Добірка наукової літератури з теми "Mining capital expenditure"

AbstractCountries endowed with rich natural resources such as fuels and minerals often fall behind in human development. Does resource endowment hamper human capital development in China, a country that hosts rich resources in many of its regions? Through cross-regional and longitudinal statistical analysis and field research in selected mining areas, this study finds that resource dependence reduces government expenditure on human capital-enhancing public goods including education and health care. The local economic structure and reduced demand for labour, the shifting of government responsibilities onto mining enterprises, and the myopia of local residents and officials all discourage the local governments in resource-rich regions from investing in human capital.

Modern corporate practices have been slow to come to grips with the risks of large capital expenditure projects, particularly the processes of due diligence on investment submissions and high level monitoring of project implementation.Unlike the mining sector where major project cost blowouts have received intense public scrutiny, collection of data on this issue is difficult in the oil and gas sector and there remains a reluctance of companies to share horror stories. The increasing trend towards company acquisitions rather than exploration, the rates of return on capital investments reported by oil and gas companies and the data available on this issue within the mining industry point towards a potential problem for the oil and gas industry and one that, with appropriate corporate practice could be more readily identified.This paper puts forward the case for more effective corporate practices in relation to large capital projects in optimising return on capital and discusses the role of project owner senior management and the key factors impacting on capital expenditure blowouts.Effective project due diligence, monitoring of project implementation and integration management are put forward as the three key focuses for Boards and management in ensuring that cost blowouts are avoided.

The welfare of the people of West Papua who are depicted by macroeconomic conditions are still very far from the desired expectations. West Papua's HDI since the establishment of the Province has always been ranked at the bottom 2-3 of 32-34 provinces. The number of poor people although decreasing every year is still above the national average. On the other hand the development funds that have been used to build the economy in West Papua are quite large. From this description it needs to be questioned whether financial management has changed the economic performance of West Papua Province? The conclusion are 1) West Papua is more dominated by the oil and gas sector, mining which during this period experienced a decline in output, 2) the number of exports in the oil and gas sector and mining sector affecting employment in all sectors 3) Increased allocation of capital expenditure over the past 5 years is inconsistent and less giving encouragement to the creation of output in productive sectors, 4) Allocation of expenditure to the agricultural strategic sector is only 3 to 4.6 percent of expenditure allocation which results in stagnant middle and lower income, 5) Effectiveness of expenditure allocation less synchronous because spending allocations are dominated by government administration spending.

This paper investigates the differential effects of corporate social responsibility (CSR) dimensions on corporate financial performance (CFP) across sectors in China. This research uses a unique data set provided by China Stock Market and Accounting Research (CSMAR), showing expenditure on CSR programs from 568 Chinese publicly traded firm-year observations from 2008 to 2017. Compared to previous studies using scores produced by extra-financial rating agencies, this research quantifies CSR efforts by corporate expenditure on CSR practices, which offers quantitative and precise information in explaining the CSR-CFP link. The results show that the dimension of the environment has negative effects on financial performance in capital-intensive manufacturing industries. The impact of HR expenditure on CFP is negative in the tertiary sector and resourceintensive manufacturing industries. However, CSR investments in the community are positively related to financial performance in resource-intensive industries and other secondary sector (mining, construction, and utilities). Firms, in general, could gain benefits when spending more on business and financial stakeholders.

AbstractMining of minerals such as polymetallic nodules from the deep-sea floor has been “on-hold” as a result of several factors such as current availability of Cu, Ni, Co and Mn from terrestrial sources and their fluctuating prices. Nonetheless, exploration for new resources from deep-sea areas and development of technologies for deep-sea mining have been progressing consistently. These, coupled with recent projections of deep-sea minerals as the alternative source for metals and granting of licenses for exploration and mining of seafloor massive sulfides to private entrepreneurs, indicate the continuing interest and support the perception that such deposits may serve as sources of metals in the 21st century. However, there are several considerations for the sustainable development of deep-sea mining.A typical area of 75,000 km2 with an estimated nodule resource of >200 million tonnes is expected to yield about 54 million tonnes of metals (Mn + Ni + Cu + Co), and the gross in-place value of the metals is estimated to be ∼$21‐42 billion (depending upon the annual rate of mining) in the 20-year life span of a mine site. The decision on the timing to resume mining of these deposits will be based on the prevalent metal prices and rate of returns on the estimated investment of $1.95 billion as capital expenditure and $9 billion as operating expenditure for a single deep-sea mining venture.In view of high investment, technological challenges and economic considerations, private-public cooperation could be an effective means to make deep-sea mining a success. This paper analyzes the current status and discusses the economic, technical, technological, and environmental issues that need to be addressed for sustainable development of deep-sea minerals.

