ABSTRACT
Working in construction especially oil and gas industries has higher risk on threat and danger. As employment increases in oil and gas field, the number of fatalities occurred also increases.This study is the first step in improving the percentages of accidents in oil and gas industry. In addition, this study will lead the reader to know how far is the implementation of the Construction Safety Management in Malaysia is being done. The survey started with gathering information through literature review, in which factors that might affect the standards of construction industry in general were identified. A study questionnaire was then prepared based on this preliminary list of factors. After obtaining and analysing the results of the pilot survey, logistical, technical and other issues or problems have been addressed. In this current study it was found thatimprovements in many aspects need to be considered and monitored frequently in order to ensure the effectiveness.
CHAPTER 1
INTRODUCTION
This chapter introduces the background to the study, including the challenges faced, the need and effectiveness of safety management system (SMS) by Malaysian contractors working in oil and gas industry. The research aims, objectives, scope of study, methodology, result of study are also discussed.
1.1 Background of Study
All over the world, construction is one of the most hazardous and dangerous industries. (Jannadi and Bu-Khamsin, 2002). Construction safety is always a give a concern for practitioners and researchers. The number of effecting and influencing safety performance in the construction industry have been analysed that include worker’s perspective or character (Hinze, 1981);management training system (Gun, 1993; Jaselskis and Suazo, 1994); construction company size, safety policy, project coordination, and economic pressure (Hinze and Raboud, 1988); and safety culture (Tam and Fung, 1998; Glendon and Stanton, 2000; Tam et al., 2001). The study is taken to prevent occupational injuries and improve safety performance have been extensively scrutinized (Laufer and Ledbetter, 1986; Harper and Koehn, 1998).
Safety Management Systems have developed from the “industrial accident causation theories” (H. W. Heinrich, 1931), and function as comprehensive, integrated systems especially for managing safety system. The intension of safety management is to cut off the causation process that leads to accidents and incidents (Booth and Lee, 1995).safety management is fundamental to successful accident prevention (Grayham and Rosario, 1997), andhas become a matter for interest in recent years (Hale et al., 1997).
A series of catastrophic incidents have occurred in the past (Hale et al., 1997 Kirchsteiger, 2002; Mitchison and Papadakis, 1999; Summers, 2007), which led to the development of safety regulations (Gun, 1993; Hale et al., 1997) and emphasized the need for SMS (Osborne, 1993). These major incidents involved the Flixborough disaster(1974),Mexico City (1984), Seveso (1976), Bhopal (1984), Chernobyl (1987) and Piper Alpha (1988) (Summers, 2007; Santos-Reyes and Beard, 2008).
Since then, safety management system is used widely in various industries as an accident prevention mechanism. Even more, in the oil and gas industry, the possibility of fire, explosions and toxic emissions is frequent, which could potentially kill a large number of people, including employees, plant contractors and the population, as well as causing catastrophic damage to the environment (Huat, 1997; Fernandez-Muniz et al., 2007). As a result, the use of this safety management system in oil and gas industry is more extensive, and is where the development and publication of safety standards or guidelines and good engineering practices started (Knegtering, 2002).
Past studies have discovered that the successful implementation of safety management can help to prevent accidents in the construction industry (Wilson and Koehn, 2000; Baxendale and Jones, 2000; Tam et al., 2001; Hinze and Gambatese, 2003). Despite adopting this safety management, contractors, engineer and management remain poor in the implementation of safety on worksites. Many researchers have noted substantial failures in the context of contractors working in oil and gas industry. In addition, previous approaches to achieving safety improvements within a safety framework do not address the contingency factors (external and internal environmental factors) involved in its implementation.
To effectively impact safety management at construction worksites, it becomes necessary to look at the systemic issues during its development and implementation that can affect its outcomes.
FIGURE 1: Occupational Accident b
FIGURE 2: Occupational Accident b
Occupational Accident by Sector Until February 2014
Occupational Accident by State Until December 2013 y Sector Until February 2014
1.2 Problem Statement
In recent years, the Malaysian economy and infrastructure development have significantly and rapidly increased due to the petrochemical industry. The Malaysian government has invested in petrochemical related infrastructure in specially designated zones to support the industry, Investment in infrastructure has been extensive throughout the region, for instance Liquid Natural Gas (LNG) processing plants, trains, pipelines, refineries and shipyards (Ayache and Berthamet, 2004).The construction industry plays a major role in processing plants; as many construction activities are carry out to meet the high demands of development.
