unleash the power of prediction with ropa+
DESCRIPTION
With today's capital and operating budget pressures, effectively communicating past success is important, but to continue to thrive, you must be able to look into the future. What if you had the tools to... Forecast life cycles, capital needs, and facilities risks? Create operational and investment goals and continually track performance? Re-balance your facility strategy and make mid-course corrections to become a "Best in Class" performer? To give you these tools, Sightlines proudly introduces the next evolution of our facilities benchmarking and analysis service: ROPA+TRANSCRIPT
Wheaton College (MA)Whitworth University
Widener UniversityWilkes UniversityWilliams College
Worcester Polytechnic InstituteWorcester State College
Wright State UniversityXavier University
Yeshiva UniversityYoungstown State University
Unleash the Power of Prediction With ROPA+
Jim Kadamus – Vice PresidentTed Kail – Senior Director
February 2014
Today’s Agenda
The Sightlines Story & What’s New
ROPA + Overview – Discovery, Prediction, Performance
ROPA+ Prediction & Performance Examples
Sightlines’ New Member Portal
Questions & Discussion
2
The Sightlines Story
2000
Founded in 2000 with 6 Institutions and 3 Employees
Return on Physical Assets (ROPAsm)
Founded in 2000 with 6 Institutions and 3 Employees
Return on Physical Assets (ROPAsm)
Launch Integrated Capital Planning
Services
Launch Integrated Capital Planning
Services
Acquisition of Pacific Partners Consulting Group (PPCG) –
Capital Renewal Service
Acquisition of Pacific Partners Consulting Group (PPCG) –
Capital Renewal Service
New Member Website
New Member Website
Introduction of ROPA+• Discovery• Prediction• Performance
Introduction of ROPA+• Discovery• Prediction• Performance
Launch of GoGreenServices &
Partnership with CACP
Launch of GoGreenServices &
Partnership with CACP Database of 1
Billion GSFDatabase of 1
Billion GSF
2004 2008 2012 2014
Serving the Nation’s Leading Institutions:• 19 of the Top 25 Colleges*• 17 of the Top 25 Universities*• Flagship Public Universities in 32 States
Sightlines is proud to announce that:• 450 colleges, universities and K-12 institutions are Sightlines
clients including over 300 ROPA members.• 93% of ROPA members renewed in 2013• 57 institutions became Sightlines members in 2013
Sightlines is proud to announce that:• 450 colleges, universities and K-12 institutions are Sightlines
clients including over 300 ROPA members.• 93% of ROPA members renewed in 2013• 57 institutions became Sightlines members in 2013
* U.S. News 2014 Rankings
3
Discovery Provides Vocabulary & BenchmarkingThe Return on Physical Assets – ROPASM
Asset Value Change
The annual investment needed to ensure buildings will properly perform and reach their useful life “Keep-Up Costs”
AnnualStewardship
The accumulated backlog of repair /modernization needs and the definition of resource capacity to correct them “Catch-Up Costs”
Asset Reinvestment
The effectiveness of the facilities operating budget, staffing, supervision, and energy management
OperationalEffectiveness
The measure of service process, the maintenance quality of space and systems, and the customers opinion of service delivery
Service
Operations Success
4
Discovery Presents the Campus Story
Annual Stewardship FallsFailures & operational demands increaseCustomer Satisfaction decreasesBacklog of need increases
Increasing Annual StewardshipDecreasing operational costsIncreased customer satisfactionBacklog declines
5
Significant Pressures Facing Higher Education
Decrease in State Budgets
Desire to keep tuition stable
Increasing student/faculty expectations
Become more transparent and accountable
Increasing deferred maintenance with limited capital & operational resources
Building age demographics
6
0
20,000,000
40,000,000
60,000,000
80,000,000
100,000,000
120,000,000
140,000,000
Gro
ss S
quar
e Fe
et
Higher Education Constructed Space - 1.3 Billion GSF(GSF built from 1880 to present)
Thought Leadership in Higher Education
How does this impact current and future capital investment needs and influence operational performance?