Subject area The dilemma falls within the Change Management, Leadership, Organizational Development subject areas. In addition, the case highlights typical issues in “green” or sustainable supply chain, corporate social responsibility and sustainability courses. Study level/applicability The target audience is includes post-graduate diploma-level or master’s level students, such as in Masters in Business Administration. Case overview The case focuses on the dilemma that Phiwokuhle Mhlangu in Mpumalanga, South Africa, faced when his company’s board had not signed off on capital expenditure to improve his colliery’s clean coal technology initiatives. He had to influence his colleagues’ mindsets to adapt to changes in the environment. The case highlights the global coal landscape and South African mining industry’s challenges in terms of infrastructure and strained labour relations, as well as the focus of the South African Government to enhance alternative energy resources. Although a clear business case for investment in clean coal technologies was evident, Mhlangu could still not persuade his colleagues to support these initiatives. A different approach was required […] Expected learning outcomes The learning objectives in this case are: gaining insight into the dilemmas of sustainability in coal mining by exploring various interest groups in difficult sustainability situations and enhancing understanding of getting a buy-in from various stakeholders when leading change in the coal-mining sector. Supplementary materials A teaching plan and particular teaching methodologies is included. The two learning outcomes are posed as questions for groups to discuss and model answers are provided and to relevant literature. Subject code CSS 7: Management Science

Maintenance management has become increasingly important in the development of highways and government investment, but the shortage of funds is still a serious problem. When the administrative department reviews expense, the existing evaluation methodology cannot be applied to the current national condition and its calculation process is too complicated. Therefore, in order to improve this situation, this paper analyses various factors affecting maintenance costs, and obtains the quantitative relationship between the six main influencing factors such as traffic volume, using time, location, the number of lanes, overlays, and major rehabilitation. Based on regression analysis, an accuracy-based and cost-oriented control methodology is proposed, which can be dynamically updated according to the market conditions. This method is built on the data of 18 typical highways in Guangdong Province, China. The control reference indicators consist of a set of models and confidence intervals, and the actual cost needs to meet the corresponding requirements. In addition, the expenditure characteristics of rehabilitation and reconstruction in China are summarized. Experiments showed that this methodology can be used to guide cost planning and capital allocation in sustainable maintenance and achieved good results in application, making it worthwhile to promote them in other areas.

Damang Gold Mine (DGM) in Ghana uses open pit mining technology to mine its gold deposit. It has an estimated mineable gold reserve of about 32 Mt exploitable for 8 years. As the gold price kept falling from 2013 and operating cost kept rising, the mine down sized its operations. But the operations became challenging due to poor performance of ageing mining equipment and processing plant, and the need for a new tailings dam. As the gold price stabilises, it could be gainful to invest capital to resolve the challenges and increase production. This study aims at investigating whether DGM would be economically viable if the intended investment is made assuming the gold price falls to US$ 32.15/g. The study estimates the required capital and annual operating cost to be US$89.49 M and US$100.84 M respectively. A cash flow analysis is carried out assuming no price escalation, discount rate of 20%, and applying the following investment laws of Ghana: royalty of 5% of gross revenue; straight line depreciation of capital expenditure over five years (20% per year); investment allowance of 5% in the first year only; loss carry forward; and corporate tax of 35%. The results give Net Present Value of US$82 723 720.28 and Internal Rate of Return of 41.13%, indicating profitability. Sensitivity analysis reveals that the project will continue to be profitable until the revenue falls below 24%, assuming all other economic parameters remain constant. The project will also continue to be profitable until the operating cost increases beyond 30%, assuming all other economic parameters remain constant. Risk analysis on the project indicates the project has 70% chances of success. DGM could invest the capital to mine its gold reserves because the mine will make profit provided cost is controlled and production level maintained to generate needed revenue. Keywords: Net Present Value, Internal Rate of Return, Sensitivity Analysis, Risk Analysis

