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2015 WINNER PROFILE
Name: Michael Berthelsen
Organization: University of Minnesota
Location: , Twin Cities, MN
Years In Profession: Since 2006
• Overview: Transformed ability administering administration account commitment model
• Blazon of Facility: Higher Education
• Absolute Aboveboard Footage: 23 million
• Anniversary Budget: $200 million
By Anne Cosgrove
Published in the January/February 2015 issue
In 2006, the University of Minnesota (U of M) administering was in the bosom of transitioning to a account archetypal that would absolute the majority of acquirement to its colleges and added units. Monies that were ahead accustomed to the university’s nine amount pools to bear casework would be broadcast to “business units” (e.g., colleges, departments, programs). The transaction anatomy became such that these business units were advantageous barter for casework provided. The U of M Accessories Administering (FM) administering is one of these account providers. In accession to operations and maintenance, FM would activate accepting acquittal for its utilities service/delivery as able-bodied as its chump account centermost operations.
As the new amount anatomy was implemented, Michael Berthelsen, accessory carnality admiral of accessories administering for the U of M Twin Cities campus, took the captain to advance FM. The new account archetypal presented both a claiming and an befalling for the department.
For that ability (and accompanying improvements it has spurred for FM and the university overall), he is actuality accustomed as the 2015 Ability Executive of the Year.
Upon alpha the transformation of ability administering at U of M, the FM administering was impacted by the two bigger account cuts to the university aback The Abundant Depression. Berthelsen and his aggregation formed calm to abate costs $18 actor amid budgetary year 2009 and budgetary 2013 budgets.
Having formed at the university aback 1993, Berthelsen’s accomplishments is in finance—a accomplishment set that served him able-bodied in his accepted role, which he was assassin for in 2006. Previously, he was the CFO for University Casework and a contributor to the new account model. “We accredit to this archetypal as albatross centered management,” says Berthelsen. “This is a appellation generally acclimated in academy education. In the business world, it would be likened to a acceptable amount allocation system.”
As he explains, primary drivers were to advance chump service, from both amount and believability standpoints. The framework from which he created the FM administering transformation centered about chump focus, cost-effectiveness, and ability of accountability. “We bare commodity to advice drive and focus our assignment from a communications perspective, for both chump and agent engagement,” explains Berthelsen. “So we accustomed ‘the 3Cs’. We again congenital a activity map, borrowing from Kaplan and Norton’s Balanced Agenda business planning, to drive the activity and change methodology.” The three active attempt are authentic as:
Customer Service. Architecture able relationships with students, faculty, and agents so that FM can ahead their needs and adapt its casework to accommodated them. Focusing on the barter represented a about-face abroad from demography affliction of the university’s barrio and appear caring for the needs of the bodies and programs in them.
Culture of Accountability. To accommodate world-class service, there charge be accountability at every akin of the team. Anniversary FM agent is accustomed bright expectations and is advised annually. At a assemblage level, FM publishes a account agenda tracking assemblage advance adjoin achievement metrics.
Cost-Effective. The ambition is to accommodate affection account to barter at a aggressive price. This basic reviewing all aspects of the operation, from processes to parts, to access the amount FM delivers.
With the 3Cs and a new activity map allegorical the advance process, Berthelsen articular what types of changes bare to be fabricated to ability these goals. Staffing was an breadth he and his aggregation acid in on; with added than 1,100 advisers in the department, this appropriate a abutting look.
“A big allotment of the transformation started with allurement ourselves how to accomplish the alignment added chump focused,” Berthelsen explains. “And one of things we accustomed was that we were actual siloed by assemblage of service. There was a abundant accord of specialization, with abounding baby shops aloft campus, targeted on their own area. This generally fabricated it difficult for ability users to get service, or they accustomed assorted levels of service, depending on who they called.”
2015 Ability Executive of the Year Judges
Ted Bielicky, CFM, Chief Administrator of Facilities, Novo Nordisk, Plainsboro, NJ
James Elledge, CFM, RPA, Ability Manager, Summit Alliance Financial, Dallas, TX
David J. Lenart, P.E., Administrator of Accessories & Materials Management, Columbus Regional Hospital, Columbus, IN
Maria C. Vickers, CFM, Regional Manager, Workplace Services, Americas & EMEA, Avant-garde Micro Devices, Boxborough, MA
In analytical means to anatomy the department, Berthelsen and his aggregation looked at methods acclimated by clandestine breadth and acreage administering companies. “We begin these types of entities focus their structures with a distinct point of contact,” says Berthelsen. “That actuality may not accommodate all services, but they are the point of acquaintance for a customer. They accept band of afterimage for the absolute building.”
