2. Aaron Alvarado Fleet Manager City of Tempe

3. Fleet Size: 1100 Employees: 30 Number of Maintenance Facilities: 2 Budget: 6.5M Vehicle Replacement: 1.2M FMIS: Asset works Fleet Focus M4 (Transitioning to M5 2012/13) Fuel system: Asset works, Fuel Focus & Pneumercator, 3 metered w/ICU, Capital Improvement Project for 12/13 funds 7 other sites to be integrated to network In house parts operation 187k inventory O/H Zonar, GPS Insight & Utilimarc

4. Background Currently Fleet Manager City of Tempe, AZ 2009-10 U.S. Army Deployed to OIF as Battalion Maintenance Officer (BMO) 541 st CSSB, Ft. Riley KS 2005-2010 Shop Supervisor, City of Glendale, AZ Fleet size 1450 1996-2005 Heavy Mobile Equip Repairer Supervisor, Dept. of Army, 2500+ pieces of equipment for deployment to OIF & OEF 1989-96 USMC, Combat Engineer (Desert Shield/Storm, Japan, Korea) AZ Army National Guard, Maintenance Warrant Officer (Retired, CW3, 2010) EDUCATION MBA Public Admin B/S Management 915 E Warrant Off. Adv. Course A/S Auto Diesel Technology

5. Fleet Benchmarking for Advanced Decision Making Fleet Benchmarking does not have to be complex, seek out industry standard or best practices and start with a goal in mind. X to Y by When? (X=where your at today, Y=where you want to be, by When) Benchmarking is the process of comparing one's business processes and performance metrics to industry bests or best practices from other industries. Utilize industry standard to measure from.

6. Fleet Benchmarking for Advanced Decision Making Measure items in your fleet that have some relevance to the executive management team Have common procedures to methodically organize your data, template and define data criteria Present often as possible to executive staff to drive your point home, i.e. State of the Fleet address etc..

7. What’s worth Benchmarking? Possibilities include:  productivity measures  CPM/CPG/CPH  idle time  vehicle lifecycle cost  downtime  turn around time  PM compliance

8. What’s worth Benchmarking? Each fleet operation is unique, recommendation: Define the key objectives and benchmark what is most important to your organization. (top 100) Productivity PM Compliance Quick & Efficient DIRFT Staff Development

9. Benchmarking process The results from benchmarking: Better understanding of your operations true performance Define each aspect of what you are going to measure and ensure you make it clear as to what goes into your study. Identify similar operations to gather data from, or benchmark similar equipment in your fleet

10. Terminal Learning Objective (TLO) Task-Overall learning objective is to precisely benchmark key indicators of your operation that are observable and measurable and report out. Condition- In a shop setting utilizing FMIS, Telematics, or any other means of gathering data. Standard-Industry benchmark standard, such as labor rates, vehicle equivalency etc.

11. Identify what to Benchmark Form Benchmark Team Identify Key Performance Indicators Collect and Analyze Data Implement Action Plan Monitor progress Benchmarking Process

12. TLO Flowchart Identify the benchmark that will benefit your organization Identify KPI’s Pull raw data and format for fleet use only! Refine your findings into a graphical representation Present your information to Executive Staff Repeat

13. Trend Analysis in Benchmarking Displaying trend analysis can reinforce your position and pin point poor performance in certain areas. One can act on these indicators quickly to make immediate changes. Pulling the data over a period of time can show high level maintenance trends excessive downtime etc. that are costing your organization money In addition, these trends can pinpoint where you spend excessive manpower on repairing a certain type of equipment

14. Trending Data Analysis

15. Vehicle Benchmark analysis Determine what variables will go into your analysis: Vehicle type Year Annual miles Purchase price Fuel cost Parts cost Depreciation Interest Inflation rate Insurance cost

16. COT Breakdown 2000> vehicle cost summary Targeted vehicles indicate higher than usual O&M cost

17. FY 2010 Maintenance Cost Comparison by Class

18. The Raw Data

19. Sorting the Data

20. Trending

21. Trending (cont.)

22. Graphical Representation Source: H. Greene & R.E. Knorr, Managing Public Equipment, American Public Works Association, KS, 1989

