113-C:Leading-edge Physical Plant Management

TUESDAY, OCTOBER 26

AAHSA 2004

113-C:Leading-edge Physical Plant Management

AAHSA 2004

Jo-Anne Kempe, Windmill Software Inc.

Importance of Preventative Maintenance

Making Data-Driven Decisions

Streamlining Maintenance Processes

Challenges to Change from the Field

Continuous Quality Improvement

Governance and Accountability

The Importance of

Preventative Maintenance

Barry Higgins, Maintenance DirectorCalvary Fellowship Homes – Lancaster, PA

113-C: Leading-edge Physical Plant Management

Is Preventative Maintenance Really that Important?

??Is Preventative Maintenance Really

that Important?

Preventative Maintenance…

Saves

Money

Prolongs

Equipment

Life

Improves

Equipment

Performance

• How often do you change the oil in your automobile ?

• How often do you change your heating and air conditioner filters at home?

• How often do you brush your teeth?

Is Preventative Maintenance Really that Important?

The equipment in your facility REALLYneeds to be taken care of!!!!

•Increased repair costs

• Failure to perform Preventative Maintenance can cost you up to 50% more in:

•reduced life expectancy; and,

How much does it cost you to NOT do Preventative Maintenance?

Life Expectancy

Repair Costs

4 Requirements for Successful PM

1. Commitment from leadership team and maintenance staff

2. Knowledge and understanding of PM programs

3. Appropriate financial and labor resources

4. A good computerized maintenance system or an administrative support miracle worker

Preventative Maintenance…Preventative Maintenance…

…Supports Capital Asset Management

…Supports Capital Asset Management

How do you start a PM Program?

??

Create a PM Program: 5 Steps

1. Complete an inventory of equipment to be included in your program. Assign ID tags/numbers

2. Prioritize your equipment list according to the equipment’s risk and how important it is to facility operations

3. Identify PM requirements for each piece of equipment

4. Develop a schedule for the PM requirements that you have identified

5. Utilize a computerized maintenance software program or manually develop schedules and PM work orders. This process is probably going to be the most difficult part of your PM development

Create a PM Program: 5 Steps

5 Tips for Success

1. Assign equipment alpha-numeric codes that work for you

2. Use a data collection form for each piece of equipment

3. Prioritize PM actions as Critical, Important or Minor

4. Develop you PM program once space or department at a time

5. Try not to dwell on the enormity of the project. Take it one step at a time

5 Tips for Success

Examples of ‘High Priority Equipment’

EmergencyGenerators

HVACEquipment

NurseCall Systems

FireExtinguishers

Examples of ‘High Priority Equipment’

Water Heaters& Storage Tanks

ResidentBeds

Food ServiceEquipment

MedicalEquipment

LaundryEquipment

Important Data for Equipment PM

• Manufacturer name and address

• Date of purchase and cost

• Equipment life expectancy

• Maintenance requirements

Important Data for Equipment PM

• Recommended maintenance schedules

• Name plate data including voltage, Amps, PSI, GPH, RPM, motor frame size, etc.

• Belt sizes

Preventive Maintenance is an important part of your Quality Improvement initiative.

It provides a documented record of work completed, costs incurred and labor expended for each piece of equipment in the PM program. A key element to Responsible Governance

Without this information how can you make informed decisions?

PM = Quality First

A Critical Component

Life SafetyLife Safety

In summary, an effective PM program provides a professional approach to facilities management, meeting of code and regulatory requirements and at the same time supporting your facility’s Quality Improvement initiatives.

PM = Quality First

Preventative Maintenance

In Action

NOW…Is Preventative Maintenance

Really That Important?

Improved Communications

From “Hey Alex” to Automated Work Requests

Alex Sutherland, Environmental Services ManagerCountry Terrace Long-Term Care – Ontario, Canada

113-C: Leading-edge Physical Plant Management

Improved Efficiency

Typical Work Request Methods

• Clipboards at stations

• 3-part NCR forms at stations

Improved Efficiency

Problems with Clipboards/NCR forms

• Time lost collecting requests

• Illegible handwriting

• Missing detail or required information

• NCR forms can cost $$$

• Requests get lost in the shuffle

• No usable work history

Improved Efficiency

Computerized Work Requests

• Faster, easier & more accurate than handwriting a note

• Staff enters required detail directly

• Immediate pop-up notices vs only once / day pick up

• Saves time collecting requests

• Ability to prioritize & organize by location

Improved Response Time

Clipboard or NCR form Requests

• Response time = 3-4 days

Computerized Work Requests

• Response time = 24 hrs

Effectiveness & Accountability

Most Common Work Request Method?

Hey Alex! Have you got a second?

Hey Alex! Did anyone tell you about…

Hey Alex! Why haven’t you…

Hey Alex!

Hey Alex! Hey Alex!

