The Best Run Schools Run SchoolDude! Kent Hudson CEO, Co-Founder, SchoolDude.com March 2012.

The Best Run Schools Run SchoolDude!

Kent HudsonCEO, Co-Founder, SchoolDude.com

March 2012


40’s,50’s & 60’s

1. Custodial operations

2. Maintenance operations

3. Grounds operations

4. Electrical / gas utility

5. Pest control (in-house)

6. Playground equipment

7. Roofs

8. Safety – general

9. School closings

10. Vandalism

1. Custodial operations2. Maintenance operations3. Grounds operations4. Electrical / gas utility5. Playground equipment6. Pest control (in-house)7. Roofs8. Safety – general9. School closings10. Vandalism11. Mold management12. Asbestos (AHERA)13. Carbon Dioxide testing14. Lead in water15. Natural gas volume purchasing16. Electrical volume purchasing17. CAD18. CMMS with preventive maintenance19. Electromagnetic emissions20. Emergency / disaster plans21. Energy management systems22. Energy education23. Data based custodial schedules24. Rentals, community usage25. ADA26. Owners Construction Rep.27. Indoor Air Quality28. Lead in paint29. Integrated Pest Management30. Privatized custodial

31. Purchased services management

32. Protective equipment & clothing 33. Radon Management 34. Recycle waste program 35. Re-locatable classrooms 36. Right to Know Act 37. Underground storage tanks 38. Computerization – technology support 39. Blood borne pathogens 40. Budget planning 41. Labor law issues 42. OSHA Logging & training 43. Custodial equipment management 44. Quality Assurance program 45. Hazardous Waste Removal 46. Emergency Backpacks 47. Building Backpack Supply 48. Defibrillator maintenance 49. Defibrillator training 50. Security systems 51. Green chemical management 52. Carbon footprint issues 53. Sustainability program 54. Life/Safety Planning 55. Playground management 56 . Expanded athletic programs 57. Swimming pool maintenance 58. Indoor track & field 59. Fertilization & weed control 60. Artificial athletic fields

Facility programs have increased dramatically but

many institutions have smaller

leadership teams

70’s,80’s,90’s,00’s & Now

The Increased Scope of Education Facility Management

Education Facility Managers are so over programmed that a complete program is rarely delivered

Copyright © 2010 Service Management Assist, LLC


The Challenges We Face Today


Issue #1: Stewardship is falling


Our backlogs are growing, and we fear that priorities are becoming more acute.

Issue #3: Severity of backlogs is increasing


What’s the impact?


ECON 101

If Customer Service is “Free with Unlimited Supply”– Demand will grow to consume all of your

supply– Limit levels will eventually be hit resulting in

customer dissatisfaction– Nothing will be left for stewardship

“Customers unwittingly steal resources from the long-term preservation of facilities. . . Customers must be served professionally but it should not be at the expense of all else. Better service delivery is key.”

APPA Maintenance Staffing Guidelines


Balancing Stewardship Vs. Service

Stewardship

Guardian of physical plant

• Preventive Maintenance

• Planned Maintenance

Service

Support to staff on request

• Events• Curriculum• Moves• Minor repairs


Best Practices Organization

Support Maintenance

25%

Preventive Maintenance

25%

Planned and Unplanned

Maintenance50%

APPA Maintenance Staffing Guidelines – Ch 3


It’s a brand new building, why do we need to maintain it?

We need to cut maintenance so we can “save” money.


BENEFITS OF A SUCCESSFUL PM PROGRAM

“Benefits of a Successful PM Program” is taken from Complete Building Equipment Maintenance Desk Book Second Edition, Edited by Sheldon J.

Fuchs, P.E. Page 19 in the chapter by Paul D. Tomlingson.

• Fewer Failures - A timely PM program usually uncovers problems before they become serious enough to cause equipment failures. Breakdowns can be reduced by 50 percent.

• More Planned Work - The timeliness of preventive maintenance inspections usually uncovers those major jobs that require planning. Sufficient lead time allows planning to be done.

• Fewer Emergencies - An effective PM program has every maintenance employee on the alert for things that cause problems. As a result, fewer problems that would cause an emergency situation escape detection. Emergency work can be reduced by half.


• Reduced Overtime - One of the largest contributing factors to overtime is the need to perform emergency work. A reduction in emergency work usually produces a corresponding decrease in overtime.

