Asset performance management (APM) is a framework that helps administrators make use of their physical assets to realize business-specific goals. Different strategies are employed under asset performance management to maximize profits and reduce business risk factors.
These are the key elements of APM:
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Providing a defined level of service and monitoring performance
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Managing the impact of growth through demand management and capacity planning
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Taking a lifecycle approach to developing cost-effective management strategies for the long-term that meet defined levels of service
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Identifying, assessing, and appropriately controlling risks
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Having a long-term financial plan which identifies required expenditures and their funding
In HxGN EAM, these are the steps to achieving Asset Performance Management:
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Develop the asset registry
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Determine the asset residual life
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Determine the business risk
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Set the target level of service
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Assess asset performance
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Build the APM plan
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Determine the Asset Lifecycle and Replacement costs
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Optimize the Maintenance Operational Spend
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Optimize the Capital Investment
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Determine the Funding Strategy
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