HRchitect Tech Vendor News: Kronos Survey Finds Employee Fatigue Can Cost Energy Companies Millions Annually; Night Shifts Not the Leading Cause of Fatigue

 CHELMSFORD, Mass., April 8, 2014— A new survey commissioned by Kronos Incorporated and conducted by PennEnergy reveals that employee fatigue causes energy organizations to lose on average $87,000 to $2.4 million per year, depending on company size. The survey also uncovers that working a 20-hour day or working 14 days in a row without a day off is more likely to cause fatigue than working mostly night shifts.

News Facts

  • The new survey titled “The Effects of Employee Fatigue and its Management in the Energy Industry” surveyed frontline managers, directors, and C-level executives across the energy industry comprising oil and gas, oil services, and power sectors. The survey represents views from companies with a total of approximately 350,000 employees. The views reflect top influences of employee fatigue; its impact; and what companies are doing to manage it.
  • The top influences of employee fatigue as found by the survey are as follows in rank order:
    • The number of hours worked per day
    • Number of consecutive days worked without more than 24 hours off
    • Total hours worked in a week
    • Working mostly nights
  • Survey respondents rank productivity losses, quality issues, and minor accidents as the top three impacts of employee fatigue on companies. In fact, fatigue causes 10 percent of lost productivity and 12 percent of quality issues in the energy sector. And frontline managers attribute 40 percent more to productivity and quality issues to fatigue than C-level respondents. Absenteeism, increased healthcare costs, and major accidents follow as other impacts of fatigue.
  • Respondents, who believe that their companies have effective internal fatigue guidelines, also believe that fatigue causes fewer production problems. However, 57 percent of all respondents report that their company does not have, or they are not aware that their companies have, internal guidelines for managing fatigue. The survey findings also indicate that C-level leaders consider internal fatigue-related guidelines to be less important, compared to frontline managers.
  • And while nearly half of respondents consider the design of schedules to be a key element in a fatigue-management effort, fewer than one in 10 oil and gas organizations surveyed currently have a system with real-time capability of reporting potential fatigue, which combines work history with upcoming schedules.

 

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Matt Lafata, HRchitect

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