Base Analysis Metrics: Summary and Calculations

Total Cost Metrics

For the given fiscal year and asset sum the values from the other comma-delimited columns specified in the AbRPLMStrategicFinancialAnalysis-UpdateTCO-OccupancyCosts application parameter.

These columns default to:

For the given fiscal year and asset, sum the values from the other columns specified in the AbRPLMStrategicFinancialAnalysis-UpdateTCO-OwnershipCosts application parameter.

These columns default to the TCO-Occupancy (fy) columns plus:

Note: The fin_anlys_Depreciation_an_fy covers the depreciation of the Building or Structure (i.e. a property that is a structure) itself. The separate CapProj and PPE analysis metrics include the depreciation of capital projects and equipment in that building or on that property.

For the given fiscal year and asset, sum the values from the other columns specified in the AbRPLMStrategicFinancialAnalysis-UpdateTCO-WorkpointCosts application parameter.

These columns default to the TCO-Ownership (fy) columns plus:

Financing Metrics

For the given asset, for the given fiscal year and all later years that have Scheduled Costs or Recurring Costs for that asset, the application uses the Cash Flow Projection to sum the values from the Cost Categories specified in the AbRPLMStrategicFinancialAnalysis application parameters.

Sums up the appropriate parameter for each asset type:

• CostCategory_PrincipalBuilding
• CostCategory_PrincipalProperty
• CostCategory_InterestBuilding
• CostCategory_InterestProperty

For the given asset, for the given fiscal year, sum the values from the Cost Categories LIKE those specified in the AbRPLMStrategicFinancialAnalysis application parameters appropriate for each asset type. This parameter defaults to:

CostCategory_InterestBuilding

CostCategory_InterestProperty

Calculated as Interest, but uses these cost categories:

CostCategory_PrincipalBuilding

CostCategory_PrincipalProperty

Calculated as Interest, but uses these cost categories:

AbRPLMStrategicFinancialAnalysis-CostCategory_IncomeAll

Note: Only buildings and properties might have income. Include all Scheduled Costs of this category.

Calculated as Interest, but uses these cost categories:

CostCategory_CapitalBuilding

CostCategory_CapitalProperty

Calculated in the same way as Interest is calculated, but uses these cost categories:

CostCategory_AppreciationAll

Only Buildings with land and Properties that are land have appreciation.

The application includes all Scheduled Costs of this category.

Calculated in a similar way as Interest is calculated, but uses these cost categories:

CostCategory_DeprBuilding

CostCategory_DeprProperty

Note: This is the depreciation on the asset itself – the building structure (property).
We have a separate pair of metrics – Depreciation - Capital Projects (fy) and Depreciation - PPE (fy) – that roll up depreciation for projects and equipment to the building or property that contains them. But that is a separate analysis metric containing a separate sum that does not overlap with this metric.

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For the given asset, for the given fiscal year, the application sums the values from the Cost Categories LIKE those specified in the AbRPLMStrategicFinancialAnalysis application parameters:

CostCategory_DeprCapProj

Note: This metric applies only to buildings and properties. It sums the depreciation of the capital projects occurring in those buildings or on those properties.

The PPE metric works similarly, just with the following Cost Category:

For the given building, the application copies the value from bl.value_market.

For any given property, the application copies the value from property.value_market.

For the given asset, the application calculates the depreciated value as follows:

1. Finds the finanal_params.cost_purchase for this asset.
2. Finds the depreciation to date (to date = end of current fiscal year). It does so by using the Financial Analysis Parameters and the calculations in Forecast Capital Costs - Depreciation Calculations.
3. Subtract the depreciation from the finanal_params.cost_purchase.

Note: If the asset's parameters for depreciation (for example, missing cost_purchase, planned_life, etc.) do not exist in finanal_params table, the depreciation and thus the metric cannot be calculated, and the Update Analysis Metric action updates this metric with the value zero for that asset and that Fiscal Year.

Note: The metric fin_anlys_BookValue_an uses the depreciation service to estimate the depreciation to the end of the current fiscal year, and does not use existing depreciation costs resulted from forecasting capital costs, such as the metric fin_anlys_Depreciation_an_fy.
When forecasting monthly depreciation costs using the Forecast Capital Costs, ARCHIBUS books the first monthly depreciation scheduled cost with a Date Due = the first day of the next month after the Date of Purchase.
For example: If Date of Purchase = 7/15/2015, the first monthly depreciation scheduled cost has a Date Due of 8/1/2015. As a consequence forecasted depreciation scheduled costs will be offset by 1 month compared to the depreciation service result (which assumes 12 months). Thus, if calculating the fin_anlys_BookValue_an for the first fiscal year,the app will use 12 months of depreciation, while if calculating fin_anlys_Depreciation_an_fy for buildings/ properties, the application sums 11 months of depreciation (11 scheduled costs.)

