Calculating ROI in Risk and Safety

 

Is safety worth the price?

No, this isn’t the start of an article about the immeasurable value of employee health and community safety. This is a dollars and cents conversation and a crucial discussion to have. Money matters, whether you are a private firm looking to maximize profits or a public agency working from a defined budget.

Ultimately, the level of safety we can provide for our employees comes down to how efficiently we spend our funds. It’s a thorny issue all risk managers and program operators must address.

Flipping The Script On Safety

Safety has an image problem.

For many companies and agencies, safety is a cost center. It doesn’t generate profits or increase the revenue base. As a result, many view it as a necessary cost they must account for. No one gets excited spending money on things that do not provide a clear return.

The counter to that is this: every dollar saved is as good as a dollar earned. What is not seen or taken into consideration is the money saved in workers’ compensation claims, healthcare costs, and liabilities. The right safety measure can be cost-positive if it saves you more money in safety incidents than it takes to implement it.

Our ROI Safety Calculator

Of course, that’s not necessarily a straightforward calculation.

So we have developed a tool to help you. This is our Safety Cost Benefit Calculator. We designed it to help you quantify your safety decisions and guide you to the correct safety measures for your agency.

Look at our video above as we take you through the value of ROL in safety and how to use our ROI Safety Calculator.

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