Transcript No Slide Title

Mine Health and Safety Council
Presentation to Parliamentary Portfolio Committee
on Mineral Resources
MHSC Annual Report for 2010/2011
27th January 2012
Contents
– MHSC Mandate
– MHSC Overview
– Strategic Objectives of MHSC
– Monitoring and Reporting Performance
– Good Governance at MHSC
– MHSC in 2012 and beyond
2
The Mine Health and Safety Council
Vision:
A regulatory framework and climate that produces
safe and healthy working conditions for mineworkers
and communities affected by mining
Mission :
To facilitate sustained improvement of occupational
health and safety at mines through focused research
and guidance on best practice, effective policy
advice and legislation, and the development of a
pervasive culture of health and safety
3
MHSC’s Mandate
•
•
•
•
•
Advise the Minister on all occupational health and
safety issues in the mining industry relating to
legislation, research and promotion
Review and develop legislation for
recommendation to the Minister
Promote health and safety in the mining industry
Oversee research in relation to health and safety in
the mining industry
Liaise with other bodies concerned with health and
safety issues
4
MHSC’s Composition
The main task of the MHSC is to advise the Minister of Mineral Resources on OHS legislation and research
outcomes towards improving OHS performance in SA mines
Mine Health &
Safety Council
State
Labour
Employers
Audit & Risk Committee
Mining Regulations
Advisory Committee
(MRAC)
Legislation
Regulations
Guidelines
Standards
Mining Occupational
Health Advisory
Committee (MOHAC)
Health Policy
Health information
Health regulations
Research input
MHSC Office:
Safety in Mines Research
Advisory Committee
(SIMRAC)
Research needs
Research programmes
Technology Transfer
Mining Industry TB &
HIV/AIDS Advisory
Committee(MITHAC)
HIV/AIDS policy
TB guidelines
HIV/AIDS for mining in line with
NSP
Operational Execution and Implementation
5
MHSC’s Strategic Plan
Balance Scorecard is the best way to monitor and report the organisational performance - provides an
integrated view of the overall performance
1.Customer Perspective
Focus on customers satisfaction to ensure that do
not find other suppliers who meet this need. Poor
performance in this area is a leading indicator of
future decline.
2. Internal Business
Three key clusters that focus on day to day
operations; development of products and
services to meet the customer needs and
customer relationship management.
3. Learning and Growth
Growth in human capital, information capital and
organisational is critical to the success of any and
all organisations
4. Financial Perspective
To ensure financial sustainability through
revenue collection; reducing operational costs
and managing financial risks
Monitoring MHSC’s Strategic Plan
MHSC Strategic plan is a 3 year rolling plan – based on stakeholder needs, mining industry opportunities and
challenges; outcomes of industry initiatives and plans in relation to OHS
1.Customer Perspective
2. Internal Business



Improve Efficiency

Embed & Automate processes

Review processes

Engage in purposeful OHS research

Benchmark against, Adopt & Share in
OHS Best Practice

Understand current and future OHS
needs

Educate and empower stakeholders


Provide advice to the Minister
Influence the Health and Safety Legislative
environment
Promote a Health and Safety Culture
Improve Tripartite Partnership and
Cooperation
3. Learning and Growth
 Attract, Develop and Retain Appropriate
Staff

Embed Cored Values

Build Technology Capability

Build Accountability
 Leverage networks
4. Financial Perspective
 Improve Revenue Collection
 Align Budget with Strategy
 Leverage Assets Optimally
 Improve cost structure
Strategic Plan - BSC Map
Customer and
Stakeholder
Promote Health and Safety Culture in the mining
industry
Regular & Timeous
Feedback
Provide advice &
reliable information on
OHS
Improve efficiency
Strengthen Tripartite
Partnerships
Influence Legislation
Adopt & Share Best Practice
Financial
Learning &
Growth
Internal Process
Build / Leverage Networks
Embed processes
Engage in Purposeful Research
Educate & Empower our
Stakeholders
Automate processes
Benchmark against best
practice
Review business processes
& procedures
Understand Current & Future
OHS Needs
Efficient Business Processes
Knowledge Leadership
Attract, Develop &
Retain appropriate
staff
Improve
Revenue
Collection
Understand Stakeholder Needs &
Expectations
Stakeholder and Customer Relationship
Management
Embed Core Values
Build Technological
Capability
Build
Accountability
Align Budget with
Strategy
Leverage Assets
optimally
Improve Cost
Structure
Manage Risk
Measuring performance
MHSC strategic objectives alignment with the BSC
1.Customer Perspective







