Flevy Management Insights Case Study
Occupational Health & Safety Enhancement in Power & Utilities


Fortune 500 companies typically bring on global consulting firms, like McKinsey, BCG, Bain, Deloitte, and Accenture, or boutique consulting firms specializing in OHSAS to thoroughly analyze their unique business challenges and competitive situations. These firms provide strategic recommendations based on consulting frameworks, subject matter expertise, benchmark data, KPIs, best practices, and other tools developed from past client work. We followed this management consulting approach for this case study.

TLDR The organization struggled with OHSAS 18001 compliance due to an aging workforce and outdated safety protocols, leading to more incidents and regulatory scrutiny. After a complete safety overhaul, incidents dropped by 30%, and training completion reached 100%. This underscores the critical role of leadership engagement and a strong risk management framework in enhancing safety.

Reading time: 6 minutes

Consider this scenario: The organization is a regional player in the Power & Utilities sector, struggling to maintain compliance with Occupational Health and Safety Assessment Series (OHSAS) 18001 standards.

With an aging workforce and outdated safety protocols, the company has seen a recent spike in workplace incidents. These incidents have led to increased regulatory scrutiny and potential reputational damage. The company aims to overhaul its OHSAS to improve safety performance and align with industry best practices.



Given the organization's recent challenges in maintaining a safe working environment, it is hypothesized that the root cause may lie in a lack of comprehensive risk management and outdated safety protocols. Additionally, insufficient training and engagement of the workforce in safety practices could be contributing to the increased incident rates. A possible disconnect between management's understanding of on-the-ground operations and actual practices may also be exacerbating the situation.

Strategic Analysis and Execution

This OHSAS project will follow a structured, multi-phase consulting process that has been established as a leading practice among consulting firms. This methodology will enable the organization to systematically address its safety challenges, resulting in a safer work environment and compliance with OHSAS standards. The benefits of this approach include improved risk management, employee engagement in safety practices, and a stronger safety culture.

  1. Assessment and Planning: Begin with a comprehensive review of current safety policies, incident reports, and employee feedback. Key questions include: What are the existing safety protocols? Where are the gaps in compliance with OHSAS 18001? What are employees' perceptions of safety on the job?
    • Activities: Conduct interviews, surveys, and a review of documentation.
    • Analysis: Gap analysis against OHSAS requirements.
    • Insights: Identification of critical areas for improvement.
    • Challenges: Resistance to change, incomplete data.
    • Deliverables: Current state assessment report, project roadmap.
  2. Risk Analysis and Control Implementation: Develop a risk management framework to identify, evaluate, and control workplace hazards. Key questions include: What are the high-risk processes and areas? How can these risks be mitigated effectively?
    • Activities: Risk assessments, workshops with key stakeholders.
    • Analysis: Risk matrix development, control effectiveness evaluation.
    • Insights: Prioritization of risk control measures.
    • Challenges: Determining risk tolerance, implementing new controls.
    • Deliverables: Risk management framework, control implementation plan.
  3. Training and Engagement: Roll out targeted training programs and engage the workforce in safety culture initiatives. Key questions include: How can we improve safety training effectiveness? How do we engage employees to be proactive about safety?
    • Activities: Development and delivery of training, safety culture workshops.
    • Analysis: Training effectiveness, employee engagement levels.
    • Insights: Improved safety behaviors, identification of safety champions.
    • Challenges: Training logistics, measuring engagement.
    • Deliverables: Training modules, employee engagement report.
  4. Performance Monitoring and Continuous Improvement: Establish KPIs to measure safety performance and create a feedback loop for continuous improvement. Key questions include: What metrics best reflect our safety performance? How can we ensure ongoing improvement in safety practices?
    • Activities: Development of a performance dashboard, regular safety audits.
    • Analysis: Trend analysis of safety data, benchmarking against industry standards.
    • Insights: Identification of areas for ongoing improvement.
    • Challenges: Data accuracy, aligning KPIs with business objectives.
    • Deliverables: Safety performance dashboard, continuous improvement plan.

For effective implementation, take a look at these OHSAS best practices:

ISO 45001:2018 (OH&S) Awareness Training (73-slide PowerPoint deck and supporting PDF)
ISO 45001:2018 OH&S Management Systems Awareness Program (41-slide PowerPoint deck)
Basics of Health Safety and Environment (72-slide PowerPoint deck and supporting Excel workbook)
OHSAS 18001 - Implementation Toolkit (Excel workbook and supporting ZIP)
Health & Safety Management Awareness Training Kit (342-slide PowerPoint deck)
View additional OHSAS best practices

Are you familiar with Flevy? We are you shortcut to immediate value.
Flevy provides business best practices—the same as those produced by top-tier consulting firms and used by Fortune 100 companies. Our best practice business frameworks, financial models, and templates are of the same caliber as those produced by top-tier management consulting firms, like McKinsey, BCG, Bain, Deloitte, and Accenture. Most were developed by seasoned executives and consultants with 20+ years of experience.

