Asset Management is the systematic activities and practices that is the ability of an asset and asset system to perform its required function effectively and efficiently. The Asset Management performs the risks and expenditures over a life cycle period for the purpose of achieving its organisational strategic plan.
Reference Definition by Assetmanagementstandards.com: Asset Management: Assets, and value realized from them, are the basis for any organisation delivering what it aims to do. Whether public or private sector, and whether the assets are physical, financial, human or ‘intangible’, it is good asset management that maximises value-for-money and satisfaction of stakeholders’ expectations. It involves the coordinated and optimized planning, asset selection, acquisition/development, utilization, care (maintenance) and ultimate disposal or renewal of the appropriate assets and asset systems. Insights into the integration and optimization of asset management have developed since the 1990s (from the North Sea oil and gas industry and the Australian public sector), to identify a range of essential business processes, alignment activities and system integration features that yield very significant performance benefits.
Related Definitions in the Project: The Project Management; Operation and Maintenance; Commercial Definitions
