Process Safety in the Workplace Human Involvement

1. Process Safety in the Workplace Human Involvement Hansjürgen Labudde, SHE Training Manager - Europe

2. Agenda • Introduction • Shift in Beliefs • The DuPont approach of Process Safety & Risk Management • Establishing a Safety Culture • Providing Management Leadership and Committment • Implementing a comprehensive PS&RM program • Achieving Operating Excellence through Operational Discipline • Conclusion

3. What you might know about DuPont g • Worldwide benchmark for industrial SHE • $24 Billion in revenue • 79,000 employees operating in 70 countries on 6 continents • 5 core business segments including DuPont Safety & Protection

4. DuPont in Europe, Middle East & Africa 2002 • Sales: $ 6.31 billion • ATOI: $ 727 million • Employees: 18,200 • Approx 66% of European sales are produced, refined or manufactured in the region

5. Plants R&D/Technical Service Centres Offices Joint ventures DuPont locations in the region

6. Injuries with more than 3 lost work days per 1000 employees per year Industrial average over 40 DuPont only 0,4 All injuries are preventable

7. DuPont Core Values Ethics Safety, Health & Environment (SHE) Respect to employees and customers

8. Agenda • Introduction • Shift in Beliefs • The DuPont approach of Process Safety & Risk Management • Establishing a Safety Culture • Providing Management Leadership and Committment • Implementing a comprehensive PS&RM program • Achieving Operating Excellence through Operational Discipline • Conclusion

9. Business Excellence through SHE Excellence? A Shift in Beliefs

10. Shifting a Belief: Safety performance can be managed. Things go wrong, accidents happen. Drive towards excellence! Zero injuries Zero spills. Zero wrong financial transactions. Zero …..

11. Shifting a Belief: All accidents and incidents are investigated because we want to learn. Fatalities and serious injuries are investigated because it is required by law. Understand root causes! Of accidents. Of productivity problems. Of complaints Of …..

12. Shifting a Belief: Safety performance can be managed. Safety performance is a question of luck. From reaction to prevention! Initiative Operational discipline Personal responsibility …..

13. Shifting a Belief: Employees must be educated and empowered so that they perform. Employees must be supervised so that they comply. Focus on people! Lean organization. Tap the capabilities of all employees. Empower people …..

14. Developing an Organization Natural Instincts • Where do you want to be? • How fast do you want to get there? Injury Rates Errors Failures to perform Supervision Reactive Self Dependent Teams Independent Interdependent • Management • Commitment • Condition of • Employment • Fear/Discipline • Rules/Procedures • Supervisor • Control, Emphasis, • and Goals • Value All People • Training • Personal Knowledge, • Commitment, and • Standards • Internalization • Personal Value • Care for Self • Practice, Habits • Individual Recognition • Help Others Conform • Others’ Keeper • Networking Contributor • Care for Others • Organizational Pride

15. The employee is in the focus Active Informed Aware about company goals Responsible Decisive Self-confident Independent Team oriented

16. Agenda • Introduction • Shift in Beliefs • The DuPont approach of Process Safety & Risk Management • Establishing a Safety Culture • Providing Management Leadership and Committment • Implementing a comprehensive PS&RM program • Achieving Operating Excellence through Operational Discipline • Conclusion

17. CONFIDENTIAL

18. Some industrial key accidents • Flixborough (6/74) 28 fatalities - $167MM • Seveso (7/76) Contaminated countryside • Mex. City (11/84) 550+ fatalities - $26MM • Bhopal (12/84) 3M+ fatalities - 200M affected • Chernob. Nuc. Plt. (4/86) 31 fatalities - 300 mi2 evacuated • Piper Alpha Plat. (7/88) 165 fatalities • Pasadena, Tx. (11/89) 23 fatalities - $797MM • Channelview, Tx. (7/90) 17 fatalities - $14MM • Pemex, Mexico (7/96) Multiple fatalities - $253MM • $8MMM loss to economy • Petrobras, Brasil (6/2001) 10 fatalities - $300MM • Toulouse, France (9/01) 29 fatalities • 20,000 homes damaged * Large property damage losses (17th edition); M&M Protection Consultants; 1166 Avenue of the Americas, NY, NY 10036

19. Industrial Incidents Unfortunately, that listing was only a partial (small) list of many incidents that have occurred in the energy and chemical industries worldwide. So, what’s the best answer?

20. Process Safety& Risk Management The application of Management Systems to the IDENTIFICATION, UNDERSTANDING, and CONTROL of Process Hazards to prevent a major fire, explosion, or toxic release which could lead to a fatality or multiple lost workday cases.

