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It Doesn't Take a Rocket Scientist, or Does It?
Apparently it DOES when it comes to Toyota’s still unsolved “sudden unintended acceleration” problem. NASA and the National Academy of Sciences are now teaming up with the government in an attempt to once and for all determine the root cause of the problem.
Since Akio Toyoda appeared on Capitol Hill, there have been several additional incidents, some of which have shown up in the national news, keeping this front and center in the public’s eye. This can’t be good news for Toyota, who mostly was hoping that the news would begin to subside after Mr. Toyoda’s appearance.
The initiative to bring NASA into the picture is being driven by the National Highway Traffic Safety Administration’s nagging suspicion that the problem is tied somehow to vehicle electronics, and not car mats or stuck gas pedals, and was announced by U.S. Transportation Secretary Ray Lahood. In a separate study, the National Academy of Sciences will study the role of electronic vehicle controls in unintended acceleration across all brands in the entire automotive industry.
Just the fact that that the root cause hasn’t yet been tied down assures that the adverse publicity that’s now plaguing Toyota isn’t going away anytime soon. In light of the disasters that have come Toyota’s way since the onset of this problem, one has to wonder what the discussion must be like around the conference room table Toyota reviews their COQ (Total Cost of Quality). My bet is that it won’t be a pleasant conversation.
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Toyota – Risk Management Gone Bad
Akio Toyoda - AP Photo
The whole world now knows about Toyota’s problems surrounding “sudden unintended acceleration” in its cars. Not only is there an issue about the loss of life and other serious injuries, there’s also the tremendous damage to Toyota’s legendary reputation for quality. In areas ranging from Toyota trying to sweep the problem under the carpet until it was too big to contain, the appearance of Toyota CEO Akio Toyoda on Capitol Hill, to basic questions about whether the recall fix that Toyota is installing at this point is even an effective solution, Toyota has undeniably been in a 100% damage control mode.
Of course hindsight is 20/20, but in retrospect, it seems rather obvious, at least to me, that Toyota did a poor job in risk management in weighing the risks associated with saving money vs. recalling cars in a much earlier time frame. There have been news and accusations about this being an issue long before Toyota came clean and took the action associated with its current recall(s). There was even an internal Toyota presentation uncovered, dated 7/6/09, that touted as a “Win,” “Favorable recall outcomes.” To say that this is not good news for Toyota could arguably be called the understatement of the year.
A couple of weeks back, I read a technical article about Toyota’s gas pedal assembly, the alleged root cause of the problem, and the solution that the postage stamp size piece of metal installed during the recall provided. I was going to write an article about the engineering solution, but then as I was looking at reader comments, many claimed this the problem was electronic or that the solution didn’t address or fix the root cause of the problem.
Regardless, I think it’s safe to say that the final chapter on Toyota’s “sudden unintended acceleration” problem hasn’t yet been written, and further, it’s not clear that the current recall really fixes the problem(s). By trying to save money, Toyota not only will incur much higher costs than it ever could have imagined, the biggest blow has been to its stellar brand and impeccable reputation for quality. Whether the damage is irreparable remains to be seen, but it’s certainly much more severe than Toyota’s management ever could have foreseen. There are many case studies that will no doubt surface at Toyota’s expense as how to NOT manage risks or manage a brand.
$14M OSHA Budget Increase for 2011 with Emphasis on Enforcement
Last week, Hilda Solis, the Secretary of Labor, went through the rationale behind the Department of Labor’s (DOL) FY 2011 budget request, which includes a $14M increase for OSHA. In addition to supporting President Obama’s repeated calls for creating new jobs, the message is crystal clear that the increase’s emphasis will be on enforcement.
This makes sense, considering the Administration’s National Emphasis Program (NEP) announced last fall, and reinforces OSHA’s approach of using the hammer to get compliance, as in the record $87M fine levied against BP in 2009 for the 2005 Texas City oil refinery explosion.
Secretary Solis said, “Today’s budget affirms this administration’s strong commitment to vigorous enforcement. With the largest fine in OSHA’s history and more egregious cases, we are sending a strong message throughout industry that we will not tolerate the endangerment of workers. We will continue those efforts with a number of new and innovative enforcement initiatives in the coming year.”
The take away from this is that now, more than ever, it will pay to be proactive in managing safety programs, in more ways than one. In addition to protecting employees, OSHA’s making it clear that their plan includes heavy penalties for offenders.
Is your Injury and Illness Prevention Program (IIPP) up to date, effectively implemented, and is everyone trained? If you need help getting your safety or training programs up to speed, give us a call or send us an email. We’re here to help you succeed.
Cal/OSHA Top 10 Manufacturing Safety Violations for 2009
In the last half of 2009, there was plenty of news, budget appropriations, and proposed regulatory changes from OSHA to tighten regulations and increase the focus on compliance in 2010. As always with Safety, the most cost effective approach is to be preventive and proactive rather than take your chances in an inspection or appealing citations.
In 2009, in California, issues related to the IIPP (Injury and Illness Prevention Program) continued to be the top cause of violations for manufacturing companies. For manufacturers in the period October 2008 to September 2009, there were 397 Cal/OSHA IIPP citations.
The 2009 top 10 Cal/OSHA manufacturing violations are:
- IIPP – 397 violations. This is the top level document a company must have in California that outlines its safety program. From a Cal/OSHA standpoint, not only must you have an IIPP in place, it must be effective, which includes employee involvement and training.
- Lockout/Blockout – 316 violations. Any time equipment is being cleaned, maintained, set-up, or adjusted, electrical (lockout) and mechanical (blockout) energy must be controlled to prevent unexpected start-up.
- Air Tanks – 461 violations. Air tanks, which are pressure vessels, require a permit issued by DOSH (Department of Occupational Safety & Health) to be in operation.
- Portable Fire Extinguishers – 166 violations. Issues regarding placement, use, maintenance, and testing of portable fire extinguishers provided for use by employees.
- Electrical Equipment Clearance – 149 violations. Sufficient clearance must be provided around all electrical equipment for safe operation and maintenance.
- Respiratory Protection – 141 violations. Respirators protect workers against insufficient oxygen environments, harmful dusts, fogs, smokes, mists, gases, vapors, and sprays. Employers need to have a written respiratory protection program and it needs to be part of the company’s IIPP.
- Control of Hazardous Materials – 128 violations. Employers are required to prevent or minimize the consequences of catastrophic releases of toxic, reactive, flammable, or explosive chemicals.
- Hazard Communication (HazCom) – 115 violations. Employers must provide information to their employees about the hazardous substances to which they may be exposed. This includes a written hazard communication program, labels and other forms of warning, material safety data sheets (MSDS), information, and training.
- Emergency Eyewash and Shower Equipment – 113 violations. Eyewash equipment must be provided at all work areas where, during routine operations or foreseeable emergencies, the eyes of an employee may come in contact with a substance that can cause corrosion, severe irritation, permanent tissue damage, or which is toxic by absorption. An emergency shower must be provided at all work areas where, during routine operations or foreseeable emergencies, areas of the body may come in contact with a substance which is corrosive, severely irritating to the skin, or which is toxic by skin absorption.
- Powered Industrial Truck Operator Training – 103 violations. All employees, prior to operating powered industrial trucks (e.g., forklifts, etc.), must be trained and evaluated by successfully completing a training program.
Do recognize any of the top 10 that you may have issues with? Is your IIPP up to date and is everyone trained? If you need help getting your safety or training programs up to speed, give us a call or send us an email. We’re here to help you succeed.