ZeroBULLETIN - John Sisk and Son
Transcription
ZeroBULLETIN - John Sisk and Son
Zero Bulletin Highlights of the Building Excellence safety conference in Dublin 19th October 2010 BUILDING EXCELLENCE 2010 Highlights of Group CEO Liam Nagle’s opening address A fitting venue that was kindly provided by the Centre Management as a compliment to Sisk and to the team who managed the CCD’s construction and completion. Liam Nagle, the SISK Group CEO opened the meeting with a warm welcome to all that included colleagues from Ireland the UK, Poland and UAE businesses. Liam began by giving an overview of each of the Group companies performance. He explained that 2009 had been a difficult year for construction, that healthcare had shown strong performance and in most cases, group companies had out-performed their competitors. Following this overview, Liam then focused on the Construction businesses with news from Paul Wilson, Managing Director of John Sisk & Son UK, Paul Hackett, Managing Director of John Sisk & Son Middle East and Tom Costello, Managing Director of John Sisk & Son Ireland whom he interviewed in turn. “Even against the economic downturn the Group made a PBT of € 12.3m on a turnover of €1.051billion last year” 2 Next came the future strategy for Construction, suggesting that being the very best at everything we do will provide us with more than our fair share of business in each market. He then introduced two key areas of focus that are fundamental to the continued success of Construction. Raising the bar on health and safety. Managing projects to completion, defect free and snag free. He stressed the need for a step change, explained that the company had undertaken to achieve Zero Incidents. Zero Injuries in its determination to improve safety. And in the pursuit of quality, is introducing an equally determined initiative designed to achieve Zero Defects. Zero Snags at PC. Key insights from Liams opening address: “As we internationalise the business we are increasing the risk profile for the Group. We cannot do business in a foreign country with new partners in the same way as we do in Ireland and the U.K. where we have operated for 150 and 25 years respectively.” “In the current economic climate we have to leverage the strength of the Group, we can no longer be introspective and look at our individual businesses sectors or geographies. We can only afford to learn new things once then deploy current best practice from wherever it originates into our global operation.” “Change is inevitable and constant. We all have a choice. We can embrace change, help to shape it, improve the company and develop our own personal skill and knowledge, OR we can ignore change, in which case it will roll right over us. The choice is yours.” 3 BUILDING EXCELLENCE 2010 A review of our businesses Highlights of the conversations. UAE: We’ve made a great start and have won two projects, the Masfout General Hospital and the Oasis Hospital in Al Ain, Abu Dhabi. There is enormous potential in the region, in Saudi Arabia, Abu Dhabi. I see our business in the region growing to the size of the Irish market in the next five years. But it is also a region where health and safety standards vary enormously – there were five fatalities in a single week at a vast site in Saudi Arabia. We are determined to set the highest standards and we will only take on projects where we believe we can deliver those standards. Masfout General Hospital, UAE Oasis Hospital Al Ain, UAE Athletes Village, UK Grand Pier, Weston Super Mare Aviva Stadium, Ireland Limerick Tunnel, Ireland Paul Sullivan seals the deal, Poland A1 Motorway, Poland UK: The UK market has held up relatively well and is worth over £100 billion so there is real growth potential. We are sharing knowledge, skills and people with Ireland, particularly in Major Projects and Industrial process. This is already proving successful and we are working on power stations in Pembroke and Runcorn, a project at the Athlete’s Village and a significant development in Bristol at Finzels Reach , all are projects we would not have won without the co operation across the Group , leveraging our collective experience and skills. Ireland: We recently completed several landmark projects including the Aviva Stadium, this great Conference Centre, Microsoft’s data centre and the Limerick Tunnel. I am immensely proud of the standards of Quality and Safety achieved on those major projects. The Irish market has had a very tough couple of years but I am confident that the worst is behind us. We have already won well over €300m of new business his year and our business in Northern Ireland is growing well. And in Poland, we have won our first major civils project to build 94 km of the A1. 