Searching for Searching for Excellence Using Excellence Using APPA’s Facilities APPA’s Facilities Performance IndicatorsPerformance Indicators
Presented by Presented by Darryl Boyce Darryl Boyce Maggie Kinnaman Maggie Kinnaman for CAUBO Meeting for CAUBO Meeting Prince Edward Island Prince Edward Island June 2007 June 2007
Higher Education Higher Education
““Education is not about filling a Education is not about filling a pail, it’s about lighting a fire.” pail, it’s about lighting a fire.”
William Butler William Butler YeatsYeats
Objectives of Higher Objectives of Higher EducationEducation
Socialization to Socialization to MaturationMaturation
Training to LearningTraining to Learning Research to Research to
DiscoveryDiscovery Public Service to Public Service to
EngagementEngagement Credentials to Credentials to
Competence Competence Recognition to Recognition to
Credibility Credibility
Why Improve?Why Improve?
What pressures?What pressures? What new and What new and
future challenges?future challenges? What opportunities?What opportunities? What is the cost of What is the cost of
not improving? not improving? What personal What personal
drivers? drivers?
Major Forces Major Forces Impacting Higher Impacting Higher Education Education
Accountability Accountability Educational delivery no Educational delivery no
longer time/place longer time/place sensitive sensitive
Lifelong learningLifelong learning Diminishing resourcesDiminishing resources Competition requires Competition requires
market focusmarket focus Entrepreneurial skills Entrepreneurial skills
necessary necessary Scarce energy Scarce energy
Capital Asset Realities Capital Asset Realities
ConstructioConstruction n
MaintenancMaintenance e
Renewal Renewal Demolition Demolition
Someone once said,
“The mark of insanity is doing the same thing over and over again while expecting a different result.”
Facilities Facilities Management’s Role Management’s Role
Ensure that the buildings and Ensure that the buildings and infrastructure are a strategic infrastructure are a strategic enabler for the business of enabler for the business of higher education higher education
Stewardship role for the largest Stewardship role for the largest capital asset on campus, capital asset on campus, buildings and infrastructure buildings and infrastructure
Facilities Management is Facilities Management is typically the largest typically the largest Administrative Department on Administrative Department on campus so it is ripe for campus so it is ripe for downsizing downsizing
Facilities must be able to tell Facilities must be able to tell their story to decision makers their story to decision makers
We must be accountable for We must be accountable for the assets entrusted to us the assets entrusted to us
What are Facilities What are Facilities Performance Indicators Performance Indicators (FPI)? (FPI)?
Merges CCAS and SAM Merges CCAS and SAM FPI creates a powerful tool FPI creates a powerful tool
for achieving organizational for achieving organizational excellence through excellence through continuous improvement continuous improvement – Organization’s financial Organization’s financial
performanceperformance– Effectiveness of its primary Effectiveness of its primary
processesprocesses– Readiness of employees to Readiness of employees to
embrace the future embrace the future – Ability to delight customers Ability to delight customers
Why Use FPI?Why Use FPI?
Self-AssessmentSelf-Assessment Self-Improvement Self-Improvement Peer comparisonPeer comparison BenchmarkingBenchmarking
Your Roadmap to Your Roadmap to Future Excellence Future Excellence
“I skate to where the puck is going to be, not where it has been.”
