The Solvay Green River Mine Risk Assessment

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  1. Executive Summary
  2. Introduction
  3. Objectives and Uncertainty
  4. List of Risks
  5. PESLTE Analysis
  6. Likelihood and Impacts
  7. Conclusions and Recommendations
  8. Reference List
  9. Appendix

Executive Summary

The given case is concerned with Solvay Green River’s mine, where occupational hazards manifested in major worker injuries. The risk assessment was conducted by identifying the key risk factors with the use of PESTLE. The goal of Solvay is to ensure operational safety, without which workers’ health and well-being are put in great danger. Major risk factors were identified, which range from occupational fatality to the government’s regulatory intervention. The core recommendation is to establish a worker safety culture where risks are perceived objectively and with caution.

Introduction

It is important to note that the given qualitative risk assessment will be based on the definition of risk as a combination of event probabilities and corresponding consequences. It is stated that “risk assessment is a process used to gather knowledge and information around a specific health threat or safety hazard” (Haas et al., 2017, p. 23). When it comes to the theoretical framework of the risk assessment process, there are six major steps. These include the following:

  • Hazard identification
  • Risk stakeholders and objectives
  • Risk analysis, implications, and impact
  • Risk control measures and solutions
  • Recording the findings
  • Evaluation and review of the controls (Rausand and Haugen, 2020).

The primary focus of the risk assessment evaluations is centered around Solvay Green River’s mine located in Wyoming’s southwest region. It is reported that “in 2009, Solvay experienced a sharp increase in incidents in its more-than-450-employee operation. Although no fatalities occurred, there were three major amputations and injury frequencies that were increasing steadily” (Haas et al., 2017, p. 26). In other words, understanding the risks in a mining operation and implementing effective risk control measures are vital in order to minimize the occupational hazard imposed on the workers.

Objectives and Uncertainty

Objectives

The key and central objective of Solvay Green River is to minimize the occupation hazard risks for miners. The Annual Report of Solvay states the following as their key goals and points of interest for operational safety:

  • Occupational safety
  • Industrial hygiene
  • Process safety
  • Transport safety
  • Environment
  • Occupational health (Solvay, 2021, p. 133).

It should be noted that an inability to properly manage and reduce these threats “caused frustration and disappointment among the workforce” (Haas et al., 2017, p. 26). The key objective of the management is to obtain a comprehensive understanding of what constitutes the risk and risk perception among workers and determine the acceptable degree of risk. Since mining workers operate differentially and possess divergent levels of risk tolerance based on their experience and personal perception of danger, the management is required to know the commonly held limits. In other words, the key stakeholders are workers themselves, who have different opinions on the subject.

Knowledge and Uncertainty

The current knowledge and uncertainty clearly show that the consequences are dire, such as “torn ligaments/tendons/muscles requiring surgical repair or restricted duty; lacerations requiring sutures; and fractures” (Haas et al., 2017, p. 26). Not only do these issues cause workforce distress, but they additionally impact the operational effectiveness and incur major costs on the mining company since the latter is responsible for ensuring occupational safety. The Knowledge Model Matrix can be accessed in Table 1 below.

Table 1: Knowledge Model Matrix

Knowledge
(Known Knowns)
There was sharp increase in occupational incidents.
No fatalities, but severe injuries are the worker implications.
Various workers have different risk perceptions.
Workforce is distressed and disappointed with the management.		 Risks
(Known Unknowns)
There is an acceptable level of risk management for the entire workforce.
Untapped Knowledge
(Unknown Knowns)
There are measures, which can reduce the occupational hazard in accordance with differential risk perceptions.		 Uncertainty
(Unknown unknowns)
A new form of occupational hazard and distress could emerge as the result of the intervention’s failure to understand the core underlying factors.

List of Risks

The team working on the project combined the efforts put in by each team member in order to compile and combine the individual risk identification lists. The different categories of the risks were divided in accordance with PESTLE, such as political, environmental, social, technological, legal, and environmental (The University of Sydney, 2022). The risks identified were not highly technical, but the same observation can be made in regard to the case source. In total, the team identified 20 unique risks when repetitive or similar ones were eliminated and shared between each team member. Due to the lack of technical expertise, each team member is expected to identify at least ten risks. As non-specialists, it was possible to observe a broader risk range without being excessively focused on mining-related specifics. Risk personality plays a part in risk identification because some perceive workers empathetically, whereas others view them as a business aspect. The final list of risks was completed through a thorough discussion of the final list of risks presented in Table 2 below in the form of a PESTLE analysis.

