Vp

Energy Manager

Coordinator

Coordinator

Coordinator

Policy

Audit Plan

Educational Plan

Reporting System

Employees

Strategic Plan

Figure 2.1

• Provide liaison for the energy committee

• Plan communication strategies

• Evaluate program effectiveness

Energy management programs can, and have, originated within one division of a large corporation. The division, by example and savings, motivates people at corporate level to pick up on the program and make energy management corporate wide. Many also originate at corporate level with people who have facilities responsibility, and have implemented a good corporate facilities program. They then see the importance and potential of an energy management program, and take a leadership role in implementing one. In every case observed by the author, good programs have been instigated by one individual who has recognized the potential, is willing to put forth the effort—in addition to regular duties—will take the risk of pushing new concepts, and is motivated by a seemingly higher calling to save energy.

If initiated at corporate level, there are some advantages and some precautions. Some advantages are:

• More resources are available to implement the program, such as budget, staff, and facilities.

• If top management support is secured at corporate level, getting management support at division level is easier.

• Total personnel expertise throughout the corporation is better known and can be identified and made known to division energy managers.

• Expensive test equipment can be purchased and maintained at corporate level for use by divisions as needed.

• A unified reporting system can be put in place.

• Creative financing may be the most needed and the most important assistance to be provided from corporate level.

• Impacts of energy and environmental legislation can best be determined at corporate level.

• Electrical utility rates and structures, as well as effects of unbundling of electric utilities, can be evaluated at corporate level.

Some precautions are:

• Many people at division level may have already done a good job of saving energy, and are cautious about corporate level staff coming in and taking credit for their work.

• All divisions don't progress at the same speed. Work with those who are most interested first, then through the reporting system to top management give them credit. Others will then request assistance.

2.3.2 Energy Team

The coordinators shown in Figure 2-1 represent the energy management team within one given organizational structure, such as one company within a corporation. This group is the core of the program. The main criteria for membership should be an indication of interest. There should be a representative from the administrative group such as accounting or purchasing, someone from facilities and/or maintenance, and a representative from each major department.

This energy team of coordinators should be appointed for a specific time period, such as one year. Rotation can then bring new people with new ideas, can provide a mechanism for tactfully removing non-performers, and involve greater numbers of people in the program in a meaningful way.

Coordinators should be selected to supplement skills lacking in the energy manager since, as pointed out above, it is unrealistic to think one energy manager can have all the qualifications outlined. So, total skills needed for the team, including the energy manager may be defined as follows:

• Have enough technical knowledge within the group to either understand the technology used by the organization, or be trainable in that technology.

• Have a knowledge of potential new technology that may be applicable to the program.

• Have planning skills that will help establish the organizational structure, plan energy surveys, determine educational needs, and develop a strategic energy management plan.

• Understand the economic evaluation system used by the organization, particularly payback and life cycle cost analysis.

• Have good communication and motivational skills since energy management involves everyone within the organization.

The strengths of each team member should be evaluated in light of the above desired skills, and their assignments made accordingly.

2.3.3 Employees

Employees are shown as a part of the organizational structure, and are perhaps the greatest untapped resource in an energy management program. A structured method of soliciting their ideas for more efficient use of energy will prove to be the most productive effort of the energy management program. A good energy manager will devote 20% of total time working with employees. Too many times employee involvement is limited to posters that say "Save Energy."

Employees in manufacturing plants generally know more about the equipment than anyone else in the facility because they operate it. They know how to make it run more efficiently, but because there is no mechanism in place for them to have an input, their ideas go unsolicited.

An understanding of the psychology of motivation is necessary before an employee involvement program can be successfully conducted. Motivation may be defined as the amount of physical and mental energy that a worker is willing to invest in his or her job. Three key factors of motivation are listed below:

• Motivation is already within people. The task of the supervisor is not to provide motivation, but to know how to release it.

• The amount of energy and enthusiasm people are willing to invest in their work varies with the individual. Not all are over-achievers, but not all are lazy either.

• The amount of personal satisfaction to be derived determines the amount of energy an employee will invest in the job.

Achieving personal satisfaction has been the subject of much research by industrial psychologists, and they have emerged with some revealing facts. For example. They have learned that most actions taken by people are done to satisfy a physical need—such as the need for food—or an emotional need—such as the need for acceptance, recognition, or achievement.

Research has also shown that many efforts to motivate employees deal almost exclusively with trying to satisfy physical needs, such as raises, bonuses, or fringe benefits. These methods are effective only for the short term, so we must look beyond these to other needs that may be sources of releasing motivation,

A study done by Heresy and Blanchard [1] in 1977 asked workers to rank job related factors listed below. The results were as follows:

1. Full appreciation for work done

2. Feeling "in" on things

3. Understanding of personal problems

4. Job security

5. Good wages

6. Interesting work

7. Promoting and growth in the company

8. Management loyalty to workers

9. Good working conditions

10. Tactful discipline of workers

This priority list would no doubt change with time and with individual companies, but the rankings of what supervisors thought employees wanted were almost diametrically opposed. They ranked good wages as first.

It becomes obvious from this that job enrichment is a key to motivation. Knowing this, the energy manager can plan a program involving employees that can provide job enrichment by some simple and inexpensive recognitions.

Some things to consider in employee motivation are as follows:

• There appears to be a positive relationship between fear arousal and persuasion if the fear appeals deal with topics primarily of significance to the individual; e.g., personal well being.

• The success of persuasive communication is directly related to the credibility of the source of communication and may be reduced if recommended changes deviate too far from existing beliefs and practices.

• When directing attention to conservation, display the reminder at the point of action at the appropriate time for action, and specify who is responsible for taking the action and when it should occur. Generic posters located in the work area are not effective.

• Studies have shown that pro-conservation attitudes and actions will be enhanced through associations with others with similar attitudes, such as being part of an energy committee.

• Positive effects are achieved with financial incentives if the reward is in proportion to the savings, and represents respectable increments of spendable income.

• Consumers place considerable importance on the potential discomfort in reducing their consumption of energy. Changing thermostat settings from the comfort zone should be the last desperate act for an energy manager.

• Social recognition and approval is important, and can occur through such things as the award of medals, designation of employee of the month, and selection to membership in elite sub-groups. Note that the dollar cost of such recognitions is minimal.

• The potentially most powerful source of social incentives for conservation behavior—but the least used—is the commitment to others that occurs in the course of group decisions.

Before entering seriously into a program involving employees, be prepared to give a heavy commitment of time and resources. In particular, have the resources to respond quickly to their suggestions.

manager, coordinators, and any committees or task groups.

• Reporting—Without authority from top management, it is often difficult for the energy manager to require others within the organization to comply with reporting requirements necessary to properly manage energy. The policy is the place to establish this. It also provides a legitimate reason for requesting funds for instrumentation to measure energy usage.

• Training—If training requirements are established in the policy, it is again easier to include this in budgets. It should include training at all levels within the organization.

Many companies, rather that a comprehensive policy encompassing all the features described above, choose to go with a simpler policy statement.

Appendices A and B give two sample energy policies. Appendix A is generic and covers the items discussed above. Appendix B is a policy statement of a multinational corporation.

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