What is Physical Asset Optimization?
Physical Asset Optimization maximizes the value of a company's physical assets, particularly equipment and property. This includes everything from maintenance scheduling, technician training, operating ratio analysis, and novel revenue stream generation from physical assets.
Asset optimization is all about making strategic improvements to the effectiveness of your overall asset management methodology by providing more holistic adjustments.
An asset is an item of value owned.
Optimization is the process or methodology for making something as functional or practical as possible.
This revolution in data has opened a whole new world of physical asset management and maintenance based on the analysis of this data.
Facility management is about much more than managing buildings, infrastructure, and services—it is critical to the successful functioning of every organization, according to a recent IFMA report on strategic decision-making.
Why is Physical Asset Optimization Important?
Physical Asset Optimization is essential because it improves operational efficiency for buildings and facilities by collecting quality data and insights during a facility condition assessment.
Facility managers are tasked with various constraints, from aging infrastructure to health and safety compliance and shrinking budgets. Therefore facility executives must know how every building, physical asset, and system performs. In addition, facility managers must be aware of potential facility optimization areas that go above and beyond energy savings.
Data Collection and Management: New developments in data collection technology have allowed companies to assemble an unparalleled volume of data from their facilities, equipment, and physical assets. This revolution in data has opened novel avenues for effective physical asset management, maintenance, and optimization. However, it is the analysis of this data that enables companies to enhance physical asset optimization truly.
Please read our guide to physical asset optimization for facility management and capital planning.
By incorporating new technologies like the FOUNDATION Solution, your company can move toward the future of asset management and optimizing physical assets that will deliver high value for your company in the long run.
Top 6 Ways Physical Optimization Delivers Value
Creating value with asset management optimization must go beyond simple cost-reduction strategies. According to a recent article in Building Operating Magazine, "Productivity increases offer an opportunity to boost long-term profitability in a way that the most aggressive cost-cutting can't match."
Here are the top six ways physical asset optimization creates value.
1. Strategic Management
Do the good work at the right time to deliver the right level of service.
2. More than Maintenance
Asset management requires leadership to drive change and implement controls across the organization's management system.;
You can learn how our leadership team has empowered organizations to improve facility condition assessment and capital planning.
3. Improves ROI
Asset management delivers value by contributing to the bottom line – a 30% efficiency savings is typical.
Contact us to learn more about how we can improve your ROI.
4. Value for your Customers
Better-managed assets have fewer faults and failures, which results in improved performance and happier building occupants.
5. Organizational Objectives
Better managed assets result in a safer built environment, which directly correlates to improved sustainability and reductions in environmental impact.
See how we're moving the built environment forward.
6. The Digital Difference
Better-managed information and data analysis can save at least 5% of an organization's expenditures.
How value plays into physical asset management
In conclusion, when considering how value plays into physical asset management, it is essential that organizations"evaluate the balance between cost, risk, and performance, thereby allowing better-informed decisions," according to a recent study by the Institute of Civil Engineers.
The discipline of Facility Management is about more than managing property assets. Achieving maximum value from workplace and environmental benefits that improve productivity and protect employees and consumers is crucial.
Therefore, it is essential to move beyond cost-cutting strategies to implement a holistic asset management optimization methodology to create real long-term value for your organization.
Be Smart. Be Strategic. Get the FOUNDATION Solution by Intellis
It is time to take Asset Management, Facility Condition Assessment, and Capital Planning to the next level.
Working with Intellis enables you to develop an optimized plan for your entire portfolio of facilities that aligns with your company's mission and adapts to its needs.
Top Benefits of Intellis:
- Save an average of 3+ hours per week by removing the need for data entry.
- Second, increase budget funding for capital planning projects by 60%.
- Finally, cut spending by half on your annual Facility Condition Assessment.
Say goodbye to complicated Excel spreadsheets. And hello to the digital age with cloud-based software for more intelligent, more efficient facility condition assessments, physical assessment management, and capital planning so that you can focus on the long-term success of your facilities.
Please speak to us directly to learn how our software will dramatically improve physical asset management today! Then, schedule a demo with our team to learn more!