Working or employed in oil and gas industries has higher possibility on threat and danger. As employment increment boost in oil and gas field, the number of fatalities occurred also increases.This study is the first step in improving the percentages of accidents in construction site. In addition, this study will lead the reader to know how far is the implementation of the Construction Safety Management in Malaysia is being done. Thus, this will reduce the bad impression many people that construction site is a danger workplace.
1.3 Objective
The purpose of this study is:
1. To investigate the importance or essential of safety management system in Malaysia oil and gas industry
2. To investigate the implemented and its effectiveness of safety management in Malaysia oil and gas industry.
1.4 Scope of Study
This research and review focused on the effectiveness safety management implemented in oil and gas industry especially by PETRONAS and other oil services company that have in Malaysia. Furthermore, this study will also identify the importance of the safety management and rank them, based on awareness and importance of safety management in construction project.
1.5 Relevancy and Feasibility of the Project
The overall scope execution of this project takes two semesters (eight months) for completion. Moreover, the schedule for the implementation of the project is within the scope and time frame of the project period. Consequently, the project can be finished before the end of the final year semester which is around 8 month.
CHAPTER 2
LITERATURE REVIEW
The construction industry has long been considered to have high injury and fatality rates. For example the UK construction industry, reported injuries continue to place the safety issue as a prime concern though fatal accidents were seen to fall recently to around 90 deaths per annum (Cameron and Duff, 2007a). Although the accident rate in the construction industry of Hong Kong is argued to decline in recent years due to improved safety measures, it still remains higher than that of other developed countries (Choudhry et al., 2009). Construction sites are crowded with workers who taking high risk duties such as operating at height and outdoors and with heavy machinery and equipment (Tam et al., 2004).Notably, many of these work-related deaths and injuries are preventable. As Williams (2000) advised, site safety should be enhanced since construction projects have become more complicated in recent times. Owing to the expected positive correlation between poor safety and injuries, it is crucial to promote safe construction.
The negative impacts of work related accidents call for the necessity to reposition the management role in safety practices. Although accidents caused by the uncertain environment may not be easily avoided, it is however possible to regulate and improve current safety management to safeguard workers from artificial work related hazards by instilling positive employee behaviours (e.g., avoidance of premature acts, awareness of safety work) driven by an effective management system (Bottani et al., 2009 and Krause, 1993). As Wilson and Koehn (2000) underlined, safety management is a method of manipulating on-site safety policies, procedures, and practices relating to
a construction project. Emphasis is placed on how accidents in a project can be reduced by effective safety management (Suraji et al., 2001). If safety performance can be enhanced, companies would benefit through improved performance (Jaselskis et al., 1996).
Human performance is arguably linked with safety (Bottani et al., 2009). Human errors are one of the major underlying causes of industrial accidents, and are perhaps the core component of various safety problems in high risk facilities (Jacobs and Haber, 1994 and Llory, 1992). Hinze’s (1996) Distraction Theory suggests that workers who are distracted by physical hazards or mental diversions are at increased risk of accidents.
2.1 Factors Affecting Improper Safety Management in oil and gas Industry
Safety Training
Hinze and Wilson (1999) indicate that there is unanimous agreement among the respondents of their study that worker training is vital to improved safety performance .CII (1993) study identifies safety training as one of five high-impacts zero accident technique.
Safety Inspections
Safety inspections are the usual means used to enforce safety at the jobsite. Toole (2002) argues that to effectively enforce safety on jobsite, the entity must be able to monitor the work on a frequent basis. Wong et al. (1999) argue that safety performance is affected by monitoring of safety compliance.Hinze and Gambatese (2003) indicate that safety inspections are one of the means by which project managers and site supervisors can become acquainted with the nature of the safety conditions on the site. Jaseliks et al. (1996) recommend increasing site safety inspections. Their analysis show that firms with better safety performance conducted more site safety inspections compared with firms of poor safety performance.
