TAM Guide Webinar 2: Guide Overview and Getting Started

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TAM Guide Webinar 2
Guide Overview and Getting Started

• FHWA and AASHTO Sponsored Webinar Series on the
  AASHTO Transportation Asset Management Guide A
  Focus on Implementation

• Please do not put your phone on hold.

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• November 16, 2011

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Webinar Instructors

• Matt Hardy, AASHTO (sponsor)
• Kirk Steudle, Michigan DOT
• Nastaran Saadatmand, FHWA (sponsor)
• Hyun-A Park, Spy Pond Partners, LLC (lead
  facilitator)
• Mark Gordon, AECOM
• Paul Thompson, Consultant
• Laura Wipper, Oregon DOT
• Cory Pope, Utah DOT
• Becky Burk, Maryland SHA
• Martin Kidner, Wyoming DOT
• Scott Richrath, Colorado DOT

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AASHTO Transportation Asset Management (TAM) Guide

• Provides a strategic framework for asset
  management
• Address strategic questions as transportation
  agencies manage their surface transportation
  system
• Establishes a common language for TAM practice
  and includes commonly used definitions
• Realize the most from financial resources now and
  in the future to address
• Preserving highway assets
• Providing the service expected by customers
• Focuses on approaches that an agency can take and
  use
• Lessons that come from practical experience of
  agencies that are implementing asset management
  today

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TAM Guide Webinar Series

• Webinar 1 Applying the Guide
• Overview of how the TAM Guide can help
  transportation agencies improve efficiency and
  effectiveness
• Scenarios such as Making the Case for Funding,
  Extending Asset Useful Life, and Improving
  Safety Performance
• Webinar 2 Guide Overview and Getting Started
• General overview of the entire Guide, covering
  underlying framework and each section of the
  Guide
• Strategies for using the guide including
  instructions on how an agency can get started on
  using the Guide to begin improving and/or
  implementing asset management
• Webinar 3 The Transportation Asset Management
  Plan (TAMP)
• Importance of getting an organization aligned to
  embark on an asset management improvements
  process using the TAM Guide
• Key focus on the development and use of the TAMP
• Webinar 4 Tools Techniques for Implementing
  the TAMP
• Discussion of the various management systems and
  tools and techniques described in the Guide and
  illustrations of their effective use
• Specific cases of how agencies have used
  management systems and tools and techniques
  described in the Guide

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Webinar 2 Objectives

• Providing you with an orientation on the TAM
  Guide organization
• Using the TAM Guide to help you assess where you
  are on TAM maturity
• Helping you figure out what the gaps are between
  where you are today and where you want to be in
  the future
• Developing a strategy scope for TAM
  implementation
• Setting the stage for organizational change
  needed to support asset management
• Getting an introduction to levels of service

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Webinar 2 Agenda

• TAM Guide Overview
• Chapter Contents
• TAM Assessment Tools
• Gap Analysis Tool
• Self Assessment Tool
• Defining the Scope of TAM
• Organizational Alignment
• Change and Leadership in Asset Management
• Organizational Change Frameworks Baldrige,
  Balanced Scorecard
• Performance Management Standards
• Brief Introduction to Levels of Service
• Q A and Wrap Up

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AASHTO TAM Guide Volumes 1 and 2 are Interlinked
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TAM Guide Road Map 14 Steps to Implementation
Part Two
Part One
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TAM Guide Chapter by Chapter OverviewMark
Gordon

• AECOM
• Principal Investigator, NCHRP 8-69

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Chapter by Chapter Road Map to Implementation

• Definition of TAM
• Transportation asset management is a set of
  concepts, principles, and techniques leading to a
  strategic approach to managing transportation
  infrastructure. Transportation asset management
  enables more effective resource allocation and
  utilization, based upon quality information and
  analyses, to address facility preservation,
  operation, and improvement. This concept covers a
  broad array of DOT functions, activities, and
  decisions e.g., transportation investment
  policies and priorities relationships and
  partnerships between DOTs and other public and
  private groups long-range, multimodal
  transportation planning program development for
  capital projects and for maintenance and
  operations delivery of agency programs and
  services and real-time and periodic system
  monitoring and data processing. All of these
  actions are accomplished within the limits of
  available funding.