23. Utilize Graphical representation for briefing Make your case to executive management Return and refocus on other areas to be measured Analysis of the Raw Data Isolated vehicles that exhibit high maintenance trends by classification Extracted and formatted into a template that can be used over and over (consistency is the key) Identified high concern areas Benchmarked and compared with like vehicles in your fleet or other municipalities Pinpointed higher than normal operating cost Baseline Summary

24. Final Decision Based on analysis Data represents a higher than normal operating cost over period of time and for certain classification of vehicles, analysis indicates an approximate target date for disposal You now can see the representation and determine if retention or replacement is warranted Typically decisions that are made either way benefit the fleet manager as long as its documented

25. Course of Action (COA) on benchmark results COA #1 Vehicle age and repairs cost exceeds value of vehicle, funding shifts to capital side of the budget Targeted for replacement in next cycle COA #2 Vehicle Cost High, No funding for new acquisition Retention of vehicle shifts funding to the operations side of the budget, state case for additional FTE COA #3 Document who made decisions to approve or deny and keep records for future discussions.

26. Benchmarking Idle Time by date range example

27. Lower fuel cost by reducing Idle time based on data analysis Type of operation Pre/Post Trip Insp. Idle time policy Driver Accountability Repair Idle time What actions increase/decrease idle time? Overall Objective

28. Gather information and begin the sorting process

30. Benchmarking Idle Time

31. Practical Exercise Sort & Graph Data Practical Exercise Sort & Graph Data

32. Enabling Learning Objective (ELO #1) Using idle information from Zonar, export, sort data, make table and graph

33. Remove data not relevant to you’re your briefing

34. Define Header for information you want to display graphically Asset No. Max Idle Zone Total Idle Total Cost

35. Add table to data sheet to sort quickly Step 1 Highlight any cell in the data range Step 2 Under “Insert” Tab click “Table” icon Step 3 After clicking on “Create Table” pops up. Check box “My table has headers” Click on OK

36. Step 2 Sort as required “Largest to Smallest” etc. Step 1 Hit Total Cost Dropdown arrow Once Table is generated, sort any tab by using the dropdown in any category

37. Sorted by largest to smallest “Total Cost”

38. Graphical Representation (spreadsheet example)

39. Course of Action (COA) on benchmarking data COA #1 Data indicates vehicle 890 has most idle time over last quarter of data Discuss at individual or small group level to correct COA #2 Re-evaluate routing, type of equipment or maintenance factors to determine if less idle time can be obtained COA #3 Make constructive recommendation to SW manager to lower idle rate & decrease fuel consumption

40. Graphing Data Practical Exercise

41. Enabling Learning Objective (ELO #2) Task: Using database information in excel format reconstruct into a graphical representation for analysis and presentations to executive staff.

42. Practical Exercise Double click in spreadsheet to open Excel Document

43. Highlight your data you intend to graph

44. Practical Exercise (cont.) Once data is highlighted, push “F11” to generate the graph. Clean up your axis to indicate Year & Legend

45. Practical Exercise (cont.) Hit the “Select Data” Icon

46. Practical Exercise (cont.) Hit “Edit” Button *Note* this will be your Horizontal axis labels

47. “Select Range” Dropdown

48. Range dropdown moves to “Axis Label” Select the “Data” tab on bottom

49. **Note** Cells in “Axis Labels Change with Data range Step 1 Highlight “Year” range for Axis Labels Step 2 Click the “Go To” red button to get back to the Axis Lables

50. Hit “OK” when complete

51. Changing the Legend Step 1 Highlight “Series1” Under Legend Entries Step 2 Hit “Edit” tab

52. Step 1: Under “Series Name:” Type your intended Legend Name i.e. Total Cost Step 2: Do not change “Series Value:” Click “OK”

53. Legend Entry & Horizontal Axis for bar- graph is set Step 1: Click “OK”

54. Mission Complete!

55. Practical Exercise Double click in spreadsheet to open Excel Document

56. Summary In this session we have covered the benchmarking process. Terminal Learning Objective:  Precisely benchmark key indicators of your operation that are observable and measurable and report out.