Development of expertise: Road maintenance Future competence requirements Summary

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1 Development of expertise: Road maintenance Future competence requirements Summary ViaNova Plan og Trafikk AS December 2009

2 Task Report Development of expertise: Road maintenance Future competence requirements Summary Client Norwegian Public Roads Administration Client reference Øystein Larsen Norwegian Public Roads Administration Teknobyens innovasjonssenter Abels gt Trondheim Phone: Task reference VN PT Report date Consultant Johnny M Johansen johnny.m.johansen@vianova.no reference Consultants Purpose and method Johnny M Johansen Ragnar Evensen Ivar Horvli Tor Erik Saltnes Åsmund Holen This report documents the findings from an analysis of the future needs for competence within the area of road maintenance. The analysis is carried out to substantiate the basis for prioritizing activities within the Public Roads Administration Project Development of Expertise within Road Maintenance. The analysis is based on a business model for road maintenance including involved stakeholders and their specific tasks together with a description of necessary competence. This competence is evaluated against future trends in society, the road sector and Norwegian Public Roads Administration. In this way, necessary changes in competence are identified. ViaNova Plan og Trafikk AS Leif Tronstads Plass 4 P.O.Box 434, 1302 SANDVIKA, Norway vnpt@vianova.no Phone: Fax: Front page photo: Johnny M Johansen, ViaNova Plan og Trafikk AS

3 Contents A Task and purpose... 4 B Method... 4 C Other analyses of competence... 4 D Business model for road maintenance... 4 E Road management: Competence area... 8 F Future trends and changes G Competence needs today H Future competence needs I Competence needs for NPRA J Competence needs for the business sector K Challenges and possible initiatives Document File: VNPT/15724/Report Summary/Future competence requirements Summary doc history Date Implementation Sign Distribution Final report JMJ Ø. Larsen Quality control JMJ Ø. Larsen Translation into English JMJ Ø. Larsen Norwegian Public Roads Administration Page 3 ViaNova Plan og Trafikk AS

4 A Task and purpose An analysis of existing competence and future competence needs within road maintenance is performed for the Norwegian Public Roads Administration (NPRA). The analysis gives special considerations to the fact that the in-house labour staff of the NPRA was separated from the authority form In addition, the analysis is supplemented by an evaluation of the competence and competence needs of the remaining road sector. The analysis is carried out to substantiate the basis for prioritizing activities within the NPRA Project Development of Expertise within Road Maintenance. B Method The analysis is based on a business model for road maintenance including a description of the involved stakeholders and their specific tasks together with a description of necessary competence. This competence is evaluated in the light of future trends and changes in society, the road sector and NPRA. In this way, necessary changes in competence are identified. In addition, the main challenges are identified and relevant initiatives to meet these challenges are recommended. C Other analyses of competence In the period after the reorganizing of the NPRA in 2002/2003, several analyses of competence and development of competence have been carried out. These studies call attention to that the separation of the Production Division of NPRA into a state owned public limited company, implies a risk of loss of important competence related to road maintenance. Competence management must therefore be handled in a different way if NPRA shall fulfill its role as road owner and manager and as builder in addition to taking care of its responsible position within the road sector as a whole. For the time being, several projects are carried out in the field of competence management, both within NPRA related to the National Transport Plan and elsewhere (Future Building Program at NTNU, module based education system at Avinor). D Business model for road maintenance Road maintenance can be defined as follows: Road maintenance comprises all activities necessary for establishing objectives and requirements, determining code of practices (level of service), planning, contracting and carrying out maintenance operations on the road network including all structures, installations, and right of way areas together with supervising and reporting. Road maintenance is in Norway divided into two separate tasks: Activities performed in order to provide for an existing road network that is most suitable with regard to daily use for the road user (named drift in Norwegian) Norwegian Public Roads Administration Page 4 ViaNova Plan og Trafikk AS

