Management Procedure

HSE Performance
Monitoring Procedure

Implementation Date:

Revision: 0

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Revision History

Rev.
Date Summary of Revision
No.

0 First issue approved and authorized for use.

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Contents

Section Page No.

Approvals ......................................................................................................................................................................2
Revision History............................................................................................................................................................3
Contents ........................................................................................................................................................................4
1.0 Purpose ...........................................................................................................................................................5
2.0 Scope...............................................................................................................................................................5
3.0 References ......................................................................................................................................................5
4.0 Definitions and Abbreviations .......................................................................................................................5
5.0 Responsibilities ..............................................................................................................................................5
6.0 Procedure ........................................................................................................................................................5
6.1 General.............................................................................................................................................................5
6.2 Charter of HSE Objectives and Targets............................................................................................................5
6.3 Development of Objectives and Targets...........................................................................................................6
6.3.1 KPIs ..................................................................................................................................................................6
6.4 Development of HSE Management Program(s) ...............................................................................................6
6.4.1 HSE Impact Assessment ..................................................................................................................................7
6.4.2 Environmental Monitoring Programs.................................................................................................................7
6.5 Monitoring Project Activities..............................................................................................................................7
6.5.1 Health and Safety .............................................................................................................................................7
6.5.2 Environmental Monitoring Programs.................................................................................................................7
6.6 Monthly Reports ...............................................................................................................................................7
7.0 Records ...........................................................................................................................................................7
8.0 Appendix .........................................................................................................................................................8

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1.0 Purpose

This Procedure describes the requirements on setting, communicating and measuring HSE
performance by establishing agreed targets and using Key Performance Indicators to measure against
them.

2.0 Scope

This procedure is applicable for all projects.

3.0 References

HSE Risk Management Procedure

Legal Compliance Procedure

4.0 Definitions and Abbreviations

HSE Health, Safety and Environmental Responsibilities

KPI Key Performance Indicator

Lag Indicator Measures focusing on results at the end of a time period,

normally characterizing historical performance.

Lead Indicator Measures that ‘drive’ or lead to the performance of lag

measures, normally measuring intermediate processes and
activities.

MSL Management System Leaders represented by Business

Systems Manager and the QHSE Director at the corporate
level.

5.0 Responsibilities

- Project Maager

- MSL

- Project HSE Officer

- Monitoring Personnel

6.0 Procedure

6.1 General

Company seeks to develop, then measure itself against, meaningful and relevant HSE objectives and
targets for all of its operations in accordance with its QHSE Policy and the determined HSE
requirements of specific activities.

6.2 Charter of HSE Objectives and Targets

a) A documented charter of HSE objectives and targets shall be maintained for each Operating
Project. The objectives and targets shall be consistent with the HSE Policies and procedures
and assimilate to the business objectives.

b) All objectives and targets shall be expressed in measurable and relevant key performance
Indicators which shall contain a balance of Lead and Lag indicators.

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6.3 Development of Objectives and Targets

a) MSL shall ensure that documented objectives and targets are developed and maintained at
Project level by the Project Director.

b) The Project Director may choose to add additional objectives, targets and their KPIs as are
relevant to the particular project’s needs.

c) The Project Director and the Project HSE Manager shall ensure that the following are
considered during the initial development and review of the project’s HSE objectives:

i. Legal and other requirements in accordance with HSE Legal Compliance Procedure;

ii. Significant HSE risk factors as determined using HSE Risk Management Procedure.

iii. Technological options;

iv. Financial, operational and business objectives;

v. Views of interested parties.

d) The Project HSE Officer shall also ensure that objectives and targets are consistent with
QHSE policy, including the commitment to prevent pollution.

e) The objectives and targets need to be SMART:

i. Specific;

ii. Measurable;

iii. Achievable;

iv. Realistic;

v. Time-Bound.

6.3.1 KPIs

a) Key Performance Indicators shall be selected to measure the salient features making up the
HSE objectives and targets.

b) They need to be clear, relevant and measureable.

6.4 Development of HSE Management Program(s)

a) In order to achieve the agreed objectives and targets, the Project HSE Officer shall develop an
HSE Management Program(s).

b) The Project Manager, together with the Project HSE O f f i c e r shall ensure that there is an
appropriate designation of responsibility for achieving objectives and targets at each function
and level of the project. Also included shall be the means by which they are to be achieved,
the KPI’s to measure progress and the time frame.

c) If a project involves a new development and/or new or modified operations, the MSL shall
ensure that the relevant program(s) are amended accordingly.

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6.4.1 HSE Impact Assessment

Once the HSE risk assessment has been conducted according to procedure HSE Risk
Management, the key factors that have significant impact on the Project shall be determined and
shall be included in the Project HSE Plan. This is particularly important with Environmental issues
in the preparation of Environmental Impact Statements.

6.4.2 Environmental Monitoring Programs

a) Before work commences on the project, the Project HSE Manager shall establish the
required baseline monitoring programs on the determined key factors.

b) The Project HSE Manager shall ensure the execution of these programs to determine
environmental baseline performance for use as the project’s environmental performance
benchmark or control limit. Control limits shall be consistent with those specified in the
relevant environmental legislation and other related environmental requirements.

c) Based on baseline monitoring results and/or related legal requirements, the Project HSE
Manager shall develop a monitoring plan by means of a Project Instruction, or other
appropriate means as specified in the Project Environmental Management Plan.

