INNOWATER Water Audit
IMPROVEMENT PLAN METHODOLOGY
After collecting and assessing all the technical and water management data from the enterprise it is necessary to define an improvement plan to propose the most convenient measures to attain the final objective pursued by this water audit, which no other but the improved use of water in the enterprise.
The definition of the improvement plan must at all times be agreed with the enterprise, to secure that the subsequent implementation of proposed measures are actually viable and workable.
When defining an improvement plan, possible improvements applicable to the enterprise must be identified and then screened to select priority improvements, followed by a revision of their actual possibilities of implementation and a final definition of a realistic action plan to attain the implementation of the selected improvements.
Stages to implement the Improvement Plan
a) Identification of improvement possibilities on technology and management analysis
The consultant, after analysing all the data collected during STAGE 1, draws a comprehensive list of possible improvements, their respective objectives and reflects on the actual possibilities of intervention.
This comprehensive list must include the following:
- Improvements in installations and process technologies
- Improvements in use of current technologies (employee behaviour)
- Improvements in management (based on STW)
The consultant, when doing office work, must do a preliminary study of the chances for improvement in those aspects of the production process and in the use of auxiliary installations. This means searching for information on the possibilities of implementing each of them, and doing a first general viability analysis.
During his/her subsequent visits to the enterprise, the consultant must work together with the enterprise to select proposals for improvement.
b) Selection of those (minimum 5) improvement possibilities with most impact:
The consultant works together with the enterprise to select de 5 priority improvements to implement under the action plan. For this purpose, improvements are analysed according to the following 4 criteria.
a. ROI and cost analysis
b. Estimations of impact (water saving, minimizing pollution, etc…)
c. Risk analysis
d. Real possibilities to implement these improvements (easy implementation)
The paired comparison system may be used to prioritize improvements for selection purposes. This method allows to sort items by their importance, i.e. to prioritize the items subjects to assessment.
Step 1: fill out this table for each identified improvement:
Identified improvement / Criterion 1:Cost of investment / Criterion 2:
Cost of use / Criterion 3:
Return on investment / Criterion 4: Impact (lower water consumption and pollution rates, etc.) / Criterion 5: Risk analysis / Criterion 5: Easiness to implement
M1
M2
M3
M4
M5
M6
M7
M8
…
Cost of investment: if the proposed measure involves an investment, appraise its cost.
Cost of use: energy consumption, maintenance, repairs, consumables,…
Analysis of return on investment (years): To analyse the return on investment, it would be most convenient to define first the actual cost of water. The current cost of water (€/m3) does not include the actual cost of the management of the complete water cycle, or criteria such as the scarcity of resource, etc. If the analysis of the return on investment is done using the price being currently paid, the actual situation from the perspective of the actual cost of water is not being analysed. For this reason it is advisable to analyse the return on investment based on the new price of water consumed by the enterprise, i.e. the actual cost of water.
Impact: appraising the positive environmental impact of the proposed improvement may be defined as a % of reduction in water consumption, or a % reduction in the pollution burden of waste waters.
Risk analysis: this means appraising the potential risk for the business resulting from implementing a specific recommendation. This risk may be an operational and/or a financial risk. Examples of risk analysis may include: period of potential manufacturing inactivity during installation and commissioning, risk of interruption of business activity in case of failure of new installation, potential risk of pollution incidents in case of malfunction of installation, the distraction of key staff from other important activities if new equipments cannot be maintained and operated properly…even the risk of a lack of competitiveness if the measure is not implemented, among others, may be analysed.
The table below shows an example of how to appraise the risks entailed by an improvement. The risk may ultimately be rated as high, medium or low.
Example of Risk Analysis of an ImprovementProposed improvement / Potential risk / Proposed risk reduction / Risk scale (high, medium, low)
E.g. Installation of new filter in drain pipe no. x to reduce solid release to the treatment plant and allow for product recovery / Filters fail if not maintained regularly; clogged with solids released to the treatment plant, it has an adverse impact on the efficiency to the treatment. / Defining a maintenance plan with resources required for the regular cleaning of filters / Low
Easiness of implementation: the overall easiness of implementation of the proposed improvement also needs to be analysed. For instance, in the case of a new installation, it allows to identify obstacles relating to training of staff or, for instance the actual viability of a change of habits relating to an improved management of existing installations..
Step 2: Cross-analysing each identified Improvement pursuant to each criterion
The consultant, in collaboration with the enterprise, compares each identified improvement with the rest of improvements, according to each assessment criterion, deciding, in each case, according to which criterion it is more relevant.
ASSESSMENT MATRIX FOR EACH CRITERIONI1 / I2 / I3 / I4 / I5 / I6 / I7 / I8 / …
I1
I2 / I2
I3 / I1 / I3
I4 / I1 / I2 / I4
I5 / I5 / I2 / I5
I6 / I1 / I6 / I6
I7 / I1 / I7 / I7
I8 / I8 / I2 / I8
…
Fec / 4 / 4 / 1
If according to Criterion 1 improvement I2 is more relevant than improvement I1, then enter I2 in the intersection cell of both improvements.
