Peripheral Influences That Hinder Property Management's Effectiveness and Efficiency Robert Kaehler, CPPS Bay Area Chapter

W HAT GETS IN YOUR WAY OF BEING REALLY GOOD AT P ROPERTY M ANAGEMENT or …

Abstract Internal departments such as finance, facilities, engineering, IT systems (i.e. ERP), supply chain and production often determine internal processes and/or systems, and often times at the expense of the needs to the property group. In some cases, the property function is able to stand up and turn the tide to achieve success in their mission. Other times, the property management function becomes more inefficient, perhaps even irrelevant, and/or disaster struck. Attend this session to learn some of these observations and the impact they’ve had on the property management function.

The Easy Answer Money Visibility Perceived Value

In reality, it’s determined by a number of factors What kind of organization are you? Where do you fit in the organization? How is your role defined? How is asset management defined?

WHAT IS ASSET MANAGEMENT?

Assets can be tracked in many diverse, unconnected systems

Influencers Facilities – Maintenance Production / Manufacturing Maintenance, Repair and Overhaul Finance / Fixed Assets Calibration / Equipment Management Warehouse/Inventory IT / ITAM / Service Desk

Fallacy: Asset Data is Asset Data

Unfortunate Result

We’re so good … they misunderstand? informed/Gary the Asset Manager.pdf

Real World Example #1 Military Vehicle Manufacturer Situation: Production group makes the vehicles, sells them to government, and delivers them in place Challenge: Property Records are the Invoices, supported by an Excel Spreadsheet, captured and maintained by the Contracts group Outcome: Property Group has audit findings due to incomplete data records, location inaccuracies

Real World Example #2 Electronic Systems Manufacturer Situation: Company manufactures sophisticated electronics on contract to the government, using CAM and some GFM. Devices are regularly returned for repair and upgrades becoming GFP while on site Challenge: CAM is captured and maintained in procurement system, transferred to production as BOM, and GFP is managed in repair/work order system Outcome: Property “records” are in three different systems with no clear visibility between the three. Property Manager uses Excel spreadsheet to try and consolidate, but highly manual processes and history records are lacking

Real World Example #3 Testing Laboratory Situation: Long term subcontractor to several government contractors. A portion of the equipment is considered GFP, some is company-owned. Challenge: Primary equipment management system is the calibration/maintenance system. Company property data maintained in fixed asset register. Outcome: Property Manager maintains shadow system for government reports, but data inconsistent and often conflicts with other systems.

What’s up, Gary?

The Easy Answer Money Visibility Perceived Value

Establish Visibility

Show Me the Money

Clearly Show Your Value

D ISCUSSION / Q UESTIONS ? Thanks for attending. Special thanks to Sunflower Systems for Gary, the Asset Manager. informed

C ONTACT I NFORMATION Robert Kaehler x201