NEW YORK, Jan. 17, 2013 /PRNewswire/ -- Utilities are concerned about the state of their infrastructure, and these concerns are driving a need for greater use of asset management practices, according to preliminary findings released today by McGraw-Hill Construction at the U.S. Conference of Mayors winter meeting in Washington, DC.
Initial results from the study developed in partnership with CH2M HILL, "Water Infrastructure Asset Management: Adopting Best Practices to Enable Better Investments," indicate that 75% of utilities practicing asset management report that aging infrastructure is an important factor in their decision to adopt this approach, and 42% began asset management practices because of the need to increase the reliability of their infrastructure systems.
Scott Haskins, Director, Technology, Quality & Innovation, CH2M HILL underscores why these are important drivers for asset management. "Adoption of asset management practices by utilities throughout the U.S. and other countries, is saving ratepayers money, improving system reliability and reducing risk, and helping utilities increase service levels. These practices can be adopted by other infrastructure intensive organizations, such as transit departments, roads, and facility departments, as well as ports and airports."
"The study also shows that once utilities adopt asset management practices, they more greatly value its ability to allow them to understand and better conduct business; 80% consider the fact that asset management allows them to better explain and defend their budgets and investment decisions to governing bodies, a valuable benefit of adopting the program," said Harvey Bernstein, Vice President of Industry Insights and Alliances with McGraw-Hill Construction, "In addition, 67% report that asset management allows them to have a better focus on their priorities. Both of these benefits can be attributed to the greater focus on data, risk assessment and lifecycle evaluation associated with asset management decision making."
One surprising finding of the study is that utilities using a high level of asset management practices trend toward higher levels of planned rate increases by 2017.
The survey also assesses the adoption and evaluation of 14 leading asset management practices, with implementation of technology and data practices as well as strategy and performance measurement ranking high in effectiveness.
The 2013 Water Infrastructure Asset Management study, prepared by McGraw-Hill Construction in partnership with CH2M HILL, was completed in conjunction with five industry associations who reviewed the survey and distributed it to their members: American Public Works Association, American Water Works Association, National Association of Clean Water Agencies, National Association of Water Companies and Water Environment Federation. The study included 451 respondents from the U.S. and Canada, from utilities ranging from those serving a minimum population of 3,300 to a population of over 500,000.
For more key findings from the 2013 Water Infrastructure Asset Management study, visit http://analyticsstore.construction.com/index.php/2013-water-infrastructure-asset-management-key-research-findings-2-pager.html.
About McGraw-Hill Construction:
McGraw-Hill Construction's data, analytics, and media businesses — Dodge, Sweets, Architectural Record, GreenSource, and Engineering News-Record — create opportunities for owners, architects, engineers, contractors, building product manufacturers, and distributors to strengthen their market position, size their markets, prioritize prospects, and target and build relationships that will win more business. McGraw-Hill Construction serves more than one million customers through its trends and forecasts, industry news, and leading platform of construction data, benchmarks, and analytics. To learn more, visit www.construction.com.
About The McGraw-Hill Companies:
The McGraw-Hill Companies (NYSE: MHP), a financial intelligence and education company, signed an agreement to sell its McGraw-Hill Education business to investment funds affiliated with Apollo Global Management, LLC in November 2012. Following the sale closing, expected in early 2013, the Company will be renamed McGraw Hill Financial (subject to shareholder approval) and will be a powerhouse in benchmarks, content and analytics for the global capital and commodity markets. The Company's leading brands will include: Standard & Poor's, S&P Capital IQ, S&P Dow Jones Indices, Platts, Crisil, J.D. Power and Associates, McGraw-Hill Construction and Aviation Week. The Company will have approximately 17,000 employees in more than 30 countries. Additional information is available at http://www.mcgraw-hill.com.
About CH2M HILL: Headquartered near Denver, Colo., employee-owned CH2M HILL is a global leader in consulting, design, design-build, operations, and program management for government, civil, industrial and energy clients. The firm's work is concentrated in the areas of water, transportation, environmental, energy, facilities and resources. With US$6.4 billion in revenue and 30,000 employees, CH2M HILL is an industry-leading program management, construction management and design firm, as ranked by Engineering News-Record and named a leader in sustainable engineering by Verdantix. The firm has been named a FORTUNE 100 Best Companies to Work For five times and was named Water Company of the Year at the 2012 Global Water Awards. Visit us at www.ch2mhill.com, www.ch2mhillblogs.com/water, twitter.com/ch2mhill and facebook.com/ch2mhill.
Kathy Malangone, Senior Director, Marketing Communications, McGraw-Hill Construction, +1 212-904-4376, email@example.com
Susan Mays, Vice President, Marketing & Strategic Initiatives, CH2M HILL, +1 303-330-1033, Susan.Mays@CH2M.com
SOURCE McGraw-Hill Construction