HSE Leadership at
Dade Behring: An
Executive Strategic
Presentation
Paul D. Moss, CIH, ROH
Vice President
Global Health, Safety, Environment and
Travel
ORC Western OSH Group
San Diego, California
June 14th, 2006
Global HSE Strategic Plan Agenda
• R-Y-G for 2011
• Current metrics and benchmark data
• New HSE Policy
Statement/philosophical shift
• Program Emphasis in the future
• HSE funding
• Summary
2
R-Y-G for 2011
3
Global HSE: 2011
Global HSE
Processes
Functional Excellence
G
•Common/global
G
•HIPAA
G
G
•Baked into new
product
development
G
•Strong use of
electronic training
tools for GCM
•Active members
of external bodies
G
•Baked into due
diligence
process/any
potential future
M&A activity
Y
•Automated
MSDS
•Connected with
appropriate
regulatory
agencies
G
•Web-based
Medgate/ASP
•Consistent global
HSE audit process
G
•Plugged into
service and
manufacturing
G
G
G
G
4
Systems
Y
•Global Travel
R •Electronic
Program continues
Environmental
to leverage
Data Management
volume-based
tool
airline contracts,
hotels and rental
cars
•Strong
contribution to the
safety
management of
G
Global Fleet
Y
•Strive for
leadership in
integrated health
and wellness
indicators;
ultimate reduction
of company
subsidy costs on
the health benefits
side
•Sustainability
section in Annual
Report
Key Indicators
G
Y
Y
Y
Y
Right on track
Y Watch closely
Organization
•Work to reduce
global
injury/illness
target to <0.95
G •All
•Work to decrease
lost work days by
50% due to better
case management
and absenteeism
management
R
•Stronger global
occupational
health function
G
•Professionals sit
on site Leadership
Teams
R
•Strong bench
•Corporate
Budget: potential
for moderate
increase based on
country
needs/headcount
•Opex: moderate
increase for
Wellness
•Capex: increased
to support/upgrade
HSE systems
R Action required
HSE site
leaders report
directly to the
function
G •Collaborative
G
•Balanced
between team
members and
objective 3rd
parties
G
•Utilize global
HSE and HR
resources to help
rollout HSE
awareness
Current Metrics and Benchmark Data
5
Global OSHA (Injury/Illness) Rates by
Year
4
*OSHA Target: <=1.2
3.5
3
2.5
2
1.5
1
0.5
0
Years
* Starting in 2007, I/I target rate will be lowered to 0.95
6
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006 YTD
ORC Worldwide Benchmark for Injury/Illness Rates: 2005
(All Participating Companies Reporting Y-T-D)
•
•
•
•
•
•
•
•
•
•
Allergan: 0.84
Boehringer Ingelheim: 0.91
Chevron/Texaco: 0.36
Colgate Palmolive: 0.72
Dade Behring: 0.96
Dow Chemical: 0.36
Eastman Chemical: 0.77
Exxon/Mobil: 0.37
FMC: 0.88
General Motors: 0.35
•
•
•
•
•
•
•
•
•
Intel: 0.29
Johnson & Johnson: 0.06
Kimberly Clark: 0.63
Occidental Petroleum: 0.47
Proctor & Gamble: 0.07
Purdue Pharma: 0.94
Raytheon: 0.93
Rohm and Haas: 0.95
Sanofi-Aventis: 0.35
Currently considered best of the best…under 1.0
7
New HSE Policy Statement/Philosophical Shift
8
Original Dade Behring Health & Safety Policy Statement (1996)
“It is the policy of Dade Behring to provide each of its employees
with a healthful and safe workplace. Preventing occupational
illness and injury is a major objective and is consistent with a
strong health and safety culture supporting world class
manufacturing and quality objectives. Health and safety will be
given equal importance with production, quality and all other
facility functions. Dade Behring will be a recognized industry
leader in health and safety.
We will comply with all applicable health and safety regulations.
