Government Fleet Case StudyElectricity Fleet Management and Maintenance Services

Willem Janse Van Rensburg July 2016

Government Fleet Case Study

Strategic Objectives

Introduction

Overview 2005-2016

Strategy Implementation

Benefits andAchievements

2

Introduction and Strategic Objectives

Introduction

Fleet Management & Maintenance Services

Fleet Size 940 vehicles

Service Providers > 80

Depots/Sections 54

Budget Total (FMMS) R130 million

Budget (Operating) R43 million

Replacement Value R500 million

Utility Services

Electricity Services

Technical Support Services

Electricity Fleet

Solid Waste

Water and Sanitation

Other City of Cape Town Departments

4

Strategic Objectives

5

Policy and Strategy Development

Asset Life Cycle Management

Technical Standards and Functional Alignment

Optimise fleet availability and reliability

Maintenance schedule attainment

Strategic Objectives

6

Traffic violations management, Licences and COFs

Employee wellness, training and development

Contract Management

Root cause analysis and remedial action

Repairs and breakdowns

Overview 2005-2016

8

Electricity Fleet Overview 2005-2016

Stock Replacement Cycle

Functional alignment

Fleet Availability

Service ScheduleAttainment

Historical (2005) Current (2016)

33 Years-> Above Industry Standards

40%-> High misalignment between vehicle specifications and operational requirements

65%-> Work Orders open for

months

47%-> Vehicles not maintained

on time

8-15 Years-> Based on asset type

and condition assessment

85%-> Vehicles purchased as per

specific operational needs

92%-> Work Orders closed

within 14 days

98%-> Vehicles serviced as per monthly plan-> 100% Statutory compliance

Whole life cycle costing model implemented

Implementation of EAM

Right-sizing of fleet vehicles

Contractor KPI’s instituted

Effective Communication

Daily management system implemented

Electricity Fleet Overview 2005-2016

9

FirefightingStabilising

PreventingOptimising

Excellence

FirefightingStabilising

Preventing

Excellence

Optimising

Strategy Implementation

Strategy Implementation

11

Foreman

Team 1 Team 2 Team 3

Entrepreneurial Environment

Roles and Responsibilities

Daily Management System and Inspections

Loading Charts and Smoke Testing

Training and Skills Development

Business Process Development

Strategy Implementation

12

Benefits and Achievements

Benefits: Functional Alignment

14

Fit for purpose – NoPassenger safety – NoConformance to Road Traffic Ordinances – NoDriver Ergonomics and Passenger Comfort – No

Incorrect vehicle for purpose New Generation Mobile Workshops

Fit for purpose Passenger safety Conformance to Road Traffic OrdinancesDriver Ergonomics and Passenger Comfort

Before 2007 2016

Benefits: Functional Alignment

15

Vehicle Type – 10 tone A/P truckPurpose – Street light maintenanceExtra vehicles/equipment required –Crane truck, passenger vehicle, slings, 3 workers

Vehicle Type – 6x4 A/P and Crane (2in1) –operates in almost all road conditions e.g. steep inclines, dump sitesSavings on personnel – 2 persons instead of previous 3Safety Considerations – Pole manipulator present, no need for ropesOperational Efficiencies – More functions performed with less resources and shorter lead times

Before 2016

Benefits: Efficiency Improvements

16

Fuel Consumption Improved from 17l/100km to 13l/100km

Carbon footprint improved by 24%

Cost savings on fuel =R5.7 Million

Cost savings on repairs and maintenance =R4.2 Million (2016FY)

0

2

4

6

8

10

12

14

16

18

2008 2016

L/1

00

km

Year

Average Fuel Consumption

Average Fuel Consumption

Benefits: Reduction in Traffic Violations and Accidents

17

2725

42

33

28 27

13

26

20

12 12 12

0

5

10

15

20

25

30

35

40

45

Total Traffic Violations: Electricity Global Statistics

Traffic violations measured and monitored monthly

Monthly reporting to management

Driver training according to requirements

Accidents and incidents measured and monitored monthly

Monthly reporting to management

Driver training according to requirements

Benefits: Reduction in Traffic Violations and Accidents

18

Incidents Committee analyses report and takes appropriate action

Benefits: Employee Wellness - Driver Overtime Reduction

19

Driver overtime reduced by 90.5%

Monthly overtime monitoring

Improved work planning and control

Improved employee wellness

Enforcing Health and Safety regulations

Monthly Report

Benefits: Employee Wellness - Skills development

20

10%

90%

Before 2007

Compliant Non-compliant

100%

0

2016

Compliant Non-compliant

Aerial Platform and Crane Operator Certification

Achievements

21

• Awarded in June 2009 Green Supply Chain Award

• February 2011OHSAS 18001

• March 2011RTMS Accreditation

• March 2012ISO 9000 & ISO 14001

• August 2012Pragma Asset Management Silver Award

• September 2015ISO 39000

• Target – 2 years timeFuture Goal: ISO 55000

City of Cape Town Newsletter Feature

22

Thank you

23

Thank you.

City of Cape Town Electricity Fleet Management and Maintenance Services. July 2016