Safety: it's no accident. (Risk Manager).

Throughout history, there have been many codes that regulate business and commerce. Whether you trace the roots of insurance and the principles of risk management back to King Hammurabi's Code of Law in 1780 BC, or to the small London coffee shop of Edward Lloyd in the 1680s, where ship owners and insurers met to have coffee and discuss transferring risk for a fee--aka insurance--it's not a new idea.

Specifically, risk management involves the concept of identifying, analyzing, controlling and handling risks or exposures to risk. There are several basic tenets of the concept of risk management:

* Don't retain more than you can afford to lose.

* Don't risk a lot for a little.

* Consider the odds.

* Don't treat insurance as a substitute for loss control; insurance is a way to transfer some of the handling of risk by financing it.

The essential benefits of a sound risk management program include reduced accidents, adequate protection of the entity, valuable contributions to bottom-line results and the ability to plan and budget better.

One important component of risk management is loss control or prevention through safety techniques. The National Safety Council (NSC) has designated June as National Safety Month. It is an annual observance that has a goal of both increasing public awareness of the dangers we face each day on the highways, in our homes and communities, and in the workplace, and offering helpful tips to reduce accidents and injuries or to mitigate the consequences.

"Through advances in public awareness, including technology and more stringent safety and health laws, a safer environment exists today for Americans, yet deaths from unintentional injuries continue to plaque the nation," said NSC President Alan McMillan.

In 2001, more than 5,000 deaths occurred in the workplace; motor vehicle crashes caused 43,000 deaths; and 29,500 people died in their homes. In his letter praising the establishment of a National Safety Month, President Bush said, "Unintentional deaths and injuries remain a serious problem that we must continue to address." Throughout June, the NSC will focus on problem areas and offer solutions to help keep Americans safe and healthy [www.nsc.org].

Adding Cost to Injury

More than 4 million Americans suffered workplace injuries in 2001. The typical workplace injury can cost a company an average of $28,000 in wage and productivity losses, medical and administrative expenses, insurance increases and other costs. When these losses add up, everyone suffers, not just the injured employee and his family. Improving workplace safety can improve your bottom line. Learn to help your employees come to work safe, healthy and prepared by taking care on a "24/7" (holistic approach) basis.

But safety is no accident. It takes a proactive approach, not a wait-and-see strategy, Pro-active Safety--the aggressive pursuit of zero accidents in the workplace--relies not only on knowledge of safe operating procedures and principles, but also on the right attitude among all employees.

The best way to foster the right attitude is through leadership. Leadership is different from management, though they are not necessarily mutually exclusive. Rather than concentrating solely on the rules, leadership is the ability to motivate a group of people toward a specific attitude or behavior by building a connection with them.

Since the characteristics of a good leader can be found in anyone, employees at all levels can serve as safety leaders. A leader must have a vision of a well-defined goal and the steps to make it happen. A god leader will inspire others to focus and achieve the goals. To be effective, safety leadership must start from the top down and spread throughout the organizations.

Meeting Expectations

The first step in reaching your safety goals is to create expectations. Expectations not only encourage people to reach for zero accidents, they also make meeting that goal a reality. Expectations should be realistic, defined and achievable.

A well-designed safety program should include a comprehensive safety manual--not only because OSHA requires it, but also because it shows the goals and how to achieve them. Organizationally, it is important that all employees understand that they are entitled to maximum protection from controllable hazards and that the company is committed to safety and loss control.

Specific policies on issues such as a drug free workplace, safety meetings, accident investigations, motor vehicle use, defensive driving, fire protection, safe lifting, MSDS (material safety data sheet), first aid, slips/trips/falls, forklift use and safety ladder climbing, to name a few, should be included in a safety plan to ensure zero accidents.

It is the responsibilities of effective safety leadership to anticipate the worst and prepare for the best results. Don't be fooled into thinking small accidents aren't important. Many times small incidents can provide an early warning sign of more serious safety problems.

Take the opportunity to use the National Safety Month in June as a way to re-enforce safety at your telco. For additional tips, visit www.telecominsgrp.com.

RELATED ARTICLE: Hitting the Mark with Zero Accidents

It is possible to achieve zero accidents by practicing the following:

* Believe that zero accidents is achievable.

* Foster safety leadership in all employees.

* Encourage your co-workers to work safely.

* Prevent accidents by removing or reporting hazards immediately.

* Take responsibility for your own safety.

* Use the proper protective equipment.

* Participate in training and equipment orientation exercises.

* Conduct assessments, audits and evaluations of your safety programs.

Marilyn A. Blake is vice president of risk management for the Telcom Insurance Group. She can be reached at [e-mail].