Cost Benefit Analysis

Organizations frequently cite the perceived cost of ergonomics programs and solutions as a barrier to implementation of ergonomic policies. While the benefits of ergonomics are fairly easy to quantify following implementation, they can be difficult to estimate when attempting to justify an investment in an ergonomics intervention. This is one of the reasons that the cost side of the equation tends to dominate the discussion of ergonomics.

To help practitioners better quantify the benefits of ergonomics, Rick Goggins, a Labor and Industries ergonomist and PSHFES Council Member, has developed a cost-benefit calculator. This calculator is an effective tool to estimate the potential cost reductions as a result of utilizing better ergonomic practices.

The calculator allows you to compare three intervention options, and provides estimates of benefits and payback periods.The figures used are based on a review of 250 case studies in which organizations reported the outcomes of ergonomics programs and individual solutions.

The case-study data, calculator and a summary of study is available to be downloaded and/or viewed below. ETC is confident that after quantifying the figures that may be saved as a result of ergonomic implementation cost will be an even greater factor in your decision to implement them. These independant resources highlight the cost benefits of effective ergonomic practice and clearly demonstrate that injuries do not have to be the cost of doing business.

Reference for Case-Study and Calculator:
Estimating the Effectiveness of Ergonomics Interventions through Case Studies: Implications for Predictive Cost-Benefit Analysis
Journal of Safety Research, Volume 39, Issue 3, 2008, Pages 339-344
Richard W. Goggins, Peregrin Spielholz, Greg L. Nothstein

Cost Benefit Calculator Instructions
Cost Benefit Calculator Example
Cost Benefit Calculator
Case Study Collected Information
Case Study Raw Data
Case Study Summary

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