Asset Management is all about Outcomes

Much of the industry still defines asset management as activities that manage assets, but this misses the big picture. The reason why the big picture is missed is because activities that manage assets limit the view of performance to assets. In an input-output-outcome model, looking at asset performance is only an output of work managing assets. Whereas the big picture is – Asset Management is all about Outcomes!  In this context outcomes refer to the achievement of organizational objectives.

This is reinforced by ISO 55000 which states: “Asset management does not focus on the asset itself, but on the value that the asset can provide to the organization.”

This single statement frames asset management as a means for organizations and its stakeholders to generate value defined in stated organizational objectives. In an asset management system organizational objectives define what is valued by the organization.  Therefore, at its most basic level:

Asset management is a means to achieve outc…