risk management an east asia experience tue 22 nov 2011
TRANSCRIPT
RISK MANAGEMENTAN EAST ASIA EXPERIENCE
Tue 22 Nov 2011
East Asia Experience
Shah AlamMalaysia
BintanIndonesia
TianjinChina
RojanaThailand
KaoshiungTaiwan
ChengduChina
Chengdu
Singapore
SuzhouChina
Scope of Risk Management
• Workplace Safety &Health• Environment• Flu Pandemic• Natural Disasters• IT • HR• Supply Chain• BCP
Focus on Risk Management• Safety function as part of engineering
training 1968 • EHS function w.e.f. 1983 with GE (USA)• First encounter with RA in JSA• Formed Consultant Firm 1993• Risk Management truly initiated in 2000
after NPP accident Sept 1999• Delayed by 11 Sept 2001 incident
NPP Criticality Accident 1999
an accidental increase of nuclear chain reactions
Impetus on Risk Management Catastrophes provided impetus in RM
• 9/11 – Travel Restrictions• SARS - 2003• 2 + 1 consecutive days fatalities• Operators falling into conveyor belt & molten metal• Earth Quakes in Japan, Chengdu, Taiwan• Earthquake & Tsunami - 2011• Contractors falling into HCL tank - 2011• Floods in Thailand - 2011
(DUPONT EXPERIENCE IN 1965)
Earthquakes in Japan
•12 sizeable earthquakes between 2004 & 2010
Chengdu Earthquake 2008
Tsunami in 2011
Photo courtesy of National Geographic
HCL Acid Tank Incident 2011
Floods in Thailand 2011
Photo courtesy of Bangkok Post
Risk Management
• Implementation – not of choice but by circumstances of catastrophes
• Emerging economies do not have a pro-safety culture
• “Safety First” not truly understood• “Safety when there is no other choice” is more true• Safety is more reactive than proactive for local
companies• MNCs fared better.
Tianjin & Chengdu Experience - China
• GuanXi Culture effects on safety• “Three Quotations” governance• Meetings with officials• homogeneous local workforce - better teamwork• Siesta culture• Paced livelihood• Risk Taking Culture – HCN case• MNC effect – CEO effect
Suzhou Experience - China• GuanXi Culture effects on safety• “Three Quotations” governance• Meetings with officials• Non-homogeneous local workforce• Transient workforce• “Each man for himself” mentality• High labour turnover• Risk Taking Culture – Snow laden roof incident• MNC effect – CEO effect
Kaoshiung - Taiwan• GuanXi Culture effects on safety – not as strong• “Three Quotations” governance – lesser degree• Meetings with officials – more business-like• homogeneous local workforce• Multi-tasking culture• Siesta culture• Risk Taking Culture – lesser degree, more compliant• MNC effect – little ; CEO effect – more• Greater peer pressure evident – Triad & Japanese influence
Rojana Bangkok - Thailand• Meetings with officials – more business-like• homogeneous local workforce• Strong easy going & gentle culture• No “bad guy” mentality• Lesser Multi-tasking culture• No Siesta culture• Risk Taking Culture – lesser degree• MNC effect – little ; CEO effect – more• Little peer pressure evident
Photos courtesy of Bangkok Post
Shah Alam, KL - Malaysia
• Meetings with officials – more business-like• homogeneous multiracial local workforce• High turnover – recruitment & safety problem• No “bad guy” mentality – counseling & warning• Multi-tasking culture• No siesta culture – Friday prayer culture• Risk Taking Culture – production focus• MNC effect – little ; CEO effect – more
Bintan - Indonesia• Authority Power• Non-homogeneous workforce from various regions• High turnover within Industrial Zone – recruitment &
safety problem• No “bad guy” mentality – counseling & warning• Dutch Law influence – peculiar firing policy • No siesta culture – Friday prayer culture• Workforce generally compliant – less production
focus• Contractor/Supplier & Client Relationship
Electrocuted
Cut by Paper Shredder
Left Hand Cuts Right Hand
MNC Experience - Singapore
• US, UK, EU & Japanese influence• Formal EHS Systems in place but not safety culture• British Law prevalent since independence – 1965• Paradigm Shift in 2006 to reach developed economy
status in EHS• Strong enforcement of the law• Cultivating Safety Culture – for long term• SMEs present greatest challenge – contractors & major
accidents
Contractor Related MishapsPhoto courtesy of SCDF Photo courtesy of Today
2007 May 03• Exxon Mobil said in a statement on Tuesday
that two contractors were found unconscious in an enclosed space filled with nitrogen.
• Engineering contractor was fined $100,000 on Tuesday for failing to ensure the safety of three workers who died from injuries sustained in a fire at the ExxonMobil oil refinery on Jurong Island in 2007.
In Conclusion …RMS in East Asia• Implementation – not of choice but by circumstances of
incidents• Emerging economies do not have a pro-safety culture –
bottom-line profit focused• “Safety First” is merely a slogan & not truly understood• “Safety when there is no other choice” is more true• Safety is more reactive than proactive for local companies• MNCs fared better – but implementation & enforcement
have much room for improvement• Safety is top driven • Progress is made albeit moderate
HAVE A NICE DAY
THANK YOU FOR
YOUR TIME …
GOODDAY !