Chapter 8Project Operation and Maintenance

(in developing countries)

(4 hours)

Prof. Dr. Hari Krishna ShresthaCenter for Postgraduate Studies

Nepal Engineering CollegeChangunarayan Municipality, Kathmandu

Importance of O&M• Hundreds of projects around the world demonstrate how the newly built

infrastructure deteriorates after the project’s termination. Therefore, it is imperative to plan for operation and maintenance (O&M)…

• O&M activities encompass technical, managerial, social, financial and institutional issues. O&M is a crucial element of sustainability, and a frequent cause of failure of service facilities in the past. Many failures are not technical ones. They may result from poor planning, inadequate cost recovery, or the outreach inadequacies of centralised agencies (LSHTM/WEDC 1998).

• O&M has been neglected in the past, or been discussed and introduced only after a project was completed. Delay in applying O&M has adversely affected the credibility of the investments made, the functioning of the services, the well-being of rural populations, and the development of further projects.

• Importance of O&M has gained considerable visibility over the past few years, and it appears that policy-makers and project designers are now more conscious of the direct links between improved O&M practices and the sustainability of project services. There is also greater recognition of the need to approach these projects in a comprehensive way, encompassing not only the design and construction but also post-construction activities (BRIKKE 2000).

Source: http://www.sswm.info/category/planning-process-tools/ensuring-sustainability/tools-ensure-sustainability/ensure-sustain-4

Construction Project Operation• Construction Project is executed to create something new to achieve a specific

objective. • Operation begins once the construction phase is completed. • Operations are the ongoing execution of activities that produce the same

output, or provide a repetitive service.• Operation is necessary to maintain and sustain the system and achieve the goals.• Operations are permanent in nature, and their only constraint is to make profit

for the organization.

• O&M refers to all of the activities needed to run a project/scheme, except for the construction of new facilities. The overall aim of O&M is to ensure:

• efficiency, • effectiveness and • sustainabilityof project facilities (adapted from CASTRO 2009).

Operation consists of:• Smooth running of a project without any unplanned interruptions throughout its

lifespan.• overseeing, designing, and redesigning daily operations• managing process that converts inputs into outputs.

Objective of Project Operation• To have regular expected level of goods and services from the

project• At the right time (effectively)• In reliable and sustainable manner (involves technical,

financial, social and environmental issues)• With least cost (efficiently)

Potential Thesis Topic: Analysis of Operation Model of Middle Marsyangdi HEP (or any other institute/project/line agency)How is it run on day to day basis? Does it have an operation manual (OM), and does it cover all aspects of operation (technical, human resource, finance, social, environmental, public relation, legal? Is the OM followed? Are the staff members aware of OM, and the way to use it? How often the OM is updated, who updates it, are they trained? Does it require updating? What are the weaknesses and strengths in the manual? How can the HEP be made more efficient by improving the manual? Is the MM HEP’s OM very different than manuals of other similar projects? What lessors can be learned from comparative analysis of different manuals? Will the MM HEP support preparation of your thesis, if it does not have OM yet?

Poor Project Operation can result in Project failureReasons for poor project operation:• Lack of clear goals, objectives• Goal incompatibility – conflict in objectives• Lack of required technical skill• Poor management skill• Poor quality materials used in the project• Material sizes used are not readily available• Lack of updated operation manual or improper

manual use

Operational Activities• Planning the operation• Implementing the plan• Monitoring the operation• Adjustment of the plan in response to monitoring

Potential thesis topic: Trend of operation cost in irrigation/hydropower/micro-hydro/water supply projects of Nepal;Factors affecting operation costs in infrastructure development projects in NepalOperation cost comparison in private vs. government vs. community managed HP/WS/Sanitation/Irrigation/Housing projects

Maintenance• Maintenance involves the technical activities,

planned or reactive, which are needed to keep the system working. Maintenance requires skills, tools and spare parts (Carter 2009).

• Includes all actions which have the objective of retaining or restoring an item in or to a state in which it can perform its required functions.

