PECO Energy Real Estate

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PECO Energy Real Estate Facilities

• Rebuilding an Organization
• 2004 IFMA Utilities Council Spring Meeting
• San Diego

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Topics Of Discussion

• Company Background
• Previous Situation
• Cause for Action
• Project Description
• Project Implementation
• Lessons Learned
• Q A

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Company Description

• Unit of Exelon Energy Delivery
• Service territory 2,100 square miles
• City of Philadelphia (electric only)
• 5 Surrounding counties (electric gas)
• Customers
• 1.5 million electric
• 425,000 gas

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Changing Organizational Structure

• Mid-1990s
• Facilities organization
• Real Estate organization
• 1995 1998
• Facilities reported directly to TD Operations
• Central facilities organization (non-operational
  sites)
• Real Estate organization
• 1998 - 2000
• Central Facilities organization (non-operational
  sites)
• Real Estate Facilities organization
  (operational sites)
• Reorganization 2000 (Merger)
• Integrated Real Estate Facilities East (PECO)
• Integrated Real Estate Facilities West (ComEd)
• Consolidation 2003
• Single Exelon Real Estate Facilities
  organization

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Cause for Action

• Pressures on Organization
• Outsourcing
• Employee Skill Sets
• Employee Performance
• Merger w/ ComEd
• Cost-cutting Requirements

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Assessment Gap Analysis

• Prepared Distributed an RFP for Assessment of
  Maintenance Reliability Practices
• Organizational Structure
• Maintenance Staff Productivity
• CMMS Needs Evaluation
• Maintenance Data Quality
• Equipment
• Preventative Maintenance
• Bill of Materials (BOM)
• Predictive Maintenance (PdM) Evaluation
• Maintenance Work Processes
• Maintenance Material Needs
• Customer Service
• Key Performance Metrics
• Successful Vendor
• Management Resources Group, Inc. (MRG)
• Assessment Consisted of the Following
• Interviews with workforce and management
• Site visits
• Vibration survey

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Gap Analysis

• Assessment identified gaps in the following areas
  of maintenance operations
• Maintenance organization staff
• Computerized Maintenance Management System (CMMS)
• Maintenance data
• PdM technologies
• Maintenance processes
• Maintenance materials
• Sustainability

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Maintenance Organization Staff Assessment

• Findings
• Varied skill levels
• Improper use of skills
• Specialized skills
• Attitude
• Supervisory techniques vary widely
• High supervisory management turnover

• Recommendations
• Identify core skills needs
• Evaluate current positions eliminate specialty
  jobs
• Create new positions based on needs
• Evaluate workforce skills and correct
  deficiencies
• Re-staff with required skills
• Lower supervisory management turnover
• Create Scheduler/Planner positions

GOAL Fine tune the organization and reduce
unnecessary re-work to create more available
mechanic wrench time
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CMMS Assessment

• Findings
• CMMS is not in use
• Several previous attempts to install failed
• Varied administrative processes in use to
  compensate for lack of CMMS

• Recommendations
• Select CMMS software vendor
• Prepare implementation project plan
• Implement project plan

GOAL Decrease administrative diversity,
increase administrative efficiency, and provide
focus for reliability improvements thereby
increasing mechanic wrench time
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Maintenance Data Assessment

• Findings
• Lack of comprehensive Master Equipment List (MEL)
• Poor Preventative Maintenance data
• Limited PM schedules
• No PM job plans
• Non-existent spare parts lists and manuals
• No history of work performed

• Recommendations
• Survey all sites to create accurate MEL
• Physically tag barcode equipment
• Identify barcode locations
• Perform equipment criticality assessment
• Locate organize equipment manuals
• Create PM schedules job plans
• Create equipment BOMs
• Enter data into CMMS tables

GOAL Have maintenance data available when
needed and provide the PM program foundation
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Data Analysis Report
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PdM Technologies Assessment

• Findings
• No PdM technologies being utilized
• 55 of sampled rotating machinery running in
  alarm condition
• 19 of sampled electrical equipment in alarm
  condition

• Recommendations
• Begin a contracted PdM program
• Start with vibration and infrared
• Build predictive routes after Equipment
  Criticality Assessment and PM Optimization
• Explore other technologies if appropriate (i.e.
  oil analysis, motor circuit evaluation)

GOAL The ability to predict equipment failure
prior to the event. Allow for planning and
scheduling the repair at the convenience of the
customer instead of in breakdown mode.
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Vibration Analysis Report
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Thermography Analysis Report
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Maintenance Processes Assessment

• Findings
• Analyzed following processes
• Work Request
• Planning
• Scheduling
• Work Execution
• Work Completion
• Emergency Work
• PM PdM Processes
• Too many work request/completion methods
• No formal planning/scheduling
• Too many starts/stops

• Recommendations
• Hold work process strategy session
• Prepare work flow diagrams
• Prepare written work flow procedures
• Implement call center
• Create Planner/Scheduler role

GOAL Create more available mechanic wrench time
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Maintenance Materials Assessment

• Findings
• 3 main methods to obtain material
• P-Cards (very popular)
• Facility stock
• Operations warehouses
• Very limited material delivery

• Recommendations
• Establish vendor material delivery
• Design and implement P-Card controls
• After BOM completion, select items to inventory
  in storeroom(s)