As the South African economy relies heavily on its coal resources, these resources should be utilised and managed in the best possible manner. Underground coal gasification (UCG) is one of the leading technologies used where conventional min-ing techniques are uneconomical. UCG delivers gas suitable for synthesis, production of fuels and elec-tricity, or for home usage. The method is perceived as being environmentally friendly and safer than traditional mining. The study summarised in this paper was conducted so as to create a simple model that would allow for the evaluation of UCG process-related costs versus expected benefits in a wider context and under different circumstances. The parameters of the model are: feasibility definition, i.e. maximum possible gas calorific value, based on geological surveys and gasification agents for a pre-defined need; direct process-related costs that are derived from the expected capital and operational expenditures and compared to the value and vol-ume of the gas produced; and assessment of exter-nality costs, i.e. the indirect economic value of envi-ronmental, safety and health benefits. The external-ities concept should encourage governmental agen-cies to consider further investment in UCG technol-ogy as a vehicle for delivering, potentially, high sav-ings in terms of the reduction in the costs of envi-ronmental damage resulting from gaseous emis-sions into the atmosphere, specifically expenditure on national health.

This dissertation examines the tax treatment of interest incurred in financing mining capital expenditure. The capital expenditure under consideration is shaft-sinking and mining equipment. The reason for concern as regards this form of capital expenditure lies in the provisions of section 36(11)(a) of the Income Tax Act 58 of 1962 (‘the Act’). This provision counteracts section 15(a) read with sections 36(7E) and 36(7F) promulgated to encourage investment in mining through the immediate redemption of capital expenditure. Although mining companies generally finance shaft sinking and the acquisition of mining equipment, interest or finance charges are not capital expenditure for the purposes of section 36 of the Act. The study finds that on the basis of the exclusion referred to above, interest or finance charges cannot be deducted in terms of section 15(a) of the Act, against income earned from mining operations. The study, however, finds that section 11(a) or section 24J of the Act, can be relied on to deduct interest incurred to finance shaft-sinking and mine equipment. In order to rely on section 11(a), the interest or finance charges must have been incurred, but not however necessarily, by a person conducting trade for the production of income. It must further not be capital in nature. In contrast, section 24J(2), requires a person who is conducting trade to have incurred the interest in the production of income – there is no requirement that it must not be of a capital nature. Section 24JA works hand-in-hand with section 24J in that any amount deemed as interest in terms of a diminishing musharaka or murabaha arrangement, can be deducted against income under section 24J(2). The study recommends that section 36(11)(a) be amended by including interest or finance as capital expenditure. If this is done mining operators will no longer have to use sections 11(a) or 24J – provisions which fall outside of the mining tax regime – to claim a deduction. Amending section 36(11) would ensure that interest or finance charges are fully deductible against mining income because a deduction under section 11(a) or 24J(2) depends on the quantum of non-mining income. The study concludes that this recommendation is unlikely to be considered as the 2016 Davis Tax Committee Report on Hard Rock Mining recommended to the Minister of Finance that the entire mining tax regime be scrapped and that the taxation of mining be aligned with the tax regime for manufacturing.
Mini Dissertation (LLM (Tax Law))--University of Pretoria, 2020.
Mercantile Law
LLM (Tax Law)
Unrestricted

The number of tools available for Big Data processing have grown exponentially as cloud providers have introduced solutions for businesses that have little or no money for capital expenditures. The chapter starts by discussing historic data tools and the evolution to those of today. With Cloud Computing, the need for upfront costs has been removed, costs are continuing to fall and costs can be negotiated. This chapter reviews the current types of Big Data tools, and how they evolved. To give readers an idea of costs, the chapter shows example costs (in today's market) for a sampling of the tools and relative cost comparisons of the other tools like the Grid tools used by the government, scientific communities and academic communities. Readers will take away from this chapter an understanding of what tools work best for several scenarios and how to select cost effective tools (even tools that are unknown today).

