Asset Performance Management, or APM, has become a popular catchphrase for anything that helps asset-intensive organizations get the most value out of their costly equipment investments.  However, it is rare to find two cases where APM means the same thing and this makes it difficult to compare approaches and evaluate solutions.  ARC's new model for APM resolves this problem by clearly establishing what APM is and is not, defining the key processes and stakeholders that must be managed, and outlining the landscape that effective APM solutions need to address.    

APM solutions vary in both their performance focus and the kinds of activities they support.  Some view performance as a utilization issue and focus on ways that the organization can produce more and/or better products.  Others view performance as an availability issue and focus on things that enhance maintenance efficiency, increase reliability, or extend asset life.  Still others combine these performance perspectives, but their capabilities are limited to specific functional areas, technologies, and industries.    

ARC's model for APM follows the spirit of those having a combined utilization-availability perspective.  But, our model is broader in its focus on operations and maintenance activities, as well as their interdependencies.  It also recognizes the need for organizations to manage their hidden assets - people and information.   Most importantly, ARC's APM model is firmly grounded in the extensive research we have done in Asset Lifecycle Management (ALM), enabling organizations to balance APM goals with other critical ALM objectives. 

Asset performance has many dimensions including financial, health & safety, environmental, and sustainability.  Achieving these goals requires a collaborative effort by all groups involved in the use and care of the facility to manage the interdependencies that constrain performance.  To do this, they need an asset information management system that can deliver complete, accurate, timely information to APM workflows and enable seamless sharing of information across all APM stakeholders, internal or external to the organization.  

ARC's model for APM is the only model that explicitly recognizes Asset Information Management (AIM) as a key APM process.  Research repeatedly shows that asset-intensive organizations suffer staggering losses each year as a result of poor Asset Information Management.  Neglect in this area has also been linked to major safety and compliance violations that have seriously blemished corporate reputations.  Asset Information Management issues plague every group and its role as the foundation for operational and maintenance excellence is clearly highlighted in the ARC model for APM. 

For more information about Asset Performance Management see the following reports.  Other reports are available through your ARC client manager.

• Asset Lifecycle Management: Managing Performance Across the Asset Lifecycle
• Asset Performance Management (APM): Managing Performance of Operating Assets

How Can ARC Help?
ARC's analysts can help you analyze your current APM performance and identify the best opportunities for improvement.   They can also educate you on technologies and best practices that you can use to improve your performance and help you select the solutions that are most suitable for your company.  

Functioning as members of your own internal APM team, ARC's analysts can add our unique knowledge of technologies, suppliers and other APM programs to accelerate your continuous improvement efforts.   
 
For more information contact us at info request