Value, Value Measurement, and Values

AMP Newsletter Series - Mastering Asset Management Decisions

Last week's article, Demystifying Asset Management: It's All About Outcomes, covered how asset management aims to achieve desired outcomes. This week's article focuses on the concepts surrounding value and its relevance to asset management decision-making. This is a foundational concept that must be understood before diving into the next section on asset management decision-making archetypes.

Topics Covered in this Article:

• Definition of value

• Turning value subjectivity into a strength

• Creating a value-centric mindset

• Using objectives in value-based decision-making

• Generating value through coordination

• The role of an organization's values in culture generation

Learning Objectives:

• Grasp value's subjective/objective balance.

• Learn how to leverage subjective definitions of value.

• Learn how the AM Framework generates value through coordination.

• Differentiate asset-focused vs. outcome-driven management.

Key Takeaways:

• Value drives asset management, prioritizing outcomes over assets.

• Subjectivity enables innovation; objectivity ensures verifiable metrics.

• AM Framework coordinates performance/risk for stakeholder value.

• Culture/values reinforce AM Framework activation.