Provide advice to the Minister
Influence the Health and Safety Legislative
environment
Promote a Health and Safety Culture
Improve Tripartite Partnership and
Cooperation
Drive the implementation of the Summit
2013 actions within the mining industry
Build Health and Safety Capacity in the
Sector
Monitor the improvement of the lifestyle of
mine workers

Build Capacity in the MHSC Office

Build Capacity in the Council to ensure
knowledge of Councillors matches the
MHSC strategic objective



Manage OHS research
Maintain effective Financial
Management
Maintain a high level of risk
management
Measuring performance – Objective 1
Customer and Stakeholder Perspective
OBJECTIVE
MEASURE
Y
ACTUA
L
y
% implementation of OHS culture
framework plan
90%
0%
The Culture Transformation Framework was approved in April 2011 due to the
dependency on the approval, the implementation plan was not developed.
Regular & Timeous Feedback
% compliance with policy
requirements
100%
100%
Compliance with required timeframes for submission of plans and reports is
high. The MHSC management quarterly report, business plan and budget was
submitted timeously.
Provide Advice & Reliable
Information on OHS
No of OHS advice reports
submitted to Minister
4
4
A number of topical issues (e.g. Chilean Mine Disaster and Acid Mine
Drainage) were addressed.
75%
-
The survey tool was approved however the survey was not undertaken due to
the dependency on the website to disseminate the survey.
Promote Health and
Safety Culture in the
Mining Industry
OHS Culture framework
developed
Stakeholder Satisfaction Survey
(Impact Assessment)
TARGET
REASONS FOR DEVIATION
Approval of the Cultural Transformation framework was obtained at the Council
meeting in April 2011. Stakeholders still want to discuss the framework report.
Influence Legislation
No of recommendations
(legislative) submitted
6
0
Inputs to the Enforcement guidelines were made.
Workshop held on the proposed amendments to the MHSA.
Strengthen Tripartite
Partnerships
No of high-level stakeholder
engagements to discuss issues
2
1
The Deputy Minister visited the MHSC Offices in February 2011 (due to the
late notification not all stakeholders were able to attend.)
Representation of stakeholders at
scheduled meeting
40%
75%
The MHSC and its sub-committees met regularly for the period under review
with attendance being generally good.
% tripartite initiatives implemented
(summit action plan)
80%
70%
Most of the projects on the action plan are being developed through the Culture
Transformation Framework and as such have been delayed
COMMENTARY
• The Culture Transformation was developed towards end of 2009 – lack of approval impacted negatively on
implementation.
• Full compliance on reporting as per Ministry and Treasury requirements.
• Advisory notes were sent to the Minister of Mineral Resources on TB and HIV/AIDS, AMD. Mine Disaster in
Chile and OHS research programme.
• Although no legislation was developed inputs were provided on Enforcement Guidelines as well as MHS Act
• Other regulations under discussion in the year were :
(i) The Shafts and Winders regulations
(ii)Chapter 10. Review of Legal Appointments.
(iii) Further interaction with ECSA
(iv)Amendments to Conveyor Belts
Measuring performance
MHSC strategic objectives alignment with the BSC
1.Customer Perspective
2. Internal Business



Manage OHS research

Maintain effective operation of the
Council

Support OHS Monitoring and Evaluation
Initiatives
Provide advice to the Minister
Influence the Health and Safety Legislative
environment
 Promote a Health and Safety Culture
 Improve Tripartite Partnership and
Cooperation
 Drive the implementation of the Summit
2013 actions within the mining industry
 Build Health and Safety Capacity in the
Sector
 Monitor the improvement of the lifestyle of
mine workers
3. Learning and Growth
 Build Capacity in the MHSC Office

