Implementing an effective and fully compliant Fleet Risk

Implementing an effective and fully compliant Fleet Risk Management Strategy Bristol & West IOSH 21 st April 2016

Agenda – – – – – Road Safety – Brief History The Statistics Why Manage Work Related Road Safety Risk Management Cycle Evaluation of Risk Mitigation and Training Activities ADT: History, Portfolio & Testimonials Case Studies of Success Benefits of addressing Driver and Fleet Safety Research - Driver Safe 2015 Summary

Road Safety – Brief History 1896 The first fatal road accident occurred in Croydon London 1916 The ‘Safety First’ Council was formed 1930 1 st Driving Test takes place with an examiner 1931 First Highway code published 1967 First roadside drink drive breathalysers were introduced 1970 The first HGV and PSV driving tests were conducted 1973 Crash helmets made compulsory 1980 Reform of bus licensing 1983 1987 1988 Wide angle mirrors must be fitted to all HGVs 1988 All coaches and buses to be fitted with speed limiters Seat belts become law Government plan to reduce accidents by 1/3 by the year 2000

Road Safety – Brief History Managing road risk in more recent years 1991 First 20 mph zone introduced 1995 Pass Plus scheme introduced 1999 Kill your Speed initiative introduced 1992 1. 6 mm tyre tread depth became law 1994 100 th 20 mph zone introduced 1996 Driving Theory Test introduced 1997 Stage licensing introduced 2000 Government introduce new road safety strategy 2008/2009 Driver CPC introduced for PSV/HGV drivers 1994 65 mph limit for coaches, 56 mph for HGVs 1997 New Drivers Act introduced (6 points rule requires retest) 2010 Government announced 40% reduction in KSIs over past decade

Work related road risk Up to a third of all road traffic accidents involve somebody who is at work. Every week, this may account for: 20 deaths 250 serious injuries At all times you must: Be aware of your legal responsibilities Operate within the law Observe all road signs, road markings and directions Obey the rules of the road and all restrictions, instructions and limits

Discussion – Workplace deaths and injuries Imagine 20 work place deaths and 250 serious injuries a week in any other industry What actions do you thing the authorities would take?

Statistical context in transport Two Kings Cross underground fires every month Two Hatfield rail crashes every working day

Why Manage Work Related Road Safety? – Legal Duty of Care • • • Fulfilling employer’s responsibility to minimise risk to both staff and public Corporate Manslaughter and Homicide Act (2007) Health & Safety Offences Act (2008) Compliance with Operators licence (CPC) HSE ‘ Driving at Work’ guidance – September 2003 (Updated April 2014) – Financial Benefits (direct and indirect) • Fewer accidents reduces sub-excess repair costs and insurance premiums • Savings via reducing lost working and manager time, hire car costs, fuel savings – Insurance industry estimates hidden costs to be 4 x bent metal costs. – Hidden costs will also apply to Grey Fleet Vehicles – CSR and Risk of Harm • Protecting / improving corporate image / Green credentials / best practice approach • Reduced risk of injury related absenteeism / keeping both staff and the public safe

Best Practice Risk Management Process Analysis & Recommendation Remedial Action Fleet Safety Audit Policy On-line Risk Assessments ESOS Audit Process Change Document / Maintenance Audits Risk Analysis Data Collection Automated Licence Checks (Company and Grey Fleet) Claims Data Telematics Data Audit Trail and Records Assess Awareness Campaigns Claims Analysis Management Reporting Recognition & Rewards Focused Training Telematics Analysis Review (e-learning and in-vehicle) Monitor

Current ADT Total Compliance Solution - Riskmapp – Process and Policy Audit • Comprehensive Report, best practice Policy Creation – Risk Assessment • Driver, Journey, Vehicle • Behaviour Profiling • Hazard Perception Evaluation (Skills Assessment) – Grey Fleet Documentation • Insurance, Mo. T, VED – Driver Licence Verification • On-line DVLA

Process and Policy Audit – ADT Strategy based on a full understanding of Clients Risks and Situation • • Recommendations based on hierarchy of control approach – Remove, Substitute, Manage Revision and/or creation of best practice policies, e. g. Driver Safety, Cash Allowance etc. – Key Risk Areas • • Duty of Care Risk Financial Risk Corporate Social Responsibility (CSR) Risk of Harm – Management Areas • • Assessment / Analysis Implementation / Control Maintenance / Culture Monitoring / Review Processes

