Effective Asset Management provides assurance in the achievement of organizational objectives and realization of organizational sustainability. It does this through value realizing and sustaining value from the investment, use, maintenance, and disposal of assets. In doing so, it aims to balance cost, performance, and risk requirements, as well as the diverse needs of stakeholders and accomplish well-defined Asset Management objectives. It aims to achieve these in line with broader goals of the organization.
Defining the value indicators and assessing them against value realized enables continuous monitoring at different levels within an organization. This can be used to improve decision-making processes and support continuous value realization.
Monitoring value realization can be performed on a single asset or a portfolio of assets, with the latter providing a more systemic view when considering the organizational outcomes and impacts.
The metrics used to monitor value realization must be able to show the value realized at each stage of the life cycle, and clearly demonstrate the results achieved. This is then used to assess the outcomes and impacts realized against desired objectives. Adjustments are then made as part of the ongoing value realization process.