1. 2013 NPMA Fall Conference Value Through Professional Asset Management The Lifecycle of an Excess Asset at Stanford University Presented by Ivonne Bachar, CPPM CF Director, Stanford University PMO Prepared in collaboration with Stan Dunn, CPPM, Assoc. Director and Alex Perez, SPS Manager November 13, 2013

2. 2013 NPMA Fall Conference Value Through Professional Asset Management Our “City” 8,200 acres, 670 major buildings (13.1 million square feet) 5 th largest employer in Silicon Valley 11,000+ administrative staff 15,200 undergraduate and graduate students across seven schools, representing every US state and 88 other countries 1,900 professorial faculty

3. 2013 NPMA Fall Conference Value Through Professional Asset Management Property Management - Context  Systems used: SPARC, Sunflower, Oracle  Capital Threshold: $5K Sunflower broader superset of records  Excess/Disposal policy includes all items except land and buildings  A few Excess-related facts as of 8/31/13 872 open Sponsored Awards w/Property Activity Excess Requests – 2,502 Excess Item Count – 16,997 Reuse item count – 976

4. 2013 NPMA Fall Conference Value Through Professional Asset Management Surplus Property Sales Self-Funded Auxiliary 2.5 FTE Onsite sales area Store Hours: Wed 9-4, Thurs 8-12  Furniture Reuse Program In place for 4 yrs. 1 FTE Items held in off-site warehouse Inventory turnover target: 90 days Furniture Reuse Warehouse Hours: Tues 8-4, Thurs 1-4 (by appointment) Property Management – Context

5. 2013 NPMA Fall Conference Value Through Professional Asset Management Organizational Perspective 300+ Departments ~200 DPAs

6. 2013 NPMA Fall Conference Value Through Professional Asset Management Excess Process Sale or Recycle Available for Campus Reuse Collection And Assessment Agreement Transfer Department Declare Excess Custodians & DPAs PMO Surplus Sales PMO Surplus Sales PMO Note: All asset disposal requests are reviewed by PMO for any potential restrictions or other issues prior to collection approval Generate Excess or Disposition Request Final Event Retirement Financial Adjustments

7. 2013 NPMA Fall Conference Value Through Professional Asset Management Excess – Step I Department Declare Excess  Occur Daily  From any original funding source  Initiators of Excess Requests Must be authorized  DPAs  Custodians  Others, as authorized  Key Participants PMO Environmental Health & Safety PSSI  Concludes when item prepared for movement

8. 2013 NPMA Fall Conference Value Through Professional Asset Management Excess – Step II Available for Campus Reuse

9. 2013 NPMA Fall Conference Value Through Professional Asset Management Excess – Step III  Distributed Systems  Requires Authorized Access  Stewardship and Finance  Included in DPA Training  Primary Disposal Options Reuse Sale Scrap Transfers Return to Sponsor Recycle Generate Excess or Disposition Request

10. 2013 NPMA Fall Conference Value Through Professional Asset Management Excess – Step IV  Joint effort – SPS/DPAs  Planning of campus route  Handling off-campus items  Turn-around time  Assessment  Physical collection and relocation  Biohazard items handled per EH&S Policies  Resources Collection And Assessment Agreement Transfer

11. 2013 NPMA Fall Conference Value Through Professional Asset Management Excess – Step V  SPS  External Recycling Service Provider  Various Sales Methods  Customer Communications  Transfers  Primarily Cash Sales  Staff & Departmental Discounts  Listed in “Stanford Sweeteners” Sale or Recycle

12. 2013 NPMA Fall Conference Value Through Professional Asset Management Excess – Step VI  Key Participants PMO Capital Accounting ACO, PCO, Sponsor Representatives  Special sales on individual invoices  Weekly deposits  Checks and Balances in process  Crediting of Sales Proceeds  Distribution of Sales Proceeds Final Event Retirement Financial Adjustments

13. 2013 NPMA Fall Conference Value Through Professional Asset Management Transfers  Key Participants Department Personnel PMO Export Control ACO, as needed  Key points considered Asset funding source Title Status of accountable agreement Ongoing need Asset type and age Net Book Value

14. 2013 NPMA Fall Conference Value Through Professional Asset Management Campus Cleanup  Partnership with sustainability  Planning committee Representatives from PMO, LBRE, Labor Shop, PSSI, Schools Campus communications  Building and Zone Managers, DPAs, Campus Report, etc.  Initially held annually; now biannually  2013 Fall Campus Clean-up SPS collected  78 pallets of electronics and recyclable materials  ~750 Lbs. each = 58.5K lbs  825 Barcoded items

15. 2013 NPMA Fall Conference Value Through Professional Asset Management Data Security  Process Approved by Information Security Office SoM Information Technology  Secured Data Destruction Area Restricted Access Dban v 2.2.7 12-unit wipe station Tape/Drive Shredder  Shred hard drive platters; recycle balance  Campus Encryption Project in process

16. 2013 NPMA Fall Conference Value Through Professional Asset Management The significant spike in FY12 was due to the closure of the Graduate School of Business, allowing long-term access to a very large volume of high-quality furnishings, and extensive efforts to maximize reutilization.

17. 2013 NPMA Fall Conference Value Through Professional Asset Management Disposal Activity  Collection Activity Items collected by SPS personnel approx. 2.5 days/week Average of one item every 3 minutes

18. 2013 NPMA Fall Conference Value Through Professional Asset Management

19. 2013 NPMA Fall Conference Value Through Professional Asset Management FY13 Sales Origins The majority of sales involve non-capital equipment items. Most capital sales are high-dollar transactions, and reflect the majority of monies returned to departments.

20. 2013 NPMA Fall Conference Value Through Professional Asset Management Challenges  Predictability (?) of inventory  Offsite excess items Local In U.S., but not local International  Ongoing process awareness  Small number of staff  Annual break-even expectation  Move to use of “light or zero clients” for desktop computing

21. 2013 NPMA Fall Conference Value Through Professional Asset Management Q & A