7
Phas
e 1:
Dis
cove
ry Base Data Trends &
Benchmarking Vocabulary Facility
Relationships
Phas
e 2:
Pr
edic
tion
Phas
e 2:
Pr
edic
tion
Predicting Capital Needs
Understanding Facility Risk
Identify Future Operating Targets
Phas
e 3:
Pe
rfor
man
cePh
ase
3:
Perf
orm
ance
Track Performance vs. “Best In Class” institutions
Highlight progress towards set goals
Introducing the Phases of ROPA+
Discovery Annual Updated
Prediction Annual Updated
8
Releasing the Power of the Sightlines Database
9
Life Cycle Data on 220 Campuses
“Making Prediction Possible”
• Life cycle data for 15 sub-systems on over 300 million GSF
• Building type and sub-system project costs on over 5,000 buildings
1.3 Billion GSF of Higher Education
Facility Information“Measuring Performance Over
Time”
• Operating Budget Costs• Planned Maintenance• Staffing Levels• Work Order Data• Age Profiles• Energy Cost/Consumption• Capital Projects
$0
$10
$20
$30
$40
$50
$60
$70
$80
Act
ual I
nves
tmen
t (M
illio
ns)
Current Investments vs. Future Needs
Annual Stewardship Asset Reinvestment
High RiskMedium RiskLow Risk
ROPA+Predicting Future Capital Needs
Releasing the Power of Prediction
Value: Risk profile of future capital
investment needs Capital Execution strategy on the
timing of investments
10
Life Cycle Data on 220 Campuses
“Making Prediction Possible”
• Life cycle data for 15 sub-systems on over 300 million GSF
• Building type and sub-system project costs on over 5,000 buildings
Releasing the Power of Performance
-100%
-50%
0%
50%
100%
150%
200%
250%
300%
350%
400%
$0.00 $0.50 $1.00 $1.50
3 Ye
ar %
Cha
nge
$/GSF
Planned Maintenance Database
Best In Class Institutions
My Campus
1.3 Billion GSF of Higher Education
Facility Information“Measuring Performance Over
Time”
• Operating Budget Costs• Planned Maintenance• Staffing Levels• Work Order Data• Age Profiles• Energy Cost/Consumption• Capital Projects
Value: Identification of Best in Class
Institutions Track performance vs. future goals
instead of historic trends
11
ROPA+Prediction Examples
Backlog
Deferred Maintenance
ROPA+ Prediction: Changing the Conversation
13
50%50%
Backlog/DM Renewal/Life Cycle NeedsRenewal/Life Cycle
Needs
Presenting the Complete Story
Why Backlog Doesn’t Tell the Full Story
$125M
$0
$20
$40
$60
$80
$100
$120
$140
2006 Backlog
Tota
l Dol
lars
($ in
Mill
ions
)
2006 Backlog
$125M
$0
$20
$40
$60
$80
$100
$120
$140
7 Year Capital Investment
Tota
l Dol
lars
($ in
Mill
ions
)
Total 7 Year Capital Investment
$130M
$0
$20
$40
$60
$80
$100
$120
$140
2013 Backlog
Tota
l Dol
lars
($ in
Mill
ions
)
2013 Backlog
14
$0
$50,000,000
$100,000,000
$150,000,000
$200,000,000
$250,000,000
$300,000,000
2006 InitialBacklog
2007 2008 2009 2010 2011 2012 2013 TotalBacklog if
NoInvestment
Difference CurrentBacklog
2013
Tota
l Dol
lars
Comparing 2006 Backlog With the 2013 Backlog
15
ROPA+ Prediction: Presenting the Complete Picture
Investment Impact
ROPA+ Prediction: Highlights Risk
$228
$-
$50
$100
$150
$200
$250
Asset ReinvestmentBacklog
Tota
l Dol
lars
(Mill
ions
)
$88
$39
$102
$0
$50
$100
$150
$200
$250
Total 10 Year Need
Tota
l Dol
lars
(Mill
ions
)
Discovery(Asset Reinvestment)
Discovery(Asset Reinvestment)
Prediction(Capital Risk)
Requires additional data above the current Discovery process
16
ROPA+ Prediction: Identifies an Execution Strategy
$228
$-
$50
$100
$150
$200
$250
Asset ReinvestmentBacklog
Tota
l Dol
lars
(Mill
ions
)
$88
$39
$102
$0
$50
$100
$150
$200
$250
Total 10 Year Need
Tota
l Dol
lars
(Mill
ions
)
Prediction(Capital Risk)
Requires additional data above the current Discovery process
17
$0
$5
$10
$15
$20
$25
$30
Tota
l Dol
lars
(Mill
ions
)
Prediction (10 Year Capital Risk)
Discovery(Asset Reinvestment)
Discovery(Asset Reinvestment)
ROPA+ Prediction: Needs vs. Investment Capacity
$0
$5
$10
$15
$20
$25
$30
Tota
l Dol
lars
(Mill
ions
)
10 Year Total Capital Need by Year
$88
$150
$39
$102
$0
$50
$100
$150
$200
$250
Total 10 YearNeed
ProjectedInvestmentCapacity
Tota
l Dol
lars
(Mill
ions
)
10 Year Total Capital Need & Capacity
18
ROPA+ Prediction: Scenario #1 – Fixed Funding Approach
$0
$5
$10
$15
$20
$25
$30
Tota
l Dol
lars
(Mill
ions
)
10 Year Total Capital Need by Year
19
$88
$150
$39
$102
$0
$50
$100
$150
$200
$250
Total 10 YearNeed
ProjectedInvestmentCapacity
Tota
l Dol
lars
(Mill
ions
)
10 Year Total Capital Need & Capacity
ROPA+ Prediction: Scenario #2 - Shifting Investment Mix
$0
$5
$10
$15
$20
$25
$30
Tota
l Dol
lars
(Mill
ions
)
10 Year Total Capital Need by Year
20
$88
$150
$39
$102
$0
$50
$100
$150
$200
$250
Total 10 YearNeed
ProjectedInvestmentCapacity
Tota
l Dol
lars
(Mill
ions
)
10 Year Total Capital Need & Capacity
$88
$150
$39
$102
$0
$50
$100
$150
$200
$250
Total 10 YearNeed
ProjectedInvestmentCapacity
Tota
l Dol
lars
(Mill
ions
)
10 Year Total Capital Need & Capacity
$0
$5
$10
$15
$20
$25
$30
Tota
l Dol
lars
