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AWWA ACE54400
- Metro Water Services Undertakes Bold Change Management Initiative
- Conference Proceeding by American Water Works Association, 06/01/2001
- Publisher: AWWA
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The Metropolitan Department of Water and Sewerage Services, also known as Metro Water Service or MWS, solicited technical and business proposals for change management/reengineering services from several companies to facilitate the achievement of specific cost reduction targets. The Brown and Caldwell (BC) team was selected and together, MWS and BC began work on a 5-year cost savings program in June 1999. The principal objectives of the MWS-BC partnership were for MWS to achieve actual, verifiable, and sustainable operation and maintenance (O&M) expenses of $64 million or less per year by June 30, 2002, and $60 million or less per year by June 30, 2004. The focus was on reducing O&M expenses in three phases over a 5 year period. Phase I, the Operations Study, was conducted over a 6 month period and assessed all aspects of the MWS business to identify and prioritize cost savings measures. The work culminated in the preparation of a written Cost Savings Action Plan, which will be implemented during Phase II, over the subsequent 2 1/2 years. Phase III, which included the following 2 years, was for the continued and additional implementation of cost reduction measures. Includes tables, figures.