Technische Fachhochschule Georg Agricola University of and Geology

How can Southeast Asian mining industries apply the German risk management system? Experiences from

Jürgen Kretschmann University of Applied Sciences Georg Agricola in Bochum, Germany Nguyen Thi Hoai Nga Hanoi University of Mining and Geology, Vietnam www.humg.edu.vn www.tfh-bochum.de Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

Content

• Some facts and figures • The German risk management system in companies • Multi-level approach of the adaptation from German to Southeast Asian coal mining industries • Experiences from the Vietnamese coal mining industries • Conclusion

J. Kretschmann, 2 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

Some facts and figures

Risk management and occupational safety and health management

J. Kretschmann 3 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

Stone excavation in Thammarat - Thailand

J. Kretschmann 4 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

Coal industry in Quangninh - Vietnam

Ignorance of NO ENTRANCE Ignorance of NO FIRE

J. Kretschmann 5 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

45 25 Fatal accidents Number of death tolls Quantity of collieries excavation (million tons)

40 21.5 20.4 20.1 20.3 20 35

17.17 30 16.3 14.65 15 25 12.48 20 41 9.78 35 10 33 15 30 28 29 28 28 6.98 25 24 5.02 10 6.13 20 21 20 18 19 5 17 16 14 5 11 9 9 8 8 9

0 0 1 2 3 4 5 6 7 8 9 10 11 12 Year

J. Kretschmann 6 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

The German risk management system

Implementation and achievement

J. Kretschmann 7 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

Production

Quality and sales

Deposits/ Land use planning

Technics and Logistics

management

Workforce

risks

PROTECTION

Purchasing development

Aids Corporate /

Revision Coporrate Accounting Communication

Compliance Law/ Corporate

Finance plannung

Tax and fees ENVIRONEMTAL

Information and Communication Technology Overall Share holders SAFETY AND OCCUPATIONAL HEALTH/

Risk Management System

Main risk fields with core functions Main risk fields with cross – divisional functions

J. Kretschmann 8 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

 95 Accidents per 1 million working hours

24

 3.7  416 30 6 0

1960 1990 2000 2013

J. Kretschmann 9 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

The multi-level approach of the adaptation

J. Kretschmann 10 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

The multi-level approach

J. Kretschmann 11 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

Experiences from the Vietnamese coal mining industry (rep. Vinacomin)

J. Kretschmann 12 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology Corporation in strategic and national safety programs

International Social Security Association and Ministry of Labour - Invalid and Social Affairs co – hosted annual safety conference in frame of National Safety Week

J. Kretschmann 13 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

At corporate level (case study VINACOMIN)

Two stages of risk management handbook‘s deployment in Vinacomin

J. Kretschmann 14 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

At subsidiaries‘ level

Model of occupational OSH and RM on the subsidiary level in Vinacomin

J. Kretschmann 15 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

Changes through and in training

• Think small!

• The tiniest small change in circumstance can have a big impact

• The small things can be seen in working places, not in the management board

J. Kretschmann 16 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

Changes through and in training

J. Kretschmann 17 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

It is worth noting…

• … that Prevention brings more advantages than just spending – From the German hard coal mining industry (rep. RAG): better prevention offer (opportunities) to increase the productivity – From the International Social Security Association (ISSA): Return of Prevention (ROP) = 2.2 • … that the value of companies, investing in people, is benchmarked by 40% better than the others

J. Kretschmann 18 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

It is worth (also) noting…

• … that in Southeast Asia, cultural requisite should not be ignored

1950 In Germany In Vietnam 1957

2012 2012

Internet

J. Kretschmann 19 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

It is worth (also) noting…

• … that in Southeast Asia, cultural requisite should not be ignored – Politeness – „Lose face“ – Communication – Individualism – collectivism – Role of trainers in training: from conventional training methods to participatory training methods

J. Kretschmann 20 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

Conclusion

J. Kretschmann 21 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

Successful risk management transference

Know-how transference Interculture understanding

Experiences exchange

J. Kretschmann 22 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

Risk and chance

Western countries Estern countries Two sides of a coin Yin & Yang

J. Kretschmann 23 T.H.N.Nguyen Technische Fachhochschule Georg Agricola Hanoi University of Mining and Geology

Thank you for your kind attention.

Glück auf!

[email protected] [email protected]

J. Kretschmann 24 T.H.N.Nguyen