5 Activities performed in order to provide for an optimum life cycle cost for the road network in relation to the long term use of the roads (named vedlikehold in Norwegian). Maintenance operations comprise the actual physical execution of task on the road network. The production chain for road maintenance is presented in the figure below, with 3 operators: road manager, client and contractor. This classification is based on the existing external conditions for NPRA, that is no in-house labour forces and contracting road maintenance operations. Road network Infrastructure Road maintenenace Transportation Road manager Client Contractor Community services Traffic Road user and vehicle The stakeholders within road maintenance are shown in the figure below. Authority Political authority Road authority Audit, supervision Producer: Road maintenance Road manager NPRA authority Building Supplier Client Road users, vehicles Interest groups Contractor Road users The stakeholders are described in more detail below: Authority Political authority Road authority Politicians state, county and municipality Ministry, county authority and municipality Producer: Road maintenance Road manager NPRA, municipalities, Norwegian army, Avinor, etc. 1 Client NPRA, municipalities, Norwegian army, Avinor, etc. 2 Contractor Small, medium and large contracting companies, machine contractors, truck owners (including business sector organizations) 1 Local government reform 2010 can lead to addition of county authority. 2 Local government reform 2010 can lead to addition of county authority. Norwegian Public Roads Administration Page 5 ViaNova Plan og Trafikk AS

6 NPRA authority Building authority Authority for road users, vehicles Suppliers Suppliers of machines Suppliers of material Consultants Research and development institutions Educational institutions Audit, supervision Supervision authority Police Rescue services Road users Road users in general Public transport Transportation industry Transportation users Industry and commerce Tourist industry Educational institutions for drivers Insurance industry Interest groups Interest groups: Road users Interest groups: Environment Interest groups: Traffic safety NPRA, county authority, municipalities, Norwegian army, Avinor, etc NPRA Suppliers of machines and equipment for road maintenance, including overhaul, repair and training Suppliers of material for road maintenance including training Consultants and commission researchers Central and regional research institutions, universities, colleges Universities, colleges, technical colleges, Commission of inquiry for transportation Police, local, regional and national services Fire department, ambulance services, emergency services, civil defense services Pedestrians, cyclists, drivers (vehicle, motorcycle), including persons with handicaps Public transport companies, taxi (including business sector organizations) Transporters, transportation companies (including business sector organizations) Everyone with a need for transportation (including business sector organizations) Production companies, industry and commerce organizations Part of industry and commerce and transportation purchasers Hotels, public authorities, event industry Traffic schools (including business sector organizations) Insurance companies (including business sector organizations) Organizations for road users (drivers, cyclists, motorcyclists, etc) Organizations for environmentalists Organizations for traffic safety Norwegian Public Roads Administration Page 6 ViaNova Plan og Trafikk AS

7 The tasks for the three producers in the production chain for road maintenance are as follows: Road manager Client Contractor Road infrastructure management, traffic management Core activities: Road and traffic data Road network condition (recording, status and development) Level of service (code of practice) for road maintenance Assessment of requirements, objectives, strategy development including road maintenance costs Emergency preparedness Reporting to superior authority Economy (funding, budget, accounts) Traffic information Planning of road maintenance for road projects, communication with building authorities Road users and vehicles (vehicle characteristics, driver behaviour), communication with road user authorities Supplementary activities: Research and development Information/media Road user inquiries Road user involvement Stake holder involvement Contracting and management of contracts for road maintenance Core activities: Tender documents Cost etstimation, cost data bank Maintenance management systems Tendering process Portfolio contract management Contract management (progress report, safety and environment considerations, emergency preparedness, economy, quality system, disputes, hand-over transaction) Traffic information Reporting to road manager Supplementary activities: Research and development Market analysis (contractors and suppliers) Business sector organizations Road maintenance operations Core activities: Calculation and offers Portfolio contract management (resources, economy) Contract management (progress report, safety and environment considerations, resources, economy, quality system, disputes, hand-over transaction, reporting to client) Road maintenance operations (preparedness, inspection, production planning and directing, work management, safety and environment considerations, production) Traffic information Reporting to corporate management Supplementary activities: Research and development Norwegian Public Roads Administration Page 7 ViaNova Plan og Trafikk AS

