FLEET MANAGEMENT TOOLKIT RCV Regional Collaboration in Fleet Management
PREFACE This Fleet Management Toolkit has been prepared for Rural Councils Victoria to document the outcomes of Project 4.4 Regional Collaboration Fleet Management (also known as the RCV Fleet Management Collaboration project) under the Networked Rural Councils Program. Rural Councils Victoria is the collective voice for Victoria s 38 rural councils and is a collaborator on the reform agenda for Victoria s small towns contributing to the development of evidence based policy and strategy. As a thought leader in developing liveable rural communities with sustainable economies, Rural Councils Victoria builds the capability of local councils to plan and support their community to adapt to change and address future challenges. The Victorian Government has recognised that the 38 rural councils are often better able to understand and meet challenges by working in collaboration and this project underpins a policy of empowering rural councils to plan and adapt to change in a more sustainable way and participate in decision making processes that impact on their region through coordinated, collaborative and networked approaches. This project was supported by Rural Councils Victoria with funding from the Victorian Government. The funding commitment for the Networked Rural Councils Program is $3.3 million over four years commencing 1 July 2011 through to 30 June 2015. This project was prepared alongside Rural Councils Victoria by Landell consulting firm. For more information contact Rural Councils Victoria at: Level 12/60 Collins Street Melbourne PH. 03 9667 5555 www.ruralcouncilsvictoria.org.au
RCV Regional Collaboration in Fleet Management CONTENTS PREFACE... 0 INTRODUCING THE TOOLKIT... 4 Purpose... 4 Scope... 4 Development of the Fleet Management Toolkit... 4 Background... 4 Toolkit Basis... 5 Using the Fleet Management Toolkit... 6 Toolkit Structure... 6 Using the Toolkit... 7 Accessing the Toolkit... 9 Fleet Management Knowledge Library... 9 Fleet Collaboration Platform... 9 SECTION A: COMMON FLEET MANAGEMENT FRAMEWORK... 10 Introduction... 10 Fleet Management Framework Elements... 10 Assumptions... 11 Fleet Management Policy... 11 Purpose... 11 Policy Statement... 12 Responsibilities... 12 Relevant Material... 14 Fleet Management Methodology... 15 Purpose... 15 Fleet Management Methodology... 16 Optional Fleet Management Elements... 29 Page 1
SECTION B: COLLABORATION GOVERNANCE STRUCTURE... 30 Introduction... 30 National Collaboration Framework... 30 Assumptions... 31 Implementation Considerations... 31 Term of CHA and PA Agreements... 31 Legal enforceability... 31 Adding New Councils... 31 Governance of a CHA... 32 Governance of a Project... 32 Risk Management... 32 Project Change Control... 32 Complaint and Query Handling... 33 Withdrawal, Discharge, Termination and Expiry... 33 Optional... 34 General Guidance... 34 Agreement Structure... 34 Inconsistencies between Agreements... 35 SECTION C: INTEGRATED PLANNING AND SCHEDULING PRACTICES... 36 Introduction... 36 Systematic Consideration of Collaboration Opportunities... 36 Identifying Collaboration Opportunities - Cyclic Work versus Planned Work... 36 Planning Integration Options... 37 Shared Plant Use - Cyclic Work... 37 Limited Planning Integration - Enhanced Road Program Build... 37 Comprehensive Planning Integration... 38 SECTION D: TOOLS AND TEMPLATES... 39 Introduction... 39 Plant Planning Tool... 39 Whole of Life Cost Calculator... 39 Tender Procurement Plan and Evaluation Score Sheet... 39 Common Road Program Build Tool... 39 Buy/Hire Decision Template... 39 Tendering Guide and Evaluation Process... 40 Safe Work Method Statements... 40 Page 2
SECTION E: DATA - BENCHMARKS AND CONTRACTS... 41 Introduction... 41 IPWEA Benchmarks... 41 Utilisation... 41 Optimum Replacement Timing... 42 Third Party Standing Offer Contracts... 44 Contract Information... 46 MAV Contracts and Suppliers... 46 Procurement Australia Contracts and Suppliers... 49 State Purchase Contracts and Suppliers... 52 General Contract Information, Conditions of Use and Document Update Steps: MAV Contracts... 53 General Contract Information, Conditions of Use and Document Update Steps: PA Contracts... 54 General Contract Information, Conditions of Use and Document Update Steps: SPC Contracts... 55 APPENDIX A: BUY/HIRE DECISION TEMPLATE... 56 New Plant/Vehicle/Equipment Purchase... 56 APPENDIX B: REQUEST FOR TENDER CONTENT TEMPLATE... 59 APPENDIX C: SAFE WORK METHOD STATEMENTS TEMPLATE AND EXAMPLE... 89 SWMS Template... 89 SWMS Example... 91 APPENDIX D: GLOSSARY... 96 Page 3
