Challenges in Implementing Enterprise Asset Management Systems

Implementing an Enterprise Asset Management System-- Key Success Factors

Jackie Luo – CEO, E-ISG Asset Intelligence

Enterprise Asset Management (EAM) System – What It Is

• Life cycle management of assets• Financial, physical, and contractual

information• Operational platform

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3 Key Elements in the EAM System

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People Process

Technology

People – Challenges

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• Functional silos – Finance, IT, Facility, Property Management

• Formalized roles and career paths for asset management professionals

• Support for training and development

People

People – Best Practices

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• Executive level support/mandate• Cross functional collaboration – Finance, IT,

Facility, Property Management, Inventory Control

• Knowledge and training in asset management

• Hold people accountable for their contribution to the process

People

Process – Challenges

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• Lack of ownership• Updated documentation on business rules

and processes• Lack of visibility to the performance

Process

Process – Best Practices

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• Documented and updated processes– end to end

• All stakeholders are trained• Measure the performance in the process

– Breakdown into sub processes – life cycle stages

– Measure effectiveness in each process– Quantify the measures

Process

Technology – Challenges

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• Stability and scalability• Implementation complexity• Future proof• Vendor ongoing support• Integration with other systems• Cost

Technology

Technology – Best Practices

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• Driven by Business Requirements• Consulted by Technology Experts

– Current and future technologies– Enterprise Software, Cloud, Mobile, Asset

Tracking, ERP

• Thorough analysis on total cost – deployment and ongoing

Technology

Challenges in implementing EAM system

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Agree on Success

Measures

Define project scope

Manage Project

Agree on Success Measures

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Agree on Success

Measures

• Success Measures based on milestones• Quantified cost savings• Quantified asset management

performance metrics

Define Project Scope

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Define project scope

• Phased approach• Define scope for each phase

– Type of assets– Departments involved

Manage Project

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• Project Plan• Oversight• Decision making process• Risk Management

– Incentives– Penalties

Manage Project