2. Aaron Alvarado Fleet Manager City of Tempe, AZ

3. Background EXPERIENCE Currently Fleet Manager City of Tempe, AZ Fleet size 1100 2009-10 U.S. Army Deployed to OIF as Battalion Maintenance Officer (BMO) 2005-2009 Shop Supervisor, City of Glendale, AZ Fleet size 1450 1996-2005 Heavy Mobile Equip Repairer Supervisor, Dept. of Army, 2500+ pieces of equipment. 1989-96 USMC, Combat Engineer (Desert Shield/Storm, Japan, Korea) AZ Army National Guard (Retired, CW3, 2010) EDUCATION MBA Public Admin B/S Management A/S Auto Diesel Technology Currently enrolled CAFM

4. OIF Port of entry/exit

5. Aggressive Fleet Management? Fleet Management is more aggressive in these areas than it was 20 years ago. 1.Budget (personnel, parts, fuel, etc.) 2.Vehicle Maintenance (scrutiny) 3.Organization Policies & Procedures 4.Acquisition and Disposal

6. Aggressive Fleet Management Fleet Management is more aggressive in these areas than it was 20 years ago (continued) 5.Fuel Management 6.Personnel Management 7.Asset Management 8.Parts Management (stock turn time, fill ratio etc.) 9.Motor-pool Management

7. Fleet Management as we know it today Fleet management as we know it today 1.Public scrutiny 2.Reduced budgets 3.High Attrition rates 4.Technological changes

8. Fleet Management as we know it today Fleet management as we know it today (continued) 5.Political (higher expectations with less) 6.Longer lifecycle expected 7.Continuous changes 8.Increased cost (fuel, tires, parts, materials) 9.Outsourcing

9. Transition How do we make the transition into the new era of Fleet Management? Focus on your organizations most important goal! Don’t lose sight of what is important to you as a fleet operation Narrow the focus (direct labor, vehicle turn time etc.) Create lead measures that influence the outcome of your goals Keep track, measure Make sure everyone is held accountable for their actions

10. Value of Fleet Organization Moving the fleet machine forward Make the rounds in the organization and let others know the value of the fleet organization. This includes knowing all key players such as City Manager, counsel members etc. Emphasize your subject matter expertise

11. Industry Best Practices Fleet Machine (continued) Continuously look at fleet best practices and start to put these down in writing. Fleet Documents http://www.government-fleet.com/Documents/List.aspx

12. Fleet Accomplishments Platform to others in your organization on fleets accomplishments, include subordinates Fleet Machine (continued)

13. Strategic Planning & Implementation Include staff in your planning, let them realize their contributions to the organization City of Tempe initiated 4D’s to isolate what we could work on to improve our operations. All employees were included. Fleet Machine (continued)

14. City of Tempe Fleet Op Syst Operating System Overview: 4 Disciplines of Execution Public Works/Fleet Services Behaviors: 1. Focus on the Wildly Important Goals (WIG’s) 2. Act on Lead Measures 3. Keep a Compelling Scoreboard 4. Create a Cadence of Accountability Terminal Objectives: Change the organizational culture from one of reactive to proactive. Establish clearly understood goals throughout fleet services Align fleet objectives with PW-Cities goals (again, gains buy in from City officials in what fleet is doing) City of Tempe’s Fleet Operating System

15. Fleet Services Wildly Important Goal (WIG) 1.Achieve status that leads (beat) other Valley cities within “The 100 Best Fleets in North America” designation by 6/30/2012. Initial Top 100 packet submitted April 15, 2011 for baseline

16. 100 Best Goals 1)Accountability 2)Uses of Technology and Information 3)Collaboration 4)Creativity 5)Celebration 6) Evidence of a High Trust Culture 7)Performance Recognition 8)Doing it Right the First Time (DIRFT) 9)Quick efficient turn around 10)Competitive Pricing 11)Staff Development 12)Resource Stewardship City of Tempe Fleet Top 100 Best Goals

17. Accountability Team Fleet Services: Accountability Team 100 best Fleet criteria: “The fleet operation must have a published list of the measures they use to document performance and progress toward objectives.”

