Safety Culture and Liability Management ~ Ransom

Sorry guys I’m on my phone and I had to choose a photo from this blog


Those of us in blue-collar occupations (and many of us who aren't) have seen “safety culture” grow at a marvelous rate over the last little while. Safety is number one, safety is the first priority, safety safety safety.

While it is difficult to argue against safety as an abstract value, it is easy to argue that contemporary safety culture is a bin of weasel nuts.

No matter how important safety is, there comes a point where safety is a malinvestment. I argue that we have in many circumstances passed that point.

The Grim Unknown


One reason for the over-emphasis on safety is that both injuries & certain safety practices lends themselves to measurement while prevented injuries do not.

Great difficulty and ingenuity is spent to contrast what has happened with what would have otherwise happened. This could easily be an argument against safety practices because their effectiveness is a hard thing to measure, but in this case it makes a lot of sense: imagine a lottery where purchasing tickets increased your chances, not of acquiring a mega-yacht, but of avoiding being run over by Hillary Clinton in a station wagon?

While non-participation in a conventional lottery means forfeiting the infinitesimal chance of “the big win” (as well as the very concrete expense of all those tickets), non-participation in the safety lottery means unmeasurable-but-increased exposure to unknown risks at an unknown frequency.

Safety is therefore a sort of insurance against unknown but grim outcomes.

Where the price of failure is expensive to discover it makes sense to purchase (probably) unnecessary levels of insurance just to be safe.

This would probably work out pretty well if it weren't for an additional twist – Liability.

Liability


Legal liability adds an additional level of threat to companies, one that dwarfs everything else.

It is easy to implement a monthly safety observation quota. It is easy to implement a recurrent managerial “hazard hunt.” The visible costs are low. The worst-case scenario being guarded against is frighteningly costly.

We have created a system where the success or failure of an enterprise hinges upon its ability to avoid liability. Liability shifts the costs from the individual to the organization. Where idiots once had to pay a stupidity tax in the form of pain, financial hardship, or even loss of life, now the organization is culpable.

Organizations have deeper pockets with softer limits than individuals. Combined with the cultural shift towards placing blame on systems than on individuals it is easier to stomach destroying a company than letting individuals shoulder the punishment themselves.

It doesn't help that the boundary between system design and individual choice is soft and fluid. Where do the company's responsibilities end? It sure seems “safer” to place the lion's share of burden on the company, but this increases the total costs of the system because the individual is more efficient at some things than the group.

Results


We have built an entire economy around ascribing value to non-events, which are grossly difficult to measure. We value acute events disproportionately to chronic, low-level events. We base our concerns upon information provided by third parties instead of our own experience. This results in behavioral distortions.

Because non-events are impossible to quantify we instead rely on procedures. This leads to the development of two layers in companies; the managerial layer, which is auditable & where the lawyers play, and the productive layer, which is opaque.

The lawyers' job is to entertain the other lawyers and dance the don't-fine-me dance. They are unproductive and are supported by the productive layer, which must must figure out ways to (seem to) comply or else the entire operation becomes unsustainable.

School shootings are an emotionally wrenching topic that attract unlimited funding to combat, but the measures taken are expensive & useless (scanners) or dangerous on a low level that doesn't register on the decision-making level (bollards). Money is spent on things that provide little value or even lead to routine loss of life.

Television exacerbates the situation by focusing only on the high-profile problems & giving little to no coverage to the distributed problems that account for the bulk of costs and injuries.

Conclusion


I just went through another round of safety training and am cranky about it.

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