8 E Road management: Competence area The competence area of road management includes the competence as described below Field of competence: Road management Core competence (subject): Road and traffic data including traffic accident data (inventory, events recording, storing and retrieval) Road network condition (parameters, recording methods, condition development, road user effects) Level of service (code of practice) Road maintenance management Road maintenance (activities, condition effects, road user effects) Road maintenance operations (methods, machines and equipment, material) Costs (relating condition and level of service) Economy (funding, budget, accounts) Traffic information Planning of road maintenance for road projects Road users and vehicles (requirements and effects) Supplementary competence (subject): Information/media Road user inquiries Road user involvement Stake holder involvement Field of competence: Client Core competence (subject): Project models including procurement regulations Tender documents (specifications, pricing, contract regulations) Road maintenance (activities, condition effects, road user effects) Road maintenance operations (methods, machines and equipment, material) Production management including safety and environmental considerations Cost and cost estimation Maintenance management systems Quality systems Decision support systems Traffic information Tendering process Contracting and contracts Supplementary competence (subject): Market analysis (contractors and suppliers) Supplier development Norwegian Public Roads Administration Page 8 ViaNova Plan og Trafikk AS

9 Field of competence: Road maintenance operations Core competence (subject): Calculation Tendering process including procurement regulations Contracts Road maintenance (activities, condition effects, road user effects) Road maintenance operations (methods, machines and equipment, material) Production management (planning, preparedness, production planning and directing, resource organization, work management, quality system, safety and environment considerations, production) Supplementary competence (subject): Traffic information Necessary supplementary competence in the three fields of competence, road management, client and road maintenance operations, are described below. Technical/natural science subjects Road design Detailed design Road technology Tunnel technology Constructions Traffic management Geology Geotechnics Biology Meteorology Information and communications technology Land acquisition Vehicle technology Consequence analysis Humanistic subjects Management Cooperation and communications Project management Law Economy Contracts Information Complex technical subjects Maintenance management Road maintenance management Traffic safety Public transport Environment Climate change adaptation Rock fall, landslide, avalanche Winter services Cleaning Green area management Project models Quality systems Security Norwegian Public Roads Administration Page 9 ViaNova Plan og Trafikk AS

10 Decisions support systems Maintenance management systems Safety and environmental considerations Universal design Research and development F Future trends and changes Trends and changes in society, the road sector and Norwegian Public Roads Administration are identified and described in order to evaluate changes in competences in the future. Trends and changes, which can influence the future need for competence within road maintenance, are indicated below. Influence today Influence in short time frame Influence over time May represent great influence suddenly Establishment of state owned company from the NPRA in-house labour force (2003) NPRA organization change into 5 regions and 30 district areas (2003) Local government reform 2010 Road sector funding High turn over among experienced employees connected to low recruiting in the sector The marginalizing of the society shortfall of resources and time for all activities Mobility of labour forces Organization of public sector request for efficiency and user involvement Outsourcing of public services Road and traffic sector development of traffic, technology and user requirements Structural change within the contractor and consultants industry Environmental requirements and climatic changes Coordination of government transport services Radical changes in transport policy: Changes in distribution between transport modes, transport restrictions G Competence needs today The need for competence within road maintenance is described in chapter E above. Within the following areas, the competence may get poorer in the future. Local competence about the road network, traffic, climate, etc Operational competence Cost competence Knowledge about parts of road network, traffic, climate, etc and their development over time Competence in evaluating such information, decide on the effects for road users and determine relevant road maintenance activities Competence about methods, machines, equipment and materials used for road maintenance and about their effects on road condition Competence about costs related to operations, that is the costs for different activities in road maintenance After 2003, the activities in the road maintenance production chain are divided between NPRA and the contractors. Personnel at NPRA does not have the same access to information from the operational part of the production. To maintain competence within these areas it will be necessary to deal with these matters in a more formal and systematic way. The continuity within this work must be maintained by NPRA. Norwegian Public Roads Administration Page 10 ViaNova Plan og Trafikk AS

