Download - FM Measuring or Measuring FM ?
FM MeasuringFM Measuringoror
Measuring FM ?Measuring FM ?
Dr. Doug Aldrich Dr. Doug Aldrich
CFM, IFMA FellowCFM, IFMA Fellow
Today’s Discussion ““Measure for Measurer”Measure for Measurer” Numbers and WordsNumbers and Words StakeholdersStakeholders ExamplesExamples ““Packaging”Packaging” Closing and Q&AClosing and Q&A
Introduction FM MeasuringFM Measuring
DepartmentDepartment PeersPeers
Measuring FMMeasuring FM Customers or UsersCustomers or Users LeadershipLeadership
Two Sets of Books
Set #1 – Within FMSet #1 – Within FM Efficiency of operationsEfficiency of operations FM measures and judges resultsFM measures and judges results I care…..but they probably don’tI care…..but they probably don’t StewardSteward
Set #2 - Outside FMSet #2 - Outside FM Effectiveness of servicesEffectiveness of services Stakeholders measure and judge ___Stakeholders measure and judge ___??________ They care…..so I must tooThey care…..so I must too Stock brokerStock broker
Dr. Doug’s Dilemmas Precise numbers with effort Precise numbers with effort oror simple speedy simple speedy
approximations?approximations?
Year-to-year numbers Year-to-year numbers oror historical trends? historical trends?
Quick response Quick response oror “I’ll get back to you”? “I’ll get back to you”?
Cheerful supply of data Cheerful supply of data oror concerns concernsabout what they’re going to do with it?about what they’re going to do with it?
Careful forecasts Careful forecasts oror ballpark ranges? ballpark ranges?
Benefits of FM Measurements You know how well you are serving your You know how well you are serving your
customers; there are few surprises.customers; there are few surprises.
You will continually improve your service You will continually improve your service output for cost, timing, and quality.output for cost, timing, and quality.
You will be the most competitive supplier of You will be the most competitive supplier of products and services to your users.products and services to your users.
You will demonstrate your value to the You will demonstrate your value to the organization, both short and long-term.organization, both short and long-term.
Numbers and Words - 1 Accuracy – 104Accuracy – 104
Precision - $10,436Precision - $10,436
Significant Figures Significant Figures $55M and 3.4M gsf $55M and 3.4M gsf $16.18 / gsf$16.18 / gsf
Numbers and Words - 2 UnitsUnits
186,282 and 1.803 x 10^12186,282 and 1.803 x 10^12 183 and 11,300183 and 11,300
AveragesAverages SuspiciousSuspicious StatisticsStatistics
Numbers and Words - 3 Occupancy ceiling: 90% of capacityOccupancy ceiling: 90% of capacity R&D budgets: 85% people and 15% FMR&D budgets: 85% people and 15% FM O&M budgets: 1/3 energy-relatedO&M budgets: 1/3 energy-related Construction costs: 1/3 HVACConstruction costs: 1/3 HVAC Lab water: 1% of sanitary volumeLab water: 1% of sanitary volume Lab buildings: 55 +/- 5% efficient Lab buildings: 55 +/- 5% efficient Capital replacement: 2% of investmentCapital replacement: 2% of investment Lab space: 2X office space costsLab space: 2X office space costs O&M lifetime costs: 6-12 X constructionO&M lifetime costs: 6-12 X construction
Numbers and Words - 4 Data + Context = InformationData + Context = Information
Information + Seasoning = KnowledgeInformation + Seasoning = Knowledge
Knowledge + Reflection = Wisdom*Knowledge + Reflection = Wisdom*
1. FM Department O&M ExpensesO&M Expenses
Analysis and forecastingAnalysis and forecasting Historical and SPC comparisonsHistorical and SPC comparisons
Service MetricsService Metrics ““Contract” performanceContract” performance Functionality and re-worksFunctionality and re-works Preventive maintenancePreventive maintenance
Personnel MeasuresPersonnel Measures Performance evaluations and trainingPerformance evaluations and training Job turnover and open positions Job turnover and open positions
FM Space Charge-Backs Annual ExerciseAnnual Exercise
5 HC, 700 offices and support = $50K5 HC, 700 offices and support = $50K Office usage known ($2,320 / HC)Office usage known ($2,320 / HC) Support usage estimated (X $ / HC) Support usage estimated (X $ / HC) Estimated charge-backs arguments !Estimated charge-backs arguments !
