Session VIII Systems Operations as a Program: The Process & Institutional Dimensions

1. Session VIIISystems Operationsas a Program:The Process & Institutional Dimensions Steve Lockwood PB Consult

2. “The future has already arrived. It’s just not very evenly distributed” William Gibson in Cyberpunk Session VIII: Systems Operations as a Program

3. Learning Objectives • Understanding of the Role of Systems Operations and Management within the Transportation system – and DOT’s mission • Understanding of Process and Institutional Weakness as barriers/opportunities for effectiveness • Understanding of Strategies for Change towards a more effective operations Session VIII: Systems Operations as a Program

4. Topics Covered • Driving forces for Change • Current System status • The unacknowledged leverage of systems operations • Relevance of systems operations and management • The Challenge/Dimensions of Change • Operations Capability Maturity • Future Vision: The 21st Century Transportation Agency Session VIII: Systems Operations as a Program

5. Message A. Driving Forces:Performance of Interest • Customer Mobility (isn't that our business?) – Impact of SO&M • Performance Features • Traditional: Improved Capacity, Speed, Safety • Now: Maintenance of capacity, reliability (delay, disruption, congestion) • Continuous Improvement of Performance drives all relevant management changes Session VIII: Systems Operations as a Program

6. Driving Forces: Loss of Performance Session VIII: Systems Operations as a Program

7. Driving Forces: Loss of Mobility Both Recurring & Non-recurring congestion Session VIII: Systems Operations as a Program

8. Congestion Congestion …indicates... …indicates... Higher vehicle Higher vehicle Lower Lower speeds speeds densities densities …which leads to... …which leads to... …which leads to... …which leads to... More opportunities More opportunities Less severe Less severe For conflicts for vehicle - - vehicle crashes crashes conflicts …which causes... …which causes... • • Unexpected queues Unexpected queues • • Rubbernecking Rubbernecking • • Emergency Emergency Maneuvers vehicle maneuvers …which produce... …which produce... …increased congestion... Secondary Secondary “ “ ” ” crashes crashes Driving Forces: Causes of Performance Loss Session VIII: Systems Operations as a Program

9. Driving Forces:Can We Build Out of Congestion? 1980-2000 Session VIII: Systems Operations as a Program

10. Driving forces:Causes for Contexts Session VIII: Systems Operations as a Program

11. Driving Forces: The Serious Challenge: NRC Session VIII: Systems Operations as a Program

12. Driving Forces: Special Emphasis on Non-Recurring Congestion Recurring (more established: signalization, ramp metering, geometrics) Major Strategies to Manage Non-Recurring Congestion • Incident management • Road weather management • Work zone traffic management • Special events management • Active Traffic Management Session VIII: Systems Operations as a Program

13. B. Leverage: Strategy Toolbox Session VIII: Systems Operations as a Program

14. Leverage: Effective SO&M • “Effectiveness” related to measurable outcomes in terms of improvements in delay, disruption, safety • Capabilities needed go beyond knowing strategies and ITS to needed Processes and Institutional arrangements that are preconditions execute strategies effectively • How can they be put into place? Session VIII: Systems Operations as a Program

15. Quiz • What SO&M strategy has the greatest potential impact on reducing delay? Session VIII: Systems Operations as a Program

16. Leverage: Gap Between Best and Average Practice? Session VIII: Systems Operations as a Program

17. Leverage: Long-term Benefits(Interstate example) Session VIII: Systems Operations as a Program

18. Message C: StatusSO&M Deployment Rate 55% in 2010 50% 44% in2010 Optimistic Projection 40% Pessimistic Projection 30% 22% in ‘2000 20% Installed 16% in ‘97 10% 6% in ‘90 1995 2000 2005 2010 1990 Year Session VIII: Systems Operations as a Program