INTRODUCING THE TOOLKIT Purpose This Fleet Management Toolkit provides an integrated collection of instructions, templates, tools and examples designed to be used by a council to develop and implement fleet management standards and practices that will benefit the individual council and make collaboration with neighbouring councils more likely to succeed. Scope This Toolkit targets the fleet management practices of a typical rural council in Victoria. The principal element of the Toolkit is the Common Fleet Management Framework which provides instructions and examples for a council to set up a policy/methodology/procedural approach for its fleet management operations. The fundamental driver for this work is to promote the adoption of a shared, leading practice approach to essential elements of Fleet Management, which will result in improvements and efficiencies at the individual council level, but also enable collaboration between two or more councils where there is benefit in a shared approach.. Fleet management practices beyond the essential elements are also provided in this Toolkit to complement those essential elements required to support collaborative initiatives. The Toolkit references, and is designed to be used in conjunction with, the Institute of Public Works Engineering Australia (IPWEA) Plant and Vehicle Management Manual (3 rd Edition 2012) or any later version, acknowledged by RCV as the leading public works engineering practice guidance available in Australia today. Development of the Fleet Management Toolkit Background The RCV Fleet Management Toolkit was developed as part of the RCV Fleet Management Collaboration project. The objective of this project was to investigate and develop tools to promote fleet management collaboration between rural councils. The Toolkit was developed by Landell with the assistance of four councils: Colac Otway, Corangamite, Moyne, and Southern Grampians Shire Councils. The contribution of these councils and the officers directly involved with the project is greatly appreciated. The Toolkit builds on most of the existing Fleet Management Policy and practices of the Corangamite Shire Council and Institute of Public Works Engineering Australia (IPWEA). RCV particularly acknowledges the willingness of Corangamite Shire Council to allow the use or modification of their documents in the creation of this Toolkit. Page 4
Toolkit Basis The Toolkit has been developed from examples of current council heavy fleet management activities and incorporates best practice guides from recognised industry leader, the IPWEA. The IPWEA Plant and Vehicle Management Manual has been selected as the preferred basis of fleet best practice as more and more councils are recognising and adapting this purpose-built benchmarked system. The use of the IPWEA Manual only would provide councils with standalone benefits in fleet performance. However, to support fleet collaboration between councils, their operating practices would need to be aligned as a first step. This is particularly relevant if the councils' fleet performances are to be compared using fleet practices and performance measures. This Fleet Management Toolkit identifies and provides instructions on the elements of the IPWEA Plant and Vehicle Management Manual that would need to be implemented to support collaboration. The Toolkit also includes content, not based on the Manual, relating to recommended governance options and planning activities. The Toolkit identifies the essential, or 'core' compliance level required to support the collaboration opportunities considered during the RCV Fleet Management Collaboration project. Whilst the Toolkit does not include all elements of the IPWEA Plant and Vehicle Management Manual, councils may also wish to implement elements that are not explicitly referenced. The Toolkit content is based on the assumption that councils adopt the following policy/methodology/procedural approach supported by a governance process to review and approve this material: Policy: Document that sets out what needs to be done to achieve the organisation s objectives and provides direction to support operational decision-making, including assigning responsibility, defining timeframes and/or restrictions. This document may be called a Directive. Methodology: Document/s that define the body of practices, procedures, rules and guides to be used by those who work in a discipline, e.g. Fleet Management, to implement the directives contained in the policy. The document may be called a Guideline. Procedure: Document that sets out the series of steps or actions required to achieve a particular result. Work Instructions/Templates: Documents that contain function-specific instructions and data capture tools required to achieve a consistent output. Page 5
