HSE Management System Standard

HSE Management System Standard

Energy Supporting Energy

Wood GroupNovember 2012

Wood Group SAF/B/1.2 November 2012

Wood Group HSE Management System Standard

Contents Introduction 1

Our core Values 2

Scope 3

The system structure 4

Wood Group Health, Safety and Environmental policy 5

Key elements 6How this book works 7

01 Leadership 802 Objective setting 1003 Organisation 1204 Legislative compliance 1405 Risk management 1606 Health and community 1807 Human factors 2008 Training and competence 2209 Information, documents and standards 2410 Integrity management 2611 Third parties and suppliers 2812 Emergency preparedness and response 3013 Environmental management 3214 Incident reporting and investigation 3415 Change management 36

SAF/B/1.2 November 2012 Wood Group 1


Welcome to Wood Groups Health, Safety and Environmental Management System Standard.

Wood Group is an increasingly global business operating in over 50 countries. It is vital that we conduct all our operations, wherever they are, in a way that neither harms people nor the environment. We have moral, professional and legal obligations to deliver our services in ways that assure we protect peoples health, prevent incidents and injuries and minimise adverse environmental impact. Our commitment to that is clearly laid out in our HSE Policy Statement.

We can only live up to that commitment if we organise ourselves in a planned, systematic way and that is why we have had a Wood Group HSE Management System in place for many years. The regularly revised document describing the system has become familiarly known over the years as the Red Book.

This latest revision for 2012 has been significantly updated to reflect current best practice and to fit within the context of our recently launched Group core Values. Sections on Leadership, Human Factors and Integrity Management have been highlighted as especially relevant updates and the core Values have been included as a reminder of what we are committed to as an integral part of doing business.

We emphasise the Safety & Assurance core Value as our top priority, and as it is colour coded in blue, we anticipate that this new revision of the Standard will become known as the Blue Book.

The Blue Book contains sound advice for transforming our aspirations into practice and it is vital that Business and HSE leaders read, understand and apply it.

Allister Langlands, Chairman

2 Wood Group SAF/B/1.2 November 2012


Within this Standard, you will see this expanded upon. It will variously use terms

such as safety, assurance, security, quality and integrity. These are all valid and critical

extensions of the Safety & Assurance core Value.

Well work in partnership with our clients, the regulators and our

employees to deliver our HSE objectives.

Within this Standard, the main extension of this core Value is in the area of

environmental care, where we define our

obligations and aspirations to

reducing resource consumption, waste

and any negative impacts of what

we do.

Well use both traditional continuous

improvement techniques, as well as embracing

innovation, to deliver our HSE objectives.

HSE excellence is a sign of a successful business. We wont compromise HSE excellence for financial

gain.

We will be honest, fair and open in our management of HSE.

Within this standard we set

out the framework to protect the

health of everyone that we work with and to sustain our operations free of

incidents and injuries. An essential aspect of this is understanding human behaviour and assuring training and competence is appropriate to the

risks encountered.

Our core Values

Safety & Assurance Safety & assurance is our top priority. We passionately care about the safety of our people and behave as safety leaders. We are committed to preventing injuries and ill health to our people and everyone we work with.

Relationships Our business depends on healthy relationships with customers, business partners and suppliers.

Social Responsibility Being socially responsible is integral to what we do. We aim to make a positive difference to the communities where we operate and seek ways to assist them.

People People are our business. We are professional, high performing team players focused on delivering and drawing on our global expertise.

Innovation Innovation gives us competitive advantage.

Financial Responsibility We expect to receive fair reward for our business performance. We are cost aware and carefully manage our own and our customers costs.

Integrity We are proud of our reputation, built over many years, which depends on us doing the right thing.



This document defines Wood Group (the Group) HSE standards and provides guidance on the development and implementation of HSE Management Systems to ensure that every Group Business Unit worldwide operates in ways which:

assure peoples health

prevent incidents and injuries, and

minimise adverse environmental impact.

This document applies wherever:

the Group manages Business Units, companies, contracts, projects etc

the Group owns the assets and employs or engages the relevant workers in its own right

the Group has a contractual obligation to owners of the entity or assets in question, or to other participants in the activity in question and has appropriate authority to conduct the activity

the Group has personnel on clients premises

a Group company is a duty holder, or holds similar status, in respect of applicable HSE legislation.

This document provides a basis on which to manage HSE in a Business Unit. It should be used:

by companies acquired by the Group

as a credible foundation for status review

for new Business Unit start-ups

after major organisational change

after joint venture partnership establishment

during major contract or project mobilisations

as a baseline, against which existing or intended systems can be assessed, and any gaps identified and remedial action taken.

International standards compliance: this document promotes and encourages compliance with the two accepted standards for Health & Safety and Environmental Management, specifically OHSAS 18001 and ISO 14001.

Legislative compliance: this document anticipates compliance with HSE legislative requirements applicable to each Business Unit.

Business Unit: In the context of this document, this term means any company, operation, contract, project or product stream which is required to maintain its own HSE management processes.

