Insourcing vs Outsourcing Tactics & More – Playbook Review Part 8

In part seven we examined the various elements needed to implement a construction strategy. This post is a continuation of that discussion and will deal specifically with insourcing versus outsourcing tactics, field productivity reporting, and implementing key performance indicators (KPIs). This is part of an overall step of implementing a resiliency program, discussed in chapter five of PDi2’s Utility Infrastructure Resiliency Playbook.

Insourcing Versus Outsourcing Tactics

The final decision the utility will have to make is if and how to split the design and construction work between an internal (insourcing) or external (outsourcing) workforce. Given that a resiliency program will likely consist of spending above and beyond current activity, a critical question is can and/or should the work be undertaken with the existing engineering and construction workforce?

The answer to this question is based on a nuanced understanding of the utility’s internal capabilities and access to competent and experienced external service providers. In part, the anticipated program will require a realistic evaluation to determine the resource needs for design, procurement, permit acquisition, project management, and construction. As always, contingency planning for large outages should include on-site resources with minimal mobilization.

Field Productivity Reporting

Given the labor-intensive nature of the undergrounding work that will be part of a resiliency program, tracking hourly, daily, weekly, and monthly performance will prove critical to process improvement and in demonstrating prudence in the management and oversight of the construction process. Questions that will require answers include the following:

  • What motivates internal crew or contractor success and how can a utility make this visible and impactful?
  • What internal obstacles might we (the utility) create and how can a utility remove these internal obstacles that may slow productivity and the contractor’s ability to meet their productivity goals or reasonable profitability? What is the history or capacity of internal crews to meet their productivity goals?
  • What technologies can be applied or shared among the program team to support tracking of work, productivity, material installation, etc.?
  • How will standards compliance evaluation and commissioning tests drive the quality and effectiveness of workmanship? How will the quality of work affect contractor or intern crew compensation?
  • How will internal sampling, third-party inspection, and self-testing of construction quality take place?

Project Management Key Performance Indicators (KPIs)

The selection of one to three key performance indicators for the program is necessary to monitor implementation progress. At the program level, the setting of a clear and focused objective at the beginning of the planning process will help drive the development of KPIs for summary reporting.

In addition, progress reporting will prove critical in reauthorization and continuation of the resiliency efforts. The connection to clearly defining a program objective will come into play and demonstrate its importance in confirming the prudence of the program and the required investment.

Download the Playbook

Keep an eye out for our next post where we discuss how to report on your resiliency program’s progress. Interested readers are highly encouraged to download a free copy of PDi2’s Utility Infrastructure Resiliency Playbook. Designed to help utilities address obstacles they might face when developing resiliency programs, this comprehensive resource includes details on each step of developing a program, case studies, and links to additional resources.

October 2019

Utility Resiliency Playbook

Developed by PDi2

Mike Beehler

National Spokesperson/PDI2

Mike Beehler has 40 years of electric T&D experience at Tucson Electric Power, Hawaiian Electric Company and Burns & McDonnell.  He is educated as a civil/structural engineer and is a registered professional engineer in eight states.  He currently is the founding member and Chief Opportunity Officer of Mike Beehler & Associates, LLC and serves as the National Spokesperson for the Power Delivery Intelligence Initiative. 

Mike is a Fellow in ASCE and a Member of IEEE and CIGRE.  He has been married for 40 years and has four adult children and some delightful grandchildren.  He lives on Singer Island, FL.

Tony Hemling

Earthgrid
Voting Member PDi2

Troy Helming is a modern-day industrialist and Unicorn founder. He’s an innovator, inventor, author, an elite athlete (invited 4x to compete on American Ninja Warrior), and a clean energy executive. As a creator, he’s founded clean energy & climate-tech companies that have generated more than $30 Billion of economic impact to date and invented 2 technologies that have led to over 60 clean energy patent claims.

LinkedIn

Tim Wagner, Executive Director

Tim Wagner has nearly thirty years of association management experience, including positions as President & CEO, Executive Vice President, Chief Financial Officer, Chief Operating Officer, and Director of Finance. He has been instrumental in the financial and program success of several associations in the power, energy, and broadband industries. He has vast experience at national trade associations, including association governance, grant management, workforce development, planned giving, meeting planning, accounting, investment management, employee benefits, building operations, and information systems. Tim is a graduate (summa cum laude) of the University of Virginia, where he presented his thesis on the Economic Impact of the Rural Electrification Administration.

Landry Molimbi

Head of Asset Management and Prysmian Electronics
Prysmian Group North America
Voting Member PDi2

Landry Molimbi is responsible for leading all Asset Management and Product Development activities for High Voltage & Medium Voltage Partial Discharge testing/monitoring services, optical sensing products (DAS, DTS) and innovative solutions for the North America Business Units (High Voltage, Power Distribution, Industrial, Telecom).

