How to apply asset lifecycle management within your organisation

Posted on Jul 15, 2023 at 10:07 PM

Asset LifeCycle Management is a crucial asset management terminology which enterprises and companies can only achieve sustainable development if they rely on. It helps enterprises identify real business needs and increase productivity. Without any extra costs!

Asset life-cycle management encompasses many phases to buy, operate, maintain, and clear assets. The following is a detailed explanation of all these phases.

What are the stages of asset life cycle management?

The stages of asset lifecycle management depend on several important factors, including understanding the nature of the asset and determining the type of industry in which to use the asset.

As well as the size of the asset's use enterprise, most of which combine the following six main stages:

• Identification of assets needed by the enterprise:

This phase is the initial step in managing the lifecycle of assets, where all fixed and variable assets that the company or enterprise may need to support and achieve its vision for the future. This phase involves many works, the most important of which is identifying the type of asset, the technical specifications required, and the quantification of this asset in a rough manner.

The types of assets that the company may need, including work equipment and appliances, office supplies, vehicles, and cars, are subject to the building automation system (real estate or commercial), staff accommodation and entertainment (sometimes), and other professional assets without which the Organization's work is incomplete.

• Buy specific assets:

After determining the assets required by the company at the first stage, it will buy these assets at this stage and use or can buy new assets, depending on what the company may need in the future.

The procurement process at this stage goes through several steps, first to study the financial offers available in the market and provide the necessary information about them, then to choose the most suitable offer for the company, conduct the necessary negotiations with the suppliers, and identify the supplier that is compatible with the company's internal standards and policies, and complete the transaction with him.

• Operating Assets:

At this stage, operate the assets, and perform predictive maintenance to repair them. 

To maintain their accurate functioning for as long as possible.

All maintenance on equipment is also recorded at this stage, and maintain records to avoid unnecessary maintenance in the future.

Scheduled maintenance is one of the best types of maintenance that keeps the tools and equipment used so that they invest the most asset life!

• Improving assets and enhancing their efficiency:

This phase requires updating your entire asset to improve its efficiency and performance, doing by reducing manual work as much as possible and replacing it with automated work and by developing and updating company-owned applications and software; sometimes, you can need to improve your employees' skills in updating and maintaining assets training courses, this is by offering them coursework and vocational training such as facilities management training courses in London.

Upgrading and managing assets at this stage may be repairs and maintenance of the Company's assets or adding new equipment and devices to help you improve the efficiency of assets—assessments of the performance of existing assets to determine whether they are to repair or buy.

• The stage of asset neglect (clearance):

For anything in the universe, as for the assets, after a specific time, the assets reach the end of their life expectancy, and here they must dispose of. 

Because it will turn into one of the significant risks in the future (if not disposed of ).

You can get rid of frayed assets in many ways; Most recycling, selling, or using an innovative (out-of-the-box) method to take advantage of it that is not contrary to international (health and environmental) laws.

• Asset Control:

The final phase of asset lifecycle management involves valuing and controlling the assets owned by the company, thus determining the maintenance procedures required by each asset and which assets need to replace.

Now we arrive at a question as important as its predecessor:

What are the best asset lifecycle management tools?

Technology can play a prominent role in the asset lifecycle management process, where using technology increases the productivity and efficiency of this process, reduces and manages the costs of maintenance operations, and other benefits. The following toolkit is the most essential tool:

• Predictive Maintenance Analytics Software:

AI technology analyses information and data to identify breakdowns that may arise in the future and then perform less expensive preventive maintenance than regular maintenance.

• EAM Enterprise Asset Management Software:

These programs can centralise systems used to manage the asset's lifecycle.

Including periodic maintenance intervals, asset performance assessment, measurement and management of warehouse levels, etc.

• Supply chain management systems:

The supply chain management system is the crucial criterion for the success of the asset lifecycle management process.

Helping you manage the risk of assets you now own and identifying the most trusted suppliers, most suited to the company's policies, thereby reducing the time allocated to negotiation, improving the industrial process, and making decisions. Which reflects on improving the procurement process from suppliers.

• IoT sensors:

These sensors monitor and evaluate the performance of all assets, thereby the ability to determine the wear and tear occurring in them and the possibility of repairing them before the depreciation (tear) occurs.

• CMMS computerised maintenance management software:

This program is an effective tool in asset lifecycle management. It offers added value to people working in maintenance. This value is the ability to predict breakdowns based on data stored in the program in advance.

In conclusion, 

It is undeniable how vital asset lifecycle management is in the work of enterprises and companies and how much benefits from the practical application of such management. Remember that managing the asset lifecycle is never easy; it requires careful planning, a deep understanding of things, a significant amount of time, and regular effort.

The need for a comprehensive asset management approach that considers the realisation of the company's full vision for the future.