Safety Incentive and Penalties
Hinze and Wilson (2000) indicate that incentives have the objective of providing a positive reinforcement of a desired behaviour. Safety incentives are designed to influence worker actions so that safer worker performance is encouraged and rewarded. According to CII (1993), Safety incentives are among the top five high-impacts zero techniques. Hinze and Gambatese (2003) indicate that of the various types of safety initiatives that companies utilize to promote worker safety, the most widely implemented type of program involves safety incentives.
Compliance with Safety Legislation
In order to improve safety performance, a standard checklist is used to conduct the audit. This checklist included those items which are compliance to Occupational Safety and Health Act and Factories and Machinery Act and perceived to be important from the safety point of view (Shuratman Z. Et al., 2007). These are the Occupational Safety and Health management, safety committee, machinery, scaffolding, working at height, public safety, workers quarters, storage facilities, formwork, excavation and shoring, personnel protective equipment, platform, floor opening, edge of open floor, access and egress, electrical safety, cleanliness, health and welfare, piling and demolition.
Labour Turnover Rates
To improve safety performance, Harper and Kohen (1998) recommend reducing labour turnover rates. Hinze and Gambatese (2003) examine the relationship between labour turnover rates and safety record. Hinze and Gambatese (2003) study results show that higher turnover rates are associated with higher injury rates. Consequently, construction contractors are advised to decrease their labour turnover in order to improve their safety performance.
Workers’ Attitude towards Safety
Aksorn and Hadikusumo (2008) indicate that attitude is a tendency to respond positively and/or negatively to certain persons, objects or situations. Individuals are different in their perception of risks and willingness to the risks. Successful safety programs can be achieved if the positive attitudes of employees towards safety are improved.
FIGURE 3: Availability of Safety Equipment to Perform Job at Offshore
Availability of Safety Equipment
Toole (2002) argues that some construction accidents results because of the absence of safety equipment necessary to perform the job safety at the location of the work. Duncan and Bennett (1991) reviewed the performance of various fall protection systems and concluded that both active measures (those that prevent workers from falling, for example guardrails) and passive measures (those that protect workers after falling, for example, safety nets) are useful in reducing fall injuries. Chi et al. (2005) analysed contributing factors to 621 occupational fatal falls. Significant linkages were found between causes of falls and accident event. Falls associated with lack of complying scaffolds, unguarded openings, and inappropriate protections, removal of protections and improper use of Personal Protective Equipment (PPE). Chi et al. (2005) suggest prevention measures to prevent falls or to mitigate the consequence of falls. The summarized of data collected shown in the table
FIGURE 3: Availability of Safety Equipment to Perform Job at Offshore
Availability of Safety Equipment
(2002) argues that some construction accidents results because of the absence of safety equipment necessary to perform the job safety at the location of the work. Duncan and Bennett (1991) reviewed the performance of various fall protection ncluded that both active measures (those that prevent workers from falling, for example guardrails) and passive measures (those that protect workers after falling, for example, safety nets) are useful in reducing fall injuries. Chi et al. (2005) ontributing factors to 621 occupational fatal falls. Significant linkages were found between causes of falls and accident event. Falls associated with lack of complying scaffolds, unguarded openings, and inappropriate protections, removal of d improper use of Personal Protective Equipment (PPE). Chi et al. (2005) suggest prevention measures to prevent falls or to mitigate the consequence of falls.
ed of data collected shown in the table:
FIGURE 3: Availability of Safety Equipment to Perform Job at Offshore
(2002) argues that some construction accidents results because of the absence of safety equipment necessary to perform the job safety at the location of the work. Duncan and Bennett (1991) reviewed the performance of various fall protection ncluded that both active measures (those that prevent workers from falling, for example guardrails) and passive measures (those that protect workers after falling, for example, safety nets) are useful in reducing fall injuries. Chi et al. (2005) ontributing factors to 621 occupational fatal falls. Significant linkages were found between causes of falls and accident event. Falls associated with lack of complying scaffolds, unguarded openings, and inappropriate protections, removal of d improper use of Personal Protective Equipment (PPE). Chi et al. (2005) suggest prevention measures to prevent falls or to mitigate the consequence of falls.
