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Collaborative Airport Capital Planning Handbook (2011)

Chapter: Chapter 7 - Tools and Technology

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Page 66
Suggested Citation:"Chapter 7 - Tools and Technology." National Academies of Sciences, Engineering, and Medicine. 2011. Collaborative Airport Capital Planning Handbook. Washington, DC: The National Academies Press. doi: 10.17226/14542.
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Suggested Citation:"Chapter 7 - Tools and Technology." National Academies of Sciences, Engineering, and Medicine. 2011. Collaborative Airport Capital Planning Handbook. Washington, DC: The National Academies Press. doi: 10.17226/14542.
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Page 68
Suggested Citation:"Chapter 7 - Tools and Technology." National Academies of Sciences, Engineering, and Medicine. 2011. Collaborative Airport Capital Planning Handbook. Washington, DC: The National Academies Press. doi: 10.17226/14542.
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Page 69
Suggested Citation:"Chapter 7 - Tools and Technology." National Academies of Sciences, Engineering, and Medicine. 2011. Collaborative Airport Capital Planning Handbook. Washington, DC: The National Academies Press. doi: 10.17226/14542.
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Suggested Citation:"Chapter 7 - Tools and Technology." National Academies of Sciences, Engineering, and Medicine. 2011. Collaborative Airport Capital Planning Handbook. Washington, DC: The National Academies Press. doi: 10.17226/14542.
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Suggested Citation:"Chapter 7 - Tools and Technology." National Academies of Sciences, Engineering, and Medicine. 2011. Collaborative Airport Capital Planning Handbook. Washington, DC: The National Academies Press. doi: 10.17226/14542.
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Page 72
Suggested Citation:"Chapter 7 - Tools and Technology." National Academies of Sciences, Engineering, and Medicine. 2011. Collaborative Airport Capital Planning Handbook. Washington, DC: The National Academies Press. doi: 10.17226/14542.
×
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Page 73
Suggested Citation:"Chapter 7 - Tools and Technology." National Academies of Sciences, Engineering, and Medicine. 2011. Collaborative Airport Capital Planning Handbook. Washington, DC: The National Academies Press. doi: 10.17226/14542.
×
Page 73
Page 74
Suggested Citation:"Chapter 7 - Tools and Technology." National Academies of Sciences, Engineering, and Medicine. 2011. Collaborative Airport Capital Planning Handbook. Washington, DC: The National Academies Press. doi: 10.17226/14542.
×
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Page 75
Suggested Citation:"Chapter 7 - Tools and Technology." National Academies of Sciences, Engineering, and Medicine. 2011. Collaborative Airport Capital Planning Handbook. Washington, DC: The National Academies Press. doi: 10.17226/14542.
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66 Research Findings Technology research conducted for the development of this Handbook included a general review of literature per- taining to technology used for capital planning and collab- oration at airports and in other industries. The literature review included evaluation of software packages used for capital planning at various institutions, such as capital program management systems (CPMS), project manage- ment software, document control programs and web-based teaming sites. A brief preliminary survey was sent to a wide range of airports of various sizes and governing structures across all FAA regions. The preliminary survey results regarding information technol- ogy showed that • The majority of airports surveyed did not utilize sophisticated capital planning technology, but, in recent years, several have implemented formal software systems for the development and management of capital plans. • Less than 30% of preliminary survey respondents stated that they used software for creating and managing the ACP collaboratively, but there was an increasing trend toward implement- ing web-based technology and enterprise content management systems. • Only one-third of respondents stated that their software systems were integrated, but many more expected to have their systems integrated in the future. The preliminary survey was followed by a more in-depth and detailed survey of nine airport agencies and four nonairport agencies. The detailed survey results showed a strong desire among many airports for implementation of better technological tools to facilitate communication and collaboration in the capital planning process. Some challenges mentioned by survey participants as standing in the way of implementing new technology included financial constraints, resistance to change, chaotic workflow and lack of leadership. The majority of agencies that participated in the detailed survey had recently implemented, or were in the process of researching, technology solutions to assist in the development and man- agement of their capital plans. Technology Technology is a valuable tool in the development, implementation and oversight of an ACP. Technology can be as simple as a spreadsheet shared on a network server or as sophisticated as a CPSM integrated with an enterprise resource planning system, depending on the needs and C H A P T E R 7 Tools and Technology CHAPTER 7 AT-A-GLANCE This chapter includes • Spectrum of technology available for capital pro- gram management, • Guidance and best practices for capital planning technology, and • Essential components to implement of new CACP technology.

