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System-Based SH&E Management Case Study. Mike Henderek, Manager of Safety, Health & Environment Exxon Mobil Corporation. ExxonMobil’s Approach to SH&E Management. Corporate commitment (Board, Sr Management) to excellence in SH&E performance, essential to business success
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System-Based SH&E Management Case Study Mike Henderek, Manager of Safety, Health & Environment Exxon Mobil Corporation
ExxonMobil’s Approach to SH&E Management • Corporate commitment (Board, Sr Management) to excellence in SH&E performance, essential to business success • Commitment stated clearly and often • Implement policies through structured management systems: • Assign responsibility, resources • Measure performance • Assess systems • Identify and make improvements • Report measurements externally • Hold employees and managers accountable
Corporate Policies } • Safety, Health, Environmental, and Product Safety Policies are translated into operational practices via OIMS. OIMS Operations Integrity Management System • Safety Policy • Health Policy • Environmental Policy • Product Safety Policy
What is OIMS? • Systematic, structured, disciplined framework for the management and reduction of risk • Corporate-wide commitment with high degree of ownership and involvement. • Complies fully with ISO 14001 • Seeks safe and environmentally responsible operations and meeting of all laws and regulations
What is OIMS? (con’t.) • Framework comprised of 11 elements and 60 expectations that all operations must fulfill • Facilitated by guidelines and management systems • Management systems must show documented evidence of the following: • Scope is clear and objective fully defines purpose and expected results • Well qualified people are accountable to execute the system • Documented procedures are in place to ensure the system functions properly • Results are measured and verify that the intent of the system is fulfilled • Performance feedback from verification and measurement drives continuous improvement of the system
OIMS Elements Driver Operations Evaluation 2. Risk Assessment & Management 3. Facilities Design and Construction 4. Information/Documentation 5. Personnel and Training 6. Operations and Maintenance 7. Management of Change 8. Third Party Services 9. Incident Investigation and Analysis 10. Community Awareness and Emergency Preparedness 11. Operations Integrity Assessment and Improvement 1. Management Leadership, Commitment & Accountability
OIMS Summary • ExxonMobil’s structured approach to ensuring safe and environmentally sound operations worldwide • Implementation is a Line Management responsibility • Meets commitments to protect the safety and health of the public, contractors and employees, and to protect physical assets from damage or loss • Compatible with environmental and economic needs • Establishes a common language to promote the sharing of best practices
OIMS Summary (contd.) • Requires unwavering compliance with all laws and regulations • Promotes continuous improvement • Establishes expectations for and supports sound SHE performance from contractors • Is at the core of our business -- supported actively and visibly by senior management, line managers, supervisors, staff, and contractors
OIMS Summary (contd.) • Meets all requirements of ISO14001 - LRQA attested to ExxonMobil compliance in 2001. • “ExxonMobil ... among industry leaders in the extent to which environmental management considerations have been integrated into its ongoing business processes.”
Operational Measures • Links OIMS to operational RESULTS. • Relates progress to goal of NO incidents, damaging releases, etc. • “Scorecard” developed using simple metrics for quick calculation of how a unit (plant, terminal, production field - as well as entire businesses) is doing. • Annual examination of results and programs included in stewardship by Management Committee and Board.
Worldwide S&H ResultsOSHA Consistent Lost Time Incident Rate Total Recordable Incident Rate Employees Contractors -- US Petroleum Industry Benchmark Injuries and illnesses per 200,000 work hours
Environmental Measures Marine Vessel Spills ExxonMobil Operated Fleet Non-Marine Vessel SpillsIncludes oil, chemical, and drilling fluid spills greater than 1 bbl
ExxonMobil Cogeneration Capacity * Number of typical U.S. residential households that could be served by the additional energy captured through the improved efficiency resulting from our cogeneration assets.
SH&E Linkage to Productivity From Mobil Oil 1993 to 1998
Sustained Productivity ImprovementLeads to Leadership Returns
Sustained Productivity ImprovementLeads to Leadership Returns
Sustained Productivity ImprovementLeads to Leadership Returns
Sustained Productivity ImprovementLeads to Leadership Returns