Capital Investment Planning Workshop 1.00 2.00 3.00 4.00 5.00 1.00 2.00 3.00 4.00 5.00 PICK Chart Implement Kill Possible Challenge 135 134 2 1 48 49 5 37 114 61 36 8 73 39 34 55 3 53 4 52 110 54 115 65 76 35 40 14 136 Grp 124 46 47 107 38 81 78 15 6 42 113 70 72 17 66 75 63 116 111 128 74 45 79 13 27 162 109 112 41 68 121 69 82 57 120 77 83 123 132 117 80 126 152 Grp 122 125 136 1.00 2.00 3.00 1.00 2.00 3.00 Implement Quadrant King / Queen For The Day Selections Workshop Objectives To facilitate a coordinated and collaborative working session with the Delivery and Operations Services (DOS) extended leadership team to identify, evaluate, and prioritize future opportunities for capital investments across Customer Operations & Services (COS) and Grid Modernization (GM). Specifically, capital investment opportunities were reviewed which seek to impact the DOS organization by: • enabling enhanced efficiencies and continuing to drive value across the organization • providing O&M cost savings in 2015 and beyond • resulting in new revenue and/or new growth Workshop Summary A total of 162 capital investment ideas were submitted by leaders within COS and GM – 152 were submitted in advance of the workshop and the remaining 10 initiatives were identified day‐of as a part of the brainstorming session. Workshop participants were tasked with prioritizing ideas by completing two exercises, “King/Queen for a Day” and “Quick Wins”. The responses to those exercises was aggregated and analyzed to identify the most tangible, high‐value capital investment opportunities for the DOS organization. PICK Chart ‐ Implement Quadrant Capital investment ideas placed in the Implement quadrant of the PICK chart represent those investment opportunities with the most favorable scores relative to value and implementation ability. These opportunities represent the quick wins and could be used to prioritize investment decisions. = Capital Investments = Investments chosen during King/Queen exercise PICK Chart Methodology PICK Chart: A PICK chart is a lean six sigma tool used to help identify an organization’s most useful opportunities. Based on an idea’s score, it is placed on a 2x2 grid which is comprised of the following four quadrants: • Implement – easy implementation with high payoff • Possible – easy implementation with low payoff • Challenge – complex implementation with high payoff • Kill – complex implementation with low payoff Note: The PICK chart above is based on aggregated individual data from the scoring exercise and does not adjust for scoring participation. Idea Scoring Exercise The objective of the scoring exercise was to gain a sense of each participant’s ‘gut feel’ of each idea. Participants were given handouts which included the list of all ideas collected prior to the workshop and then asked to score each idea on a scale of 1‐5 based on 3 metrics: Financial Value, Non‐Financial Value and Ease of Implementation. Scores were then aggregated within the three categories and plotted on a PICK Chart. Those that fell into the ‘implement’ quadrant of the PICK chart were then reviewed with the team. King / Queen for the Day Exercise The “King/Queen for a Day” exercise provided workshop participants the opportunity to provide their perspective on the top initiative(s) to be implemented were they leading the DOS organization, free from financial restraints or logistical challenges. Participants were asked to discuss with the group what their top initiative(s) would be and why.
Transcript
Capital Investment Planning Workshop
1.00
2.00
3.00
4.00
5.00
1.00 2.00 3.00 4.00 5.00
PICK Chart
Implement
KillPossible
Challenge
135134
2
1
48
49 5
37114
61
36
8
7339 34
55
353
4
52
11054
115
10
6576
35
40
14 136 Grp
124
4647107
38
81
78
15
6
42
113
70
72
17
66
75
63
116
111
128
74
4579
13
27
162
109
112
41
68
121 69
82
57
120
77
83
123
132
117
80
126 152 Grp
122
125
136
71
1.00
2.00
3.00
1.00 2.00 3.00
Implement QuadrantKing / Queen For The Day Selections
Workshop ObjectivesTo facilitate a coordinated and collaborative working session with the Delivery and Operations Services (DOS) extended leadership team to identify, evaluate, and prioritize future opportunities for capital investments across Customer Operations & Services (COS) and Grid Modernization (GM).
Specifically, capital investment opportunities were reviewed which seek to impact the DOS organization by:• enabling enhanced efficiencies and continuing to drive value
across the organization • providing O&M cost savings in 2015 and beyond• resulting in new revenue and/or new growth
Workshop SummaryA total of 162 capital investment ideas were submitted by leaders within COS and GM – 152 were submitted in advance of the workshop and the remaining 10 initiatives were identified day‐of as a part of the brainstorming session.
Workshop participants were tasked with prioritizing ideas by completing two exercises, “King/Queen for a Day” and “Quick Wins”. The responses to those exercises was aggregated and analyzed to identify the most tangible, high‐value capital investment opportunities for the DOS organization.
PICK Chart ‐ Implement Quadrant
Capital investment ideas placed in the Implement quadrant of the PICK chart represent those investment opportunities with the most favorable scores relative to value and implementation ability. These opportunities represent the quick wins and could be used to prioritize investment decisions.
