Impact and value of enterprise asset management
There are many reasons for the increased demand for better asset management. Implemented well, asset performance management (APM) can do more than improve maintenance. By connecting systems across your enterprise, it can deliver insights to optimize operations, safety, and drive financial results.
Why should every company be concerned about asset management?
Enables a company to keep tabs on all its assets
Asset management makes it easier for organizations to keep track of their assets, giving you the option of knowing their location, how they are being put to use and whether there are changes made to them. Consequently, the recovery of assets can be done faster and more efficiently, leading to higher returns.
Identifies and manages risks
Asset management encompasses the identification and management of risks that arise from the utilization and ownership of certain assets. That means an organization can always be prepared for any risk that comes its way.
EAM offers a company the right tools to organize its asset portfolio quicker and more efficiently. It increases the visibility of asset health to get more key information and keep the most critical assets and company resources performing at maximum efficiency.
How do you develop a strategic asset management plan?
Complete an asset inventory
The very first thing, when starting your own asset management journey, is to take count of all the assets. Without knowing all the assets in your organization, it will not be possible to manage them effectively.
Life cycle costs
For a precise asset management plan, the entire life-cycle costs of each asset should be calculated. During the asset’s life cycle, unpredictable costs may come up (maintenance expenses, disposal costs…) yet many companies make the mistake of only calculating the initial purchase costs.
Set levels of service
Use levels of service to outline the overall quality, capacity, function, and safety of the different services your assets provide. The requirements of maintaining that service will dictate the operating, maintenance and renewal activities that need to occur moving forward.
Exercise long-term planning
Your asset management should naturally translate into long-term financial planning. A long-term financial plan will help you determine which of your objectives are feasible, which are important, and which can maintain your priority assets over the long term.
For more information on how to start your journey with asset management, contact us at email@example.com or get the recording of one of our webinars:
Asset management - basics
Asset management in practice
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