PESLTE Analysis

Table 2: Pestle Analysis

Political
  • A major incident, such as a worker’s death, can spur political involvement in the process.
  • Solvay’s inability to manage the occupational risks can result in the government imposing major sanctions.
  • Poor work safety can lead to the formation of the worker union, lessening the power Solvay held over its operations.
Economical
  • Inflation can lead to a reduction in disposable income among workers adding more incentive to go on a strike or leave the company.
  • Economic recovery and growth post-COVID-19 might result in an increased demand for mining output, which can worsen the occupational risks.
  • Without dealing with the worker distress, employees might find the current compensation unsatisfactory compared to the level of occupational risk to which they are exposed.
Social
  • Media involvement in a major occupational incident can turn the company into a spotlight of controversy.
  • Pro-union and environmentalists can use the poor management at Solvay to promote their agenda.
  • Post-pandemic awareness of the importance of health can make workers less willing to work under the current conditions.
  • Social media can be used by the workers or their families to reveal the risk management incompetence of Solvay.
Technological
  • Implementation of new technology at the mining site without establishing a proper safety culture can make the investment useless.
  • The lack of a pre-job safety and risk assessment meeting can render communication tools ineffective.
  • Poor safety culture can be linked to decreased technological awareness leading to not making full use of an equipment’s capabilities.
Legal
  • New employment laws and occupational standards can be imposed as the result of poor occupational safety at Solvay.
  • Worker protection regulatory bodies can become involved in the process.
  • The mining sites can become directly targeted by new regulations making the operations stricter and less profitable.
  • New environmental regulations can be imposed on Solvay, making the mining process even more dangerous without proper safety culture.
Environmental
  • The change in weather patterns and climate can contribute to an occupational hazard.
  • Sudden earthquakes can put workers with poor occupational safety at a greater risk.
  • The lack of a safety culture can make Solvay unable to implement novel environmentally-friendly measures.

Likelihood and Impacts

The final risk register with likelihoods and impacts is shown in Table 3 of the Appendix below, whereas an example of an individual risk register can be accessed in Table 4 of the Appendix below. The measure is higharely subjective, even in the team context. Predictive smaller and short-term events can be done with better precision than large forces. In addition, one needs to be technically and managerially proficient to properly implement such an analysis.

Conclusions and Recommendations

The purpose of the risk assessment is to increase awareness of potential risk points by identifying them and analyzing their criticality. The expected benefit is more effective and comprehensive prevention of possible ramifications (Thompson and Hopkin, 2021). The final outcome of the exercise is that occupational hazard requires an immediate form of intervention, such as establishing a workplace safety culture. In other words, the risk assessment was useful due to the systematic understanding of the implications of occupational hazards.

The case of Solvay requires the identification of all risks because workers’ lives and health are in danger. The likelihood and impact factors must be estimated accurately to ensure the prioritization of preventative efforts. The content of the risk register determines the most urgent measures to be integrated before proceeding with secondary tasks. The practical use of risk management shows that it is effective at outlining the critical points of concern, but it does not provide information about the appropriateness of risk treatment.

The key recommendation is to establish a worker safety culture which is not only based on rules and protocols but additionally on workers’ perception of risk. The major lesson is that risks can be pervasive and broad in scale because they can have a multitude of implications. Different risk assessments emphasize divergent aspects of the hazards, and thus, they are not the same (Thompson and Hopkin, 2021). A safety officer with technical knowledge and skills in mining operations must be involved in designing proper treatment measures. A sole measure to address different personalities or group cultures is establishing one safety culture backed by company requirements, rules, and policies.

Reference List

Haas, E. J. et al. (2017) , Transactions, 342(1), pp. 22–28. Web.

Rausand, M. and Haugen, S. (2020) Risk assessment: theory, methods, and applications. New Jersey: John Wiley & Sons, Inc.

Solvay. (2021) Web.

The University of Sydney. (2022) Web.

Thompson, C. and Hopkin, P. (2021) Fundamentals of risk management: understanding, evaluating and implementing effective enterprise risk management. London: Kogan Page.

