Top Findings From the Safety Management in the Construction Industry 2017 SmartMarket Report

Top Findings From the Safety Management in the Construction Industry 2017 SmartMarket Report Donna Laquidara-Carr, Ph.D., LEED AP Research Director Industry Insights donna.laquidara@construction.com 1

North America s leading provider of analytics and software-based workflow integration solutions for the construction industry. Dodge Global Network Regional construction, reported nationwide Dodge Analytics: Market Research & Intelligence Off the-shelf and Custom Analytics Sweets.com Leading source of information about building products 2

Dodge Data & Analytics Research Extensive industry research available for free download (analyticsstore.construction.com) SUSTAINABILITY TECHNOLOGY/INNOVATION PRACTICES/PROCESSES Green Homes World Green Trends Measuring BIM Middle East BIM Managing Uncertainty Safety Green Schools Health Information Mobility BIM for Owners Lean Prefabrication 3 3 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Agenda Safety Management in the Construction Industry 2017 Study Safety Practices and Impacts Technology and Safety Prevention through Design Drivers for Safety Investments Training and Communication Conclusions 4

Series of Studies on Safety 2012 2015 2017 5 5 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Safety Management in the Construction Industry Study Contractor Study Online survey: June 14 to August 1 2017 334 contractors: 56% GCs/CMs/Design-Builders 44% Trade Contractors/Engineering Contractors Sample from Dodge Contractor Panel and from partnering organizations: ARTBA, ICE, NECA, SMACNA, TAUC Topics from 2012 and 2015 studies: Top practices Benefits of investing in safety Training and communication Deep dive on technology: expanding up 2012 study investigation Examine use of Prevention through Design (PtD) 6 6 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Safety Management in the Construction Industry Study Architect Study on PtD Online survey: June 21 to 23 108 architects Sample from Dodge Architect Panel Report available for download at: www.construction.com/toolkit/reports and https://analyticsstore.construction.com 7 7 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Agenda Safety Management in the Construction Industry 2017 Study Safety Practices and Impacts Technology and Safety Prevention through Design Drivers for Safety Investments Training and Communication Conclusions 8

Practices Used to Promote Safety Open-Door Policy for Workers to Report Hazards 86% Include Jobsite Workers in Safety Process 82% Designate Competent Project Safety Personnel 70% Conduct Job Hazard/Job Safety Analysis Before Construction Starts 69% Carry Out Prompt and Thorough Near-Miss Investigations 60% 9 9 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Policies Used to Promote Safety Site-Specific Safety and Health Plans 80% Site Specific Training Programs 73% Measurable Safety Goals 44% Prequalify Subs Based on Safety Performance 41% Safety Incentives 32% 10 10 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Practices/Policies With Biggest Gap in Use by Large and Small Contractors All practices and policies are used more by large companies than by small ones. The charts below show some of the very large gaps in use. 11 11 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Top Five Safety Culture Indicators That Have the Greatest Impact on Improving Safety Outcomes 12 12 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Impact of Safety Practices on Projects Impact on Budget Impact on Schedule Impact on Quality 13 13 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Top Impacts of Safety Practices on Businesses Contractors Reporting a Positive Impact From Their Use of Safety Practices 72% 67% Standing in the Industry Ability to Contract New Work 15 15 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Agenda Safety Management in the Construction Industry 2017 Study Safety Practices and Impacts Technology and Safety Prevention through Design Drivers for Safety Investments Training and Communication Conclusions 16

Impact of Three Types of Technologies Building Information Modeling (BIM) Mobile Devices and Tools Emerging Technologies (e.g., drones, wearable devices, laser scanning) 17 17 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Impact of BIM on Safety 2012 2017 18 18 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

BIM Users Experience More Benefits From Use of Safety Practices 51% 53% 72% 57% 77% 79% 81% 67% 63% 29% Improved Project Schedule Improved Project Quality Ability to Contract New Work Reduced Reportable Injury Rates Standing in the Industry Do Not Use BIM Use BIM 19 19 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Top Ways in Which BIM Improves Site Safety Percentage of Contractors Using BIM Who Indicate Each Activity Improves Safety 20 20 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Key 2015 Annual Trends Meeting BIM for Safety Planning DPR: Hazard Identification in BIM Kiewit. Driven by projects. Built by YOU.

Use of Mobile Devices Onsite 22 22 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Use of Mobile Devices Onsite 23 23 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Top Mobile Tools Used Onsite 24 24 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Top Mobile Tools Used Onsite 25 25 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Use of Emerging Technologies That Enhance Safety Most Common Emerging Technologies 26 26 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Use of Emerging Technologies That Enhance Safety Most Common Emerging Technologies Cutting Edge Technologies 27 27 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Use of Emerging Technologies That Enhance Safety Most Common Emerging Technologies Cutting Edge Technologies 28 28 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Impact of Emerging Devices on Safety Wearable Devices Laser Scanning Drones According to contractors using these devices 29 29 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Key 2015 Annual Trends Meeting BIM for Safety Practices Skanska: Jobsite Worker Safety Monitoring Kiewit. Driven by projects. Built by YOU.