ADT Riskmapp Compliance Solution – Risk Assessment • • Driver, Journey, Vehicle Driver Profile will provide focal point for future interventions & process Will allow for targeted training Bespoke Risk Assessment for Southern Irish Drivers European & Global capabilities ADT to provide ongoing analysis reporting with key recommendations High Level Management information – i. e. journey profile, mobile phone use, working time, eyesight – Allow for targeted awareness campaigns – Audit compliance with Policy

ADT Riskmapp Compliance Solution – Documentation Verification • Insurance, Mo. T & Tax verification for Grey Fleet Vehicles ADT check all documentation on-line and upload copy of Insurance Certificate ADT complete all administration and follow up Management Reporting available via on-line portal Prompt alerts for serious exceptions i. e. incorrect level of insurance, expired Mo. T etc… – Experience shows approximately 8% non-compliant insurance, Mo. T or Tax – –

ADT Riskmapp Compliance Solution – Driver Licence Verification • Direct online verification with DVLA – – – – Licence Mandate required and valid for three years Instant results for 90% via e-consent Instant escalation for serious exceptions Irish and Overseas licences can be checked (typically 2 weeks turnaround) ADT complete all administration and follow up Full Management Reporting available via on-line portal Experience shows approximately 4% have an issue with driving licence

Portfolio of Risk Mitigation Activities – E-Learning Modules • • Hazard Perception Evaluation Targeted E-Learning Modules based on results Full tailored management reporting suite Available in over 107 countries and 76 languages – In-Vehicle Training • • • Targeted in response to a drivers high risk Risk Assessment Part of general driver safety Refresher initiative (inc. classroom/theory element) Integrated into new starter on boarding induction programme (groups or one to one) new graduates / inexperienced drivers range of other training initiatives e. g. for colleagues visiting from abroad

Added Value Services – Telematics • • Significant experience in the analysis of telematics data Vast experience implementing bespoke training based on telematics data Ability to clearly demonstrate improvements and return on investment Working with global leading Telematics Providers – Overseas • 38 Countries globaly – Including USA, Europe Middle East, Asia Pacific

ADT Customer Portfolio – Vast experience working with fleets of varying sizes • 30 - 15, 000+ Drivers (the same risks and obligations apply!) – Clients across diverse industries including: • Pharmaceuticals, Chemicals, Biotech, Insurance, Finance, Construction, Logistics Automotive, Government, Regulatory, IT, Charities, Sports, Food Industries – Our current clients include: • Allianz Insurance, SSE, Jacobs, Guide Dogs for The Blind, Parkinson’s Welsh Rugby Union, Heineken, Chubb, Medtronic, Porsche Cars (GB) Ltd, Maybourne Hotel Group & Home Office.

Case Studies - Successes – Almirall • Loss Ratio decrease from 191% - 61% (over 12 month period – year one) – UCB • 17% reduction in collisions – Allianz • 17% drop in claims (over 12 month period) – Guide Dogs • 50% saving in annual claims costs – circa £ 125, 000 – Corgi • 127% reduction in collision frequency – (over 12 month period – year two) – Merck • Year on year reduction in claims – annual savings of circa £ 76, 000, 46% reduction during first two years

Benefits of addressing Driver and Fleet Safety – Ensures Legal Compliance • risk of prosecution to the employer • employer complying with responsibilities relating to HSE Guidance • a comprehensive safety Audit Trail – Financial Savings • pro-activity significantly reduces both direct and in-direct costs • monitoring and reporting permits improvements to be made • reducing collisions saves money, reduces lost business time and associated absence – Corporate Social Responsibility/Risk of Harm • • minimises brand reputation risk and also environmental risk PR value from demonstrating best practice and that staff well-being matters meeting customer, staff and shareholders expectations reducing risk of harm to public and employees

Driver Safe 2015 Research Project – – – Initially UK/Ireland based – but requests to participate from the USA /S. A etc. 20, 000 + drivers to participate To encompass all vehicle types and industry sectors Additional opportunity to under take Benchmarking Exercise Ocado, Allianz and Amey already participating SI Psychometric and Emotional Intelligence Profiling Tools are key component of research

Summary – Fleet Risk Management is an essential business activity which delivers: • • • Corporate and Employer Legal Compliance (Duty of Care/HSE etc. ) Focussed driver safety and awareness activities, risk mitigation etc. Real financial savings (direct and indirect) Ensures employee safety / improved CSR and PR Protects Corporate Image

Contact Details Applied Driving Techniques (Global Solutions) Ltd 25 Barnes Wallis Road Segensworth East Fareham Hampshire PO 15 5 TT Tel: 01489 -883230 E-mail: andy. Phillips@applieddriving. co. uk Web: www. applieddriving. co. uk