The Implementation of Effective Key

Performance Indicators to Manage

Major Hazard Risks
Euan Fenelon Global Operational Integrity and RD&I Manager
Doreen Gray Operational Integrity Project Manager
18 June 2013
Safety Contact
August 2009 Sayano-Shushenskaya
Hydro Plant, Russia turbine top cover
failed, resulting flood killed 76 workers.
Investigation found lack of maintenance,
flawed plant modifications and a culture of
risk taking.
The Drivers
Events that drive Operational Integrity
BP Texas City Deep Water Horizon Piper Alpha
Kleen Energy
Duhva
Sayano-Shushenskaya
Longannet Castellon Arcos
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Process Safety Visibility
Which warning
signs are most likely
to help you avoid an
incident?
Immediate
Visibility
Competency
Checks
Incident Reporting
Management of
Change
Technical Risk
Management
Operating and
Engineering
Standards
Technical
Recommendations
Maintenance
management
Shift Handover
Process
Plant Limiting
Conditions
Audit Support
Supporting Documentation
The Baker Report investigation
into BP Texas City
UK Health and Safety Executive:
HSE HSG254 Developing Process
Safety Indicators
HSE RR509 Plant Ageing Report
GENSIP formed Generators
Safety Integrity Programme
PAS-55 publicly accessible
standard for Asset Management
Energy Institutes High Level
Framework for Process Safety
Management
OECD guidance on Safety
Performance Indicators
COMAH Guide
APIs guidance on PSPIs
Process Safety and Asset Management now a major focus
Generator Safety Integrity Partnership:
Hazard Identification
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Hazard
1 PS17. 3 10 0.1 0.1 Failure of HP feed system pipework
2 PS 2 3 10 0.1 0.1 Major Loss of Containment from a High Temperature Pipework
3 PS5. 3 10 0.1 0.1 Pipe rupture and catastrophic weld failure from a major low temperature steam line
4 PS7. 4 1 0.1 0.1 Explosive External Boiler Tube Rupture
5 EWG5 3 1 1 0.1 Switchgear arc flash explosion whilst locally operated
6 CSW3 3 1 1 0.1 Walkways and Gratings
7 PS3. 3 3 0.1 0.03
Rupture of boiler integral furnace circulating and saturated steam pipework, fabricated in C steel
materials with an internal diameter > 65mm
8 PS10. 2 10 0.1 0.01 Catastrophic failure of boiler feedwater pipework.
9 PS8. 2 10 0.1 0.01 De-Aerator Vessel Rupture
10 PS4. 4 1 0.01 0.01 Rupture of boiler drains pipework systems including blowdown systems.
11 PS25. 4 1 0.01 0.01 Auxiliary Steam and minor systems
12
PS11.
PFS2
4 1 0.01 0.01 Combustion generated over pressurisation of enclosures and pipework
13 EWG6 2 1 1 0.01 Electrocution due to contact with live conductors
14 CSW11 5 1 0.001 0.01 Falling claddings and objects from buildings
15 CSW12 2 1 1 0.01 Integrity of buildings fabric to personnel access.
16 CSW17 5 1 0.001 0.01 Spalling of concrete from structures
Understanding hazards & creating barriers (People, Process & Plant)...
James Reasons Swiss Cheese Model
To stop events
from happening
Controls
To reduce the
consequence
from events
Training
PMP
Maintenance
Mitigations
Insurance
Fire Deluge
System
100% Standby
Bunding
Communication
People Threats:
Operating Plant
outside design limits
Profit & Loss:
Cost to fix
failure
H & S:
Fire
Operations:
Loss of pump
Environment:
Oil loss through
pump Failure
Stakeholder:
Negative
publicity from
failure
HAZARD:
Kinetic
Energy
Steam, Fire, Potential &
Kinetic Energy,
Electricity, Noise, Heat,
Chemicals, Vehicles
Process Threats:
Ad hoc Changes to
plant
Plant Threats:
High Vibration on
Failure Event:
Catastrophic
pump failure
Event that will
release Hazard
to the work
environment
Threats that will
lead to plant
Failures
Consequences
as a result of
Failure Event
Process Safety Dashboard
Philosophy is to visualise Swiss Cheese Model......
Understanding hazards & creating barriers (People, Process & Plant )...
Risk Control Areas
2
Technical
Risk
Management
Plant Modification
Procedure
Plant Status Review /
Technical Risk Register
Strategic Spares
Engineering
Standards
Technical Knowledge
Management
Design Review
Asset Investment
Civil Inspections
Pressure System
Safety Regulations
3
Critical
Systems
Emergency
Supplies
Fire Systems
HV Electrical
Systems
Main Protection
Systems
Oil Separation
Systems
4
Alarm and
Instrument
Management
Control Systems
Critical
Instrumentation
Protective Systems
/ Devices
Alarm Systems
5
Maintenance
Management
Work Prioritisation
Work Identification,
Routine Plant
Inspections
Work Planning,
Scheduling
Work Execution
Personal Risk
Assessment
6
Operations
Management
Start-up /Shutdown
Procedures
Routine Plant
Checks
Routine Testing
Shift Handover
Company Safety
Rules Management
Plant Limiting
Conditions
7
Staff
Competence
Communications
Leadership
Training Needs
Analysis
Training Plan
Competency
Assurance
Staff Knowledge
Management
8
Emergency
Preparedness
Emergency
Planning
Business
Continuity Planning
Environmental
Containment
Systems
Plant Process People Recovery
1 Operation &
Compliance Audit
External Audit Integrated Internal Audit Action Tracking
Controlled Documents
(Policies, Procedures,
Standards)
Key Performance Indicators
Fully defined KPI,
including:
Objective
Definition
Data Source
Data Aggregation /
Calculation
Targets
Data Recording
Guidelines
Formal sign off by
senior managers
KPI Categorisation
Best Practice
Performance
Performing
At Or Above
Requirement
Performing
Below
Requirement
Performing
Significantly
Below
Requirement
No
Process Safety
Incidents
Minor
Process Safety
Incident
Significant
Process Safety
Incident
Major Process
Safety Incident
Leading Indicators
Lagging Indicators
Classification Of Process Safety Incidents
3 tier approach based on API guidance... (Lagging Indicators)