FM RecommendationFM Recommendation Total O&M / total space ($13.33 / gsf)Total O&M / total space ($13.33 / gsf) Total space / headcount (215 gsf / HC)Total space / headcount (215 gsf / HC) Multiply them ($2,865 / HC)Multiply them ($2,865 / HC) 60 minute exercise60 minute exercise
2. FM Peers Best Practices---qualitativeBest Practices---qualitative
Benchmarking---quantitativeBenchmarking---quantitative
Denominator Denominator AreaArea EasyEasy
NumeratorNumerator CostsCosts DifficultDifficult
Numerator – Variable Expenses Maintenance and Repairs Maintenance and Repairs Improvements and Changes Improvements and Changes SuppliesSupplies CustodialCustodial Roads and GroundsRoads and Grounds TelecommunicationsTelecommunications Energy* and WaterEnergy* and Water Waste disposal Waste disposal RecyclingRecycling
Numerator – Other Expenses Semi-FixedSemi-Fixed
FM SW&BFM SW&B FM budget supportFM budget support Site StaffSite Staff
FixedFixed DepreciationDepreciation InsuranceInsurance RentalsRentals TaxesTaxes
AllocationsAllocations
3. FM Customers Why do things take so long?Why do things take so long? Are the costs fair?Are the costs fair? What’s the status of my work request?What’s the status of my work request? Why do I have to pay for “X”?Why do I have to pay for “X”? Will you be there in emergencies?Will you be there in emergencies? Why do I have to talk to so many people?Why do I have to talk to so many people? Can you let me know when you’re done?Can you let me know when you’re done? Can’t you do it right the first time?Can’t you do it right the first time?
FM Measurement Process
Work Processes
Output (services)
Feedback (measures: cost, time and value)
Input (requests & changes)
Service Level Agreements
User GroupsUser Groups OfficeOffice Labs Labs Pilot Pilot SuppSupp
DeliverDeliverMaint.Maint. a a b b c c d dDesignDesign e e f f f f e e
ControlControlCustodCustod g g h h i i h h MovesMoves j j k k k k j j
InfluenceInfluenceGroundGround l l m m n n l l
FM Responses to Customers TimeTime
Responsiveness to requestsResponsiveness to requests Scheduled versus actual service datesScheduled versus actual service dates Work status of servicesWork status of services
CostsCosts Estimated versus actual costsEstimated versus actual costs Competitive user chargesCompetitive user charges
ValueValue Customer satisfaction Customer satisfaction No re-work or surprise changes No re-work or surprise changes Avoided big breakdownsAvoided big breakdowns
Maintenance Process Metrics - 1 Repair request received Repair request received Work order dispatched Work order dispatched Worker Worker
Obtains tools and partsObtains tools and parts Goes to job site Goes to job site Finds user (maybe) Finds user (maybe) Completes job Completes job
Worker closes work order Worker closes work order User is surveyed User is surveyed
Maintenance Process - 2 Repair request received Repair request received Work order dispatched Work order dispatched Worker makes “house call”Worker makes “house call” User and worker “contract” User and worker “contract” Worker Worker
Inputs cost and scheduleInputs cost and schedule Obtains tools and partsObtains tools and parts Goes to job site Goes to job site Completes job Completes job
User inspects and approves User inspects and approves Worker closes work order Worker closes work order User is surveyed User is surveyed
Maintenance SLA’s - 1 House Calls House Calls
Emergency - <1 hourEmergency - <1 hour Routine, “simple” – <8 hoursRoutine, “simple” – <8 hours Routine, “complex” – <16 hoursRoutine, “complex” – <16 hours
Temperatures (labs) Temperatures (labs) Call in - <1 hour correctionCall in - <1 hour correction Contact - <2 hours follow-upContact - <2 hours follow-up
Maintenance SLA’s - 2 ““Contract”Contract”
Time - +/- 1 day “simple”Time - +/- 1 day “simple”
- +/- 2 days “complex”- +/- 2 days “complex” Costs - +/- 10% labor and partsCosts - +/- 10% labor and parts Quality - <2 % re-worksQuality - <2 % re-works
User “bargain”User “bargain” Available by appointmentAvailable by appointment Inspect and sign-off day of repairInspect and sign-off day of repair Return survey card in 24 hoursReturn survey card in 24 hours
Customer “Bulletin Boards” Facility InformationFacility Information
AnnouncementsAnnouncements Maintenance metricsMaintenance metrics Energy conservationEnergy conservation
Safety AlertsSafety Alerts Safe work permitsSafe work permits Building problems Building problems
ContactsContacts Phone numbers and e-mailsPhone numbers and e-mails Local and representativesLocal and representatives
