A new approach to Service Delivery Strategic Direction: Enhancing Life and Liveability Relationship Strategy: Customer and Stakeholder Value Propositions Service Delivery Strategy: Customer Value Propositions, service offerings, capabilities and change Asset Management Strategy: Service levels, operations PROJECTS VISION BUSINESS MODEL OPERATING MODEL ? ?
Melbourne Water Assets Port Phillip Bay and Western Port Tidal gates - 8 waterways 8,400km channels 677km retarding basins – 150 underground drains 1,463km levee banks 193km pumping stations - 22 Regional (MWC) Local (Councils) wetlands - 168 litter traps – 53 sediment traps – 120 l
Waterways Group Functions River Health Water Quality Drainage Assets Sustainable Development Managing Flooding Community and Stakeholder Interaction
Waterways Strategies and Guidelines Inform or set Levels of Service: Waterways Operating Charter Healthy Waterways Strategy Stormwater Strategy Land Development Manual Shared Pathway Guidelines Constructed Waterway Guidelines Setback Guidelines Crossing Guidelines Vegetation Management Standards/Templates
SAMPs - New Approach for Waterway Assets Strategic Asset Management Plans (SAMPs) for Waterway Assets Defines waterways and drainage assets Defines an asset hierarchy Assigns a Level of Service for these assets for different functions, e.g. hydraulics Determines the risk of this Level of Service not being met Planning and work is focused where risk is highest We still need individual strategies and documents but we need an asset-based document that gives clear understanding of our LOS
How is it implemented? Four Key Elements: The Level of Service driven by customer needs and our obligations, e.g. Design ARI for a drainage channel Asset performance and condition data are used to monitor performance towards delivering the level of service, e.g. channel condition assessment, modelling and monitoring. This data is turned into information about risk, e.g. what the risk of not meeting the level of service How you plan and do work to create, improve or enhance an asset is driven by this risk, e.g. managing the risk
Setting a Level of Service: What are we considering? Legislative obligations Value to the community Current Strategies and Guidelines
Its all about the customers… Waterways & Drainage Charge customers Office of Living Victoria Local Government Water Retailers
How MW works with Municipalities Planning of regional drainage systems to ensure new urban development meets appropriate standards of flood protection and environmental performance Maintenance of waterways and drainage assets and agreements to clarify roles Assessment of planning permit application referrals to subdivide land or develop flood affected land Assessment of permit applications to build over or adjacent to our assets, including pathways and other infrastructure
What could we do better? Clearer communication on processes Streamline maintenance agreements Establish formal communication channels to reduce impacts of staff turnover New Asset Management Information System will make data more accurate & transparent Agree Level of Service with customers
What’s the Plan? Clearly specified Level of Service for a section of Waterway or wetland, or other asset that is consistently applied throughout the life of service/asset and across all Waterways teams Greater alignment between customer value propositions and asset performance Condition data that informs management and helps identify where risk is greatest Visibility of all our asset data and works Improvements to process
How does it all fit together Strategic Direction Service Delivery Strategy Relationship Strategy Environmental Stewardship People and Safety Strategy Financial Sustainability Strategy Asset Management
New Business Model….outcomes What does this mean? Integrated water management Liveability Environmental Stewardship Asset value maximisation Business process excellence Enterprise performance metrics and measurement Asset management First contact resolution Tailored interactions Transparent and timely decisions Data Core services are our corner stone We can deliver more value Reputation is our share price Delivering operational excellence for our core services Optimising the value created through new services Improving customer interactions Focus Areas
SUMMARY Intro - Strategic Direction: Enhancing Life and Liveability. MW and the 38 Councils in our operating area share customers. Our combined assets deliver services to customers. Not interested in who delivers services, just the outcome. Council understands this better than us. Can learn from you. We have a common interest. How do Melbourne Water deal with Asset Management along waterways? What assets - Map of op area, List of assets (Waterways & Drains) Our Current approach – HWS, SWS, Development Manual, Apply AM principles differently to the rest of the business. Common approach needed. Current initiatives – Classification and hierachy, Clarifying how we express LOS, greater alignment with water and sewerage approach AMIS – driving a major rethink. 1:15 yr opportunity. Hansen to Maximo. Full asset lifecycle thinking. Reworking our business process. New system being designed to support the processes. Huge amount of work. But system only as good as data in and whether people use system. Change Mgt built in and critcal to success. Best practice of shared asset management with Municipalities Developing a new Asset Mgt Strategy – customer centric asset mgt. We manage different parts of the same systems – SW, open space - LoS – agreed with customers (Councils, ratepayers). Better consultation How can Melbourne Water and municipalities better work together Share recent Accenture Work (customer centric), CVP’s, Relationship & Customer Collaborative Planning (works programs), not just reporting (Council updates) Simplified customer experience – looking at different options, March 2014
What is the role of an Asset Manager! General responsibilities include, but are not limited to: Understand the function of the asset (or system). Understand performance requirements relating to the asset. Familiarity with relevant legislation that impinges upon the operation of the asset. Understand systems put in place to ensure compliance with such legislation. Facilitation of risk identification and assessment processes. Facilitation of asset condition assessments. Possess a clear understanding of the operating context of the asset. Facilitate decision-making processes to determine appropriate management regimes Identification and prioritisation of works to ensure continued delivery of required LoS or increase the efficiency of operating assets.
Our Changing Business Model Optimising the value created through new services Improving customer interactions Delivering operational excellence for our core services Liveability Environmental Stewardship Asset Value Maximisation Integrated Water Management