Tools and Technology 67 complexity of the organization (see Figure 8). The CPMS vendors listed in Figure 8 are not the only options available. However, these were the systems most frequently cited by survey respondents. Using the appropriate technology for an agency will provide easier, faster, more flexible and efficient access to data and information, and can facilitate the process of communication and col- laboration throughout the life of an ACP. For all agencies, regardless of size, the most optimal use of technology includes electronic storage of data for easy retrieval and sharing of information, and elimination of redundant data entry by multiple parties keyed into numerous systems. Larger organizations may find that the most efficient use of their resources can be realized by implementing enterprise systems that can integrate multiple functions. On the other hand, some airports may continue to utilize a smaller-scale approach while working toward reducing dupli- cation of data by clearly defining data management roles and responsibilities. Even an organiza- tion that does not have the financial or human resources to implement a large-scale enterprise system can achieve a good return on investment by performing a detailed review of workflow processes with an eye toward streamlining data flow. Detailed review, refinement and streamlining of processes is the most important step before implementing any information technology solution and can benefit any agency whether or not new technology is acquired. It is essential to examine workflows and establish standardized busi- ness practices to reduce duplication of effort and integrate information for maximum efficiency. Decision makers require reliable information to make the best-informed choices. They can be well guided by reviewing appropriate metrics, measures and results collected throughout the TYPICAL AIRPORT SIZE $ $$ $$$ $$$$ $$$$$ GA MS Word Non-hub MS Excel MS Access Non-hub MS Project Medium-hub Primavera Small-hub Small-hub CapitalVision Medium-hub CipPlanner SaaS Skire RapidStart Medium-hub CipPlanner CipAce Large-hub ebuilder Skire Unifier Oracle SAP FUNCTIONALITY Simple Productivity Software (spreadsheet, word processing, database ) Project Management (more sophisticated scope, budget and schedule management) Construction Management, Facilities Management, Capital Program Management (project management, operations management, asset management) Capital Program Management System (sophisticated project and program management) Enterprise Resource Planning (can integrate finance, HR, etc. with capital program management systems) Large-hub Figure 8. Spectrum of capital planning technology.

68 Collaborative Airport Capital Planning Handbook ACP process. The computing industry has a long-held maxim that “garbage in equals garbage out.” In other words, focus metrics and data collection on the agency’s specific needs and do not waste time and resources compiling unused and unnecessary data. Collect only what is needed to document results. It is also important to share the right data with the right people. Designate specific staff roles and responsibilities regarding input and output of ACP data to ensure that the correct information is collected and that appropriate stakeholders receive accurate reports to aid in accountability. Ideally, each agency’s technology solution will include tools that allow users to easily create, track and report each step of the ACP without redundant effort. Systems used in the ACP process may include those for managing assets, projects, schedules, budgets/costs, a capital program, resources, document control/content management, finance, planning, portfolio, as well as col- laboration tools for conferencing via video, phone and internet. Staff must provide leadership with continuous feedback on performance and progress in order to promote flexibility and accountability. Lower cost options to accomplish this goal include email, bulletin boards, blogs and internal websites. More expensive technology such as CPMSs offer more sophisticated ad hoc reports, dashboards, scorecards, instant alerts, and shared doc- ument functions. Case Study 5: Affordable Technology Columbus*Stat is not a software program. It is a business approach focused on transforming government practices to pro- mote accountability and to develop performance measurement systems for managing results. One important advantage that Columbus*Stat offers is the simplicity in its software and technol- ogy requirements. The City of Columbus used existing data from its 311 system (a constituent service database that tracks citizen service requests concerning potholes, streetlights, rodents, trash collection, etc.) as well as other data sources for reporting on performance met- rics to Internal Stakeholders. Benchmarking was used based on best practices. In 2008, performance dashboards were created using Microsoft Excel workbooks for each program, which allowed for regular tracking and analysis of the performance data. These workbooks were presented to staff through a web-based interface. The Columbus Covenant identifies peak performance as one of its seven goals. Employees participate in a “Performance Excellence Program” that uses a secure, internal web portal to set their performance goals and review competencies. Critical Success Factors: • Uses existing basic productivity software—low cost, easy to implement and manage. • Encourages collaboration by providing a forum for regular review, monitoring and reporting on progress. • Requires strong leadership, designation of key departments with clear roles and responsibilities, established targets and continuous monitoring of results.