4 5 BUILDING EXCELLENCE 2010 “I am blessed to have three children, we spend seven days of every week ensuring they are safe and not exposed to any risk. You are all someone’s child; all of our employees and those who work with us is someone’s child. It is unacceptable that we put other people’s children at risk. The only acceptable conclusion you can come to is that we must provide a work environment that delivers Zero Injuries. Zero Incidents.” Liam’s powerful summary of what we have to do to be the best that we can be, left the audience with no doubts about the significance of the undertaking that the company is making to raise the bar. His re-emphasis of what it means to re-think the way that we manage and behave towards working safely and to the way that we deliver on quality were driven home. 6 7 BUILDING EXCELLENCE 2010 Implementing Zero Tom Costello | Managing Director John Sisk & Son Ltd Ireland The title for our conference today – ‘Building Excellence’ sets out a challenge for the Company and for all of us. You were invited here today to look to the future and help plan the journey. Believe me, there is a future – it’s a future of Building Excellence. Sisk are unbeatable at project delivery. It’s in our DNA. It’s a fantastic attribute of the Company. But we must question ourselves – ‘Is it always of an admirable quality?’ ‘Are we dedicated to delivery of buildings of the highest quality – without defects?’ Construction is a cyclical business – three recessions and an amazing boom in the past 30 years. Whether boom or recession, our approach must be on a path of continuous improvement. We have all had the wonderful experience of sitting into a new car – that unique smell and no snag list! Well, that’s the experience our clients should be getting when they buy a Sisk building. Over the past few months, SISK Group and all the operating companies have been working on our strategy for 2010 to 2015. Fundamental to our strategy is Excellence – ‘Be the Best’ and ‘Be the best we can be’ in all areas of service and performance. If we strive to achieve excellence in Business Development, Tendering, Project Delivery, Commercial Management, Minimizing Waste, HSEQ, Customer Relationships, Innovation, After-Sales Service, then we will win more than our fair share of business. Bad habits have become the norm in the management of quality. It has become acceptable by all parties, designers, contractors, sub-contractors, that we accumulate snags as the job progresses. At practical completion the building is indeed ‘practically complete’ and we then go on to spend the next 1 or 2 years snagging the building. This involves huge costs, delay in release of retentions, frustrated clients and tarnished relationships. All of us must think ‘How do I play my part’. In this drive for excellence, Health & Safety and Quality are particularly client facing. Safety is an important indicator of how you treat people, your clients, your partners and your staff. Quality is the legacy we leave - in 2100, 90 years from now, people will still admire the quality of our work here in this auditorium in CCD. About 10 years ago we decided to measure our safety performance. We have done extremely well to manage the journey from an AFR of 1.6 to less than 0.2. Each year we have set a lower target and achieved it. For many years now the language of multinational companies has been ‘Towards 0’, ‘Beyond 0’. When we started the review of our systems some months ago, we had planned to set an AFR of 0.2 for 2010. “If we can be the best we can be then we will win more than our fair share of business.” There is a better way. Set higher expectations of quality from the start, complete and snag all work packages as we go and commit to Zero defects at P.C. This is what our client’s desire. It will differentiate us from our competitors. It will win work. It just takes belief and commitment. I propose the ZERO DEAL to all of you: “To be part of the future of SISK you must commit to ZERO. Zero Incidents, Zero Injuries and Zero Defects. You must learn the language of ZERO and communicate it to your Clients, colleagues and sub-contractors” If we all commit to ZERO, we can together look forward to a bright future for our Company – A Future of Building Excellence. Put another way ‘Our target for 2010 is to injure no more than 30 people’ How crazy is that? And so we recognised that the only target for accidents is ZERO. Zero Incidents. Zero Injuries. Right now we can achieve this on many jobs; we must commit to do it on all jobs in the future. We must make a step change in the way we think about the management of health & safety and change our behaviour as a result of that step change. 8 9 BUILDING EXCELLENCE 2010 The journey that led to Zero Brian Keogh | Director John Sisk & Son Ltd Ireland Brian discusses the need for a change in behaviour and attitude to the way we currently manage health and safety. Over the years we have made great strides with our AFR achievements. Although despite these successes we still had some issues. Back in April 2009 at our last safety conference we decided that we should be working to achieve no incidents and no injuries. We needed a change in behaviour; we needed to find a way to achieve that. It was around that time that we appointed Band London, a communication company that demonstrated that it had the experience to help us. They spent some time getting to know us, sharing our thoughts and our knowledge, doing their own research. They fed back their findings at a Directors meeting at the Red Cow. The findings and the conclusions reached that day set in train further examination and a series of groups were convened to consider the various issues that came out of the Red Cow meeting. The areas focused on are shown on the Focus Group slide below. An elected group leader managed each group. My group