Asset Management Process

Strategic Framework and Systems Planning

We often come in at the strategic and conceptual planning stage by developing the asset management framework and implementation plan.

The approach we take begins by mapping out existing asset management related systems and processes.

We then meld new and revised systems and processes based on asset management best practices that will realize a positive net-financial benefit and infrastructure sustainability upon developing and implementing the asset management program.

The approach we take is based around developing a unique program around five-core asset management phases. The approach we take is an evolution from the Canadian NRC/FCM “Best Practices for Sustainable Infrastructure (Infraguide)".

Asset Management Program Development

With the framework and implementation plan endorsed by the municipality, we then develop the asset management components for each of the five core phases.

This begins with developing the asset inventory, including the register of assets and GIS connectivity.

We then conduct condition assessments and determine level of service assessment, similar to a "State of the Infrastructure Report".

We then use the condition assessment data in our Lifecycle Optimization Model looking decades into the future to develop a plan for infrastructure sustainability.

We develop the capital renewal program details delivering the "right treatments to the right assets at the right time".

Finally, we compile all completed analysis with in our Asset Management Database, so the municipality can continue to sustain and management their asset management program as part of its administration and operations.

Key Components

In developing the asset management program, the foundation of the asset management program is built around the following three components.

Performance Criteria – A structured approach to defining condition assessments and level of service (LOS) assessments for each municipal asset class.

Asset Management Database – An asset register, with internal GIS functionality, designed to house the asset inventory, house the annual condition assessments, compute the LOS, export the condition data to the Lifecycle Optimization Model, and import the resulting capital renewal works programming back into the AM Database for program monitoring and management. It is developed around a complex one-to-many relational database environment. For each Asset ID, there are many condition types and many years for condition and treatment data tagged to that single asset.

Lifecycle Optimization Model – With the condition data input and model parameters including deterioration probabilities, threshold (risk tolerance) levels, and treatment options (including renewal and costing), the model determines the sequence of treatment works over the lifecycle of each asset that will deliver the lowest annualized cost and highest performance (i.e. LOS). The model is generic to all asset classes. The modeling results are returned to the AM database for on-going monitoring, management, and adjustment by the municipal administrator responsible.

Results - Sustainability Example

The results of the lifecycle optimization modeling develop the "Infrastructure Sustainability Level".

This is the point where the organization can realize a higher level of service at a lower cost. In the "Roadways" example below, the County had a highly deteriorated road network with a measured Level of Service (LOS) write-down-value (WDV) of $60 Million. The annual capital renewal budget allocation was $22 Million per year. Through lifecycle analysis, we determined a short-term incremental investment increase of $8 Million per year on a preservation enhanced capital renewal strategy would improve the LOS by over $30 Million over a ten-year horizon. After this point, the County would be able to lower capital renewal funding below the original allocation and deliver a higher LOS to its taxpayers.

Results - Capital Renewal Budget Example

The results of the lifecycle optimization modeling details the "Works Program" in line with meeting infrastructure sustainability level targets.

The following is a clip from a "Sidewalk" capital renewal budget program.