Agencies should attempt to integrate data from disparate sources in order to facilitate accu- rate forecasting, allow for more extensive analysis, and provide real-time reporting regarding the capital planning process. For example, in the course of any capital project, related data may be captured by multiple staff throughout various departments who are processing the information for different reasons (scheduling, budgeting, finance, payroll). Good integration of data will reduce time-consuming, redundant data entry and will facilitate communication. Legacy systems, closed architecture and outdated infrastructure will make total integration impractical for some airports, but even those agencies should strive to achieve the highest level possible of integration between data sets and among various systems. Use of standard, flexible data formats such as XML (extensible markup language) can greatly improve the ability to inte- grate data without making a capital investment. Sophisticated, integrated capital management systems allow multiple users to simultaneously log into a consolidated data repository to enter, track and monitor all phases of each project in the capital program in real-time. Integrated systems allow airport executives to use dashboards and scorecards to measure progress and performance. Dashboards monitor up-to-the-minute performance data; many CPMSs can be programmed to send automatic notifications to leadership whenever metrics deviate from predetermined standards. Dashboards can usually be customized depending on the user’s role, so that administrators can quickly view in a user-friendly graphical format the metrics and key perfor- mance indicators that they find most important, such as financial summaries and project comple- tion statistics. Selected indicators should be specific, measurable, accurate, relevant and timely. Typically dashboards provide hyperlinks to “drill down” to more detailed data. Scorecards show periodic snapshots of progress toward objectives and display a comparison of measures over time. Leadership must remember to include IT projects in the capital and operating budgets, includ- ing all relevant resources and training, and should include IT staff in planning sessions regard- ing any new technology purchase. Utilizing the expertise and experience of those with functional knowledge of technology administration and implementation will reduce overall labor and cap- ital expenditures in the long run, avoid confusion, save time, ensure a more effective system, and better manage needed information. Collaboration Technology Collaboration technology can facilitate communication and collaboration across departments and locations, allowing for more dynamic exchange of ideas and information. For the purposes of this Handbook, collaboration technology is defined as “tools that create a shared virtual work- space and enable real-time collaboration.” These tools include teleconferencing, video confer- encing, and web-sharing applications such as GoToMeeting, WebEx, Bridgit and AdobeConnect. Software commonly referred to as “collaborative” includes team websites, document control software and content management programs; such tools allow users to create and share docu- ments, manage versions, design workflow and communicate. These are valuable tools for facil- itating accountability, transparency and flexibility, but they do not meet this Handbook’s definition of true collaboration as they merely provide a forum for communicating information data back and forth. Collaboration requires dynamic and synchronous interaction between humans to create ideas, not just share information. Shared Documentation Electronic tools for shared document creation and content management include Documentum eRoom, Open Text Corporation’s LiveLink, Hyland Software OnBase and Microsoft SharePoint. Tools and Technology 69

