A Performance Management Model for Physical Asset Management

Jooste, Johannes L.; Page, Daniel

doi:10.7166/15-2-204

Cited by 6 publications

(7 citation statements)

References 16 publications

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“…The results obtained by applying PLS path modeling reveal that PAM core practices have a statistically significant direct impact on operational performance (β = 0.432 **, t = 5.58). This result confirms the studies aimed at providing empirical evidence for the operationalization of PAM [62,84] and evidence for the performance outcomes of PAM [4,9,30]. Accordingly, the results of our empirical study illustrate the relative importance and interaction of core PAM practices and operational performance.…”

Section: Discussionsupporting

confidence: 88%

“…In particular, operational performance refers to the organization's ability to reduce operating costs, meet order cycle time, improve raw material utilization efficiency and meet delivery capacity [29]. Although some of the literature refers to the link between various aspects of PAM and operational performance dimensions [9,30,31], the literature review revealed a lack of a holistic approach towards PAM and its link to operational performance. Accordingly, an empirical investigation of the relationship between PAM and operational performance is required.…”

Section: Background Literature and Hypothesis Developmentmentioning

confidence: 99%

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An Analysis of Physical Asset Management Core Practices and Their Influence on Operational Performance

2020

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The commitment of organisations to physical assets management (PAM) has recently received considerable attention in theory and practice. Indeed, PAM plays a key role in asset-intensive organizations and is also considered as a principal actor within Industry 4.0. Therefore, this paper aims to examine the PAM core practices and the performance implications of integrating these practices into business, in particular by assessing their impact on operational performance. Survey data were collected from managers in 138 international and local organisations. The data was analysed using Partial Least Squares Path Modeling (PLS-PM). The study validates the second-order construct consisting of PAM latent variables, namely Strategy and Planning, Risk management, Lifecycle Delivery, Asset Information, and Asset Review. The results have shown that PAM core practices directly influence operational performance. This paper is a response to recent calls for empirical studies on the organisational approaches that can increase the success of organisations.

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Section: Discussionsupporting

confidence: 88%

Section: Background Literature and Hypothesis Developmentmentioning

confidence: 99%

An Analysis of Physical Asset Management Core Practices and Their Influence on Operational Performance

2020

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“…The third-highest ranking belongs to practices, a finding which supports previous studies as well. They have found that maintenance practices can have a critical impact on useful lifecycle and overall asset performance (Jooste and Page, 2004). The fact that preventative maintenance is the most significant practice in asset management confirms the results found by Fouladgar et al .…”

Section: Discussionmentioning

confidence: 99%

“…Asset management involves systematic and coordinated actions and practices, through which an organization optimally and sustainably oversees its assets and asset systems (Alfatih et al , 2015). Previous studies have described the importance of maintenance management in contributing to sustainable high performance of assets (Jooste and Page, 2004). Some of the maintenance strategies briefly introduced in this paper are preventive maintenance, corrective maintenance and predictive maintenance (Chandima and Markeset, 2010): Preventive maintenance is a helpful tool used to overcome issues that occur due to wear to assets.…”

Section: Literature Reviewmentioning

confidence: 99%

Performance of physical asset management using the analytic hierarchy process

Marzooqi

Hussain

Ahmad

2019

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Purpose The purpose of this paper is to explore certain resources, capabilities and competencies needed to improve the performance of physical asset management (PAM). Design/methodology/approach The analytic hierarchy process (AHP) is used to select and prioritize the most appropriate factors for improving performance. A multi-criteria approach is used to analyze and compare the importance of 6 main criteria and 18 subcriteria identified from a survey of relevant literature. Findings The study revealed that not all factors are viewed as having equal importance in improving PAM performance, as three of the main factors attained greater importance among the six factors. Research limitations/implications This study explored the factors required for managing assets only within the third stage of asset lifecycle, that is, the utilization stage. It is recommended that future studies be conducted in such a way as to determine the importance of similar factors in the other stages of the asset lifecycle, or to identify new factors and add new criteria. Practical implications Knowledge of the differential impacts of the factors on the performance of PAM can impact asset managers and decision makers in their allocation of resources and focus their work on the highest-ranked rather than the lowest-ranked factors. Also, AHP used provides an effective mean for asset managers to identify priorities among decision criteria in their organization. Originality/value To date, no study has explored the impact of six combined factors on the performance of PAM. Previous studies have found that these factors each had equal importance. However, their relative ranking in practice and when they appear together have remained unrecognized.

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“…Asset management involves systematic and coordinated activities and practices through which an organisation ideally and sustainably oversees its assets and asset systems (Alfatih et al, 2015). Jooste and Page (2004) asserted that the implementation of maintenance management results in sustainable assets. Thus, to ensure assets' sustainability, AM should seek to move away from traditional maintenance practices (Amadi-Echendu, 2004).…”

Section: Factors Affecting Asset Management Performance Maintenance Practicementioning

confidence: 99%

Assessment on Factors Affecting Asset Management Performance in Malaysian Government Agencies: A Concept Paper

Tajudin¹,

Norziaton²,

Ismail³

2021

IJARBSS

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Asset management is a "joined in" organisation activities to realise value from its controlled resource. Asset management evolved from simple maintenance, which was treated as a "necessary evil" in the 1970s, to the current position that is the core functions of organisational strategies. In Malaysia, the government is committed to enhancing asset management quality to ensure it is managed in a systematic, holistic, and sustainable manner; thus, policies and procedures regarding asset management have been issued since 1967. However, the Auditor-General Report found out that most government agencies are unable to manage their assets efficiently. This study focuses on analysing factors affecting asset management performance in government agencies in Malaysia. This study will look at the issues commonly raised by the Auditor-General Report, particularly on asset management, and identify the factors affecting asset management performance. The conceptual part consists of an extensive search and analysis of secondary sources of information through references and reviews of academic articles, Auditor-General's Report, news, and publications related to asset management. The literature review's analysed data indicate that three issues can be underlined: ineffective maintenance practice, misused and theft of government assets, and inadequate asset management knowledge. Accordingly, to clarify the factors leading to the said problems, a conceptual structure has been proposed based on previous studies. The identified factors leading to asset management issues in the public sector are maintenance practice, asset misappropriation, and training policy. This study has also analysed the gaps in past studies regarding asset management research. This concept paper provides a valuable addition to the current knowledge base, particularly on how factors affecting asset management performance in government agencies and hindering the government from delivering an efficient service to the public. The implications and recommendations for future research are also discussed.

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A Performance Management Model for Physical Asset Management

Cited by 6 publications

References 16 publications

An Analysis of Physical Asset Management Core Practices and Their Influence on Operational Performance

An Analysis of Physical Asset Management Core Practices and Their Influence on Operational Performance

Performance of physical asset management using the analytic hierarchy process

Assessment on Factors Affecting Asset Management Performance in Malaysian Government Agencies: A Concept Paper

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