Scope



HSE Sub-plans

Business Units HSE Management SystemsHow Business Units translate Group

and external influences

Supporting documents

Supporting HSE organisationTo ensure the effective connection of the Group HSE organisation with the Business Unit organisation, a Safety & Assurance Steering Group exists at Senior Management level, populated by both Group HSE Function Management and Business Unit Senior Management, which reports into the Group Board Executive.

Group Annual HSE Objectives

The system structure

l

Group Procedures and Guidelines

Pro

ced

ures

Pro

ced

ures

Pro

ced

ures

Pro

ced

ures

Business Unit Operating Procedures

Pro

ced

ures

Pro

ced

ures

Pro

ced

ures

Pro

ced

ures

Business Units will: haveanHSEManagementSystemadopttheGroupHSEPolicy,whichwillbe

reflected in the HSE Management SystemsetannualBusinessUnit-wideHSEobjectives,

and establish plans to attain themhavecontractorproductsub-plans,wherethis

is appropriatehavesupportingdocumentsandguidelinesto

make the process complete and coherenthavesuitableandsufficientprocedures,from

the Group, or locally developed, as appropriate.

GroupWhat Business Units are directed to do by Group

Group HSE Policy

HSE Policy

HSE Management System

Annual HSE Plan

Group HSE Management System Standard

Adopt, endorse or augment

Markets/Clients/Regulators

The various external influences on Business Unit HSE Management

Adopt or translate into

Recognise and develop

Adopt or match with equivalents

Compliance obligations

Contractual conditions

Specific issues

Expectations



Wood Group is committed to delivering the highest standards of health, safety and environmental performance. This policy statement defines our commitments to our employees, clients, partners and shareholders.

We will deliver our operations and services in ways to:

Protect the health of all people impacted by the work that we do

Prevent incidents and injuries, with a focus on integrity and the control of major hazards

Minimise adverse environmental impact, use resources efficiently and manage our carbon footprint

We will achieve this by ensuring:

Leaders at all levels place health, safety and environment at the top of their agenda

Risks are identified, mitigated and controlled

Clear objectives are established and we measure our performance against them

We understand legislative and industry requirements, and ensure we comply with them

Those who work with us meet our standards

Our communications on health, safety and environment are transparent and inclusive

We will regularly monitor the application of these commitments to provide assurance that we are delivering continuous improvement.

Allister Langlands, Chairman

Wood Group Health, Safety and Environmental policy



This document defines 15 key elements which the Group deems to be central to the establishment and deployment of an effective HSE Management System.

The existence of controls in these key areas is not enough in itself. Leaders must enforce these controls. Leadership is a key element in ensuring that this document delivers its aims.

The elements set out in this document will be adopted by each Business Unit and assessed to ensure effective and efficient application and compliance.

Compliance with this HSE Management System Standard will be formally and periodically assessed by the Group. Learnings will be communicated both to the Business Unit concerned and to all Business Units who might benefit.

Key Elements The following 15 elements give guidance, as well as providing minimum standards in formulating an HSE Management System appropriate to each Business Unit. Certain situations will demand much more and only by exception, will any require less.

01 Leadership

02 Objective setting

03 Organisation

04 Legislative compliance

05 Risk management

06 Health and community

07 Human factors

08 Training and competence

09 Information, documents and standards

10 Integrity management

11 Third parties and suppliers

12 Emergency preparedness and response

13 Environmental management

14 Incident reporting and investigation

15 Change management

Key elements



The 15 key elements which comprise the rest of this document are laid out to reflect the leadership responsibilities of those who can shape behaviours and culture (How we manage) allied with the system design, deployment and compliance aspects of each of the elements (What we manage). These two facing pages, when combined, reflect the principles of Plan, Do, Check, Act, with the leadership component focusing on Planning for success, Checking application and Acting on feedback, and the HSE professionals supporting this by Doing the appropriate system work, to the necessary extent.

How we manage The How component, set out on each left-hand facing page, focuses on leadership, obligation to support, plan and resource, personal accountabilities and responsibilities of leaders. This is the Plan, Check, Act part of the process.

What we manage The What component, set out on each right-hand facing page, focuses on the essential minimum steps and considerations for each element, and relates to the specific area being managed. This is the Do part of the process.

SAF/B/1.1 January 2012 Wood Group 98 Wood Group SAF/B/1.1 January 2012

Wood Group HSE Management System Standard Wood Group HSE Management System Standard

Support Resources & References

Group HSE Policy

Group Safety Behavioural Standard

Group Safety Leadership Programme

Core Values; Safety & Assurance

Where to find this: www.woodgroup.net/HSE

Leadership

Leaders shape an organisations HSE culture and ultimately its HSE performance. Leaders will ensure that mechanisms are in place to manage HSE in their Business Units. Leaders within the Group will exhibit appropriate and positive personal HSE behaviours.

Leadership accountability

Demonstratecontinualandconstantawareness of HSE performance.

EnsurethatpeopleknowtheycanraiseHSEconcerns freely and without fear of negative consequences for themselves.

Allocateanadequatelevelofresourcestoimplement HSE programmes effectively.

Understandthedifferencesbetweenpersonal,technical and process safety. Recognise that these need to be managed separately and have the necessary systems in place to ensure that they are.