Trusted by over 10,000+ Client Organizations
Since 2012, we have provided best practices to over 10,000 businesses and organizations of all sizes, from startups and small businesses to the Fortune 100, in over 130 countries.
AT&T GE Cisco Intel IBM Coke Dell Toyota HP Nike Samsung Microsoft Astrazeneca JP Morgan KPMG Walgreens Walmart 3M Kaiser Oracle SAP Google E&Y Volvo Bosch Merck Fedex Shell Amgen Eli Lilly Roche AIG Abbott Amazon PwC T-Mobile Broadcom Bayer Pearson Titleist ConEd Pfizer NTT Data Schwab

Implementation Challenges & Considerations

In considering the methodology presented, the CEO may be concerned about the project's impact on day-to-day operations. The approach is designed to be minimally disruptive while ensuring thorough analysis and improvement. The CEO may also inquire about the time frame and resource commitment required. The project plan is flexible, allowing for adjustments based on the organization's operational needs and resource availability. Lastly, the CEO might question the sustainability of the changes. The methodology includes mechanisms for embedding a culture of safety and continuous improvement, ensuring long-term benefits.

Upon full implementation, the organization can expect a reduction in workplace incidents, lower compliance-related costs, and improved employee morale. These outcomes not only enhance the organization's safety record but also contribute to a more engaged and productive workforce.

Implementation challenges may include resistance to change, particularly in a sector with established practices and an aging workforce. Ensuring clear communication, involving employees in the change process, and demonstrating management commitment are crucial for overcoming these barriers.

Implementation KPIs

KPIS are crucial throughout the implementation process. They provide quantifiable checkpoints to validate the alignment of operational activities with our strategic goals, ensuring that execution is not just activity-driven, but results-oriented. Further, these KPIs act as early indicators of progress or deviation, enabling agile decision-making and course correction if needed.


That which is measured improves. That which is measured and reported improves exponentially.
     – Pearson's Law

  • Incident Rate: Reflects the number of safety incidents per hours worked; a critical measure of safety performance.
  • Training Completion Rate: Indicates the percentage of employees who have completed safety training; essential for ensuring workforce preparedness.
  • Audit Compliance Score: Measures adherence to established safety protocols during internal audits; a key indicator of process effectiveness.

For more KPIs, take a look at the Flevy KPI Library, one of the most comprehensive databases of KPIs available. Having a centralized library of KPIs saves you significant time and effort in researching and developing metrics, allowing you to focus more on analysis, implementation of strategies, and other more value-added activities.

Learn more about Flevy KPI Library KPI Management Performance Management Balanced Scorecard

OHSAS Best Practices

To improve the effectiveness of implementation, we can leverage best practice documents in OHSAS. These resources below were developed by management consulting firms and OHSAS subject matter experts.

Key Takeaways

Adopting a structured methodology for OHSAS enhancement is not only about compliance but also about fostering a culture of safety and continuous improvement. According to McKinsey, companies that engage in comprehensive performance transformations can see sustained improvements in safety, with a 40% reduction in incident rates. By leveraging such methodologies, Power & Utilities firms can not only meet but exceed OHSAS standards, positioning themselves as industry leaders in safety and reliability.

Another critical insight is the importance of leadership in driving OHSAS changes. Leadership commitment is cited by Deloitte as a top factor in successful safety culture transformations. Executives must be visibly committed to safety, not only in words but in actions, to instill a sense of shared responsibility among all employees.

Deliverables

  • Safety Culture Assessment Report (PDF)
  • OHSAS Compliance Roadmap (PowerPoint)
  • Risk Management Framework (Excel)
  • Employee Training and Engagement Plan (Word)
  • Safety Performance Dashboard (PowerPoint)

Explore more OHSAS deliverables

Case Studies

A global energy company, as reported by EY, successfully revamped its OHSAS by implementing a comprehensive safety management system, resulting in a 30% decrease in recordable incidents within the first year.

PwC highlights a case where a utility firm adopted an advanced analytics approach to predict and prevent workplace accidents, leading to a significant improvement in their safety record and operational efficiency.

Accenture's case study on a North American utility demonstrates how integrating wearable technology improved real-time monitoring of employees' health and safety, reducing incident response time and enhancing overall safety performance.

Explore additional related case studies

Additional Resources Relevant to OHSAS

Here are additional best practices relevant to OHSAS from the Flevy Marketplace.

Did you know?
The average daily rate of a McKinsey consultant is $6,625 (not including expenses). The average price of a Flevy document is $65.

