In 1985, aluminum manufacturing company Alcoa was relatively unremarkable. Yet, between 1986 and 2000, its market value increased from $3 billion to $27.5 billion.
[Note – this post is an oldie but goodie – it’s a great case study that still rings true today. Enjoy!]
O’Neill believed that in order to be a world-class company, Alcoa first needed to be the safest. His goal of achieving zero workplace injuries opened a floodgate within the company, increasing productivity, empowering and motivating workers, and increasing its net income five times over.
What made O’Neill’s employee compliance and safety plan so wildly successful? As we can see fromhe gave, one factor was that he “started with why.” As we’ve written before, helping employees understand the rationale behind a policy can go a long way towards
His other big change had to do with keeping strict timetables on reporting injuries. And now thanks to the’s (OSHA) recent recordkeeping rule, many more companies will be taking a step in that same direction.
O’Neill believed that in order to be a world-class company, Alcoa first needed to be the safest.
What OSHA’s Change Means
As of January 1, 2015, an expanded list of industries must report work-related fatalities to OSHA within 8 hours, and work-related in-patient hospitalizations, amputations, or losses of an eye within 24 hours.
OSHA expanded its list based on updated numbers from the Bureau of Labor Statistics that highlight industries with more risk. Put simply, industries with more fatal and severe work-related injuries must keep more diligent records in order to comply with these new standards.
Whilecan be high, workforce compliance is about more than following rules and regulations simply to avoid penalties.
As Paul O’Neill and Alcoa proved so well, there’s a direct connection from compliance related to the health and well-being of employees and company growth and profit. Setting the tone for ais about both people AND profits.