concerned itself with the all-important role of our supply chain. doing what we said we were doing, a visit to our project at Grangecastle, and a day with two of the clients senior personnel assessing our health and safety and our safety systems. We are proud to say that we won that project but went through an exact same process to win the Fullabrook wind farm project. Are we ensuring that our supply chain shares the same standards with us? NO. We have an approved list of subcontractors and suppliers. Nobody ever gets off that list unless they cease trading. That needs to change to be consistent with our drive. We also introduced some quick wins. The 30-minute rule that requires every accident or incident be reported to the most senior management within 30 minutes of its occurrence. It has made a huge impact on awareness, knowing that an incident will be instantly reported right through to the main board of the company, Managing Director and Chairman. We also introduced the Minimum Expectations document that sets out the requirements expected of every person who enters a Sisk site. And we have overhauled our inductions to be less ‘white noise’ as one observer described them, much more interactive and engaging. We have also reviewed the way that we manage and improve on our quality. But more of that later on in this bulletin. Over the last months the groups have pooled their findings and conclusions. The results of the groups’ work and the various findings have led to the changes that are being discussed and introduced to you today. While all this work was progressing, we also had to manage the changing demands of the market place. The reality that clients simply don’t want to know about low accident rates, they want to hear about Zero tolerance. But Zero tolerance does not necessarily mean that you have zero accidents. It means that you are doing everything in your power to create a culture and an environment that is safe. Will not tolerate a breach of safety of any description no matter how small. Rathcahill wind farm was a classic example of the rigorous way clients go about identifying whether you are up to that standard. A comprehensive journey that eventually led to us being awarded the project, most of the initial interview rested on health and safety. To ensure that we were 10 11 BUILDING EXCELLENCE 2010 The summary at the coffee break On the Group performance 2009: Construction overview: Sisk Group Strategy: Five year strategy: •Overall the Group traded well in extremely challenging times •Successful delivery of Major Projects and Major Projects Initiative •Be the best at what we do •60%of revenue outside of Ireland •2009 a difficult year for construction •Group co-operation •50% of employees based outside of Ireland •UK £100bn potential market opportunity •Strong healthcare performance •60% of operating profit non construction •Redeployment of our people to new geographies •Win more than our fair share in every market and sector •Outperformed competition in most businesses •Awarded and begun a Civils contract for 94km of the A1 in Poland •Continue to diversify, maintain high quality profit streams Our management of health and safety •Established and won first job in UAE •Internationalise our business but manage the increased risk •Despite economic pressure, delivered €12.3m profit •Civils operating as an integrated international business •Be the best we can be in two key areas: Our delivery of completed quality projects •Managing risks in a difficult economic climate 12 13 BUILDING EXCELLENCE 2010 “We need Project Leaders who will take responsibility for all aspects of a project” Joe McLoughlin | Director and group leader We decided to change the role of managing a project from the triumvirate style to a single Project Leader, from managing one dimension of a project, to one encompassing responsibility for all aspects of a project: safety, environmental, quality, schedule, cost, knowledge sharing and client relationships. Left to right: Joe McLoughlin, Jim Doyle and Tom Costello discuss the challenges for the new Project Leaders. 14 15 BUILDING EXCELLENCE 2010 Key points on the project leader role The introduction of on site management through a single Project Leader came from the results of extensive analysis of how sites are run currently, and a review of the current triumvirate way of managing. A method that in its day achieved significant benefits but led to no particular person “in charge”. This led to weak management, often the strongest opinion in the triumvirate forcing the decision on a particular issue. Tom: Joe, your group was asked to review how we manage projects. Where did you start? Joe McLoughlin: We looked at the triumvirate. This concept was introduced some years ago to encourage more dialogue between senior members of the project team. We found that very often it did not happen. It was often ineffective and lacked focus. When three people run a project, there isn’t one designated leader. Tom: That’s clearly a problem – what did you do about it? Joe McLoughlin: We decided to change the role from managing one dimension of a project, (delivery to schedule) to one encompassing responsibility for all aspects of a project: safety, environmental, quality, schedule, cost, knowledge sharing and client