Lufkin Middle East

Lufkin hazard identification and risk assessment written program.

Doc ID issue Date Prepared by Approved by

20 2 14/ 05/011 Talaat A. Elkader Kevin leslie

1. Scope
This program applies to all Lufkin managed areas and facilities. Every location will establish, implement a safety risk management process. All Lufkin Personnel, Lufkin employees, subcontractor, and vendors shall comply with the requirements of the safety risk management process. Hazard identification provides information that can be used to manage risk, which can, if not controlled, lead to workers accidents. It can also have other benefits, with reduced: 1. work related compensation claims 2. insurance payments 3. lost time incidents 4. absenteeism 5. Cost associated with employing other staff if workers are injured. But while the main responsibility for making sure that work activities are safe lies with the top management of the company - represented by HSE manager who was empowered by the top management to do this job- , there is a general expectations that employees work safely and take care in what they do so as not to put themselves or others at risk. The expectations of employees can be broken down into such things as being expected to: y y y y Follow procedures Wear personal protective equipment Report any safety problems Report incidents and injuries.

6. Purpose The purpose of this program is to eliminate injury to Lufkin personnel, vendors through implementation of a formal, documented safety risk management process. Every location shall employ approved tools to evaluate the cumulative safety risks of a task or process, assess the consequence and frequency of undesirable events related to the task or process, and implement long term continuous process improvements to eliminate the cumulative risk. This means that risk management must be: planned, systematic, documented, and done at the right time and comprehensive to cover all potential hazards and risks. The risk management is the process of identifying and managing risk to avoid exposure or loss. The risk management process consists of well defined steps which can be likened to
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Lufkin Middle East

Lufkin hazard identification and risk assessment written program.

Doc ID issue Date Prepared by Approved by

20 2 14/ 05/011 Talaat A. Elkader Kevin leslie

the problem solving process that when taken in sequence lead to informed decisions about how to avoid or control the impact of these risks. just the problem solving process, risk management involves the following steps: Step 1 identifying the problem.hazard identification Step 2 determining how serious the problem is risk assessment Step 3 deciding what to be done to solve the problem.risk elimination or control

7. Definitions
1. Consequence is the outcome of an event in terms of potential severity. 2. Countermeasure is the corrective action taken or implemented to temporarily reduce risk until long term solutions are in place. 3. Failure mode and effective analysis (FMEA) is approved safety risk management tool which uses inductive analysis of equipment failures to predict the effects on the overall system. 4. Fault Tree Analysis ( FTA) is approved safety risk management tool which uses inductive analysis of equipment failures to predict the effects on the overall system 5. Frequency is the likelihood that an undesired event will occur. 6. Operational hazard analysis (OHA) is Lufkin developed approved safety risk management tool which qualitatively analysis relative risk. 7. Probability is the likelihood that an undesired event will occur. 8. Process improvement solution is a corrective action to resolve gaps or deficiencies in a system or process on the root cause analysis of identified risks. 9. Risk is the potential in terms of probability and severity of an undesired event occurring, in other word it is the likelihood that the hazard will cause harm and the severity of the consequences. 10. Risk analysis the relative risk of each identified hazard in terms of potential severity (consequences) and probability (frequency) of an incident resulting from said hazard. 11. Risk evaluation is a comparison of risk severity and probability to pre-established criteria.
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Lufkin Middle East

Lufkin hazard identification and risk assessment written program.

Doc ID issue Date Prepared by Approved by

20 2 14/ 05/011 Talaat A. Elkader Kevin leslie

12. Risk management is the integral business management process of identifying and analyzing potential risks, and implementing process improvement solutions against the potential risks. 13. Risk assessment is the process of identifying and evaluating a hazard to determine the level of action required to reduce a risk to an acceptable level. There are five steps to perform risk assessment y Look for the hazard. y Decide who might be harmed and how. y Evaluate the risks and decide whether the existing precautions are adequate or whether more should be done. y Record your findings y Review your assessment and revise if necessary. y The assessment of risk combines the estimates of hazard and exposures leading to an overall classification of activity as high, medium or low risk 14. Hazard is anything that has the potential to cause harms e.g. electricity, chemical working, a ladder, using a crane, forklift.etc. List of potential hazards: 1. slipping /tripping ( poorly maintained floors or stairs) 2. fume ( from welding) 3. dust ( from grinding for example) 4. manual handling 5. poor lighting 6. temperature and heat stress 7. electricity 8. chemicals ( e.g. hydrogen sulphide) 9. pressure system
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Lufkin Middle East

Lufkin hazard identification and risk assessment written program.

Doc ID issue Date Prepared by Approved by

20 2 14/ 05/011 Talaat A. Elkader Kevin leslie

10. work at height 11. work below ground level in confined spaces ( tanks, ducts, trenches) 12. Manual handling of loads. 13. work with electricity ( high voltage and low voltage alike) 14. display screen equipment 15. flammable liquids 16. machinery which needs guarding 17. portable power tools( doc Id 18. vehicles/ forklift 19. Disposal of special wastes.

