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ECONOMIC EVALUATION OF OHS ACTIVITIES IN POLAND . Some Comments on Limitations

ECONOMIC EVALUATION OF OHS ACTIVITIES IN POLAND . Some Comments on Limitations. Izabela Rydlewska – Liszkowska , Department of Health Care Organization NIOM, Lodz, POLAND.

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ECONOMIC EVALUATION OF OHS ACTIVITIES IN POLAND . Some Comments on Limitations

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  1. ECONOMIC EVALUATION OF OHS ACTIVITIES IN POLAND.Some Comments on Limitations Izabela Rydlewska – Liszkowska, Department of Health Care Organization NIOM, Lodz, POLAND

  2. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 Definitions (1) • Cost – effectiveness analysis Cost/effectiveness ratio • Cost – benefit analysis Cost/benefit ratio and/or net benefits • Effectiveness – achievement of outcome goal attributable to the programme • Outcome – condition which is desired ( the reason why the programme is undertaken); improvement of health status

  3. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 Definitions (2) • Output – instrumental or intermediate objective to achievement of outcome; health services, health programme • Inputs – different resources (personnel, funds, materials etc.) or costs • Efficiency – a function of both effectiveness and inputs or costs

  4. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 Perspectives • Before measures introducing (ex ante approach); planned activities initiated or rejected • After measures introducing (ex post approach); Ongoing activities and finished activities modified, continued, rejected, or reinitiated

  5. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 Why economic appraisal? To provide support in decision – making processes on each level (cost containment issue; how can preventive measures reduce the costs?) • Enterprises level (effective management) • Regional level (consequences of policy) • National level (consequences of introduction or amendment legislation and policy)

  6. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 What information? • Cost information Measurable and unmeasurable in money terms Direct and indirect, fixed and variable • Effectiveness/benefits information indicators and money savings

  7. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 Limitations (1) • Enterprises level • Regional level • National level

  8. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 Limitations (2) • Is the economic appraisal affect the decision to introduce OS&H activities? • Is the economic appraisal is done on a routine basis before and/or after introducing measures?

  9. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 Limitations (3) • Are the cost information and effectiveness indicators available on a routine basis? • Are the willingness to make decisions on the economic appraisal basis?

  10. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 Cost information (examples) • Cost of accident prevention • Cost of individual protective measures • Cost of modernization at workplace • Cost of workers education by outside institutions • Cost of the work factors monitoring • Cost of the reallocation workers due to health reasons • Cost of preventive examinations

  11. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 Effectiveness indicators (examples) One of the most difficult issues of appraisal ! • Number of absence days avoided • Number of occupational (or work-related) diseases cases avoided • Near misses

  12. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 Benefits(examples) • Avoided cost of sickness absence • Avoided cost of accidents at work (loss of materials, paid work time, salaries for overtime, loss of production) • Avoided cost of reallocation the workers • Avoided cost of organizational changes

  13. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 Conclusions (1) • Dispersion of enterprises financial reports • Overlapping the same information (in different breakdowns) in different departments at company level • Aggregation of financial data at company level • Lack of information on organizational and technological preventive activities • Subjective indicators of preventive measures effectiveness

  14. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 Conclusions (2) • Difficulties in effectiveness and benefits estimation due to prevention results nature (they are apparent after a long time) • Lack of absenteism reports according to its reasons

  15. Economic Evaluation of OHS Activities In Poland.Some Comments On LimitationsICOH Conference, Lodz, 22-23 September 2001 Thank you for your attention

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