• Reduces the deterioration of asset and prolongs its life, reduces operating cost, pushes back need of much expensive rehabilitation and reconstruction.

Objectives of Project Maintenance• Increase economic life• Maximize availability and reliability of all assets• Extend life of asset• Prevent system deterioration (structural, mechanical)• Ensure operational readiness of all the equipment/components• Reduce services and problem in management by reducing

frequency and cost of rehabilitation• Minimize frequency and severity of interruptions in operation

process.• Enhance personnel safety• Reduce project downtime• Better project operation

Planned versus Emergency MaintenancePlanned (Preventive and Corrective) Maintenance• Routine maintenance: small and simple maintenance works,

carried on regular basis, not requiring forecast and assessment of specific nature.

• Recurrent maintenance: generally higher interval of time than routine maintenance; may need identification and preparation of cost estimate.

• Periodic maintenance: maintenance works carried out in intervals of years. Normally larger maintenance, using skilled human resource; identification and preparation of cost estimate needed before starting.

Emergency (Reactive) maintenance: carried out immediately after unwanted/unplanned incident or after public complaint; can be due to natural or human induced disasters.

A stitch in time saves nine.

Preventive and Corrective Maintenance• Preventive maintenance: includes work that is planned and carried

out on a regular basis to maintain and keep the infrastructure in good condition, such as network inspection, flushing of the well, cleaning and greasing of mechanical parts and replacement of items with a limited lifespan. It sometimes also includes minor repairs and replacement as dictated by the routine examinations.

• Preventive maintenance is conducted before a breakdown occurs.• Preventive maintenance is effective in preventing age (or fatigue)

related failures.

• Corrective maintenance: replacing or repairing something that was done incorrectly or that needs to be changed; an example is the reallocation of a pipe route or replacement of a faulty pump.

• Corrective maintenance is conducted after a breakage has occurred. Normally more costly than preventive maintenance because failure/breakdown itself causes multiple damage in other parts also.

Preventive maintenance is conducted to keep equipment working and/or extend the life of the equipment.Corrective maintenance (repair) is conducted to get equipment working again.

Types of Maintenance

Maintenance

Planned

Preventive

Routine Recurrent Periodic

Predictive Corrective

Shutdown Breakdown

Unplanned/

Reactive

Emergency

planned corrective: Regular budget allocation (cumulative) for sudden project shut down; projected downtime in hydropower or water supply projects, overhaul or replace bridge after its service life, replace major components after design life.

Planned Maintenance Management System• Restoration of asset is a challenge which can be

achieved by a planned maintenance management system (PMMS), comprising of a series of interdependent routine, recurrent, periodic and emergency activities.

• The key to ensuring effective maintenance is to make certain that responsibilities are clearly defined and maintenance personnel have the tools and skills to do their job effectively. It is also essential to schedule preventive maintenance.

Can you develop PMMS for your organization, as an output of your thesis?

Functional Status of the ProjectsS.N Status Criteria No of

SchemesCovered HHs

Coverage (%)

1 Well managed projects 7,464 373,295 17.91

2 Minor repaired required 16,935 809,996 38.85

3 Major repair required 4,375 246,481 11.82

4 To be rehabilitated 4,967 437,800 21.00

5 To be reconstructed 3,438 189,756 9.10

6 Projects not possible for re-operation

467 27,008 1.30

7 Others 15 530 0.03

Total 38,307 2,084,866 100

Source: Nationwide Coverage and Functionality Status of Water Supply and Sanitation in Nepal, Final Report, National Management Information Project (NMIP), Department of Water Supply and Sewerage (DWSS), Panipokhari, Kathmandu, March 2011

Design aspect of O&M• Ease of O&M should be made an integral part of

project design• Design optimization to reduce O&M cost• Level of technology chosen in the design should be

suitable for easier O&M (rural vs. urban, local vs. central)

• Project components/parts chosen in the design should be available for O&M

• Standardization of equipments/parts will ease O&M

Community Management for O&MFor the projects owned and operated by community:• community ownership and management approach

facilitates effective O&M• End-users directly responsible for the O&M• “owner’s manual” prepared by the contractor and

engineer at the onset of the planning process, keeping the community O&M in focus:– schedule and procedures for maintenance– methods to carry out tasks such as bookkeeping, paying

employees, collecting bills (utility management), inspection, refurbishments, replacement of parts, etc.