2.1 The construction stakeholders related to safety
All construction stakeholders like client/project owner, consultant, contractor, construction worker and also insurance company who are directly and indirectly involved in the safety aspects of construction should play their important roles and responsibilities in ensuring that safety implementation, control and monitoring more effectively, so that the annual rates of accident and fatality in the construction industry continue to decrease from year after another.
2.2 Safety Analysis
Dissimilar with the risk in investment, petroleum operation is classified into several categories developed from the safety management theory and petroleum operation’s characteristics (Yanting & Liyun, 2011). The brief analysis of which include:
1. Engineering safety: a. Exploration:
Within this type are including improper use of exploration methods, inaccurate interpretation of seismic data and inaccurate positioning of the exploration wells in the exploration process.
b. Development:
In the process of project development, may due to inappropriate mining method, delay in progress, engineering design changes and technical problems. For example, due to incorrect understanding of the stratum, casing damage, formation pressure too high, lack of well control awareness the security will subject to high risks or accident.
c. Construction:
Due to shortage of technical components, unmatched equipment and extended construction period during the process of construction project that subject to accident in construction site.
2. Natural environment: a. Climatic:
Different climates or weather have been found affecting the operations of petroleum industry. For instance during a snowing or raining season, borehole
operation will have higher risk. Subsequently there is also higher risk of heat stroke faced in very hot weather.
b. Geologic:
The petroleum operation processes are also subjected risks related to geological conditions. Among them are the petroleum pool’s structure and complexity, reserves and abundance, the nature, burial depth.
3. Management:
a. Human resource:
Related to social relationship, the operational level, cultural level, age composition of employees and the overall quality, management ability, leadership and charisma of managers are among the factors that affect safety in petroleum operations.
b. Organization:
This occurring when there is presence of unreasonable organizational mechanisms, inappropriate staffing, and irrational allocation of responsibilities. Due to these, different understanding, attitudes and actions of the sectors of the petroleum operations may also occur and contribute to cause further disadvantages.
c. Operating equipment:
To enhance the products of running oil wells, management of this operating equipment risk is necessary. This is because it immediately affects the progress of the petroleum operations in the process of oil and gas exploration and development.
d. Environmental protection:
Petroleum operations pollute the environment, so petroleum enterprise must comply with relevant environmental regulations and policies, and invest some money to treatment.
2.3.1 Strategies and Measure
How it should be implemented and what it is for. According to (Yanting & Liyun, 2011), there are some strategies to manage the mentioned risks as a favour to oil company to achieve more efficiency in doing their construction projects, they are including:
1. Awareness:
a. Sense of crisis:
With sense of crisis toward the safety awareness, employees may analyze the various risks faced, and take a proactive approach to resolve and control it at the early stages.
b. Safety habits:
Human error or illegal operation is the main cause of safety issue problems in any projects. Hence there is a need for petroleum enterprise to enhance the awareness of employees regarding this matter. To improve their safety habits, first petroleum enterprise should use various methods to improve their safety knowledge such as providing safety related posters, quiz contests, and technical competition.
2. Fine management:
a. Quality control system:
To emphasize respective employees’ responsibilities and strictly control all aspects, a firm quality assurance system and quality responsibility system are needed. Petroleum companies should strengthen their quality accident management, pay attention to the report, investigation and treatment of the accident and analyze the mass loss in time to minimize accidents to happen. b. Safety supervising and managing system:
Supervisory and inspection of job site safety must be strengthened, petroleum enterprise should also improve the system of penalty for violation of safety regulation to make a clear definition of various types of acts in violation of regulations.
3. Core technology:
The best indicator of core competitiveness between different companies in the same business may be differentiated in possession of technology used. Moreover by focusing on market needs, and mitigate the impact of safety management occur in their projects.
A petroleum company has to develop their human resources planning to use pioneering personnel. While at the same time they have to retain talented staff by focusing on staff training.
2.4 The Importance of Safety Management
Oil and gas construction projects stretches from the development of oil refinery and pipelines in upstream activity, until the construction of petroleum retail station in downstream activity. Beside, petroleum operation has long period and high risk, which determine safety management is required for to be implemented in this industry.
