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“Hazard Identification,
  A Small Operators ......ROI.”
= (ROI) Return On Investment
   Presented By:

   Robert Gallagher, ATP, IRCA.
   Dir. Systems Safety/CCP
   Skyline Helicopters Ltd.



                                  
Agenda
   Overview of Risk and Hazard Relationship
   Looking at your Risk Picture
   Recognizing and Managing Risk
   Hazard Register/Safety Case/Risk Assessment
   Risk Value and relationship with your business (ALARP)
   Risk Ownership
   Evaluation against current Industry Best practices. 
Skyline Helicopters Ltd
• 5 Bell 212 HP
• 2 Agusta 119 (Koala)
• 30+ Employees
• 4 Bases
• Agusta Service Centre
Safety Management Systems and our 
                understanding of what it means…..


 Integrated Safety Management Systems proactively improve our resilience against 
  disruptions in our business while actively managing risk in all levels of the company. 

 Skyline focuses our business model to co manage its operations through our SMS 
  allowing synergy and safety performance at all levels of our company. 

 From operating the forklift on the hangar floor to a major flying project, risk is 
  managed all the way through the action plan from logistics, operations ,maintenance 
  to finance. 

 Safety is engineered into every aspect of our Risk Picture, minimizing our Hazards and 
  probability of a loss
Understanding Risk and its relationship with our 
                              business….Hazard Management



•   While the general business performance and continuity of our operation is subject to a range of 
    positive measures, Risk management is too often only measured in a negative performance 
    outcome such as an incident or accident

•   Hazard management differs from many areas measured by managers because success results in 
    the absence of an outcome (incident or accident) rather than a presence. 

•   Integrated Safety Management and the use of Hazard identification allows us to manage risk as it 
    applies to all of our business. 

•   We actively use Key Performance indicators, Risk Assessment tools, hazard registers and safety 
    cases which allow us to benchmark and forecast trends and affect change within our culture before 
    they develop into an incident or accident (LOSS). 

•   Hazard Management highlights high risk areas and allow us to navigate and introduce controls to 
    protect against losses. 
Collective team work to Manage Hazards
                    Management Oversight

              Maintenance                  Hazard
       Helicopter

Flight Crew
Risk Picture and the tendency for 
                                  DRIFT
 Tier 2 Escalation Hazards
       Real Safety Boundary
            (Invisible)                       Boundary to
Hazard Register Allows you to MAP it!     Economic Failure


     Accidents
         Wildcards


                                            Boundary to
                                          Unacceptable
                                              Workload

             Tier 1 Hazards
            Boundary Defined
               By Official
             Work Practices
Where do we find the Hazards….?


                  •People

                  •Assets (Equipment)

                  •Technology

                  •Data Loss (Business continuity)

                  •Customers

                  •Financial (Market Saturation, effect margins)

                  •Environmental

                  •Wild Cards (Things do didn't think of)
How do we identify them?


           • Hazard      List/Registers
           •Identifying Critical Operations
           (Hydro Work)

           •Identify Critical positions (Pilot &
           Linemen)


           •Identify Critical tasks (Attaching
           spacer to the power pole)
How do we Rank them in order of 
importance….? How is it going to 
    effect our bottom line?
Hazard Register

 The following diagram below illustrates our hazard 
  register and applicable actions highlighted within our 
  safety case. 
    RA     Hazardous Event         Hazard        Location        Potential        Initial Risk
     #                                                         Consequences


    8.   Inadvertent release of   Aircraft in        C        Possible Damage         15
         long line and or load.    Motion       (In Flight)   Single Fatalities
Hazard Register

Now that we Know What the 
problem is, where it is likely to 
occur, who will be responsible 
for it when it does occur. 

We can ask our selves how do 
we prevent it from happening.


It Starts to look like a MAP………
Bow‐Tie 
Risk Assessment Tools
Hazard Register

 The Hazard has been identified and controls put in
     place, now the work begins....Training, SOP’s,
     Quality Assurance, Follow-up to close the loop.

RA    Hazardous Event       Hazard       Location     Potential    Initial    Control/EOC       RRS
 #                                                  Consequences    Risk


8.   Inadvertent release   Aircraft in      C         Possible      15            Fleet         12
     of long line and or    Motion                    Damage                 Standardization/
                                                                                Enhanced
            load.                                      Single
                                                                             SOP/line check
                                                      Fatalities
                                                                               and training
 Controls are introduced to reduce the final
   risk value to ALARP (As Low As Reasonably Practical)
   to all parties who own the Risk.