relationships. And we have expanded the scope of the Commercial Plan to become the Project Execution Plan. We also re-defined an existing role - creating Project Leader. The Project Leaders will identify key responsibilities and package owners who will take ownership for the management and delivery of a package to the 16 Inconsistent and often not good decision making for the project. The move to a single point manager, skilled, coming from any discipline but demonstrating the skills to manage and take leadership will be a key asset in the drive to move the business from good to great, achieve a step change in the way we manage projects. The triumvirate system will change in favour of Project Leaders Identifies key responsibilities and package owners Project Leader skills will be supplied by training The Project Execution Plan (PEP) A guide to The Project Execution Plan Project Leader and PEP Summary highest standards of quality as the project progresses. Not at the end of the project as is currently quite often the case. Tom: Does every manager become a Project Leader? Joe McLoughlin: No it’s not an automatic transition. It’s going to be difficult for people – they will need to have technical skills but a set of softer skills too but we will support and train people. Tom: Key to managing risk is knowledge management which is one of the core principles of the PEP. Can you tell us more about that? Jim Doyle: We are operating in a challenging, competitive market and knowledge sharing is vital to give us the edge. Our competitive edge is built on the knowledge that our teams have. But, in the past we have not captured all the great skills, processes and key learning’s we have. We can’t afford to lose that vital knowledge. There’s a far greater level of risk as well and if we are to manage risk we need the information to correctly minimise it. It’s especially important when we are putting teams together in new markets overseas. 17 BUILDING EXCELLENCE 2010 Coming to terms with the possibility of Zero Some people in our industry think that whatever we do we will never stop accidents. Others think differently. They think that to arrive at work with the possibility of being killed, maimed or injured is wholly unacceptable. The notion of ‘Zero Incidents. Zero Injuries.’ makes us open our minds to where we stand. And if we really think about the apparent impossibility of what the statement means, we can end up in one of two places. We are leaders in the industry but we have an inconsistent approach to safety - just having Safety Officers on site is not enough. We need to engage workers and change behaviour to achieve zero. Either in denial, because we think that achieving Zero accidents is impossible. Or, allowing ourselves to embrace the possibility of what our working lives would be like if we had ‘Zero Incidents. Zero Injuries.’ How would a site look? What would the behaviour on site be like? Would we really plan access for traffic and pedestrians through the same entrance? Tom Costello discusses the changes with Michael Barnwell and Tony Sheridan. Tom: So what did you do? Tony Sheridan: We wanted to gauge attitudes to how Safety Officers are seen in the business so we sent out a questionnaire to Sisk staff and subcontractors. The Safety Officer is seen as policeman/enforcer. The job is administrative/paperwork focused and safety is abdicated to the Safety Officer, not shared. That does not work so we have re-defined the role: Tom: Tell us how this initiative will affect the way we work on sites. The new role is much more pro-active. A facilitator/ driver for achieving consistent best practice. Motivate and assist PLs to achieve best practice. Actively assist in training. But still retain independence in applying rigorous standards and approach. And to reflect the changed role, we are going to change the title from Safety Officer to Safety Manager. Michael: As part of the Zero initiative, my group worked with Band London and looked at improving site logistics, signage, better tidiness and ways to encourage people to think differently about how they set up sites, move away from bad practice. Tom: Have you had a chance to trial it yet? Tom: I understand that you have also changed the way people get inducted. What was wrong with the old induction? Michael: Planning and total commitment. We have created what we call a Zero start that Shane and his team went through before any work was undertaken on site. This is very objective, considers the surrounding areas. The routes into the site, how these are signed to ensure minimal confusion, how the access into the site will impact on other existing entrances, local environment and neighbours. Michael: Yes we have been trialing the new approach at a number of sites and are particularly advanced with our new plans on a school project in Tullamore. Shane Cannon the Contract Manager and his team have been putting our theory into practice showcasing the new approach. A new standard that all our sites will need to achieve in future. Tom: What was the process you went through to make it zero? Tony Sheridan: It was laboured and inconsistentdescribed as ‘white noise’. It had no clear message or goal and wasn’t engaging. The new induction is no longer than 40 minutes. The first part is site specific and the