Director's Insight: Understand the Ways to Approach Asset Management
Over the past few years, the conversation around asset management has been growing. Both public and private enterprises have a growing desire for a better way to manage assets than fixing things one pothole at a time. However, most enterprises don't have enough exposure to really understand the various ways to approach asset management.
Since AssetMax—Garver's asset management service division—focuses primarily on pavement assets, let me give you an example on an airport. The pavement managed by an airport falls into two groups: airfield and vehicular. Airfield pavement is maintained with the priority of safety. Think of the impact a piece of FOD (foreign object debris) has on a jet engine on takeoff and you will understand why. For the vehicular areas, decision making should typically be based on the financial return of the investment, more similar to how a business would think. In addition, there may be priorities set based on such things as brand perception or risk mitigation. While the science may be similar for achieving these various goals, understanding how to use pavement management science to achieve the owner's goals is an often overlooked aspect of asset management.
With Walmart initially planting the seed for what has become AssetMax, I'm often asked if AssetMax will also work with public entities. My simple answer is "Yes, if they want to think like a business." Aligning the goals of the enterprise with the program setup is this critical. Even within a business, the best way to approach parking lot management is different based on the company size, ownership, financial structure, and tenant arrangements.
Before you begin your next asset management initiative, make sure to ask yourself what your goals are for that asset. No matter if you are a private or public enterprise, this will help you seek the appropriate external help and gain alignment internally for achieving the results you want to achieve.
Over the past few years, the conversation around asset management has been growing. Both public and private enterprises have a growing desire for a better way to manage assets than fixing things one pothole at a time. However, most enterprises don't have enough exposure to really understand the various ways to approach asset management.
Since AssetMax—Garver's asset management service division—focuses primarily on pavement assets, let me give you an example on an airport. The pavement managed by an airport falls into two groups: airfield and vehicular. Airfield pavement is maintained with the priority of safety. Think of the impact a piece of FOD (foreign object debris) has on a jet engine on takeoff and you will understand why. For the vehicular areas, decision making should typically be based on the financial return of the investment, more similar to how a business would think. In addition, there may be priorities set based on such things as brand perception or risk mitigation. While the science may be similar for achieving these various goals, understanding how to use pavement management science to achieve the owner's goals is an often overlooked aspect of asset management.
With Walmart initially planting the seed for what has become AssetMax, I'm often asked if AssetMax will also work with public entities. My simple answer is "Yes, if they want to think like a business." Aligning the goals of the enterprise with the program setup is this critical. Even within a business, the best way to approach parking lot management is different based on the company size, ownership, financial structure, and tenant arrangements.
Before you begin your next asset management initiative, make sure to ask yourself what your goals are for that asset. No matter if you are a private or public enterprise, this will help you seek the appropriate external help and gain alignment internally for achieving the results you want to achieve.
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