PREVENTIVE & PLANNED MAINTENANCE - … PREVENTIVE & PLANNED MAINTENANCE NESA October 2014 Nicholas Mirisis SchoolDude

PRESENTED BY:

PREVENTIVE & PLANNEDMAINTENANCE

NESAOctober 2014

Nicholas Mirisis

SchoolDude

Brief Introduction

9 years with SchoolDude

Board Director, National BusinessOfficers Association (NBOA)

Board Director, Consortium forSchool Networking (CoSN)

Board Director, Public School RiskInstitute

Information Systems Committee,ASBO International

Global ClientsAfrica

American Cooperative School of Tunis

Cairo American College

Middle East & Asia

American Community School - Jordan

American Embassy School - New Delhi

American International School of Dhaka

American School of Bombay

Hong Kong Academy

King’s Academy

Singapore American School

Taipei American School

Yongsan International School of Seoul

Europe

American International School of Rotterdam

International School Of Prague

The American School of The Hague

Vienna International School

Agenda

Educating Stakeholders

Benefits of PM

Why Invest

Key Performance Indicators (KPIs)

Impact of PM

How to Get Started

Leave Here Today and Answer

Why is PM important?

What priority should it have?

What are the challenges with PM?

What should be in a PM plan?

What should a PM Plan do?

Who is in the room?

Position

What do you do?

How long have you been inyour position?

Size of maintenance staff?

Work Environment

Size of plant

Amount of reserves

Question for the Group?

How many of your schools have a formalPreventive Maintenance Program?

How many of your schools have a staffmember dedicated to PM?

What are the reasons it is / is not a priority?

Educating Stakeholders

Why Does Facilities MaintenanceMatter?

The appearance of your school facilities says a lot

A positive relationship exists between schoolconditions and student achievement and behavior

Students who attend schools in poor condition scorelower than those attending schools in excellentcondition

Physical conditions have a direct effect on instructormorale, sense of personal safety, and feelings ofeffectiveness in the classroom

The condition of a campus affects the decision ofprospective students

Facilities Responsibilities Then…

1. Custodial operations2. Maintenance operations3. Grounds operations4. Electrical / gas utility5. Pest control (in-house)6. Playground equipment7. Roofs8. Safety – general9. School closings10. Vandalism

…Facilities Responsibilities Now

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 schedules

24. Rentals, community usage25. ADA26. Owners Construction Rep.27. Indoor Air Quality28. Lead in paint29. Integrated Pest Management30. Privatized custodial31. Purchased services management32. Protective equipment & clothing33. Radon Management34. Recycle waste program35. Re-locatable classrooms36. Right to Know Act37. Underground storage tanks38. Computerization – technology

support39. Blood borne pathogens40. Budget planning41. Labor law issues42. OSHA Logging & training43. Custodial equipment management44. Quality Assurance program45. Hazardous Waste Removal46. Emergency Backpacks

47. Building Backpack Supply48. Defibrillator maintenance49. Defibrillator training50. Security systems51. Green chemical management52. Carbon footprint issues53. Sustainability program54. Life/Safety Planning55. Playground management56. Expanded athletic programs57. Swimming pool

maintenance58. Indoor track & field59. Fertilization &

weed control60. Artificial athletic

fields

WHAT ISNEXT???

What if we don’t plan to protect ourinvestments?

Buildings and equipment deteriorate

Warranties become invalidated

Student and staff morale is affected

Future investment in the education system isdiscouraged

How Does Facilities Maintenance Save $$$

Unlike other investments, the return on investment forfacilities maintenance doesn’t necessarily result in increasedrevenues. Instead, good facilities maintenance producessavings by lowering:

• Replacement costs

• Labor costs

• Overhead and utility costs

Facts about Facilities…

We know that both routine and unexpected maintenancedemands will arise. This is inevitable.

Facilities maintenance is big and costly. It can get even morecostly if it handled in a haphazard manner.

It seems that we are always having to weigh short termdemands against long term demands.

An organization must PLAN to meet these challenges.

Types of Maintenance

Emergency Maintenance: The main water line breaks andfloods the lunchroom… someone better fix it NOW!

Routine Maintenance: The pencil sharpener in a classroomneeds to be replaced… get to it when you can.

Preventive Maintenance: The air conditioner filter is due forreplacement every 3 months… schedule the work.

Predictive Maintenance: Monitoring indicates that a piece ofequipment will fail within a predicted time frame based on userdemand and other performance measures… get out yourcomputer.

Table Workgroup

If you are doing PM, what is your process tomake it a priority?

If you are not doing PM, what are yourobstacles to making it a priority?

What Hinders from Setting Up aPreventive Maintenance Program?