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Implementation Steps 1 to 3 Set Direction

• Purpose of TAM
• To meet a required level of service, in the most
  cost effective manner, through the management of
  assets for present and future customers.
• (International Infrastructure Management Manual,
  NAMS, 2006)

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Implementation steps 4 to 8 Create Alignment
Management, leadership and culture
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Implementation Step 9 Develop a TAM Plan
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Implementation Step 10 Strengthen Service
Planning
Levels of Service Framework
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Implementation Step 11 Strengthen Lifecycle
Management
Example Decay Curve
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Implementation Step 12 Strengthen TAM Integration
Consolidated Performance Framework
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Implementation Steps 13-14 Strengthen Systems
and Data
TAMIS Integration Framework
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Oregon DOTs Getting Started ExperienceLaura
Wipper

• Oregon Department of Transportation
• Manager, ODOT Asset Management Integration

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Search for Best Practices
Oregon DOT Experience

• What we did
• Looking to Others - Research
• Trying it Ourselves - 2006 Asset Management Pilot
  Project
• Half-Life of Data - Performance Measure to State
  Legislature
• FACS-STIP Tool - Data Sharing
• 1R Paving Program - Using the Data

• What we learned
• Experiences of Others - Asset
  Strategic Plan
• Experiences of Ourselves -
• Less is More, Basic Inventory
• Collect Once, Use Many Times
• Value of Documentation Manuals
• Data Maintenance Critical
• Need to Make the Data Available
• Data Used for Program Decisions

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Proposed Data Collection Plan
Oregon DOT Experience

• Sustain the green
• Bridges
• Pavements
• ITS Sites
• Basic Inventory July 2008
• Bike/Ped Facilities
• Basic Inventory Oct. 2008
• Retaining Walls
• Culverts
• Traffic Barriers
• Wetland Mitigation Sites
• Traffic Structures
• Signs
• Approaches
• Lifeline Routes by Oct. 2008
• Slopes Rock Fall

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Updated Asset Management Strategic Plan
Oregon DOT Experience

• Integrated Plan
• Strategic
• Implementation
• Communication, and
• Technology Strategy
• Asset List
• Foundation to build on

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TAM Improvement Path
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TAM Gap Analysis Tool and Self
Assessment ToolPaul D. Thompson

• Paul D. Thompson
• Contributor, NCHRP 8-69

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TAM Practices Gap Analysis

• The process of continuous improvement is a
  feature of TAM at all levels of maturity
• The TAM improvement process is about closing the
  gaps, between
• What needs to be done, the desired TAM
  objectives and
• Current levels of achievement
• The gap analysis tool is tactical
• Greater level of detail than the self assessment
• Results aggregate up to 6 key areas, expanding on
  Volume 1
• More focus on TAM processes and lifecycle
  management
• Uses the maturity scale at a greater level of
  detail

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TAM Maturity Scale

• A broad characterization of agency evolution
• A way of grouping advancements that typically
  occur together
• A screening tool to identify likely next steps
• A short-hand way of classifying the audience

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TAM Maturity Scale
1. No effective support from strategy, processes,
or tools. Lack of motivation to improve.
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TAM Maturity Scale
2. Recognition of a need, and basic data
collection. Reliance on heroic effort of
individuals.
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TAM Maturity Scale
3. Shared understanding, motivation, and
coordination. Development of processes and tools.
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TAM Maturity Scale
4. Expectations and accountability drawn from
asset management strategy, processes, and tools.
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TAM Maturity Scale
5. Asset management strategies, processes, and
tools are routinely evaluated and improved.
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TAM Gap Analysis Tool
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TAM Gap Analysis Example
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Strategic Self Assessment (from Volume 1)

• Policy Goals and Objectives
• How does policy guidance benefit from improved
  asset management?
• Planning and Programming
• Do resource allocation decisions
  
  reflect good practice in
  asset
  
  management?
• Program Delivery
• Are appropriate options
  
  and management
  methods used to deliver the program?
• Information and Analysis
• Do information resources
  
  effectively support asset
  
  management policy and
  
  decisions?