2.5 In Malaysia’s Oil and Gas Operation
There are numbers of study showing high level of awareness among organizations toward the safety management and believe that accident can affect productivity, performance, quality and the budget. The construction industry in Malaysia is among those industries with the most subjected to diverse accidentally (Yusuwan, Adnan & Omar, 2008). As a result, for the sake of certifying the successful of the project, it is desired to have an accurate and well-ordered accident management strategy in place. In addition, Yusuwan, Adnan & Omar (2008) specifies that construction industry in Malaysia is one of the country’s significant contributors to its economy growth with activities are including specific civil engineering projects of petroleum industry such as oil refinery and pipelines. This sole fact is representative enough to show how important the efficiency is in performing the construction projects in Malaysia’s oil and gas industry.
2.6 PETRONAS as Main Stakeholder in Malaysia
2.6.1 Company Overview
Malaysian National Oil Company, PETRONAS is the wholly owned by Malaysian government given the highest authority for the entire of petroleum resources in Malaysia through the Petroleum Development Act 1974. PETRONAS have grown and gained expertise in management of Malaysia’s oil and gas resources as well as being progressively acknowledged by the host countries where their operate.The company is the controlling body in performing exploration, development, refining, marketing and distribution of petroleum and its products in the country. (Chua & Oh, 2010)
Mehden & Troner (2007) mentions in their study that within only about 30 years plus since it was founded in 1974, PETRONAS has entered into overseas operations in some 35 countries, became a powerful player in global oil and gas shipping business, and financially helped a set of mega projects in Malaysia.
Although it is 100% state owned PETRONAS is considered as a well-run company and free from corruption. PETRONAS is a business entity with orientation of profit as their prime objective. The company has significantly supported government-sponsored mega projects outside its interest such as Twin Towers and Putrajaya (Mehden & Troner, 2007).
CHAPTER 3
METHODOLOGY
This chapter discusses how the work was carried out to meet the study’s aims and objectives and discusses the choices of methodology. The discussion of these aspects provides a better understanding of the appropriateness of the research approach employed and its ability to provide adequate answers to the study questions.
3.1 Research Methodology
The survey started with gathering information through literature review, in which factors that might affect the standards of construction industry in general were identified. A study questionnaire was then prepared based on this preliminary list of factors. The questionnaire was first sent to various industrial practitioners for review and comment. Feedback sessions were then conducted with these participants to refine the questionnaire. Field Survey is done to study the predominant environment that involves safety management in the execution of various phases of a construction project in petroleum industry. This survey is done to have the first hand information, essential to be aware of the safety problems encountered in the construction projects. The objective of doing a field survey in this study is to validate the findings of the literature review. Quantitative techniques were subsequently employed to analyze the feedback before the survey study were organized and concluded in a more meaningful manner.
3.2 Questionnaire
By incorporating their comments, later a final questionnaire will be devised and taking response from the respondents by using the questionnaire. The questionnaire might be consist of five section – questions regarding the background of the respondents, Importance of Safety Management, Important Current Practices and its effectiveness in oil and gas industry.
3.3 Project Activities
There are several activities comprising six (6) main activities in performing this project, they are as follow:
1. Background study: analyze previous related journals 2. Develop questionnaires for respondents
3. Collect primary and secondary data
4. Analyze the data obtained from the respondents
5. Write recommendation and project report towards the data finding 6. Final Year Project (FYP) final report writing
FIGURE 4: Project Activities
Literature Review for the respective topic
Research Methodology Results and discussion Conclusions and Recommendations Data Analysis Data Collection: 1. Questionnaire 2. Case Study Preliminary Phase
Identify the problem statement regarding safety management in construction project
3.3.1 Analysis Method
The analysis of survey is done by Relative Importance Index (RII) method. The scores were then transformed to importance indices based on the following formula.
Relative importance/difficulty index =
w
AN
Where w is the weighting given to each factor by the respondents, ranging from 1 to 5, Ais the highest weight (i.e. 5 in the study) and Nis the total number of samples.
3.3.2 Average Index Formula
The analysis was based on the qualitative measurement or ranking system. Rating for the questionnaire is 1 – Totally Disagree, 2 – Disagree, 3 – Moderately, 4 – Agree, 5 – Totally Agree.
