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| ■ Management mechanism for safe production and occupational health |
COSCO's ships and subsidiaries at all levels have established the safe commissions, which are composed of the senior executives and main leaders of labor unions and different departments from the respective company. All safety commissions are led by the safety commission of COSCO Group. COSCO President acts as the head of COSCO's safety commission, while the top leaders of subsidiaries are the heads of their safety commissions and the captains are the heads of the safety commissions of ships. The main duties of safety commission is to perform the international conventions and the state's safe production laws, rules and regulations, make decisions on, supervise and coordinate safety, occupational health and environment protection as well as the disposal of the safety accidents. The safety commission has a safety commission office (included in safety management and supervision department of the units at all levels), which is responsible for dealing with the routine safe production and occupational health work under the guidance of the safe commission's officials; regularly holding safe production symposiums, organizing the inspection, evaluation and surveys on the safe production, the occupational health and environment protection of ships and off-shore units, and putting forward the requirements and the improvement proposal for the above tasks and timely reporting to the safety commission. Safety management functional departments at all levels are directly led and guided by the safety commissions. The safety commission of ship is responsible for safe operation of ships, avoiding casualties, protecting the health of the crew and preventing the environmental pollution to oceans; strictly performing the international conventions and related regulations of local authorities; guaranteeing the effective running of the ship's safety management system. In case of emergencies, the captain has the right to make the final decision in order to protect the safety of ships and people, avoid environment pollution and reduce property losses.
COSCO has set up positions of general captain and general chief engineer officer to strengthen the guidance for ships in safety, health and technology and the shore-based support; COSCO establishes the ship safety supervisor mechanism in major domestic ports, implementing safety inspection and guidance for arriving ships and strengthening COSCO's effective monitoring over the safety management. COSCO and all its 2nd-tier subsidiaries have set up the emergency disposal guiding team and working team responsible for supervising, coordinating, guiding and dealing with the emergencies on ships and lands. |
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| Employee representatives of safety commissions. Chairmen and vice chairmen of labor unions of COSCO and its subsidiaries at all levels are major members of safety commissions. The responsible persons for the supervision of labor safety protection in labor unions are main members of the safety commission offices. In the safety commission of COSCO Group, employee representatives account for 18% of |
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| the total members, compared with about 20% in safety commissions of COSCO's subsidiaries at all levels |
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| ■ Measures for safety and occupational health in 2006 |
| (1) Abide by safety development concept and build harmonious COSCO. |
| COSCO defined that “safe production“ and “sustainable development“ as the group's two major tasks in 2006, emphasizing the specific requirements of “safety as top priority“ and building “a long-term effective mechanism for safety management“, advocating “guiding safety work with scientific thoughts“ and providing reliable guarantee for the safety work in human power, money and materials based on the philosophy of “human orientation, safe development and building harmonious COSCO“. |
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| (2) Sticking to cultivating enterprise safety culture and accelerate the construction of long-term effective safety mechanism. |
| On Feb. 24, 2006, COSCO officially launched the project of óestablishing long-term effective safety management systemó. COSCO selected Dupont as the safety consultant to evaluate the safety management status of six pilot units including COSCO Container Lines, COSCO Shipyard, COSCO Bulk Carrier, COSCO Dalian, COSCO Guangzhou and COSCO Group. |
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| Dupont's safety experts positively confirmed the occupational safety and health of COSCO, but pointed out that the safety goal of some management is to conform to the "rules" rather than pursue òexcellenceó; that some management failed to set an example for employees in safety and make òvisibleó promises to employees; that some employees were weak in safety criteria and safety execution. In order to effectively formulate and implement related improvement measures, the expert team held the òworkshop on safety execution and action planó in pilot units to reach a consensus with senior decision-making officials and medium-level management and provide feasible improvement opinions on how to establish and implement a set of powerful, effective and constantly improved long-term safety management through adequate discussion and exchanges with senior executives. With the stable progressing of establishing the long-term effective mechanism, the construction of the enterprise safety culture has been strengthened and the employees' safety concept has been updated, especially that the concept of "zero accident, zero pollution and zero injury" has been commonly accepted. The safety management thoughts, methods and measures have been defined to improve the safety management. |
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(3) Adhere to perfecting the emergency management system and improving the capability of preventing and dealing with emergencies.