Requirements

Control systems Institute and promote appropriate Business Unit-wide systems to support HSE objectives. Enforce and role model adherence to these systems.

Leadership commitment Demonstratevisible,personalcommitmenttoalllevelsoftheworkforceensuringthatHSEisseenasakeypriorityforallWGemployees.

Safety behaviours Ensure that correct and appropriate safety behaviours are encouraged and displayed within the Business Unit.

Continuous improvement ContinuouslyseekwaystoimproveHSEperformance.Identifylessonswhichcanbelearned,fromwhateversource,anduseorsharethesewithothers.

Speak up-listen up Encourage and facilitate the delivery ofbothgoodandbadnews.Invite,encourageandlistentofeedbackonleadersownsafetyperformanceandbehaviours.

Challenge Dontacceptwhatsassumedtobecorrectbutisntsupported by fact. Only base actions on verifiable information.

Diversity and inclusion Strive to understand the impact of differentculturesandenvironments.Seektoincludethosewithdifferent perspectives and recognise how these variables can impact on HSE performance.

Resources Give the appropriate level of resource to HSE programmes.

Assurance and verification

EnsurethattherearerecordsofleadersperiodicHSEvisitsorconversations,suchaspromotedbytheAdvancedSafetyConversations process.

Leadersstepstopromote,manageandmeasureeffectivesafety leadership must be recorded and verifiable.

HSEProgrammeimplementationmustbebothevidentandverifiable.

01

shape commitment

How this book works

Example page



Leadership

Leaders shape an organisations HSE culture and ultimately its HSE performance. Leaders will ensure that mechanisms are in place to manage HSE in their Business Units. Leaders within the Group will exhibit appropriate and positive personal HSE behaviours.


Demonstratecontinualandconstantawareness of HSE performance.

EnsurethatpeopleknowtheycanraiseHSEconcerns freely and without fear of negative consequences for themselves.

Allocateanadequatelevelofresourcestoimplement HSE programmes effectively.

Understandthedifferencesbetweenpersonal,technical and process safety. Recognise that these need to be managed separately and have the necessary systems in place to ensure that they are.

01

shape commitment




Group HSE Policy


Group Safety Leadership Programme

Core Values; Safety & Assurance


Requirements

Control systems Institute and promote appropriate Business Unit-wide systems to support HSE objectives. Enforce and role model adherence to these systems.

Leadership commitment Demonstrate visible, personal commitment to all levels of the workforce ensuring that HSE is seen as a key priority for all WG employees.

Safety behaviours Ensure that correct and appropriate safety behaviours are encouraged and displayed within the Business Unit.

Continuous improvement Continuously seek ways to improve HSE performance. Identify lessons which can be learned, from whatever source, and use or share these with others.

Speak up-listen up Encourage and facilitate the delivery of both good and bad news. Invite, encourage and listen to feedback on leaders own safety performance and behaviours.

Challenge Dont accept whats assumed to be correct but isnt supported by fact. Only base actions on verifiable information.

Diversity and inclusion Strive to understand the impact of different cultures and environments. Seek to include those with different perspectives and recognise how these variables can impact on HSE performance.

Resources Give the appropriate level of resource to HSE programmes.


EnsurethattherearerecordsofleadersperiodicHSEvisitsor conversations, such as promoted by the Advanced Safety Conversations process.

Leadersstepstopromote,manageandmeasureeffectivesafety leadership must be recorded and verifiable.

HSEProgrammeimplementationmustbebothevidentandverifiable.



Objective setting

Business Units will be aware of, and comply with, all Group HSE direction setting, including policy, objectives, plans, procedures and guidance documents. These shall be recognised and applied by each Business Unit, and supplemented by their own local policies, objectives, plans or client requirements as appropriate.


DemonstratecompliancewiththeGroupHSE Policy and ensure it is visibly displayed in all Business Unit premises with evidence of effective local promotion and application.

Ensureactionstolookathowpoliciesandplansare deployed and effectively implemented within the Business Unit.

ShowpersonalparticipationinHSEactivities.

02

direct

ion

in

tent

focus




Group HSE Policy

Group Policies

Group Annual HSE Objectives


www.woodgroup.net/policies

Requirements

Group HSE objectives Business Units will demonstrate awareness and adoption of Group HSE policies and objectives.

Local HSE objectives and annual plans Business Units will, if necessary, develop their own policies, objectives, plans, targets or other high-level declarations of HSE intent. These will be based upon and enhance Group requirements and/or reflect client and contract requirements.

Maintain key documents Business Unit documents shall show evidence of periodic checks to assure currency, suitability and value-adding. Management review is a means to achieve this.

Sustained focus Business Units should be rigorous in ensuring that a clear focus remains on safety-critical issues. We should not look to short-term solutions which may not be robust in the longer term. Quarterly reviews of objectives and plans should be considered. Annual formal reviews are expected.

Communication Business Unit and HSE leaders will promote these high level documents personally and communicate these to all levels of the business.

Personal objectives These will contain suitable HSE objectives to support delivery of overall Group and Business Unit objectives.