GOAL Create more available mechanic wrench time
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Sustainability Assessment

• Findings
• No current method
• Historical personnel turnovers procedure
  turnovers have been too numerous
• Organizational/political roadblocks
• Lack of senior management support

• Recommendations
• Assign Reliability Coordinator role
• Monitor work process compliance
• Monitor CMMS data upkeep
• Monitor historical CMMS data
• Prepare reliability focus reports
• Publish reliability team successes

GOAL Keep the Continuous Improvement process
continuous
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Project Description

• Preventative Predictive Maintenance Model
• Implementation of Computerized Maintenance
  Management System
• Workforce Enhancements

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Preventative Predictive Maintenance Model

• Major Equipment Condition Assessment
• Bring to Green Operating Condition
• Repair recommendations
• Vendor qualification
• Repairs
• Verification
• PM Development
• PdM Development
• Vibration
• Installation of external sensors
• Thermography

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CMMS Implementation

• System Selection
• Datastream
• Maximo
• PassPort
• Implementation
• Server/software installation
• Work process diagrams
• Table population (equipment, locations, labor,
  etc.)
• Critical equipment assessment
• Development of job plans
• Development of routes

• Development of BOMs
• Custom reports generation
• Handheld application
• Training
• Mechanics
• Hand-helds
• Planner/Scheduler
• System Administrator

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CMMS Implementation (cont.)

• 7,035 Equipment Records
• 15,276 Location Records
• 2,768 Preventative Maintenance Records
• 1,660 Job Plans
• 30,108 Work Orders Since 1/1/03
• 8,273 Work Orders Since 1/1/04

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Workforce Enhancements

• Interviews with Employees
• New Supervision
• Development of New Positions
• Old Environment
• Facilities Mechanics
• All Class A rated regardless of skill set
• Specialty Mechanics
• Elevators Cranes
• HVAC
• New Environment
• General Facilities Mechanic
• Preventative Maintenance Technician
• High-Rise PM Technician
• Planner / Schedulers

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Position Descriptions

• General Facilities Mechanic
• Minimum Education and Experience
• High school diploma or equivalent
• 3-5 years relevant experience
• Licenses / Certifications Required
• Valid drivers license
• Practical Knowledge Levels
• Basic plumbing hydraulic systems
• Electrical (up to 277 V single phase)
• General carpentry
• Minor HVAC work
• Air compressors (up to 3 hp)
• Fire alarm panels
• Fences, gates, and grounds
• Computer systems

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Position Descriptions (cont.)

• Preventative Maintenance Technician
• Minimum Education and Experience
• High school diploma or equivalent
• 5 or more years relevant experience
• Licenses / Certifications Required
• Valid drivers license
• Universal refrigerant reclaim storage
  certification (within 1 year)
• Practical Knowledge Levels
• Same as GFM plus
• Plumbing all commercial requirements
• Electrical (up to 480 V three phase)
• HVAC maintenance repair
• Air compressors (up to 5 hp)
• Vacuum gas systems
• Chemical systems general maintenance repair
• Kitchen equipment general maintenance repair

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Position Descriptions (cont.)

• High-Rise PM Technician
• Minimum Education and Experience
• High school diploma or equivalent
• 5 or more years relevant experience
• Licenses / Certifications Required
• Valid drivers license
• Appropriate license for operation of boilers
  and/or HVAC equipment
• Universal refrigerant reclaim storage
  certification (within 6 months)
• Practical Knowledge Levels
• Same as PMT plus
• HVAC specialty work
• Air compressors over 5 hp
• High-Rise Building Operator experience

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Workforce Enhancements

• Selection Process
• 2 Choices
• Elect to separate w/ enhanced merger separation
  package
• Self-nominate for any of the available positions
  (must meet basic requirements)
• On-site training to be provided during company
  time (approx. 15 days) to existing employees
• Outside agency developed 3 customized classes
  (based on job description)
• Multiple classes needed to perform day-to-day
  work
• Testing following training 2 attempts to pass
• Same company developed test (written hands-on)
• Different test for each of the 3 positions
• Test had to be validated by third party (PhD)
• Outside hires must pass test as condition of
  employment
• Over 75 candidates tested to fill 16 positions

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Other Initiatives

• Lock Out Tag Out Procedure
• OSHA Standard 29 CFR 1910.147 The control of
  hazardous energy (lockout/tagout)
• Circuit Tracing Labeling
• 3004 switches, distribution panels,
  transformers
• Fed from, feed to labels
• Single-line diagrams
• Computer Aided Facilities Management (CAFM)
  Implementation
• Aperture
• Roof Management Program
• Summary Report by Region (including switchgear
  buildings in substations)
• Condition
• Repair Budget Next Year
• Repair Budget through 2006
• Replacement Year
• Roof Detail Reports
• Pictures
• Scale Drawing

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Sample Roof Photos
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Lessons Learned

• PM / PdM Model
• Equipment must be in good operating condition
• Stick to the program
• Plan the work
• CMMS Implementation
• Start with good data and keep it current
• Identify an expert within the organization
• Avoid customization limit configuration changes
• Just-in-time training w/ follow-up training
• If using handheld devices, implement at startup
• Workforce Enhancement
• Work closely with Human Resources
• Document everything
• Communicate often (face-to-face whenever possible)

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Questions????