COSCO has always been abiding by the policy of "prevention priority, damage reductionó, taking improving the emergency management capability as the priority to further improve the group's emergency prevention system and lay a solid foundation for the emergency management. With the project of building a long-term effective mechanism, COSCO developed the revision plan of "COSCO's Total Emergency Proposal" at the emergency management raining and symposium in early December 2006, arranging the emergency management tasks at the next stage. The revised emergency proposal of COSCO Group consists of 1total emergency proposal and 13 specific proposals. According to the requirements of COSCO Group, subsidiaries at all levels are also improving corresponding emergency proposals in order to finally form a set of scientific and normalized emergency proposal system to lay a solid foundation for the future emergency management. In Oct. 2007, COSCO Group and its subsidiaries at all levels completed the revision and improvement of their emergency proposals. |
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(4) Insist on taking the shipping safety as the emphases and doing well in safe production in different seasons
※ Typhoon combating. In 2006, COSCO tracked 95 tropical cyclones worldwide in total and guided 440 affected vessels with no danger and accident. COCSO achieved 100% success rate in typhoon combating for the full year.
※ Shipping in fog. COSCO attaches great importance to the safety of shipping in fog. Based on the principle early arrangement and strict organizing and supervision, COSCO guided 1,229 vessels in shipping in fog for the full year, achieving good performance in safety of shipping in fog.
※ Prevention against winter. COSCO initiatively conducts the self safety inspection and supervision in winter to eliminate the hidden safety troubles and implement prevention measures. 838 vessels sailed along the storms in winter among the whole system and 112 vessels were guided for special conditions. No accident had ever happened, ensuring the orderly production in winter. |
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| (5) Abide by combining supervision with self inspection for safety and occupational health to constantly reinforce the management |
| In 2006, COSCO continued reinforcing the supervision, evaluation and guidance, and conducted inspection and evaluation for 21 units in succession, playing a positive role in stabilizing the safety production trends for the whole year. COSCO's subsidiaries at all levels conducted the special safety examination activities, including supervision examination for1,672 vessels in shipping affairs and 4,739 defects corrected; shipping engineering examination for 1,808 ships and 6,095 defects corrected; labor safety examination for 1,354 ships and 1.083 defects corrected; 3,418 times of labor safety examination for off-shore units; 17,929 times of off-shore equipment examinations. Ship safety supervisors of COSCO went to the port to examine and guide 483 vessels and eliminate 715 defects in ships. From Jul. 1, 2006, COSCO conducted 6-month self examination on the safety of employees' behaviors within the whole system. COSCO's subsidiaries at all levels provided all-round support in terms of human power, money and materials. |
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| Some units even established the incentive fund to encourage employees to discover problems and tell the truth. Meanwhile, the situation and the experience of the self examination were edited into brochures for exchanges. COSCO's subsidiaries also organized the massive safety activities in multiple forms. The combination of safety supervision and examination with the self examination plays an important role in improving COSCO's safety management for ships. |
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(6) Stick to improving the operation quality through “comprehensive risk & safety management system”
In 2006, the safety management systems of COSCO's subsidiaries at home and abroad and 475 ships operated and managed by them ran normally. 113 vessels successfully passed the verification for certification, while 87 vessels for intermediate verification, 48 vessels for license exchange verification, 58 vessels for additional verification, 364 vessels for internal audit. 5,465 employees received the system training while 4,992 employees received performance training. Meanwhile, more efforts were put into the examination and guidance for ship systems, improving the quality of internal audit and review and ensuring the compliance of ships' management activities with the system requirements. |
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(7) Adhere to human orientation to effectively control the work-related injury accidents
It is a necessary requirement for protecting and developing the fundamental interests and ship and off-shore employees and guaranteeing the safety and health of employees to achieve the goal of building an ever-lasting COSCO and a harmonious COSCO. By focusing on the key points of the labor safety and protection, enhancing the mechanism construction and increasing the investment of money, materials and human power in scientific development and applications, COSCO makes endeavors to improve labor environment and conditions, reducing the casualties related to labor safety and maintaining a relatively stable labor safety trend. |
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