Skip to main content

The strategic role of engineering asset management

Journal Article


Download full-text (Open Access)

Abstract


  • The current concept of an asset management (AM) system focuses on the lifecycle of engineered assets

    and little has been done in the literature on its link to organizational strategy. In this paper, the AM

    system′s position within an organizational structure and its role in competitive strategy has been

    explored. Two case studies involving AM have been analyzed using a proposed framework which is

    comprised of a set of planning and control activities maintaining a control mechanism and a relationship

    with the strategy-making process. It is argued that the AM system structure and the mechanism play a

    key role in the organizational strategy. The existence of the AM system is hypothesized by this

    framework which stipulates the asset performance required for strategic success. The use of this

    framework allows for conclusions to be drawn on the requirements for building an effective connection

    between AM activities and strategy development. This connection is achieved through planning and

    control mechanisms acting on the asset-related activities. On one hand, the effect of inadequate or

    missing elements of the framework has been shown to result in negative impacts on cost, productivity,

    quality, business outcomes and ultimately strategy achievement. On the other hand, the existence of

    elements of this framework has been shown to have positive impacts on strategy achievement.

Publication Date


  • 2013

Citation


  • El-Akruti, K., Dwight, R. & Zhang, T. (2013). The strategic role of engineering asset management. International Journal of Production Economics, 146 (1), 227-239.

Scopus Eid


  • 2-s2.0-84885177943

Ro Full-text Url


  • http://ro.uow.edu.au/cgi/viewcontent.cgi?article=2354&context=eispapers

Ro Metadata Url


  • http://ro.uow.edu.au/eispapers/1345

Number Of Pages


  • 12

Start Page


  • 227

End Page


  • 239

Volume


  • 146

Issue


  • 1

Abstract


  • The current concept of an asset management (AM) system focuses on the lifecycle of engineered assets

    and little has been done in the literature on its link to organizational strategy. In this paper, the AM

    system′s position within an organizational structure and its role in competitive strategy has been

    explored. Two case studies involving AM have been analyzed using a proposed framework which is

    comprised of a set of planning and control activities maintaining a control mechanism and a relationship

    with the strategy-making process. It is argued that the AM system structure and the mechanism play a

    key role in the organizational strategy. The existence of the AM system is hypothesized by this

    framework which stipulates the asset performance required for strategic success. The use of this

    framework allows for conclusions to be drawn on the requirements for building an effective connection

    between AM activities and strategy development. This connection is achieved through planning and

    control mechanisms acting on the asset-related activities. On one hand, the effect of inadequate or

    missing elements of the framework has been shown to result in negative impacts on cost, productivity,

    quality, business outcomes and ultimately strategy achievement. On the other hand, the existence of

    elements of this framework has been shown to have positive impacts on strategy achievement.

Publication Date


  • 2013

Citation


  • El-Akruti, K., Dwight, R. & Zhang, T. (2013). The strategic role of engineering asset management. International Journal of Production Economics, 146 (1), 227-239.

Scopus Eid


  • 2-s2.0-84885177943

Ro Full-text Url


  • http://ro.uow.edu.au/cgi/viewcontent.cgi?article=2354&context=eispapers

Ro Metadata Url


  • http://ro.uow.edu.au/eispapers/1345

Number Of Pages


  • 12

Start Page


  • 227

End Page


  • 239

Volume


  • 146

Issue


  • 1