In today’s economy it is more important than ever to determine the potential return on investment (ROI) of any safety incentive program your company might be considering. While the standard ROI formula is simple enough:
ROI = Gain from Investment – Cost of Investment / Cost of Investment,
the ROI of a safety incentive program can be difficult to measure because the results will vary depending on what factors are included as gains and costs. The formula merely attempts to measure the monetary benefit of a program and is only as good as the input used. Because ROI measurements are flexible and easily manipulated to meet the demands of the user, the inputs need to be thoroughly understood by all before such a measurement tool can be effective.
Before offering tangible prizes you must first determine if your budget will enable you to sustain an incentive program over the long haul.
Once you’ve made a long-term commitment, begin by conducting a safety culture survey with a large sampling of the employee population. The employee population includes everyone - management, supervision and primary employees. These surveys are best done anonymously and should be tabulated by an outside resource to ensure objectivity. Building trust is critical in any safety process.
Allowing employees to pinpoint safe practices is smart management because it fosters employee involvement and a feeling of ownership. This in itself is a safety incentive. Questions designed to determine employees’ likes and dislikes as well as their sense of program satisfaction need to be an integral part of an initial cultural measurement. Subsequent surveys designed to measure change in culture will require the same type of queries.