Capital

For the given fiscal year and asset, the application gets the list of activity parameters specified in the AbRPLMStrategicFinancialAnalysis-UpdateAnnualWorth application parameter.

The application:

1. Expands the list into a list of Cost Categories.
2. Uses the Cash Flow projection to project total costs for all cost categories for each year of the finanal_params.planned_life, starting with the Fiscal Year that ends the same year as the date_purchased.
3. Sums the values for all years.
4. Divides by the number of years in the planned_life.

Important: If the planned_life does not exist for the building or property, the Annual Worth (fy) cannot be calculated, and the Update Analysis Metric action updates this metric with the value zero for that building or property and that Fiscal Year.

See Project and Equipment Costs.

Prerequisite: You have entered your organization's expected rate of return in the Application Parameter AbRPLMStrategicFinancialAnalysis-DiscountRate.

For the given fiscal year and asset, the application:

1. Gets the list of Activity parameters specified in the AbRPLMStrategicFinancialAnalysis-UpdateNPV application parameter.
2. Expands the list into a list of Cost Categories.
3. Uses the Cash Flow projection to project total costs for all cost categories for each year of the finanal_params.planned_life, starting with the fiscal year ending the same year as the date_purchased. The result is an array with the net total income for each year (if the income was greater than the expenses), or net total expense for the year (if the expenses outweighed the income.)
4. Adjusts each value in the array to the present value by dividing each value by the discount rate (AbRPLMStrategicFinancialAnalysis-DiscountRate) + 1 raised to the power of the number of years since the date_purchased.

   For instance, if the discount rate is 0.04, the first year would be x / (1+0.04)^1, the second year x / (1+0.04)^2, the third year x / (1+0.04)^3, etc.

5. Sums the values for all years.
6. Subtracts finanal_params.purchase_price. (No need to discount the purchase price, as it occurs in "today's" dollars.)

Important: The calculation is from the "date purchased" rather than the current date. This is appropriate, as the metric is of primary use for comparing investments made today and going forward. Analysis of performance on past investments can use one of the annualized metrics to calculate performance for any period of years. The one consequence is that the "present value" is the value as of the Date Purchased (or planned to be purchased) not as of the current date.

Important: This calculation is of a regular analysis metric that returns a single value. That value happens to concern performance over the lifecycle. That is to say, this metric is not calculated as "lifecycle analysis metric" since it results in a single value rather than one value per each year of the planned life of the building.

The metrics below are similar. These are both of calculation order "1 - Base Analysis Value".

See Project and Equipment Costs.

The application

1. Uses the Cash Flow projection to total net Building or Property costs for each year of the Planned Life (finanal_params.planned_life) starting from the Date Purchased (finanal_params.date_purchased).
2. For total costs, the application considers all the costs in the list of Cost Categories in the AbRPLMStrategicFinancialAnalysis-UpdateNPV application parameter.
3. Subtracts finanal_params.purchase_price from the first year.
4. Verifies that there is at least one year that has a negative return (the investment) and one year with a positive return (the payback). If not, use 0.0 as the result (which is actually undefined.)
5. Passes this array of double values to the irr() function as the first parameter. Use 0.05 as the second parameter (the "guess" at the result to speed the calculation.)

See Project and Equipment Costs.

For buildings or properties, the application:

1. Sums the scheduled costs for the buildings or property that have Cost Category LIKE CostCategory_CapitalProjectAll that have a Date Due within the current fiscal year. (These are the costs that Aggregate Operating Expense summarizes from Approved, Issued, Completed, and Closed projects for this fiscal year).
2. If a project is assigned to both a building and a property, sums these costs to the building only. Doing so avoids double counting the project.
3. If the result is zero (that is, if the site is not using Action Items to record project costs), then the application sums the Budgeted Cost (project.cost_budget) for all projects that are Approved, Issued, Completed or Closed (that is, project.status LIKE 'Approved%', 'Issued%', 'Completed%' or 'Closed%'), are assigned to the building or project (that is, with project.bl_id=<current building>), and Requested Start Date (project.date_start) is within the current fiscal year.

