Asset Management PDF
Asset Management PDF
Asset Management PDF
Executive Overview
A Hands-On Approach
Emerging utility business conditions
z Increasing demand for utility services
z Diminishing resources
z Leveling of production efficiencies
z Increasing restrictions on output
z Aging infrastructure
z Operations
z Maintenance
z Renewal
Plan
Support processes
• Demand management
• Knowledge of assets
Dispose Acquire • CIP validation
Core • Accounting & economics
• Condition & performance
Processes monitoring
• Business risk exposure
Renew Operate • Works resource
management
• Review & continuous
improvement
Maintain
Lifecycle
Data &
Process &
Knowledge
Practices
Total Asset
Management
Plan
Organizational People
Issues Issues
Commercial
Tactics
Asset Management
Business Processes
Asset Management
Plans
Strategic Initiatives
Annual Budgets
Determine
Develop Assess Determine Set Target
Live Cycle &
Asset Condition, Residual Levels of
Replacement
Registry Failure Modes Life Service (LOS)
Costs
Determine
Develop Assess Determine Set Target
Live Cycle &
Asset Condition, Residual Levels of
Replacement
Registry Failure Modes Life Service (LOS)
Costs
Lifecycle Management
Section - 4
Level 3
Level 2
Level 1
Condition Assessment
Business Risk Exposure
Inside the AM framework
Level 3
Level 2
Level 1
Condition Assessment
Business Risk Exposure
Inside the AM framework
Level 3
Level 2
Level 1
Condition Assessment
Business Risk Exposure
Inside the AM framework
Resistance
Stress
to Stress
Galvanic action
Physical loads
Bedding condition
Managed asset
Performance
deterioration curve
Management
zone
curve
Decreasing Increasing
Time
“Failure is…the inability of any asset to do what users want it do to.”
John Moubray
Decay curve
Performance
Vibration
Oil loss
Noise
Heat
Poor
Failure
Decreasing Increasing
Time
Yes No
Run to Failure,
Repair
High
B High probability-
low consequence D High probability-
high consequence
Probability
Operations and
Administration
Sustained Performance
Executive Management
AM Thinking
(AM Steering Committee)
Finance IT AM Tools
2. What is my required
1. What is the current state of my assets? level of service?
Determine
Develop Assess Determine Set Target
Live Cycle &
Asset Condition, Residual Levels of
Replacement
Registry Failure Modes Life Service (LOS)
Costs
3. Which assets 4. What are my best O&M and 5. What is my best long-term
are critical CIP investment strategies? funding strategy?
to sustained
performance?