A performance management model for physical asset management

[摘要] ENGLISH ABSTRACT:Two fundamental aspects in modem business success are performance management andphysical asset management. The current problem in the asset management environment is thelack of structured performance management, which is required to effectively control andenhance the dynamics of the asset and its life cycle. The result is ineffective assets with highlife cycle costs, which will consequently influence the bottom line and return on investment,negatively.An Asset _eerformance Management Model (APM2, pronounced A-P-M square) wasdeveloped. A sound theoretical foundation together with the experience of a leading assetmanagement consultant resulted in the realization of a model that (i) gives a balanced view ofasset performance, (ii) link asset performance to strategic business objectives, (iii) facilitatesdecision-making and problem solving, and (iv) enhances asset control and continuousimprovement. The APM2 was developed by rese~ching and integrating five building blocks,which encompass the model requirements. The APM2 consists of two distinct components,namely:• the APM Reference Structure (APMRS), and• a range of APM Dockets.The APMRS is a basic structure that integrates the various building blocks into a frameworkfor providing guidance and control, giving perspective on the entire model and explaining thehigh-level content of the model. It consists of five levels, each with a distinct focus:• Levell: Enterprise• Level2: Factory• Level3: Process Unit• Level4: Aggregate• Level5: ComponentThe APM Dockets are a subset of the APMRS, where each level has a docket. These docketsare executable, unit-specific procedures, guiding and leading stakeholders towards improvedasset performance. Also each of the five levels consists of six similar and inter-relatedelements. These elements are the foundation for each docket:lement 1: StakeholdersElement 2: ObjectivesElement 3: MeasuresElement 4: External Monitor & TargetsElement 5: Responsibilities & Decision-MakingElement 6: Control & Continuous ImprovementElement 7 represents the link to the next level in the APM Reference Structure.••••••Conclusively the APM2,s simplicity and understandability is realized through the APMReference Structure, while the range of APM Dockets contribute to the practicality objective.The model has a strong theoretical foundation, but at the same time is generic, to be used in awide range of industries.A leading asset management consultant plans to integrate the APM2 into their assetmanagement program based on the thesis documentation. This application will test andvalidate the APM2 in practice. It is further recommended that an asset management program,with the associated APM2, be used in conjunction with the Theory of Constraints and TotalProductive Maintenance, because of obvious relationships. Further research is also suggestedin relation with some of the experimental asset life cycle phases as well as certain financialconsiderations.

[发布机构] Stellenbosch University