4. FM Leadership Are the facilities being taken care of?Are the facilities being taken care of?
Are our buildings ready for future demands?Are our buildings ready for future demands? CapacityCapacity CapabilityCapability
Are both done for appropriate costs?Are both done for appropriate costs?
How are we doing with facility projects?How are we doing with facility projects?
FM Responses to Leaders Facility CareFacility Care
Conditions databaseConditions database Preventive maintenance Preventive maintenance Budget awareness and burdenBudget awareness and burden
Future DemandsFuture Demands Strategic planning processStrategic planning process Supply-demand analysisSupply-demand analysis 5 and 10-year investment plans 5 and 10-year investment plans
Project Feasibility: Costs - 1 Sizing the Building Sizing the Building
310 HC = 240 lab + 70 admin310 HC = 240 lab + 70 admin 240 x 375 gsf 240 x 375 gsf 310 x 185 gsf 310 x 185 gsf Gross = 147K gsf (90K + 57K)Gross = 147K gsf (90K + 57K)
Estimating its CostsEstimating its Costs 90K x $240 / gsf = $22M90K x $240 / gsf = $22M 57K x 120 = 7M57K x 120 = 7M Quality factor ~ 12%Quality factor ~ 12% Lab complexity ~ 6%Lab complexity ~ 6% Total = $34M ($231 / gsf)Total = $34M ($231 / gsf)
Project Feasibility: Costs - 2 Other Project CostsOther Project Costs
A/E fees and other consultantsA/E fees and other consultants Internal project people and supportInternal project people and support Permits, cost of money, etcPermits, cost of money, etc Submit to feasibility plan $40M ($271 / gsf)Submit to feasibility plan $40M ($271 / gsf) Escalated similar 1990 project ($281 / gsf)Escalated similar 1990 project ($281 / gsf)
Ballparking O&M Expenses**Ballparking O&M Expenses** 90K x $19 / gsf = $1.7M per year90K x $19 / gsf = $1.7M per year 57K x $13 = 0.7M 57K x $13 = 0.7M Burden addition ~ $2.5M ($17 / gsf)Burden addition ~ $2.5M ($17 / gsf) Submit to 5-year expense plan Submit to 5-year expense plan
Project Feasibility: Timing ComparisonsComparisons
PublicationsPublications Corporate experienceCorporate experience Similar buildingsSimilar buildings Company cultureCompany culture
Schedule (months)Schedule (months) Concepts 3 - 5Concepts 3 - 5 Design / engineering 6 - 8Design / engineering 6 - 8 Construction 27 - 33Construction 27 - 33 Move-in 1 – 2**Move-in 1 – 2** RANGE 37 - 48RANGE 37 - 48 Optimization 12Optimization 12
“Packaging” - Understanding
Flexibility versus AdaptabilityFlexibility versus Adaptability Balancing Acts Balancing Acts One-Stop ShoppingOne-Stop Shopping Cost versus ValueCost versus Value Baton Hand-OffBaton Hand-Off Competitive Pricing Competitive Pricing Time Value of Time Time Value of Time Ballpark Estimates (+/-)Ballpark Estimates (+/-)
“Packaging” - Analogies HomeHome AutomobileAutomobile Airplane Airplane JourneyJourney Sports Sports HobbiesHobbies PetsPets VegetablesVegetables SchoolSchool
“Hard Drives Out Soft” Numbers drive out notions.Numbers drive out notions.
Measurements top guesswork.Measurements top guesswork.
Knowing trumps hoping.Knowing trumps hoping.
Closing What ?What ?
It’s the measurement It’s the measurement andand the understanding. the understanding.
So What ?So What ?They make They make thethe difference in your FM world. difference in your FM world.
Now What ?Now What ?Use your Use your twotwo sets of books wisely. sets of books wisely.