Major

Significant

Minor

3 tier approach based on API guidance...
+100 Leading
Indicators
42 Risk Control Systems
3 Classifications Of
Lagging Indicators
+90
Hazards
Feed
Incident
Reporting
Process
R
a n k i n g
R
e f e r e n c e
F r e q u e n c y
C
o n s e q u e n c e
P r o b a b i l i t y
P r o d u c tHazard
1 PS17. 3 10 0.1 0.1 Failure of HP feed system pipework
2 PS 2 3 10 0.1 0.1 Major Loss of Containment from a High Temperature Pipework
3 PS5. 3 10 0.1 0.1 Pipe rupture and catastrophic weld failure from a major low temperature steam line
4 PS7. 4 1 0.1 0.1 Explosive External Boiler Tube Rupture
5 EWG5 3 1 1 0.1 Switchgear arc flash explosion whilst locally operated
6 CSW3 3 1 1 0.1 Walkways and Gratings
7 PS3. 3 3 0.1 0.03 Rupture of boiler integral furnace circulating and saturated steam pipework, fabricated in C steel
materials with an internal diameter > 65mm
8 PS10. 2 10 0.1 0.01 Catastrophic failure of boiler feedwater pipework.
9 PS8. 2 10 0.1 0.01 De-Aerator Vessel Rupture
10 PS4. 4 1 0.01 0.01 Rupture of boiler drains pipework systems including blowdown systems.
11 PS25. 4 1 0.01 0.01 Auxiliary Steam and minor systems
12 PS11.
PFS2 4 1 0.01 0.01 Combustion generated over pressurisation of enclosures and pipework
13 EWG6 2 1 1 0.01 Electrocution due to contact with live conductors
14 CSW11 5 1 0.001 0.01 Falling claddings and objects from buildings
15 CSW12 2 1 1 0.01 Integrity of buildings fabric to personnel access.
16 CSW17 5 1 0.001 0.01 Spalling of concrete from structures
Understanding hazards & creating barriers (People, Process & Plant )...
Applying the KPIs
Further Guidance
Not All Indicators are of Equal Importance...