Appendix

Likelihood/Impact Scale

1 = Very Low 2 = Low 3 = Medium 4 = High 5 = Very High

Hazard Rating = Likelihood * Impact

Hazard Rating Scale

Table 3. Final Risk Register

1-5 = Very Low 6-10 = Low 11-15 = Medium 16-20 = High 21-25 = Very High
Ref. The Risk Risk Assessment Risk Treatment
ID Risk Name Risk Description Likelihood Impact Hazard Rating Control
1. Political
1.1. Worker death A major incident, such as a worker’s death, can spur political involvement in the process. 5 5 25 Worker safety
1.2. Government intervention Solvay’s inability to manage the occupational risks can result in the government imposing major sanctions. 3 3 9 Establish worker safety before such intervention
1.3. Union formation Poor work safety can lead to the formation of the worker union, lessening the power Solvay held over its operations 4 4 16 Improve worker satisfaction
2. Economical
2.1. Inflation Inflation can lead to a reduction in disposable income among workers adding more incentive to go on a strike or leave the company. 1 2 2 Closely monitor worker distress
2.2. Economic growth Economic recovery and growth post-COVID-19 might result in an increased demand for mining output, which can worsen the occupational risks. 2 1 2 Ensure growth adheres to safety
2.3. Compensation Without dealing with the worker distress, employees might find the current compensation unsatisfactory compared to the level of occupational risk to which they are exposed. 3 2 6 Increase compensation
3. Social
3.1. Media Media involvement in a major occupational incident can turn the company into a spotlight of controversy. 4 5 20 Establish safety culture
3.2. Activists Pro-union and environmentalists can use the poor management at Solvay to promote their agenda. 3 3 9 Establish safety culture
3.3. Health Awareness Post-pandemic awareness of the importance of health can make workers less willing to work under the current conditions. 1 1 1 Provide better health insurance
3.4. Social media Social media can be used by the workers or their families to reveal the risk management incompetence of Solvay. 4 3 12 Implement pre-work device restrictions
4. Technological
4.1. Technology with poor safety culture Implementation of new technology at the mining site without establishing a proper safety culture can make the investment useless. 3 4 12 Establish safety culture before implementation
4.2. Safety meeting The lack of a pre-job safety and risk assessment meeting can render communication tools ineffective. 1 2 2 Conduct regular meetings
4.3. Low technological awareness Poor safety culture can be linked to decreased technological awareness leading to not making full use of an equipment’s capabilities. 2 2 4 Increase worker competence
5. Legal
5.1. Employment laws New employment laws and occupational standards can be imposed as the result of poor occupational safety at Solvay. 4 5 20 Establish safety culture
5.2. Regulatory bodies Worker protection regulatory bodies can become involved in the process. 4 5 20 Establish safety culture
5.3. Regulations The mining sites can become directly targeted by new regulations making the operations stricter and less profitable. 4 4 16 Establish safety culture
5.4. Environmental mandates New environmental regulations can be imposed on Solvay making the mining process even more dangerous without proper safety culture. 3 4 12 Assess environmental hazards
6. Environmental
6.1. Climate change The change in weather patterns and climate can contribute to an occupational hazard. 1 4 4 Assess environmental hazards
6.2. Natural disasters Sudden earthquakes can put workers with poor occupational safety at a greater risk. 1 5 5 Integrate safety measures for such occurrences
6.3. Non-implementation The lack of a safety culture can make Solvay unable to implement novel environmentally-friendly measures. 1 2 2 Establish safety culture

Likelihood/Impact Scale

1 = Very Low 2 = Low 3 = Medium 4 = High 5 = Very High

Hazard Rating = Likelihood * Impact

Hazard Rating Scale

Table 4: Student #’s Risk Register

1-5 = Very Low 6-10 = Low 11-15 = Medium 16-20 = High 21-25 = Very High
Ref. The Risk Risk Assessment Risk Treatment
ID Risk Name Risk Description Likelihood Impact Hazard Rating Control
1. Political
1.1. Union formation Poor work safety can lead to the formation of the worker union, lessening the power Solvay held over its operations. 4 4 16 Improve worker satisfaction
2. Economical
2.1. Compensation Without dealing with the worker distress, employees might find the current compensation unsatisfactory compared to the level of occupational risk to which they are exposed. 3 2 6 Increase compensation
3. Social
3.1. Media Media involvement in a major occupational incident can turn the company into a spotlight of controversy. 4 5 20 Establish safety culture
3.2. Social media Social media can be used by the workers or their families to reveal the risk management incompetence of Solvay. 4 3 12 Implement pre-work device restrictions
4. Technological
4.1. Low technological awareness Poor safety culture can be linked to decreased technological awareness leading to not making full use of an equipment’s capabilities. 2 2 4 Increase worker competence
5. Legal
5.1. Employment laws New employment laws and occupational standards can be imposed as the result of poor occupational safety at Solvay. 4 5 20 Establish safety culture
6. Environmental
6.1. Natural disasters Sudden earthquakes can put workers with poor occupational safety at a greater risk. 1 5 5 Integrate safety measures for such occurrences
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