In this role, Landry is focused on business development, project management, technical sales support, and Partial Discharge measurement services for the Prysmian Group proprietary and revolutionary PRY-CAM technologies for the asset management of electrical systems, helping utilities increase uptime, asset longevity and safety while reducing maintenance costs & risks.

Landry started his career with General Cable (Silec) in 2007 and joined NKT Photonics in 2011. He moved to the Prysmian Group as Vice President for the Prysmian Electronics BU in 2018.

Born in Paris, France, Landry holds a master’s degree in Engineering from the ENSEM, a school of the National Polytechnic Institute of Lorraine in Nancy. Landry is also a member of various industry committees and an active member of CIGRE.

John W. Fluharty, II

Quanta Services Inc.
Voting Member PDi2

John W Fluharty, II is currently working as part of Quanta Services, Inc.’s (Quanta) underground cable group that performs large underground electrical projects.

Previously Mr. Fluharty was Vice President of Mears Group, Inc. (Mears) a subsidiary of Quanta Services, Inc. He was an owner of Mears until its sale to Quanta in 2000. He managed every division in the company and at the end of his tenure with Mears he focused on business development, asset management, safety and operations for large projects.

Mr. Fluharty is a board member of the Power and Communications Contractor Association (PCCA), and the American Pipeline Contractors Association (APCA).

LinkedIn

David Lindsay

Marketing Manager – Energy Borealis Compounds, Inc.
Immediate-past Chairman/Voting Member PDi2

David Lindsay is currently Marketing Manager for the Energy business of Borealis Compounds, Inc. in North America. He has over 20 years in the US wire and cable business, working at manufacturers, non-profit organizations and electrical contractors. His experiences range from research and product development, to manufacturing, construction and installation of EHV cable systems. At Borealis he is responsible for customer and end-use marketing, and strategic planning of all wire and cable related product lines.

David serves on the NEETRAC Advisory Board, is actively involved in IEEE Insulated Conductor Committee and is past US representative to Cigré SC B1. He holds a Bachelors of Materials Engineering from the Georgia Institute of Technology and Masters of Business Administration from the University of West Georgia.

LinkedIn

Paul Caronia

Application Technology Leader, Power Cables - DOW
Executive Board/Voting Member PDi2

Paul Caronia, is the global power cable materials application technology leader in the Wire and Cable materials group of The Dow Chemical Company. He is responsible for leading the development and commercialization of new product technology for power cable applications. He has been involved in the development and commercial usage of today’s tree-retardant crosslinked polyethylene used in medium voltage cables, crosslinked polyethylene insulation used in high voltage cables as well as semiconductive compounds and flame retardant compounds. He is a senior member of The Institute of Electrical and Electronics Engineers (IEEE) Power Engineering Society and the IEEE’s Insulated Conductors Committee (ICC) as well as a voting member of the IEEE standard association. As a member of the IEEE ICC, he chairs ICC A7 on power cable jackets which just recently completed revising IEEE Guide P532for Selecting and Testing Jackets for Power, Instrumentation and Control Cables as well as the chair of ICC A6 on accelerated aging of materials used in cable applications. Paul is also a member of CIGRE (International Council on Large Electric Systems) and was a member of working group B1.55 that developed recommendations for submarine cables to 60 kV and is currently a member of working group B2.75 developing an application guide for insulated and un-insulated conductors used on medium and low voltage overhead lines. Is the author of over 40 publications/presentations, has over 12 granted patents and is a recipient of the R&D100 award. He is a graduate of Rutgers University, holding Degrees in Engineering as well as a licensed professional engineer.

LinkedIn

Ben Lanz

Director of Applications Engineering, IMCORP
Chair/Voting Member PDi2

After 20 years in the power cable industry, Mr. Lanz currently holds the position of Director of Applications Engineering at IMCORP and has technical oversight of power cable life cycle consulting. He is a Senior Member of the IEEE Power & Energy Society, a voting member of the IEEE Standards Society, and a member of the IEEE Dielectrics and Industrial Applications Societies. He has served as Chairman of the Insulated Conductors Committee (ICC) technical committees responsible for cable testing, cable reliability and surge arresters, Chairman of the American Wind Energy Association (AWEA) O&M Balance of Plant technical subcommittee, a UL technical study committee member for MV and HV DC cables and is a reviewer and voting pool member for InterNational Electrical Testing Association (NETA) standards. Mr. Lanz received his electrical engineering degree from the University of Connecticut (UCONN) under mentorship of Director of the Institute of Material Science Electrical Insulation Research Center (EIRC), Dr. Matthew Mashikian. He has published over a dozen papers on power system reliability, asset management, and diagnostics and regularly presents on the topics.