduced TRIR (Total Recordable Incident Rate) by 85% when compared to companies who hold talks monthly.
- Safety Program Performance Review. Reductions in TRIR were found to approach 59% when program reviews occurred at least biannually.
- Employer Supervisory Meetings. A weekly safety meeting to discuss hazards lowered DART rates (Days Away, Restricted or Transferred) 59% among high scoring STEP participants.
- Safety Program Goal Setting. The act of formally setting and acting on safety program goals led to 50% decreases in DART rates.
In conjunction with STEP core leading indicators, training and certification are proven factors to create the change necessary for competitive advantage through safety and health.
Training on industry best practices, along with necessary safety and health guidelines to ensure both compliance and safe and healthy workers, is foundational to build an engaged and productive workforce.
“As an industry, it is our responsibility to ensure our workers go home in the same—or better—condition than when they arrived on the jobsite every day,” said Greg Sizemore, ABC vice president of health, safety, environment and workforce development. “And that requires a commitment to world-class safety through STEP, which can make the highest performing companies 680% safer than the BLS industry average. By creating the conditions for all to do their work without incident, implementing proactive safety measures and a strong culture of safety, our industry can consistently raise the bar when it comes to safety performance.”
“Occupational safety is best ensured when all members of a workplace understand their part in protecting the business and its people,” explains BCSP’s CEO, Dr. Treasa Turnbeaugh, CSP, ASP, CET, CAE, IOM. “A comprehensive set of quality safety certifications sets standards for the knowledge and skills required of individuals at every level of an organization, supports their participation, and results in a stronger overall safety culture.”
Accredited certifications, such as the Safety Trained Supervisor Construction® (STSC®) and the Construction Health and Safety Technician® (CHST®) from the Board of Certified Safety Professionals (BCSP), demonstrate both competency and credibility, as well as set a high leadership standard for the entire organization and its stakeholders.
Listed as a best practice by the Voluntary Protection Programs Participants’ Association (VPPPA), the STSC is intended for leaders at all levels of an organization because all employees have responsibilities for a safe work environment. The ANSI-accredited STSC certification is intended for executives, directors, managers, supervisors, superintendents and employees. These individuals may not have safety as a primary duty, but their knowledge of safety practices ensures safer and healthier worksites and their example strengthens the foundation of safety in the organization. This level of commitment creates and enhances a safe work culture for the organization based on a shared value and common understanding of basic safety criteria. One Fortune 200 construction and engineering firm, after implementing STSC across their organization, saw a sustained reduction from 0.87 to 0.11 in DART rate.
The CHST is for the individual who works part-time or full-time in construction safety and health and who is typically responsible for entire construction projects or job sites. These safety and health practitioners have expertise in construction hazard identification, emergency preparedness, program implementation, communication and training. The CHST and STSC are also recognized by the U.S. Army Corps of Engineers and listed in EM 385-1-1 “Safety and Health Requirements” as third-party accredited certifications. Some CHSTs leverage their experience further to also earn their Certified Safety Professional (CSP) credential, which is considered the gold-standard in safety and health certifications.
By strategic implementation of both the program elements of the ABC STEP core leading indicators and the creation of a deliberate pathway towards accredited safety and health certification, competitive advantage is built across the organization, connecting the human side of safety and health with organizational performance, market share and shareholder confidence and trust.