11 Within the following areas, the competences are already considered to weak today: Contracts Contract management Management of extreme situations Effects and costs related to road maintenance Asset Management Design of contracts, contract clauses, specifications, economic settlement, distribution of risks and responsibility, etc Management, cooperation, communication Emergency preparedness, management models, cooperation Road user and society effects (traffic capacity, traffic safety, environment, etc) related to level of service and road maintenance operations, including the appurtenant costs for the road manager Joint understanding of road user effects, road condition and condition development, road maintenance activities and their influence on road condition and condition development, costs, level of service, etc. H Future competence needs The analysis of road maintenance, the appurtenant competence areas and subjects together with identifying general and special future trends and changes does not imply any new subjects or new competences that must be addressed in the future. All competence areas mentioned in chapter E represent competences and skills that will be necessary in the future. No areas are identified where the related competence can be dropped. The future offers therefore, to a larger extent, challenges related to competence management within known competence areas than challenges related to development of competence within new areas. Within the road maintenance sector, the challenges will consist of new requirements related to: 1. The distribution of competence within and between the actors will be changed as a result of organizing within the production chain. This will raise a demand for new methods for recording, processing and communicating this information and experiences. 2. The assessments will be more complex with greater requirements for risk identification: This means more multidisciplinary activities and requires more complex competence and increased skills within analysis (analytic predilection and methods). 3. High expertise will be necessary for appropriate use of basic competence (ref. 2 above). This demands high expertise in more areas. 4. The accessibility of competence must be improved: There will be a need for activities related to communicating competences, both existing competences and new developments and experiences. Increased requirements for competence are identified within the areas below: Effects related to road user and society: Road user and society effects related to road maintenance (road condition and condition development, relation between condition and road user effects, the effect of maintenance on road condition and condition development, cost of road maintenance) Low-energy production, raw material housekeeping Environment Universal design Traffic safety (vision zero) Adaptation to climatic changes Norwegian Public Roads Administration Page 11 ViaNova Plan og Trafikk AS

12 Efficient road management: Communication with superior road authority Establishment of overall and consistent objectives, strategies and long-term plans (Asset Management) Road network condition regarding road maintenance (condition parameters, condition development, level of service, performance indicators, condition recording) Security management and emergency preparedness (objectives and strategy) Documentation and reporting of resource allocation and results Road user and stakeholders involvement Efficient road maintenance operations (client/contractor): Management, cooperation and communication regarding contract performance Contracting, contracts (management, specifications, regulations, economic settlement, quality systems, decision support systems, sanction systems, reporting, taking over) Local competence about the road network, traffic, climate, etc Operational competence including cost competence Security management and emergency preparedness (objectives and strategy) I Competence needs for NPRA The need for competence for NPRA within road maintenance follows directly from the role assigned to NPRA in the future. Because NPRA acts on behalf of the society using funding from taxpayers, NPRA must be an informed client with complete competence regarding procurement of road maintenance and the expected result. In addition, such a role demands competence in communication with political authorities and road users in order to clarify the requirements, explain alternatives and consequences and prove the results that are obtained. In addition, according to instructions for NPRA, NPRA holds a sector responsibility for roads and road traffic. Sector responsibility implies that NPRA has to develop and communicate competence to the use of all society through other operators (politicians, road authorities, contractors, suppliers, consultants, research and development, education, road users, occupational groups, and organizations). With this complete responsibility and activity, including the sector responsibility, NPRA must hold competence within the whole area of road maintenance, on a defined minimum level. The competence requirement for NPRA will be as described in chapter E, G, and H. J Competence needs for the business sector The competence need for other operators within road maintenance, especially contractors and consultants, will be as described as in chapter E, G, and H. However, these operators must adapt their competence lever to their own demands. These operators can be more selfish in their assessment of competence requirements and adjust to their own enterprise. Norwegian Public Roads Administration Page 12 ViaNova Plan og Trafikk AS

