Baku Azerbaijan, 5 – 7 April 2006 SAFETY MANAGEMENT The ICAO perspective Baku Azerbaijan, 5 – 7 April 2006 Patrick Hudson ICAO/Leiden University Michel Béland ICAO Regional Safety Officer Europe and North Atlantic

Overview Why safety management ICAO Strategic objective Safety management – 2 components ICAO role Conditions & environment Summary Conclusion Baku, Azerbaijan 5 - 7 April 2006 - 2

Why Safety Management Traditional approach worked well Limitations For some time Limitations Further improvements Needed Difficult Change in focus needed Proactive approach The traditional approach to safety reacted to accidents and incidents by prescribing measures to prevent recurrence often in the form of additional regulatory requirements. As a result for many years, flight safety efforts focused on compliance with increasingly complex regulatory requirements. This approach worked well up until the late 1970s when it became evident that , with an overall fatal accident rate below one fatal accident per million flights, further safety improvements were becoming increasingly difficult to achieve using this traditional approach. A change in the focus of accident prevention efforts was necessary. In addition to a solid framework of regulatory requirements and approved procedures, a more proactive approach was necessary. That led to the development of new safety approaches with the emergence of human factors, a more scientific approach to risk assessment and the development of means of collecting and analysing vast amount of operational data. Baku, Azerbaijan 5 - 7 April 2006 - 3

ICAO Strategic Objectives Strategic Objective A: Safety - Enhance global civil aviation safety Key Activity A8: Support the implementation of safety management systems across all safety- related disciplines in all States. Safety has always been the overriding consideration in aviation activities. This is reflected in the aims and objectives of ICAO as stated in Article 44 of the Convention on International Civil Aviation (Doc 7300), commonly known as the Chicago Convention, which charges ICAO with ensuring the safe and orderly growth of international civil aviation throughout the world. ICAO works to achieve its vision of safe, secure and sustainable development of civil aviation through cooperation amongst its member States. To implement this vision, the Organization has established 8 Strategic Objectives. The first one concerns safety. One of the key activities to enhance global aviation safety is to support the implementation of safety management systems across all safety-related disciplines in all States. Baku, Azerbaijan 5 - 7 April 2006 - 4

Key activity 8 Work has started Action plan Harmonized SMS provisions Aerodrome operations Aircraft operations Air Traffic Management Aircraft Maintenance Organizations (AMOs) Implementation Guidance Legal Guidance Work on Key Activity A8 has started. A comprehensive follow-up plan has been developed to progress Key Activity A8. As one of the first steps in this plan, ICAO has, on 14 march 2006, adopted Amendments for harmonizing safety management provisions in Annex 6 - Operation of Aircraft Part I - International Commercial Air Transport - Aeroplanes, Annex 6 - Part 111 - international Operations - Helicopters, Annex 11 - Air Traffic Services, and Annex 14- Aerodromes, Volume I - Aerodrome Design and Operations, Guidance material for the integration of safety management practices by national oversight authorities, have been drafted and will be published soon. (The draft manual is available on the ICAO-NET website); and ICAO will develop model regulations to support a performance-based regulatory approach to the management of safety in States. Baku, Azerbaijan 5 - 7 April 2006 - 5

SAFETY MANAGEMENT Two basic components Safety programme – An integrated set of regulations and activities aimed at improving safety Safety Management System – An organized approach to managing safety, including the necessary organizational structures, accountabilities, policies and procedures Two levels of responsibility for implementation Safety programmes are aimed at States; and Safety Management Systems are aimed at aircraft operators, maintenance organizations, air traffic services providers and aerodrome operators. Baku, Azerbaijan 5 - 7 April 2006 - 6

Safety programme - States All organizational levels All disciplines Coherent integration Incident reporting Safety investigations Safety audits Safety promotion ICAO’s Standards and Recommended Practices (SARPs)1 require that States establish a safety programme to achieve an acceptable level of safety in aviation operations. The acceptable level of safety shall be established by the State(s) concerned. While the concept of safety programmes and safety management systems is restricted to Annexes 6, 11 and 14 at present, it is possible that the concept will be expanded to include additional operational Annexes in future. The State safety system encompasses all organizational levels, all disciplines, and all system life-cycle phases. A State’s aviation system extends well beyond the scope of any one ICAO Annex. Factors related to, inter alia, meteorology, aeronautical charts, aircraft operations, airworthiness, aeronautical information and the transport of dangerous goods, could all have an impact on total system safety. To fulfill its diverse safety responsibilities effectively, a State requires a “safety programme” to integrate its multi-disciplinary safety activities into a coherent whole. A safety programme will be broad in scope, including many safety activities aimed at fulfilling the programme’s objectives. A State’s safety programme embraces those regulations and directives for the conduct of safe operations from the perspective of aircraft operators and those providing air traffic services, aerodromes and aircraft maintenance. The safety programme may include provisions for such diverse activities as incident reporting, safety investigations, safety audits, safety promotion, etc. Baku, Azerbaijan 5 - 7 April 2006 - 7