Key Findings and Results

Here is a summary of the key results of this case study:

  • Reduced workplace incidents by 30% within the first year post-implementation, aligning with industry best practices.
  • Achieved a 100% training completion rate among employees, ensuring workforce preparedness and engagement in safety practices.
  • Improved audit compliance score by 25%, reflecting enhanced adherence to established safety protocols.
  • Established a comprehensive risk management framework, identifying and mitigating high-risk processes and areas effectively.
  • Developed and implemented a safety performance dashboard, facilitating ongoing monitoring and continuous improvement in safety practices.
  • Engaged leadership visibly in safety initiatives, fostering a culture of shared responsibility and continuous improvement.

The initiative's success is evident in the significant reduction in workplace incidents and improvements in training completion and audit compliance scores. These results demonstrate effective risk management, employee engagement, and adherence to safety protocols, directly contributing to the organization's objective of aligning with OHSAS standards and industry best practices. The leadership's visible commitment to safety was crucial in overcoming resistance to change, particularly important in an industry with established practices and an aging workforce. While the outcomes are commendable, integrating advanced analytics and wearable technology, as highlighted in the PwC and Accenture case studies, could have further enhanced safety performance and operational efficiency.

For next steps, it is recommended to explore the integration of advanced analytics for predictive risk management and the adoption of wearable technology for real-time monitoring of employees' health and safety. These technologies can provide deeper insights into potential risks and enhance the organization's ability to prevent incidents before they occur. Additionally, continuing to build on the culture of safety through ongoing training, engagement, and leadership involvement will ensure the sustainability of these improvements.

Source: E-commerce OHSAS Enhancement Initiative, Flevy Management Insights, 2024

Flevy is the world's largest knowledge base of best practices.


Leverage the Experience of Experts.

Find documents of the same caliber as those used by top-tier consulting firms, like McKinsey, BCG, Bain, Deloitte, Accenture.

Download Immediately and Use.

Our PowerPoint presentations, Excel workbooks, and Word documents are completely customizable, including rebrandable.

Save Time, Effort, and Money.

Save yourself and your employees countless hours. Use that time to work on more value-added and fulfilling activities.




Read Customer Testimonials




Additional Flevy Management Insights

Direct-to-Consumer Growth Strategy for Boutique Coffee Brand

Scenario: A boutique coffee brand specializing in direct-to-consumer (D2C) sales faces significant organizational change as it seeks to scale operations nationally.

Read Full Case Study

Organizational Alignment Improvement for a Global Tech Firm

Scenario: A multinational technology firm with a recently expanded workforce from key acquisitions is struggling to maintain its operational efficiency.

Read Full Case Study

Porter's 5 Forces Analysis for Education Technology Firm

Scenario: The organization is a provider of education technology solutions in North America, facing increased competition and market pressure.

Read Full Case Study

Operational Efficiency Enhancement in Aerospace

Scenario: The organization is a mid-sized aerospace components supplier grappling with escalating production costs amidst a competitive market.

Read Full Case Study

Sustainable Fishing Strategy for Aquaculture Enterprises in Asia-Pacific

Scenario: A leading aquaculture enterprise in the Asia-Pacific region is at a crucial juncture, needing to navigate through a comprehensive change management process.

Read Full Case Study

Balanced Scorecard Implementation for Professional Services Firm

Scenario: A professional services firm specializing in financial advisory has noted misalignment between its strategic objectives and performance management systems.

Read Full Case Study

Organizational Change Initiative in Luxury Retail

Scenario: A luxury retail firm is grappling with the challenges of digital transformation and the evolving demands of a global customer base.

Read Full Case Study

Cloud-Based Analytics Strategy for Data Processing Firms in Healthcare

Scenario: A leading firm in the data processing industry focusing on healthcare analytics is facing significant challenges due to rapid technological changes and evolving market needs, necessitating a comprehensive change management strategy.

Read Full Case Study

Global Expansion Strategy for SMB Robotics Manufacturer

Scenario: The organization, a small to medium-sized robotics manufacturer, is at a critical juncture requiring effective Change Management to navigate its expansion into global markets.

Read Full Case Study

PESTEL Transformation in Power & Utilities Sector

Scenario: The organization is a regional power and utilities provider facing regulatory pressures, technological disruption, and evolving consumer expectations.

Read Full Case Study

Porter's Five Forces Analysis for Entertainment Firm in Digital Streaming

Scenario: The entertainment company, specializing in digital streaming, faces competitive pressures in an increasingly saturated market.

Read Full Case Study

Global Market Penetration Strategy for Luxury Cosmetics Brand

Scenario: A high-end cosmetics company is facing stagnation in its core markets and sees an urgent need to innovate its service design to stay competitive.

Read Full Case Study

Download our FREE Strategy & Transformation Framework Templates

Download our free compilation of 50+ Strategy & Transformation slides and templates. Frameworks include McKinsey 7-S Strategy Model, Balanced Scorecard, Disruptive Innovation, BCG Experience Curve, and many more.