the real cost of modernisationPhil Hoare

Head of Customer Support

Goulburn-Murray Water

A little bit on me

What I’m not talking about

summary

Who we are...

modernising the business

• Staff• Field maintenance• Delivery system• Operations• Asset management• I.T.Systems & software

real cost

• Field operators – Manual v’s Auto 50%– Up skilled for Level 1 & 2 Field Maintenance– Additional Elec/Mech Tech Officers

• Level 3 Field Maintenance• Radio Communication Support

• Planners v’s System Operators 50%– 8 hour v’s 24/7 operations– (System monitoring plus tech support)

• Training

staff

operational cost reductions

Operations staff reductions

4121

40

25

113

56

0

50

100

150

200

250

2010 2018

Field Operators

Planners

Other

features of modernised service standards

expectations• Reduced order notice for delivery

• More consistent flow rates

• Increased flow rates

• Functionality of outlets

• Instant confirmation

• Increased staff access

proposed service standards

maintenance• Vandalism & theft

– Solar panels– Cables– Batteries

• Ants, batteries, level senses, electronic boards, motors & gear boxes

• Site maintenance- Level 1–2, ITP’s operational staff- Level 3, field technicians

• Delivery system- Access tracks- Capacity constraints- Weed control- Surveillance & inspections

office modernisation

• Accommodation 24/7

• Disaster recovery

• Driving cost efficiencies & service improvements• Operations• System performance• Maintenance• Customer interaction & experience

• I.T. Systems

•Field computing– Diagnostics, navigation, support requests & operational activities

asset management

• Active v’s Passive

• Multiple short life components

• Data intensive

• Pro-active v’s Re-active

• Inventory management– Rotatable assets & warranties

• W.O.L. Analysis & modelling

regular RCM/FMECA reviews

• Look at equipment causing the highest costs• Identify the root cause of the failure• Consider options to prevent the failure (Preventative maintenance,

design out, fixed time maintenance, run to fail)

• Consider the costs of the options• Plan action• Test action• Monitor action• Adopt/modify/reject (continual improvement)

typical maximo work order data

FMECA Hierarchy (Parent-Child-Failure)The FlumeGate FMECA Model

SYSTEM :

1:Flume Gate - M - Large User

1.1:Controller

1.2:Communicat ion

1.3:Instrumentat ion

1.1.1:RTU - Local controller interf ace

1.2.1:Radio

1.2.2:Antenna

1.3.1:U/S Lev el sensor - Primary

1.3.2:U/S Lev el sensor - Secondary

1.3.3:D/S Lev el sensor - Primary

1.3.4:D/S Lev el sensor - Secondary

1:prov ide gate and site control

2:local interf ace

1:prov ide comms to host sy stem

1:Transmit signal

1:measures U/S water lev el

1:measures U/S water lev el

1:measures U/S water lev el

1:measures U/S water lev el

A:no control

A:cant read

A:no comms

A:no signal

A:no signal

B: incorrect measurement

A:no signal

B: incorrect measurement

A:no signal

B: incorrect measurement

A:no signal

1:power board failure

2:instrumentation power supply board failure

3:Comms port failure

1:screen/button f ailure:Inspection

1:f requency drif t:Alarm

2:Hardware failure

2:wet connections

3:damaged (birds/wind): Inspection

2:Hardware f ault

1:dirty tube:Inspection

4:out of calibration:Inspection

2:Hardware f ault

1:dirty tube:Inspection

2:Hardware f ault

1:dirty tube:Inspection

4:out of calibration:Inspection

4:out of calibration:Inspection

current observed trends

• Some failure frequencies are rising– Time in use

• Some failure costs are rising– Labour – Service vehicle costs– Raw materials – Parts

current observed trends

• Some failure frequencies are falling– Improved parts– Improved software– Improved planned maintenance & removal of design flaws

• Some failure costs are falling– Supplier parts – Raw materials (aluminum)– Repair efficiencies (MTTR)– Repair planning – reducing travelling time (GIS, GPS)

maintenance costs

• Cost trends are changing year by year

• Failure frequencies are changing year by year

• Different equipment

is now failing

• License Fee’s– Upfront capital v’s Annual

• Support & Maintenance• Updates & Bug fixes, Level 3 support

• Development– Continuous improvement– System performance– New functionality

software

The benefits & costs

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100%

Total Irrigation Areas Shepparton

Poor (1 to 4/10) Satisfactory (5 or 6/10) Satisfactory (7 or 8/10) Excellent (9 or 10/10)

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Gig

alitr

es

Dis

trib

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eff

icie

ncy

Deliveries

G-MW efficiency

Shepp efficiency

conclusion

INDUSTRY WORKING TOGETHER

• Complexity

• Flexibility

• Opportunities

• Cost

• Service

• Satisfaction

• Efficiency

any questions?