We will establish uniform health and safety guidelines to be
followed worldwide. Any condition or work practice which is not in
compliance, or which is considered potentially hazardous, is
unacceptable and must be reported at once to supervisory
personnel. Appropriate action will be taken to ensure a timely and
effective correction.”
9
…So What Did All of that Really Mean?
• Does anyone have a definition for the words,
“world class”?
• The word “will” appears five times in the
statement vs. we do
• Prescriptive vs. descriptive?
• Are employer vs. employee responsibilities
clear? Should they be?
• Were our true corporate H & S goals spelled
out? Should they have been?
10
It Gets Better…Original DB Environmental Policy Statement (1996)
“Dade Behring will conduct its business with respect and care
for the environment. Environmental excellence is consistent
with Dade Behring’s business strategy: To be a leader in the
clinical diagnostic industry.
We will:
1. Meet or exceed applicable environmental regulations and corporate
policies
2. Conserve natural resources and minimize the environmental impact of
our operations, products and services.
3. Participate in local, state and Federal initiatives
4. Establish a goal to continuously improve our environmental
performance by setting specific objectives, measuring our progress and
communicating the results of our efforts.
…This policy will be communicated to all employees and
contractors. Success of the environmental program requires
the personal commitment of all employees.”
11
Loopholes in the Environmental Statement
• The correlation to business
strategy, is a weak statement
• “Participate in initiatives” or
comply with the law…which
one speaks louder as a
company?
• No specific objectives or
metrics are set
• “This policy will be
communicated to all
employees and
contractors”…what about
customers and the public?
12
Possible Key Words/Definitions/Phraseology for a New Policy Statement
•
•
•
•
•
•
•
•
•
•
•
13
Global
Compliance
Prevention
Communication
Continuous Improvement
Integrate H&S with the “E”
Defining customers
Leading Indicators
Proactive
Social Responsibility
Vendors
•
•
•
•
•
•
•
•
•
•
•
Specific Goals
Commitment
Encourage
Sustainability
Safety
Health
Wellness
Protection
Reduction
Interventions
Transparency
Today’s New HSE Policy and Principles
Policy
Dade Behring manages its global operations with a commitment to provide
a safe and healthy work environment. We conduct business with respect
and care for the environment while supporting a commitment to social
responsibility. Health, safety and environmental protection are integral to
the diagnostic products and services we provide.
Principles
We operate by the following principles:
•Compliance with all applicable health, safety and environmental laws
and regulations, while establishing and applying responsible standards
where laws and regulations do not exist
•Employment of management systems and procedures to identify and
manage risk to human health, safety or the environment
14
Today’s New HSE Policy and Principles (cont’d)
• Continuous improvement in safety, health and the protection of the
environment with the vision of zero injuries, illnesses and incidents,
and reduced waste generation and emissions
• Leading the organization to achieve and maintain the top quartile of
leading and trailing health, safety and environmental indicators in
our business sector
• Integration of health, safety and environmental considerations into
business processes
• Ensuring that all employees are educated on and understand the
value of active, healthy lifestyles and the competitive advantage this
brings to our company
• Communication of a commitment to health, safety and environment
to our employees, contractors, vendors and customers
• Support of these principles and participation by all levels of
management and all employees in the company
15
“Leading the organization to achieve and
maintain the top quartile of leading and
trailing health, safety and environmental
indicators in our business sector”
16
ORC 05’ I/I Healthcare Competitors Benchmark Quartiles
Diagnostic/Healthcare/Pharma (only companies to share their numbers Y-T-D)
17
Top Quartile (<1.0)
Allergan: 0.84
Boehringer Ingelheim: 0.91
Dade Behring: 0.96
Johnson & Johnson: 0.06
Purdue Pharma: 0.94
Rohm & Haas: 0.95
Sanofi-Aventis: 0.35
Top-Middle Quartile (>1.0-1.5)
Abbott: 1.01
AstraZeneca: 1.35
Baxter: 1.47
Bayer: 1.02
Schering-Plough: 1.18
Mid-Bottom Quartile (>1.5-2.0)
Amgen: 1.97
Edwards Lifesciences: 1.52
General Electric Healthcare: 1.54
Merck: 1.80
Bottom Quartile (>2.0)
Barr Laboratories: 2.69
Bristol-Myers Squibb: 2.04
What Programs Will Help Us Sustain Great Performance?
