George Dfouni's brief knowledge about asset management

With most of the innovations that happen in today's world, it's a great deal important that you simply keep track of all the cash that you just have invested in a method or the opposite.

It should happen that what once was considered an asset and invested in doesn't hold much importance now. However, it has to be taken care of.

This could be done better by the correct asset management solution and even the utmost cover is often availed on the assets. As by hiring the best asset manager like George Dfouni. He is from New York and has huge knowledge about managing the asset.
https://twitter.com/georgedfouni?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Eauthor

Transcript

1. George Dfouni's brief knowledge about asset management
2. With most of the innovations that happen in today's world, it's a great deal important that you simply keep track of all the cash that you just have invested in a method or the opposite. It should happen that what once was considered an asset and invested in doesn't hold much importance now. However, it has to be taken care of. This could be done better by the correct asset management solution and even the utmost cover is often availed on the assets. As by hiring the best asset manager like George Dfouni. He is from New York and has huge knowledge about managing the asset.
3.  What is Asset Management?  Why Asset Management?  Element 1: A Structured Program  Element 2: Specified Service Levels  Element 3: Minimizing Costs of Asset Ownership  Element 4: Aligning Costs and Service Levels 3
5.  Computer system?  Tools & Techniques?  Planning Procedures?  Decision Methodology?  New Business Process? 5 Well, maybe all of the above, but mostly…
6. 6 “Asset management is a structured program to deliver the service levels your customers require while minimizing the whole-life costs of asset ownership.” Let’s look at this definition closely…
7.  AM is highly structured  Asset decisions are made in repeatable and supportable ways, based on good data!  AM’s structure always includes continuous improvement cycles 7 “Asset management is a structured program to deliver the service levels your customers require while minimizing the whole-life costs of asset ownership.”
8.  AM doesn’t want to deliver the optimum service—it wants to deliver specified levels of service  These levels are selected based on service level/cost tradeoffs  Ideally, service levels are “agreed” with customers in full knowledge of those tradeoffs 8 “Asset management is a structured program to deliver the service levels your customers require while minimizing the whole-life costs of asset ownership.”
9.  All asset decisions (acquire, maintain, refurbish, replace) are made on a life cycle basis  Each decision minimizes the present value of all future ownership costs  Costs must include economic, environmental, and social costs (“triple bottom line”)  Decisions must consider risk costs 9 “Asset management is a structured program to deliver the service levels your customers require while minimizing the whole-life costs of asset ownership.”
10.  AM is intensely customer-focused  What levels of service do our customers need?  How can we deliver these services at the lowest cost?  In a mature AM organization, this is an automatic way of thinking! 10
12.  Better Service and Lower Costs  Sustainable Infrastructure  Good Business! 12
13.  Know the condition of your system and its value  Optimize asset lives  Optimize Operation & Maintenance (O&M)  Optimize Removal & Replacement (R&R)  Balance O&M versus capital expenditures for lowest life-cycle cost  Allocate resources to where they’re needed—and away from where they’re not 13
14.  Much infrastructure was “free,” contributed by developers or grant funds  This “hidden treasure,” usually not reflected in utility rates, is getting old and is enormously expensive to replace  Lack of AM means that huge bills are coming due without the means to pay 14
15.  Service levels tied to expenditures  Unnecessary capital investment minimized  Life-cycle cost approach means costs and benefits better balanced  Better allocation of day-to-day and long-term resources  Overall, improved delivery of value and not just delivery of service 15
17. 17 Procedures Practices Systems Objectives Targets Action Plan Programmatic Foundation
19.  Two components  Where are we now, and  Where do we want to be?  Evaluate both, then do a “gap analysis”  The overall AM Plan and the individual action plans must support closing the gaps 19
21. 21  Getting Buy-In  Understanding Risk  Understanding Financial Impacts  Understanding Tools and Decision Frameworks  Understanding the Organization’s Culture Life-Cycle Costs Service Levels
22.  Clean, safe drinking water (all regulatory guidelines met, sampling done, zero IPS Points)  Zero air vac failures  Zero pumping system failures during peak season  Zero PRV station failures  Unnacounted for water losses < 15% 22
23. 23 Total cost Low High Low High Level of Service Life of asset NPV of Community cost
25.  O&M sees: Trucks, crews, pumps, etc.  Engineering sees: Studies, capital costs (concrete and steel)  Finance sees: Interest, other financial costs  IT sees: Cost of IT systems (CMMS, other O&M support, GIS, productivity, etc.)  Few see: Internal and external overhead 25
26.  USEPA estimates that good AM will result in at least a 20 percent reduction in asset ownership costs  How significant are asset ownership costs? Question: What would our annual budget be if we had no infrastructure to manage?  The difference between this and our budget now can be attributed to ownership of assets 26
27. Asset: Deep Well & Pump Station  Consider Capital Costs  Consider Annual Operating Costs  Consider Annual Maintenance Costs  Consider Annual Repair & Replacement Costs  Add Costs and Prepare NPV Cost 27
28. Just about everything we do is intended to address risk
29.  Replace pipes? Reduce risk of water main breaks and outages  Monitor pumping Reduce risk of water stations? outages  Have redundant pumps? Reduce risk of asset failure and water outages  Do preventive Ditto maintenance?  Increase system capacity? Reduce risk of capacity- related delivery constraints 29
30. 30 Consequences ($) Likelihood of Failure L M H H M L Concentrating Your Efforts
31.  Risk cost is an inherent cost of asset ownership  It is measured in dollars per year  It is the product of the likelihood of an event and the dollar consequence of that event  Once we know the risk cost, we can make rational decisions on reducing risk  We’re now managing risk! 31
32. 32 Risk Cost = Measured in Dollars/Year Frequency of Failure (Projected events per year) Consequence of Failure (Dollar cost of each event) X
33.  Average towing bill: $240  Average frequency of needing a tow for your make/model of car: 8 years  Annualized risk cost: $240 x 1/8 = $30  Add overhead and profit: $10  Insurance company assumes your risk cost of towing: $40 a year 33
34. 34 Plan/Create Acquire Maintain Refurbish IT OPERATIONS Strategy development Re-rating SCADA Energy Management On-line O&M linked to CMMS Trouble Shooting MAINTENANCE: Develop Failure Codes Reliability Centered Maintenance (RCM) Failure Modes Analysis Replacement planning model (RPM) Condition Assessment Asset Plans SCADA GIS CMMS Financial Laboratory Data Interpretation for decision makers Apply BCE process Populate CMMS, Financial data, As-builts, Asset Information Risk based: Master Planning Facility Planning Regulatory Mgmt Public Relations Service levels Succession planning
35.  Takes years of detailed work to fully deploy  Requires commitment of the whole organization  Needs upfront investment to get started, with hidden returns for initial years 35
36. 36 THANK YOU