Sunday, November 12, 2006

Fatal Lapse of Management

Citations have been issued in a fatal mine fire that took place last year. The information can be found here (http://www.forbes.com/home/feeds/ap/2006/11/11/ap3165220.html).

Evidently a lapse of management is responsible for the death of two miners. The management of Massey Energy Co. did not comply with state or federal safety standards. Their lapse lead to emergency sprinklers not being supplied with water because it was shut off, safety inspections had not been conducted in over two years prior to the fire, and their equipment was not properly maintained.

Managers are responsible for knowing everything that is going on in the business and in this company there was obviously a lack of communication, which lead to fatal concequences.

Not only do managerial decisions have economic concequences, they can also have fatal ones as well.

The final report demands that top officials sign off on quarterly safety reports similar to how Sarbanes-Oxley requires them to sign off and acknowledge financial reports. I believe that this is not enough, I think that these managers should be personally liable for the safety of their employees.

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