In the words of the great hockey player Wayne Gretzky,
Components of FPIComponents of FPI
Balanced ScorecardBalanced Scorecard Quantitative Quantitative
Measurements and Measurements and IndicatorsIndicators
Qualitative Criteria Qualitative Criteria Captured in the Captured in the Performance Levels Performance Levels
Balanced ScorecardBalanced Scorecard
How It All Fits How It All Fits Together Together
Effective ResultsF
inan
cial
Inte
rnal
Em
plo
yees
Cu
sto
mer
s
Strategic PlanningLeadership
Efficiency Versus Efficiency Versus Effectiveness Effectiveness
Efficiency is getting resultsEfficiency is getting results– You can do that if you pay You can do that if you pay
attention to one perspective attention to one perspective Effectiveness is getting Effectiveness is getting
results time and time againresults time and time again– You can only get by paying You can only get by paying
attention to all four attention to all four perspectives perspectives
Financial Perspective Financial Perspective How do we look to How do we look to
resource providers?resource providers?– Reflects organization’s Reflects organization’s
financial integrity financial integrity – Demonstrates stewardship Demonstrates stewardship
responsibility responsibility Capital and financial Capital and financial
resources resources Preservation of physical Preservation of physical
assetsassets
– Linked to the other Linked to the other perspectives through the perspectives through the relationships between cost relationships between cost and the resultsand the results
Internal Process Internal Process Perspective Perspective
At what must we excel? At what must we excel? – Evaluation of delivery of Evaluation of delivery of
primary services primary services AdministrationAdministration Operations and Operations and
maintenancemaintenance Energy and utilities Energy and utilities Planning, design and Planning, design and
constructionconstruction
– Emphasis on Emphasis on improvements and improvements and measuring results measuring results
Innovation and Innovation and LearningLearning
How can we sustain How can we sustain excellence over time? excellence over time? – Creating a high performance Creating a high performance
workplace and a learning workplace and a learning organizationorganization
– Considers how the Considers how the organization enables and organization enables and encourages employees to encourages employees to contribute effectivelycontribute effectively
– Training – leadership and Training – leadership and knowledge sharing knowledge sharing
– Employee well being and Employee well being and satisfactionsatisfaction
Customer Perspective Customer Perspective
How do our customers How do our customers see us? see us? – Considers relationships Considers relationships
with customers with customers – Measures customer Measures customer
satisfaction and satisfaction and performance of services performance of services
– Categories Categories Types of surveysTypes of surveys Primary customer groups Primary customer groups Primary services Primary services
Strategic Financial Strategic Financial Measures Measures
Facility Operating CRV Index Facility Operating CRV Index ($/CRV)($/CRV)
Facility Operating GSF Index Facility Operating GSF Index ($/GSF)($/GSF)
Facility Operating GIE Index Facility Operating GIE Index ($/GIE) ($/GIE)
Capital Renewal Index Capital Renewal Index ($CR+Adapt/CRV)($CR+Adapt/CRV)
Facilities Condition Index Facilities Condition Index ($DM/CRV)($DM/CRV)
Needs Index Needs Index ($DM+CR+Adapt/CRV)($DM+CR+Adapt/CRV)
Facility Operating/CRV Facility Operating/CRV IndexIndex Annual Facility Operating Annual Facility Operating
expenditures ($) Divided by expenditures ($) Divided by Current Replacement Value (CRV) Current Replacement Value (CRV)
Level of funding provided for the Level of funding provided for the stewardship responsibility of the stewardship responsibility of the institution’s annual facilities institution’s annual facilities operating expenditures operating expenditures
Facility Operating/GSF Facility Operating/GSF Index Index Annual Facility Operating Annual Facility Operating
Expenditures ($) Divided By Gross Expenditures ($) Divided By Gross Square Feet (GSF)Square Feet (GSF)
Level of funding provided for the Level of funding provided for the stewardship responsibility of the stewardship responsibility of the institution’s educational and institution’s educational and general capital assets general capital assets
Facility Operating/GIE Facility Operating/GIE Index Index Annual Facility Operating Annual Facility Operating
Expenditures ($) Divided by Gross Expenditures ($) Divided by Gross Institutional Expenditures (GIE)Institutional Expenditures (GIE)
Level of funding provided for the Level of funding provided for the stewardship responsibility of the stewardship responsibility of the institution’s educational and institution’s educational and general capital assets general capital assets
Capital Renewal IndexCapital Renewal Index
Annual Capital Renewal and Annual Capital Renewal and Renovation/Modernization Renovation/Modernization Expenditures ($) Divided By Expenditures ($) Divided By Current Replacement Value (CRV) Current Replacement Value (CRV)
Level of funding expended in Level of funding expended in addressing identified capital addressing identified capital renewal and renewal and renovation/modernization needsrenovation/modernization needs
Facilities Condition Facilities Condition Index (FCI)Index (FCI)
Deferred Maintenance Deferred Maintenance Deficiencies ($) Divided By Deficiencies ($) Divided By Current Replacement Value (CRV)Current Replacement Value (CRV)
