How An Incentive Program Can Influence Safety

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Presentation transcript:

How An Incentive Program Can Influence Safety Joshua Haggard CPA, CFE, CFI Office Depot Sr. Manager LP Operations / Safety

Why Did OD Need An Incentive Program? Increase Safety Awareness in our Supply Chain Facilities Eliminate Costly Location Specific Safety Programs Reduce Claim Count, Claim Costs, and Incident Rate Motivate Employees and Improve Morale

Program Characteristic Requirements Rules Must Be Easy To Understand Contain Both Short and Long Term Incentive Options Rewards Must Be Granted Monthly Individual Recognition Celebrate the Wins Awards Must Be Reasonable and Desirable Behavior Must Be Reinforced Must Be Constantly Marketed MUST MUST MUST HAVE MANAGEMENT SUPPORT

How The Program Works Associates Can Earn Points Three Ways (Monthly) Individually Facility Accident Free (multiple month bonus) Facility Remains Below Specified Monthly Incident Rate One Point = $.01

Prizes Available Sporting Goods Household Items Jewelry Electronics Kids Toys Holiday Specific Items

Did It Work? Warehouse Results 2007 vs. 2008 Lowered Number of Claims 35%. Lowered Total Claim Costs Almost 23% Lowered Incident Rate 152bp Cross Docks 2007 vs. 2008 Lowered Number of Claims 28% Total Claim Cost Remained Flat Lowered Incident Rate 100bp

OD’s Retail Locations COMING SOON!!

In the Meantime Refocus Awareness Program On Main Issues Refresh Existing Look of Current Program Use Current Methods For Reaching Associates Ensure Training Program is Being Appropriately Administered Ask For Feedback!

Contact Information Joshua Haggard Office Depot Sr. Manager LP Operations / Safety Office: 561-438-3711 Cell: 561-779-4670 Email: joshua.haggard@officedepot.com