                          Risk= Probability X Severity
                                          1 st
                                                                                                2nd
                                       Mitigation
                                                                                            Mitigation
                                        control
                                                                                             control


                                           Emergency Procedures Training




                                                                                                 ABS Bundling Procedures
                                                                                                                               Operation
              High priority                                                     Manage                                          Safe to
Hazard   15                                                                12   Responses                                  6
              Urgent Action required
                                                                                                                                continue
“We Can’t solve problems by using the same 
    kind of thinking we used to create them”.
                                     A . Einstein




                                  Hazard
                                    Identification
                                  SMS

                                  Safety Cases

Some Hazards Should be obvious    Aviation Risk Assessments

                                  LOSA (Line Oriented Safety Audits)
ROI (Return on Investment)


Forcasted
hrs                                              Ground Crew Interface TRIF / 100000 FLT HRS
              Crew Interface  Incidents
               Total Recorded Ground 




                                          0.6
                frequency / 100000 Hrs



Total                                     0.5
Ground
Crew TRIF                                 0.4
                                          0.3                                                  0.19              0.15
Hours flown                               0.2
                                          0.1
                                           0
2008 TRIF                                          2007     2008      2009     2010   2009 TRIF Target 2010 TRIF Target
Target
                                                                                                         YEARS


   As utilization is forecast to increase we see positive trends in safety 
performance. This translates to an overall reduction in probability of those 
     Hazards developing into incidents which increases profitability.
1.    Loss of
                            Confidence
                            (Reputation)
                       2.   Accidents
                       3.   Incidents
                       4.    Lost Business




1.   Customers
2.   Staff
3.   Equipment
4.   Repeat Business
The Big Picture….
Co‐Manage your Hazards
                   Frontline
                   Workers



                 Identification


                 Accountability


              Response management
  Customers                          Management

               Mitigation Controls



                Safe Operations




                        Regulator
Establishment of Industry best
          Practices

                         Representing 248 Member Companies Comprising
                         9 Committees
                         • Helicopter Operators
                         • Aircraft Manufacturers
                         • Engine Manufacturers
                         • Support Industry Partnerships
                         • Association Partnerships
                         • Federal Lobbying Representation in Ottawa and
                         Washington

    Industry Best Practices: Already contain focused Hazard Registries

                       http://www.h-a-c.ca/
KISS 
         (Keep it Simple Silly!)
Whether you’re a One man show or a complex multi‐tiered 
                      Organization


                      SMS
            Safety Made Simple 
               Should always be the goal!!
A Global effort....
IHST Stated Safety Goal




Consistent with the IHST goal of reducing the current helicopter
                     accident rate by 80%.


