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98

LISI 2016 FINANCIAL REPORT

other operating tools in the LISI Excellence HSE program aiming

at providing a response to the problems targeted by the excellence

focuses.

The LISI Group Senior Management became seriously involved at its

highest levels in the areas of health, safety and the environment.

At all levels, the Group has as its objective to:

reach the excellence level of performance in the areas of Health and

Safety, while keeping control over the occupational risk generated

by its activities;

Make Health & Safety a vector of continuous improvement, a means

to move forward, including in areas that are not directly related to it.

In order to ensure and achieve this goal, LISI has adopted a HSE

(Health Safety Environment) organization to identify key areas for

improvement, prioritize goals, and derive the appropriate actions. This

organization is based on the international OHSAS 18001 standard

(international standard governing the management system of health

and safety at work).

In order to provide itself with the resources to succeed in this field, each

production plant has at least one HSE Officer whose role is to lead the

HSE activity for his plant and is the guarantor for the implementation

of an HSE management system.

In addition, the LISI Group has an HSE Steering Committee whose

role is to analyze accidents and major incidents within the Group

and to establish HSE strategies aimed at reducing occupational risk

related to work, the environment and loss of goods. The Committee is

chaired by the Chairman and Chief Operating Officer of the LISI Group

and the Director of Manufacturing and Procurement. It comprises the

HSE Managers from each division, the LISI Group HSE Manager (who

leads it) and the insurance broker working on behalf of the LISI Group.

Finally, every three years, a HSE Forum bringing together the Senior

Management, all the site Directors and the site HSE Managers is

organized to determine the objectives in the areas of Health, Safety

and the Environment for the next three years.

Furthermore,

technically

, LISI is constantly working to improve its

workstations. Thus, in 2016, LISI invested €8.1 million in the field of

safety and the environment, including for the safety of its machinery

and for the implementation of ergonomic facilities and assistance in

handling.

Then, from an

organizational

point of view, the sites implement a

health and safety management system that is compliant with the

international standard OHSAS 18001. Furthermore, all the industrial

sites (excluding the sites in the Forging & Casting Business Group

acquired in 2014) have been certified to this same standard by an

independent external organization.

The LISI group has made huge efforts in terms of

behavior

, as the

point here is mainly to give safety the place it deserves: it should be

the primary concern at the heart of workshops, since this is where

the vast majority of accidents occur. This is materialized by the fact

that Safety is the first issue dealt with during the daily PSM rituals

(Problem Solving Management) at each level of plant management

(Autonomous Production Group – Autonomous Production Unit –

Site).

In addition, in 2016, LISI continued the implementation of a Safety

Culture program, which must:

deal with behavior-based causes of workplace accidents;

enable the management (from the plant manager to the shift

supervisors) to understand the behaviors and give them the levers

to act against them;

develop a Safety Culture within the teams through the deployment

of a structured communication campaign.

Each employee, whether operator or manager, builds this safety culture.

Everyone should participate in creating a work environment where risk

is under control. And each employee must also pay attention to their

own safety as well as that of their colleagues.

1.4.2

I

Review of the agreements with trade unions

or employee representatives on health and safety at work

The agreements related to health and safety at work are incorporated

into the list presented in 1.3.2.

1.4.3

I

Accidents at work, including their frequency

and severity, and occupational diseases

Changes in TF0 and TF1 since 2007

TF0

TF1

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

0

5

10

15

20

25

30

35

At the end of 2016 the frequency rate of workplace accidents with

work stoppage which involved LISI employees or temporary staff (TF0)

became stable after increasing in 2015. Nevertheless, the general

trend has been highly encouraging over recent years as the LISI Group

improved its TF1 by 30% compared to 2010 and 56% compared to

2007. This confirms the effectiveness of the continuous efforts made

by all employees in terms of Health & Safety.

The frequency rate of occupational accidents with or without lost time

(TF1) thus stands at 14.32.

In 2016, some of the Group’s sites, including those of Beijing, Lure,

Monterrey, Parthenay, Rugby, Tangiers and Vignoux-sur-Barangeon

recorded no workplace accidents with or without lost time.

Corporate social responsibility

6