Time

Small facilities team

Too busy “fighting fires”

Not sure where to start

Lack of information

Limited resources to assign to work

Unsure of what resources will be needed

Don’t fall into a“Gym Membership Mentality”

Benefits of Why to Invest in PM

SCHOOLDUDE 24

SCHOOLDUDE 25

SCHOOLDUDE 26

PM Economics 101

Replacement Cost $24,645/student

Value of roof (6%) $1,478/student

Value of HVAC (11%) $2,710/student

Total for just two systems: $4,188/student

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

Capital Budget Relief: $40/student per yr

E.g. 1,000 student institution: $40,000/yr savings

$100K

$75K

$50K

$25K

$0K

0 5 10 15 20 25

Extend the Life Cycle throughPM...

$

$

Less Dollars to FixIssues

More Dollars toFix Issues

Opportune Time to Invest in PM

$ Benefit $

Replacement Threshold

2318

Source: MACTEC EngineeringYears

PMLittle orNo PM

Energy Impact from PM

• HVAC related load

• Often around 50% of load

• Expected improvement from PM – 10% improved

• Estimated 5% energy bill reduction

• Averages

• $10 - $15/student conservatively estimated

Why Invest in a PreventiveMaintenance Program?

• Fewer Failures

• More Planned Work

• Fewer Emergencies

• Reduced Overtime

• Extended EquipmentLife

• Better Use ofMaintenancePersonnel

• Improved EquipmentOperation

• Less Downtime

“Benefits of a Successful PM Program” is taken from Complete Building Equipment Maintenance Desk Book Second Edition, Edited by SheldonJ. Fuchs, P.E. Page 19 in the chapter by Paul D. Tomlingson.

Dude Facts: Preventive Maintenance

What is the difference between emergency andcorrective work?

25% reduction in number of Emergency Work Orderswhen performing PM.

Corrective work cost 3x more than Preventive work

The average cost of an emergency work order is $300

So What Does Work Cost?

Average cost per work order in 2014

Emergencies thatwere prevented.

These cost under$8 vs. typical

emergencies inthe $100s.

Basically,a total of $2,000

vs. $120,000

Highcompletion

rate at anaverage

cost.

What an Average Group Does …but who wants to be average?

% of emergency jobs

PM

jobs

em

erg

ency

jobs

Being a Top Performer Takes Time…but it’s worth it

% of PM jobs

% of emergency jobs

PM

jobs

em

erg

ency

jobs

Table Workgroup

What are the most important benefits of PMthat you believe you can “sell” to yourstakeholders?

How will you communicate it to gain theirsupport?

Good• Capture Health & Life Safety & Critical Systems

• Conduct Visual Inspections

• Track Progress

Better

• Prioritize PM above CM

• Conduct Major Mechanical Equipment & Structural PM

• Associate Equipment to work orders

GREAT

• 80-85% of all work is PM

• Document PM for ALL Equipment, Structural Systems

• Evaluate, Adjust

• Promote savings thru PM to Org Leaders

The Path To Great Preventive Maintenance

Create specific tasks lists so knowledge is passed on.Tie into selective pieces of equipment to see their true costs.

Preventive Maintenance…Just Look!

Getting to “Great”

Awareness

• Analyze where your corrective work is being done to show where PM mightbe needed

Motivate change

• Make sure the team understands impact of inspection or equipment failureon occupants and budget

Execute Plan and Re-measure

• “Just go look at it” or customized procedures

• Compare volume or types of work orders after implementation

Share Results

• Show return on investment or need for additional resources with data

Miss Hall’s …Great PM Masters

Year Emergency Ratio PMs

2010 2.76% 2.84%

2011 3.03% 4.48%

2012 2.53% 4.97%

2013 2.23% 5.19%

Average PM Performers Top PM Performers


2010 1.28% 10.56%

2011 1.18% 11.28%

2012 0.88% 13.32%

2013 0.86% 15.90%

Miss Hall’s PM Performance


2011 0.45% 2.06%

2012 0.24% 8.54%

2013 0.09% 11.81%

2014 0.68% 13.69%

Independent School Success Stories

Work Order Trend with PMs

4,483,322 Completed/Closed Work orderssince 2001

998,676 Completed/Closed PMs

Facility Categories and Average Cost

$151$148

$106 $105$102

$74$69

$0

$20

$40

$60

$80

$100

$120

$140

$160

Grounds Carpentry Electrical HVAC Custodial Plumbing Doors/Hardware

Facility Categories and Average Cost(with PM)

$37

$22

$19

$16

$13

$6

$3

$0

$5

$10

$15

$20

$25

$30

$35

$40

Grounds Electrical Plumbing HVAC Carpentry Doors/Hardware Custodial

Work by Month (CY 2013)

WO/Student/Year (Median)

The PM effect

Summary

Four Steps to Successful PM

1. Determine PM plan and schedules

2. Determine who will perform PM

3. Sell PM to your management & board

4. Be vigilant and report on your data & success







3. Sell PM to your leadership & board

Are there mandates?

Is the program achievable?

How does PM support the mission and goals of the school?






