Robyn Keast - Australian Asset Management Collaborative Group - The need for a national, integrated...

Integrated Asset Management Asset Management & Maintenance Conference -‐ 4 December 2013

Professor Robyn Keast Southern Cross Business School

Chair: CollaboraDve Research Network: Policy & Planning for Regional Sustainability

Introduc1on

•  EsDmated 600B$+ built assets –  Geographically dispersed & populaDon sparse

–  Crucial for the naDon to funcDon –  Replacement is expensive & major undertaking –  Exacerbated by extreme climaDc condiDons –  Not widely planned or budgeted for

•  Strategic management required –  Demands integraDon!

Other challenges & issues •  Asset service organisa1ons deal with

–  Resource scarcity –  Degrading environments –  Climate change adaptaDon –  Sustainability requirements –  More stringent regulaDons –  A greater reliance on a mulD-‐agency delivery model –  Internally dispersed units & processes

•  Other factors –  More sophisDcated ciDzens –  Changing demographics –  Government budgets increasingly restrained –  Technological advances – human errors!

•  Calls for internal & external organisa1onal /systems integra1on

Integra1on

•  Refers to the combinaDon of parts so that they work together or form a whole

•  BUT :

–  Different levels –  Different types –  Different foci –  Different approaches

Integra1on: Big Picture

Integrated Framework

AM NetworX: Network Analysis The processes of the ISAM framework are presented here as a network map •  Each node represents a coordinator for each of the

funcDons of asset management

•  The Des between the nodes are the relaDonships that must exist for efficient service delivery

•  The network map provides a blueprint for an ‘ideal’ model for organisaDons to use in strategic asset management

•  The aim is to structure organisaDonal charts and and processes in the most efficient manner possible for service delivery

Diagnos1c -‐ Incomplete networks •  Asset management is an

extended process that covers the life of the asset.

•  OrganisaDons with assets in t h e e a r l y s t a g e s o f development may not have idenDfied all of the necessary people responsible for later funcDons.

•  In this instance the strategic p l ann ing f uncDons a re undefined, as are the service del ivery and evaluaDon funcDons.

Diagnos1c -‐ Missing links •  Those networks that are

not fully integrated, where the different funcDons are not connected, will be missing the links between them.

•  The links between “AcquisiDons Planning” and both “OperaDons Planning” and “Maintenance” in the top right hand corner are missing.

•  The lack of these connecDons make it harder for these funcDons to co-‐ordinate or share informaDon.

Asset Governance & Management through the ISAM Guide

Integrated Strategic Asset Management: One Guide

Environmental Factors

•  Environment affects assets, their funcDons and their safety

•  Risk management provides adequate responses

•  Sustainable management reduces the ecological footprint

Community Needs and ExpectaDons

•  A key to understand the needs for assets and services

•  CriDcal acDvity: stakeholder management

Framework Components

Whole-‐of-‐Government Policy Framework

§  Whole-‐of-‐Government Policy •  Use government resources to make decisions and prioriDse services to meet community needs and expectaDons

§  Whole-‐of-‐Government Model

•  Provides overall direcDon for Asset Management

•  Gives effect to government policy decisions

•  Improves consistency and control •  Provides cost effecDve and

efficient service delivery

OrganisaDonal Strategic Management

§  Gives effect to whole-‐of-‐government policy

§  Involves an understanding of governance, corporate policy and corporate objecDves


Service Delivery Strategic Planning

•  Provides high value service delivery outcomes

•  Considers sustainability principles

•  Is guided by asset management policy and objecDves

•  Is implemented through asset management strategy

Service Delivery TacDcal and OperaDonal Planning

•  ImplementaDon of an organisaDon’s asset management strategy

•  AcquisiDon, OperaDons, Maintenance and Disposal plans


Service Delivery •  CreaDon, maintenance,

renewal, upgrade and disposal of the assets

•  Clear assignment of responsibility and accountability

EvaluaDon

•  Measuring asset performance •  ReporDng •  Reviewing •  AudiDng


•  Knowledge Management §  Underpins the capacity to develop

new ways of creaDve responses §  Improves decision making §  Increases producDvity §  Knowledge management tools:

•  Asset Register •  Asset Data

OrganisaDonal Management

§  OpDmises service and asset management outcomes through: •  Leadership •  Change management •  OrganisaDonal competencies

and skills •  Asset management culture


So – integrated – or not?

Keast, June 2012

Capability Maturity Model

•  It is important to understand Asset Management cultures to improve performance

•  The output is a diagram of the compeDng demands within asset management organisaDons

Asset Management Cultures

AM NetworX: Network Analysis The processes of the ISAM framework are presented here as a network map •  Each node represents a coordinator for each of the

funcDons of asset management

•  The Des between the nodes are the relaDonships that must exist for efficient service delivery

•  The network map provides a blueprint for an ‘ideal’ model for organisaDons to use in strategic asset management

•  The aim is to structure organisaDonal charts and and processes in the most efficient manner possible for service delivery

Why internal integra1on?

•  IntegraDng experDse with an holisDc approach to maximize value for the life of your assets.

•  Asset (& other personnel) work concurrently to idenDfy and resolve conflicts that could add cost or impair producDvity.

•  Enables the exploitaDon of synergies that add efficiency, boost output, and extend the economic life of the asset.

•  With integrated models, you have access to informaDon that reduces cross-‐disciplinary uncertainDes and miDgates the need for correcDve reacDons.�

•  A well designed integrated asset management system will contribute significantly to business profitability.

•  Costs of creaDng & maintaining an integrated approach is typically less than potenDal losses

Why na1onal?

•  Vast naDon – geographically dispersed assets & populaDons

•  To sustain & genuinely advance producDvity, growth &

well-‐being –  Harness & leverage all resources , including those geographically dispersed & populaDon sparse

–  Limit

Going forward

•  CondiDons in contemporary society call for integraDon of assets

•  All levels – especially within organisaDons / service systems

•  Strategic & deliberate –  Does not happen by magic & requires

•  New approaches, tools and processes •  Dexterous management & dispersed leadership

Robyn Keast - Australian Asset Management Collaborative Group - The need for a national, integrated...

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