•
•
•
•
•
Ergonomics programs
HSE self-assessments
3rd party audits
Wellness Initiatives
Strong occupational Health Case Management for
Injuries/Illnesses
• Targeting prevention programs based on type and
severity of injuries
• Continued strong emphasis on global HSE webbased training
• Robust HSE data management tools
18
“Ensuring that all employees are
educated on and understand the value of
active, healthy lifestyles and the
competitive advantage this brings to our
company”
19
Health and Wellness Initiatives
• Corporate Wellness Committee created
that has global representation
• Currently interviewing candidates for
global occupational health and wellness
position
• Wellness concepts will be tied into the
HR/Benefits theme of consumerism
• Programs will be ultimately measured for
ROI based on payback in the benefits
arena
20
“Integration of health, safety and
environmental considerations into
business processes”
21
2004 Business Continuity Planning
Crisis Preparedness
Program Policy
Crisis
Management
Emergency
Response
Disaster
Disaster
Recovery
Recovery
22
2006 Business Continuity Planning
Emergency
Response
Crisis
Management
Crisis Preparedness
Program Policy
Disaster
Recovery
23
Internal/External
Customer Crisis
Recovery
Ensure continued focus on disaster recovery plans
“Continuous improvement in safety, health and
the protection of the environment with the vision
of zero injuries, illnesses and incidents, and
reduced waste generation and emissions”
24
Environmental Sustainability Example
• Continue efforts to eliminate any hazardous
materials from all Dade Behring products
• Ensure HSE is baked into R&D pipeline plans
• Continue ROHS (EU Reduction of Hazardous
Substances) initiatives within R&D
• Continue waste electronics recycling initiatives as
part of the European Directive on WEEE
• Continued efforts to remind employees and families
of strong environmental culture (i.e., Earth Day
events, recycling and proper disposal programs)
• Third party audits to assure environmental
compliance
25
GLOBAL HSE FUNDING
Achievement of these targets will result in incremental funding requirements
across the enterprise during the planning period
2006
Wellness
Program
Costs
Training
Needs
HSE
Headcount
Total: 100K
(already
approved)
125K
GCM WebBased BBP
Training in
French and
Japanese
0
2007
2008-09
2010
2011
Total: 200K
Total: 200K
Total: 150K
Total: 200K
125K
GCM WebBased BBP
Training in
Italian and
Portuguese
100K
100K
Driver Safety
Driver Safety
Training for Fleet
and Compliance
Drivers
1
1
Specialist for DF
Mgr Int'l
and GCM
Health/Wellness
0
100K
Driver Safety
and Compliance
0
• Corporate HSE spending potentially impacted throughout planning period by the need for
appropriate global coverage; any reduction in staffing could potentially create risk to the business
26
Summary
 Regarding health and safety, develop, market and implement
the occupational health and wellness strategy globally to
ensure proactive measures and decrease the injury/illness rate
further while heightening employee morale in the workplace
 Within R&D, continue to bake HSE into the design and
development stages, to ensure that our future products stay
ahead of the strong environmental curve
 Within Global Operations and Supply Chain, ensure that
disaster recovery plans are in place, in both the supply chain
and facility arenas, while we continue to strongly emphasize
safety efforts in the warehousing and distribution process
 Within Global Customer Management, ensure that proper HSE
training and procedures are in place for our Field Service
Engineers, while we continue to emphasize driver safety for
sales and service as well; in addition, we need to ensure that
we provide better guidance to our customers on instrument
waste issues as well as product safety
27
Thank you for
your attention!
Questions?