Many companies judge the success of their quality, safety and performance programs on how many errors, injuries or productivity under 100% occur in within a certain period of time. For instance, the safety culture of a company typically would be judged to be excellent if there were zero injuries and poor if there were dozens of injuries. Likewise, quality and performance cultures of companies that have defects rates approaching .000001% (Six Sigma) and very few “non-value added” time/activities would be deemed successful and those with less than stellar rates and several wasted time/activities would be considered poor to fair at best. Based upon the above, it seems logical for companies to set goals for departments or programs on specific results. However, do the results accurately measuring business performance or are they a measurement of luck?
Zero Incidences/Injuries
Early on in my career I was primarily focused on safety and reducing injuries. At the time it seemed perfectly reasonable to measure success by setting goals based upon the number of incidences and injuries. After all achieving Zero incidences and injuries certainly can’t be a bad thing, right? (The goal doesn’t have to be zero but a number that is a reduction from the current standard)
That result must mean that safety is valued and practiced throughout the organization, right? Maybe…but it could just be due to luck. Or it could be due to employees not reporting things since they know the goal is zero injuries and are incented that way. Or it could mean that the work and the workers are truly safe—at least during that period of time. Or it could be due to a combination of factors. So what does that result really tell you? Does it tell you how and why you achieved it? How can you repeat it if you don’t know what factors lead to it?
Zero errors/100% productivity=Performance Excellence?
As my knowledge, experience and career advanced I began to understand that safety is just a part of the puzzle to the entire function and success of an organization. I then began to focus on the whole picture—the business system as it relates to and effects performance, productivity, efficiency and safety. My purpose in working with companies expanded from injury prevention to include improving business/employee efficiency and productivity. The company owners and operations/quality leaders had goals to reduce defects/errors and non-productive employee time to zero. (Again, the goal doesn’t have to be zero or 100% but a number that is a reduction from the current standard.) So let me ask a similar question as I did in the previous paragraph. Achieving zero defects/errors or 100% productivity is a good thing, right? After all it must mean that all systems and processes are without flaws or waste, right? Or as we mentioned before, could it be due to luck or some other factors which aren’t being measured and appreciated? If all we measure are the results and not the “performances” that lead to those results we will never know.
Complacency Induced By Results
Is it good for the organization to achieve zero incidences/injuries/errors and 100% productivity or is it possible that it leads to a false sense of achievement? Are the following equations accurate?
1. Zero Incidences/Injuries=Safety Excellence
2. Zero errors=Performance Excellence
3. 100% productivity=Performance Excellence
4. Zero incidences/injuries/errors/100% productivity=Performance Excellence
Let’s take the first three equations. Does achieving 100% of the performance result mean the same as having performance excellence? (An organization that achieves the 4th equation most likely does have performance excellence as it would be nearly impossible to have had luck throughout the company.) Does achieving zero injuries mean that there are no hazards or risks that exist in the operations and tasks that workers perform? Does attaining zero errors mean that there are no hazards or risks that exist in the operations or tasks that workers perform? Does having 100% employee productivity mean that the employees’ eyes and mind are always on the task at hand and aren’t suffering from presenteeism? I would guess that your answer matches mine which is to say, “No, it doesn’t mean that things are perfect.” However, what is the natural tendency and mindset of employees and management alike when told of those results? Probably something along the like of “We’re good, we’re very good and we’ve done it.” So, how does this drive the beliefs and subsequent actions and behaviors of management and employees going forward? Now what goal do you set?
Reducing Risks, Hazards and Waste
Experience has taught me that goals based on reducing risks, hazards, wastes and in conjunction improving employee wellness are much more effective. Risks and hazards that are inherent in the work system will, given enough time, result in injuries and errors. They may not manifest for a year or more but they will unless an organization is focused on continuous improvement in all of their systems, be it safety, production, customer service, IT, etc. These goals focus certain performances of individuals and the company as a whole involved that is needed to achieve the desired results. Here are a few examples of these types of goals:
· 25% of work areas (positions) assessed for injury risks (physical and mental) annually
· 100% of work areas (departments/positions/etc.) assessed for chemical hazards annually
· Inspection area assessed for risks for errors (such as impact of lighting, shiftwork, pace, repetition, body position, equipment calibration technique/process, equipment controls/dials, etc.) semiannually
· 100% products/equipment evaluated for ergonomics, human factors, quality, customer service and price prior to purchase annually
· 30% of all defined processes are evaluated for value and non-value activities annually
All of these goals directly affect the attainment of the desired results. Companies that continually evaluate, analyze, make changes and re-evaluate will achieve what some call “world class” operations. The results they achieve are not due to luck, hope or prayers. It is due to doing, performing and measuring the required steps and tasks that lead to the results.
Conclusion
What you measure and the goals you set will impact the actions and motivations of individual employees and the company as a whole. Measuring the desired end result alone without including goals and measurements for specific tasks and performances that are needed to achieve that result may result in a false sense of achievement subsequent complacency. Take the time and effort to identify things that need to be done and evaluated on a regular basis to achieve the desired results. This is true not only for safety but for all business systems of an organization. It is only by doing so will you truly achieve Performance Excellence.
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