For many of us Labor Day signifies the beginning of the college and pro-football seasons, the last weekend of summer, and the return to school. It also means that it is time to make sure that facilities, plants and property managers have dusted off their CMMS inspection checklist for the change of seasons. But how many of you know the origins of Labor Day?
Labor Day History
The history of Labor seems to have been forgotten since its beginnings in 1882. Parades, celebrations and important political speeches have been replaced by BBQs, soccer tournaments and cleaning out the garage to find the leaf blower. However, it is important to remember that the events leading up to the establishment of a national holiday in 1894 helped establish the labor movement that has forever changed our industrial society.
The first Labor day was celebrated on September 5, 1882. It was sponsored by the Central Labor Union of NYC as nothing more than a demonstration and a picnic. Over the next decade the idea spread quickly and by 1887 New York became the first State to legislate the holiday. By early 1894 many of the industrial states had also passed State laws recognizing the holiday.
In 1894 Labor Day became a national holiday as a result of the Pullman strike in Chicago. Times were tough back then and the country was gripped in a severe economic recession. The Pullman company decided to cut wages but not reduce the rents for its workers in its company owned town. A strike by 3,000 Pullman employees quickly turned into a national crisis supported by over 250,000 workers nationwide and effectively bringing rail traffic and transportation in the U.S. to a halt.
In a decision that cost him re-election, President Grover Cleveland sent in Federal troops and US Marshals that killed 13 workers and wounded dozens more. The involvement of government troops on the behalf of industry tore the country apart. In an effort to make peace, Labor Day was signed into law 6 days after the strike ended.
"A national commission formed to study causes of the 1894 strike found Pullman's paternalism partly to blame and Pullman's company town to be "un-American". In 1898, the Illinois Supreme Court forced the Pullman Company to divest ownership in the town, which was annexed to Chicago."
Source: Wikipedia
Sadly, the U.S. Department of Labor fails to recognize the events that led to our end of summer holiday.
CMMS Seasonal Checklist
Getting back to modern day facilities management, Labor Day signifies that it is time to prepare for a change in weather by inspecting assets and making sure they are ready for the weather change. I did say weather change as I remember living in Buffalo for many years and it snowing in September. I can also vividly remember being near South Bend, Indiana, late in September and being snow bound in a hotel room.
Labor Day Inspection Checklist
The changing seasons bring to mind several things that facility managers should be preparing for. These include but are not limited to:
- Constantly inspecting roofs and storm drains for debris and leaf buildup. Without preventive maintenance clogged gutters or debris on roofs can lead to water and ice intrusion into buildings.
- Inspecting chimneys and other heating vents to ensure adequate and safe ventilation.
- Inspecting, performing maintenance and testing of HVAC/heating pumps filters and coils.
- Inspect and repair paved surfaces to protect against potholes and the damages they can cause to fleet or guest vehicles.
- Scheduling the weatherproofing of pools and spas. This is especially important for Hotels, Resorts and Lodges.
- Make sure generators are in good working condition and will operate efficiently. Poor efficiency will lead to higher energy bills.
- Inspect seasonal assets not used during the winter months. Make sure they are secured appropriately and protected from freeze damage. Set periodic scheduled inspections until the Spring.
Preparing With EAM/CMMS Software
Asset and maintenance managers really only have two choices for making sure that all the inspections, preventive maintenance and minor repairs are completed before the weather takes a turn. They can prepare checklists, work requests and work orders manually or make use of modern tools like an EAM/CMMS. The issues with manual procedures should be obvious. Manual systems are time consuming, leave a poor audit trail and are likely to be left on the back burner as a result of reactive maintenance needs.
On the other hand, an EAM system or CMMS will help organize assets and tasks so that scheduling the complete work order lifecycle (inspections, work requests and work orders) can be computerized. When the additional features of an EAM are added the computerization of asset maintenance management provides for:
- More time for proactive tasks as a result of time saving paperwork reduction. The more proactive you are in maintenance the less time will be required for reactive work.
- Better tools for scheduling because facility managers have a much better handle on what needs to be done and can prioritize work better.
- Greater asset detail including historical maintenance tracking for work request, work orders and inspections. Facility and property managers will know what has been done, when it was done and who completed the work.
- Ensure better asset planning by collecting all asset documents and combining this with the maintenance database for capital budget planning. For example, an inspection may uncover substantial roof damage and a new roof will need to be placed in the capital budget.
- Asset managers will always know the condition of their assets, where they are and what work needs to be done next.
Labor Day signifies the ability of labor to have greater control over their work environment. Remember this and take back control of your facilities with an EAM/CMMS to ensure a safe and productive environment.
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Almost every facility, building, property, plant, or utility manager submits a capital budget as part of the budgeting process. A capital budget differs from the operational budget because it is a request for big ticket purchases over a specified amount during the course of the fiscal year. Approval of a capital budget comes from the highest echelons of an organization and is based upon need, cash flow, financing options as well as a slew of other parameters set by the financial planners. Perhaps the most critical aspect for facility managers in capital budget planning is making sure that their needs have been accurately assessed. A poor forecast can lead to cash flow issues as well as a slower corporate path to promotion.
Capital Budgeting with an EAM
Poor capital budget planning can cause a myriad of problems. For example, halfway through the year an expensive boiler fails for the final time and can no longer be fixed. The boiler needs to be replaced but if the monies were not set aside during the budget process, the company may or may not have the funds readily available for replacement. Since downtime can be expensive especially in a production environment, someone higher up in the food chain is sure to ask, what caused the failure? If it turns out the boiler was known to have a long and increasing maintenance history, the plant manager is going to look really bad for not having planned for this event.
