9-Step Enterprise Asset Management Checklist

Unlocking Financial Performance Through Asset Optimization 

The primary objectives of any business center on increasing revenue, improving margins, and reducing costs. Effective asset management directly supports these goals through multiple pathways. When your assets operate at peak efficiency and projects deliver on time and within budget, you achieve your revenue targets and maximize return on investment. 

Efficient equipment increases product yield while reducing downtime, which improves quality and lowers your operating costs. Better maintenance planning extends equipment life, reduces repair costs, and optimizes your Maintenance, Repair, and Operations (MRO) supply chain. This comprehensive approach decreases purchasing-related costs and right-sizes inventory levels, creating a positive cycle of operational excellence. 

Building Your Data Foundation

The cornerstone of successful asset management lies in establishing a robust data foundation. This critical foundation requires five key steps: 

1. Assessing data integrity across all systems
2. Collecting in formation for missing asset data
3. Enriching existing data with additional context
4. Classifying and consolidating disparate data sources
5. Standardizing  your database structure 

To maintain ongoing data integrity, you need a governance process and policy framework that ensures sustainability. This holistic approach involves developing a comprehensive data strategy that maps your current processes (AS-IS), defines your desired future state (TO-BE), and creates a clear roadmap to bridge the gap. 

A strong master data foundation is not built from every available data stream but from the most dependable ones. Begin with verified manufacturer, equipment, and system data, then progressively layer in SCADA (Supervisory Control and Data Acquisition), geo-location, and visual sources to enrich insight and control. 

1. Define Asset Management Objectives and KPIs 

Start by setting clear objectives for your asset management strategy. Define measurable KPIs to track performance, such as equipment uptime, maintenance costs, or asset utilization. These goals should align with your broader organizational strategy and provide a framework for decision-making. 

2. Establish Governance and Accountability 

Create a governance structure that defines roles and responsibilities for asset management. Assign accountability to key stakeholders, ensuring clear ownership of decision-making processes and compliance with regulatory and company requirements. 

3. Assess Asset Condition and Criticality 

Conduct a thorough assessment of your assets to understand their current condition, performance, and criticality to operations. This evaluation helps prioritize maintenance, asset replacement planning, and resource allocation based on risk and impact. 

4. Build the Asset Data Foundation 

Accurate, reliable data is the backbone of effective asset management. Cleanse and validate your existing asset data, ensuring it is complete and up-to-date. Develop clear guidelines for data entry, standardization, and maintenance to support long-term reliability. 

5. Integrate Maintenance and Reliability Programs 

Link your asset data with maintenance and reliability programs to ensure proactive management. Develop preventive and predictive maintenance strategies that extend asset lifecycles, reduce downtime, and optimize performance. 

6. Implement Performance Monitoring 

Establish systems to monitor and analyze asset performance in real time. Use IoT sensors, condition monitoring tools, or manual inspections to track key metrics like efficiency, reliability, and energy consumption. This data supports continuous improvement initiatives. 

7. Optimize Lifecycle Costs 

Evaluate lifecycle costs for your assets, considering factors such as acquisition, operation, maintenance, and disposal. Use this analysis to identify opportunities for cost savings, improved asset utilization, and sustainable practices. 

8. Embed Continuous Improvement 

Adopt a culture of continuous improvement within your asset management strategy. Regularly review processes, KPIs, and performance data to identify areas for optimization. Engage stakeholders in ongoing training and feedback to enhance results. 

9. Review and Refine Data Governance 

Ensure your data governance practices are robust and adaptable. Regularly audit data quality, security, and accessibility to maintain accuracy and prevent issues as your system evolves. Refine governance policies to meet changing operational or regulatory needs. 

By combining operational asset management with a strong data foundation, you can create a comprehensive strategy that optimizes performance, reduces risks, and delivers long-term value. 

Key objectives achieved through this deployment include: 

• Capital Project Management: Properly manage capital projects so they are delivered on time and on budget, enabling new equipment to move into production as soon as possible. This helps you avoid costly delays and drive faster value from your investments. 

• Plant Maintenance: Maximize manufacturing equipment utilization and minimize repair costs. Reliable data supports preventive maintenance and reduces unexpected downtime. 

• MRO Inventory: Ensure that critical spare parts are on hand, minimizing equipment downtime while keeping inventory costs in check. Accurate records mean you invest only in what you truly need. 

• MRO Purchasing: Efficiently source critical spare parts from approved suppliers, ensuring timely procurement at the lowest possible cost. Streamlined purchasing helps keep your operation running smoothly and reduces unnecessary spending. 

Bringing data governance to the center of your EAM strategy helps make your operations more reliable, control costs, and empower teams with the right information to make effective decisions.