= Capital Investments= Investments chosen during King/Queen exercise
PICK Chart Methodology
PICK Chart: A PICK chart is a lean six sigma tool used to help identify an organization’s most useful opportunities. Based on an idea’s score, it is placed on a 2x2 grid which is comprised of the following four quadrants:• Implement – easy implementation with high payoff• Possible – easy implementation with low payoff• Challenge – complex implementation with high payoff• Kill – complex implementation with low payoff
Note: The PICK chart above is based on aggregated individual data from the scoring exercise and does not adjust for scoring participation.
Idea Scoring Exercise
The objective of the scoring exercise was to gain a sense of each participant’s ‘gut feel’ of each idea. Participants were given handouts which included the list of all ideas collected prior to the workshop and then asked to score each idea on a scale of 1‐5 based on 3 metrics: Financial Value, Non‐Financial Value and Ease of Implementation. Scores were then aggregated within the three categories and plotted on a PICK Chart. Those that fell into the ‘implement’ quadrant of the PICK chart were then reviewed with the team.
King / Queen for the Day Exercise
The “King/Queen for a Day” exercise provided workshop participants the opportunity to provide their perspective on the top initiative(s) to be implemented were they leading the DOS organization, free from financial restraints or logistical challenges. Participants were asked to discuss with the group what their top initiative(s) would be and why.
Prioritization Index
Top 25 Capital Investments Using the Index
Rank INDEX ID Category Item
1 3.79 135 T&D ToolsT
2 3.67 134 T&D ToolsC
3 2.65 2 AMII
4 2.52 1 AMIC
5 2.43 48 Distribution InfrastructureH
6 2.43 49 Distribution InfrastructureO
7 2.36 5 AMIM
8 2.29 37 Distribution Automation
D
9 2.22 114 Hardware & TelecomA
10 2.22 61 Electric VehiclesE
11 2.19 36 Distribution AutomationD
12 2.18 8 AMIA
13 2.01 73 Fleet
F
14 1.99 39 Distribution AutomationC
15 1.98 34 Distribution AutomationA
16 1.96 55 Distribution Infrastructure
R
Replace LineTracker units with Tollgrade sensors: Replace aging LineTracker units with Tollgrade
sensors in DEC and extend to other jurisdictions (I&V Team idea)
DA Fla: Accelerate DA Florida project currently slated to start in 2015. 2014 proposed scope: Install
30 electronic reclosers in targeted locations.
Additional Meter Coverage: Swap out non‐mesh meters in Ohio where there is weak
communications structure.
Fuel System Card Readers: Automated systems for no more than 19 that track fuel consumption for
underground on‐site storage tanks currently in use in Midwest
CDO Tie Line Projects with Automation: Add tie lines to increase switching options and flexibility.
Proposed 2014 scope: Pull highest value project forward.
Automatic disconnection of distributed generation (smart inverters):
Transmission Tools: LLBH/Hot Sticks, Slings/Rigging Equipment, Portable Power Tools, Battery
Operated Power Tools
C & M Climbing Tools: Safety equipment ‐ Belt, hooks, buck squeeze, pads, tool bag, tool pouch,
Indiana AMI: Begin planning phase in Sept 2014 with Commit gate in Jan 2015. 2014 spend for
Planning would be capital
Car West AMI ‐ added scope: Add scope of 20k meters to existing project and to 2014 plan.
(Dependency on timely approvals including DOA and Itron ability to deliver)
Hydraulic Reclosers: Replace hydraulic reclosers with low/no maintenance solid dielectric/vacuum
bottle reclosers
OH Line Sensors: Issue analysis and resolution for existing line sensors; CM, training, BPM to sustain
(500 sensors that are not currently functioning …)
Marietta AMI Change out: Remove 2300 Echelon/Ambient meters and replace with Itron/Cisco
standard solution
DEP Feeder Segmentation Project. In flight project: Full Scope: Install multiple upgraded and new
electronic reclosers from 2011 ‐ 2014, including IPP locations. Proposed new 2014 scope: Install
reclosers at 8 IPP locations recently targeted by Grid Management.
Additional screens and technology for storm centers: As we leverage more technology in the storm
centers, we will need more screens to display the information.
Expand the fleet of plug‐in vehicles: Use as pool vehicles for employees travelling locally on business
Top 25 Capital Investments Using the Index
T&D Tools,12%
AMI, 28%
Distribution Infrastructure, 24%
DistributionAutomation,
20%
Hardware & Telecom, 12%
Electric Vehicles, 8%
Hardware & Telecom, 12%
Fall Into Seven Categories
‐ Distribution Infrastructure
‐ AMI
‐ Distribution Automation
‐ T&D Tools
‐ Hardware & Telecom
‐ Electric Vehicles
Assigns a score for each potential investment based on perceived value and ease of implementation100
1 ∗
Rank INDEX ID Category Item
17 1.95 3 AMI
A
18 1.92 53 Distribution Infrastructure
N
19 1.86 4 AMI
K
20 1.84 52 Distribution Infrastructure
N
21 1.74 110 Hardware & TelecomD
22 1.73 54 Distribution Infrastructure
T
23 1.73 115 Hardware & Telecom
P
24 1.72 10 AMIM
25 1.72 65 Electric VehiclesD
* Multiple capital investments grouped together based on equipment similarity and high correlation of participant scores
AMI project optimization in Car East and Fla: Scope addition to existing Car East / Florida AMI
project to continue RF mesh optimization due to foilage increase since mesh deployment.