Notes: The analysis sums projects to the building or property to evaluate capital renewal ratios. To evaluate the cost of projects in the Financial Analysis Asset Scorecard or Asset Map, the application uses the fin_anlys_BookValue_an for the Project.
The Capital Projects - Approved (fy) does not add project costs to both buildings and the projects themselves, so that if you sum the Capital Projects - Approved (fy) column, projects are not double counted.
The analysis charges projects to the year they start, even if they occur over multiple years. Sites wishing to schedule multi-year project costs and their financing can do so with the Forecast Capital Costs feature.

cap_CapitalProjects-Planned-3years_an:

For buildings and projects, the application:

SELECT SUM(IF project.cost_est_baseline = 0.0 THEN project.cost_est_baseline ELSE project.cost_budget ) for all projects that are not Requested or (i.e. project.status NOT LIKE 'Requested%'), are assigned to the building or property (that is,. with project.bl_id=<current building>), and have a Requested Start Date (project.date_start) within three years of the first day of the current fiscal year.

Note: This query first looks at the cost_est_baseline, which the project management activity updates from Action Item records (if the site has developed them for this project) with the Estimate Baseline Costs calculation. If the site does not use Action Items but instead just enters a Budgeted Cost (cost_budget) for the project, the calculation uses that value.

cap_CapitalProjects-Planned-lifetime_an:

This calculation works similarly to the calculation for Capital Projects Planned (3 Years), but includes all projects with a project.date_start greater than or equal to the first day of the current fiscal year.

Note: You must use the Condition Assessment application and/or mobile app to accurately measure your outstanding capital liabilities in relation to the cost of the facility.

For all activity_log_items that have activity_type = 'ASSESSMENT' and that are assigned to this asset that is, that have activity_log_items.pr_id, bl_id, project_id or eq_id assigned to this asset),

the application calculates ${sql.getFormula("AbCapitalPlanningCA-FacilityConditionIndex")}/100

Note: The analysis may use the same assessment item for multiple assets (for example, properties, buildings, projects and/or equipment). This is because the same item can be part of evaluating multiple scopes. The analysis uses planned Action Items and not planned and historic items – that is, all Action Items (activity_log_hactivity_log) – because the measure is of defects or work yet to be done, and not work that has been done.

For reference, the application preference AbCapitalPlanningCA-FacilityConditionIndex has a default value of "(1000 * ( activity_log.cost_estimated + activity_log.cost_est_cap) / ${sql.replaceZero('activity_log.cost_to_replace')})"

For the current building (afm_metric_trend_values.collect_by_value=<building>), the application queries the most recent record's afm_metric_trend_values.metric_value for spac_Vacancy_percent_monthly. It then queries the previous month's value, and calculates the percentage changes as ( this month - last month ) / (last month) * 100.

You use the Project Management application to track your project execution.

The application queries the most recent value from Project Variance (proj_ProjectScheduleVariance_monthly) tracking metric for this project_id from the afm_metric_trend_values table.

Expense Metrics

These metrics are calculated similarly to the Interest (fy) metric, only they sum from different cost categories.

These metrics apply only to Buildings and Properties.

The following describes the cost categories used:

Lease Metrics

This metric is calculated similarly to the Interest (fy) metric, only the application sums using different cost categories.

This metric applies only to buildings and properties.

Occupancy Metrics

The application copies the value from bl.count_em

Can be estimated. or updated from Space Inventory & Performance, if that application is in use.

occ_Occupants_an / occ_OccupantsMax_an

Space Metrics

You must use the Personnel & Occupancy application, the mobile app to perform field surveys, and optionally the Service Desk application to process space and move requests in order to accurately gauge vacancy.

This is calculated as the spac_VacantArea_an / spac_area_usable.

You must use the Personnel & Occupancy application, the mobile app to perform field surveys, and optionally the Service Desk application to process space and move requests in order to accurately gauge vacancy.

For the current building (afm_metric_trend_values.collect_by_value=<building>), the application queries the most recent record's afm_metric_trend_values.metric_value for spac_Vacancy_percent_monthly. It also queries the previous month's value. Calculates the percentage changes as ( this month - last month ) / (last month) * 100.

You must use the Space Inventory & Performance application, the mobile app, and optionally the Service Desk application to process space and move requests in order to accurately gauge vacant area.

The application uses the following calculation:

SELECT SUM( area ) FROM rm WHERE

cap_em > 0

AND rm_cat IS NOT NULL AND rm_cat in (SELECT rm_cat from rmcat WHERE occupiable = 1)

AND NOT EXISTS (SELECT * FROM em WHERE em.bl_id = rm.bl_id AND em.fl_id = rm.fl_id AND em.rm_id = rm.rm_id)

AND bl_id=<this building>

Building Values and Measures

The values below are copied from the associated field in the buildings table. In terms of calculation order, these are all of type "1 - Base Analysis Value".

Current Year Minus the year of the Date Built (bl.date_bl) for the current building