Alliance -- An OSHA Cooperative Program << Back to The Business Case For Safety

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Slide 16


    Type: Text Slide with Background Photo and Images
    Content: Direct - Insured Costs, "Just the tip of the iceberg" [Includes background photo of iceberg and clipart image of sinking ship with caption that reads "Unseen costs can sink the ship!".]

    Indirect - Uninsured, hidden Costs - Out of pocket

    1. Time lost from work by injured employee.
    2. Lost time by fellow employees.
    3. Loss of efficiency due to break-up of crew.
    4. Lost time by supervisor.
    5. Training costs for new/replacement workers.
    6. Damage to tools and equipment.
    7. Time damage equipment is out of service.
    8. Loss of production for remainder of the day.
    9. Damage from accident: fire, water, chemical, explosives, etc.
    10. Failure to fill orders/meet deadlines.
    11. Overhead costs while work was disrupted.
    12. Other miscellaneous costs (Over 100 other items of cost may appear one or more times with every accident)
    13. Others? _________________________________
    Unknown Costs -
    1. Human Tragedy
    2. Morale
    3. Reputation
    Speaker Notes:
    • Important to consider both Direct and Indirect Costs
    • You tend to forget about indirect costs because they are difficult to measure - but they can run between 2 to 6 times your direct costs