Workforce Planning and Forecasting Stephen J. Price Division Head – System Operations September 2015
Service territory Chartered in 1848 Franchise area covers 6,213 square miles Distribution system in District of Columbia, Maryland and Virginia Over 1.1 million customers Approx. 13,456 miles of distribution main & 993,522 services Approx. 1,332 Employees (535 field workforce and supervision) Approx. 180 Contractor Construction Crews Other outsourced/external partnering work: Line locating Leak survey Premise work Engineering services Integrated Supply Model Mature Damage Prevention Program 1.29 damages per 1,000 locates
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques De-Centralized and Optimized by Work stream Customer Field Service work (above-ground; short cycle) Underground Maintenance (below-ground; long cycle) Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques The demands of each work type are different Short cycle: high volume, short duration, low complexity; minimal or no dependencies Long cycle: multiple processes involved, longer duration; frequently requires permitting, work planning, customer coordination Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques Resource skills drive assignment and align with work streams Opportunities to contribute across work streams are limited Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques Work Volume Forecasting Historical/Seasonal Trends Known Project Based Initiatives Capital Expenditure Targets on Replacement, New Business and Market Enhancement Pending work Opportunity – Combine disparate business intelligence into unified staffing model Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques Historical/Seasonal Trends – Above-ground Emergency Response Leak Survey Schedule Premise work: Move in – Move Out; Credit Related Turn-On’s and Turn-Offs Meter Set Maintenance Training/OQ Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques Historical/Seasonal Trends – Below-ground Targeted Capital Spend on known Accelerated Replacement Programs, Project based, or Known New Business Volume: Planned Leak Repair vs. Gr 1 leak work Known work volume on a crew basis; Known cost of a crew; Known Spend limits, which drives targeted work to be completed. Variables: Changes to Capital availability, Weather, Crew performance and quality, Change of Work Type Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques Internal vs. Contractor Workforce issues Contractor Self Scheduling Internal Workforce Hiring, Training and Retention in a rapidly transitioning workforce Contractor Staffing and Scheduling Contractual Performance Levels Unplanned, Daily Resource Demands Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques Emergency Response Historical Expectations Development of Contractor Crews to support Peak Shaving Assessment of Crew Contingent required based on Historical work volumes OT used for Gaps Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques Work Management Systems are tailored to the scheduling needs of the associated work. Short Cycle: Ventyx Service Suite, transitioning to SAP Work Manager (formerly Syclo) and ClickSchedule Long Cycle: CGI ARM suite, including Asset Manager and Work Manager Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques Leveraging Systems and Data Above Ground (Emergency and Planned) New Computer Aided Dispatch System-Click/SAP Optimize Resources in Real Time Drip Feed work to field with re-shuffling Street Level Routing Improved Data Accuracy GPS, Tom Tom Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques Leveraging Systems and Data Below Ground (Emergency and Planned) ARM is the system of record for underground maintenance and construction Paper based field processes Manages compliance schedules for assets Opportunity for Improved Data Accuracy GPS, Tom Tom Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%
Forecasting and Planning The Approach Forecasting Demand Planning Resources Tools & Techniques DISCUSSION Regulatory Spend for FY13 Rate Recoverable: $69.9M -- Regular Replacement work Spend for FY13: $40.9M MATERIAL % COMPLETE Main Services VA SAVE I Approved 4/21/11; effective Jan. 2011 5 Year = $116.5 100% of BS svcs & Main 16% 70% Total = $333.5 of 2" Vintage MC main 6% 11% II Approved 12/18/12 $191.4 7% CU - $396.2 2% Blk Plastic CI main Maryland - authorized 2011 $115.0 13% $642.0 3% 4% D.C. 1027 - effective 2010 7 Years $28.0 of 2" Vintage MC ARP $119.0 $742.0 60% 80%