In the last few years, there has been a significant increase in the demand for Uranium as historical inventories have been consumed and new reactor orders are being placed. Numerous mineralized properties around the world are being evaluated for Uranium recovery and new mining / milling projects are being evaluated and developed. Ore bodies which are considered uneconomical to mine by conventional methods such as tunneling or open pits, can be candidates for non-conventional recovery techniques, involving considerably less capital expenditure. Technologies such as Uranium in situ leaching in situ recovery (ISL / ISR), have enabled commercial scale mining and milling of relatively small ore pockets of lower grade, and may make a significant contribution to overall world wide uranium supplies over the next ten years. Commercial size solution mining production facilities have operated in the US since 1975. Solution mining involves the pumping of groundwater, fortified with oxidizing and complexing agents into an ore body, solubilizing the uranium in situ, and then pumping the solutions to the surface where they are fed to a processing plant. Processing involves ion exchange and may also include precipitation, drying or calcining and packaging operations depending on facility specifics. This paper presents an overview of the ISR process and the health physics monitoring programs developed at a number of commercial scale ISL / ISR Uranium recovery and production facillities as a result of the radiological character of these processes. Although many radiological aspects of the process are similar to that of conventional mills, conventional-type tailings as such are not generated. However, liquid and solid by product materials may be generated and impounded. The quantity and radiological character of these by products are related to facility specifics. Some special monitoring considerations are presented which are required due to the manner in which Radon gas is evolved in the process and the unique aspects of controlling solution flow patterns underground. An overview of the major aspects of the health physics and radiation protection programs that were developed at these facilities are discussed and contrasted to circumstances of the current generation and state of the art of Uranium ISR technologies and facilities.

In the last few years, there has been a significant increase in the demand for Uranium as historical inventories have been consumed and new reactor orders are being placed. Numerous mineralized properties around the world are being evaluated for Uranium recovery and new mining / milling projects are being evaluated and developed. Ore bodies which are considered uneconomical to mine by conventional methods such as tunneling or open pits, can be candidates for non-conventional recovery techniques, involving considerably less capital expenditure. Technologies such as Uranium In Situ Leaching / In Situ Recovery (ISL / ISR - also refered to as “solution mining”), have enabled commercial scale mining and milling of relatively small ore pockets of lower grade, and are expected to make a significant contribution to overall world wide uranium supplies over the next ten years. Commercial size solution mining production facilities have operated in the US since the mid 1970’s. However, current designs are expected to result in less radiological wastes and emissions relative to these “first” generation plants (which were designed, constructed and operated through the 1980s). These early designs typically used alkaline leach chemistries in situ including use of ammonium carbonate which resulted in groundwater restoration challenges, open to air recovery vessels and high temperature calcining systems for final product drying vs the “zero emmisions” vaccum dryers as typically used today. Improved containment, automation and instrumentation control and use of vacuum dryers in the design of current generation plants are expected to reduce production of secondary waste byproduct material, reduce Radon emisions and reduce potential for employee exposure to uranium concentrate aerosols at the back end of the milling process. In Situ Recovery in the U.S. typically involves the circulation of groundwater, fortified with oxidizing (gaseous oxygen e.g) and complexing agents (carbon dioxide, e.g) into an ore body, solubilizing the uranium in situ, and then pumping the solutions to the surface where they are fed to a processing plant (mill). Processing involves ion exchange and may also include precipitation, drying or calcining and packaging operations depending on facility specifics. This paper presents an overview of the ISR process and the health physics monitoring programs developed at a number of commercial scale ISL / ISR Uranium recovery and production facillities as a result of the radiological character of these processes. Although many radiological aspects of the process are similar to that of conventional mills, conventional-type tailings as such are not generated. However, liquid and solid byproduct materials may be generated and impounded. The quantity and radiological character of these by products are related to facility specifics. Some special monitoring considerations are presented which are required due to the manner in which radon gas is evolved in the process and the unique aspects of controlling solution flow patterns underground. The radiological character of these procesess are described using empirical data collected from many operating facilities. Additionally, the major aspects of the health physics and radiation protection programs that were developed at these first generation facilities are discussed and contrasted to circumstances of the current generation and state of the art of uranium ISR technologies and facilities.

