Driving Business Growth Through Good Safety Practices

Good safety is good business. This popular statement may be used a lot, but just ignored. It’s still true. Even simple improvements in safety can help boost competitiveness, increase profitability, and boost employee motivation.

Here are some impressive facts:

  • More than 60% of CFOs report that each (US)$1 invested in injury prevention returns (US)$2 or more.
  • Over 40% of CFOs surveyed, responded by saying productivity was the greatest benefit to creating a safer workplace.
  • Avoiding one workplace injury by investing in safety requirements can save a company (US)$37,000.
  • Each prevented worker fatality saves an employer approximately (US)$1,390,000

Making the Case for improved Safety Practices

Encouraging sufficient safety standards is a process that is becoming more important over time. Contingent workers are a vital requirement for many companies in the heavy industry and for some important reasons.

Some of the benefits involved include certain specialist skills, the cost of benefits, the ability to upscale faster, and far greater flexibility compared to a more traditional workforce approach.

But using contractors has its downsides. A key one is accountability. Owner of the companies are accountable for anything that happens on their worksites, including accidents and injuries. So, if a worker is injured on your site, you’re the one responsible.

Compared to full-time employees, contractors and temporary workers are more prone to an accident occurring and this can drive up the project costs, reducing overall profitability.

 

Benefits of Boosting Safety Practices

Using a contractor management software can improve worksite safety, meeting compliance requirements and reducing project costs, while lowering compensation costs. It can also help boost business growth.

However, selling the idea of a structured contractor management program to others in the company can be a challenge. Some others may not see the benefits of improving safety practices.

Below are six business benefits that can come from creating a contractor management program.

●       Increasing efficiency and productivity

A good contractor management software can provide a structured roadmap that can help you boost productivity and efficiency. Workers arrive on-site and are already pre-approved, pre-trained and skilled to start work on day one. Plus, it lets you customize online training so workers can complete forms and training that is relevant to them, using their native language.

●       Improving the effectiveness of safety training

The classroom approach to training can leave gaps that come back to haunt you later on. Initiafy’s online training is self-paced, allowing workers to reread or spend more time learning certain information, ensuring that no one is left behind. Quizzes at the end of each course chapter help improve retention rates. You can also customize your own training to include a mix of generic and site-specific content.

●       Helping to reduce compliance risk

Constantly changing environmental regulations increase the chance of non-compliance. This could result in heavy fines, penalties, and other financial losses for failing to comply with the law. Even if you make a good effort to meet legal requirements, you can still be held liable by the courts.

Integrating contingent workers into your system, is a huge problem when it comes to meeting these compliance requirements. An efficient contractor management software reduces the occupational health and safety risks involved with the hiring of contractors.

Using features such as Initiafy’s Traffic Light System, helps you to verify and approve the reliability of companies and their workers online. Workers can also self-register their qualifications, streamlining the induction process.

●       Helping to avoid project delays due to injury

Given the thin profit margins associated with heavy industry projects, the last thing anyone needs is an incident that delays a project, like a bad accident. This can drive up project costs and cause you to miss completion deadlines.

Implementing a contractor management program helps you cut project delays caused by accident or injury, so you won’t miss completion dates. Using the platform’s advanced features, like Access Control, helps gain control of what’s happening on your worksite.

Access Control links remote worker check-in/check-out to compliance validation. Workers can check into a worksite more quickly and easily with this feature but only if they meet mandatory requirements. Meanwhile, the platform’s Identify Capture feature helps to verify worker identity.

●       Lowering the costs of accidents and illnesses

Accident and compensations costs involved in heavy industry projects can slash a company’s profitability. However, medical expenses are only one of the major costs involved.

Other primary costs include:

  • Workers compensation insurance costs
  • Training replacement employees
  • Lost work time
  • Accident investigation

Improving safety training and safety standards helps reduce these costs by cutting down on workplace health and safety issues.

The initial effort to improve safety may increase costs in the short-term, but it lets workers know that safety is a top priority. That makes workers pay more attention to the safety practices imposed by companies on-site.

●       Demonstrating social responsibility

Savvy companies recognize the importance of image and reputation. However, the public expects large companies to display ever-increasing standards of corporate governance, such as the willingness to explain any future plans, admitting any risks which could occur. Investors and stakeholders expect the same thing.

Boosting Safety Practices Does Make Sense

Research shows that boosting workplace safety makes sense, even with a small improvement. Convincing others of the benefits involved can often be the primary challenge. Workers may not fully grasp the business benefits of safety improvement.

The benefits described above can help to explain the importance of a structured contractor management program. The platform is easy to learn and use, streamlines contractor management and reduces paperwork.

More importantly, encouraging safety practices reduces compliance risk, maximizes return on investment, and increases profitability—while providing a sustainable competitive advantage that rivals will find hard to beat. This can lift companies up to the next level, boosting business growth.

Using a contractor management software, powered by Initiafy’s SaaS platform, is a proven way to boost safety practices.  Easy to learn and use, this Initiafy platform plans and simplifies contractor management with less administration confusion, while reducing the costs involved.

Improving occupational health and safety:

  • Increases efficiency and productivity
  • Improves the effectiveness of safety training
  • Encourages compliance with any safety regulation
  • Lowers the costs of accidents and illnesses
  • Assists in the cutting of project costs
  • Demonstrates corporate responsibilities