Fec: frequency with which one given Improvement Ix has been chosen over the rest of improvements.
The selection frequency of each Improvement for one given criterion is calculated by counting the number of times that the Improvement has been chosen as most relevant along the entire table. This helps determine the priority of each improvement with regard to the other improvements.
The process is repeated as many times as there are assessment criteria, using a different criterion each time.
Step 3: The results are entered into one single table of results to calculate the total value of each Improvement.
SUMMARY OF RESULTSI1 / I2 / I3 / I4 / I5 / I6 / I7 / I8 / …
Cost of investment / 4 / 4 / 1
Cost of use
Return on investment
Impact estimates
Risk analysis
Easiness to implement
TOTAL (SUM)
Finally, the results are entered into one table to calculate the total value of the problem, by adding the frequencies of each Improvement according to all the criteria. To do this, the values obtained according to all the criteria are added and subsequently sorted in descending order.
FINAL ORDER OF IMPROVEMENTSNO. / NAME OF IMPROVEMENT / VALUE
1
2
3
4
5
6
7
8
The 5 top-ranking Improvements shall be initially selected for implementation purposes within the Improvement Plan.
c) Overview of driving actions for investment
e. Internal: saving potential, etc
f. External: availability of subsidies, tax-incentives,
After screening the 5 most feasible Improvements it is necessary to clearly identify existing supports, both internal and external, for their implementation.
When describing internal supports certain factors need to be taken into consideration: estimates of saving potentials, foreseeable effects, reduction of environmental impact, synergies with other actions already implemented in the entity, etc.
The description of external supports must rely on the existence of public aid schemes, tax incentives, etc.
d) Action Plan:
Improvement Action Sheets
Once the improvements to be implemented have been selected and prioritized and existing supports for their implementation have been clearly identified it is necessary to define a suitable Action Plan for the enterprise.
The first step involves compiling all the information available on each improvement action to be included in Action Plan and put it in an Improvement Action Sheet, one per improvement.
Action Plan
Then the Action Plan required to implementation all the improvements is defined.
The Action Plan mainly involves sorting the proposed Improvements, planning their implementation sequence, determining the person or team in charge of their implementation and defining the resources required to attain their proposed objective.
To ultimately succeed in implementing the planned improvements and in attaining the expected results it is necessary to get all the workforce involved in the implementation of the Action Plan seeking to improve water-use efficiency in the enterprise. The allocation of responsibilities for the implementation of improvements is therefore a paramount aspect of the Action Plan.
Monitoring & Control
Once the improvement plan has begun to be implemented by the enterprise, an annual evaluation needs to be made of the level of achievement of results so as to determine eventual necessary adjustments. For this purpose, each Improvement Action is assigned a set of indicators that allow to monitor and control the expected results, thus assessing the degree to which objectives have been achieved and justifying the results obtained each year from the implementation of the improvements included in the Plan.
It would be advisable to draft a brief annual report on the evolution of the results of the improvements being implemented. The person or team in charge of their implementation would assess to what extent objectives are being achieved, how the indicators are evolving and the possible obstacles encountered during the implementation of the Plan.
Communication and dissemination of results
By communicating the results of the definition and implementation of the Action Plan to all its groups of interest (employees, shareholders, customers, etc.) the enterprise seeks to encourage their participation in improving water management in the enterprise and to give credit to the efforts made before re-launching the entire process so as to propose new challenges for an efficient use of water.
It is most convenient that the enterprise defines certain specific communication and dissemination actions for the results, for instance by publishing information on the enterprise’s notice boards, through newsletters, the corporate website, etc.
Improvement Action SheetName of Improvement Action
Objective
General description of the action to be implemented
Current situation
Concept of improvement
Future foreseeable situation
Annual water-saving estimates
Environmental factors of improvement
Economic factors of improvement
Social factors of improvement
Recommendations on use & management
Characteristics of implementation / Description
C1: Cost of investment
C2: Cost of use
C3: Return on investment
C4: Impact (water consumption & pollution reduction ,etc.)
C5: Risk analysis
C6: Easiness of implementation
Identified support / Description
Internal
External
10
ACTION PLANName of Improvement Action
Stages of implementation / Responsible / Implementation period / Budget / Funding agent / Necessary resources
10
MONITORING & CONTROLName of Improvement Action
Objective
INDICATORS / INITIAL VALUE / OBJETIVE VALUE / VALUE AT YR.1 / VALUE AT YR.2 / VALUE AT YR.3 / PROBLEMS ENCOUNTERED
Water consumption/process/year (m3/year)
Water cost/year (€/year)
Other
10