In a competitive marketplace, many service organisations are already using asset performance tools in a bid to work smarter and more efficiently. But how can asset performance management (APM) help your business?
What is asset performance management?
APM describes how an organisation uses its physical assets (e.g. equipment, fleet, machinery etc.) to achieve its goals. Or, according to advisory firm Gartner, APM is the group of software tools and applications designed to optimise the performance of operational assets.
And, when it comes to the benefits of APM, for service-led companies this usually means:
- Increasing reliability
- Mitigating downtime
- Reducing maintenance costs
- Reducing operational risks
- Lowering the total cost of ownership.
How does asset performance management work?
Using data and analytics, extracted from a range of sources (e.g. asset criticality, service history records, historical failures, smart sensors, etc.), a business can make intelligent and informed decisions and take steps to maximise its APM. And, in doing so, give itself a competitive advantage.
For example, at present, an engineer might be dispatched to a job with just enough detail to carry out the necessary service or repairs. However, with APM, your business has access to a vast range of data that will enable the engineer to carry out additional tasks while there; mitigating the need for an extra trip.
What’s more, with the Industrial Internet of Things (IIoT) giving us the ability to harness industrial technologies, processes, physical objects and services to create an interconnected system that monitors and shares information, the full potential of APM is just beginning to be realised.
For example, technology will soon be used to create machines that establish when they need maintenance, automatically order the parts required to fix themselves and know when the best time is to be taken offline.
Is this the end of the break/fix model?
Quite possibly. By using cloud-based software to enable more effective APM, it is easy to move maintenance from a break/fix to a predictive maintenance (PdM) approach. And doing this can result in significant savings and productivity gains. Even better, the longer you use APM tools, the more data becomes available. So you benefit from exponentially more performance improvements over time.
According to the experts, the bringing together of operational and informational technology not only leads to improved insights and reduced downtime, but it can also generate savings of up to 12% over scheduled repairs, leading to a 30% reduction in maintenance costs and a 70% cut in downtime from equipment breakdowns.
And, as machine learning and intelligent systems evolve, such benefits won’t just apply to individual assets. Instead, businesses technology will be able to take a holistic approach to your processes and maximise the performance of your entire operation.
How to get up and running with asset performance management
Digital transformation can seem daunting, but you don’t have to do everything at once. Small but significant steps are possible as long as you keep the impetus going. For example, at Service Geeni, our innovative cloud-based PPM software uses advanced analytics to deliver improved insights that take preventive maintenance to the next level.
There are billions of assets and systems that could run better. By delivering more accurate information and enabling more predictive maintenance, service-led businesses of all types and sizes can accurately predict how long they can last before doing anything; keep everything running for longer and save on replacement costs.