Attention to safety and health are of ever-increasing priority to industrial organizations. Good Safety is demanded by stockholders, employees, and the community while increasing injury costs provide additional motivation for safety and health excellence. Safety has always been a strong corporate value of DuPont and a vital part of its culture. As a result, DuPont has become a benchmark in safety and health performance. Since 1990, DuPont has re-engineered itself to meet global competition and address future vision. In the new re-engineered organizational structures, DuPont has also had to re-engineer its safety management systems. A special Discovery Team was chartered by DuPont senior management to determine the “best practices’ for safety and health being used in DuPont best-performing sites. A summary of the findings is presented, and five of the practices are discussed. Excellence in safety and health management is more important today than ever. Public awareness, federal and state regulations, and enlightened management have resulted in a widespread conviction that all employees have the right to work in an environment that will not adversely affect their safety and health. In DuPont, we believe that excellence in safety and health is necessary to achieve global competitiveness, maintain employee loyalty, and be an accepted member of the communities in which we make, handle, use, and transport products. Safety can also be the “catalyst” to achieving excellence in other important business parameters. The organizational and communication skills developed by management, individuals, and teams in safety can be directly applied to other company initiatives. As we look into the 21st Century, we must also recognize that new organizational structures (flatter with empowered teams) will require new safety management techniques and systems in order to maintain continuous improvement in safety performance. Injury costs, which have risen dramatically in the past twenty years, provide another incentive for safety and health excellence. Shown in the Figure 1, injury costs have increased even after correcting for inflation. Many companies have found these costs to be an “invisible drain” on earnings and profitability. In some organizations, significant initiatives have been launched to better manage the workers’ compensation systems. We have found that the ultimate solution is to prevent injuries and incidents before they occur. A globally-respected company, DuPont is regarded as a well-managed, extremely ethical firm that is the benchmark in industrial safety performance. Like many other companies, DuPont has re-engineered itself and downsized its operations since 1985. Through these changes, we have maintained dedication to our principles and developed new techniques to manage in these organizational environments. As a diversified company, our operations involve chemical process facilities, production line operations, field activities, and sales and distribution of materials. Our customer base is almost entirely industrial and yet we still maintain a high level of consumer awareness and positive perception. The DuPont concern for safety dates back to the early 1800s and the first days of the company. In 1802 E.I. DuPont, a Frenchman, began manufacturing quality grade explosives to fill America’s growing need to build roads, clear fields, increase mining output, and protect its recently won independence. Because explosives production is such a hazardous industry, DuPont recognized and accepted the need for an effective safety effort. The building walls of the first powder mill near Wilmington, Delaware, were built three stones thick on three sides. The back remained open to the Brandywine River to direct any explosive forces away from other buildings and employees. To set the safety example, DuPont also built his home and the homes of his managers next to the powder yard. An effective safety program was a necessity. It represented the first defense against instant corporate liquidation. Safety needs more than a well-designed plant, however. In 1811, work rules were posted in the mill to guide employee work habits. Though not nearly as sophisticated as the safety standards of today, they did introduce an important basic concept — that safety must be a line management responsibility. Later, DuPont introduced an employee health program and hired a company doctor. An early step taken in 1912 was the keeping of safety statistics, approximately 60 years before the federal requirement to do so. We had a visible measure of our safety performance and were determined that we were going to improve it. When the nation entered World War I, the DuPont Company supplied 40 percent of the explosives used by the Allied Forces, more than 1.5 billion pounds. To accomplish this task, over 30,000 new employees were hired and trained to build and operate many plants. Among these facilities was the largest smokeless powder plant the world had ever seen. The new plant was producing granulated powder in a record 116 days after ground breaking. The trends on the safety performance chart reflect the problems that a large new work force can pose until the employees fully accept the company’s safety philosophy. The first arrow reflects the World War I scale-up, and the second arrow represents rapid diversification into new businesses during the 1920s. These instances of significant deterioration