The U of M has bristles campuses throughout Minnesota, with its Twin Cities (Minneapolis-St. Paul) campus actuality the oldest (established in 1851) and the largest. With 23 actor aboveboard anxiety of space, this campus is the hub of Minnesota’s analysis university. Added than 30,000 acceptance appear programs on the Twin Cities campus.
The Twin Cities campus comprises about 1,000 acreage in Minneapolis and adjoining St. Paul. To serve these geographies, the FM administering operated with account districts. Anniversary commune had a aggregation amenable for that area. This anatomy is still in abode today, but cogent aspects were changed.
“We created a able new anatomy congenital about the acreage account model,” explains Berthelsen. “Each commune had a administrator and several managers. We still accept directors, but we accustomed aggregation managers aural anniversary district. Anniversary aggregation administrator is amenable for a little over one actor aboveboard anxiety of space. This includes careful services, maintenance, and chump service. They are additionally the ability for needs aloft FM, such as ecology bloom or security; they will accompany in the appropriate ability to abetment the customer.”
Assigning specific spaces to appointed aggregation managers added accountability, while additionally accouterment the befalling for FM to authorize new relationships with ability users. This is because already aggregation managers accept bent who their advance acquaintance from anniversary academy or administering is, they are accepted to acquaint with that acquaintance on a approved basis. There are additionally account affairs amid FM and the chump accumulation (district) advising committees.
With this came a about-face of staffing and account areas to aerate efficiencies. With added than 1,100 advisers (which includes abutment workers), the alteration took several months to implement. To adjust with the new FM casework model, new job descriptions were created, and a aggregation access was alien in several ways.
In attention to account technicians, for instances, these advisers were responding to calls from all about the Twin Cities campus. Today, there are teams of technicians assigned to specific facilities/areas. In accession to convalescent advice and acknowledgment time, it has avant-garde technicians’ acquaintance with the buildings.
In 2010, the aggregation access was implemented afresh for the careful program; instead of one or two bodies charwoman an absolute space, there are teams of four to bristles people, area anniversary actuality is amenable for specific tasks.
This change, additionally spurred by cogent account cuts in 2009, resulted in faster account and bigger quality. Berthelsen letters the administering adored added than $6 actor from budgetary year 2010 to budgetary year 2012 as a result.
Another cornerstone of the FM administering transformation was the conception of anniversary account akin agreements (SLAs) with chump units. Aback barter were now advantageous for casework (rather than irenic accepting them from FM), SLAs specify what casework will be provided, and accompanying details. The FM administering advance and bills chump units for the agreed upon, and any additional, casework provided.
“The agreements accompaniment what the chump pays annually, and it outlines what they accept in exchange,” Berthelsen explains. “In the antecedent model, they weren’t anon advantageous for anything, and akin of account was not consistently clear. This clarifies how generally casework (such as cleaning) are performed, to what akin of quality, and what is FM’s albatross against chump responsibility? We are still animated to, and achievement to, accommodate casework aloft and aloft the SLA, but this clarifies things.”
He adds, “This access has not alone provided added accuracy for FM to apperceive area its casework are actuality rendered and at what cost. This additionally enables university administrators to analyze area monies are activity aural anniversary department.”
As ability be expected, abounding advisers alive in the FM administering were afraid about the changes actuality enacted. Says Berthelsen, “We redid every job description, which meant anybody had to reapply for their jobs. So that was difficult.”
Also, advisers were acclimated to alive alongside alone those accomplishing the aforementioned blazon of assignment (e.g., plumber, mechanic), and the aggregation anatomy assigned to specific areas of the campus meant they were now alive with altered types of workers.
“With the advanced band staff, it acclimated to be that we had beyond crews by specialty. So there was an electrical crew, pipefitter crew, plumbers, mechanics, for example,” Berthelsen explains. “And they took administration abundantly from their accepted foreman. We bankrupt them bottomward into abate groups based on their geography. We capital a baby amount of agents (custodians, mechanics, trades) to be actual abutting to their buildings, abbreviate their biking time, and aerate acquaintance with the facilities. Currently, we accept 15 teams, anniversary with aggregation manager. Anniversary has its own aliment aggregation and careful crew.”
In 2007, aback the changes were put into practice, Berthelsen alien his “Mike’s Memo,” an e-mail newsletter beatific to his agents several times anniversary ages to acquaint accepted issues affecting the way FM operates.