18. Lead Measures Tracking productivity weekly Clocking in procedures (define what is direct/indirect) Time evaluation = time on task (expected time for job) Individual productivity Overall team productivity Accountability Team: lead measures

19. Team Commitments Parts room inventory reports (fast moving parts, fill ratio, etc.) PM scheduling calendar Mapping out the down line Standardized procedures for clocking time Inventory checklist for road ranger Rover time sheets

20. Pinpoint Industry Standards Productivity based on time charged to work order 2080 work hours in a year Take out: vacation, holidays, training, sick time, furlough, etc. 1415 hrs. / 2080 hrs. = 68% Tempe = 70%+ Productivity: Industry Standard

21. Scoreboard Productivity: Individual

22. Scoreboard

23. Quick and Efficient Team 100 best Fleet criteria: “Programs must be in place to measure repair turnaround accurately and documented.” Fleet Services: Quick and efficient Turnaround

24. Define the Lead Measure WIG: Raise PM turn time compliance from 82% to 95% by July 29 th 2011 Measure Scheduled & Unscheduled Preventative Maintenance (PM’s) turn time What is a PM? 85 point checklist defines Fleet Services: Quick and efficient Turnaround Team

25. Q & E Lead Measures Time on task Are indirect times calculated in (waiting parts, lunch time, break etc.) Scheduling PMs

26. What is included in data? Fleet is currently tracking light duty PMs both scheduled and unscheduled 628 light duty vehicles in Tempe’s fleet This accounts for 60% of the entire fleet Industry standard – 2 hours Tempe Fleet – 1.5 hours Quick and Efficient Turnaround Team (continued)

27. Q & E Scoreboard Quick & Efficient Scoreboard: WIG: Raise PM time compliance from 82% to 95% by July 29 th 2011

28. DIRFT Fleet Services: Doing It Right the First Time Team – D.I.R.F.T. 100 best Fleet criteria: “There must be a metric in place that is regularly measured and reviewed to determine how often equipment is returned to shop for rework.” An aggressive program to minimize trips to the repair facility must be in place.

29. Team’s important goal WIG: Reduce the percentage of repeat repairs of the total work order jobs per fiscal year from 5% to below 2% by 6-30-2011 X to Y by When X=5% Y=2% by 6-30-2011 Doing It Right the First Time Team: WIG

30. Do it Right Strategy How did we come up with the 5%? –Sampled work orders for a baseline –Investigated work order history for every job Time consuming process –Use Fleet M4 Software Streamlined process Doing It Right the First Time Team: Strategy

31. Reason for Repeat Repairs Defective part Improper installation Wrong part installed Misdiagnosis Time frame since last repair Vendor repair insufficient Doing It Right the First Time Team: Identify Possible Reasons for Repeat Repairs

32. Lead Measures 1.Enter data and track it 2.Clean library 3.Create wish list of tools 4.Training 5.Contact other Fleets 7.Create and implement an aggressive program to minimize trips to the repair facility. Doing It Right the First Time Team: Leads and Individual Commitments

33. DIRFT Scoreboard Doing It Right the First Time Team: Scoreboard

34. City of Tempe 4D’s Op Syst. Summary Goal Top 100 by 6/30/2012 Accountability (Maintenance Mode) Celebration (Pipeline) Creativity (Pipeline) Collaboration (Pipeline) Technology Implementation (Pipeline) Resource Development (Pipeline) Competitive Pricing (Pipeline) Quick & Efficient (Maintenance Mode) Do it right the First time (Maintenance Mode) Performance Recognition (Pipeline) Evidence of High Trust Culture (Pipeline) Staff Development (Working)

35. Accountability Team’s Next WIG

36. Fleet Summary Make sure you have the support of the city staff in your organization Work daily on the fleet best practices within your fleet operation Measure your achievements Find a process that works for your organization (4DX, etc..) Goals on teams overlap and are self assisting.

37. Fleet Summary Ensure you highlight fleet accomplishments to the organization Be persistent and seek out those in different departments so they know who you are and what you are about Include staff in planning Ensure to work on succession plan

38. Fleet Management Questions?