Risk Sources Affecting the Asset Management Decision-Making Process in Manufacturing: A Systematic Review of the Literature

Part 4: Product and Asset Life Cycle Management in Smart Factories of Industry 4.0International audienceAsset Management (AM) is promising for value creation from assets in the long term. A major concern to this end relates with the capabilities to achieve effective AM decision-making at every organisational level, i.e. operational, tactical, and strategical. Therefore, the goal of this research, grounded on a systematic literature review, is to identify which are the main sources of uncertainty that may influence the achievement of AM system related objectives and, as such, should be taken into consideration in a risk-informed decision-making process. Taking the manufacturing sector as a reference, the risk sources addressed by the extant literature are identified and mapped against a reference classification scheme. As a result, the research offers a comprehensive framework where risk sources, affecting the AM decision-making process, are systematically mapped. Information management is found to be the main risk source when making asset-related decisions

Critical success factors for brown-field capital and renewal projects

Manufacturing companies operate in a business environment where incremental growth may be achieved through expansion and renewal of existing plant and facilities. Effective management of the critical success factors of such capital development projects may also provide competitive advantage. These projects tend to be of a brown-field nature, characterised by a significant level of risk arising from the interaction between the project implementation and concurrent operation of the existing physical asset base. So it is vital to understand the factors that influence the success of capital expansion and renewal projects in the brown-field context. Although each project has unique features, there are critical success factors that can be customised for successful outcomes in the brown-field environment. This study identifies five critical success factors applicable to brown-field capital expansion and renewal projects. Managerial focus on the critical factors, and the prospects for successful brown-field projects, are discussed in the paper.AFRIKAANS: Vervaardigers funksioneer in ‘n sakeomgewing waar voortgesette groei bereik word via uitbreiding en hernuwing van bestaande fasiliteite. Die doeltreffende bestuur van kritiese suksesfaktore van sodanige kapitaalprojekte bied geleentheid vir mededingende voordeel. Projekte van hierdie aard neig om geklassifiseer te word as van herontwikkelingsaard, met betekenisvolle gepaardgaande risiko wat voortspruit uit die interaksie tussen projekimplementering en gelyktydige bedryf van bestaande fisiese bates. Derhalwe is dit belangrik om in die konteks van herontwikkeling aandag te gee aan die kritiese faktore wat ‘n rol speel in die bereiking van sukses. Die navorsing identifiseer vyf kritiese suksesfaktore van belang vir uitbreidings- en vernuwingsprojekte

A bibliographic review of trends in the application of ‘criticality’ towards the management of engineered assets

Increasing budgetary constraints have raised the hiatus for allocation of funding and prioritisation of investments to ensure that long established and new assets are in the condition to provide uninterrupted services towards progressive economic and social activities. Whereas a key challenge remains how to allocate resources to adequately maintain infrastructure and equipment, however, both traditional and conventional practices indicate that decisions to refurbish, replace, renovate, or upgrade infrastructure and/or equipment tend to be based on negativistic perceptions of criticality from the viewpoint of risk. For instance, failure modes, failure effects, and criticality analyses is well established and continues to be applied to resolve reliability and safety requirements for infrastructure and equipment. Based on a bibliographic review, this paper discusses trends in meaning, techniques and usage of the term ‘criticality’ in the management of engineered assets that constitute the built environment. In advocating the value doctrine for asset management, the paper proposes a positivistic application of criticality towards prioritisation of decisions to invest in the maintenance of infrastructure and equipment