6.5 Monitoring Project Activities

a) The project Director shall ensure that all staff is aware of the importance of monitoring and
measuring the Project’s HSE performance. They shall make adequate resources available to
allow this to happen effectively.

b) The MSL shall ensure that clear and precise goals are established at each project and that the
measurement process is understood and adequately resourced.

6.5.1 Health and Safety

The Project HSE Manager shall establish a system to collect, collate and measure performance and
report on the project’s Health and Safety programs.

6.5.2 Environmental Monitoring Programs

a) Once work has commenced on the project, the Project HSE Manager shall appoint
competent internal and/or external monitoring personnel and shall ensure monitoring is
conducted as planned.

b) All data and monitoring records shall be submitted to the Project HSE Manager after every
monitoring event by monitoring personnel.

c) The Project HSE Manager shall analyze the monitoring results to assess compliance with
legal and environmental requirements, including trend analysis where appropriate.

6.6 Monthly Reports

Details of project specific objectives and targets and the status of HSE Management Program(s) shall
be reported monthly using the agreed KPIs.

7.0 Records

Project HSE Plan

Project Environmental Management Plan

HSE Management Program

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8.0 Appendix

Appendix A – Health and Safety KPIs

Appendix B – Environmental KPIs

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Appendix A

Health and Safety KPIs

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Appendix – A Health and Safety KPIs

Lag Indicator Acronym Unit of Measure

Fatalities - Units

6
Class PD 1 Frequency Rate PDC1 FR (No. of PDC1 Incidents / Hrs Worked) x 1 x 10

6
Class PD 2 Frequency Rate PDC2 FR (No. of PDC2 Incidents / Hrs Worked) x 1 x 10

6
Class PD 3 Frequency Rate PDC3 FR (No. of PDC3 Incidents / Hrs Worked) x 1 x 10

Lost Time Injury Frequency 6

LTIFR (No. of Lost Time Injuries / Hrs Worked) x 1 x10
Rate

Average Lost Time Rate ALTR No. of Lost Time Days / No. Of LTIs
6
Severity Rate SR (No. of Lost Time Days / Hrs Worked) x 1 x10

Total Recordable Injury 6

TRIFR (PDC1 + PDC2 / Hours Worked) x 1 x10
Frequency Rate

((PDC1+PDC2+PDC3+NIIC1+NIIC2+NIIC3) / Hrs
Total Incident Frequency Rate TIFR 6
Worked) x 1 x10

No. Of Breaches / Notices - Units

% Close out of Incident Alerts - (Closed Incident Alerts / Total Incident Alerts) x 100

% Of projects with a Level 1

- (Projects with level 1 Audits / Total Projects) x 100
Audit Conducted Monthly

No. of Inductions and

- Units
Attendees

No. of Toolbox Talks - Units

No. of JSEA’s - Units

No. of HSE Inspections - Units

New Procedures / Project - Units

Instructions

No. of Hazards Reported / - Units

Closed Out

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Definition:

Class 1 Personal Damage (PDC1): Damage which permanently alters the future of an
individual e.g. fatality, quadriplegia, paraplegia, permanent
back damage and psychological damage.

Class 2 Personal Damage (PDC2): Damage which temporarily alters a person’s future,
resulting in an LTI, AWI or MTI

Class 3 Personal Damage (PDC3): Damage which inconveniences a person resulting in

first aid treatment only

Class 1 Non-Injury Incident (NIIC1): Incident that could have resulted

in Class 1 Damage Resulting from a near miss
personal damage

Class 2 Non-Injury Incident
Class 3 Non-Injury Incident
(NIIC2): Incident that could have resulted incident, caused by,
plant/equipment, explosion,
in Class 2 Damage
fire uncontrolled release of liquid
(NIIC3): Incident that could have resulted or gas, breakage, electrical etc.
in Class 3 Damage

Lost Time Injury (LTI): An work injury or disease resulting in a fatality, permanent disability or time lost
from work of one or more complete days or shifts, following the day or shift of the incident.

Alternate Work Injury (AWI): A work injury where an injured person is unable to perform their usual duties
and performs alternate and/or restricted duties for at least one full shift, following the day or shift of the
incident.

Medical Treatment Injury (MTI): A work injury that requires treatment which is beyond the scope of first aid
treatment, but does not result in an LTI or AWI

First Aid Injury (FAI): A work injury that is treated by the first aid attendant and the person resumes normal
duties.

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Appendix B

Environmental KPIs

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Appendix B - Environmental KPIs

Lag Indicator Acronym Unit of Measure

Level 1 Incidents - Units

Level 2 Incidents - Units

No. of Breaches / Notices - Units

No. of Public Complaints - Units

6
Environmental Incident EIFR (No. of Level 1 and 2 Incidents / Hrs Worked) x 1 x 10
Frequency Rate
6
Environmental Incident Rate EIR (No. of Level 1, 2 and 3 Incidents / No. of W orkers) x 1 x 10

% Of projects with a Level 1

- (Projects with level 1 Audits / Total Projects) x 100
Audit Conducted Monthly

% Of projects with Level 1

(Projects with level 1 & 2 Audits > 80% / Total Projects) x
and 2 Audits with scores -
100
greater than 80%

Definitions:

Environmental Incident Frequency Rate (EIFR): is the frequency of the number of environmental
incidents (Level 1 & 2) in the period.

Environmental Incident Rate (EIR): is the number of environmental (EIR) incidents for each one hundred
workers employed.

Level 1 – High severity (actual or potential) environmental incidents

Refer to HSE Risk Management.
Level 2 – Medium severity (actual or potential) environmental incidents

Level 3 – Low severity (actual or potential) environmental incidents

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