PR Newswire
20 Oct 2022, 18:33 GMT+10
Data from Sphera's latest Safety Report reveals a persistent gap between the intent and reality of process safety management, while ESG is a growing consideration for PSM and ORM professionals
CHICAGO, Oct. 20, 2022 /PRNewswire/ -- While there has been continued expansion of corporate ESG efforts, and most companies have embraced safety as part of their corporate culture, there are still shortcomings to address in improving process safety performance, Sphera's new 2022 Safety Report reveals.
Sphera, a leading global provider of Environmental, Social and Governance (ESG) performance and risk management software, data and consulting services, surveyed 280 process safety and operational risk management professionals from around the world on the current state of process safety management (PSM) and operational risk management (ORM). Results show that 69% of respondents indicate there is a gap between their companies' process safety goals and process safety as they experience it. This is a significant increase from the 2021 survey, in which 21% of respondents reported a gap between safety intent and the reality of what happens. The finding that only 67% of safety-critical maintenance is achieved in a typical month illustrates the disconnect between intent and actuality.
Persistent challenges, such as limited resources and limited budgets, could at least partially account for the widening gap. Trends such as The Great Resignation could also be a contributing factor, because process safety may be compromised when employees leave and their expertise is lost.
The top three challenges identified by respondents as hindering effective PSM are management challenges (46%), training and competency (45%) and insufficient engagement of the front lines to improve awareness (34%). Respondents indicated that the top three key safety performance drivers are reducing operational and major accident hazard (MAH) risk exposure (66%), operational excellence (57%) and regulatory compliance (49%).
For seven years, Sphera's annual Safety Report has examined the current state of PSM and ORM in the context of global events and macroeconomic trends. Respondents came from several global industries, such as Manufacturing, Oil and Gas, Chemicals/Petrochemicals, Energy, Construction and Engineering.
The adoption rate of technology solutions is identified as a particular area for improvement in the Safety Report. Virtually all respondents (96%) said that technology enables effective PSM and ORM. However, adoption rates don't yet reflect the perceived value, with only 11% of respondents indicating that their company utilizes the full range of technology solutions available. A number of factors, such as lower maturity levels and the challenges involved with connecting disparate systems and data, could be attributed to this slow rate of adoption.
"The 2022 Safety Report reveals a persistent gap between process safety goals and reality, and the disconnect between awareness and adoption of technology solutions is an additional hurdle for organizations to overcome," said Scott Lehmann, Sphera's vice president of product management for operational risk management. "Technology that provides real-time data and actionable risk assessments can help connect the dots across the organization to reduce the gap and drive safety improvement efforts. Relying on a range of tools for compliance and improved, predictive decision-making can help businesses keep their people safe and operations productive."
Safety is the foundation of any strong organization, and PSM and ORM play a vital role in a company's ESG performance. Within the context of the ESG framework, PSM is about keeping people-and the communities in which businesses operate-safe. For the first time in the Safety Survey, PSM and ORM professionals were asked where PSM fits within their company's ESG program. While an overwhelming majority (87%) said PSM does fit into their company's ESG efforts, there is some slight division over which aspect of ESG-environment, social or governance-applies most clearly to their PSM program. However, when asked which impact scenarios are the most concerning for their business, 71% of respondents said environmental impact scenarios.
"It has become increasingly clear that ESG is no longer a nice-to-have, but a must-have," added Paul Marushka, Sphera's CEO and president. "A company's risk mitigation efforts are intrinsically tied to ESG performance, and operationalizing ESG across the organization will drive informed decision-making and help PSM and ORM professionals manage and reduce ESG risk."
Sphera surveyed 280 process safety and operational risk management professionals on the current state of PSM and ORM within their organizations for the 2022 Safety Report. Respondents came from several global industries, such as Manufacturing, Oil and Gas, Energy, Chemicals/Petrochemicals, Construction and Engineering, among others.
Sphera is the leading provider of Environmental, Social and Governance (ESG) performance and risk management software, data and consulting services focusing on Environment, Health, Safety & Sustainability (EHS&S), Operational Risk Management and Product Stewardship. For more than 30 years, we have served over 6,700 customers and a million-plus users in 80 countries to help companies keep their people safe, their products sustainable and their operations productive. Learn more about Sphera at www.sphera.com. Follow Sphera on LinkedIn.
For media inquiries, please contact:
Astrid Dickinson
[email protected]
SOURCE Sphera
Get a daily dose of Asia Pacific Star news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Asia Pacific Star.
More InformationSEOUL, South Korea: South Korea's upcoming presidential election has turned into a messy battle full of personal insults and scandals...
TOKYO, Japan: Toyota has announced that it will take one of its key group suppliers, Toyota Industries, private in a deal worth UD$26...
SINGAPORE: On May 31, U.S. Defense Secretary Pete Hegseth told America's Indo-Pacific allies that they would not be left alone to deal...
NEW DELHI, India: India's economy hit a four-year low of 6.5 percent, lifted by an impressive fourth-quarter growth at 7.4 percent....
DUBLIN, Ireland: TikTok is asking the High Court to stop a decision that could block the transfer of user data to China within six...
SEOUL, South Korea: On May 30, South Korea's leading left-wing presidential candidate, Lee Jae-myung, said he wants to change the Constitution...
TOKYO, Japan: Toyota has announced that it will take one of its key group suppliers, Toyota Industries, private in a deal worth UD$26...
NEW YORK, New York - U.S. stocks fell Thursday after the feud between U.S. President Donald Trump and his biggest backer Elon Musk...
SYDNEY, Australia: Australia's independent wage-setting body, the Fair Work Commission (FWC), has announced a 3.5 percent increase...
MOUNTAIN VIEW, California: To settle a major shareholder lawsuit, Google is writing a US$500 million check — not for damages, but to...
MADRID, Spain: Spain's push to curb short-term tourist rentals is being outpaced by the market's explosive growth, new data shows —...
NEW YORK, New York - U.S. stocks were mixed Wednesday as investors and traders grappled with the ADP report, which revealed payrolls...