BusinessUnitreportingwillroutinelyindicateprogresstobothGroup and local HSE objectives and plans.

BusinessUnitswilleffectformalperiodicreviews(orrevalidations) of their HSE plans, objectives or other key documents.



Organisation

The organisation created to manage and assure HSE delivery must be clear, defined and understood. Responsibility may be delegated to a nominated person, but accountability cannot; that will always remain with the Business Unit leadership.


EnsurethattheorganisationoftheBusinessUnitwith regard to Health, Safety and Environmental management is defined, clear and understood.

TheHSEperformanceoftheBusinessUnitisthe primary accountability of the Business Unit leadership.

Peopleemulatethebehavioursofleaders.Business Unit leaders must recognise this when establishing their HSE organisation and ensure that leadership behaviour is a facet of organisational design.

03

defined accountability




Group HR Guidance documents

Where to find this: www.woodgroup.net/HR

Requirements

Accountability Everyone in the Business Unit must be clear that they variously carry certain moral and legal responsibilities and accountabilities for HSE. Accountability cannot be shared or delegated.

Responsibility Responsibility can be shared or delegated. If this is the case, then this should be formal and clear.

Competence The competence of individuals discharging roles within the Business Unit and its HSE organisation must be clear and appropriate for the task (ref. Key Element 8).

Awareness People must be made aware of their HSE responsibilities, preferably by more than one method.

Partnerships and joint ventures The impact on the Business Unit of this form of relationship will be formally assessed. Interfaces will be defined where necessary. There may be both internal and external interfaces to consider. Any case of applicable standards prevailing which are less stringent than those defined here will be made known to Group HSE.

Management of change Change can have unintended consequence. The impact of all change, including organisational change, must be formally assessed and managed (ref. Key Element 15).


Leader,employeeandcontractorHSEresponsibilities and accountabilities will be clear.

HSEorganisationwillbedefined.

HSEcompetencewillbeassessedandmanaged.

HSEwillbeincludedinannualappraisalprocesses.

defined accountability



Legislative compliance

Business Units are subject to a wide range of compliance obligations embedded in local, regional, national and international legislative requirements.

Business Units must develop and implement a systematic approach to identifying and demonstrating compliance with all applicable legislative requirements.


Ensurethatalegislativecompliancesystemisdeveloped and implemented.

Monitorcompliancewiththelegislativerequirements, address shortfalls and implement updated controls.

04

obligation verify




Applicable HSE legislative requirements

Where to find this: Regulations, standards etc. from authoritative sources

www.woodgroup.net/legal

Requirements

Legislative obligation Each Business Unit will identify all applicable HSE legal requirements affecting its business. A Register of applicable legislative requirements will be maintained.

Legislative compliance Each Business Unit will develop a systematic approach which assesses compliance with all applicable HSE legal requirements.

Nominated individual Each Business Unit will ensure that there is a nominated person responsible for tracking and monitoring all HSE legal requirements.

Compliance and gap analysis Business Units must possess a full awareness of applicable legislative requirements and be able to demonstrate compliance. This process will be maintained as current. Any known failure to comply shall be communicated to Group HSE and Group Legal.

Accessibility Documentation should be readily available and accessible where it is required.

Records management Records must be maintained to verify compliance and ensure the periodic execution of legislative compliance reviews or audits.


Compliance monitoring Each Business Unit will conduct periodic reviews or audits to assess compliance. Findings identified in periodic reviews/audits must be tracked and monitored to ensure closure.

Compliance reporting Any non-compliance must be reported to the Business Unit leadership, Group HSE, Group Legal and, where required, to external regulatory bodies (subsequent to consultation with Group Legal). Review/audit reports will form part of the record of this.



Risk management

Business Units will establish processes to formally identify and understand hazards, and assess the HSE risks involved in all aspects of their business. These will be managed until they are eliminated, reduced or controlled to the point of being acceptable.


Ensurehazardsareclearlyidentified,andrisksassessed and reviewed.

Appreciateandunderstandthekeyrisksto the safe execution of their business and periodically assure themselves that these risks are appropriately managed and mitigated.

Maintaincurrencyofprocessandidentifyandmonitor changes which can introduce new risks.

05

identify, prevent, control and mitigate




Industry, Regulatory or Market Sector Risk Management Guidance

Where to find this: Guidance and publications from appropriate institutes, regulators and recognised bodies

Requirements

Risk assessment A formal hazard identification/risk assessment process will exist. It will be appropriate to the severity of hazard liable to be encountered by the business. All potential hazard/risk elements will be considered, including the task itself, work environment, skill and competence, third parties, Business Unit, behaviour, human factors, emergencies and change management, as well as legal and regulatory obligations.

Risk techniques Consideration should be given to the use of standardised and structured processes in risk assessment, such as the use of Risk Matrices, Residual Risk Calculations and Statistical Analyses.

Risk scope The process must consider risk of harm to employees and third parties, environmental risk, business risk and reputational risk.

Risk mitigation Approved recommendations/controls will be acted upon. Risks should be eliminated, substituted (by using a less hazardous method), reduced or controlled, exposure limited and people protected and/or warned.

