Asset Operations_ The Future of Maintenance, Reliability, and Operations - Part 1
Asset Operations_ The Future of Maintenance, Reliability, and Operations - Part 1
Eliminating silos and making an ‘asset centric’ system will allow us all to accomplish more.”
RYAN CHAN
CEO & FOUNDER OF UPKEEP
PA RT 1
Why Asset
Operations
Management
Why Asset Operations Management 15
CHAPTER 1
Where Are We and
How Did We Get Here?
The activity metrics on the left are all vanity metrics; they show what one’s
doing and not the impact they’re making. These metrics also focus on mainte-
nance utilization alone, not the language of the executive team and how that
utilization is driving revenue and/or profitability. The end result is that this
stereotype of maintenance, reliability, and operations teams being cost centers
continues to be perpetuated. This stereotype is damaging for many reasons.
16 ASSET OPERATIONS: THE FUTURE OF MAINTENANCE, RELIABILITY, AND OPERATIONS
There are three ways these teams can earn that seat at the revenue table.
1. Connecting the field to the office and boardroom: Frontline workers
need a digital solution that not only captures the work/activities they’re
doing, but also one that links their impact to business outcomes, such as
asset health and performance.
2. Utilizing technology that’s easy to adopt: A solution that workers want
to use and will use on a sustained basis is key.
3. Having a single source of truth: If companies succeed in the previous
two areas—where maintenance, reliability, and operations teams have
the ability to connect all players, especially frontline active data creators,
and make it easy to adopt—then can they create a repository of data.
When teams have all three of these, they can see holistically across different
teams, spanning assets and activities. This expanded view allows businesses
to make more informed business decisions on a complete picture. However,
this has been hard to do, in large part because companies have disjointed sys-
tems—and as a result, disjointed practices—operating across these three sep-
arate teams.
Today, maintenance, reliability, and operations teams have access to more
data than ever before. But something apparent across the market is that data
isn’t being shared across platforms and teams; it’s fragmented across all the
different systems. Despite working on the same asset in parallel, despite hav-
ing the same intent, these teams operate separately. And what happens is each
team’s data lives in different places, is inaccessible, and is siloed.
So most teams are operating with inaccurate data that’s also hard to get
to. How can maintenance, reliability, and operations teams demonstrate that
they have concrete business value if their processes and data are hindering them
from the start?
18 ASSET OPERATIONS: THE FUTURE OF MAINTENANCE, RELIABILITY, AND OPERATIONS
Poor Adoption
One could apply the idea of poor adoption to any new software or initiative at
a company, but it’s particularly acute in asset-intensive industries and sectors
where there are many desktop-oriented solutions: computerized maintenance
Why Asset Operations Management 19
Fragmented Information
Disjointed systems and disjointed teams equal fragmented information. Many
companies today have data spread across all these different systems. The main-
tenance team is using a CMMS; the operations team is using an ERP or EAM,
etc. Each system has its own wants and needs, and the team members are
operating in their respective system. When information is so widely spread like
this, it leads to difficulty accessing it. This scenario should be easy to imagine.
“What’s the right document? Where’s the checklist? Is the checklist correct?
What’s the right workflow?”
Additionally, siloed data causes information gaps, which lead to rework.
The UpKeep State of Maintenance Report 2021 found that 20% of work done in
the field is due to rework. Rework is work that is redone because the original
job was done incorrectly. This is 20% of a company’s productivity going down
the drain.
But this isn’t the technician’s fault. It’s because they don’t have the right
access to information to get it right the first time. If all of a company’s data is
inaccurate or hard to get to, then it makes consistent efforts toward working
with accurate data difficult.
There are disjointed systems and disjointed teams, and now the systems are
also not talking to each other. So, companies have pockets of data aggregating
separately and not giving anyone in the business a unified view of what’s hap-
pening. How can maintenance, reliability, and operations teams make a busi-
ness case for impacting the bottom line if all these elements can’t be integrated?
CHAPTER 2
Introducing Asset Operations
Management
All of this leads to a new category and mindset of Asset Operations Management
(AOM). It’s not just a technology solution; it’s defining the future of main-
tenance, reliability, and operations. AOM is company-wide intelligence. It
means threading together an organization’s maintenance management, passive
and active asset data, and unique operational processes to make it easier and
faster for every employee to get what they need to do their jobs successfully.
An AOM solution isn’t just a casual term; it’s a very different shift in how
a system works within a company. AOM is purpose-built to bring together
all these teams and their data so they can inform important business decisions.