On the other hand, a good capital budget should provide a realistic expectation of when an asset is going to need replacement or major repair. One of the best ways to project when an asset will need replacement is to examine the asset's history. Asset history includes at a minimum; the date purchased, cost, expected lifespan, location, description, number of work request and work orders, maintenance results, parts needed, as well as the cost of repairs. All this information and much more such as vendor information, contracts, and other detail can be downloaded from your Enterprise Asset Management (EAM) system.
Management reports from the EAM provide the basis for the identification of assets that are approaching the end of their useful lifecycle. Capital budget recommendations can now be backed up with an analysis demonstrating that the cost to maintain the asset is no longer worth the benefit. It should be noted that this same information will be available to corporate personnel who may decline wish list capital budget suggestions based upon a lack of justification.
The Role of an EAM in Asset Management
Good EAM solutions are customizable to the industry and businesses that are using them. However, no matter how much customization there is, the output is only as good as the input (GIGO). For this reason great care must be taken to set up the asset database to correctly classify, identify and describe assets as well as set up tracking detail for maintenance, costs and so on.
To ascertain the full return of investment with an EAM, it is critical that training and follow-up take place to ensure that maintenance teams are utilizing the tool correctly. For example, after a work order is completed, results are usually transmitted back to management using mobile handheld devices. A result description of "FIXED" is not as useful as a result description of "Stopped leak by replacing pressure seal, time = .5 hours, parts used = XXX, costs = $$, inspect again in 3 months.
Once the EAM is implemented and is being used correctly, facility, building, plant or property managers are now able to manage assets from the planning stages through the assets retirement or replacement. So on top of having great information for capital budgeting, maintenance managers will also now have all the tools they need to make sure maintenance is performed on a more proactive basis. Proactive maintenance will increase the lifespan of an asset making an EAM a Win-Win for maintenance managers and corporate finance who strive to exceed budgetexpectations.
Tell us how you do your Capital Budgeting and the steps you go through. If you liked this article you may also enjoy reading:
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Summertime can test the an asset's durability in many ways. Perhaps the most telling test of how an asset has been maintained comes as a result of the beating that assets take as a result of severe weather extremes. Searing heat can warp roofs or siding, dry out unprotected wood and tax inefficient HVAC units. Summer storms such a severe thunderstorms, tornadoes or hurricanes can shred assets improperly secured or weakened by rot. Using a quality EAM/CMMS for property managers can quickly ascertain the damage that is occurring as well as identify potential issues. This is done by inspecting all property assets and scheduling preventive maintenance and repairs on any item likely to feel the impact of the summer season.
Using a CMMS to Schedule Inspections
The biggest challenge property management professionals have is organizing maintenance tasks into manageable events in order to minimize labor costs. A CMMS automates the work order process increasing the flexibility of management to accommodate special projects without incurring overtime. For example, roofs should be inspected to make sure there is no debris, holes or other damage etc. CMMS inspection questions can be preloaded onto a mobile handheld device that allows maintenance staff to answer and then transmit back to property management to determine the best maintenance approach. All information is recorded without the need for paper, enabling repairs to be scheduled. This sharply reduces emergency repairs which are far more expensive then preventive maintenance.
More importantly inspections and preventive maintenance with a web-based CMMS solution will positively alter the way property management is performed. Benefits include:
- Greater proactive management and less firefighting. This reduces labor costs especially overtime for unplanned maintenance.
- Elimination of paper based work order system and replacement by web-based CMMS software allowing for access from any computer or location.
- Lower maintenance repair costs as major repairs or replacements are shifted in favor of minor repairs
- Better energy efficiency from from HVAC, chillers and other high energy consumption equipment. Greater energy efficiency using a CMMS means lower energy costs.
- Early identification of potential major problems allowing property management to act accordingly.
In addition, implementing an EAM/CMMS enables property managers to build a data base of work orders and results so that an entire facilities assets can be reviewed, identify problem assets and schedule the appropriate frequency of inspections to minimize repair costs. The nice part part about the collection of historical maintenance records is that the information can be used to better manage the entire lifecycle of property assets as well as provide a training base for maintenance staff. For example:
- A CMMS will record contract data such as vendor information, costs, terms, hours of operations and so on. No more looking through file cabinets to find telephone numbers or contacts for HVAC, Roofer, pool services or cleaning contractors. Schedule vendor preventive maintenance and work order visits.
- Knowledge transfer using the EAM is easier. The collection of work order information which includes identifying the fix or the the work that was done will reduce the dependency on any particular maintenance team member. Now property management has a tool to help train new maintenance staff.
- Management reports identify assets that are being repaired too often or are nearing the point where it may make better sense to replace than fix. This information is crucial for better and more accurate capital budget planning.
- Assets that are properly maintained with timely inspections and preventive maintenance last longer and operate more efficiently reducing the frequency of repairs both major and minor.
- With proper EAM/CMMS implementation, property managers will know where there assets are at all times, their condition, their maintenance history and expected retirement /replacement. No more guess work or surprises.
Tell us how is your facility preparing for the summertime heat? If you liked this article you may also like:
Register for your chance to win a Free EAM & CMMS Worth $23,000
If you want a EAM & CMMS system, but can't afford to implement one this budget year; then this contest is perfect for you. We are offering a chance to win a FREE EAM & CMMS software suite. Contest includes a 1-year site license, 10 web/mobile licenses and support, as well as, training and implementation.