The Occupational Safety and Health Scorecard – a business case example for strategic management

Abstract

Objective Human resources and health issues are crucial in terms of corporate competitiveness. However, systematic, continuous and strategically aligned occupational safety and health (OSH) management is scarcely applied in companies. One major reason for this could be the lack of generally accepted and standardised OSH control methods. Our objective was thus to conceptualize a method by which qualitative factors such as human resources and OSH aspects contribute to the performance or value-added layer of an organization. Methods We developed a business case based on the well-known and accepted Balanced Scorecard approach, which we adapted and applied to the management of OSH issues. The concept was implemented in the course of a comprehensive case study at a German automobile manufacturer. We gathered health as well as finance data in order to test which health-related indicators had an impact on financial performance. The demonstration of, and reporting on, how the promotion of workplace health contributes strategically to the organization is crucial for both health and human resource managers. Results Based on multivariate regression analyses, our main finding was that the Balanced Scorecard approach is an adequate means to control OSH issues in terms of strategic health management. Our analyses demonstrated that health-related interventions contribute significantly to performance aspects such as quality, productivity, absenteeism, and cost reduction. Therefore, the financial impact of health-related aspects / interventions could be demonstrated by means of the OSH scorecard. Conclusions The availability and quality of health data within the context of overall corporate performance data needs to be improved in order to bridge the OSH-related and performance issues of an organization.

Work Health and Safety, Competitive Advantage, and Organisational Performance in Small Construction Firms: Research Proposal

“…The fact that small firms constitute 96% of the construction industry means that small firms are faced with the problem of having the highest rate of accidents in the construction industry. This situation according to Koper, Moller, & Zwetsloot (2009) impacts negatively on the physical, mental and social wellbeing of employees, increase cost of production, make firms less competitive, and reduce small construction firms' profitability, growth, and contribution to the Australian economy. O'Toole (2002) argues that management commitment to WHS plays a key role in the successful development and implementation of safety programs and improving safety performance, which has a positive relationship with competitive advantage and overall organisational performance (Rechenthin, 2004).…”

Developing guidelines for good practice in the economic evaluation of occupational safety and health interventions

“…Consequently, good practice might include reporting consequences in multiple ways, particularly in cases where important outcomes (eg, health, worker morale, job satisfaction, health perceptions, product/ service quality, and client relations) are difficult to monetize. A recent case study demonstrated that OSH interventions can contribute significantly to various performance outcomes (17).…”

Work Health and Safety in Small Business-A Pilot Study in the Australian Construction Industry

“…Small business contributes significantly to this statistics as it constitutes 96% of the total number of business that operate within the construction industry (Australia Parliament House (APH), 2016). This situation according to Koper, Moller and Zwetsloot (2009) impacts negatively on the physical, mental and social wellbeing of employees, increase cost of production, and make firms less competitive.…”