• Extended Equipment Life - PM invariably rewards its users by extending equipment life by as much as 20 percent and increasing dependability.

• Better Use of Maintenance Personnel - A job done under emergency conditions is 15 percent more costly in labor than a similar, well planned job. A maintenance department with a good PM program commits more staff to planned work. The result is more effective, productive use of this manpower.

• Improved Equipment Operation - Well-cared-for equipment is its own reward - it runs better.

• Less Downtime - Because the PM program can reduce emergency work, it follows that downtime can also be reduced.


Clichés

• Pay me now or pay me later• An ounce of prevention is worth a pound

of cure• Change the oil or change the engine – you

choose

Are they true?


Data Dudes

• Perspective over 6,000 clients live operational data (400+ Higher Ed Institutions)

• Partnership with SAS Institute, largest privately held software company in world

• Terabytes of data• Technology: Ability to mine for group gold


Recently published . . .


Methodology

• Data analysis across nearly 6,000 educational clients live operational data (400+ Higher Ed Institutions)

• Identification of “PM Masters”– Top deciles within peer group– Allocating high percentage of manpower to PM

(> 30%)– High completion rates (> 98%)– Been doing so for quite a while (> 3 years)


Key Questions

1. How does a PM program affect overall costs and emergencies?

2. What are the financial impacts to facility capital needs?

3. With utility costs comprising a large portion of the M&O budget, how can PM impact your energy use and building efficiencies?

4. How does PM affect other costs or risks, such as insurance claims?


Cost Impact

• 50% - 65% reduction in the rate of emergency work

• Lower cost per work order with the average cost per work order being 28.6% to 39.3% less


PM Reduces Corrective Work

• Over a 5-year period, a sampling of PM Masters garnered a 16% reduction in corrective maintenance work as a percent of the total work over the time period.

• Over a 20-organization sample across the 5-year time span, the corrective work as a percent of the total work is reduced from approximately 87% to 71% of the total work performed.


The Transition . . .


Reducing Emergency Work


PM Capital 101

• Value of roof (6%)• Value of HVAC (11%)

Total for just two systems: 17% of replacement value

Assuming 15 year life extended to 17 years with a PM program (very conservative)

Capital Budget Relief estimate: $0.25 per square foot per year


Energy Impact from PM

• Interviews with experts – performance contracting engineers

• HVAC related load– Often around 50% of load– Expected improvement from PM – 10%

improved– Estimated 5% energy bill reduction


Energy Cost Trend

17% increase from 2007. Cost is hard to control- but consumption is something you have some measure of control over.


The Data says…

~25% reduction in Electric consumption for institutions performing PM.

KWH/Sq. Foot


The Data says…

~30% reduction in Natural Gas consumption for institutions that are performing PM.

Therms/Sq. Foot


The Connection with Risk

• P&C Insurance company – private study– 18,000 schools with multiple years of claims

history.– 12,000 SchoolDude schools– 9,000 school overlap with at least minimal PM

activity

• Results:– 70% reduction in claims– 11% reduction in claims severity


Summary PM Benefits

• Reduce emergencies 50%• Reduce average cost per work order up to 40%• Reduce long term capital costs • Reduce disruption of the learning environment

All the data confirms investing in PM is the right

business decision!


Equipment Failure

Equipment Failure

Mean Time to Report

Problem IdentifiedAction Starts

Problem IdentifiedAction Starts

Technician AssignedTruck Rolls

Technician AssignedTruck Rolls

Mean Time to Respond

Mean Time to Repair

Mean Time Between Failure

Problem SolvedProblem Solved

Total Outage Time

Root Cause AnalysisBPR

Root Cause AnalysisBPR

Facility Management Work Order Model


Technology Assisted Maintenance

Buildings with BAS;Connect and move data to the Cloud

CloudData Depot(s)

SaaS Applications- Inforich Work Orders - PM Automation- Critical Alarm Auto.- Predictive Maintenance


Closing Remarks

• Master the art of selling the value of PM• Much information exists • Contact SchoolDude for more detailed

information on these resources• Heather May [email protected]

The Best Run Schools Run SchoolDude! Kent Hudson CEO, Co-Founder, SchoolDude.com March 2012.

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Transcript of The Best Run Schools Run SchoolDude! Kent Hudson CEO, Co-Founder, SchoolDude.com March 2012.