(Mill
ions
)
10 Year Total Capital Need by Year
21
ROPA+ Prediction: Scenario #3 – Capital Campaign/Bond
Key Takeaways – Value of Prediction
Capital Planning tool to predict capital investment levels and understanding future risk
Provides an execution strategy for capital investment funding at your campus
Highlights the impact of various investment scenarios over the next 10 years
22
ROPA+Performance Examples
ROPA+ Performance: Tracking Progress & Identifying Goals
24
Track Performance
Discuss Future Goals & Areas of
Focus
Set Targets to Achieve Goals
Identify Best in Class Institutions
Planned Maintenance – Historic Analysis
$0.00
$0.05
$0.10
$0.15
$0.20
$0.25
$0.30
$0.35
$0.40
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
$ pe
r GSF
Planned Maintenance
Planned Maintenance
25
Scatter plot is normalized for regional costs
-100%
-50%
0%
50%
100%
150%
200%
250%
300%
350%
400%
$0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40
3 Ye
ar %
Cha
nge
$/GSF
Sightlines Planned Maintenance Database
ROPA+ Planned Maintenance – Best in Class
Best in Class Institutions
My Campus
Peer Institutions
26
Scatter plot is normalized for regional costs
-100%
-50%
0%
50%
100%
150%
200%
250%
300%
350%
400%
$0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40
3 Ye
ar %
Cha
nge
$/GSF
Sightlines Planned Maintenance Database
ROPA+ Planned Maintenance – Best in Class
Best in Class Institutions
My Campus
Peer Institutions
Best in Class Target
27
Scatter plot is normalized for regional costs
-100%
-50%
0%
50%
100%
150%
200%
250%
300%
350%
400%
$0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40
3 Ye
ar %
Cha
nge
$/GSF
Sightlines Planned Maintenance Database
ROPA+ Planned Maintenance – Best in Class
Best in Class Institutions
My Campus
Peer Institutions
2014 Target – Reach Peer Institutions
28
Scatter plot is normalized for regional costs
-100%
-50%
0%
50%
100%
150%
200%
250%
300%
350%
400%
$0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40
3 Ye
ar %
Cha
nge
$/GSF
Sightlines Planned Maintenance Database
ROPA+ Planned Maintenance – Best in Class
Best in Class Institutions
My Campus
Peer Institutions
2014 Target – Reach Peer Institutions
2015 Target
29
Scatter plot is normalized for regional costs
-100%
-50%
0%
50%
100%
150%
200%
250%
300%
350%
400%
$0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40
3 Ye
ar %
Cha
nge
$/GSF
Sightlines Planned Maintenance Database
ROPA+ Planned Maintenance – Best in Class
Best in Class Institutions
My Campus
Peer Institutions
2014 Target – Reach Peer Institutions
2015 Target
30
Scatter plot is normalized for regional costs
-100%
-50%
0%
50%
100%
150%
200%
250%
300%
350%
400%
$0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40
3 Ye
ar %
Cha
nge
$/GSF
Sightlines Planned Maintenance Database
ROPA+ Planned Maintenance – Best in Class
Best in Class Institutions
My Campus
Peer Institutions
2014 Target – Reach Peer Institutions
2015 Target
2016 Target
31
Key Takeaways – Value of Performance
Highlight Best in Class institutions to help inform future goals
Measure performance vs. goals instead of historic trends
Process to identify future goals in order to track and report performance
Integrate performance dashboards with Sightlines’ New Member Portal
32
Sightlines’ New Member Portal
Sightlines’ New Member PortalIt’s time to get more from your data
34
More SupportInformed with live notification to your data
More AccessCreate customizeddashboard featuring the metrics most important to youSeamlessly benchmark against 300 member institutions
More ContextMy Story feature presents Sightlines key findings as an easy to digest narrative
ROPA+ Members Get Even More…More control than ever before
35
More ForesightLeverage predictive analytics to anticipate facilities’ lifecycles and accurately track performance
More DataGo deeper for an even more detailed story, drilling down into highly granular datasets and measuring progress toward key goals
More CustomizationBuild and customize your own benchmarks
Changing the Conversation with ROPA+
PredictionCapital Planning tool to predict capital investment levels and understanding future riskProvides an execution strategy for capital investment funding at your campusHighlights the impact of various investment scenarios over the next 10 years
PerformanceProcess to identify future goals in order to track progressMeasure performance vs. goals instead of historic trendsIdentification of Best in Class institutions
New Member PortalMore customization with building your own benchmarksMore data with drilling into the details behind your analysisMore context with the campus story highlighting the key points from the ROPA+ analysis
36
Questions & Discussion
For more information regarding ROPA+ please contact your regional account executive or you can reach us at 203-682-4950 [email protected]