19. Status:Current ITS Deployment (Urbanized Areas) Session VIII: Systems Operations as a Program

20. Status:State of Play in State DOTs Session VIII: Systems Operations as a Program

21. Status: Where are we in SO&M? • Huge, unrealized, cost-effectiveness potential in modest deployment • Major gap between conventional practice and state-of-the-art practice • …despite heroic efforts of program staff • Overcoming technical and institutional barriers Session VIII: Systems Operations as a Program

22. Message D: RelevanceWe need to Tell the Story: SO&M Can Make a Real Difference What transportation agencies (should) do?: • We are a just-in-time society, accustomed to service and accountability – even in Mobility • In most urban contexts very limited improvements from capacity are being made • Congestion management – as a major program -- is therefore essential to (at least) maintain level of service • Otherwise DOTs become increasingly irrelevant Session VIII: Systems Operations as a Program

23. Relevance: Performance Improvements Process/Institutional Capability Problem IS NOT: do we know state-of-practice in strategy applications Problem IS: lack of preconditions/support for implementation that improves performance (continuously) And money IS NOT the major problem What does SO&M lack that OTHER DOT PROGRAMS ALREADY HAVE?: Session VIII: Systems Operations as a Program

24. Relevance: How to Close the Gap between “Best” and “Average “ Practice? • Top and middle managers need some guidance re what changes in processes and organization/institutions will move the SO&M “program” in the direction of improved effectiveness and efficiency • Changes may be proactive, deliberate and incremental • Changes may be (often are) in response to major events that focus on SO&M Session VIII: Systems Operations as a Program

25. Relevance: Technical Process Challenge • Getting SO&M on an institutionalized sustainable path to improvement • Scope: Full range/core program • Business Processes: Effective implementation, integration, documentation • Systems and Technology: Interoperable/standardized/cost effective • Performance: Measured, utilized, reported Session VIII: Systems Operations as a Program

26. Relevance : Supporting Institutional Challenge • Developing arrangements that support the needed technical processes • Culture: Understanding/committing to mobility • Organization/Staffing: aligned, professionalized • Resource Allocation: criteria-based, sustainable • Partnerships: Aligned, Consolidated Session VIII: Systems Operations as a Program

27. Relevance :Long Story Short Process and Institutional barriers are the principal reason that systems operations and management has not come close to reaching its potential Session VIII: Systems Operations as a Program

28. Message E: Dimensions of Change:Overarching Learning Objective • “Institutionalizing” Systems Operations and Management to its full capability means: • Recognize criticality to relevance of agency mission, legitimacy regarding mobility (if the DOT really cares) • Create supporting process and institutional features that are part of any serious agency program (we already know what they are) • Achieve equal agency status with construction and maintenance Session VIII: Systems Operations as a Program

29. Dimensions of Change: Can we learn from private sector ? Transportation Service Public Agencies (Time out for a broader perspective) • Xxxxxxxxxxxxxxxxxxxxxxx • xxxxxxxxxxxxxxxxxxxxx • xxxxxxxxxxxxxxxxxxxx • xxxxxxxxxxxxxxxxxxx • Service is sales driven • Price/service (performance) • Competition spurs better service • Tangible rewards for success, innovation Customer Service in Free Enterprise Society VS. Session VIII: Systems Operations as a Program

30. Message E: Dimensions of Change (From a Product Entity to a Service Entity (QUIZ) Transportation Service Public Agencies (Time out for a broader perspective) Customer Service in Free Enterprise Society • ????-driven (who’s the customer?) • customer service based on ???? • ????? suppliers/???? spurs better service • ???? rewards for success, innovation • Service is sales driven • Price/service (performance) • Competition spurs better service • Tangible rewards for success, innovation VS. Session VIII: Systems Operations as a Program

31. Dimensions of Change: SO&M is different • Orientation to customers and their service needs • Focus on now rather than future • Focus on performance outcomes not outputs • Emphasis on managing rather than development • A service (24 X 7), not an office (9-5) • Scaled to trip – not just my jurisdiction Session VIII: Systems Operations as a Program

32. Scope:(Implications of “Mainstreaming” • More like the other programs re • Statewide & Comprehensive • Needs driven • Geography • Problems • Network • Standardized, sustainable, aligned • Effectiveness related to measurable outcomes in terms of improvements in delay, disruption, safety Session VIII: Systems Operations as a Program

33. 2. Business Processes: What’s Different About Operations?

