Wouldn’t your company love a new million-dollar account? Imagine how great that would be. What if you had to find a million-dollar account to offset losses? And with the true “cost” of a loss typically being much, much higher, that million-dollar account quickly turns into many million-dollar accounts.
This example from Ohio shows a small slice of just how expensive it can be. Even at 15% net margin (most companies are in the 5-8% range), this company is going to need $4.8M in additional sales just to offset their $724K fine from OSHA. If they’re at 8%, it’s nearly $10M in addition to their existing sales goals and targets.
And don’t even get us started on the incalculable damaged caused to reputation and other long-term effects it can have on a company. A good safety and prevention program pays dividends.