Using the Fleet Management Toolkit Toolkit Structure The structure of the Toolkit is as follows: Fleet Management Toolkit (this section): This provides an overview of the Fleet Management Toolkit and preliminary instructions regarding its use and structure. Section A: Common Fleet Management Framework: This section contains the instructions and examples to implement a policy/methodology/procedural environment to support fleet management operations and enabling collaborative activities. As the operational environments of individual councils may differ, the Framework provides content examples but the instructions focus on the outcomes to be achieved and for the creation of a collaboration-compliant environment. Section B: Collaboration Governance Structure: A recommended governance structure to be implemented between two or more councils undertaking collaborative activities. Section C: Integrated Planning and Scheduling Practices: To optimise the identification of collaborative opportunities, the recommended practices to be included in the works planning of councils undertaking collaboration activities. Section D: Tools and Templates: Explanatory text and copies of the tools and templates provided in the Toolkit, including tools and templates that can be employed as part of the Framework implementation or simply incorporated into existing council practices. Section E: Data - Benchmarks and Contracts: To assist the build and implementation of a council s fleet management environment, benchmark data has been provided in a format that can be easily copied along with a list of available panel contracts. To assist implementation the Toolkit includes examples and drafting notes, identified by the following formats: Drafting Notes: Highlighted via a rectangular box of blue. These provide context to the example text and advice regarding the matters to be considered when implementing the Toolkit. Examples: Highlighted via a rectangular box of pale orange. The example content can be copied but should be comprehensively reviewed to ensure that it is applicable to the implementing council. Page 6
Using the Toolkit To support collaboration opportunities, it is recommended that a council, at a minimum, implement the essential elements of the Common Fleet Management Framework. These elements are: The Collaboration Governance Structure. The Integrated Planning and Scheduling Practices. The core elements of the IPWEA Plant and Vehicle Management Manual. (The fleet management elements identified in the IPWEA Plant and Vehicle Management Manual have been categorised as either core or optional.) It should be noted that, as the example content in this Toolkit focuses on heavy fleet, some changes may be required to cater for light fleet. In general, however, the practices set out in this document are applicable to the management of both heavy and light fleet. The following figure depicts the integration of the elements of the Toolkit with council processes to develop the council's fleet management environment. Page 7
Fleet Management Toolkit Fleet Management Knowledge Library Common Fleet Management Framework Collaboration Planning Practices Templates Collaboration Governance Structure Tools Implemented Examples Fleet Management Material Best Practice Case Studies Council officers develop implementable Fleet Management environment Council Officers assess Fleet Management Toolkit & examples of fleet management material Council Approval Yes Provide RCV with a copy of the approved and implemented Fleet Management documents Provide RCV with Best Practice Case Studies Council specific Fleet Management documents Commence new Fleet Management practices compliant with core collaboration requirements Seek collaboration opportunities with neighbouring councils Record successful outcomes as Case Studies Council Fleet Management Environment FIGURE 1 - INTEGRATION OF FLEET MANAGEMENT TOOLKIT AND COUNCIL FLEET MANAGEMENT ENVIRONMENT. Page 8
Accessing the Toolkit The RCV Fleet Management Toolkit will be available on the RCV website. Fleet Management Knowledge Library The RCV website will host a Fleet Management Knowledge Library of examples of fleet management material which have been implemented from the Toolkit along with case studies of collaborative fleet management activities. Fleet Collaboration Platform The implementation and use of this Toolkit is targeted towards collaboration between councils. How the Toolkit is implemented will determine the specific output created during the planning and management of the fleet. If two or more councils are collaborating, then elements of this planning and management data will be shared between the councils. The term Collaboration Platform has been used in the Toolkit to indicate the mechanism chosen by the collaborating councils to record and distribute this data. Page 9