Organizational Asset Management Model = $aving$
Chaos is expensive. OT hours, overnight part shipments, higher insurance rates, less work getting done, equipment not producing product, etc. all result in higher costs and lost revenues. The way to get costs down and equipment availability up is by bringing structure and discipline to asset management operations. Order creates savings. By formalizing maintenance and taking a documented, process-centric, model-based approach to how assets are managed value is created. An organizational Asset Management Model does just that.
What is an Asset Management Model?
An Asset Management Model consists of practices, processes, and procedures that an organization implements to achieve its objectives. It uses documented policies, and roles and responsibilities to standardize and coordinate activities so a business can deliver on its goals. An Asset Management Model ensures that everyone knows who does what, and how things are done, so that tasks are performed the same way across the organization. It aligns technology with practices, and practices with objectives, so that all of the elements in a business work together to realize the business’s goals. It also includes performance measures and auditing processes so that an organization can continually evaluate and improve the way it operates. An Asset Management Model provides the consistent, deliberate practices that are needed to manage physical assets – and use an EAM software system – effectively.
ISO 55000: international standard for asset management
In the last few years, Asset Management Models have increasingly been recognized as a foundational best practice for enterprise asset management (EAM). The ISO 55000 series of standards, published in 2014 by the International Organization for Standardization, provides recommendations and requirements for an organizational Asset Management Model – i.e., a model used to administer and maintain a portfolio of physical assets. With ISO 55000, the international community of asset management experts issued a clear statement: if a company is serious about asset management, it needs an Asset Management Model to provide direction and control to maintenance and asset management activities.
What are the benefits of an organizational Asset Management Model approach?
The establishment of an Asset Management Model produces many benefits for an organization. For example, an Asset Management Model:
- Provides tangible evidence for how assets are managed.
- Establishes standards for the organization.
- Formalizes maintenance, storeroom and procurement operations.
- Brings order and process to how maintenance work is identified, controlled, planned, scheduled, completed and analyzed.
- Lays the foundation to achieve significant savings in both CAPEX and OPEX costs. Clients who employ a process-centric, model based approach typically see;
- 3–5% increase in uptime
- 10-30% reduction in maintenance costs
- Reduces risk, improves compliance and lowers insurance costs. Insurance and compliance personnel like process-centric approaches to asset management.
- Facilitates standardization efforts. Getting everyone managing their assets the same way. Establishing common data sets (e.g., material master, PMs, etc.), KPIs and roles and responsibilities. Standardization creates organizational synergies.
- Improves data quality Improves data quality and information outputs from the EAM system. Great asset management data starts with great asset management processes. A model approach to maintenance Great processes are documented and based on what is industry proven.
- Facilitates change management by providing documented processes and procedures.
- Accelerates ISO 50001 compliance and certification
- Delivers an organizational mandate for how the organization’s physical assets will be managed.
- Provides processes and benchmarks for measuring equipment, employee and department performance.
- Serves as a training tool by thoroughly describing policies, tasks, and responsibilities.
- Makes the EAM system easier to use by providing a template for configuring the software.
- Conveys that a business is serious about implementing effective asset management practices.
- Replaces chaos with order by formalizing how the maintenance operation does business.
Asset Management Model design, consulting, and auditing services
SwainSmith helps organizations design, implement and continually improve Asset Management Models. We’re proud of our clients’ results, which include an average 10–30% reduction in maintenance costs and 3–5% improvement in equipment availability. We also realize that building an organizational asset management model takes time and that model needs to be based on what is proven to work. Organizations should start with accepted practices and then mold these practices to fit the unique qualities of the organization. We facilitate the client model design and implementation process with Synergy, the industry’s most comprehensive and proven Asset Management Model.
Synergy – SwainSmith Asset Management Model
- SynergyTM is an ISO 55000 compliant Asset Management Model. A documented template of industry-proven asset management practices, processes, and procedures ready to be implemented in your operation. Asset management success begins with a focus on process. Synergy provides that foundation.
- SynergyTM consists of documented policies, responsibilities, and procedures to standardize and coordinate activities so a business can deliver on its goals.
- SynergyTM ensures that everyone knows who does what, and how things are done, so that tasks are performed the same way across the organization. It aligns technology with practices, and practices with objectives, so that all of the elements in a business work together to realize the business’s goals. It also includes performance measures and auditing processes so that an organization can continually evaluate and improve the way it operates. Comprised of three key modules, SynergyTM delivers all of the essential building blocks for successful maintenance, MRO storeroom, and procurement operations. To see for yourself, check out our sample SynergyTM practices and download the Synergy’s Table of Contents.
Get Your Sample Synergy Table of Contents!
At SwainSmith, we believe firmly that every asset intensive organization needs an Asset Management Model to direct and control asset management activities. We also believe that this model should be based on international standards and proven methods. Our model development, implementation and auditing services can help you…
This belief is grounded in decades of experience in which we have seen a process-centric approach improve EAM information, cut MRO costs, increase uptime, reduce risks, and boost productivity for client after client. An organizational Asset Management Model brings structure and discipline to your asset management operation. Can we help you build one? Contact us at 828-215-9471 or email@example.com