UTILITIES IMPROVE PERFORMANCE USING PRIVATE BUSINESS TECHNIQUES

Transcription

1 New York's Water Event UTILITIES IMPROVE PERFORMANCE USING PRIVATE BUSINESS TECHNIQUES April 12-14, 2016 Saratoga Springs City Center and The Saratoga Hilton Saratoga Springs, NY

2 UTILITIES FACE BIG CHALLENGES Deteriorating Assets Evolving Regulations Politics Tight Budgets Aging Workforce

3 IMPROVEMENT TECHNIQUES Benchmarking Process Mapping Lean Six Sigma Organizational Assessment Failure Mode Analysis

4 A SYSTEMATIC APPROACH MANAGEMENT IS NOT JUST COMMON SENSE WHAT WE THINK WE KNOW IS NOT ALWAYS RIGHT IMPROVEMENT TECHNIQUES ARE TESTED AND DEFENSIBLE THEY PROVIDE A FRAMEWORK FOR FINDING THE TRUTH AND DEVELOPING SOLUTIONS

5 LEAN SIX SIGMA COMBINES LEAN PROCESS EFFICIENCY AND DEFECT MINIMIZATION LEAN AND SIX SIGMA PRACTICES HAVE REVOLUTIONIZED INDUSTRIES AROUND THE WORLD AUTO MAKING IN JAPAN GE AND IBM MOTOROLA PROVIDES A SYSTEMATIC APPROACH TO SOLVING PROBLEMS

6 LEAN SIX SIGMA Define Define the project (i.e. reduce sewer backups) Analyze Review graphs, charts, etc. (i.e. No. of events, cause, duration, etc.) Measure Collect Data (No. of events, causes, duration, parameters, etc.) Improve Make changes (i.e. wet weather procedures, capital projects, etc.) Control Monitor progress and maintain (i.e. continue tracking, additional implementations, etc.)

7 MEASURING CULTURE Flexibility / Discretion 50 SOCIAL SCIENTISTS HAVE STUDIED CULTURE FOR Clan Adhocracy DECADES 10 THERE ARE RECOGNIZABLE Internal Focus 0 External Focus TRAITS AND BEHAVIORS YOU CAN ASSESS THESE CHARACTERISTICS IF YOU HAVE THE RIGHT TOOLS Hierarchy Stability / Control Market Organizational Culture Assessment Instrument (OCAI) - Cameron, Quin Diagnosing and Changing Organizational Culture. Jossey-Bass Publishing.

8 WHY SHOULD I CARE ABOUT CULTURE? RELATIONSHIPS STRONG CULTURAL RELATIONSHIPS FOSTER HAPPIER PEOPLE, JOB SATISFACTION AND POSITIVE ENERGY Communication MOTIVATION UNDERSTANDING CULTURE FACILITATES IDENTIFICATION OF PERFORMANCE DRIVERS Motivation COMMUNICATION CULTURE HELPS ILLUMINATE THE BEST WAYS TO EXCHANGE INFORMATION Relationships

9 Passive Aggressive Organization The Over-managed Organization The Outgrown Organization The Fits and Start Organization The Just-In-Time Organization Military Precision Organization The Resilient Organization Everyone agrees, but nothing changes. Congenial and seemingly conflict free, this organization builds consensus easily, but struggles to implement agreed-upon plans. We re from corporate, and we re here to help. Multiple layers of management create analysis paralysis in a frequently bureaucratic and highly political environment. The good old days meet a brave new world. Too large and complex to be effectively controlled by a small team, this organization has yet to democratize sufficiently. Let 1,000 flowers bloom. This organization has scores of smart, motivated and talented people, but they rarely pull in the same direction at the same time. Succeeding by the skin of our teeth While inconsistently prepared for change, this organization can turn on a dime when necessary, without losing sight of the big picture. Flying in Formation Often driven by a small, involved senior team, it succeeds through superior execution and the efficiency of its operating model. As good as it gets Flexible enough to adapt quickly to external market shifts, it still remains steadfastly focused on and aligned behind a coherent business strategy. Booz Allen Hamilton DNA Profiler

10 FISHBONE ROOT CAUSES ANALYSIS

11 PARETO ROOT CAUSES ANALYSIS Billing Error Types Meter Reading 74 Account - Customer 51 Account- City 12 Data Transfer 2 Total Meter Reading Account - Customer Account- City Data Transfer

12 PERFORMANCE ASSESSMENT ASSESS PERFORMANCE AND LIMITING FACTORS Measure performance Limited No. Common measures Benchmark peers Define gaps

13 PERFORMANCE ASSESSMENT

14 PERFORMANCE ASSESSMENT Performance Benchmarking for Effectively Managed Water Utilities (Project 4313)

15 PERFORMANCE ASSESSMENT Best Practice (best appropriate practice) LOS Goal LOS Standard Top 10% Performance Current Performance 2012 AWWA Benchmarking Results

16 PROCESS MAPPING Call received by Dispatch Dispatch enters the call into Cityworks and starts a service request Apple Tree messaging answers the call and reaches out to on call staff person After hours? Normal business hours or during the winter Dispatch calls the Wastewater Division and notifies them of the service request (during the winter, Dispatch contacts the on call staff person) Wastewater Supervisor enters service request information into Cityworks Wastewater staff responds to the service request Wastewater Supervisor or Coordinator creates a Work Order and attaches the service request Wastewater staff completes the service request and returns it to Wastewater Supervisor Information from service request along with inspection data is entered on Work Order Work Order is complete Wastewater staff prints the service request Diagramming workflows to streamline processes

17 DIAGRAM KEY PROCESSES Identify Data, Decision Points and Information Needs Highlight Areas of Inefficiency and Revise Define Staff Roles, Actions and Responsibilities Swimlane diagrams can help diagnose O&M practice and process problems.

18 STREAMLINE PROCESSES

19 THANK YOU!! SETH GARRISON