In order to do that, teams have to have that full visibility across the entire life
cycle. It doesn’t matter if you’re out in the field doing maintenance, you’re just
as important as the asset managers or executives in other departments.
Unlike traditional CMMS, EAM, or APM solutions, the AOM mindset has
four key differentiators.
1. Unifies maintenance, reliability, and operations: An AOM solution
brings data that traditionally lived in different software solutions into a
single repository so it can be analyzed and leveraged to make decisions
Why Asset Operations Management 23
that impact all three teams. Maintenance teams, for example, should
be able to understand how reactive maintenance on an asset impacted
monthly or quarterly revenue—not just see how many parts are stocked
or how many work orders they completed in isolation.
2. Is intuitive for every employee to use: An AOM system prioritizes the
quick and easy capture of data across passive and active data sources.
Data quality and volume will suffer if adoption is poor, so ease of use is
a top requirement.
3. Creates a command center for data: AOM consolidates data from across
active and passive sources, as well as unifies data from maintenance,
operations, and reliability. It links asset data to executive metrics so every
team is aligned on the company’s goals.
4. Employs a cross-departmental approach: Having a dynamic knowl-
edge base for all teams increases cross-functional collaboration and
communication. Integrating multiple systems and solutions is easier for
workers instead of one system keeping them captive.
To help organizations find their way back onto a successful road to the future,
they need a consolidated, robust perspective that brings together the strengths,
tools, and data of maintenance, operations, and reliability. This is why AOM is
a game changer for businesses.
AOM uses an interconnected approach that breaks down departmental
silos, bridges the data and information gaps, and is purpose-built to support the
mission of each department. The idea is intuitive for all employees and ensures
the entire organization is moving in a single, concentrated direction when it
comes to asset management. Unlike existing systems, AOM is less a feature set
and more of an operating principle. The main tenets of AOM are ease of use,
data consolidation, configurability, and the accessibility of enterprise-grade
features for all company segmentations.
AOM provides maintenance, operations, and reliability with a single ver-
sion of the truth when it comes to assets. This truth encompasses the entire
life cycle, holds comprehensive equipment health metrics, and is measured by
successful business outcomes. Again, it’s about company-wide intelligence.
24 ASSET OPERATIONS: THE FUTURE OF MAINTENANCE, RELIABILITY, AND OPERATIONS
have the means to immediately text or contact a supervisor or flag the issue for
further review. If the work can be completed, any notes, questions, or other
data can be immediately recorded and available within the system for anyone
else in the organization to access in real time.
From an individual standpoint, technicians are freed from non-value-
added tasks, such as searching for the right information, which allows them to
spend their time on more critically important issues. From an organizational
standpoint, AOM allows automatic load balancing, which examines both the
existing volume of work orders and technician availability and workload.
Improved Reliability
AOM allows organizations to get ahead of preventive maintenance, ensuring
uptime and increasing the speed and quality of responsiveness to routine facil-
ity questions. These results are possible by ensuring tools, operations, and peo-
ple cohesively work together toward the same goals. When disparate systems
become aligned, reliability teams are able to make important business decisions
with full visibility across the entire company life cycle.
Additionally, through standardization and automation of preventive
maintenance tasks, reliability teams can increase the lifespan of their assets and
avoid catastrophic failures—key objectives for any reliability team.
28 ASSET OPERATIONS: THE FUTURE OF MAINTENANCE, RELIABILITY, AND OPERATIONS
Reduced Paperwork
Technology is moving at a breakneck pace. However, many reliability teams
are still managing tasks with pen and paper systems. Whether it’s word-of-
mouth, phone calls, emails, or sticky notes, these inefficient tactics significantly
weaken productivity and increase costs.
AOM continuously tracks interactions within a facility versus employees
having to manually log each step. This platform is designed to streamline work
orders, collect maintenance data on labor and assets, manage inventory, and
generate reports that can lead to long-term, smarter business decisions. It’s one
front door for team members to get what they need.
Reliability teams get a complete picture of all work orders performed, ensur-
ing nothing falls through the cracks, to optimize overall service and work-
load balance.
also anticipates replacement parts needed based on actual condition of the asset
(feedback from PMs or based on condition from CBM analysis), and manage-
ment can get real-time notifications of part quantities.
Additionally, AOM is integrated with a company’s tech stack for a central
knowledge base to connect fragmented systems and assets. Operations teams
can access their asset information and history from anywhere.