Independent safety investigation into BP’s Gulf disaster requested by Congress

On 8 July 2010 the United States government asked its Chemical Safety Board (CSB) to consider investigating the Gulf of Mexico oil spill.  It would be good news for safety and the environment for the CSB to take on this role.

Primarily, CSB is well placed to consider any issues concerning the safety management structure and culture of BP that may have contributed to the environmental disaster and the deaths of 11 workers on the rig.  As the CSB media statement outlines

“The CSB thoroughly investigated the BP Texas City refinery explosion of 2005 and issued a lengthy report and hour-long CSB Safety Video following our investigation, and as the letter from the committee chairmen states, we would be in a unique position to address numerous questions about BP’s safety culture and practices, and to answer the questions outlined in the House committee letter today.”

The letter from the chairman of the US Congress’ Committee on Energy and Commerce, Henry Waxman, has asked the CSB to consider the following questions

Does corporate leadership equate to political leadership?

Can a country be run in a similar way to running a business?  Does corporate leadership equate to political leadership?  It would be possible to find examples in support of both these questions and as much evidence to counter them but the contextual difference is important to note when considering leadership in general.

A crucial difference in the two sectors is that the corporate executive or CEO must operate to the satisfaction of the shareholders, regardless of the humanistic and social veneer applied.  A politician or a Prime Minister must serve for the benefit of the people, regardless of the political views held as this social obligation originates with the public office.  Politicians have wriggle room not afforded to CEOs because not all the citizens subscribe to the same values.  In the corporate world there is a clearly visible commitment to capitalism, a clarity not possible in the political world.

At the moment in England, it seems that the newly elected coalition government is starting to prepare for a social capitalism – capitalism with a human edge.  The path to economic restabilisation will be difficult and, according to the newspapers on 8 June 2010, the government is set to call on the services of the former CEO of BP, Lord John Browne.

Browne has graced the pages of the SafetyAtWorkBlog twice previously and not in flattering terms.  One writer said Browne:

“…. was admired by his peers but not as much as he was by himself….” [who] “…As CEO … surrounded himself with sycophants and yes-men enshrouded in a cloud of corporate hubris.”

Continue reading “Does corporate leadership equate to political leadership?”

Suicides in China – is this a Foxconn problem or an Apple problem?

Foxconn, a large technology manufacturer in China has a cluster of suicides.  This issue is getting more attention than normal in Western media because the company manufactures products for Apple and the Apple iPad went on sale around the world at the same time news about the suicides broke.

The question that must be asked is “is this a Foxconn problem or an Apple problem?” Continue reading “Suicides in China – is this a Foxconn problem or an Apple problem?”

The Astonished Manager: Not in my wildest dreams

Dr Yossi Berger of the Australian Workers Union has been reading some of the debate in SafetyAtWorkBlog and offered the article below for publication.  He said to SafetyAtWorkBlog

“…in relation to BP’s OHS catastrophes and comments about their management style, their managers and this aspirational, easily-bandied-about notion of workplace culture.  Two things stimulated me to put together this comment below: first, on the back of some 2000 workplace inspections across Australia and some internationally I have not detected this thing called ‘workplace culture’ other than as a cheap metaphor and ploy to manipulate; even if you chose to think of this phenomenon as ‘shared values and how we do things here’.   Secondly, there’s terrible and dangerous bullshit going on in relation to ‘personality cult’, ‘disconnect’ (‘no one told me’), and ‘it couldn’t happen here because we care’.”

Yossi Berger in Beaconsfield Mine

Continue reading “The Astonished Manager: Not in my wildest dreams”

BP, safety culture and integrity management

Tom von Aschwege has provided SafetyAtWorkBlog with a long article that was intended as a comment on recent articles concerning the safety culture of BP.  The comment deserved to be an article in order to provide more prominence to von Aschwege’s views.  Links, where appropriate, have been added and format has been tweaked.

“I came by Ross Macfarlane’s article totally by accident. I regret to say that I completely agree with him, because I have made some of the same, or very similar observations. I too am an ex-BP employee, and I too have a strong sense of dismay at what is occurring in the Gulf of Mexico.

Prior to retiring from BP in 2009, I worked in Integrity Management roles for 6 years in the BP deepwater Gulf of Mexico (GoM) organization.  In those 6 years we put massive amounts of time and effort into improving Integrity Management (IM) processes and practices for GoM operations – even more so after the 2005 Texas City accident, Thunder Horse listing incident, and Alaska pipeline failure.   I am thoroughly convinced that BP has done more and accomplished more in this area overall than any other GoM operator.   Yet somehow these things still happen in BP operations, and I wonder how that can be.   How can BP be so unlucky, and other GoM operators, with far fewer technical resources and knowledge, not have this happen to them? Continue reading “BP, safety culture and integrity management”

Leadership starts with the truth

Guest contributor Jim Ward writes:

Interested observers of past OHS failures would do well to pay close attention to the insights of former BP employee Ross Macfarlane in the SafetyAtWorkBlog –  A personal insight into BP and the corporate approach to safety.

His erudite observations of some of the underlying issues surrounding BP’s succession of calamities during the noughties and the company’s subsequent struggle to come to grips with the implications for its brand, culture, ethics and self perception are rare.

They are the sort of insights not usually captured during a formal root cause analysis of an OHS disaster.  Irrespective of who is found to be right and who is wrong some things just don’t help when it comes to trying to achieve a safe workplace.  But, Macfarlane’s insights do.

Macfarlane’s apt description of the “Cult of Lord Browne” is given further weight by the erstwhile CEO’s own account of his life and times as the head of the oil giant in his memoir Beyond Business.

In my view Browne is a narcissist.  In his book he portrays himself as

“a visionary leader who transformed a lacklustre organisation into one of the world’s biggest, most successful and admired companies”.

My take on it is that he was admired by his peers but not as much as he was by himself. Continue reading “Leadership starts with the truth”

Safety leadership and change through informal networks

Australia is behind in many things and in front of the rest of world in others.  A recent visit by Jon Katzenbach, senior partner with Booz & Company, to Australia indicates that we are lagging on the issue of organisational change.

According to an article in the Australian Financial Review (AFR) on 11 May 2010, Katzenbach talks about changing people’s behaviours in companies  by using informal networks and identifying “pride builders”.  The article is not available freely online but the core elements of the article reflect Katzenbach’s thoughts in a 2007 article in Fortune magazine.

Katzenbach discusses the frustration of the CEO Of Bell Canada.  Michael Sabia had tried to change the behaviour of his customer relations staff with top-down leadership techniques but they weren’t working.  Bell Canada needed to look at leadership in a different way and found that there were people in the organisation who staff admired, who instilled a sense of pride in other employees.  As a result behaviours changed, sales and profits increased. Continue reading “Safety leadership and change through informal networks”

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