Chevron Pipe Line Radical Change to Improve Safety IPLOCA 44th Annual Convention October 1, 2010 John Truhe © Chevron 2008 Objectives Understand CPL safety emergency and response Share nuggets that could apply to other organizations © Chevron 2008 2 In 2007, CPL was in a Safety Emergency Numerous people had been hurt on the job from January to August which includes • • • First Aids OSHA recordable injuries Several people were not able to immediately return to work (DAFW) Several of the OSHA recordable injuries had the potential to be very serious MVC’s were recorded Several incidents could have resulted in fatalities © Chevron 2008 3 CPL Workforce DAFW Benchmarking in Sept 2007 Other CVX Business Units Incidents at rate in excess of other comparable CVX Business Units Analysis indicated 75% of incidents were short service workers CVX Rate CPL Rate 2004 © Chevron 2008 2005 2006 2007 4 The Bottom Line Safety is a core value for Chevron If we can’t manage safety, we can’t manage our business © Chevron 2008 5 2007 Timeline of Events 2007 Safety Road Show Immediate Actions Taken (August ‘07) OCT – DEC 2007 Safety Road Show Formed Safety Task Force Personal Safety Action Plan OCT – DEC 2007 Visible Leadership Corporate OE Peer Assist Safety Roadmap to World Class & IFO Peer Assist Modified 3rd – 4th Quarter 2007 Stage 1 MSP • Task Force complete Gap Assessment and Safety Improvement Plan (focus on critical few) Leadership • Safety Imprv Plan road show • Recognize IFO behavior • Seize non-IFO opportunity • Reinforce core values • Slow 2008 Capital program • Launch FTL network 1st – 2nd Quarter 2008 Stage 2 MSP • Assure rigor of selfassessment particularly regarding CSM Leadership • Slow pace of non-essential OE processes • LT scheduled, collective visits • Build relationship during visits • Increase weight of safety results in LT PMP rating Safe Operations • Require onsite JSA • On boarding and mentors (Constr. Reps, Inspectors, Field Engrs.) CSM • Adv Supplier Relationship • Modify & use A & B rating to qualify bidders • Weigh safety in contr select • CSM scorecard acctbility • Require a work order for all field maintenance work © Chevron 2008 Stage 3 2009 Stage 4 2010 Stage 5 Leadership • Re-clarify roles and responsibilities, dotted line accountabilities; esp HES TL, FTL, Ops Mgr CSM • Redeploy CSM • Develop master resource schedule and sourcing plan • Contractor Leaders in CSLT • Area Safety Committees with contractor HES Specialists • Culture & field effectiveness incl in contractor evaluation Safe Operations Reliability • Team to eval limiting LPS/IPS • Adopt peer-to-peer BBS CSM • Begin consolidation of Contractors • Increase CSM coverage Reliability Reliability © Chevron 2005 3rd – 4th Quarter 2008 • Enforce use of SAP PM throughout CPL •Consistent Maint planning role • Utilize CMMS to prompt proc, JSA, MOC • Morning Operations work coordination mtg Incidents • Standardize on why tree & utilize ETC training • Sr Mgr IIR fluency and own investigation & action CPL102005.ppt 6 Timeline of Events Project JAN – SEP 2Re008 Safety Improvement Project Teams Organized JAN – SEP 2008 Safety Road Show MAY − JUN 2008 Leadership Short Service Employees Lost Prevention System Replacement Project Safety Third Party Services © Chevron 2008 7 Take Away Nuggets Observation process Field Observation Observations 2,000 1,500 1,000 500 0 May June July August 2008 © Chevron 2008 8 Take Away Nuggets •Job Safety Analysis •Contractor Safety on Projects •Short Service Employees © Chevron 2008 9 Key Success Factors and What We Learned Since 2007 Visible leadership and frequent communication Safety improvement project focused on adapting standard processes Involving field personnel created ownership Declaring a safety crisis raised awareness and “Created Safety Buzz” Employee ownership in developing – Behavioral Base Safety, Job Safety Analysis, Job Safety Site Plan, Contractor Health Environmental and Safety Management, Near Misses, etc. © Chevron 2008 10 CPL Workforce DAFW Benchmarking – 2004 thru July 2010 © Chevron 2008 11 Safety – It’s For Life To Date, Chevron Pipe Line achieved over 10 million man hours without any days away from work! © Chevron 2008 12