– What to do? When to do? How to do? Whom to contact? Contact numbers…

Capacity Building for O&M

• Correct, unambiguous information at the right time required for proper operation

• Training of “how to use correctly”, and do’s and don’ts for proper operation

• training on technical matters, accounting and simple financial management, basic contract procedures, and monitoring and reporting

• Training to local officials• Training to local technicians and O&M crew• ToT to NGOs

Organizing and Planning O&M• Organising for O&M does not represent a huge task,

but it does require certain level of planning, commitment and monitoring. The aspects to be organised are:

• What: the activity which is to be carried out• When: the frequency of this activity• Who: the human resources required for the task• With what: what are the logistical support (materials,

spare parts, tools and equipments) needed.Potential thesis topic: Trend of maintenance cost in irrigation/hydropower/micro-hydro/water supply projects of Nepal;Factors affecting maintenance costs in infrastructure development projects in NepalMaintenance cost comparison in private vs. government vs. community managed projects

Example table for the type of tools which have to be developed to support the O&M of a new infrastructure. The example relates

to the O&M of a septic tank (adapted from CASTRO 2009):

O&M ManualO&M manual is a living document. It should be flexible to accommodate changes,

periodically updated based on experience and as organization matures.

O&M manual may include topics such as:• Installation and configuration operations and associated definitions• System maintenance, updates and upgrade policies, procedures, and schedules• Proper and improper handling and maintenance of different types of equipment• Database scheme, network typology, and flowcharts used to illustrate items such as

system design, data communications, program logic, and the relationship between network nodes.

• Instructions for opening/closing and starting/stopping applications, devices, and services under various conditions

• Procedure and sequences describing backup routines, media type, storage locations, and schedules

• Security controls for staff, facilities, infrastructure and emergency response procedures• Frequently asked questions and troubleshooting techniques for common issues• Roles, responsibilities and contact information for key personnel and support staff• Other miscellaneous and/or relevant items

Characteristics of O&M Manual• Easy: to understand, easy language, unambiguous • Accessibility: stakeholders should have easy access (hardcopy/softcopy,

website)• Jargon: no jargon, not loaded with abbreviations• Regulations: related regulations, acts should be provided• Manuals: multiple copies of the manuals, department-wise manuals• Style: consistent style, text, sectioning• Author/Editor: author and editors to be different persons• Align: align with policies and procedures of organization• Update: should be updated based on experience• Educate: Train stakeholders and staff, continually reinforce O&M practices• Lessons: review previously used O&M, learn lessons from O&M

implementers, and update

Activities in preparation of an O&M Manual• Identify the types of O&M required• Identify information sources and information to be used in the

manual• Identify and engage appropriate stakeholders and subject matter

experts (SME)• Identify and incorporate SME inputs• Develop each O&M manual• Obtain approval from stakeholders and publish manual• Test, train and exercise to reinforce and validate manual• Prepare personnel through training and awareness campaign• Document lessons learned and incorporate them in updated O&M

manual• Treat O&M manual as living document and update them regularly, to

remain current with operational and system changes

Some common types of O&M Manual

• Product installation and maintenance manuals• System description, operations, backup and recovery manuals• Data and software administration manuals• Human resources and personnel manual• Help desk support manuals• User Manuals• Emergency and safety manual• Quick reference guide• Job aids• Run book

Source: CDC Unified Process Practices Guide, 2008, O&M Manual, Department of Health and Human Services, USA

Let us assign presentation topic. Presentation to be prepared and made in Nov 28 & 30, 2016. Report in MS Word format, by Dec. 7, 2016. (Tentative)