It is easy to confuse Asset Management with Maintenance Management due to the many similarities between them, but there are key differences between them.
What is Asset Management?
Asset management consists of the activities and practices tracking the work of a company’s assets and effectively using those assets to gain value.
Asset management systems should strategically align with the goals and objectives of a company so that all asset processes are helping to build a successful enterprise.
Generally speaking, effective asset management will improve overall quality, efficiency, performance and “time-to-market”.
By implementing strategic asset management processes, businesses can realize benefits like lower operating costs, lower cost of product, higher return-on-investment (ROI), extended life of equipment and optimum performance (within capacity constraints).
What is Maintenance Management?
Maintenance management is about scheduling and performing maintenance work on a periodic cycle based on time or cycles (preventive maintenance), providing condition based maintenance derived from information obtained from the equipment or inferred about the equipment (condition-based maintenance & predictive maintenance) and optimizing resource operating performance and efficiencies.
An Overall Equipment Effectiveness (OEE) solution can provide valuable insights (ie performance, availability, quality) of equipment and production lines. This data can be useful to optimize maintenance plans for instance.
Maintenance management systems ensures that equipment remains in working order at all times, preventing unexpected repairs and operational downtime.
Maintenance management is a key component of asset management. It uses intelligent computer software to track resources such as labor, material and equipment. This information is used to make important decisions in improving maintenance management processes.
What is the Difference?
While maintenance management and asset management are technically different, they are still interrelated and flow well together. Maintenance management helps to guide the physical performance of maintenance equipment and activities efficiently, while asset management helps to analyze all the data for the work needed to perform on the assets themselves.
Asset management assists in identifying and prioritizing the work necessary for specific assets not only for the ROI of the asset, but also to analyze and coordinate strategically with work on other opportunities.
Both maintenance management and asset management are necessary and valuable for every organization. Both practices can help maintenance managers come to better, more informed decisions in the day-to-day business practices.