13 K Challenges and possible initiatives Based on the performed evaluations, the following challenges seems most prominent: How to secure the right competence and an efficient competence development, also regarded to future changes in the sector, including the upcoming employee generation change, greater labour force mobility, use of foreign labour forces, and frequent change of responsible contractor? How to secure more employees with analytical predilection and behaviour for the sector? How to develop more educational work habits that allow collecting of experiences? How to secure contribution from all operators within road maintenance for preserving and development of the necessary competence and how to secure transferring of relevant competence to all participants? How to keep operational competence including cost competence within NPRA and in the business sector as whole? How to keep local competence about the road network, traffic, climate, etc, within NPRA and in the business sector as whole? Some possible initiatives that will meet these challenges are described below. Collection of information and transferring to available competence NPRA must take responsibility for superior collection of information and for the subsequent transferring to available competence. Collection of information: Design of road maintenance contracts to give basis for collection of useful information (through tendering process and through contract management) Implementation of contracts regulations regarding reporting of relevant data and experiences from the contractors Transferring of information at start-up and take over of the contracts Use of technology (sensors, data transmission, data storing) for automated collection of information Alternative project models for some of the road maintenance contracts: Contracts with client management or increased supervision by client. These contracts can act as educational centers for project managers and other project personell. Research and development activities may be included in these contracts. Cooperation with municipalities organizing road maintenance with inhouse labour forces or as a municipal enterprise. Processing information: Collecting, processing and communicating operational competence including execution, frequencies, resource allocations, costs and resulting condition on the road. Schemes for analyzing road sections in order to systematize local competence about the road network, traffic, climate, etc (risk analysis, etc) Communicating: Seminars and conferences Competence networks internally within NPRA and together with the business sector and other stakeholders Communicating information in tender documents for road maintenance contracts National Road Data Bank: Accessible for more user groups Client strategy Securing competent contractors and consultants by using a diversity of contract designs, contract volumes, specifications, competence requirements, etc. Norwegian Public Roads Administration Page 13 ViaNova Plan og Trafikk AS

14 Management of competence within NPRA Handbooks in NPRA (standards, manuals, guidelines, etc) Certificate requirements Learning organization Research and development in cooperation Education and recruiting Organization Establishment of systematic management of competence within NPRA, for NPRA s own purpose and with regard to other operators: 1. Identifying competence needs 2. Dimensioning: Competence level and capacity 3. Organizing the competence resources 4. Management: Strategy and administration Establishment of audit agency to monitor competence within NPRA. Establishment of at system for storing and retrieval of reports. Existing and future systems for experience retrieval and communication The handbook system in NPRA can be used as an instrument towards more of the mentioned challenges. Up-dating of handbooks gives a possibility to involve all stakeholders in order to make competence and experience flow in both directions: from operators to the handbook system and back to all users. Certificate requirements for competence for certain operations and for certain positions. NPRA, and other organizations in the production chain, should endeavour to develop learning organizations. Most important are implementing work habits that automatically collect and evaluate information. There is a need for promoting analytical predilection and behaviour within NPRA and in the sector as a whole. Analytical behaviour will be crucial for the ability to learn in an organization. Research and development are a significant source for bringing about necessary competence within road maintenance. Given the present organization of the road sector, research and development must be based on cooperation between several partners, but NPRA must take a leading part and both initiate R&Dprojects and encourage other organizations to engage in R&D-activity. The management of R&D-projects is crucial for the resulting benefits. Particularly it is important to work seriously with the formulation of objectives and with the communication of the results (demonstration projects, incorporation into standards/guidelines, etc), Cooperation throughout the business sector in the area of education and recruiting will be necessary for securing future competence and capacity. Recruiting to the sector must secure multidisciplinary competence, but also a diversity of skill amongst the employees, as skills related to activities, results and analysis. PhD-education should be used as means to enhance the competence within certain areas and for providing new competence. PhD-education should be directed towards both newly qualified personnel and towards personnel with several years of working experience. Experience demonstrates that organizations can loose competence through organizational changes. Management of competence should allow for the danger of loosing competence through future organizational changes. Critical competence should be spread throughout the organization in order to minimize the vulnerability to organizational change and outsourcing of parts of the activities. This can be done by making the right decisions regarding organization and by systems for competence management. Norwegian Public Roads Administration Page 14 ViaNova Plan og Trafikk AS

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