Creating Safety Culture in Shell

November 7, 2017

Lee Stockwell
General Manger, Deep Water
Safety & Environment

Copyright of Shell Exploration and Production Company. October 2017 1

 HOW ARE WE PERFORMING?

Process Safety Incident Rates Personal Safety Incidents Rates

1.4 2
1.8
1.2
1.6
1 1.4
1.2
0.8
1
0.6 0.8

0.4 0.6
0.4
0.2
0.2
0 0
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Tier 1 Tier 2 Tier 1 Tier 2 Tier 1 Tier 2 LTIF TRIR LTIF TRIR LTIF TRIR

Industry Shell Shell DW Industry Shell Shell DW

2011 2012 2013 2014 2015 2016 Data Source: IOGP 2011 2012 2013 2014 2015 2016

October 2017 2
 IT TAKES ALL TYPES
Caring Controls, Processes
Boundaries

Design Technical
Integrity Integrity
NUMBER OF HSE EVENTS

Process
Safety

Pathological Operating
Integrity

Reactive

Calculative
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Proactive

Generative
INCREASING CULTURAL MATURITY

Source Western, Hudson et al.; "The Human Factor in System Reliability - Is Human Performance Predictable? ", held in Siena, Italy, 1-2 December 1999, and published in RIO MP-032.
 THE LIFE SAVING RULES
Obtain
Verify isolation
Obtain authorisation
Work with a before work Protect yourself
Conduct gas authorisation before
valid work begins and use against a fall
tests when before entering overriding or
permit when the specified when working
required a confined disabling
required life protecting at height
space safety critical
equipment
equipment
Copyright of Shell Exploration and Production Company

While driving,
Follow
Do not walk Do not smoke No alcohol or do not use
prescribed
under a outside drugs while your phone Wear your
Journey
suspended designated working or and do not seat belt
Management
load smoking areas driving exceed speed
Plan
limits
 OUR GOAL IS ZERO
NUMBER OF FATALITIES
2000 2002 2004 2006 2012 2014 2016

8 5 3
26
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37
52 51 2009:
LSRs
introduced
 PROCESS SAFETY FUNDAMENTALS
Always use two barriers Do not leave an open Take interim mitigating For all defined high risk Walk the Line –
for hydrocarbon and drain or critical transfer measures in case of activities, follow the Verify and validate any
chemical drains & vents unattended failure of procedures and sign off line up change
Safety Critical Equipment after each step
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Do not make a change Verify for complete Always check that Perform MOC and install Respond to critical alarms
without a proper MOC tightness after equipment is pressure free backflow protection when
maintenance work and drained, and provides connecting utilities to
safe isolation before starting process
maintenance work 6
 IT TAKES ALL TYPES
Caring Controls, Processes
Boundaries

Human
Performance
Design Technical
Integrity Integrity
NUMBER OF HSE EVENTS

Process
Safety
Safety Leadership
Pathological Operating
Integrity

Reactive

Calculative
Copyright of Shell Exploration and Production Company

Proactive

Generative
INCREASING CULTURAL MATURITY

Source Western, Hudson et al.; "The Human Factor in System Reliability - Is Human Performance Predictable? ", held in Siena, Italy, 1-2 December 1999, and published in RIO MP-032.
 HUMAN PERFORMANCE

Principles of Human Performance:

What has to change to make it
• People make mistakes and violations are easier to do the right thing and
rarely malicious harder to get it wrong?
• Behaviours of individual are influenced by the
• Leadership Engagement
organization
• Design and Engineering
• Error prone situations are predictable (and
• Risk Management
therefore manageable and preventable)
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• Manage Safe Work

• Learning from incidents (why and how errors
• Physical and Psychological
occur) can reduce future mistakes and
Wellbeing
incidents
• Incident Investigation and Learning
• How leaders respond to failure matters!

*Paraphrased from DOE Human Performance Handbook (DOE-HDBK-1028-2009 )

 LEADERSHIP BEHAVIOURS DRIVE THE OUTCOME…

Behaviours
that enable change

DESIRED
PAST PRESENT FUTURE FUTURE
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We do what we’ve done We aspire to something different,

and get what we got which informs our present
 SAFETY MANAGEMENT IS NOT SAFETY LEADERSHIP
DECLARED FUTURE ARE YOUR ACTIONS ALIGNED?
Wherever you go in the organisation we are The personal characteristics of a great safety leader
confident that you will find people with a common I always demonstrate respect and care for our people including our contractors.
purpose, who are motivated to achieve Goal Zero:
I demonstrate vulnerability,
vulnerability acknowledging I do not always have the answers, and
Because they feel supported to openly address their am genuinely curious.
curious
challenges and dilemmas.
dilemmas
I am an active partner to our contractors,
contractors creating a strong leadership coalition
By the pride in the condition of the assets they operate, the and a common language for safety and collaboration.
projects they are building and the organisation in which
they work. I open up honest dialogue,
dialogue surfacing (rather than glossing over) operational issues,
dilemmas, and weak signals.
Through demonstrating discipline, never compromising on
standards and being fully transparent.
transparent
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I am meticulous about doing what I say and insist on our standards being met.

Because they feel empowered and cared for.

for I actively seek and welcome feedback and coaching from others,
others while also

Because we (including contractors) do as we say and offering coaching myself.

relentlessly pursue improvement.

improvement I actively find, acknowledge and reward good safety behaviour at all levels and
Because we all share a sense of unease that leads to champion positive role models.
curiosity and learning.
learning
I am visible from the office to the front line, listening, engaging and committing to
Because we know we will all go home to our families take personal action, including with people in out-
out-of-
of-sight locations.
locations
safely by making Shell the safest business on earth. October 2017 10