Sources of hazards
Hazard may arise from: 1. The work environment e.g. poor lighting or cramped space. 2. Equipment/ plant e.g. a noisy engine which has not been insulated. 3. Substances e.g. explosive fumes building up in a storage area. 4. Work systems e.g. storage of files at high level causing retrieval hazards.

Forms of hazards
1. physical hazards- noise, electricity, heat and cold 2. chemical hazards- toxic gases and corrosive liquids 3. ergonomic hazards- height of work benches, workstation set-up 4. radiation hazards- from x-ray machine or lasers 5. psychological hazards- e.g. stress from using equipment without proper training or instruction
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Lufkin Middle East

Lufkin hazard identification and risk assessment written program.

Doc ID issue Date Prepared by Approved by

20 2 14/ 05/011 Talaat A. Elkader Kevin leslie

6. biological hazards potentially infected materials 7. Plant hazards- any machinery, equipment appliance, implement or tool.

4. Requirements
Each Lufkin location shall create, implement and maintain a formal safety risk management program, with the following elements 1. Risk management policy Each location shall establish a written risk management policy .the policy must be communicated and supported at all levels of the organization. 2. Responsibilities Location management shall ensure that risk management is an integral of the decision making process ,that risk management is applied to ensure thorough risk identification, risk analysis and risk evaluation and implementation of appropriate process improvement solutions, and that risk management procedures are periodically reviewed for effectiveness.. 3. Training Each location shall develop and conduct documented formal risk management training. All employees shall be trained in the content and purpose of the risk management policy and in Lufkin incident prevention series. Participants shall receive additional training in the approved safety risk management tools used at the location. 4. Tools Each location shall use one or more of three approved safety risk management tools. The tools are y Operational Hazard Analysis ( OHA) y Fault Tree Analysis ( FTA) y Failure Mode and Effect Analysis (FMEA) 5. Safety Risk Management Process y Define scope The scope shall be used to identify and define the boundaries of the risk management process. The scope shall include the following: 1. Geographical area or process facility, department, equipment, work cell, production line, operating unit or area.
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Lufkin Middle East

Lufkin hazard identification and risk assessment written program.

Doc ID issue Date Prepared by Approved by

20 2 14/ 05/011 Talaat A. Elkader Kevin leslie

2. Phase of operation- design,installation,start-up, operation, trouble shooting,maintenance,upset condition, emergency condition, shut down or demolition. 3. Nature of study- identify specific type of hazards or all hazards y Identify risks Identify all risks applicable to the scope. The following shall be used to identify risks: 1. Review historic incident report to identify contributing hazards. 2. Interview of employees that work in the area and engineers and maintenance that design and maintain the equipment. 3. Inspection of the area, observing all phases of operation covered in the scope. 4. Risk identification methods required for the tool. 5. Existing risk controls including operating procedures, warning devices, guards and barriers. y Perform Risk Analysis Risk analysis shall be used to consider the relative risk of each identified hazard in terms of potential severity (consequences) and probability (frequency ) of an incident resulting from the hazard. y Perform risk evaluation Risk evaluation shall be performed to compare identified severity and probability of a risk to pre- established criteria and to aid in determining the required process environment solution. y Develop and perform long term continuous process improvement solution Solution that achieve long- term continuous process improvements shall be developed and implemented through the application of root cause based problem solving techniques to reduce severity and /or probability of risk. Continuous process improvements shall include corrective or preventive actions taken as a result of the risk evaluation. Continuous process improvement solution shall be included in the safety risk management plan. Countermeasures may be required as interim controls to reduce risk until long term solutions can be implemented.

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Lufkin hazard identification and risk assessment written program.

Doc ID issue Date Prepared by Approved by

20 2 14/ 05/011 Talaat A. Elkader Kevin leslie

y Review Periodic review and re-evaluation of the risk management process and projects shall be conducted. Once solutions are implemented, risk shall be studied again to ensure the desired results were achieved. Location management shall conduct periodic reviews of the overall risk management plan and supporting tools to monitor effectiveness

RISK ASSESSMENT The following criteria give guidance to assist in making informed safety judgments on enhancements to this standard when the Lufkin employees activity level, and/or job hazard and risk increases. LOW RISK ACTIVITY - This could be defined as a short duration job (< 2 weeks) that has minimal number of Lufkin employees ( Lufkin) employees (< 10), has no or very minimal interface with production and maintenance activities, or any other activities rather than installation or where Lufkin people isolation can be enforced to limit exposure to the surrounding operating environment. For this activity level, the minimum procedures that would be applicable are Lufkin Standard and Lufkin safe job procedures and country-specific Government Regulations. The only other enhancement that might be necessary is environmental permits that acknowledge the presence of hazardous materials to inform the Lufkin employees and his/her employees for a specific project and this is the main job of the owner or the customer. Examples of low risk activities could be:

Repetitive maintenance works where standard JSAs and procedures are well established.

Contracted Services, such as, pump installation or pump maintenance.

