Importance of Risk Management

Why Risk Management is Crucial

Prevention of Workplace Accidents, Injuries, and Fatalities:

• In demolition work, the risks of accidents are significant due to the high-risk nature of the tasks involved, such as structural collapse, falling objects, exposure to hazardous materials, and operating heavy machinery.
• Effective risk management prevents incidents by proactively identifying hazards and implementing appropriate control measures.
• By preventing accidents, risk management protects the health and safety of workers, visitors, and the public.

Legal Compliance with WHS Laws and Regulations:

• Under the Work Health and Safety (WHS) Act and Regulations, PCBUs (Persons Conducting a Business or Undertaking) are legally required to identify and manage risks to ensure a safe workplace.
• Failing to effectively manage risks can result in legal consequences, including fines, penalties, and prosecution.
• Developing and implementing Safe Work Method Statements (SWMS) for high-risk demolition activities is a legal requirement and a core component of risk management.

Minimizing Financial and Reputational Risks for Businesses:

• Accidents and incidents on demolition sites can result in significant financial costs, including medical expenses, compensation claims, legal fees, and increased insurance premiums.
• Incidents can also lead to project delays, equipment damage, and loss of productivity.
• Reputational damage from workplace accidents can impact client trust, future contracts, and overall business sustainability.
• By effectively managing risks, businesses can reduce costs associated with incidents and maintain a positive reputation in the industry.

The Risk Management Process

The risk management process is a systematic approach to identifying, assessing, and controlling risks associated with demolition work. It involves four key steps:

1. Identifying Hazards: Understanding What Could Cause Harm

• Definition:

  • A hazard is anything with the potential to cause harm, including physical, chemical, biological, ergonomic, and psychosocial hazards.
  • In demolition work, hazards can include structural instability, falling objects, hazardous materials (e.g., asbestos or lead), noise, dust, and moving machinery.

• Methods of Identifying Hazards:

  • Site Inspections: Conducting thorough walkthroughs of the demolition site to identify visible hazards.
  • Reviewing Demolition Plans and SWMS: Identifying hazards associated with specific demolition methods and equipment.
  • Consultation with Workers: Involving workers and supervisors in identifying hazards, as they have firsthand knowledge of the tasks and potential risks.
  • Reviewing Incident Reports and Safety Data Sheets (SDS): Analyzing past incidents and hazardous chemical information.

• Examples in Demolition Work:

  • Identifying unstable structures or weakened load-bearing walls.
  • Recognizing the presence of asbestos or hazardous dust.
  • Identifying overhead power lines or underground utilities.

2. Assessing Risks: Evaluating the Likelihood and Severity of Harm

• Purpose:

  • Risk assessment involves evaluating the potential impact of identified hazards by considering:
    • The likelihood of the hazard occurring.
    • The severity of harm if the hazard does occur.

• Risk Assessment Methods:

  • Qualitative Risk Assessment: Using a risk matrix to rank risks as low, medium, high, or critical.
  • Quantitative Risk Assessment: Applying numerical values to the likelihood and severity of risks.
  • Job Safety Analysis (JSA): Breaking down tasks into steps to identify specific risks at each stage.

• Examples in Demolition Work:

  • Assessing the risk of structural collapse during mechanical demolition.
  • Evaluating the risk of exposure to asbestos during the removal of building materials.
  • Determining the likelihood of falling objects impacting workers or the public.

3. Controlling Risks: Implementing the Most Effective Control Measures

• Hierarchy of Control Measures:

  • The WHS Regulations require the use of the Hierarchy of Control Measures to manage risks, in the following order of effectiveness:
    1. Elimination: Removing the hazard entirely (e.g., de-energizing power lines before demolition).
    2. Substitution: Replacing the hazard with something less hazardous (e.g., using less hazardous chemicals).
    3. Engineering Controls: Isolating people from the hazard (e.g., exclusion zones, protective structures).
    4. Administrative Controls: Implementing safe work procedures and training (e.g., SWMS, signage).
    5. Personal Protective Equipment (PPE): Providing protective gear (e.g., respirators, hard hats).

• Developing and Implementing Control Measures:

  • PCBUs must select the most effective controls, taking into account the nature of the hazard and the degree of risk.
  • Control measures must be clearly communicated to workers through training, signage, and documented procedures.
  • For high-risk construction work, SWMS must detail the control measures and be reviewed by workers before starting the task.

• Examples in Demolition Work:

  • Setting up exclusion zones to prevent unauthorized access to hazardous areas.
  • Using water sprays to control dust and airborne contaminants.
  • Providing respiratory protective equipment for workers handling hazardous materials like asbestos.

4. Reviewing Control Measures: Ensuring They Remain Effective Over Time

• Purpose and Importance:

  • Control measures must be regularly reviewed to ensure they remain effective and are consistently applied.
  • Reviews are required:
    • After an incident or near miss.
    • When new hazards are identified.
    • When changes occur in the work process, environment, or legislation.

• Methods of Review:

  • Conducting regular site safety inspections and audits.
  • Consulting with workers to obtain feedback on the effectiveness of control measures.
  • Reviewing incident reports and investigating the root causes.

• Examples in Demolition Work:

  • Inspecting exclusion zones and adjusting barriers as the demolition progresses.
  • Reviewing PPE requirements based on worker feedback and air monitoring results.
  • Updating SWMS and safety procedures after an incident or near miss.

Benefits of Effective Risk Management

Improved Worker Safety and Morale:

• Workers feel safer and more confident in a well-managed work environment.
• Reducing incidents and near misses improves worker morale and job satisfaction.

Increased Productivity and Operational Efficiency:

• Safe work environments lead to fewer disruptions from accidents or incidents.
• Well-implemented risk controls streamline work processes, increasing productivity.

Enhanced Legal Compliance and Reduced Liability:

• Effective risk management ensures compliance with WHS laws and regulations.
• By minimizing risks, businesses reduce legal liabilities and potential compensation claims.
• Improved compliance also leads to better relationships with regulators and clients.