Limitations of SafeWork NSW’s Two-Decade-Old IT System on Informed Decision-Making

SafeWork NSW, grappling with the constraints of an antiquated IT system, faced significant delays in addressing emerging health risks associated with manufactured stone, a revelation brought to light by the state’s auditor-general. Despite holding extensive data, the work health and safety management system (WSMS) proved outdated, near end-of-life, and lacking essential functionalities for efficient data extraction and analysis. The report highlights data quality issues and emphasizes the system’s inability to support strategic decision-making, citing a deficiency in data governance and corporate knowledge.

The repercussions of this outdated system extended to the response to airborne silica risks, where the WSMS was deemed limited and imprecise in identifying related complaints. Keyword searches for ‘silica’ could miss pertinent reports, introducing potential gaps in health risk assessments. Furthermore, the absence of a comprehensive plan to replace WSMS and uncertainties regarding a planned upgrade, due to a lack of funding, underscore the challenges faced by SafeWork NSW in modernizing its systems.

The audit report also sheds light on the systemic issues within SafeWork NSW, revealing the production of unreliable reports and a fragmented approach to decision-making across different directorates, each developing its own reporting capabilities. The absence of a single data custodian and recent establishment of a data governance committee further underscore the agency’s struggle with cohesive data management.

In the realm of technological advancement, while SafeWork NSW has initiated the use of artificial intelligence to analyze historical compliance data and assess employer risks, the auditor points out inconsistent implementation and limited evidence of its effectiveness. This underscores the need for a more cohesive and strategic approach to leveraging technology for improved decision-making.

Additionally, the audit uncovered a procurement project related to the Air XS airborne silica monitoring device developed by Trolex. This project, initially expected to cost $200,000, eventually incurred a contract of over $1.3 million. The auditor identified a range of flaws in the procurement process, including poor record-keeping, conflicts of interest during tender evaluations, errors in tender scoring, and inadequate attention to addressing concerns about the accuracy of the Air XS device.

The failure to address and escalate concerns about the accuracy of the Air XS device raises serious questions about SafeWork NSW’s internal communication and risk management processes. The auditor’s revelation that staff concerns were not brought to the attention of executive-level staff points to a breakdown in the hierarchy responsible for decision-making and oversight.

This lapse in addressing accuracy risks led to a significant escalation of the issue, with both the department and the Audit Office making separate referrals to the NSW Independent Commission Against Corruption (ICAC). The decision to involve ICAC suggests a recognition of potential misconduct, conflicts of interest, or irregularities in the procurement process for the Air XS device.

Transparency and accountability within SafeWork NSW are now under intense scrutiny, especially in light of the referrals to ICAC. The agency’s ability to effectively manage risks, particularly in critical matters such as health and safety monitoring devices, is brought into question. This situation highlights the necessity for robust internal mechanisms that prioritize open communication, swift issue resolution, and adherence to ethical standards.

In essence, the gravity of this situation goes beyond the specific issues with the Air XS device procurement; it highlights broader concerns about the overall governance, transparency, and risk management practices within SafeWork NSW. Moving forward, there is a crucial need for the agency to address these systemic issues to restore confidence in its ability to fulfill its mandate of ensuring a safe and healthy work environment for the people of New South Wales.