in safety performance reinforced DuPont’s commitment to reduce the unsafe acts that were causing 96 percent of our injuries. Only 4 percent of injuries result from unsafe conditions or equipment — the remainder result from the unsafe acts of people. This is an important concept if we are to focus our attention on reducing injuries and incidents within the work environment. World War II brought on a similar set of demands. The story was similar to World War I but the numbers were even more astonishing: one billion dollars in capital expenditures, 54 new plants, 75,000 additional employees, and 4.5 billion pounds of explosives produced — 20 percent of the volume used by the Allied Forces. Yet, the performance during the war years showed no significant deviation from the pre-war years. In 1941, the DuPont Company was 10 times safer than all industry and 9 times safer than the Chemical Industry. Management and the line organization were finally working as they should to control the real causes of injuries. Today, DuPont is about 50 times safer than US industrial safety performance averages. Comparing performance to other industries, it is interesting to note that seemingly “hazard-free” industries seem to have extraordinarily high injury rates. This is because, as DuPont has found out, performance is a function of injury prevention and safety management systems, not hazard exposure. Our success in safety results from a sound safety management philosophy. Each of the 125 DuPont facilities is responsible for its own safety program, progress, and performance. However, management at each of these facilities approaches safety from the same fundamental and sound philosophy. This philosophy can be expressed in eleven straightforward principles. The first principle is that all injuries can be prevented. That statement may seem a bit optimistic. In fact, we believe that this is a realistic goal and not just a theoretical objective. Our safety performance proves that the objective is achievable. We have plants with over 2,000 employees that have operated for over 10 years without a lost time injury. As injuries and incidents are investigated, we can always identify actions that could have prevented that incident. If we manage safety in a proactive — rather than reactive — manner, we will eliminate injuries by reducing the acts and conditions that cause them. The second principle is that management, which includes all levels through first-line supervisors, is responsible and accountable for preventing injuries. Only when senior management exerts sustained and consistent leadership in establishing safety goals, demanding accountability for safety performance and providing the necessary resources, can a safety program be effective in an industrial environment. The third principle states that, while recognizing management responsibility, it takes the combined energy of the entire organization to reach sustained, continuous improvement in safety and health performance. Creating an environment in which employees feel ownership for the safety effort and make significant contributions is an essential task for management, and one that needs deliberate and ongoing attention. The fourth principle is a corollary to the first principle that all injuries are preventable. It holds that all operating exposures that may result in injuries or illnesses can be controlled. No matter what the exposure, an effective safeguard can be provided. It is preferable, of course, to eliminate sources of danger, but when this is not reasonable or practical, supervision must specify measures such as special training, safety devices, and protective clothing. Our fifth safety principle states that safety is a condition of employment. Conscientious assumption of safety responsibility is required from all employees from their first day on the job. Each employee must be convinced that he or she has a responsibility for working safely. The sixth safety principle: Employees must be trained to work safely. We have found that an awareness for safety does not come naturally and that people have to be trained to work safely. With effective training programs to teach, motivate, and sustain safety knowledge, all injuries and illnesses can be eliminated. Our seventh principle holds that management must audit performance on the workplace to assess safety program success. Comprehensive inspections of both facilities and programs not only confirm their effectiveness in achieving the desired performance, but also detect specific problems and help to identify weaknesses in the safety effort. The Company’s eighth principle states that all deficiencies must be corrected promptly. Without prompt action, risk of injuries will increase and, even more important, the credibility of management’s safety efforts will suffer. Our ninth principle is a statement that off-the-job safety is an important part of the overall safety effort. We do not expect nor want employees to “turn safety on” as they come to work and “turn it off” when they go home. The company safety culture truly becomes of the individual employee’s way of thinking. The tenth principle recognizes that it’s good business to prevent injuries. Injuries cost money. However, hidden or indirect costs usually exceed the direct cost. Our last principle is the most important. Safety must be integrated as core business and personal value. There are two reasons for