70 Collaborative Airport Capital Planning Handbook Many of these are web-based systems and usually contain methods to control document check-out and track version history. Content management systems allow multiple users to create and mod- ify shared documents. Teaming websites, shared document systems and content management pro- grams can improve communication between users and facilitate transparency in the ACP process. Capital Program Management Systems A number of software programs have been specifically designed to track funding sources, dis- bursements and expenditures for airport capital projects, including CIPPlanner CIPAce, SDG CapitalVision and Skire Unifier. Major software vendors such as Microsoft, Oracle and SAP have also developed modules within their enterprise systems for tracking capital projects. These tech- nology solutions also contain built-in document management and electronic teaming/data exchange/data sharing functionality. Most CPMSs are scalable products that contain various modules (see Figure 9). Each airport can select a different mix of modules based on specific needs. Vendors will work with the airport to perform “discovery,” an analysis to define workflow, identify process improvements and plan system implementation. Airports are guided by the vendor in configuring the appropriate instal- lation based on business logic and agency-specific processes. CPMSs contain features for predefined and ad hoc reporting, querying, data analysis, auditing, data tracking, performance monitoring, executive dashboards and scorecards. Many provide the NOTE: In this sample analysis, actual vendor names are not used. Vendor 1 Vendor 2 Vendor 3 Vendor 4 Web-based x Internally Hosted x x Externally Hosted x Bid/Contract/Vendor Management x Budget/Cost Management x Document Management x Facilities Management x Funding/Grant Management x Portfolio Management x Project/Schedule Management x Real Estate Management x Workflow / Business Process x x Ad Hoc/Custom Reports x Automated Alerts x Configurable Dashboards x Contact Management x Shared Calendar x x Accounting x Asset Management x Building Information Modeling (BIM) x x x x x x Document Management x Enterprise Resource Planning (ERP) x Finance x Geographic Information System (GIS) x Project Management x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x INSTALLATION MODULES/ MAJOR FUNCTIONS EASILY INTEGRATES WITH THESE EXISTING SYSTEMS FEATURES Figure 9. CPMS—modules and functions.

Tools and Technology 71 capability for project prioritization, multi-year capital planning, funding appropriations, and what-if scenarios. These systems generally provide a shared data repository, the ability to create online workspaces, business process automation and workflow management, and document checkout and versioning. Common modules found in capital program management systems include accounting, analysis/ modeling/scenario, asset management, bid management for tracking the acquisition of goods and services, capital planning, cash flow/earned value management, contract management (bids, vendors, invoices, contracts, purchase orders), cost/budget management, decision making, proj- ect ranking, document management for centralized, electronic document creation and storage, financial management, funding and grant management, performance measurement, portfolio management, proposal management, real estate management, resource management and proj- ect schedule management. Best Practices for Using Technology in the CACP Process The following is a summary of the best practices that should be used when selecting and/or deploying technology related to management of the CACP process. • Scrutinize the quality and reliability of the data collected. Clearly focus on the information that is collected on the agency’s needs. Do not waste time or resources collecting unused and unnecessary data. • Ensure that the appropriate data is shared with the appropriate staff. • Examine workflows and establish standardized business practices. • Assign IT staff to the CMT and formally engage information technology staff in planning decisions. • Remember to include IT projects in the capital and operating budgets. • Normalize data (organize and reconcile information to minimize redundancy, errors and inconsistencies.) Eliminate duplicate sources of data entry and connect separate streams of data. • Integrate systems wherever possible. Use flexible data formats to allow data exchange between disconnected systems. • Try to standardize use of the same technology across the agency so that data collected from various departments can be blended. • Provide electronic tools for off-site synchronous collaboration and for shared document management. Case Study 6: Using Capital Program Management Software PHX selected and implemented a new CPMS in 2009. The new sys- tem provided the ability to share data in real time, retrieve infor- mation from anywhere, move money across the capital plan, reestablish priorities and perform audits. Team members can now design projects together by each opening the same drawing, viewing a communication log, and deciding on a solution immediately. The Capital Budget and Finance departments can work jointly by using the system to track each project throughout the planning, design, construction and closeout phases. An external consultant serves as Program Manager to operate the CPMS. The func- tion of mapping procedures and planning the implementation took approximately

