Improving EHS compliance needs a clear understanding of current risks and resources, as well as the steps needed to change, improve, and exceed compliance requirements.
The ultra-competitive nature of the modern business world means that just meeting compliance standards isn’t enough for businesses to stay ahead — they need to stand out by going beyond compliance and embedding their core values into every aspect of operations. The organizations that truly excel don’t just follow the rules — they integrate a culture of responsibility, safety, and ethics into their processes.
To achieve this, companies need to reprioritize EHS compliance while remaining mindful of organizational goals.
In this article, we’ve laid out five effective ways for businesses to set strategic goals, break them down into manageable steps, and leverage their existing resources.
1. Risk measurement and prioritization
All business activities have an inherent level of risk to them. While they can’t be eliminated completely, they can be effectively managed by quantifying and ranking the risks based on certain factors. Here are three important types of risk to consider:
Uncontrolled risk
The potential risk when no control measures are in place, determined by multiplying the severity and probability of the risk.
Current risk
The level of risk after implementing control measures. Although severity usually stays constant, probability can be reduced. In electrical work, for example, the severity (potential fatality) is constant, but safety measures like proper training and PPE can drastically reduce the likelihood of an accident.
As Low as Reasonably Practicable (ALARP)
This represents the lowest achievable level of risk after applying all feasible control measures. While residual risk will always remain, it should be as low as possible within current technical and financial constraints.
Businesses need to be able to accurately measure risk so it can be successfully managed. The first step of this is to calculate the gap between current risk and ALARP, then plan and allocate resources to reduce risks to an acceptable level.
A certain level of risk may be tolerable in the short term, which can allow for a more financially sustainable path toward improvement in the future.
2. Build in milestones
Reducing risk is not a “one and done” activity — it’s a process.
Instead of abruptly trying to reduce risk, companies should gradually stage improvements to ensure resources are used efficiently while providing leadership with monitoring insights into what’s changing. Setting achievable milestones means businesses can steadily improve safety and compliance standards without overstretching resources.
3. Risk and resource alignment
After identifying risks, it’s important to make informed decisions regarding addressing them with the resources available to you. It then becomes a balance of how much risk you’re willing to accept and balance that against the amount of resources that can be sufficiently allocated to prioritize reducing the most critical risks.
Here are three key ways to align the resources at your disposal with the risks you need to overcome:
(1) Engage leadership
Safety professionals should provide a comprehensive analysis to help leadership prioritize risk reduction efforts. It’s important to remind decision-makers that they hold the ultimate responsibility for risk management, not the EHS manager.
(2) Leverage cross-functional teams
Collaborate with departments like Quality Management to identify opportunities that benefit multiple areas, such as investing in machinery that improves both productivity and safety.
(3) Develop long-term strategies
Secure leadership sign-off on a long-term risk management plan and review it annually to ensure it remains adequately resourced.
By presenting the risks clearly, leadership will be more inclined to allocate the necessary resources, knowing that inaction could lead to greater consequences.
4. Leverage your teams’ abilities
Investing in your employees’ development will help you unlock the hidden potential within your organization.
Be sure not to overlook what your team has to offer. While they may need to brush up on or learn certain skills, enthusiastic and motivated employees can and should be encouraged and supported to develop in ways that are of mutual benefit. Upskilling existing workers is a great way to drive the company’s safety and compliance efforts forward. Not only does it boost morale but also creates a positive culture that fosters continuous improvement and where employees are more likely to be actively engaged in their own development.
By giving your team the right tools, clear goals, and plenty of support, they’ll deliver superior results at a much more affordable rate — compared to the costs of outsourcing and hiring.
5. Support your goals and your teams with mindful system design
Intelligent system design is at the core of an effective EHS program. Look for ways to streamline systems and processes that will reduce time and risk while optimizing resources.
Here are two critical components to consider:
(1) Management systems
Robust management systems like ISO 45001 or ISO 14001 provide a structured, interconnected approach to managing risk and ensuring compliance, especially when they’re externally validated.
(2) Compliance tracking
It’s very difficult to overstate how influential a real-time compliance tracking system can be for businesses — especially those operating across multiple sites and jurisdictions. Having a direct finger-on-the-pulse of local legal requirements and current compliance levels is essential for a cohesive compliance program. A comprehensive compliance management tool helps businesses stay ahead of regulatory changes and avoid costly mistakes.
These systems need to be accessible, intuitive, and user-friendly so they provide value to employees at every level of the organization — not just to corporate teams. Usability and clear “everyday” benefit will mean the system is more likely to be embraced by the people who need to implement it.
Make a plan, measure your success
Going beyond compliance requires careful planning, measured steps, and ongoing commitment. Here’s the simplified breakdown of the steps businesses should take to get there:
- Conduct a comprehensive assessment of organizational risks
- Align those risks against the resources you have
- Set realistic goals with achievable milestones
- Invest in your team — internally at first, then look outward if necessary
- Build an intelligent system that supports your efforts, as well as your teams
Remember, compliance is just the baseline — going beyond it is what sets truly great organizations apart.
To find out more about transforming your EHS compliance program — and going beyond compliance — download our eBook, Practical advice for EHS transformation, today.