The Average Index Formula:
Average Index (AI)= ∑ (ß x n)/
Where, ß is weighing given to each factor by respondents N is the frequency of the respondents
N is the total number of respondents With the rating scale as below (Majid&McCaffer, 1997)
1 = Never/Totally disagree (1.00 < Average Index < 1.50) 2 = Rarely/disagree (1.50 < Average Index < 2.50) 3 = Sometimes/Neutral (2.50 < Average Index < 3.50) 4 = Often/agree (3.50 < Average Index < 4.50)
3.3.3 Cronbach’s Alpha using SPSS Software
Cronbach’s alpha is the most common measure of internal consistency (
The Cronbachs alpha coefficient is an internal consistency reliability test. The
Cronbach’s alpha coefficient value is ranged between 0.0 and +1.0 and Cronbach alpha value nearer to 1 show higher internal consistency.
SPSS Statistics is used for for statistical analysis in
researchers, health researchers, government, education researchers, marketing organizations, data miners and others
3.3.4 Obtaining Croncbach’s Alpha
FIGURE 5: Obtaining Croncbach’s Alpha
3.4 Tool Required
In performing this study, the tools needed to acquire data are questionnaire form, online survey form and interview questions based on results.
Analyzed
Cronbach’s Alpha using SPSS Software
s alpha is the most common measure of internal consistency (
s alpha coefficient is an internal consistency reliability test. The
s alpha coefficient value is ranged between 0.0 and +1.0 and Cronbach alpha value nearer to 1 show higher internal consistency.
sed for statistical analysis. SPSS is a widely used program in social science. It is also used by survey companies, researchers, health researchers, government, education researchers, marketing organizations, data miners and others
ining Croncbach’s Alpha
FIGURE 5: Obtaining Croncbach’s Alpha
In performing this study, the tools needed to acquire data are questionnaire form, online survey form and interview questions based on results.
Scale
Realibilty
analysis
s alpha is the most common measure of internal consistency (“reliability”).
s alpha coefficient is an internal consistency reliability test. The
s alpha coefficient value is ranged between 0.0 and +1.0 and Cronbach’s SPSS is a widely used program . It is also used by survey companies, researchers, health researchers, government, education researchers, marketing
SECTION B: IMPORTANCE OF SAFETY MANAGEMENT SYSTEM IN OIL AND GAS INDUSTRY.
SECTION C: IMPORTANT CURRENT PRACTICES OF SAFETY MANAGEMENT IN OIL AND GAS INDUSTRY
SECTION C: IMPORTANT CURRENT PRACTICES OF SAFETY MANAGEMENT IN OIL AND GAS INDUSTRY
SECTION D: IMPLEMENTED SYSTEM AND ITS EFFECTIVENESS IN AND GAS INDUSTRY
SECTION E : SAFETY MANAGEMENT IN OIL AND GAS INDUSTRY.
Instruction: Please specify your answers at the space provided below.
1. What project of your company that requires safety management system?
……… ……… ……… ……… ………
2. Do you have specific safety organization chart or department in this company?
……… ……… ……… ……… ………
3. How to improve the effectiveness in doing construction projects in your company? ……… ……… ……… ……… ……… ……… -End of
questionnaire-3.5 Data Collection
Data used for this study is classified into primary and secondary data. While the primary data is acquired by questionnaires, online survey and possible casual interviews with certain people in management level, secondary data is collected from resources such as previous journals, paperwork and thesis.
3.5.1 Primary Data
Obtained from extant literatures, a list of risk factors was prepared and given to the 30 respondents. There are three (3) sections in the questionnaire, as follow:
1. Section Aconsists of details of the respondent.
2. Section B, C and Dmultiple choice questions of Important, Current Practices and its Effectiveness in oil and gas industry of the company judged by the respective respondent.
3. Section E open-essay or interview questions to get the respondents opinion about the Safety Management of construction project especially in oil and gas industry. In order to collect data by direct interview, a digital voice recorder is to be used to maintain the accuracy of the interview results.
3.5.2 Secondary Data
Some of journals, paperwork and thesis related to this study are looked up as reference. Those materials are largely obtained from UTP’s Information Resource Centre (IRC), library, e-Resources and etc. Besides that, the general information from PETRONAS safety management is also obtained for the use of this research.