this. First, we’ve learned from almost 200 years of experience that 96 percent of safety incidents are directly caused by the action of people, not by faulty equipment or inadequate safety standards. But conversely, it is our people who provide the solutions to our safety problems. They are the one essential ingredient in the recipe for a safe workplace. Intelligent, trained, and motivated employees are any company’s greatest resource. Our success in safety depends upon the men and women in our plants following procedures, participating actively in training, and identifying and alerting each other and management to potential hazards. By demonstrating a real concern for each employee, management helps establish a mutual respect, and the foundation is laid for a solid safety program. This, of course, is also the foundation for good employee relations. An important lesson learned in DuPont is that the majority of injuries are caused by unsafe acts and at-risk behaviors rather than unsafe equipment or conditions. In fact, in several DuPont studies it was estimated that 96 percent of injuries are caused by unsafe acts. This was particularly revealing when considering safety audits — if audits were only focused on conditions, at best we could only prevent four percent of our injuries. By establishing management systems for safety auditing that focus on people, including audit training, techniques, and plans, all incidents are preventable. Of course, employee contribution and involvement in auditing leads to sustainability through stakeholdership in the system. Management safety audits help to make manage the “behavioral balance.” Every job and task performed at a site can do be done at-risk or safely. The essence of a good safety system ensures that safe behavior is the accepted norm amongst employees, and that it is the expected and respected way of doing things. Shifting employees norms contributes mightily to changing culture. The management safety audit provides a way to quantify these norms. DuPont safety performance has continued to improve since we began keeping records in 1911 until about 1990. In the 1990–1994 time frame, performance deteriorated as shown in the chart that follows: This increase in injuries caused great concern to senior DuPont management as well as employees. It occurred while the corporation was undergoing changes in organization. In order to sustain our technological, competitive, and business leadership positions, DuPont began re-engineering itself beginning in about 1990. New streamlined organizational structures and collaborative work processes eliminated many positions and levels of management and supervision. The total employment of the company was reduced about 25 percent during these four years. In our traditional hierarchical organization structures, every level of supervision and management knew exactly what they were expected to do with safety, and all had important roles. As many of these levels were eliminated, new systems needed to be identified for these new organizations. In early 1995, Edgar S. Woolard, DuPont Chairman, chartered a Corporate Discovery Team to look for processes that will put DuPont on a consistent path toward a goal of zero injuries and occupational illnesses. The cross-functional team used a mode of “discovery through learning” from as many DuPont employees and sites around the world. The Discovery Team fostered the rapid sharing and leveraging of “best practices” and innovative approaches being pursued at DuPont’s plants, field sites, laboratories, and office locations. In short, the team examined the company’s current state, described the future state, identified barriers between the two, and recommended key ways to overcome these barriers. After reporting back to executive management in April, 1995, the Discovery Team was realigned to help organizations implement their recommendations. The Discovery Team reconfirmed key values in DuPont — in short, that all injuries, incidents, and occupational illnesses are preventable and that safety is a source of competitive advantage. As such, the steps taken to improve safety performance also improve overall competitiveness. Senior management made this belief clear: “We will strengthen our business by making safety excellence an integral part of all business activities.” One of the key findings of the Discovery Team was the identification of the best practices used within the company, which are listed below: ▪ Felt Leadership – Management Commitment ▪ Business Integration ▪ Responsibility and Accountability ▪ Individual/Team Involvement and Influence ▪ Contractor Safety ▪ Metrics and Measurements ▪ Communications ▪ Rewards and Recognition ▪ Caring Interdependent Culture; Team-Based Work Process and Systems ▪ Performance Standards and Operating Discipline ▪ Training/Capability ▪ Technology ▪ Safety and Health Resources ▪ Management and Team Audits ▪ Deviation Investigation ▪ Risk Management and Emergency Response ▪ Process Safety ▪ Off-the-Job Safety and Health Education Attention to each of these best practices is essential to achieve sustained improvements in safety and health. The Discovery Implementation in conjunction with DuPont Safety and Environmental Management Services has developed a Safety Self-Assessment around these systems. In this presentation, we will discuss a few of these practices and learn what they mean. Paper published with permission.