Eliminating ‘Hey Alex’ Method

• Not reliant on memory –- fear of forgetting

• Not distracted from current task

• Permanent record = maintenance accountability

• No arguments about if or when something was requested

• Squeaky wheel does not get the oil

• Better service for staff and residents

Effectiveness & Accountability

Closing the Feedback Loop

Eliminating Wasted Work Time

Closing the Feedback Loop

Eliminating Wasted Work TimeAdditional Scenarios

# of work requests / day 20 30 40 50

# of work requests / month x 30 days 600 900 1,200 1,500

# of requests requiring follow-up / month 1/3 follow -up 200 300 400 500

# of minutes / month spent on follow-up 10 /follow -up 2,000 3,000 4,000 5,000

# of hours wasted / month ÷ 60 min/hr 33.33 50.00 66.67 83.33

# of days wasted / month ÷ 7.5 hr day 4.44 6.67 8.89 11.11

# of wasted days / year x 12 months 53.33 80.00 106.67 133.33

20 Requests Per Day

30 Requests Per Day

40 Requests Per Day

50 Requests Per Day

Implementing Change

• Have all staff participate

• Ensure they understand problems with old methods and benefits of new methods

• Provide necessary training to all requestors

• Establish quality improvement goals – ie. Get response time down to 24 hrs -> then measure & monitor results

• Discipline – don’t let people revert back to old ways – “Hey Alex!”

Accreditation & Regulators

Before streamlining maintenance = 5 hours

After streamlining maintenance = 5 minutes

Increased accountability

Quality First Summary

• All staff accountable for requests and feedback of results

• Continuous Quality Improvement is practical due to reporting of results

HEY HEY ALEX!ALEX!

Data-Driven Management Decisions

Jim Normandin, Director of Plant OperationsSt. Joseph of the Pines – Southern Pines, NC

113-C: Leading-edge Physical Plant Management

                                                          

Labor Tracking

• More time on one project means less time on other projects

• Expending labor in most productive way alleviates staffing shortages

• Labor tracking places an actual dollar value on service provided

Time = Money =

In-House Labor vs. Contract Labor

In-House Advantage

• $13-$14/hr can perform a multitude of basic tasks

• Can respond relatively quickly

• Can work independently

• Knows their way around campus

• Known to residents and staff

• Minimizes downtime of on-site equipment

In-House Labor vs. Contract Labor

Contract/Outsource Disadvantage• Basic handyman rate is approx $25/hr

• Schedule dictates availability

• Size of job and current workload determines priority

• Unfamiliar to residents and staff

• Security and safety concerns

Specialized Trade: In-House vs. Outsourced

In-House Advantages

• In-house HVAC specialist $23/hr incl. benefits

• Performs PM and corrective repairs on all equipment

• Readily available for emergencies

• Can multitask when not doing HVAC maintenance

Specialized Trade: In-House vs. Outsourced

Outsourced Disadvantages

• Average HVAC contractor rate = $75/hr

• Workload determines availability/priority

• Increased downtime for your equipment

• Substantial mark-up on materials furnished for repairs and maintenance of equipment

Specialized Trade: A Real Life Example

A/C Example:

• In 2003, A/C repairs, maintenance and PM costs totalled $163,000

• Addition of one certified A/C technician at $23/hr plus benefits cost $54,000 annually

• Total savings of $109,000 in the first year

Specialized Trade: A Real Life Example

Painting Example:

• Contractor rate for 2000 ft2 = $2000

• In-house labor average = $800-$1200

• In 2003, 24 room turn-overs completed in-house with a savings of approx $48,000

Security

• Multiple FTE’s required to cover all shifts

• Avg labor rate: $8.50 - $9.00 /hr plus benefits

• Scheduling issues (holidays, call-offs etc)

• $10.00 - $11.00 /hr total

• No staffing issues for facility

• Pre-determined up front cost for contractual services to be provided

In-house Security

Contract Security

Inventory Tracking Tips

• Know what supplies you have on-hand

• Compare prices regularly (every 60 days)

• Flag items as high volume and ensure adequate stock and avoid downtime

• Take advantage of bulk purchase discounts

• Investigate nationally recognized purchasing organizations

• Track material costs to aid budgeting process

Equipment Tracking Tips

• Track existing and new equipment

• Record date of manufacture (usually found in serial #) as well as cost

• Find manufacturer’s estimated lifespan & recommended PM procedures

• Monitor warranty expiries

• Keep accurate records of repair history including type of repair and cost

• Keep up to date on replacement costs

Quality First Summary

Continuous Quality Improvement

Accountability

Effective management of data allows you to:

• Offer the best service possible to residents and staff, in the most efficient way, at the best price

• Manage costs (inventory, utilities, equipment)

• Make concrete decisions beneficial to the organization

• Maintain and improve levels of quality

Challenges of Change

Joshua Malbogat, Account ExecutiveWindmill Software – Toronto, ON

113-C: Leading-edge Physical Plant Management

                                                          

Joshua Malbogat, Windmill Software Inc.

“The Dance of Change”

Peter Senge, MIT

Also author of “Fifth Discipline”

The Challenges to Sustaining Momentum in Learning Organizations

3 Groups -- 10 Challenges

A)Challenges of initiating change

B)Challenges of sustaining change

C) Challenges of redesigning and rethinking

A) Challenges of Initiating Change

1. Not enough time

2. No help (coaching and support)

3. Not relevant

4. Walking the talk

B) Challenges of Sustaining Change

5. Fear and anxiety

6. Assessment and measurement

7. True believers and nonbelievers

C) Challenges of Redesigning and Rethinking

8. Governance

9. Diffusion

10.Strategy and purpose

Key Challenges & Success Tips

• Not enough time

• No help (coaching and support)

• Not enough timeNot enough time

• No help (coaching and support)No help (coaching and support)

Summary

• Accept that challenges exist; embrace them

• Plan and execute strategies to manage them

Remember

Effecting Change is a constant dance !

Importance of Preventative Maintenance

Making Data-Driven Decisions

Streamlining Maintenance Processes

Challenges to Change from the Field