Residual risk Identified hazards will be managed such that the residual risk, if this cannot be eliminated entirely, will be managed so as to become as low as reasonably practicable.

Training and competency Risks will be assessed by competent people (ref Key Element 8).

Management of change Identify organisational, technical and legal changes which can introduce new risks to the Business Unit.


RecordsofRiskAssessmentwillexist.

Riskmitigation,complianceandeffectivenesswillbeformallydetermined and the extent of compliance known.

Periodicauditswillbeconductedtodemonstratecompliance.

Appropriatedocumentationtoverifycompliancewithapplicablelegislative requirements or standards will exist.

identify, prevent, control and mitigate



Health and community

The managed and planned care for the health of our people is critical, as is the avoidance of harm to the communities in which we work. We must operate in a way which ensures this is achieved.


EnsurethatbothHSEandHumanResourcesmanagement processes give due and formal regard to the protection of people from harm resulting from the work that they do. Care appropriately for them if these controls fail.

Ensurethatanyprocessesandactivitieswhichcan harm the health of our people or have an impact on communities are formally risk assessed, eliminated, reduced or the potential for harm mitigated. This will be done in a formal and structured manner.

06

protection awareness




Group Policies and Procedures


Prevailing local and national health protection legislative requirements

Where to find this: Regulation, standards etc, from authoritative sources

www.woodgroup.net/Policies

www.woodgroup.net/HR

Requirements

Health risk awareness Business Units must be aware of any health hazards they may encounter. Employees should be informed and made fully aware of any inherent health risks, as well as the necessary protection and/or mitigation processes for any task which they undertake.

Health assessment People joining a Business Unit will be assessed with regard to their capabilities and potential exposures, such as to eliminate or minimise any potential harm to their health.

Health protection Business Units will protect employees from the effects of any processes they may work with or encounter. Typically, this will include elimination, protection or control of issues such as hazardous substances, noise, vibration, radiation, stress or poor ergonomics.

Health surveillance A Health Surveillance Programme, appropriate to the hazards and risks encountered, will be implemented to detect any resultant ill health at an early stage and to safeguard the health of the employee.

Communities and third parties Business Units will provide appropriate care for anyone negatively affected by our activities. This principle extends to non Group or Business Unit people negatively impacted by what we do.


Formalreviewofallcasesofinjuryorharmtohealthversuscontrols and mitigations.

Periodicreviewtoensurethatcontrolsandmitigationsremaincurrent and effective.

Compliancewithapplicablelocalandnationallegislativerequirements in this regard.



07Human factors

Business Units will consider and understand the role of Human Factors (HF) in initiating and mitigating incidents. All aspects of human behaviour, intentional and unintentional, organisational and personal, should be considered to help reduce the likelihood and consequences of serious incidents.

HF include leadership, managing human failures, staffing, fatigue and shift work, safety critical communication, design, procedures, competence, organisational change and culture.


Lead,supportandactivelyparticipatein HF management programmes.

Ensuresufficientandappropriateresourcesaremade available to address HF within the business.

IdentifySafetyCriticalTasksandhowtheymaybenegated by HF, to help identify, prevent, control and mitigate Major Accident Hazards.

Developimprovementgoalsandassociated metrics to monitor and measure the implementation and impact of HF management programmes. support

care




Group Safety Culture Assessment Tool


Group Safety Leadership Programmes

Where to find this:www.woodgroup.net/HSE

www.woodgroup.net/HR

Requirements

Planning A programme will be implemented to assess the potential impact of HF in all aspects of the workscope. Resources will be deployed to areas of maximum benefit.

Safety culture Perform gap analysis to identify areas for improvement. Monitoring of feedback will support the success of wider HF programmes.

Objectives and plans Monitoring and measurement processes will be used to evaluate the attainment of the HF programme plans and objectives.

Incident investigation Investigations of incidents must contain an element of HF analysis to identify if a human failure has occurred and, if so, why.

Employee involvement Employee Involvement programmes will be in place, led and actively promoted by line management to ensure that employees views on HSE issues which impact them are fully considered.

Human interfaces with plant and process HF includes all aspects of human/process/plant interaction. Business Units will consider:

the suitability of plant design for operation, maintenance, inspection and testing

supporting activities including training, provision of guidance and procedures, change management, changing technology and process shift.

Defined expectations Business Units will establish clear expectations of HSE behaviours, at all levels. They will ensure these are publicised, applied and compliance assessed. They should be embedded in, for example, inductions, appraisals, job descriptions, competency assessments and incident investigations.


HFcontentinCAIRSreportingandincidentinvestigations.

HFcontentembeddedinBusinessUnitssystems.

Evidenceofworkforceinvolvementin,andcontributionto,manyaspects of the programme.

SafetyCultureAssessmentprocessesinplace.



Training and competence

Group employees will only be asked to do work for which they are capable and competent. The more critical the work, the more rigorous the Business Unit processes to ensure competence in that task.

Business Units must develop and implement a systematic approach to ensure training and competence is managed, appropriate to the risks encountered. Central to this will be formal processes to ensure all employees develop their HSE capabilities.


Ensurethatsuitabletrainingandcompetencemanagement processes exist in the Business Unit to ensure that risks to people and the environment are minimised or eliminated.

