Edward McKeiver - Aurizon - An enterprise approach
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Transcript of Edward McKeiver - Aurizon - An enterprise approach
An Enterprise Approach
Edward McKeiver
VP Service Delivery Coal Markets
Aurizon
30th April, 2014
Sydney Harbour Marriot
Aurizon• Operations across all
mainland States
• 2,670km of track owned,
managed and operated in
Central Queensland
• 267mtpa of volumes hauled in
FY13
• ~7970 employees
• $9.6bn of total assets
• Market capitalisation of ~$8bn
Derailments – Situational Appraisal
• FY12 – One derailment every 38hrs
• 230 derailments (33 Mainline, 197 Yard)
• A complex risk profile
• Legacy infrastructure conditions
• Human Factors (lapses, procedures not followed)
• 67% on QR National Infrastructure, 33% on 3rd
Party Infrastructure
• Investigation ownership, reporting and analysis
needs significant overhaul and improvement
• 80% in Queensland including 55 wheel
obstruction derailments
Focus
• Enterprise problems require Enterprise solutions
• Required a leadership paradigm shift in standards and
expectations to drive cultural change
• Derailments are not the norm or acceptable
• A significant training exercise needed to be undertaken to
heighten derailment risk awareness
• Accountable Line Management needed support
• Collaborative Leadership expected
Derailment Prevention Community of Competence (CoC)
• Representatives from across the enterprise with a specialized
focus and interest in preventing derailments (network)
• Charter - To develop and foster best practice derailment
prevention solutions and facilitate their implementation across
Aurizon to eliminate derailments
• New leadership
• Appointment of a full time resource
• Systematic approach and refocused enterprise strategy
Strategy – FY13
• 3 Core Areas
• Improved collection and utilisation of data – critical in
understanding the levers to drive future strategy
• Uplift capability - investigative talent and derailment
precursor awareness across the enterprise
• Creation of safe operational yard infrastructure – high risk
interventions in known “hot spots”
Data, Reporting and Analysis• Reinstatement and mandated requirement
for detailed derailment reporting (Form 7)
• Regular analysis of levers to drive strategy
12377%
3019%
42%
32%
FY13 - All Derailments by State
QLD
WA
NSW
VIC
230
115
160
0
50
100
150
200
250
FY12 Count FY13 Target FY13 Count
FY13 - All Derailment Performance
Total
Linear (Total)
Total FY12: 230Total FY13: 160
Improvement30.43% (Direct Count)
46.71% (Normalised Mtkm)
Rate FY12: 7.81Rate FY13: 4.16
129
53
125
17 14
64.5
26.5
62.5
8.5 7
82
37
1410 12
5
0
20
40
60
80
100
120
140
Bulk Coal Rollingstock Network Intermodal Iron Ore
FY13 - All Derailment Performance by Function
FY12 Count
FY13 Target
FY13 Count
10
8 8
7
6 6
4 4 4 4 4 4
3 3 3 3
2 2 2 2 2 2 2 2 2 2 2
0
2
4
6
8
10
12
FY13 - All Derailment Frequency by Location - Count > 1
Count of Location
103 out of 16065% of Sample
11041%
5018%
4517%
218%
145%
135%
93%
62%
21%
FY13 - All Basic Causation - All Levels
Engineering
Mental/psychological
Job Factors
Organisational
Motivational/communication
Physical/physiological
Knowledge, skill and experience
Management systems
Abuse or misuse
2440%
1423%
1423%
59%
35%
FY13 - Track, Roadbed, StructuresImmediate Causation
Track geometry
Points and Crossings
Roadbed
Rails, Joints, Fastenings, Sleepers
Other Way and Structures
Capability Uplift
• 60 Derailment Prevention
Champions (DPC’s) trained
across the enterprise
• Systems approach including use
of ICAM
• Support investigators and line
management to take proactive
approach in derailment
prevention
• “Tools” deployed in strategic
locations – quality investigations
Networking and the Learning Organisation
Enterprise Awareness
• Intranet site with
resources
• “Toolbox Talks””
• Learning Packs
• Video Resources
• DPC SharePoint site
• Awareness of every
derailment
• Shared reports for
learning
Sharing the Learnings – Salmon Gums
• Play Example of CoC Video
Infrastructure Interventions
• Targeted interventions in known
“hotspots”
• Closure/removal of high risk
locations
• Investment to restore to standard
• Townsville
• $1.9M
• 35 derailments down to 10 (FY13
compared to FY12)
Strategy – FY14
3rd Party Engagement
• Create tension and reinforce
accountabilities
• Collaborative approach including
joint investigation
Best Practice Standards
• Single Enterprise Standards (1/2
Distance Protection)
• Standards as reference point for
factual investigation
• Support for National Standards,
COP’s and Guidelines
• Rail Welding and Rail Stress
Management
Derailment Prevention Awareness Program• ½ day workshop for operational
staff including leadership teams
• Proactive approach to
identification of derailment
precursors
• Engaging and gaining
commitment
• Rollingstock, infrastructure and
human factor focus
• 5% of “front line” trained to date
Other Strategic Initiatives
• Establishment of Infrastructure Rail
Management Team (“blue” roads) –
“Whole of Life” asset management
• Replacement of “sensitive”
rollingstock – Minerva consists
• Improved ballast wagon design
• Wayside detection “supersites” and
use of ACFM technology
Results – On Target FY14
Summary
• Holistic enterprise/supply chain/industry approach required
• Given human factors, engagement and leadership is paramount
to drive change in the safety culture
• Success is underpinned by activities aimed at becoming a
“learning organisation”
• Use Standards as a factual reference base.
• Leverage Community - Collaborate to share, learn and grow.
• Never stop asking “why?” (systems approach and basic
causation)
• Improved Safety/Stakeholder outcomes for all.
Questions
Thank You
The “Champions”