72 Collaborative Airport Capital Planning Handbook Technology Decision Making It is important that decision makers spend adequate time reviewing options in order to select the right solution for the agency. They should evaluate the type of technology, vendors, specific modules and implementation methods. Agencies that make major technology investments with- out first performing a comprehensive analysis could end up with a system that does not meet their needs. A clear understanding of the agency’s goals and objectives will inform and guide technology decisions. Far too many software applications end up as “shelf-ware.” After they are purchased and the money is spent, they never achieve their stated objectives. (True, L. C. and Koenig, K. M., 2009) In order to make a decision regarding technology, an agency should do the following: 1. Compute the total cost of ownership (TCO), taking into consideration all required hardware as well as fees for licenses, annual support, service contracts and consultants. 2. Investigate up-front costs and recurring costs. 3. Calculate the ROI to determine whether the cost and effort of implementing the new tech- nology is worth undertaking. 4. Be sure to take into account the intangible benefits such as improved customer satisfaction and real-time access to information. 5. Compare apples to apples when reviewing various vendors and types of systems. 5 months. In the beginning, PHX received resistance from some users who wanted things to remain the way they used to be (creating documents by hand, transfer- ring files using FTP sites.) One year later, most users reported being very satisfied with the process. By March 2010, PHX was tracking 800 projects using the CPMS. The airport was able to eliminate redundant steps from the existing routine after implementing the software. PHX’s CPMS contains built-in tools for managing funds that allow users to see fund- ing sources and amounts budgeted/authorized/paid and lets users monitor, man- age and track project changes. PHX has appointed “CIP Liaisons” within each division who use the software system to prepare project requests and coordinate development of project budget, scope and schedule. The CMD uses it to create and maintain a department-wide CIP budget management system. PHX has found reward in the clearly defined processes, detailed workflow and objective prioritization system that all projects must go through in the new soft- ware system. Users can easily check status within workflow due to the trans- parency of the process. There is buy-in from Internal Stakeholders and from senior management. Critical Success Factors: • Solicited feedback from all stakeholders and used that feedback to refine the process during future implementation of new systems. • Roles and responsibilities were clearly defined for CIP Liaisons and all others in the ACP process.

Factors in Evaluating New Technology The following are factors agencies should consider in making decisions when evaluating new technology for capital planning: • Current availability of internal IT support versus technical support available from vendor (cost, response time, turnaround time); • Current technology inventory versus system requirements of potential technology (hardware/ software/environment/infrastructure/bandwidth); • Commercial Off-The-Shelf (COTS)/Government Off-The-Shelf (GOTS) versus custom built; • Installed software versus web-based/Software-as-a-Service (SaaS)/cloud hosting; • Internal hosting versus third-party hosting; • Complexity and types of modules needed; • Scalability offered; • Availability of real-time data; • Security measures and user permissions; • Level of data integrity; • Database storage requirements; • Ability to integrate with existing systems; • Ability to import and or integrate existing data/data formats; • Training requirements/learning curve; • Ease, time, and cost of implementation; • User-friendly interface; • Remote access, external access; and • Regulatory compliance (e.g., Sarbanes-Oxley). Case Study 7: Implementing Capital Program Management Technology BCAD selected and implemented a new CPMS in 2009. The system is a web-based, hosted service. The goal was to deliver the resources that staff needed directly to their desktops. Prior to implementation, BCAD’s ACP process entailed repeated use of multiple static documents, duplicated across functional areas, with dozens of reports from various sources. The airport had several departments in charge of various functions such as airport expansion, planning and CIP, each with its own data and processes. BCAD spent a great deal of time standardizing processes. Before implementing the new software, BCAD undertook a Six Sigma effort to improve the CIP process. In order to create order from the chaos of many separate spreadsheets, standardiza- tion was the key. They used a phased approach for implementation, initially loading only a subset of projects into the system and training specific functional groups (Finance, Project Managers and Contract Administrators) to serve as beta testers. At the time of this ACRP research survey, the new system had been in place for one year with perhaps another 6 months before it achieved 100% functionality. BCAD elected to integrate individual systems rather than choosing a single- provider solution (CPMS, project management, construction management software). Tools and Technology 73