08

development knowledge





Group HSE Competence Guidelines

Where to find this: www.woodgroup.net/HR

www.woodgroup.net/HSE

Requirements

Training Employees should be adequately trained to perform their tasks, with appropriate supervision.

Training provision Training and induction of new employees, specific training required for specialised tasks, training to ensure continuing capability and competence, as well as training to recognise new technology or systems should all be considerations with regard to training provision and its continuing effectiveness.

Training providers Training providers or Trainers should be assessed for their own competence and suitability.

Selection When allocating work, leaders must ensure that employees are capable of undertaking the task, such as not to pose a danger to themselves or others.

HSE training Employees will be provided with suitable and sufficient training and induction to ensure that they are aware of HSE policies, obligations, standards, behaviours and processes with which they will be expected to comply.

Competence All employees must have the appropriate knowledge, skills, capability and competence to carry out their tasks in a safe manner. They should be informed and aware of the hazards, risks and control measures. Competence should be formally determined, assessed and recorded.

Training and competence currency Training and competence will be maintained as current, with formal processes established to ensure that training and competence arrangements are subject to periodic and formal review.

Training and competence development Processes will exist to ensure all employees develop their HSE capabilities.


Compliance monitoring Each Business Unit will conduct periodic reviews or audits to assess compliance. Findings identified in periodic reviews/audits must be tracked and monitored to ensure closure.

Compliance reporting Any non-compliance must be reported to the Business Unit leadership and, where required, to external regulatory bodies. Reviews/audit reports will form part of the record of this.



Information, documents and standards

Business Units will operate a robust and accessible HSE information management system that reflects Group requirements, suits the needs of the individual Business Unit, permits adequate reporting and delivers factual, accurate and timely information into the Business Unit.


EnsurethatBusinessUnitHSEdocumentationis understood and best practice is identifiable through readily accessible information, in whatever form.

Ensuretheawareness,understandingand,where necessary, implementation of Group HSE standards and guidance.

09

accessible guidance




Group HSE key documents

Guidance documents and mandatory procedures


Requirements

Information Concise and correct HSE information will be used at all levels in a Business Unit as the basis for improvement. Information management will be formal and systematic to allow for system audit, analysis and improvement.

Reporting Reports will be presented in a structured and uniform manner, providing clear, correct and consistent information.

Records Each Business Unit will ensure that HSE records are maintained to comply with internal or external requirements, are fully auditable and suitably maintained.

Contents Documents will be designed to contain the required information and contribute to a compliant and effective operation.

Standards HSE documents will provide clear direction or agreed requirements to permit Business Units to function safely and effectively.

Language and accessibility Information, documents and standards must be in a language and form appropriate to the user and accessible at point of use, where required.


Information,documentsandstandardsmanagementwillroutinely be included in audits or reviews to verify whether compliance is assured and efficiency maximised.

Information,documentsandstandardswillberegularlyassessed as to their necessity and, when implemented, on their contribution to improved processes.



indicator:near misses

consequence:minor injury

consequence:major injury

consequence:unsafe acts indicator:

detail breaches

consequence:high potential incident

consequence:major incident

personal injury triangle

major incident triangle

Integrity management

Integrity across the range of our operations (including systems, equipment and facilities) must be assured. We will design, engineer, construct, operate and maintain the assets for which we are responsible to protect life and eliminate loss. We recognise the role of our people, their training, competence and behaviours in achieving this objective.


Ensuredueconsiderationisgiventoourpeopleand their impact on Integrity Management. This will include their training, competence, behaviours, attitude and other relevant influences on their effective deployment.

Ensurethatdesigns,products,systems,equipment and facilities are produced, manufactured, constructed, operated, maintained and decommissioned with due consideration to safety and reliability.

Ensurethatproceduresareemployed to assure effective integration of these processes.

10

awareness assurance




Integrity Management Guide

Engineering Excellence Guide


www.woodgroup.net/ENG

Requirements

Scope Business Units shall appropriately implement the Group Integrity Management Guide, having considered their activities and risks. This will include, as a minimum:

Identifying persons with accountability and assurance responsibility.

Ensuring that the following key principles from the Integrity Management Guide are in place viz: Accountability Competence Hazard Evaluation and Risk Management Protective Systems Practices and Procedures Management of Change Emergency Response Incident Investigation and Management

Planned and implemented control measures.

Performance assessment, maintenance, monitoring, improvement and equipment management.

Training and competence People authorised to make decisions regarding integrity management must be trained and competent. (ref. Key Element 8).

Human factors Recognise that human and organisational factors can cause incidents and manage them to mitigate or prevent harm to our people. (ref. Key Element 7).

Risk awareness People who use systems, equipment, tools and facilities should be made aware of the risks and the potential impact of their actions. (ref. Key Element 5).


Adefinedandplannedmethodologytoaddress integrity management.

Monitoringofleadingandlaggingcontrolmeasures.

InclusionofintegritymanagementintotheBusinessUnit audit processes.

Inclusionofintegritymanagementintomanagement review process.