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Utah DOTs Self Assessment ExperienceCory Pope

• Utah Department of Transportation
•  Systems Planning and Programming Director

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Use of a Self Assessment to Get StartedUtah DOT

• Utah DOT began its asset management efforts with
  the Self Assessment exercise in the AASHTO Asset
  Management Guide Volume I
• 48 employees reviewed a series of statements
  representing best practice and rated
• The degree to which they were consistent with
  current DOT practices
• The degree to which improvement in that area was
  desired
• After a detailed analysis of the results, the DOT
  developed a comprehensive asset management
  implementation plan

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Use of a Self Assessment to Get StartedUtah DOT
Responses to Question A6 Policy guidance on
resource allocation allows Utah DOT sufficient
flexibility to pursue a performance-base approach.
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AM Scoping, Leadership, and ChangeKirk Steudle

• Michigan Department of Transportation
•  Director
• Current AASHTO President

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Defining the Scope of TAM in Your Agency

• TAM Scope
• Which assets?
• Which actions or decision?
• Which business processes, including methods and
  forms of delivery?
• What asset management capabilities?
• What data?

• TAM Project Management
• Carefully delineate the scope of the effort
• Define and periodically update cost and resource
  estimates for effort
• Define and periodically update the project
  schedule
• Actively identify risk factors and have a plan
  for addressing risks
• Ensure that all participants and stakeholders
  have real-time access to all of the above

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Approaches to Implement Asset Management

• Many different reasons exist for why TAM
  implementation is needed in an agency
• Focusing on the one that is right for your agency
  at this time is critical for TAM success in
  delivering improved results
• The focus area that is chosen will drive the
  planning activities that will lead to a good
  Transportation Asset Management Plan (TAMP)

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Organizational Alignment Change and Leadership
in Asset Management
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Change is a Part of the AM Business Model

• Change Leadership
• Convince people of the need for and benefit of
  change
• Create a change leadership coalition
• Develop a vision of changes and strategy
• Communicate that vision regularly
• Make actions consistent with the vision
• Make sure people are involved and empowered to
  make changes consistent with the vision
• Reinforce the change effort with short-term
  successes
• Keep the focus on the change effort
• Anchor new approaches into the culture

• Plan for Change
• Assess the agency's readiness for change.
• Define a leadership structure.
• Build opportunities for collaborative review and
  revision into the timeline, keeping in mind that
  successful change is incremental.
• Permit employees to fail, learn, and move
  forward.
• Develop a communication plan, potentially using
  multiple media such as speaking, writing, video,
  training, focus groups, and electronic
  communications.
• Assess both positive and negative impact to the
  agency's processes, systems, customers, and
  staff. Develop mitigation plans for each risk.
• Develop and communicate performance measures and
  expectations.
• Find ways to let employees know how the changes
  will affect them individually.

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Building the Team Step by Step
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Organizational Change Frameworks

• Organizational change is a fundamental part of
  TAM
• Understanding and planning for the change needed
  in your organization will ensure successful TAM
  implementation
• Multiple methods and tools exist for managing
  organizational change

Six Sigma Framework
Baldrige Framework
Balanced Scorecard Framework
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Application of the Baldrige Framework at Maryland
SHABecky Burk

• Maryland State Highway Administration
• Performance Excellence Manager

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Baldrige Framework

• The Baldrige framework is based on a set of
  criteria for performance excellence, used by the
  U.S. Department of Commerce to select recipients
  of the Malcolm Baldrige National Quality Award.
  It is based on a set of core values and concepts
  which include

• Visionary leadership
• Customer-driven
• Organizational and personal learning
• Valuing employees and partners
• Agility
• Focus on the future

• Managing for innovation
• Management by fact
• Public responsibility and citizenship
• Focus on results and creating value
• Systems perspective

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Maryland SHA Baldrige Performance Management
Combined 7 Baldrige criteria into 5 Vision Areas

• Quality
• Efficiency
• Outputs

Processes
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Application of the Balanced Scorecard at Wyoming
DOTMartin Kidner

• Wyoming Department of Transportation
• State Planning Engineer

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Balanced Scorecard Framework

• The Balanced Scorecard framework focuses on the
  alignment of specific business activities with an
  organization's enterprise strategy.
• Focus is on a balanced set of performance
  areasfinancials, customers, learning, internal
  processes.
• The Balanced Scorecard is a framework used to
  balance competing needs.