Neutral current CT’s on fixed (un‐switched) cap banks : It is my understanding Duke Midwest have
been leveraging a Cooper “Outage Advisor” neutral current CT’s on fixed (un‐switched) cap banks for
years to help proactively identify questionable or failed capacitors/blown fuses. Duke West, Duke
Florida and Duke Progress has never had the funding to add neutral CT monitoring on their fixed cap
banks but I understand Duke Florida is considering such a project this year utilizing the Tollgrade
sensor. My suggestion would be to add Communicating neutral CT’s on Duke Florida, Duke West and
Duke Progress fixed capacitor banks at a cost of around $700‐$1000 each plus labor (price depends
on vendor and technology).
Kentucky AMI Planning: Begin planning phase in ??? 2014 with Commit gate in???. 2014 spend for
Planning would be capital
Neutral current CT’s on switched cap banks: Both Duke West and Duke Midwest have been
leveraging neutral current CT’s of switched cap banks for years to help proactively identify
questionable or failed capacitors/blown fuses. Duke Florida and Duke Progress has never had the
funding to add neutral CT’s but their CBC is equipped with the neutral CT input. My suggestion would
be to add neutral CT’s on Duke Florida and Duke Progress switched capacitor banks at a cost of
around $150 per site, plus labor
Duke WLAN Expansion at Op Centers: Increase Duke Wireless LAN coverage at Op Centers (prepares
us for increased use of mobile devices), including dock areas.
Tollgrade current sensors behind non‐communicating hydraulic reclosers: Both Duke West and Duke
Midwest have been leveraging Tollgrade current sensors behind non‐communicating hydraulic
reclosers for the past 1‐2 years. I understand Duke Florida is considering such a project this year
utilizing the Tollgrade sensor. I suggest Duke Progress be given the opportunity to leverage this
proven sensing technology at hydraulic recloser sites. The combination of FMS and Tollgrade
sensors at hydraulic recloser sites can be a powerful solution
Purchase more ruggedized laptops : Purchase more ruggedized laptops that are truly made for field
use and mobility now that smart phones will no longer be the norm for the company. Many
employees I speak with think the company is going in the wrong direction with mobile technology
and how it can help improve employee job performance in the field and response.
Move Forward MDM Work: Complete the Ohio Conversion and prepare for Indiana AMI rollout.
DE Fleet Charging Infrastructure: EV Charging Infrastructure to support DE fleet vehicles
Top Capital InvestmentRankings by IndividualUsing Index formula without "Scoring Participation"
Robert Sipes ID Category Item Index
79 Fleet Internet connectivity through entire garage: ability to connect to the internet
no matter where you are within the garage
21.54
2 AMI Indiana AMI: Begin planning phase in Sept 2014 with Commit gate in Jan
2015. 2014 spend for Planning would be capital
10.00
4 AMI Kentucky AMI Planning: Begin planning phase in ??? 2014 with Commit gate
in???. 2014 spend for Planning would be capital
10.00
8 AMI Additional Meter Coverage: Swap out non‐mesh meters in Ohio where there
is weak communications structure.
10.00
73 Fleet Fuel System Card Readers: Automated systems for no more than 19 that track
fuel consumption for underground on‐site storage tanks currently in use in
Midwest
10.00
74 Fleet Veeder‐Root Systems: Automated system that monitor and track fuel tank
levels to offer additional protection from potential tank leaks in underground
fuel tanks . Reduce need for as frequent "sticking tanks' to measure
inventory and increases accuracy of tank measurement
10.00
78 Fleet Fleet Management System : Software that assists with titling, licensing and
registration
10.00
124 Software Veg Mgmt Land Based Asset Mgmt System: Utilize LIDAR technology to
develop a corridor approach, condition based VM maintenance program.
10.00
147 T&D Tools Transmission Line Level 1 Equipment: Magnetic Drill (DEF, DEMW) 10.00
148 T&D Tools Transmission Line Level 1 Equipment: Light Duty Pole Jacks (DEF, DEMW) 10.00
154 T&D Tools Substation Level Equipment: Infared Camera 10.00
Randy Parks ID Category Item Index
(Ron A) 8 AMI Additional Meter Coverage: Swap out non‐mesh meters in Ohio where there
is weak communications structure.
21.54
5 AMI Marietta AMI Change out: Remove 2300 Echelon/Ambient meters and
replace with Itron/Cisco standard solution
10.00
134 T&D Tools C & M Climbing Tools: Safety equipment ‐ Belt, hooks, buck squeeze, pads,