3.6 Summary of Project Progress and Future Work
The study also distributes the questionnaire through online survey and casual interview with certain people in top management. From the reasoning answers obtained from the respondents, a result will be obtained by using the rating for the questionnaire. The report is to include the analysis on data obtained by classifying by rank resulted from the survey performed and will comprised in this report.
3.7 Gantt Chart
Final Year Project 1
Suggested Milestone Process
Suggested Milestone Process
CHAPTER 4
RESULT AND DISCUSSION
4.1
Pilot Survey.
The pilot survey has been done throughout all of the professional engineers either in the
academic, construction, consultancy industry, PETRONAS, oil and gas Services
Company including their Risk Management Department. Study was performed towards
upstream business practitioners with a total of thirty (30) respondents. After obtaining
and analyzing the results of the pilot survey, logistical, technical and other issues or
problems have been addressed. The questionnaire format was revised, or the type of
survey had been altered into a more suitable one. After the revision of the survey being
made, the large-scale of the survey is executed.
4.2
Questionnaire Survey
The questionnaires had been distributed to the professional either in the academic,
construction, consultancy, oil and gas company and had received their feedbacks. Since
this study is a qualitative study, 30 feedbacks are sufficient enough. The questionnaire
consists of five sections, General Information, Importance of current practices of Safety
Management and its effectiveness in oil and gas Industry.
4.3 Ranking on Result of Average Index Formula and Cronbatch’s Alpha using SPSS Software at Section B, C, and D.
TABLE 3:Current Practices of Safety Management Oil and Gas Industry.
4.3.1 Data Analysis
For the first figure shows increase overall safety operation has the highest average Index rate followed by ensure smooth execution of work for Importance of safety management in oil and gas industry. This is Shows the awareness of workers of safety management system.
Second figure which is important current practices in oil and gas industry show the availability of safety signboard to ensure the safety of the site as the highest average index. This means that the workplace environment already aware about safety.
For the last figure shows, Implemented system and its effectiveness in oil and gas industry is proper training and certificate is the most effective implementation whereas the safety tool box meeting is less initiative taken in the worksite.
4.4 Cronbach’s Alpha using SPSS Software
Generally, a questionnaire with an α of 0.8 is considered reliable (Field, 2009). Hence,
this questionnaire certainly is reliable, since the α is 0.911 (see Table 4.5). The resulted α should yet be interpreted with caution. Since the amount of items in a
questionnaire is taken into account in the equation, a huge amount of variables can
upgrade the α (Cortina, 1993; Field, 2009).For example, if we the reliability analysis
of just the items making up the first factor in our research, we get the same α, but the
average correlation is 0.49 instead of 0.43. How huge the alpha should be for a dataset with a particular amount of items is still a point of discussion (Cortina, 1993). Cortina (1993) recommends determining the adequacy of a measure of the level of precision
needed. However, since the α of this questionnaire is far higher than 0.8, we can
assume that it is reliable.
Cronbach’s Alpha Cronbach’s Alpha Based on Standardized Items No of Items 0.911 0.895 27
Based on received their feedback. The company employed sa for their company for every
with site engineer, the safety officer at the site has no competency in the safety. This is because in order to become a competent safety and health officer, the e person should attain Green Book Train
of the factors is due to cost and salary of paying the safety supervisor. Furthermore, Poor safety
capabilities of the leader in the contractor partner
managing the project. This problem can possibly be solved by registering the root causes to some mitigation approach performed by the client towards the organization partners. A scheme or an initiative that possibly has ability
performance in technical and management throughout the project development is by putting some reinforcement in
reward the ones which are doing excellent works
. The authority that is able to perform take away a contract manager from constructor partner who is not performing well. It also includes an annual review by the
either to put some considerations whether to keep the same co projects or not. So, safety
industry.
