What is Asset Management Lifecycle?
A process of managing the acquisition, deployment, maintenance, and retirement of assets over their entire life span. It includes activities such as asset planning, procurement, inventory management, usage tracking, disposal, and asset disposal.
Asset management lifecycle benefits
Actively managing assets over their lifecycle helps organizations to maximize the value of their assets and ensure they’re used in the most efficient manner possible.
Asset management lifecycle stages
There are five key stages to asset lifecycle management.
- Plan — In the Plan stage, you determine if there’s a need in your organization that’s not currently being met and what asset you should acquire to best meet your needs.
- Acquire — In the Acquire stage, you acquire the asset which includes purchasing, transportation, and installation of the asset.
- Use — In the Use stage, you’re using the asset to meet your needs. You also analyze and assess how the asset is performing.
- Maintain — In the Maintain stage, you develop a maintenance management plan for the asset and perform the necessary maintenance to keep the asset running efficiently.
- Dispose — In the Dispose stage, the asset has been determined to no longer be useful to the organization and needs to be disposed of or replaced.