What Can Asset Management Deliver?

Posted: August 08, 2018
Tagged As: Asset Management, Investments, LAS Programming, Municipal Infrastructure, Roads Assessment

Municipalities own and manage infrastructure assets to provide services according to the expectations of their residents and the strategic priorities of Council. To ensure long-term sustainability of existing levels of service, municipalities need to consider both the current and future costs of keeping their infrastructure in a state of good repair.

Asset Management provides the means to manage assets in a structured way so that asset performance, costs, opportunities and risks are balanced with providing sustainable levels of service. It is a decision making tool that allows Council to prioritize infrastructure projects that create the most value to its taxpayers. It ensures that long-term financial implications are not ignored in addressing existing needs.

The discipline of Asset Management has a broader focus than just keeping assets in a good repair. It encompasses many organizational levels and applies to all functions and departments. A key principle of Asset Management is the “line of sight”. This involves having a clear understanding of how different infrastructure-based services enable a municipality to meet the strategic priorities of Council. Asset Management translates a municipality’s strategic objectives into technical and financial decisions, plans and processes. It involves coordination and cross-departmental collaboration between municipal staff to help Council make informed decisions.

Doing Asset Management is simple. Doing it well is not. We all manage our assets, but have we adopted Asset Management as a decision making tool that helps us know that every dollar spent contributes to our vision and strategic priorities? Do we prioritize infrastructure investments that create the most value and provide sustainable levels of service based on financial constraints? These are questions we must constantly ask ourselves.

Some Ontario municipalities are still in the early stages of adopting Asset Management. Asset management, done properly, is not additional work – it is a good way of doing business.

DID YOU KNOW?
AMO and LAS have always championed Asset Management in Ontario.

Several informational sessions related to Asset Management will take place at the 2018 AMO Conference including a Learning Lounge on how LAS and its ONE Investment program can help your municipality in Asset Management.  Come join us Sunday August 19th at 2:45 pm, or 3:30 pm at the Learning Lounge beside booth 104.

Comments
Blog post currently doesn't have any comments.