Build Capacity in the Council to ensure
knowledge of Councillors matches the
MHSC strategic objective
4. Financial Perspective
 Manage OHS research
 Maintain effective Financial
Management
 Maintain a high level of risk
management
Measuring performance – Objective 2
Internal Perspective - Efficient Business processes
OBJECTIVE
TARGET
MEASURE
ACTUAL
REASONS FOR DEVIATION
Improve Efficiency
% adherence to
prescribed timeframes
90%
90%
The target was met however a few challenges were still experienced in the submission of the
document packs.
Embed Processes
% adherence to
processes
100%
77%
Changes to research management where implemented during the year . Business processes for all
unites were reviewed.
Automate Processes
% of processes
automated
90%
40%
Challenges in IT resourcing and staffing and Problems with website
Review Business Processes
& Procedures
% of business processes 100%
reviewed
100%
All process for MHSC activities were updated
Adopt & Share Best Practice
Number of best
practices identified,
adopted and shared
1
0
Specific programmes identified were effective methods of transferring research outcomes to
target audiences is needed. The programmes were identified by not rolled out to members nor the
sector.
Champion mine project
perception and rating
75%
0
Survey to be developed in 2nd half of the 2010/2011 year. This was not achieved to the capacity
constraints not only the Research Department but within MHSC Offices.
%age of Projects on
brief, on budget ,on time
70%
40%
Delays experienced due to late approval and was compounded by lack of submissions of preproposals on research questions. All new projects started but are late.
Completed Best Practice Y
Survey
Y
SA practices identified as leading in most areas of OHS and as a result the focus has been on
utilising the services within the country and continue with the internal research processes.
Understand Current & Future Annual OHS needs
Y
OHS Needs
analysis report approved
Y
Needs analysis for 20111/2012 completed and approved by MHSC.
Internal Perspective - Knowledge Leadership
Engage in Purposeful
Research
Benchmark Against Best
Practice
Internal Perspective - Stakeholder and Customer Relationship management
Educate & Empower our
Stakeholders
%age implementation of
communication plan
3
0
MHSC communication strategy approved.
The appointment of the MHSC Communications Manager will ensure that this gets implemented.
Educate & Empower our
Stakeholders
Number of stakeholder
interactions
3
2
In February 2011, the MHSC conducted an Induction Programme for all the stakeholders.
Presentations were given to stakeholders on the research processes as well as the research
programmes and projects.
Understand Stakeholder
Needs & Expectations
Implement Assessment
Survey
Y
N
Survey tool not rolled out
COMMENTARY
• The review of Business Processes was critical in the year and was completed
• Capacity constraints impacted negatively on other initiatives that lead to some only being partially completed
• Research projects commenced late due to lack of adequate proposals received from research providers with
significant consequences.
• Commissioned specialised task team to investigate falls of ground in Platinum following Marikana Incident
Measuring performance
MHSC strategic objectives alignment with the BSC
1.Customer Perspective
2. Internal Business



Manage OHS research

Maintain effective operation of the
Council

Support OHS Monitoring and Evaluation
Initiatives
Provide advice to the Minister
Influence the Health and Safety Legislative
environment
 Promote a Health and Safety Culture
 Improve Tripartite Partnership and
Cooperation
 Drive the implementation of the Summit
2013 actions within the mining industry
 Build Health and Safety Capacity in the
Sector
 Monitor the improvement of the lifestyle of
mine workers
3. Learning and Growth
 Build Capacity in the MHSC Office

Build Capacity in the Council to ensure
knowledge of Councillors matches the
MHSC strategic objective
4. Financial Perspective
 Manage OHS research
 Maintain effective Financial
Management
 Maintain a high level of risk
management
Measuring performance – Objective 3
Learning & Growth
OBJECTIVE
MEASURE
ACTUAL
REASONS FOR DEVIATION
2
3
• The following vacancies have not been filled
1. Safety Research Programme Manager
2. IT Specialist
3. Receptionist
% of payroll spend on
training and development
1%
2.2%
The following training took place on the period under review:
(1) Balanced Scorecard training.
(2) Emergency training
(3) SAMSHA training.
(4) Emergency training;
(5) Tax workshop
(6) PHD registration
Employee opinion survey
ratings
3/4
N/A
The employees survey process was not completed by the end of fourth quarter under review.
No of vacancies
Attract, Develop &
Retain Appropriate Staff
Embed Core Values
TARGET
This will be prioritised for the first quarter of 2011/12
Build Technological
Capability
%
implementation
of 90%
integrated IT & knowledge
management infrastructure
95%
Build Accountability
% employees with
performance agreements
for 2010/11
96%
100%
HR processes and policies have been updated, loaded SAMSHA on system
effective use of SAMSHA to be enforced
Not all the staff (1) had their assessments signed by the end of the year.
COMMENTARY
• Metrics put in place to focus on training of individuals as well as corporate self improvement
• During the year, post graduate studies for one employee was funded.
Measuring performance
MHSC strategic objectives alignment with the BSC
1.Customer Perspective
2. Internal Business



Manage OHS research

Maintain effective operation of the
Council

Support OHS Monitoring and Evaluation
Initiatives
Provide advice to the Minister
Influence the Health and Safety Legislative
environment
 Promote a Health and Safety Culture
 Improve Tripartite Partnership and
Cooperation
 Drive the implementation of the Summit
2013 actions within the mining industry
 Build Health and Safety Capacity in the
Sector
 Monitor the improvement of the lifestyle of
mine workers
3. Learning and Growth
 Build Capacity in the MHSC Office

