To achieve the highest value of assets and minimize risk and cost
Being focused on the ISO 55000 standard and delivering industry solutions for Asset Management the need for Asset Investment Planning appears quickly on the radar. Many companies and many solutions are either in the area or Work Order Management (EAM) or Asset Health and Strategy (APM).
However, they are all at Asset Level, while for an organization realizing the highest value of all our Assets over their lifetime is the definition of Asset Management. This also means that with limited financial or operational (staff) resources it is a balancing act how to achieve the highest value of our Assets and minimize risk and cost. Here Asset Investment Planning or Asset Intervention Planning, which is our preferred terminology, comes into play.
Asset Investment Planning identifies the highest value
Asset Investment Planning identifies what the biggest value is an investment or intervention will generate. This can be additional capacity or performance or a reduction in cost or risk. Evaluating the value, risk and cost change over all investments, creating alternative investments, additional investment strategies, e.g. renewal or replacement will generate a very large number of combinations. Evaluating what combination delivers the highest value for the organization can’t be done manually or with simple tools like excel. Optimizing the investment can cause a significant improvement of the values an organization realizes.
It will be obvious that Asset Investment Planning will affect the assets, but the decision will be taken at a higher level.