10.19.2011

Innovations in EHS Auditing – Breakout Session at the 19th Annual NAEM Forum

EHS auditing is a dynamic process that requires stakeholder input for success. Speakers emphasized this point during a breakout session at the 19th Annual NAEM Forum, which focused on the innovative practices that several companies are using to deliver maximum effectiveness and efficiency.

The speakers presented highlights from the recent International Audit Protocol Consortium’s survey on EHS audit practices: roughly 60 percent of respondents indicated a high rating for detecting regulatory non-compliance; 50 percent for management system conformance; 50 percent for benefit of audit results to the audited operation; and less than 50 percent for benefit to external stakeholders.

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10.19.2011

Winston Keynote Speech at the NAEM Forum: Green Recovery – Get Lean, Get Smart, and Emerge from the Downturn on Top

The 19th Annual NAEM Forum began today with a morning keynote from Andrew Winston, co-author of Green to Gold.  He based his presentation on his most recent book, Green Recovery: Get Lean, Get Smart, and Emerge from the Downturn on Top. Some key points from his talk are below.

Winston argued that, though it may seem counterintuitive, these challenging times actually provide the perfect moment to double-down and invest in a strong sustainability program. This kind of program can be a catalyst for unbridled innovation. Forward-thinking leaders, he said, understand this and are acting accordingly.

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10.13.2011

Leveraging EHS/S Expertise for Non-financial Risk Management

Organizational risk management has evolved from a singular focus on financial risk to a broader perspective that includes enterprise-wide and non-financial risks. Approaches such as enterprise risk management, strategic risk management, and value risk management are morphing into an area called “non-financial risk management (NFRM).” A paradox in this arena is that even though risk management is important, it is fragmented, siloed, and poorly integrated in companies. NFRM frameworks are weak or non-existent.

A solution to this paradox can be found right down the hall in the EHS/S (environmental, health, safety, and sustainability) department. But because of the historic focus on regulatory compliance, the decades of risk-management experience that the EHS/S function has often goes unnoticed.

Click here to read full post on the NEAM Green Tie Blog.

10.13.2011

Evolving to Sustainability 4.0, Value Chain Indices, and EHS/S Support with Developing Dimensions of Measurement

Sustainability has evolved from a reactive and defensive endeavor to one that is generative and central to all aspects of business decisions. This was a clear message expressed throughout the recent CR Commit Forum.

Commonly used was the phrase, “Sustainability equals efficiency.” That is, organizations that have a strong sustainability perspective and culture also have improved efficiency, effectiveness, and profitability. Yvon Chouinard et al echoes this sentiment in “The Sustainable Economy” in the current issue of the Harvard Business Review, which presents four sustainability eras: sustainability 1.0. 2.0, 3.0, and ideas for sustainability 4.0, where “sustainability will simply be [come] how business is done.”

The ideas presented in “The Sustainable Economy” are important for EHS/S professionals to understand and embrace. For instance, the phenomena of creating a sector-specific Value Chain Index (VGI) is innovative, cutting-edge, and appears to provide a powerful way to catapult sustainability, not only in an organization, but also more broadly in a market sector. The authors outline a process that Chouinard’s company (Patagonia) and Walmart, with assistance from BluSkye (a strategy consultancy), used to develop a VGI for the Sustainable Apparel Coalition (SAC).

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9.23.2011

Safety and Environmental Management Systems (SEMS) in Oil, Gas and Sulphur Operations – New Federal Rule

In the aftermath of the Deepwater Horizon event in the Gulf of Mexico, the Bureau of Ocean Energy Management, Regulation and Enforcement (BOEMRE) has promulgated a regulation that requires operators of oil, gas, and sulphur in the Outer Continental Self to develop and implement a safety and environmental management system (SEMS).

The October 15, 2010 Federal Register announcement of this regulation indicates that the rule incorporates in its entirety and makes mandatory the American Petroleum Institute’s (API) Recommended Practice 75, “Development of a Safety and Environmental Management Program for Offshore Operations and Facilities.” The rule became effective on November 15, 2010. Read More

9.15.2011

The Era of Transparency and a Mandatory Reporting Trajectory Point to the Need for a Strong Risk Management Framework

In the sustainability and corporate social responsibility (CSR) “space” there is increasing pressure to report on triple-bottom-line issues through reporting frameworks, such as the GRI G3. There is a trajectory toward quasi-mandatory reporting by value-chain stakeholders and actual mandatory reporting by regulatory-bodies. Quasi-mandatory reporting is seen with the inclusion of GRI sustainability reporting as tracked by Bloomberg’s Index and other financial indices. Mandatory reporting is seen in South Africa, Denmark, and France. Read More

9.15.2011

EHS/S and Risk Management Challenges

As part of my research this summer on relationships between EHS/S and risk management, I interviewed a group of EHS/S and risk management executives about various aspects of their activities. Prior to the interviews, the interviewees were given the Redinger EHS white paper titled, “360 Vision for Environmental Health, and Sustainability: Anticipate and Avoid Black Swan Events.” A series of questions focused on the needs and challenges of EHS/S and risk management departments. Some of the responses included:

  • “I need to know as much as I can about the risks my company faces. I wrestle with having confidence that my team and I have a good understanding about risks that will bite us. I am not sure we have a good understanding about our EHS risks.” Read More
9.15.2011

Risk Management, EHS/S, Business Continuity, and the 360 Risk Management Check-Up™

It has been a while since I’ve posted. The  summer has been full, working on developing the 360 Risk Management Check-Up™, a high-level diagnostic to measure the EHS/S and risk management function in organizations. Associated with this work, I have been conducting research on the evolution of organizational risk management and growing attention on non-financial risk management (NFRM).

Organizational risk management (RM) concepts and practices have been evolving from a singular focus on financial risk to a more broad focus on enterprise-wide and non-financial risks. Approaches such as enterprise risk management, strategic risk management, value risk management, etc. have been evolving into what is being called NFRM. Read More

6.30.2011

Risk Management and Business Continuity with an Integrated Management System

In my previous post, I briefly discussed the integrated quality, safety, and environmental management system (QSEMS) at the Cannes Convention Center. The trend toward integrated management systems, including ISO’s movement toward a generic management system model for wide application, will provide a new tool for organizational risk management.

As evolved as risk management methods and models are, organizations struggle with integrating risk management practices. A silo phenomenon challenges risk managers as it has EHS managers for many years. In current non-financial risk management writings and research, the need for risk management integration and “silo-busting” is highlighted. An integrated risk management system can provide a way to bust silos in an organization. Read More

6.30.2011

Integrated Quality, Safety, and Environmental (QSE) Management System in the Hospitality and Convention Space

I have been seeing the increased use of integrated management systems in the hospitality and convention industries. While quality and environmental are most commonly combined, I was intrigued to see a report in the June 2011 issue of ISO Focus about the inclusion of health and safety in the Cannes Convention Center’s management system.

The Cannes Convention Center began to develop its integrated quality, safety, and environmental management system (QSEMS) in October 2008. The system incorporates ISO 9001, OHSAS 18001, and ISO 14001 and was certified in December 2009. With the integrated QSEMS in place, the center reports a reduction in its carbon footprint, a reduction in waste, and a reduction in water consumption. Read More

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