The answer may involve finding ways to make assets last longer, and generally also requires that certain levels of service be met, which in turn drive works programmes for our buildings.
A level of service generally relates to attributes such as quality, reliability, responsiveness, sustainability, timeliness, accessibility, and cost.
Determining these levels of service for buildings can be a challenging task for an Asset Manager. The secret is to define your standards in terms of targets and performance measures that can be easily measured, analysed and reported. It is these quantitative measures that will then drive the works programme, especially in terms of planned projects. And this planned approach to maintenance will help you extend the life of your assets.
Taking a planned approach to maintenance is a good start, but in a world where technology and customer needs are continually evolving, you need to go further than simply maintaining existing assets.
The CEO, CFO, or Asset Director will be involved in higher level planning to drive the overall business processes, including data, systems, process and people. This needs to dovetail into the asset management plan and processes, and this is where the 80/80/20 approach comes in, to provide a balance between planned maintenance, reactive maintenance, and working towards higher-level strategic plans that’ll allow an organisation to thrive well into the future.
The 80/80/20 approach to asset management balances an organisation’s budget and resources to meet short-term and long-term needs:
While many asset-intensive organisations may already have asset management objectives, are they effective, and are they being achieved?
We’ve found that adopting, measuring and reporting on 80/80/20 objectives is easy to achieve. And when the process is supported by the governing body and managed properly, they will drive the activities needed for successful asset management.
How an 80/80/20 approach is applied by your organisation will be shaped by the characteristics of your portfolio; what your organisation is trying to achieve; and how you measure success.
SPM Assets has been working with an Australian university to apply the 80/80/20 approach in a way that’s aligned with TEFMA guidelines. Here are the targets the university has set:
Implementing the 80/80/20 approach has allowed the university to consider funding priorities in an informed manner. Moreover, it now has a strategic asset management system and planning tool that will make a difference well into the future.
If you would like to find out more about applying an 80/80/20 approach to asset management in your organisation, please call your Account Manager or contact us.
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