The idea of a “low risk” contractor is a myth that can create dangerous gaps in safety strategies. Every contractor brings some level of risk, potentially leading to safety incidents, operational disruptions or reputational damage.

Facility managers may, for example, consider painters, flooring contractors and landscapers a lower risk compared to roofers, steelworkers or electricians. While this distinction is often accurate, complacency can lead to dangerous oversights. Even contractors performing seemingly low-risk tasks can face or contribute to significant hazards, especially when their safety performance is not properly assessed and observed.

Moreover, traditional safety assessments tend to rely heavily on past safety performance rather than anticipating potential future risks. An unblemished safety record, as measured by lagging indicators like total recordable incident rate (TRIR) or experience modification rate (EMR), may result from sheer luck rather than robust safety practices.

FMs must look beyond surface-level metrics and lagging indicators to accurately assess a contractor’s risk. A comprehensive approach incorporating leading indicators and on-site behavioral observations is critical for improving safety and avoiding costly incidents.

Look beyond past performance

FMs commonly use TRIR, EMR, and days away, restricted duty or job transfer (DART) rates to evaluate contractors. These lagging indicators provide valuable historical information but are not the best predictors of future performance.

Relying solely on past performance for prequalification decisions can result in inaccurate conclusions and the unfair exclusion of capable contractors, shrinking an already small pool of potential partners. Moreover, research has found no significant correlation between TRIR and fatalities and caution against using TRIR as the primary safety metric for comparing or prequalifying contractors.

Lagging metrics miss key components necessary for understanding and managing safety risks:

  • Severity: Lagging metrics fail to distinguish between minor and severe incidents. For example, a contractor with 10 minor lacerations will have a higher TRIR than one with a single catastrophic injury, even though the latter poses a greater long-term risk. Without understanding the severity, these metrics can create a distorted perception of overall risk.

  • Context: Metrics provide no insights into how or why incidents occurred or what corrective actions were taken. Understanding root causes, contributing factors and the contractor’s response is essential for assessing future risks. Did the contractor learn from the incident and improve, or continue with business as usual?

  • Potential: Many recorded incidents lack serious injury and fatality (SIF) potential, but some do. Categorizing near-misses, exposures and incidents with SIF potential is crucial to identifying critical risks. Traditional metrics do not account for this type of analysis, missing an opportunity for meaningful risk reduction.

While these metrics are important, their lack of predictive validity underscores the need for a broader safety assessment framework.

Predictive safety risk analysis

A contractor’s safety programs and culture are far better predictors of future outcomes than historical performance metrics alone. These elements also reveal opportunities for proactive collaboration to improve safety.

Effective safety programs go beyond regulatory compliance and minimum standards. High-performing contractors tailor safety programs to address the specific hazards associated with their work and provide clear, actionable strategies to mitigate risks. Facility managers should evaluate whether these programs include the following elements:

  • Leadership commitment and support

  • Performance tracking against defined goals

  • Clear communication and employee involvement

  • Targeted employee training and development

  • Accountability systems

  • Recognition and incentive programs

  • Hazard identification and inspection processes

  • Continuous improvement initiatives

Research shows that robust safety management systems correlate strongly with reduced incident risks. For example, a study published in the Journal of Safety Research found that each point increase in safety system quality was associated with a 34 percent reduction in the odds of a recordable case and a 28 percent reduction in the odds of a DART case.

Analyzing these systems may require significant effort, but modern technology can streamline the process, making it more accessible for facility managers.

Real-time data enhances risk management

Even contractors with seemingly low-risk tasks may face significant hazards due to their working environment or interactions with other teams. For instance, a flooring contractor in an active warehouse must contend with risks like forklift traffic and falling objects. While these hazards are unrelated to their specific task, they highlight the importance of situational awareness and proactive risk mitigation.

To address these challenges, FMs should implement detailed onboarding, regular on-site inspections and real-time performance monitoring. Continuous evaluation allows managers to address unrecognized hazards and ensure that safety measures remain effective throughout the project.

Building a safety culture for all contractors

FMs play a critical role in establishing and maintaining a robust safety culture. Strategies to achieve this include:

  1. Building relationships. Trust and collaboration foster a shared commitment to safety. When contractors are treated as valued team members, they are more likely to prioritize safety as a collective goal.

  2. Establishing clear expectations. Open communication ensures alignment on safety policies, goals and scope of work. Transparency at all levels promotes accountability and trust.

  3. Empowering frontline workers. Workers on site often have the clearest view of risks. Encouraging them to report hazards and voice concerns without fear of reprisal strengthens the safety ecosystem.

  4. Conducting inspections and audits. Regular evaluations provide critical insights into compliance, behavior and emerging risks. Documenting positive and negative observations ensures actionable improvements.

  5. Investigating SIF potential events. Near misses and exposures can reveal systemic issues. Investigating these events with the same diligence as recordable incidents can identify areas for improvement in training, planning and communication.

Recognizing that all contractors contribute to a facility’s overall risk profile allows for a more effective and inclusive approach to safety management. By supplementing traditional metrics with assessments of safety programs and on-site observations, FMs can better understand contractor-specific risks and collaborate to mitigate them.

Engaging with contractors to create a tailored safety plan establishes expectations, builds trust and strengthens the shared commitment to safety. Treating every contractor as an integral part of the safety culture protects workers, enhances efficiency, and drives success for both contractors and the facilities they support.