The ROI of Safety
Making safety a priority is, quite simply, good for business. Employers and employees alike benefit when a job site is clean, work is being performed in a professional manner, workers are carefully supervised, and safety procedures are followed to the letter.
Safety First: It’s Good For Business
Your energy efficiency upgrades can only be as good as the company you hire to handle the project. Regardless of the size of your company, it’s smart business to pay close attention to your contractor’s safety record – and then only hire the best. Safety is of critical importance for all construction projects in order to protect the welfare of your employees and clients, provide a safe work environment, and control construction costs. By reducing the risks associated with construction, safety can positively impact the success of your project as well as your bottom line.
Working with a contractor with a better-than-average safety record will help:
- Avoid the expense of lost production and other costs resulting from work injuries
- Ensure your project stays on track and your business goals are achieved
- Reduce liability and damage claims
Investing in Safety Pays Long-Term Rewards
Companies looking to reduce costs by working with a contractor with a less-than-stellar safety record often pay the price – both literally and figuratively – in the long run.
At SmartWatt, we ensure every employee makes safety a forward-looking commitment – versus a reactionary response. Why? Because industry research and statistics show that investing in safety translates to a strong and demonstrable ROI. For example:
- Every workplace incident incurs both direct and indirect costs
- The average cost of a serious/debilitating injury is $500,000
- Every $1 invested in injury prevention returns between $2 and $6 (National Safety Council)
The Indirect Costs of Accidents are Greater than the Direct Costs
According to OSHA, the indirect costs of an accident are 4 to 10 times more than the actual costs of the claim. Indirect costs might include:
- Lost production time
- Damage to product/product not fit to sell
- Damage to property and equipment
- Higher insurance rates
In addition to the hard costs, there are the subtler benefits associated with working with a contractor with a good safety record. Numerous studies have found that companies with a committed safety culture are more productive and reliable, as well as more efficient at reducing risks and completing contracts on time.
The SmartWatt Advantage
SmartWatt takes safety seriously, and it shows. Our outstanding commercial construction safety record didn’t happen by…well…accident. SmartWatt has a pervasive Safety First culture that mandates best-in-class practices and behaviors to create and maintain a safe, healthy, and accident-free workplace. We value our employees, vendors, and customers, and place their safety and health on the job as our top priority.
- Every employee has the responsibility to practice and actively promote safety in the workplace and preventing accidents through proactive solutions.
- All employees are empowered to stop any work that is found to be unsafe.
- From sales to engineering through execution in construction; the safety approach to a project is a living/breathing entity. Every hand that touches the project has a commitment to safety as a deliverable.
- All subcontractors are required to complete a pre-qualification assessment in which their historical safety performance will be graded to determine if, and to what extent, they will be allowed to perform work as a subcontractor to SmartWatt.
The result? Our record speaks for itself:
- SmartWatt’s Recordable Incidence Rate (RIR) is approximately 75% – 80% lower than the Electrical Construction Industry Average.
- SmartWatt celebrated 750,000 Safe Manhours since the last DART (Days Away, Restricted, Transfer) injury in June 2018.
The return on investment that results from working with Safety-First companies like SmartWatt includes returns that are relatively quantifiable (direct costs saved) and those that are less easily quantified (indirect costs avoided from loss of production/product, quality losses, equipment damage, morale, etc.).
In the end, our commitment to safety is about protecting our people, our customers, and their livelihoods, but it is good to know that the better we get, the greater the rewards.