Virtual Reality and Safety Training Hensel Phelps uses a 360- degree camera to capture images of existing conditions on projects (for QC purposes). Realized they could repurpose images to create a virtual reality that trainees could walk through and identify hazards. First project utilized: Austin Berstrom International Airport. Small buttons indicate questions that need to be answered from the manual, forcing workers to familiarize themselves with it. 31 Image Courtesy of Hensel Phelps 31 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Virtual Reality and Safety Training Hensel Phelps uses a 360- degree camera to capture images of existing conditions on projects (for QC purposes). Realized they could repurpose images to create a virtual reality that trainees could walk through and identify hazards. First project utilized: Austin Berstrom International Airport. Small buttons indicate questions that need to be answered from the manual, forcing workers to familiarize themselves with it. Clark Construction uses VR and a 2X8 to simulate working on a steel beam 10 stories up. Creates an emotional response that encourages workers to tie off in the future. 32 Image Courtesy of Hensel Phelps 32 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Agenda Safety Management in the Construction Industry 2017 Study Safety Practices and Impacts Technology and Safety Prevention through Design Drivers for Safety Investments Training and Communication Conclusions 33

What is PtD? NIOSH s Definition Prevention through Design (PtD) involves all of the efforts to anticipate and design out hazards to workers in facilities, work methods and operations, processes, equipment, tools, products, materials, new technologies and the organization of work. Potential for PtD to Impact Safety Multiple studies link between 22% and 63% of workplace fatalities to designrelated factors. PtD has been mandatory in the UK since 1994, and it has a construction fatality rate one fifth that of the US. 34 34 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Awareness and Use of PtD 35 35 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Use of Specific PtD Practices by Architects 36 36 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Use of Specific PtD Practices by Architects 37 37 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Use of Specific PtD Practices by Contractors 38 38 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Barriers to the Practice of PtD for Architects Most Influential Least Influential Percentage Rating Them Influential/Highly Influential 39 39 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Barriers to Practicing PtD for Contractors Percentage Rating Them Influential/Highly Influential 40 40 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Drivers Encouraging Architects and Contractors to Practice PtD 81% 58% 68% 51% 61% 54% 53% 38% 40% NA NA NA Owner/Client Request Insurance Incentives for Practicing PtD Improved Relationships With Existing Clients More Information about How to Practice PtD Greater Ability to Attract New Business Guidance on Controlling Liabilities During Construction Architects Contractors Percentage Rating Them Influential/Highly Influential 41 41 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Agenda Safety Management in the Construction Industry 2017 Study Safety Practices and Impacts Technology and Safety Prevention through Design Drivers for Safety Investments Training and Communication Conclusions 42

Top Three Most Influential Factors That Encouraged Contractors to Adopt Their Existing Safety Practices Percentage Rating Them Influential/Highly Influential 43 43 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Most Influential Roles for Improving Safety Ranked First in Influence 44 44 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Most Influential Factors That Would Encourage Greater Investment in Safety in the Future Percentage Rating Them Influential/Highly Influential 45 45 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

OSHA Safety and Health Management Program Guidelines 46 46 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Agenda Safety Management in the Construction Industry 2017 Study Safety Practices and Impacts Technology and Safety Prevention through Design Drivers for Safety Investments Training and Communication Conclusions 47

Contractors That Offer or Require Safety and Health Training Percentage of Contractors Offering or Requiring Training on at Least 75% of Projects 48 48 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Value of Different Training Modes for Supervisors and Jobsite Workers 49 Percentage Rating Them as of Great Value 49 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Use of Online Safety Training 50 50 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Foundations for Safety Leadership Elective 51 51 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Most Effective Means of Communicating About Safety Method for Communicating Safety Messages Ranked First Top Methods for Providing Information on Safer Tools, Equipment, Materials and Processes 52 52 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Top Places to Obtain Information on Health and Safety 53 53 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Falls Prevention Campaign 54 54 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Falls Prevention Campaign 55 55 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

Agenda Safety Management in the Construction Industry 2017 Study Safety Practices and Impacts Technology and Safety Prevention through Design Drivers for Safety Investments Training and Communication Conclusions 56

Conclusions Safety practices are overall more widely used than safety policies. The positive impacts of safety have consistently been reported across three studies, demonstrating the payoff of investing in improved safety. Contractors are increasingly seeing that using BIM improves safety. Use of emerging technologies like wearable devices and drones to enhance safety are likely to grow as their safety benefits are demonstrated. Wider use of Prevention through Design by architects will be encouraged by insurance companies and owners (and these are the same groups that can also best encourage increased investments in safety among contractors). Online training is seeing wider acceptance among GCs than trade contractors, and that disparity is likely to grow. Toolbox talks remain the most effective means of communicating about safety. 57 57 McGraw Hill Construction Confidential. All information presented McGraw Hill Construction, 2013. All rights reserved.

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