• Vision is translated into measureable, annual
  objectives and performance measures.
• The workforce is engaged and helps develop
  business-unit Scorecards.
• Measurement is at the heart of the balanced
  scorecard framework.

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Wyoming DOT Balanced Scorecard
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Performance Management Standards

• Performance-based decision making is one of the
  core principles of TAM
• An agency must be able to demonstrate that they
  are making progress on established goals and
  objectives
• It must be able to
• Set goals and objectives tied to measurable
  metrics
• Make resource allocation decisions based on these
  goals and objectives and the funding available
  using the metrics to guide the decision making
• Demonstrate to its customers the results of the
  investments.

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Role of Performance Measurement in Government

• What gets measured gets done
• If you do not measure results, you cannot tell
  success from failure
• If you cannot see success, you cannot reward it
• If you cannot see success, you cannot learn from
  it
• If you cannot reward success, you are probably
  rewarding failure
• If you cannot recognize failure, you cannot
  correct it and
• If you can demonstrate results, you can win
  public support.

from Reinventing Government, by David Osborne and
Ted Gaebler
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Performance-Based Management Iterative Process
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Developing Levels of Service

• Levels of service describe what the customers
  perceive
• Not set in isolation
• All agencies have some now, in some form (e.g.
  GASB 34 Modified Approach)
• Set at different levels strategic, customer and
  technical
• All must be SMART Specific, Measurable,
  Achievable, Relevant, Timebound
• Customer levels of service should be set with
  customer input
• Start by documenting what is delivered now (the
  first-time up you can skip consultation /
  customer research)
• Pick from the full range of customer research
  tools when gathering customer input
• Customer levels of service amplify the agency
  mission,
  they must not contradict it

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Technical Levels of Service

• Take customer levels of service and convert them
  into technical language
• Technical levels of service should not stand
  alone, but support a customer level of service or
  a legislative requirement
• Used by asset managers and engineers to ensure
  that they are delivering the right things
• Describe what the technical measures are required
  to deliver the customer levels of service. E.g.
• maximum and average roughness measured in IRI
• minimum and average skid resistance
• illumination levels from street lights
• The early stages of formal TAM may require
  current technical levels of service to be
  converted into customer speak and become
  current customer levels of service

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Levels of Service Example for Sidewalks
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Maintenance Level of Servic (MLOS) at Colorado
DOTScott Richrath

• Colorado Department of Transportation
• Performance Policy Analysis Unit Manager

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Colorado DOTs Maintenance Levels of Service
(MLOS)

• CDOT uses an extensive Maintenance Levels of
  Service (MLOS) budgeting system to allocate funds
  and evaluate all maintenance activities performed
  throughout the state for a given fiscal year.
• The main objective of MLOS is to establish an
  overall target level of service while staying
  within allocated budget dollars.
• Levels of service communicate targets for
  accomplishment inside and outside the agency.
• When planned levels of service are compared to
  actual service levels accomplished, a basis of
  accountability is established.
• Relationships between levels of service and cost
  enable CDOT to evaluate the impacts of different
  funding levels, analyze tradeoffs in resource
  allocation, and monitor planned versus actual
  accomplishments against expenditures.

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CDOT Objective Meet or Exceed the Adopted
Annual Maintenance Level of Service Grade
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MLOS Guidance
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Questions and Answers
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Wrap Up

• Todays Webinar
• Orientation on the TAM Guide organization
• Know the tools available to assess where you are
  with TAM and where you want to go
• Understand the importance of leadership and
  proactively manage change
• Understand the purpose of levels of service and
  how it is applied
• Future Webinars
• Webinar 3 The Asset Management Plan (TAMP)
  (Wednesday, November 30th, 2
  4 PM EST)
• Webinar 4 Tools and Techniques for Implementing
  the TAMP (Wednesday, December 14th, 2-4 PM EST)