Comparative indicator of the Comparative indicator of the relative condition of facilitiesrelative condition of facilities
Needs Index Needs Index
Capital Renewal and Deferred Capital Renewal and Deferred Maintenance Backlog plus Maintenance Backlog plus Renovation/Modernization Need Renovation/Modernization Need ($) Divided by Current ($) Divided by Current Replacement Value (CRV)Replacement Value (CRV)
Overall indicator of campus Overall indicator of campus condition. It is influenced by condition. It is influenced by resource availability and utilizationresource availability and utilization
Internal Process Internal Process Perspective Perspective
Cycle Time (Time to Cycle Time (Time to complete) complete)
Average Age (Average age of Average Age (Average age of active work orders)active work orders)
Backlog (Staff Hrs/FTE Hrs)Backlog (Staff Hrs/FTE Hrs) Energy Usage (BTU/GSF) Energy Usage (BTU/GSF) Estimating Index Estimating Index
($Actual/$Estimate)($Actual/$Estimate) Project Soft Costs Index Project Soft Costs Index
($Soft/Total)($Soft/Total)
Innovation and Innovation and LearningLearning
Employee Climate Survey Employee Climate Survey Employee Focus GroupsEmployee Focus Groups Investment in Training Investment in Training Quality work incentivesQuality work incentives Awards and Recognition Awards and Recognition Job Skills Job Skills
Customer PerspectiveCustomer Perspective
Customer Surveys Customer Surveys Customer Focus Groups Customer Focus Groups
at different levels of the at different levels of the organizationorganization
WEB resources and WEB resources and tools tools
Participation in Participation in Academic briefings Academic briefings
Performance LevelsPerformance Levels
Level 5 PlatinumLevel 5 Platinum Level 4 GoldLevel 4 Gold Level 3 SilverLevel 3 Silver Level 2 BronzeLevel 2 Bronze Level 1 Copper Level 1 Copper
Level 1 - CopperLevel 1 - Copper
No systematic approach No systematic approach Only anecdotal informationOnly anecdotal information
Level 2 – Bronze Level 2 – Bronze
Beginnings of a systematic Beginnings of a systematic programprogram
Major gaps existMajor gaps exist Early stages of improvement Early stages of improvement
orientationorientation Trends of some improvement Trends of some improvement
Level 3 – Silver Level 3 – Silver
Sound systematic programSound systematic program Fact-based improvement for most Fact-based improvement for most
areasareas Emphasis on improvementEmphasis on improvement Improvements in most areasImprovements in most areas No adverse trends No adverse trends Comparisons – good to very goodComparisons – good to very good
Level 4 - GoldLevel 4 - Gold
Sound program with refinements Sound program with refinements Cycles of improvement in many Cycles of improvement in many
to mostto most All primary areas includedAll primary areas included Sustained performance trendsSustained performance trends BenchmarkingBenchmarking Results show leadership in Results show leadership in
performanceperformance
Level 5 – Platinum Level 5 – Platinum (Stretch)(Stretch) Program accomplishes all objectivesProgram accomplishes all objectives Fully deployed for all primary areasFully deployed for all primary areas Emphasis on refinementEmphasis on refinement Cycles of improvement – Mature Cycles of improvement – Mature
programprogram Excellence sustained over several Excellence sustained over several
yearsyears Benchmarking with outside Benchmarking with outside
industriesindustries
Why FPI?Why FPI?
Strategic Tool Strategic Tool – Helps to assess where you are Helps to assess where you are – Describes where you can go Describes where you can go – Outlines the strategies and action Outlines the strategies and action
necessarynecessary
You decide how far to go You decide how far to go
Tailor model for your specific needs Tailor model for your specific needs
Sharing FPI Data Sharing FPI Data Internal Internal
– FM employees FM employees – FM contractors FM contractors – FM administrators FM administrators
Within the institution Within the institution – PlannersPlanners– Financial OfficersFinancial Officers– AcademiciansAcademicians– ResearchersResearchers
Externally Externally – Legislatures Legislatures – Other institutionsOther institutions
Why is Sharing Important? Why is Sharing Important?
Remember the capital Remember the capital asset realities?asset realities?
They cannot be solved They cannot be solved by FM working in by FM working in isolation isolation
FM must educate the FM must educate the institutioninstitution
Engage the institutionEngage the institution Create partnerships Create partnerships Work together to create Work together to create
a strategy to address the a strategy to address the capital asset realitiescapital asset realities
Your Stairway to Your Stairway to ExcellenceExcellence
Understand the context Understand the context within which you operatewithin which you operate
Create partnerships with Create partnerships with your environment your environment
Identify your measurements Identify your measurements of successof success
Strive for balance using four Strive for balance using four perspectivesperspectives
Measure at all levels of the Measure at all levels of the organizationorganization
Share the resultsShare the results Set the bar higher Set the bar higher Identify new strategies Identify new strategies Educate, engage and brief Educate, engage and brief
your partners on how you’re your partners on how you’re doingdoing
Do it all over againDo it all over again Don’t give up!!!! Don’t give up!!!!
“Knowing is not enough; we must apply. Willing is not enough; we must do.”
Johann Wolfgang von Goethe