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Saturday, September 10, 2011

ARS Risk Reduction Reviews - Both Internal and External Reviews are Better

Risk Reduction Reviews at Austian's Risk Services, Inc. (ARS) using ARS Risk Reduction Reviews are designed to support the different requirements and audit scenarios typical of any company.

  • Internal Reviews Only (Good)
  • External Reviews Only (Better)
  • A Combination of External and Internal Reviews (Best)

The preferred method is a combination of both external reviews by ARS reviewers and internal reviews by internal safety staff for at least the first year with 100% of locations being audited by ARS. This establishes a good baseline "state of the nation" upon which to build your audit program in second and subsequent years and to train your staff to properly and consistently perform the reviews.

Standards of performance can then be established and agreed upon by operations and future reviews measured against this internally developed and agreed upon standard.  Reviewing 100% of the locations the first year also helps in creating the buy-in necessary from operations since everyone shares in the "pain" equally and had a role in creating the standards they will be measured against.

The second year could then consist of a mix of external and internal reviews with maybe 10 - 20% of the locations reviewed by external ARS reviewers and 100% of the locations by internal reviewers. External ARS reviewers would be used as a disinterested third party without any ties to the company or operations to thereby ensure a fair and balanced evaluation consistent across the organization. The locations to be reviewed could represent a cross-section of your company's locations or could just target the poorest performers or a mix of both in each region or area.

Often times however, companies lack the internal staff and/or resources to review 100% of the locations and believe it is preferable to have the external reviewers review all locations and internal reviewers just "reaudit" locations that have done poorly or to just focus in on specific areas identified as requiring more attention. By targeting opportunity areas already identified by the external reviewers, internal safety staff resources can be used more effectively.

It is also preferrable to have a certain percentage or number of reviews be "test" reviews. Depending on the size of the organization, this typically ranges anywhere from two to ten reviews. Once these test reviews are completed and a standardized template for all future reviews developed, it makes it easier to perform the reviews without any surprises or sudden unexpected and possibly disruptive, unwelcome or confusing changes after a large number of reviews have already been completed. Retroactive restating of results are also avoided.

Test reviews are done by external ARS reviewers only using ARS Risk Reduction Reviews. However, internal safety and operations staff are welcome and encouraged to be present and involved in the review, however, they will not use ARS Risk Reduction Reviews until after the test reviews are completed and have started training.

Although a combination of both internal and external reviews of 100% of the locations is the preferred method, external reviews done by ARS reviewers only is also a very good option for many organizations. This is especially true for companies that do not want to develop or need a full-blown internal review capability or believe the best results are best left to the experts!

Anyway you want it, Austian's Risk Services, Inc. can provide a solution tailored to your situation.

For more information about Risk Reduction Review Services at Austian's Risk Services, Inc., please check out our website at:

ARS Risk Reduction Reviews

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