“Compliance Philosophy” is the FAA's New Approach to Regulatory Compliance

I have about 50 years of aviation experience, including a decade at the FAA. Throughout that time I could not have predicted FAA’s current approach to safety. As a longtime safety professional, I am delighted to highlight that we are experiencing a regulatory re-organization, doing “the new right thing.” This new objective strives to ensure that regulatory compliance and safety are mutually inclusive. Let me explain.

Was FAA Really Watching Me?

For the first decade or two of my aviation career I saw the Federal Aviation Administration as the aviation police. They tested me and issued my flight and maintenance certificates. The FAA would conduct ramp check or review the approved 141 or 147 curricula (of which I was a student and later an instructor). Quite frankly, I did not see the FAA inspector as a partner who could help me to ensure safety. In fact, as a pilot/mechanic/Part 147 instructor, I never really saw the FAA but I perceived that they were “watching.” They were watching. Through rules and guidance material they oversaw all of my actions.

The FAA aviation rules and guidance helped to ensure that my training met a safety standard. They were intended to guide me to maintain a level of currency/proficiency as I flew/maintained aircraft. Most of the time, it was straightforward to comply with the rules. The implication has always seemed to be that if I was legal, then I was safe. However, I came to understand that minimum compliance with the rules was not a guarantee of the highest level of safety. The difference between a certificate holder and a good certificate holder is the ability to find ways to go beyond the rules to achieve continuing safety and operational efficiency. That’s what safety management systems (SMS) are about. The enhanced push toward safety management is important in a transition from being the “watcher” to becoming a partner with organizations in transforming the nature of compliance and safety.

Throughout my career, it became clear that unintentional noncompliance with a regulation, while undesirable, did not necessarily breach acceptable levels of safety. Regardless, if such noncompliance was discovered, it would result in a Letter of Investigation, with likely regulatory action. Plainly, FAA would “bust” you. Fortunately, FAA discovery of noncompliance never happened to me. But, any honest certificate holder would admit that they probably forgot to adhere to a regulation at some time in their history. The good news is, the new FAA approach does not include “busting” someone as the first course of action. This new approach is called the “compliance philosophy.” It represents another important second step for FAA in transforming the nature of compliance and safety.

FAA Compliance Philosophy and SMS

The current FAA “Compliance Philosophy (see Order 8000.373, June, ‘15) is straightforward. An excerpt from that order states:

“…. When deviations from regulatory standards do occur, the FAA’s goal is to use the most effective means to return an individual or entity …. to full compliance and to prevent recurrence.

… FAA recognizes that some deviations arise from factors such as flawed procedures, simple mistakes, lack of understanding, or diminished skills. The agency believes that deviations of this nature can most effectively be corrected through root cause analysis and training, education or other appropriate improvements to procedures……”

When Administrator Huerta briefed this concept to the FAA workforce in July 2015, he was very serious about the concept, stressing that the traditional enforcement action must not be the first choice to insure regulatory compliance. He stipulated that we are not ceasing enforcement action, rather attempting to apply it to the extreme cases of noncompliance.

At the ground level, the guidance material for your FAA Aviation Safety Inspectors is located in Order 8900.323. Refer to it and see how your Aviation Safety Inspector is guided to apply the new Compliance Philosophy. It also stipulates how serious FAA management is about supporting the inspectors who embrace this new approach to compliance. Sample guidance states:

“… the Aircraft Flight Standards approach to oversight and compliance is evolving to stress an engaged, solution-oriented, outcomes-based approach. The goal is to identify deviations from standards and correct them as effectively, quickly, and efficiently as possible … This approach will more effectively address inadvertent deviations and conserve FAA enforcement for intentional, reckless, criminal, and uncooperative behavior … Accordingly, AFS leaders, managers, and supervisors will support inspectors when they use critical thinking to exercise sound professional judgment and take actions in accordance with this notice.”

This new FAA attitude will take some time to evolve. The good news is, this is an approach that certificate holders and inspectors have clamored for, as evidenced by the hundreds of comments throughout our 25 years of conducting human factors courses. The next important step lies with certificate holders and inspectors to strive for new and improved methods for open communication and joint efforts to solve challenges. This is not an overnight process merely driven by an order; the compliance philosophy shall evolve.

Necessary Process for Compliance Philosophy to Succeed

FAA acknowledges that the complexity of today’s aviation environment requires that safety improvements move beyond simple compliance through prescriptive rules. Certificate holders have been instrumental in identifying multiple avenues to compliance which suits their unique organizational needs. In this same way, all segments of the industry must move forward with effective ways to identify hazards and manage their respective risk. FAA Inspectors will use this new approach to evolve current enforcement action beyond strict adherence to rules. Forming partnerships, inspectors will work with certificate holders to see how certificate holder’s processes and practices are quantifying and improving safety.

The old hide and seek games played by Industry and FAA must become a non-competitive engagement, where success and failure is a shared outcome. Again, the industry, including every certificate holder, must apply a process to identify and then address personal or organizational hazards. Voluntary reporting of safety hazards, or even minor violations, must become a norm. In order for that to happen, FAA will continue to respect voluntary reports and not use them against reporters. The current FAA Aviation Safety Reporting System (ASAP) is the very best example of the industry and government partnership of identifying hazards, reducing risk, and sharing the lessons learned.

What Can You Do to Capitalize on the New Compliance Philosophy?

The answer to how to capitalize on the new philosophy depends on your role and segment in the industry. The International Civil Aviation Authority (ICAO) recommends that civil authorities and those whom they regulate have a safety management system. Authorities must comply with ICAO or have evidence for why they cannot. You can learn about FAA SMS Regulations and Guidelines at (www.faa.gov/about/iniatives/sms/). If you are in an airline organization (Part 121) or an MRO (145) doing work for the airlines, then you are probably high on the learning curve. You know about risk assessment, root cause analysis, and receive regular updates and training from your companies. Other operators and individuals are voluntarily adopting safety management system practices not only to prepare for evolving regulations but also to ensure continuing safety and increasing operational efficiency.

When you are able to “walk the talk” surrounding safety management you can expect many things, but here are two. First, it diminishes the chance that you will have noncompliance issues with your FAA inspector. Second, should a noncompliance issue arise; your documented approach to personal and organizational safety management will make you the ideal candidate for proper execution of the compliance philosophy.

Finally, I cannot talk about this compliance philosophy and SMS without mentioning “safety culture.” I believe that the FAA has a very good safety culture. It is clearly a corporate value that is expressed at the top and practiced throughout the organization. FAA employees can tell you their role and activity that supports continuing safety. The compliance philosophy is only the latest example of how the FAA is trying to reinforce and formalize the safety culture that permeates our industry.

Note: This article is also include in the FAA Human Factors Newsletter, Vol 3, Issue 4, 2015 (www.humanfactorsinfo.com).