Asset Condition, Information Systems and Decision Models

Asset Condition, Information Systems and Decision Models, is the second volume of the Engineering Asset Management Review Series. The manuscripts provide examples of implementations of asset information systems as well as some practical applications of condition data for diagnostics and prognostics. The increasing trend is towards prognostics rather than diagnostics, hence the need for assessment and decision models that promote the conversion of condition data into prognostic information to improve life-cycle planning for engineered assets. The research papers included here serve to support the on-going development of Condition Monitoring standards. This volume comprises selected papers from the 1st, 2nd, and 3rd World Congresses on Engineering Asset Management, which were convened under the auspices of ISEAM in collaboration with a number of organisations, including CIEAM Australia, Asset Management Council Australia, BINDT UK, and Chinese Academy of Sciences, Beijing University of Chemical Technology, China. Asset Condition, Information Systems and Decision Models will be of particular interest to finance, maintenance, and operations personnel whose roles directly affect the capability value of engineering asset base, as well as asset managers in both industry and government

Nine drivers of knowledge transfer between universities and industry R&D partners in South Africa

This article presents part of the findings of the Research Marketing and Technology Commercialization Survey conducted in South Africa during 2005 and 2006. Part IV (Q4) of this survey was designed to examine nine drivers of knowledge transfer between South African universities in their research and development (R&D) collaborations with industry firms. Respondents from a judgemental sample ranked the knowledge transfer for R&D collaboration between university departments and industry as: (a) the need to extract appropriate knowledge at the right time to make critical decisions; (b) the perception that knowledge is a valuable resource; (c) the emphasis on getting a return on investment in research; (d) the need to protect knowledge for competitive advantage; (e) the need to close the knowledge gap; (f) international trade; (g) the need to protect intellectual property such as patents and trademarks; (h) geographic proximity between the knowledge source and recipient; and (i) war, terrorism and natural disasters

What Is Engineering Asset Management?

Definitions of asset management tend to be broad in scope, covering a wide variety of areas including general management, operations and production arenas and, financial and human capital aspects. While the broader conceptualisation allows a multifaceted investigation of physical assets, the arenas constitute a multiplicity of spheres of activity. We define engineering asset management in this paper as the total management of physical, as opposed to financial, assets. However, engineering assets have a financial dimension that reflects their economic value and the management of this value is an important part of overall engineering asset management. We also define more specifically what we mean by an “engineering asset” and what the management of such an asset entails. Our approach takes as its starting point the conceptualisation of asset management that posits it as an interdisciplinary field of endeavour and we include notions from commerce and business as well as engineering. The framework is also broad, emphasising the life-cycle of the asset. The paper provides a basis for analysing the general problem of physical asset management, relating engineering capability to economic cost and value in a highly integrated way

Comprehensive biochemistry

ISO 55000 puts ‘value’ at the core of asset management. This paper provides a framework to help production companies implement value-based Asset Management (AM) in a way that it contributes to operational excellence. Value-based AM is achieved when the value delivered by assets is used by the organization as the key decision criterion to choose between different AM options (both at tactical and operational level). Given this perspective, it is vital that organizations are able to quantify the value delivered by their assets and manage that value through informed and coherent decision-making. Value-based AM is still a concept more quoted in theory than described in practical terms. A clear understanding about the main elements that are needed to enable it is still missing in industrial practice. The framework presented in this paper provides the key elements needed for successful integration of a value quantification model with the AM system to ensure the effective implementation of value-based approach in AM

Value Creation Mechanisms of Modularisation in the Engineering Asset Life Cycle

Many companies offering physical assets have to adapt to different market requirements to maintain profitability. Product modularisation is a common solution for this challenge used by suppliers (manufacturers) of engineering assets. Modularisation enables greater product variety and increases commonality between product variants. Modularisation includes defining a set of modules, interfaces, modular architecture and configuration rules and constraints based on case specific partitioning logic. This paper reviews the main value creation mechanisms (VCMs) of product modularisation in the manufacturing industry, and studies what kind of VCMs are related to the main life cycle stages of engineering assets and how companies in case studies have incorporated VCMs. Key VCMs were identified based on the engineering asset life cycle, but other VCMs were considered to be important from a supplier’s perspective. Suppliers should consider the whole life cycle when designing engineering assets and clarify which VCMs are the most important guiding principles for their product and make trade-offs when required.acceptedVersionPeer reviewe