What measures do you use to
monitor your asset management performance?
What behaviours are they intended
With properly defined business and
asset management strategy and objectives, the organization then needs to
drive the behaviours to support the strategy and objectives. Communication of the strategy and objectives is critical to
drive behaviours. Using
appropriate performance measures will help to clearly communicate the
strategy and objectives, and show the organization’s progress toward
supporting them. Like
strategy, performance measures needed to be cascaded down through the
organization to drive behaviours at the lower levels that support the
overall objectives. The
work by Robert S. Kaplan and David P. Norton on “Balanced Scorecard”
has developed a system intended to drive a broader perspective of measures
through the inclusion of non-financial measures that drive improvements in
areas that will have a critical influence on the performance of the
Performance measures can also
support continuous improvement initiatives.
If a broad set of raw data can be gathered (e.g. DCS or SCADA
systems, production systems, EAMS/CMMS), trended and analysed, the
co-relation between variables can be better understood, and the “ripple
effect” of changes to the variables can be predicted to some degree.
With this understanding, the organization can then focus on the
critical performance drivers.
Performance measures can be used
to manage obligations between groups through service level agreements (SLA).
The SLA could be internal within an organization to ensure the
services provided are suitable to the end-user of the service, or they
could be contractual between two separate organizations (e.g. outsourced
maintenance services). Again,
it is critical to ensure that the measures developed drive the desired
Are your measures appropriate to
your strategy and objectives?
Do they support the desired