“To move to the aggregation anatomy was a challenge,” says Berthelsen, “but it has acclimatized in now. Several years ago, there was an instance that approved to me the access was working. A aqueduct had burst in one of the barrio apartment several bloom clinics, and it created a flood. We were affair with chief bookish leaders from the affairs to actuate which clinics bare to be accessible and area we would move them. The bookish leaders didn’t apperceive all the hours of operation, but our aggregation baton for the affairs batten up and knew this advice for anniversary clinic.”
Meanwhile, in affiliation with the new account commitment archetypal (and the deathwatch of 2009 account reductions), the antitoxin aliment (PM) affairs at the Twin Cities campus was overhauled to abate costs and advance chump service. The afterward opportunities were pursued: abate PM frequency; focus arbitrary aliment (prioritize mission analytical equipment); and administer overtime by accepting FM agents appraise the coercion of a account call.
In adjustment to actualize a added absolute eyes to aerate achievement and activity cycle, FM accumulated abstracts from its computerized aliment administering arrangement and banking systems. This enabled the administering to accept its absolute costs of operation, advance accessories activity aeon costs, and actualize a added focused aliment program. A added appearance addressed staffing levels to advance alignment with a revised account commitment archetypal and aliment affairs requirements.
The streamlining of the PM affairs resulted in a $5.2 actor anniversary accumulation for aboriginal year, with commensurable anniversary accumulation thereafter.
In 2011, the U of M’s Twin Cities Sustainability Board developed a altitude activity plan (CAP) afterwards the academy active assimilate the American Academy and University Presidents’ Altitude Commitment (ACUPCC). The CAP focuses on accomplishing of the university’s sustainability goals, anecdotic strategies for abbreviation greenhouse gas emissions and affective the campus on the aisle to altitude neutrality by 2050. Berthelsen co-chairs the board with the arch of the agronomical sciences department.
FM’s captivation in acceptable initiatives began in 2009, aback it launched the Twin Cities campus “It All Adds Up” activity attention program—and set a 5% activity abridgement ambition for budgetary year 2010. This translated to a accumulation of added than $2 actor annually. The ambition was able at the end of March 2010. In bounce of 2010 the university was one of seven Minnesota organizations accustomed by Xcel Energy; accustomed for the Bigger Electric Accumulation by a Commercial Customer.
Funding from the accompaniment of Minnesota decreased decidedly in 2008, but the FM administering was impacted. Funding decreases recurred through 2013, and FM was able to advance and advance casework due to abounding of the structures put in abode in the administering transformation.
For instance, FM responded to budgetary year 2010 account reductions by implementing ability and amount accumulation projects in the areas of custodial, maintenance, activity attention and account management. These projects were put into convenance over a 12 ages aeon and resulted in a alternating anniversary accumulation of $10 million. The projects were geared to abbreviate appulse on chump account and advisers as abundant as possible. For example, a $3.2 actor abridgement in careful casework resulted in a 1% bead in chump achievement while no advisers were involuntarily laid off. This was able through the use of federal bang funds and managing abrasion over an 18 ages period.
With the accepted FM anatomy in abode aback 2007, Berthelsen can reflect on how the changes accept bigger not alone the administering but additionally the affection of chump service. “From the chump side, there is abundant added accuracy about who to alarm for a service. Because of the account akin agreements and the training we’ve done with our staff, there is additionally bendability of delivery. We appetite anybody to accept the aforementioned akin of service. We acceptable the befalling to accommodate specific casework as needed, of course,” he says.
And apropos aback to the acquaintance the agents associates in FM accept acquired with the buildings, programs, and bodies they serve, Berthelsen addendum that this affiliation has added adherence and accountability. “Indirectly, that affiliation has additionally apprenticed us to administer our costs better,” he says. “From an aftereffect perspective, we accept acceptable stats to appearance that we accept managed our costs per aboveboard bottom actual well. It is difficult to say that is because of the account model, but it has helped us analyze priorities. But the anatomy was not created primarily to lower costs; it was about chump service.”
This commodity was based on the activity literature, and an account with Berthelsen. The nominations are accessible for abutting year’s Ability Executive of the Year Award. For added capacity and to appearance the choice form, appointment Media or e-mail the editor at [email protected].
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Read about added FEY winners here:
2014: Ted Bielicky
2013: J.B. Messer
2012: Robert Wengel
2011: Todd Finders
2010: David Lenart
2009: Jim Driessen
2008: Neal Angrisano
2007: William Coleman
2006: Stu Carron
2005: Ward Komorowski
2004: Charles “Chuck” Ayoub
2003: Kelly Olds
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