34. Basic Logic: Traceability between the strategies (that we know) and their effective application Types of congestion and typical tactics to minimize Actions needed to develop and implement strategies Barriers Programs to mainstream needed processes Institutional arrangements to support programs Managed Change Strategies needed to achieve appropriate institutional architectures Session VIII: Systems Operations as a Program

35. Institutional Preconditions to Realize SO&M Strategies Session VIII: Systems Operations as a Program

36. Beyond ITS: Balancing Procedures with Systems Session VIII: Systems Operations as a Program

37. 3. Systems and Technology • Technology Selection • Qualitative/quantitative • Warranted applications consistency • Platform Standardization • Incremental Improvements (bite size) Session VIII: Systems Operations as a Program

38. Beyond ITS • First Generation – Building on Traffic Engineering • Transportation System Management • Congestion Management Systems • Second Generation – ITS Focus • ITS Early Deployment Plans • Long Range ITS Plans • Built Around ITS; but adds real time activities • Emergency Response element added • Third Generation – New Blend • Focus on System Operations and Management (SO&M) • Emphasis on developing integrated core program • Balance between systems and procedures/protocols • Strategic, sustained development on performance targets Session VIII: Systems Operations as a Program

39. 4. Performance • You have heard a lot about this. • Key issues for capability maturity: • Output Measures • Implementation feasibility (data, devices) • Utilization: feedback and tailoring for continuous improvement • Reporting and Accountability Session VIII: Systems Operations as a Program

40. Dashboarding Systems Operations (outputs or outcomes?) Session VIII: Systems Operations as a Program

41. 5. Culture and Leadership • What is “culture”? (sounds like academic jargon) • Think about shared engineering culture (mission, values/presumptions, training, standards, conventions, career style, public expectations) • Who are the external stakeholders in capacity development vs. Operations? Session VIII: Systems Operations as a Program

42. What are the characteristics of an operations culture? QUIZ Session VIII: Systems Operations as a Program

43. What are the characteristics of an operations culture? QUIZ • What about: • Explicit focus on mobility • Developing public understanding • Orientation of Leaders • Acceptance by rest of agency • Incentives for change • Laws, regulations to support effectiveness Session VIII: Systems Operations as a Program

44. Legacy Stakeholders • Facility mission perspective (in law) • System development stakeholders • Industry, developers, unions • Organization around capital projects (design, construct, maintain) • Focus on on-time/on-budget delivery Session VIII: Systems Operations as a Program

45. “External Authorizing Environment (Laws and Procedures) Session VIII: Systems Operations as a Program

46. A Change in Basic Culture Needed Session VIII: Systems Operations as a Program

47. 6. Organization and Staffing:Institutions Fragmented at two levels • Operational responsibility is fragmented at two levels -- internal (DOTs) and external (partners) • Shared responsibilities for roadways • Standard setting for safe operations • Provision and maintenance of facilities • Law enforcement • Emergency response • Operational performance support Session VIII: Systems Operations as a Program

48. External Legacy:Players in Highway Operations • Who is in charge of “service” in customer terms • What are the priorities of the players? • Can law enforcement and life safety be less traffic disruptive? Session VIII: Systems Operations as a Program

49. Internal Legacy: (Organizational Scale) State DOT Structure • Organization (“standard” model?) • Decentralized (now) • Hierarchical • Central office functions • Traditional divisions: • Planning • design/construction • Maintenance • “Operations” (not system) Session VIII: Systems Operations as a Program

50. Internal Legacy: (Organizational Scale) Can you find systems operations? Session VIII: Systems Operations as a Program