    http://www.ihst.org/Default.aspx?tabid=2663&language=en-US

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Tc Sms 09

  • 1. “Hazard Identification, A Small Operators ......ROI.” = (ROI) Return On Investment Presented By: Robert Gallagher, ATP, IRCA. Dir. Systems Safety/CCP Skyline Helicopters Ltd. 
  • 2. Agenda  Overview of Risk and Hazard Relationship  Looking at your Risk Picture  Recognizing and Managing Risk  Hazard Register/Safety Case/Risk Assessment  Risk Value and relationship with your business (ALARP)  Risk Ownership  Evaluation against current Industry Best practices. 
  • 3. Skyline Helicopters Ltd • 5 Bell 212 HP • 2 Agusta 119 (Koala) • 30+ Employees • 4 Bases • Agusta Service Centre
  • 4. Safety Management Systems and our  understanding of what it means…..  Integrated Safety Management Systems proactively improve our resilience against  disruptions in our business while actively managing risk in all levels of the company.   Skyline focuses our business model to co manage its operations through our SMS  allowing synergy and safety performance at all levels of our company.   From operating the forklift on the hangar floor to a major flying project, risk is  managed all the way through the action plan from logistics, operations ,maintenance  to finance.   Safety is engineered into every aspect of our Risk Picture, minimizing our Hazards and  probability of a loss
  • 5. Understanding Risk and its relationship with our  business….Hazard Management • While the general business performance and continuity of our operation is subject to a range of  positive measures, Risk management is too often only measured in a negative performance  outcome such as an incident or accident • Hazard management differs from many areas measured by managers because success results in  the absence of an outcome (incident or accident) rather than a presence.  • Integrated Safety Management and the use of Hazard identification allows us to manage risk as it  applies to all of our business.  • We actively use Key Performance indicators, Risk Assessment tools, hazard registers and safety  cases which allow us to benchmark and forecast trends and affect change within our culture before  they develop into an incident or accident (LOSS).  • Hazard Management highlights high risk areas and allow us to navigate and introduce controls to  protect against losses. 
  • 6. Collective team work to Manage Hazards Management Oversight Maintenance Hazard Helicopter Flight Crew
  • 7. Risk Picture and the tendency for  DRIFT Tier 2 Escalation Hazards Real Safety Boundary (Invisible) Boundary to Hazard Register Allows you to MAP it! Economic Failure Accidents Wildcards Boundary to Unacceptable Workload Tier 1 Hazards Boundary Defined By Official Work Practices
  • 8. Where do we find the Hazards….? •People •Assets (Equipment) •Technology •Data Loss (Business continuity) •Customers •Financial (Market Saturation, effect margins) •Environmental •Wild Cards (Things do didn't think of)
  • 9. How do we identify them? • Hazard List/Registers •Identifying Critical Operations (Hydro Work) •Identify Critical positions (Pilot & Linemen) •Identify Critical tasks (Attaching spacer to the power pole)
  • 11. Hazard Register  The following diagram below illustrates our hazard  register and applicable actions highlighted within our  safety case.  RA Hazardous Event Hazard Location Potential Initial Risk # Consequences 8. Inadvertent release of Aircraft in C Possible Damage 15 long line and or load. Motion (In Flight) Single Fatalities
  • 14. Hazard Register  The Hazard has been identified and controls put in place, now the work begins....Training, SOP’s, Quality Assurance, Follow-up to close the loop. RA Hazardous Event Hazard Location Potential Initial Control/EOC RRS # Consequences Risk 8. Inadvertent release Aircraft in C Possible 15 Fleet 12 of long line and or Motion Damage Standardization/ Enhanced load. Single SOP/line check Fatalities and training
  • 15.  Controls are introduced to reduce the final risk value to ALARP (As Low As Reasonably Practical) to all parties who own the Risk. Risk= Probability X Severity 1 st 2nd Mitigation Mitigation control control Emergency Procedures Training ABS Bundling Procedures Operation High priority Manage Safe to Hazard 15 12 Responses 6 Urgent Action required continue
  • 16. “We Can’t solve problems by using the same  kind of thinking we used to create them”. A . Einstein  Hazard Identification  SMS  Safety Cases Some Hazards Should be obvious  Aviation Risk Assessments  LOSA (Line Oriented Safety Audits)
  • 17. ROI (Return on Investment) Forcasted hrs  Ground Crew Interface TRIF / 100000 FLT HRS Crew Interface  Incidents Total Recorded Ground  0.6  frequency / 100000 Hrs Total  0.5 Ground Crew TRIF 0.4 0.3 0.19 0.15 Hours flown 0.2 0.1 0 2008 TRIF 2007 2008 2009 2010 2009 TRIF Target 2010 TRIF Target Target YEARS As utilization is forecast to increase we see positive trends in safety  performance. This translates to an overall reduction in probability of those  Hazards developing into incidents which increases profitability.
  • 18. 1. Loss of Confidence (Reputation) 2. Accidents 3. Incidents 4. Lost Business 1. Customers 2. Staff 3. Equipment 4. Repeat Business
  • 19. The Big Picture…. Co‐Manage your Hazards Frontline Workers Identification Accountability Response management Customers Management Mitigation Controls Safe Operations Regulator
  • 20. Establishment of Industry best Practices Representing 248 Member Companies Comprising 9 Committees • Helicopter Operators • Aircraft Manufacturers • Engine Manufacturers • Support Industry Partnerships • Association Partnerships • Federal Lobbying Representation in Ottawa and Washington Industry Best Practices: Already contain focused Hazard Registries http://www.h-a-c.ca/
  • 21. KISS  (Keep it Simple Silly!) Whether you’re a One man show or a complex multi‐tiered  Organization SMS Safety Made Simple  Should always be the goal!!
  • 22. A Global effort.... IHST Stated Safety Goal Consistent with the IHST goal of reducing the current helicopter accident rate by 80%. http://www.ihst.org/Default.aspx?tabid=2663&language=en-US