Third parties and suppliers

Business Units will ensure that client and other third-party HSE requirements are met through deployment of trained, competent employees and appropriate HSE Management Systems. Business Units will manage risk importation to provide proportionate and auditable assurance that their suppliers and subcontractors meet that same standard.

Third parties might be those to whom we supply items, or those who place demands upon us. While the control and arrangements will be different, they are both situations where the interfaces must be correctly defined and managed.


Ensurethatallrequirementsplacedupon third parties are appropriate, timely, understood and met.

EnsuresuppliersarefullyawareofGroupandBusiness Unit minimum HSE standards. Leaders may wish to provide Business Unit support to their suppliers to meet these, by sharing available HSE knowledge, good practice and providing feedback.

11

goals agreements




Group Supply Chain Guidance


www.woodgroup.net/GroupSCM

Requirements

Risk identification Business Units will ensure that all third parties whose needs, obligations, provisions or performance can present HSE risk for Business Unit operations are identified and any potential risk managed effectively.

Information received Business Units will ensure that correct and suitable information is exchanged between all third parties promptly and efficiently, such as to contribute to a safe working environment. This might include documents such as interface arrangements, dedicated HSE plans, policies and standards, drawings, specifications, material and test certification.

Cooperation Business Units shall strive to ensure continuous improvement in third party performance through cooperation in training, information exchange and development.

Risk management Business Units will employ risk-based decision making as a tool to select, manage and develop third party relationships.

Benchmarking Business Units will use performance or relationship benchmarking to promote effective third party management.


BusinessUnitswillregularlyreviewandauditthirdpartiesHSEperformance, and the system which delivers this.

BusinessUnitswillunderstandandbenchmarktheirsuppliersperformance to be able to demonstrate compliance with Group and Business Unit HSE performance expectations.



Emergency preparedness and response

Business Units will protect people, communities, the environment and the business through proactive and planned management response before, during and after emergency situations.


Ensurethatemergencypreparednessandresponse provisions are defined and specific to the Business Units individual needs.

EnsurethatindividualBusinessUnitoroperational emergency response arrangements reflect the needs of the Group.

EnsurethisplanningispartoftheannualHSEplanning and review process.

12

practice readiness




Group Business Continuity Planning

Group Corporate Communications Emergency Media Response

Guidelines and Crisis Management Policy and Plans


www.woodgroup.net/Insurance

www.woodgroup.net/CorpComm

www.woodgroup.net/policies

Requirements

Procedures and plans should be in place and current All potential emergency response events and corresponding control systems should be considered and designed as appropriate.

Specific emergency response teams will be established People and teams will be suitably trained in emergency response situations, appropriate to the likely risks encountered.

Exercises should be planned and carried out Scenarios might include fire, explosion, hurricane, earthquake, terrorist event, unstable regions, environmental incident, structural collapse and hostage taking. Exercises will occur at suitable and defined intervals, at least once per year.

Interfacing Controls should include Corporate Communications, Human Resources, Security Consultants, Legal, Media, Emergency Services, Government Department and Non-Governmental Organisation liaison.

Community The scope of this issue may extend outwith contractual boundaries of the Group or the Business Unit. Even if we are not liable or involved, we may wish to help or support the community in the event of a local emergency (ref. Key Element 6).


Auditprogrammeswilladdresstheactivitiesabove,particularlythose not covered by exercises.

BusinessUnitwillrecordoutcomesofexercisesandshowfeedback to improve processes.



Environmental management

Business Units will protect the environment and minimise any adverse impact from our operations through efficient use of natural resources and adherence to applicable environmental protection standards.


Ensurethatnationalandlocallegislativerequirements, and Group and client requirements in respect of environmental issues are identified, understood and administered under a formal Business Unit management process for compliance review and monitoring.

Addresscarbonemissions,understandtheseand minimise Business Unit and Group carbon footprint.

Ensureenvironmentalaspectsandimpactsare clearly assessed, reviewed and mitigated, and that adequate training and awareness are provided to support such efforts.

Ensureimprovementgoalsandmetricsareestablished and implemented to measure performance, minimise risk, reduce impact and assure compliance.

13

protection minimise impact




National and local legislative requirements

Group Carbon Footprint Guidelines

Group Carbon Reduction Commitment (UK)

Group Carbon Disclosure Project (CDP)


Requirements

Risk importation Business Units must be aware of the environmental risks that may be imported from new contracts, suppliers, ventures, operations, processes and property leases or acquisitions.

Resource consumption Business Units must be aware of their energy and natural resource consumption and the environmental sensitivity, sustainability and continuing appropriateness of these inputs.

Wastes, discharges and emissions Business Units must be aware of all their waste streams, discharges and emissions, their magnitudes, the control and disposal arrangements and their impact, both planned and unplanned, ensuring their disposal complies with local legislative requirements.

Environmental management Business Units will formalise a structured environmental management system which is fully integrated with the HSE Management System. This will be of a size and scope appropriate to the business and the nature of exposure. This will be in line with ISO14001 or similar internationally recognised standard (e.g. EMAS).

Legislative obligation Business Units must fully assess applicability, evaluate, understand and comply with local and national environmental legislative requirements and statutory reporting requirements, including cross-border variations.