second part deals with Zero and challenges and engages the inductee, works on behaviour and attitude, what it really takes to work to Zero. Because of this, these new inductions will only be delivered by trained and experienced Sisk people. We’ve produced a short film for the induction that helps open up the dialogue about Zero. We have worked with Band London to establish a whole new concept in signage, hoardings and a mandatory methodology that ensures that the entrance is clearly identified, the styling consistent, people and plant segregated so that our staff can get to their accommodation safely. The surrounding environment is considered and protected. The site set up is minimal, clean, tidy with walkways concreted not covered in mud. The overall consistency of cleanliness and approach sends out a very clear message to all who work there, the way people work safer, tidier and be more professional. Tom: How will you ensure that everyone is up to speed with Zero philosophy? Tony Sheridan: Through Zero workshops for all staff. Training for safety staff to enable them to perform their new proactive role. Regional Safety Managers will participate in a ‘Zero start’, with project teams for new jobs. This will feed into the Project Execution Plan. Tom: What impact has this new initiative had on safety and what did your workgroup look at? Tony Sheridan: My work group looked at the role of the Safety Officer, the induction process and how to tailor it to Zero. 18 The image above helps to challenge people about where they stand on the issue of safety and is used in our new induction to open up a dialogue, help change attitudes. Also site teams will get a book that shows what Zero looks like and how to achieve better and consistent site presence and signage. 19 BUILDING EXCELLENCE 2010 Creating the culture of Zero on site The most powerful demonstration of achieving Zero is the way that it is applied to our sites. An experience that is already having a beneficial effect on the behaviour of those who work in these environment. A discipline that is supported by a mandatory methodology that covers the look of hoardings, signage, site accommodation, the way a site is set up to ensure the highest standards, a process that is established through a Zero start planning meeting. Implementation will be supported by a new set of guidelines and workshops to help instill the new approach. There is also a video available that gives a sense of Zero on site. 20 21 BUILDING EXCELLENCE 2010 Adding strength to the Zero message The new Induction video - Designed to challenge the way we think about working safely The Zero initiative is designed to achieve a new way of thinking about the way we work safely and the way we deliver better quality. The best way of getting the message across is through clear, simple communication that is not plastered all over the place but judiciously placed. These poster messages are strong and to the point. A specially commissioned induction video provides a powerful message that is designed to provoke a short discussion, challenging where each inductee stands in relation to the achievement of Zero. The Zero video from Tullamore. - Gives a clear understanding of how the new site set-up and appearance operates 22 23 BUILDING EXCELLENCE 2010 The Zero Defects approach to quality control Tom: What does poor quality cost us? Tom: And what about our processes? Frank Quirk: Over €13m on retention and an average of 17 months to obtain final certificates. But the most important cost is damage to our reputation. Joe Byrne: Here’s the virtuous cycle of quality management – if we follow this, we will achieve Zero snags at PC. Tom: So, what do we need to do to get it right? The engagement right at the start of the architect and or designer to agree the criteria. Frank Quirk: We need to be zero snags at PC. That sounds a tall order, but it’s do-able But to be able to achieve the goal of zero at PC we have to change the way we engage and up our focus and drive quality control. Tom: How? Frank Quirk: By changing our beliefs and the way we do things. Strong leadership, the right procedures, competent staff and cultural change. As Joe mentioned earlier, the move to management of projects through a single project leader will help this. In particular the appointment by the Project Leader of package owners who will have greater understanding and be responsible for the pre agreed quality criteria of a package. The introduction and signing off of samples, the use of NCR’s and snag as you go philosophy and the insistence on applying hold points in the process are just some of the introductions we have made to improve our standards. The sub contractor selection and alignment in this is critical. As the project progresses, the element of work must be first signed off by the package contractor, then checked by Sisk and if satisfactory, signed off. Only then is it offered up to the architect or the designer. Any snags identified must be resolved at each stage of the process and only when all are happy and the package is signed off can the next phase of work begin. “We need to manage Quality in the same way we manage Safety” Frank Quirk | Director Left to right: Frank Quirk, Joe Byrne and Tom Costello discuss the fresh approach to quality control. 