Build Capacity in the Council to ensure
knowledge of Councillors matches the
MHSC strategic objective
4. Financial Perspective
 Maintain effective Financial
Management
 Maintain a high level of risk
management
Measuring performance – Objective 4
Financial Perspective
OBJECTIVE
MEASURE
TARGET
ACTUAL
REASONS FOR DEVIATION
Improve Revenue Collection
% Improvement on Debtors ageing
30%
35%
Though there is improvement on collections, the
challenge remains with the accuracy of the billing data
supplied by DMR
Align budget with strategy
% Total Budget Allocated to Strategy
80%
79%
Expenditure is in line with approved Business Plan .
Measure has not been developed.
Leverage Assets Optimally
ROI on People & Infrastructure
Improve Cost Structure
Opex Ratio
Manage Risks
% reduction in Substantial Findings
100%
0%
0.2
0.21
Savings as a result of vacancies and reduced staff costs.
64%
Exceeded target set.
External Audit complete.
Unqualified audit report was obtained from 2009/2010.
Number of findings.
Reduced compared to 2008/9 report
50%
COMMENTARY
• Improvement in revenue collection from levies collectable from operating mines
• Improvement in risk reduction for the organisation
• Return on Investment (ROI) was to measure development costs of staff and capital costs against the achieving
of strategic objectives – however was not undertake due to capacity constraints
• Reporting in line with all Ministry and Treasury Requirements
• Unqualified audit report from Auditor General
Summary of performance for 2010/2011
•
MHSC had no audit findings raised by the Auditor-General
•
Significant focus on Stakeholder Perspective – to provide information on
OHS issues to Ministry, Employers and Employees.
•
Efficacy of MHSC Operations by introduction of new systems and
processes.
•
Financial Management and
Risk Reduction ongoing and
there has been significant
improvement
•
Progress reports to the
Minister of Mineral Resources
on a quarterly basis
Summary of performance for 2010/2011
•
Research Projects 2010/2011 that were commissioned by the MHSC were:
•
Impact of Dust from Tailings Dam Facilities on neighbouring communities.
•
Development of Framework for reporting and management system for
Occupational Health.
•
Training and Awareness programme for Thermal Stress.
•
Minimising the risk of seismicity in platinum mines.
•
Integration of local mine seismic networks to national networks.
•
Personal Protective Equipment for Women in Mining.
•
Guidelines for Workers Incapacity due to Ill Health
•
Guidelines for Fitness for Work
Good Governance - Internal Audit
The Audit Committee is satisfied, with the content and quality of the monthly and
quarterly reporting as submitted by the Council during the year under review.
The Audit Committee is satisfied with the plan to be implemented by management in
addressing these challenges and the impact will be monitored continuously in the
new financial year.
The Committee is satisfied that the internal audit function is operating effectively and
that it continues to provide assurance in relation to the risks pertinent to the MHSC in
its audit.
Chairperson of the Audit Committee
19
Good Governance - Auditor General
Opinion
In my opinion, the financial statements present fairly, in all material
respects, the financial position of the Mine Health Safety Council as at
31 March 2011, and its financial performance and cash flows for the
year then ended in accordance with the SA Standards of GRAP and the
requirements of the PFMA.
20
Good Governance - Financial Statements
STATEMENT OF FINANCIAL PERFORMANCE FOR THE YEAR ENDED 31 MARCH 2010
2011
2010
63,883
59,916
57,020
52,903
6,500
363
7,235
588
50,586
45,004
21,459
18,462
Administrative expenses
5,871
4,194
Staff costs
9,055
9,937
860
1,095
12,255
10,959
130
9
955
348
13,298
14,912
Revenue from non-exchange transactions
Income
Revenue from exchange transactions
Finance income
Other income
Research expenditure
Expenditure
Depreciation and amortisation
Operating expenses
Promotion of Health And Safety
Finance costs
Net Surplus for the year
21
Mine Health and Safety Council
The MHSC continues to work tirelessly to make a
meaningful contribution towards the realisation of
ZERO HARM at South African mines.
Reaching the industry’s 2013 milestones is indeed a
mammoth task that calls for dedication and cooperation from all
Mine Health and Safety Council
Strengths
Challenges
•
Tripartism
•
The need for proactive/leading
indicators
•
Uniformed voice by all towards
ZERO HARM
•
Lack of research capacity –
nationally
•
Research Implementation
•
Reporting of data
•
Sound Risk Management
Opportunities
•
The MHSC OHS Summit
•
The Centre of Excellence
•
The Cultural Transformation
Framework
•
Focus on Technology Transfer
•
Reporting on OHS in mining charter
ZERO HARM – THE ULTIMATE
Thank
you
Thank you