MEDIUM RISK ACTIVITY - As the number of ( Lufkin ) employees increase on a specific jobsite and the introduction of multi-discipline Lufkin employees with Subcontractors employees are added, and the length of site duration, as well as, interface with operating departments and activities changes, the level of risk increases. As this risk increases, the level of procedural controls should be broadened to cope with the additional safety implications. It no longer is
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Lufkin Middle East

Lufkin hazard identification and risk assessment written program.

Doc ID issue Date Prepared by Approved by

20 2 14/ 05/011 Talaat A. Elkader Kevin leslie

sufficient to just annex a set of standards and assume the people will adhere to them, but a proactive safety commitment on the Owner's part should be employed. Additionally, it is recommended that Lufkin as the Lufkin employees shall furnish a site specific safety plan, establishing the methodology as well as the safety requirements for completing the specific project. Lufkin should actively participate in weekly inspections of the jobsite, independently auditing the safety performance against this plan. Examples of medium risk activities could be: projects that require moderate elevated working conditions, working in pits or excavated areas, electrical high voltage work, dealing with known, identifiable hazardous materials, etc.

HIGH RISK ACTIVITY - These activities require increased Owner (customer) involvement with the Lufkin people as Lufkin employees at all stages of the project, from conceptual planning through to final completion. The safety obligation for a high-risk project should be viewed as a shared responsibility between Owner and Lufkin employees. It is to the benefit of both to bring the maximum of procedural controls forth to insure that all minute site-specific details are discovered, discussed, and dealt with prior to commencement of the work. This will insure minimal disruptions in the field activities and insure that the employees are well communicated with as to the potential hazards as the work fronts progress. Enhancements to the Lufkin Standards and countryspecific Government Regulations for this category is assigned to full-time Safety Management, full-time Project/Construction Management, and random testing for drug and alcohol abuse for all Lufkin employees especially those allocated to vehicle driving. On major projects, such as, foreign location projects, such as those projects in Oman and Tunisia, it is recommended to institute an Executive Construction Committee, composed of the Owner's key on-site construction management, Lufkin location operations and safety management, and oversight from Lufkin Project Management Network. This committee would review the site specific safety plan on a monthly or quarterly basis; administer general safety enhancements based on regular site audits and site safety performance, and review changing site parameters and its impact on the work fronts.

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Lufkin hazard identification and risk assessment written program.

Doc ID issue Date Prepared by Approved by

20 2 14/ 05/011 Talaat A. Elkader Kevin leslie

What does risk assessment involve?

Risk assessment involves identifying all risks associated with a piece of plant, equipment, chemical or other item and evaluating the risks so that you can prioritize them for corrective measures. The two main areas to consider in the risk assessment are 1. probability- that injury, illness, damage or loss will occur 2. consequences- of the potential injury, illness, damage or loss 3. Exposure- the number of people who may be exposed to the hazard.

Specific requirements followed for performing risk assessment The risk assessments must address the hazards identified and include one or more of these strategies: 1. 2. 3. 4. 5. 6.
visual inspection of the item and its environments auditing testing technical or scientific evaluation analysis of injury or near miss data discussion with designers, manufactures, suppliers, employees, or any other relevant parties and or

7. Quantitative risk analysis by a trained specialist if necessary.

Controlling the risk To control the risk encountered in all our area in Salam base, Free zone and Qarun area we had to make data analysis of all the data we have collected from all our locations. We concentrated on the elimination of all hazard identified. Practically this is impossible, so we must seek to minimize the risks associated with all hazard according to Hierarchy of control
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Lufkin Middle East

Lufkin hazard identification and risk assessment written program.

Doc ID issue Date Prepared by Approved by

20 2 14/ 05/011 Talaat A. Elkader Kevin leslie

It is usual to tackle the highest risks first, but you should consider the risks for all jobs related hazards. Some of the low risk hazards may be able to be eliminated or minimized immediately. We reviewed our current control measures to ensure that they provide the best available protection. Hierarchy of controls To determine the best control measure consideration must be made of the hierarchy of control according to the following: Level 1: eliminate the hazard wherever possible Level 2: minimize the risk through the following measures: 1. substitute the hazard 2. isolate the hazard 3. Engineering controls; it is possible to use engineering controls e.g. presence sensing systems, cut - out switches, ventilation or machine guarding. Level 3: back- up the hazard 1. Administrative control: administrative controls involve the use of written procedures and other management systems to produce safe work practices. The written procedures should indicate how tasks are to be undertaken, who is permitted to be in the work area and requirements for the operation of the equipment. 2. personal protective equipment: PPE involves the use of some means of shielding the operator from potential hazards.PPE includes the following: y ear protection y eye guards y hats when working in areas where there is overhead hazard y hard hats when working in areas where there is overhead hazard y respiratory equipment y Steel capped boots- when moving heavy objects.
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Lufkin hazard identification and risk assessment written program. y Steel capped boots

Doc ID issue Date Prepared by Approved by

20 2 14/ 05/011 Talaat A. Elkader Kevin leslie

y People are trained how to store and use their PPE.

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