Based on received their feedback. The company employed safety and health officer for their company for every project. On the other hand, based on the conversation with site engineer, the safety officer at the site has no competency in the safety. This is because in order to become a competent safety and health officer, the e person should attain Green Book Training. This was not implemented by the company. One of the factors is due to cost and salary of paying the safety supervisor.
safety performance of the constructor may be due to lack of capabilities of the leader in the contractor partner companies who are directly managing the project. This problem can possibly be solved by registering the root causes to some mitigation approach performed by the client towards the organization partners. A scheme or an initiative that possibly has ability to boost constructor performance in technical and management throughout the project development is by putting some reinforcement in the company to sanction outperforming contractors and reward the ones which are doing excellent works and follow all the safety regulations authority that is able to perform take away a contract manager from constructor partner who is not performing well. It also includes an annual review by the
to put some considerations whether to keep the same contractors for the next projects or not. So, safety management is required for to be implemented in this fety and health officer project. On the other hand, based on the conversation with site engineer, the safety officer at the site has no competency in the safety. This is because in order to become a competent safety and health officer, the e person ing. This was not implemented by the company. One
performance of the constructor may be due to lack of companies who are directly managing the project. This problem can possibly be solved by registering the root causes to some mitigation approach performed by the client towards the organization to boost constructor performance in technical and management throughout the project development is by to sanction outperforming contractors and ety regulations authority that is able to perform take away a contract manager from constructor partner who is not performing well. It also includes an annual review by the company s for the next management is required for to be implemented in this
FIGURE 10: Basic Offshore Safety Induction and Emergency Training (BOSIET) 4.5 Site Observation Findings
FIGURE 11: Safety Tool Box Meeting at
Basic Offshore Safety Induction and Emergency Training (BOSIET) Site Observation Findings
Safety Tool Box Meeting at Construction site (Onshore) Basic Offshore Safety Induction and Emergency Training (BOSIET)
FIGURE 13: The Worker Wear Proper PPE at Workplace (Offshore)
FIGURE 14: Safety signboard and Emergency plan at workplace The Worker Wear Proper PPE at Workplace (Offshore)
Safety signboard and Emergency plan at workplace The Worker Wear Proper PPE at Workplace (Offshore)
CHAPTER 5
CONCLUSION AND RECOMENDATION
4.1 CONCLUSION
In oil and gas industry, implementation of an efficient safety and health performance is very important. In this current study it was found that among the influencing cluster of factors determining the success of a safety management system is the most influential was the personal factor and among the sub-factors making up this cluster the prominent factor was safety awareness. Based on research done, improvements in many aspects need to be considered and monitored frequently in order to ensure the effectiveness of safety management of construction project in oil and gas industry.
4.2 RECOMMENDATION
Awareness on the right use of equipment or tools and wearing the personal protective equipment (PPE) correctly could reduce risks. There is a danger that site operatives underestimate the inherent risks in their work because they have not been trained to recognise hazards. Suggested that construction especially oil and gas companies should provide the training for worker to improve their capability in managing safety risks, implementing safety tasks and developing positive safety climate when joining the workforce. In addition, suggested that tertiary education institutions consider including the skill set discussed in this research in their curriculum development and delivery so that the graduates are equipped with such knowledge and skills when joining the workforce in the construction project especially in oil and gas industry in Malaysia
SECTION B: IMPORTANCE OF SAFETY AND GAS INDUSTRY.
SECTION C: IMPORTANT CURRENT PRACTICES OF SAFETY MANAGEMENT IN OIL AND GAS INDUSTRY
SECTION C: IMPORTANT CURRENT PRACTICES OF SAFETY MANAGEMENT IN OIL AND GAS INDUSTRY
SECTION D: IMPLEMENTED SYSTEM AND ITS EFFECTIVENESS IN OIL AND GAS INDUSTRY
MPLEMENTED SYSTEM AND ITS EFFECTIVENESS IN OIL MPLEMENTED SYSTEM AND ITS EFFECTIVENESS IN OIL
SECTION E : SAFETY MANAGEMENT IN OIL AND GAS INDUSTRY.
Instruction: Please specify your answers at the space provided below.
4. What project of your company that requires safety management system?
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5. Do you have specific safety organization chart or department in this company?
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6. How to improve the effectiveness in doing construction projects in your company? ……… ……… ……… ……… ……… ……… -End of
questionnaire-FIGURE 16:
FIGURE 17: Safety Training for Onshore and Offashore in Oil and Gas FIGURE 17: Safety Training for Onshore and Offashore in Oil and Gas
Industry
FIGURE 18: Author with Abbas and other
Author with CEO of PETRONAS, Tan Sri Dato’ Shamsul Abbas and other Top PETRONAS Safety Management Team
Shamsul Azhar PETRONAS Safety Management Team.
