What are the steps in which safety budget should be proposed?
Answers
Answer:
Explanation:
Whether you’re a new environment, health and safety (EHS) manager or a seasoned veteran, budgeting can be a tricky process in managing an efficient department.
Begin the process by considering your organization’s outlook and objectives for the upcoming year, as well as your department as an independent unit. You will need to identify actions to support the trajectories of each.
Use these six steps for successful EHS budgeting.
1. Identify your organization’s goals and projections for the upcoming year
Before you begin drafting your forecast, try to understand the goals and milestones your organization plans to hit. Examples include:
Organizational head count.
Clinical trial goals and milestones.
Partnerships or acquisitions.
Venture capital contributions.
Revenue forecast.
Not clearly understanding your company’s goals and forecast makes it very difficult to accurately develop an EHS budget that adequately supports the program.
You also should revisit your company’s mission statement and vision to review objectives around daily tasks, monthly projects and yearly goals.
2. Drill down to the departmental level
Once you understand the macro-level corporate forecast, it is time to dig down into departmental goals. It is critical that you know how each department will contribute to corporate projections. From there, you can understand how EHS will have to support each department in the coming year.
Examples:
If: Your medicinal chemistry unit is forecasted to grow by 20 percent by adding more research staff…
Then: You will want to focus on personal protective equipment, chemical hygiene and hazardous waste programs.
If: Your organization plans to hire 100 sales representatives...
Then: EHS support may be more focused on employee wellness, driver safety and environmental stewardship.
If: Business units are reduced…
Then: Ask corporate whether EHS will be asked to shut down any buildings or departments. These types of closures often require additional EH&S support.
Initiate meetings with business leaders early in the budgeting process to flush out details around planned campaigns, equipment purchases and head count. Gathering this information early will help you identify additional compliance or disposal costs as well as provide justification for your estimations.