Quality Garbage is Still Garbage Linda Newton, PhD, PMP Manager, Realty Asset Support CFPP 2007 - 02 Oct 07 Overview • • • • Infrastructure Management Cycle Case Study on Impact of Quality Way Ahead WIFUS (What’s in it for us?) CFPP 2007 - 02 Oct 07 Infrastructure Management Cycle Acquire Plan Dispose Use CFPP 2007 - 02 Oct 07 CFPP 2007 - 02 Oct 07 Life Cycle Management Acquire $ Plan Use Dispose Time CFPP 2007 - 02 Oct 07 Ability to Influence Life Cycle Costs 100% Design Construction 50% Operate &Maintain 0% CFPP 2007 - 02 Oct 07 Time What is Quality? • “Degree of excellence” (Oxford Dictionary, 1992)) • Conformance to requirements (Crosby, 1979) • “Satisfaction Guaranteed or your money refunded” (T. Eaton Company) • “Totality of characteristics of an entity that bear on its ability to satisfy stated and implied needs” (American Society for Quality) CFPP 2007 - 02 Oct 07 Dimensions of Quality • • • • • • • Performance Reliability Durability Serviceability Aesthetics Conformance Perceived quality CFPP 2007 - 02 Oct 07 Defining the Requirement Process Product Impact of Quality • DND Case Study • Quality Myths: fact or fiction – #1 Save now pay later – #2 We don’t build ‘em like we used to – #3 Perception is everything • Impact CFPP 2007 - 02 Oct 07 DND Study • Five categories of buildings – administration, residential, operations, institutional (lecture/training), hangars • Common design • Constructed after 1950 • Older >41 years of age • Middle-aged 26-41 years of age • Newer <26 years of age • Focus on costs in first 20 years of building life CFPP 2007 - 02 Oct 07 Bagotville ValCartier Gagetown Petawawa Borden Kingston Greenwood Trenton CFPP 2007 - 02 Oct 07 CFPP 2007 - 02 Oct 07 CFPP 2007 - 02 Oct 07 CFPP 2007 - 02 Oct 07 Myth #1: Save Now, Pay Later Annual equivalent 20 yr M&R costs (1999$/m2/yr) Comparison of Maintenance/Rehabilitation Costs & Construction Costs 20 15 10 5 50 60 70 80 90 100 Annual equivalent construction costs (1999$/m2/yr) CFPP 2007 - 02 Oct 07 Myth #2: We Don’t Build ‘em Like We Used To • Construction costs generally lower for newer buildings • Building services costs comparable • M&R* costs highest for newer buildings: • Newer • Middle-aged • Older 1999$ 11/m2/yr 1999$ 10/m2/yr 1999$ 7/m2/yr • CMHC study showed higher repair costs for post 1980 bldgs CFPP 2007 - 02 Oct 07 Myth #3: Perception is Everything Percent met 100.0% E - washrooms I - adequate/appropriate 80.0% lighting J - timely repairs 60.0% Q - mechanical ventilation 40.0% R – heating 20.0% ********************** 0.0% DQ PQ I J E Q R Quality factor - All buildings CFPP 2007 - 02 Oct 07 PQ – Perceived Quality DQ – Design Quality 20 yr AEC M&R costs (1999$/m2/yr) Impact of Design Quality on Costs Comparison of Maintenance/Rehabilitation Costs & Design Quality 20 10 0 0.6 0.7 0.8 Design Quality (max score = 1.0) CFPP 2007 - 02 Oct 07 Way Ahead • Focus on ensuring quality in design – Requirements, requirements, requirements – Communicate & collaborate – Mitigation vs litigation • Whole life/life cycle cost approach • Examine how we procure design and construction services CFPP 2007 - 02 Oct 07 What’s in it for US? As consultants AND owners: • WE define the design requirement • WE have the greatest opportunity to affect end-user satisfaction • WE have the greatest influence on the life cycle costs of what you design As procurement professionals: • YOU have control over how WE do this CFPP 2007 - 02 Oct 07 Collectively WE can make: CFPP 2007 - 02 Oct 07 Thank You Linda Newton Manager, Realty Asset Support [email protected]
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