Operational
Control Indicators
Lagging Indicators
Active Monitoring and Logging:
Breaches Of Plant Limiting
Conditions (eg overpressure,
overspeed, overtemp)
Control Loops Out Of Control
Equipment In Manual
Operation of protection systems
Failure of protection systems
Leading Indicators
Inspection and Maintenance of
Control Systems and Critical
Systems
Alarm Management
Control Loop Performance
Completion Of Operational
Routine Checks / Testing
Shift Logging & Handover
Plant Overrides and Defeat of
interlock
Safety Critical Systems not
available
Generic
Lagging Indicators
Incident Reporting and Investigation:
Near Misses (eg demand on safety
system)
Loss Of Containment (eg release of
high pressure steam)
Process Safety Incident (eg major
equipment damage)
Leading Indicators
Critical processes undertaken
correctly
Operations
Maintenance
Engineering
Programme
Indicators
Leading Indicators
Statutory Inspections Completed (eg
PSSR)
Audits To Programme
Action Closure
Training and Competence
Procedures Up To Date
Improvement programmes

High
Low

Predictive of Incident
KPI Development
Based on Key Concepts in HSG 254...
Measuring the Gaps
Overall Site Matrix
Measuring the Gaps
Risk Control Area status
Measuring the Gaps
Monthly Reports for Governance
Future development: Controls linked to Hazard:
Review
Level
Scottish
Power
Generation
Generation
Groups
Power
Stations
Governance Body
Health and Safety Steering Group
Generation Risk Review Meeting
Coal RRM
LN
Gas RRM
RH , DC, SH,
BB, COGEN
Hydro RRM
CN, GW, LK
Review
Guidance
Consolidated
Indicators
Major or Key
Incidents
Business Wide
Indicators
Significant
Incidents
Trends
Group Indicators
Significant &
Moderate
Incidents
Close-out rates
Local Indicators
All Incidents
Frequency
Monthly
Monthly
Monthly
Daily
Group Governance Process
Cascade up approach...
21
Generation Risk Review Meeting GRRM
Leading Indicators
Performance
(KPI Dashboard)
Incident Reviews
(Cintellate)
Risks
Action Tracking
Operational Governance
Process Visibility
Immediate
Visibility
Quality
Plant Limiting
Conditions
Incident
Reporting
Management of
Change
Technical Risk
Management
Operating and
Engineering
Standards
Technical
Recommendations
Maintenance
management
Staff Competency
Operations
Management
Shift Handover
Process
Near real-time measurement of business processess ...


What if PS risks were as visible as Health & Safety risks?
Measuring Process Safety
Immediate
Visibility
Competency Checks
Incident Reporting
Management of
Change
Technical Risk
Management
Operating and
Engineering
Standards
Technical
Recommendations
Maintenance
management
Shift Handover
Process
Plant Limiting
Conditions
Audit Support
Near-time visibility of leading indicators for key risk control systems across all power
stations providing at a glance assessment of plant condition and the performance
of key processes;
Risk Ranking of KPIs based on risk and Alarp principles
Improved reporting of incidents and near misses, enabling information to be shared
more widely and repeat incidents to be prevented;
Provision of timely, accurate and comprehensive information to support the
governance of process safety through early identification and proactive management
of risks;
A governance framework to ensure that performance and actions are reviewed on a
monthly basis.
Delivering Operational Capability
Successful Outcome Criteria
Key success factors
Buy in and commitment from senior management
Involvement of staff in designing, developing and
embedding
Clear definition of each KPI is essential
Common processes across all business units
Delivery of sustainable solution can only be achieved using
integrated IT platforms i.e. automatic generation of KPIs