• HVAC•Replace Air Filters and Belts

•Clean Coils

•Check and calibrate thermostats/ sensors

Preventive and ProactiveMaintenance Measures

Proof Statement - CA schools performed PM on HVACand realized 15-18% savings on that equipment

Refrigeration• Checking temperatures and regulating on

refrigerators and freezers

• Inspecting compressors and related components

Building Envelope• Re-caulk all open cracks of exterior

• Check all outside doors for weather seals.

• Limit/restrict usage of outside doors where safely possible.

• Do not open windows or doors for ventilation - adjust thesystem.


Electrical• Inspect Lighting and ballasts

• Install and check operation of room occupancy sensors

• Turn off computers, printers and copiers at the end of each day

• Turn off classroom lights after special events and after cleaning

• Removal or payback concerning personal appliances


Group Discussion

What best practices you implemented thathave saved time, money, energy or otheroperating costs?

How did you do it?

PRESENTED BY:

PREVENTIVE & PLANNEDMAINTENANCE

NESAOctober 2014

Nicholas Mirisis

SchoolDude

Question for the Group?

What is your process for facility capitalbudgeting?

We do not have a formal one

We have a list/excel spreadsheet

We budget a percentage of building value

We adjust last year’s number

We hire a firm to conduct an audit

We use a modeling tool

Collaborative Budgeting

Good budgetsare not done insilos.

They are acollaborativeeffort, usuallyrequiring a levelof compromisefrom allinvolved.

What is Your Process?What most closely matched your facility capital budgeting process?

Source: Registration Survey for“Capital Planning and Forecasting for

Educational Facility Funding Needs”(282 respondents)

Type of Budgets

Operating

Long Range

Capital

What is PPRSM anyway?(and should I care?)

PPRRSM (known as “prism”) stands for Provisionfor Plan Replacement, Renewal and SpecialMaintenance.

It is a line item in the annual operating budgetfunded through operating revenues. It is acategory established to finance significantmaintenance, renewal or replacement of theschool’s plant assets.

Before students stepped foot in yourdoors this year, there was already a

$5,400 per student backlogof problems you needed to fix.

Budget Challenges

Community is biased to veto building expenses

Unaware of what it costs to maintain a facility

More likely to approve new construction than dollars to

maintain existing buildings

Views a 20-year old facility as still “new”

Educate with Industry Standards

65

Calculating Costs

Change the Budget Conversation

Deferred maintenance is a statement of fact, butgood control means:

Annual backlog is visible, predictable

Good stewardship is easily illustrated

Budget discussions tooemotional; shift conversationsfrom “wants” to “risks/needs”as predictive data identifiespotential threats

The ListInexpensive but questionable credibility

Facility Condition AssessmentHighly credible, but too expensive for some

Life Cycle ModelingProven methodology, highly credible and very affordable

Table Workgroup

What is your process for conducting facilityassessments?

What is working well or what needsimprovement in your process?

Typical Systems in Modeling

The Concept of Life Cycle Modeling:

1. Building Systemshave known lifeexpectancies;

2. The remaining life ofeach building systemcan be estimated;

3. Renewal costs can beestimated.

Source: Pacific PartnersConsulting Group

Life Cycle Modeling

• Approach endorsed in a joint publicationby APPA, NACUBO & SCUP

• Implemented by The Smithsonian, The Getty, NASA, US Navy,U of Texas System

• Implemented on >100 million sq. ft. of educational facilitiesincluding 200+ districts, private schools and college campuses

*

Objectives of Life Cycle Modeling

Create multi-year strategic capital plans that incorporaterenewal needs:

Estimate the magnitude ofthe backlog.

Predict when building systemsneed to be replacedor renovated, plusthe associated costs.

Objectives of Life Cycle Modeling

Provide a sustainableplanning methodology:

profiles of each building

easy to update

inexpensive to implementand maintain

Save money:a) minimizing condition assessments

b) identify buildings to “consume”

c) consolidating capital projects

Overcoming the Challenges

Articulate the Needs

Short-term

Intermediate

Long-term

Avoid the Status Quo

Leverage Techniques and Technology to“market” your department’s needs

Total Deferred Maintenance by Sub-System Category

Simplified Assessment of Key Sub-Systems

Windows

Rick says stats too high.Blue start at .05, orange endat .45I modified slightly. Orange isat .45 in 2009.

For every $1 of maintenance you

defer, it takes $3-4 to fix

Data is key

What do you need?Data to support your argument.

Where do you get it?Web-based data tools to measure and gainmeaningful outputs and management reports.

NBOA

APPA

Internal tracking

Reporting/Governance

Building &GroundsCommittee

LeadershipTeam

Head ofSchool

We’re all in this together!

Facilities Issue- Net AssetsFacilities ForumFacilities ToolkitFacilities Track at Annual Meeting

Contact Information

Nick Mirisis

[email protected]

Direct: 919-459-3145

Cell: 919-280-9732

www.schooldude.com

Documents

PREVENTIVE & PLANNED MAINTENANCE - … PREVENTIVE & PLANNED MAINTENANCE NESA October 2014 Nicholas Mirisis SchoolDude