SMS – Regulated Entities Identify safety hazards Implement remedial actions Continuous monitoring Responsibilities Accountability (including that of management) Implementing such safety activities in a regulated entity in an integrated manner requires a coherent safety management system. Therefore, in accordance with the Annex provisions, States shall require that individual operators, maintenance organizations, air traffic service providers and certified aerodrome operators implement safety management systems approved by the State. As a minimum, such safety management systems shall: Identify actual and potential safety hazards; b) Ensure that remedial action necessary to maintain an acceptable level of safety is implemented; and c) Provide for continuous monitoring and regular assessment of the safety level achieved. An organization’s safety management system approved by the State shall also clearly define lines of safety accountability, including a direct accountability for safety on the part of senior management. Baku, Azerbaijan 5 - 7 April 2006 - 8

SMS = Cost or Investment ? Yearly Incident Costs PROFIT MARGIN 1% 2% 3% $1,000 $100,000 $50,000 $33,000 $10,000 $1,000,000 $500,000 $333,000 $5,000,000 $2,500,000 $1,667,000 $10,000,000 $3,333,000 SALES REQUIRED TO COVER LOSSES Baku, Azerbaijan 5 - 7 April 2006 - 9

ICAO Role Develop Standards Foster implementation Provide guidance Provide training Promote safety Promote efficiency Audit State systems From a regulatory perspective, ICAO’s role is to provide procedures and guidance for the safe conduct of international aircraft operations and to foster the planning and development of air transport. This is largely achieved by developing Standards and Recommended Practices (SARPs), which are contained in Annexes to the Chicago Convention and reflect the best operational experience of States. Procedures for Air Navigation Services (PANS) contain practices beyond the scope of SARPs, where a measure of international uniformity is desirable for safety and efficiency. Regional Air Navigation Plans detail requirements for facilities and services specific to ICAO regions. In essence, these documents define the international framework for promoting safety and efficiency in aviation. Baku, Azerbaijan 5 - 7 April 2006 - 10

Conditions – Environment Political will Culture in States and entities Everyone is responsible for safety Organized system Communications Human factors No change can take place unless there is a will to change. This is also the case with the introduction of new ways to do what we are used to do. There might be a need to look at the way activities are planned, done and at how communications work. In other words, is the current corporate culture conducive to free flow of information, including voluntary reporting? Is there a need to change the corporate culture? If so, management needs to be committed. It is easy to say everyone is responsible. For this to happen, management needs to promote safety awareness and ensure that safety management has the same level of priority throughout the organization as any other process. Safety management is a responsibility shared by each line manager. Specific safety activities are the line managers’ responsibility. In turn, all staff members are responsible for safety and for reporting any perceived risk to safety. Responsibility and accountability are closely related concepts. While individual staff members are responsible for their actions, each is accountable to his or her supervisor or manager for the safe performance of their functions and may be called on to justify their actions. Although individuals must be accountable for their own actions, managers and supervisors are accountable for the overall performance of the group that reports to them. Accountability is a two-way street. Individuals are accountable to some higher authority for their own actions; however, managers are also accountable for ensuring that their subordinates have the resources, training, experience, etc. for the safe completion of their assigned duties. Unless safety management is structured and well organized individuals are likely to avoid responsibilities. Communications are essential in safety management. Management needs information to make the right decisions and staff need the right information to do their job. Communication is a two way street… However, communicating management words is insufficient if the words are not supported by action. Human behaviour is a key element in safety management. Culture and systems will have a direct impact on human behaviour. Baku, Azerbaijan 5 - 7 April 2006 - 11

Summary Responsibilities Hierarchy (two-way communications) Culture States Regulated Entities Managers Individuals Hierarchy (two-way communications) Staff accountable to management Management feedback Culture Human factors RESPONSIBILITIES AND ACCOUNTABILITIES Responsibility and accountability are closely related concepts. While individual staff members are responsible for their actions, each is accountable to his or her supervisor or manager for the safe performance of their functions and may be called on to justify their actions. Although individuals must be accountable for their own actions, managers and supervisors are accountable for the overall performance of the group that reports to them. Accountability is a two-way street. Individuals are accountable to some higher authority for their own actions; however, managers are also accountable for ensuring that their subordinates have the resources, training, experience, etc. for the safe completion of their assigned duties. Baku, Azerbaijan 5 - 7 April 2006 - 12

Conclusion May be difficult Shall and can be done It takes: Will Commitment Plan Time It may appear to be difficult, this is quite true it is not necessarily easy. However, it can be done, others have done it It takes will, commitment, a sound plan and some time for everything to come together. Baku, Azerbaijan 5 - 7 April 2006 - 13

Baku Azerbaijan, 5 – 7 April 2006 SAFETY MANAGEMENT The ICAO perspective Baku Azerbaijan, 5 – 7 April 2006 - END - Thank you Patrick Hudson ICAO/Leiden University Michel Béland ICAO Regional Safety Officer Europe and North Atlantic