21. The DuPont Approach to Managing Process Safety Four Key Steps: 1. Establishing a Safety Culture 2. Providing Management Leadership and Commitment 3. Implementing a comprehensive PS&RM Program 4. Achieving Operating Excellence through Operational Discipline

22. Agenda • Introduction • Shift in Beliefs • The DuPont approach of Process Safety & Risk Management • Establishing a Safety Culture • Providing Management Leadership and Committment • Implementing a comprehensive PS&RM program • Achieving Operating Excellence through Operating Discipline • Conclusion

23. The StepEstablishing the safety culture! st 1

24. The Safety Culture • Founded 1802 • Explosion 1815 • Explosion 1818 • Damage $ 80 000 • 40 people killed • Damage $ 120 000 Safety is a Management Responsibility

25. E. I. du Pont de Nemours DuPont gun powder barrels Core Value Roots 1811 rules • Safety is a line management Responsibility • No employee may enter a new rebuilt mill until a member of top management has personally operated it

26. One Company’s Mission m “…….adhere to the highest standards for the safe operations of facilities and the protection of the environment, our people, our customers, and the citizens of the communities in which we do business.” “Value the safety of our coworkers, our community and the need to return home safely to our families each day.”

27. One Company’s Mission m

28. Successful Fundamentals 1. All injuries, occupational illnesses, safety and environmental incidents are preventable. 2. Management is responsible for safety. 3. Safety is an individual’s responsibility and a condition of employment. 4. Training is an essential element for safe workplaces. 5. Audits must be conducted.

29. Successful Fundamentals 6. All deficiencies must be corrected promptly. 7. It is essential to investigate all injuries and incidents with injury potential. 8. Off the job safety is an important part of the safety effort. 9. It is good business to prevent injuries and illnesses. 10. People are the most important element of the Safety and Occupational Health Program.

30. Agenda • Introduction • Shift in Beliefs • The DuPont approach of Process Safety & Risk Management • Establishing a Safety Culture • Providing Management Leadership and Committment • Implementing a comprehensive PS&RM program • Achieving Operating Excellence through Operating Discipline • Conclusion

31. The StepManagement Leadershipand Commitment nd 2

32. Management Leadership in Process Safety Principle Management leadership and commitment form the foundation of efforts to improve process safety. Although leadership and initiative are needed throughout all levels of an organization, it is crucial that senior management provide visible support and encouragement.

33. Management Leadership and Commitment Key Responsibilities • Establishing the Safety Culture • Establishing PSM policies/guidelines • Committing resources • Involving employees • Establishing clear accountability • Auditing for degree of compliance • Personally participating in PSM activities

34. Agenda • Introduction • Shift in Beliefs • The DuPont approach of Process Safety & Risk Management • Establishing a Safety Culture • Providing Management Leadership and Committment • Implementing a comprehensive PS&RM program • Achieving Operating Excellence through Operating Discipline • Conclusion

35. The StepImplementation of aComprehensive Process Safety& Risk Management Program rd 3

36. Process Safety and Risk Management Model Process Technology Operating Procedures and Safe Practices Auditing Emergency Planning and Response Management of Change Management of Change Incident Investigation and Reporting MANAGEMENT LEADERSHIP & COMMITMENT Process Hazards Analysis Contractor Safety and Performance Quality Assurance Training and Performance Prestart-Up Safety Reviews Management of “Subtle” Change Mechanical Integrity

37. Process Safety Management TECHNOLOGY FACILITIES PERSONNEL

38. Technology

39. Process Technology • Process Technology describes the process and operation • Understanding the hazards is the first step • Consists of three parts

40. The 3 Parts of Process Technology • Hazards of Materials • Process Design Basis • Equipment Design Basis

41. Process Hazards Analysis Process Hazards Analyses identify, evaluate, and control hazards - orderly and methodical approaches - many people involved Standard

42. Procedures & Safe Practices • Provide clear understanding of operating parameters and limits for safe operation • They explain the consequences of problems and the steps necessary to correct and or avoid them • Developed and documented for each process g

43. Management of Change - Technology • Changes may invalidate prior assessments • All changes must be rigorously reviewed • Sites must have procedures to manage changes.

44. TechnologyIndustrial Incident #1 Bhopal, India 1984A large amount of water was put into a methyl isocyanate tank. The resulting overpressure and related system failures caused the tank to vent and a large cloud of gases was released and drifted onto the nearby densely populated area. The severity of this accident makes it the worst recorded within the chemical industry, with fatalities estimated in the thousands, ~2,800 from the immediate release and possibly up to 15,000 related deaths since.

45. Technology Industrial Incident #1 • Contributing Factors: • plant modification/change - HAZOP • not recognizing safety critical systems and their operability • design codes • training and competence

46. Oppau, Germany TechnologyIndustrial Incident # 2 1921Two explosions at the BASF plant killed 430 and destroyed 700 homes. Blasting powder was being used to breakup storage piles of ammonium sulphate and ammonium nitrate. This procedure had been used 16,000 times without mishap. The 4,500 tons of the mixture exploded and left a crater 250 feet in diameter and 50 feet deep. Tough stuff to set off. But when it goes, it goes !

47. Toulouse Grande Paroisse • On Friday September 21,2001 at 10:15 am…..

48. Technology Industrial Incident # 2 • Contributing Factor: • not recognizing hazards of materials

49. Facilities

50. Quality Assurance Quality Assurance “bridges the gap” between design and installation: • fabrication and parts meet specifications • delivery to the right location • properly assembled and installed