Conductperiodicauditstodemonstratecompliance.

Conductperiodicauditsofkeycontractorsenvironmentalperformance.

ReportallenvironmentalinfractionsinCAIRSandtoregulatoryagencies where required.

Retainappropriatedocumentationtoassesscompliancewithapplicable legislative requirements or standards.



Incident reporting and investigation

Business Units will follow Group procedures for incident reporting. All incidents will be reported promptly and accurately. Business Units will adhere to Group Guidelines on this area, and will have procedures in place to investigate incidents. Root causes of incidents will be identified and lessons will be learned, adopted and disseminated to prevent reoccurrence.


EnsurethatGroupproceduresareappliedandresources are available for appropriate incident reporting and investigation.

Befamiliarwithallsignificantincidentdetailsandmitigations for their area of responsibility.

Ensurethatallactionsarisingfromtheincident investigations are followed through to completion in a timely manner and that key learnings are shared across the Group.

Activelyshare,orseekout,learningfromotherparts of the Group and assess potential benefit to local Business Unit or operation.

14

learning prevention




Group HSE Policy

Group Reporting Procedure for HSE Leading and Lagging Indicators

Group Incident Investigation Guidelines

Group Case Management Guidelines

All prevailing local and national legislative requirements related to this subject


Requirements

Caring for people Business Units will ensure appropriate care and support is given to anyone injured on Group premises or by Group, or Group employees injured by the actions of others.

Incident reporting All incidents will be reported in the Group online reporting system (CAIRS) within 24 hours of occurrence, as defined in the Group procedures. Statutory reporting requirements will be fulfilled. Business Units will require immediate, detailed internal reporting for incidents of a serious nature.

Incident management Incidents will be managed to ensure that, in case of an injury or occupational illness, the most appropriate medical attention is provided and that an effective approach is in place for managing incidents.

Incident investigation This will be conducted by trained individuals. The process will be planned, conducted and reported, and the findings appropriately communicated.

Report closure Investigations will be formally reported. Actions will be identified, assigned and tracked to completion. Employees who were involved with the incident should be advised of the Business Unit investigation output and remedial work. Preventive actions will be risk-ranked to attend to the highest risks first.

Trends and learning The Business Unit will undertake incident analysis, trending and benchmarking to assess performance against peers and industry, as well as to identify potential local issues. Business Units will show that the potential learning from each incident has been maximised, to the widest benefit.


EffectiveandcompliantBusinessUnitreporting.

Effectiveandrecordedincidentinvestigations.

Effectiveactionmanagementtocompletion.

Communicationasbefitsthenatureoftheincident.

Analysisandunderstandingofrootcausesandanywidertrends.



Change management

Business Units will apply an effective risk management approach to changes which might impact HSE, considering such aspects as organisational, procedural, material, equipment and process change. This will ensure the impact of such changes does not introduce new hazards into the workplace.


Understandthatmajororganisationalchangessuch as acquisitions and subsequent integration, mergers and downsizing are likely to lead to heightened risks of HSE failure, and devote sufficient time and resources to avoid such problems.

Demonstratetheirunderstandingofthisrequirement and commitment to ensuring changes are managed.

Ensurethatproposedchangesareproperlyevaluated using a risk assessment approach prior to implementation.

Ensurethatanynew,ormodified,hazardorriskidentified during this change review process has been understood and mitigated. This will be done in a formal and structured manner.

15

mitigation planning




Local and national legislative requirements related to this subject

Group Engineering Excellence Guide


www.woodgroup.net/ENG

Requirements

Management of change No change that could jeopardise HSE management systems, equipment integrity or compromise process safety is to take place without a formal and systematic evaluation of its impact and the options for managing any potential new risk. The evaluation shall typically consider, but not be limited to, the following changes:

Staffinglevelsandorganisationalchanges,includingchangesinroles and responsibilities

Processchemicalsandsubstances

Processoperatingconditionsoutsideestablishedandsafedesign limits (pressure, temperature, radioactivity, vibration, noise etc.)

Technology,materialsandequipmentandtheiroperatingparameters

Operatingandmaintenanceprocedures,standardsandspecifications

Engineeringdesign

Protectivesystems,testingandinspectionproceduresandfrequencies

Criticaldocuments,standards,proceduresandlegislativerequirements etc

Contractsandprocurement

Buildings,sitesandfacilities(includingprojects)

Emergencyresponseplans

Gradualchangeandthecumulativeeffectofthis

Training and competency Personnel in positions authorised to make decisions regarding changes that affect the Business Unit must be trained and competent in risk assessment methodology (ref. Key Element 8).


FormalreviewofallproposedchangesthatcanaffecttheHSEManagement System, equipment integrity or process safety.

Periodicassessmenttoensurethatcontrolsandmitigationsremain current and effective.

InclusionofManagementofChangeprocessintoBusinessUnitaudit processes.


Wood Group15 Justice Mill LaneAberdeenAB11 6EQUK

Tel +44 1224 851 000

www.woodgroup.com

17420 Katy FreewaySuite 300HoustonTX 77094USA

Tel +1 281 828 3500