Newmont regularly measures its HSLP performance to ensure continuous improvement against planned and actual outcomes. Measurement and reporting indicators are critical drivers in any HSLP Management System. The work culture of the Company, defined as Safe Production, is directly influenced by what is measured and reported. As a measure of HSLP performance Newmont monitors against defined lead and lag indicators to assess the overall HSLP effectiveness, performance, and Safe Production.
Leading Indicators
Leading indicators are designed to drive and measure activities which are carried out proactively to control and prevent illness and injury, loss to property and process. Leading indicators when measured and monitored provide effective information that enables the design and implementation of intervention strategies to address negative trends and loss events. The primary administrative process to measure agreed metrics for Newmont is through conformance with our HSLP Management System.
Newmont’s HSLP Management System consists of Management Standards (based on the principles of quality systems) in addition to Technical Standards that address key risk areas for mining and mining related activities. These standards are adopted across all Newmont operations and are assessed annually by external auditors for conformance against these standards.
In preparation to transition this annual assessment/audit process of our HSLP Management System, from a Five Star rating to an internationally recognized Occupational Health and Safety Audit System (OHSAS 18001), the HSLP Global Team conducted a critical review of the HSLP Management Standards. Communications and actions for this transition are underway through 2007, working toward plans for Regional external certification.
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Lagging Indicators
Lag indicators provide one measure of information to the Company around undesired events that resulted in harm to people and/or loss of process and property. This data indicates the distance between historic and current loss performance and helps reignite our passionate belief that ALL INJURIES ARE PREVENTABLE. Lag indicators do not proactively measure the effectiveness of a management system. They are not necessarily an indicator of information to encourage people to take sustainable actions for their day to day health and safety. Lastly, they do not foster our belief that Safety is a Value and that excellence in safety represents the Way Things are Done Around Here.
The frequency of injuries (employees and contractors) is used as one measure of safety and health performance. Newmont applies a workplace injury classification that includes lost time injuries, restricted work injuries, medical treatment injuries, and total reportable injuries. The frequency rate of each injury type is calculated by multiplying the number of injuries by 200,000 and dividing by the total number of exposure hours or hours worked by employees and contractors. The 200,000 multiplier is equivalent to a company with 100 employees, each working 2,000 hours in a calendar year.
Performance
Newmont’s group wide year-to date performance in each of the injury classifications for 2007 is indicated below.
Newmont’s Lost Time Accident Frequency Rate (LTAFR) decreased by approximately 9% in 2007 from the previous year. There was a total of 45 Lost Time Accidents compared to 51 in 2006. In 2007, Newmont reported approximately 87.2 million exposure hours compared to 88.9 million in 2006.
| Lost Time Accident Frequency Rate 2004 - 2007 | |||
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| 2004 | 2005 | 2006 | 2007 |
Newmont’s Total Reportable Accident Frequency Rate (TRAFR) also decreased by approximately 9% in 2007 to 0.84. The total number of reported personal injuries decreased from 407 in 2006 to 366 in 2007.
| Total Reportable Accident Frequency Rate 2004 - 2007 | |||
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| 2004 | 2005 | 2006 | 2007 |
Newmont has developed indices to measure and drive performance against a set of six strategic HSLP Success Factors. The Success Factors have been defined as:
- Leadership - Consistent application of the Newmont Safety Principles and demanding health safety and loss prevention leadership in all employees.
- Involvement – Communicate and involve all employees and contractors in understanding and application of our HSLP Values, Policy, and practices.
- Roles and Responsibilities – Assign clear roles and responsibilities for all Newmont employees that identify measurable objectives that drive continuous improvement.
- Systems - Implement and maintain a One Newmont HSLP Management System that identifies, assesses and effectively controls HSLP risks to employees, contractors, and any potential for risk to communities near Newmont operations
- Impacts – Protecting our people, Continuous Improvement processes, facilities, and profits to distinguish Newmont as the industry leader by its employees, peers, and the communities in which we work.
- Monitor - The performance of Newmont facilities will be periodically reviewed by internal and external sources to ensure that the organizational vision is achieved. Our performance will be reported publicly on an annual basis.