24 25 BUILDING EXCELLENCE 2010 Communicating Zero Defects. Zero Snags. Getting the message of what it takes to achieve Zero Snags at PC requires a re-awakening and re-appraisal of the unsatisfactory way that our industry and we go about resolving quality issues. Stills from the quality video. We have, as Tom Costello pointed out during the conference, “ Become an industry that has grown bad practices” Tom’s analogy of buying a new car and then having to wait two years while the engineers and mechanics snag it makes the point very well. We need to be able to hand over buildings at completion that are snag and defect free. The posters featured help point up the issue. The Quality video gives an insight into how the new Package Owner approach to managing trades will truly make a difference. Copies of the posters are available from purchasing. The new induction video will be available as part of the site signage booklet. 26 27 BUILDING EXCELLENCE 2010 What they said... “I think the message of Zero came over very clearly, now we have to take it into the business” “At first I was thinking. We do this already in the UK. Then as I listened I realised that we hadn’t thought it through as well as this and perhaps we should revisit it” “We need to reach our supply chain if we are going to make this work” “How will we make this happen?” “How will I become a Project Leader?” “Project Leadership – that really got me thinking” “I really appreciated that we got to know more about the Group” “Very professional the best conference we’ve had” “The way the messages came across was very clear given the amount covered” “I learnt a lot about the company – really interesting” “I enjoyed it, it made me think” “The content was great and the communication of it was excellent” “It’s good to know where the company is going” “These initiatives are just what we need to be great” “Great. But now we really need to embrace the plans, get them rooted into the business” “I could see that they all really meant what they said” “It made me feel proud to be part of this company” “It all came across really well” “We’ve really got to up our game to be the best” 28 “I think this will definitely make a positive difference.” “How about reaching out to clients with this message?” 29 BUILDING EXCELLENCE 2010 Summary and next steps Zero Incidents. Zero Injuries. Zero Defects Zero Snags. Is a commitment that must be shared and upheld by all. It is a way of working, thinking, behaving to do the utmost we possibly can to share what it takes to be safe. It is a mindset change that requires each and every one of us to question where we stand on the issue. Requires an equally objective view of how we communicate and deliver the highest standards of quality. Is it really true that whatever we do we’ll never stop accidents? Do you really think that injuring and killing people just to come to work is right? Confront those questions and you will be confronting the very real issues that have held back being the best. Wherever you sit, one thing is for sure. If you think accidents are inevitable then there is far more chance of them occurring. If you think that injuring and killing people is wrong, with that mindset you will address issues and have more positive results. You’ll be thinking more about what can be done to be better rather than accepting the inevitable because you can’t effect change. The power of Zero is exactly about that. A change of mindset. Not about the measure in itself but the means through which we can open up the potential. Like this: If a site were to be ‘Zero Incidents. Zero Injuries.’ what would it be like. How would it be set up? To achieve our quality standards we need to apply a more rigorous approach to managing quality control. The aim is to be able to deliver projects at PC that are defect and snag free. By changing the way quality is managed and by dealing with the issues as we go rather than waiting until completion, not accepting signed off work that is sub standard. Challenging the detail of the drawing, the design or the specified material that you are being asked to work with or the construction technology involved. If in doubt, seeking a second opinion. Where applicable, producing a physical sample of what needs to be build to the standard required and using the example as the gold standard to get others to work to and with. Only by adopting this approach will we achieve a step change and the highest standards of quality. The change in managing sites through the Project Leader, the introduction of package owners to ensure the delivery of the highest standards of quality, the move to the more proactive role of the Safety Officer to Safety Manager. All these initiatives are in train to help embed Zero. Initiatives that will be supported by a series of workshops, more in depth ‘immersion’ sessions to really get under the skin of each topic and this way of moving our business. Training needs will also be addressed and a course announced. That’s what Zero offers, a move from Good to Great and an excellent route to Building a Business. Building Excellence. For more information about the Zero initiative, contact your Director. 30 31 The 2010 Sisk Group safety conference. The Convention Centre Dublin.
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