74 Collaborative Airport Capital Planning Handbook Key Elements to Successful Implementation of Enterprise Software A successful enterprise software implementation shares some of the same basic components as a successful CACP process: Leadership, Development, Implementation and Oversight, as described below: • Obtain buy-in from the Leadership Team and Stakeholders. • Executive Leader must commit resources and communicate their sponsorship throughout the organization. • Define workflow and processes and clarify roles and responsibilities before executing instal- lation. Perform in-depth process analysis/enhancement. • Clearly define the goals, objectives and expected results that the new technology will provide. Examine hardware and infrastructure requirements (be sure to meet software vendor’s rec- ommendations regarding speed and capacity). Carefully examine existing technology to deter- mine the most effective options for data conversion and system integration. • Communicate those defined roles and responsibilities to appropriate departments/individuals. Designate the integration/implementation lead, system administrator, and in-house experts for each subject matter/functional area. Larger agencies may benefit from hiring external con- sultants with a solid history of implementing enterprise technology solutions. Those that uti- lize solely internal staff for executing implementation may look to their software vendor for guidance on developing an implementation plan and deployment schedule. • Establish regular communication among all participants before/during/after implementation (expectations, progress, feedback). Facilitate collaboration between business units and within departments. • Continuously obtain end-user feedback to refine the process. • Implement in phases. Plan scope, cost and schedule in detail. • Determine metrics for the technology implementation plan just as for any other project; include a regular schedule for reporting. • Normalize data. The process of organizing data reduces redundancy/improves data integrity and optimizes search and query functions. Data is shared internally using Microsoft SharePoint and is shared externally by means of email. BCAD’s implementation effort benefited from committed and disciplined leader- ship to assist in establishing new processes and to break down barriers. BCAD found that the benefits of its new technology included • A user-friendly platform for document creation/control and workflow man- agement, • A significant reduction in redundancy of data and improved data reconciliation through use of a single repository, and • Enhanced communication among participants in the ACP process. Critical Success Factors: • Leadership was supportive of the new processes and technology. • Comprehensive review and refinement of existing processes. • Phased approach to implementation.

• Conduct system testing. This is a crucial element before the system goes “live” to prevent data loss and wasted labor. • Perform user acceptance testing. Subject-matter experts perform user acceptance testing to ensure that the completed system will meet the agency’s business requirements. The long-term success of implementation requires that end-users buy in to the new process; while all projects face un- expected challenges, it is important to minimize the level of frustration that users experience. • Provide training. A well-conceived and well-executed training plan will be worth the time and cost, especially if the system and/or processes being implemented are considerably different from existing ones. Users will be more productive and can use the new system more effi- ciently and accurately in a shorter amount of time if properly trained. Additional Resources FIATECH Capital Program & Portfolio Management Software Vendor Directory. http://www.fiatech.org Stocking, Christine et al. ACRP Report 13: Integrating Airport Information Systems, Transportation Research Board of the National Academies, Washington, D.C. (2009) 98 pp. True, Laurence C., and Kurt M. Koenig. “Software Implementation Best Practices.” Building Profits, Construction Financial Management Association (July-August 2009). CHAPTER 7 SUMMARY The following topics were covered in this chapter: • Capital planning tools, • Capital program management software, • Collaboration technology, and • Tips for evaluating and implementing technology. Tools and Technology 75

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TRB’s Airport Cooperative Research Program (ACRP) Report 49: Collaborative Airport Capital Planning Handbook provides guidance to those in the airport community who have responsibility for, and a stake in, developing, financing, managing, and overseeing an airport capital plan and the individual projects included in it.

The handbook provides guidance on appropriate performers for each task in the collaborative planning process, and defines and describes the different ways to communicate to help ensure effective exchanges between internal and external stakeholders.

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