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9 April 2018

Prepare your supply chain for new CoR laws

Do you or your contractors operate heavy vehicles? If so, the need to ensure your compliance with Heavy Vehicle National Law has never been greater, with changes to the Chain of Responsibility (CoR) being made later this year.

CoR refers to the idea that all parties in the supply chain are responsible for ensuring compliance with Heavy Vehicle National Law (HVNL). Road laws enforce driver safety on the roads, while HNVL enforces the safety practices of employees and organisations directly involved in heavy vehicle transport.

Changes in the CoR laws will be effective as of August 2018, holding all parties in the supply chain responsible for safe workplace practices involving heavy vehicles.

What does this mean for your organisation or the third-party contractors you employ? Read below for a comprehensive summary of compliance updates deemed necessary!

Responsible to Do, not to Avoid

Organisations were previously responsible to avoid a negative outcome, whereas organisations will be required to now ensure safety.

From “Reasonable Steps” to “Reasonably Practicable”

Previously needing to ensure “reasonable steps” were followed to avoid a safety breach, organisations must now take steps as far as is “reasonably practicable” to uphold heavy vehicle safety regulations.

No “Contracting Out”

Organisations could previously assign responsibility for safety practices to third parties, however this will no longer be allowed (with contractual clauses to this effect, or intent, being legally void).

Broader Definition of “Executive”

Executives could be held personally liable for safety breaches if they had very high-level authority, however now, the definition of an “executive” includes anyone with directorial or managerial responsibilities for a company that has transport operations.

How can iPRO help you navigate the August changes to the CoR?

The main theme of changes to CoR law is to encourage organisations to formalise and strengthen their approach to risk management.For most organisations, the difference between a stronger risk management system and existing practices is documentation. iPRO can help implement an automated software system to take out the element of human error and put repetitive tasks (like performing pre-qualification tasks and verifying documentation) on autopilot.

Under changes to CoR law, organisations will now be held responsible for breaches by other parties in the supply chain. To help communicate effectively with the other parties your organisation may need to deal with, iPRO can help implement a technology system that makes it possible to collect, organise, analyse and share large amounts of data while maintaining appropriate security measures.

Need help to tweak your risk management practices prior to August’s CoR law changes? Contact us to learn more about the iPRO platform and how we can help you.

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