Asset management auditing – the roadmap to asset management excellence

Abstract

Asset Management (AM) as a concept evolved from Maintenance Management to provide a more holistic approach to managing the life of a physical asset. The maturity of an organisation in its Asset Management practices and processes can be determined through applying an Asset Management Audit. This study had as main objective to develop an asset management auditing methodology. The methodology includes the development of a Program for Asset Management Improvement (PAMI) and the application of Business Process Engineering as a tool to realise the improvement opportunities identified through the audit. Asset Management is clearly defined in this study and a framework representing the scope of Asset Management developed to comprehensively address the relevant elements. The life cycle of an asset consists of the acquisition, operation, maintenance and disposal phases. These four phases of an asset’s life represents the high level framework for Asset Management. The application of an asset management audit, according to the developed methodology, can create the “roadmap” to Asset Management excellence. By optimising the performance of asset management practices and processes a positive contribution can be made to the profitability or success of any organisation.