The Complete Guide to Facilities Asset Management

Organizations with an effective facilities asset management strategy outperform their peers. Optimizing a facility’s operations is critical for facilities asset management. Well-run facilities serve stakeholders better and create positive outcomes for an institution. 

But a facility that runs well isn’t as easy as it may seem. It requires significant investment in planning, executing, and adherence to best practices. 

Facilities asset management is an important component of ensuring smooth operations. It requires a strategic approach to managing and optimizing the physical assets. 

It integrates asset management and facility management practices to ensure that an organizations maintains, uses, and replaces their assets efficiently.

Facilities asset management encompasses maintenance, financial management, and regulatory compliance. Combining these disciplines ensures holistic facility well-being. 

In this article, we’ll delve into the specifics of facilities asset management and how organizations can implement its principles into their operations. 

What is asset management?

Asset management refers to the process of developing, operating, maintaining, and upgrading assets.

Asset management applies to different assets, such as HVAC systems, lighting, and plumbing. In a facility context, asset management ensures that these systems function efficiently, are well-maintained, and contribute to the organization’s overall goals.

Types of assets in facility management

Facility assets can be categorized into different types, each requiring specific management strategies:

Facility-related assets

These include physical components such as HVAC systems, elevators, plumbing, electrical systems, and lighting. They are essential for the safe and efficient operation of the facility.

Personnel-related assets

These assets pertain to the staff involved in the operation and maintenance of the facility, including maintenance personnel, facility managers, and cleaning staff. Effective management of these human resources ensures smooth functioning.

IT-related assets

Technology and software systems that support the facility’s operations, such as security systems, building automation systems, and asset management software, fall under this category. Proper management of these assets is critical to ensuring the facility’s operational efficiency and security.

Facility asset traits

Facility assets share certain characteristics that make them unique in the asset management landscape:

High value

Facility assets often represent a significant investment for an organization, making their proper management crucial to protecting this investment.

Depreciating

Over time, these assets lose value and efficiency. Regular maintenance and upgrades are necessary to extend their useful life.

Important role in operations

Facility assets are integral to the day-to-day operations of an organization, ensuring that the environment is safe, comfortable, and conducive to productivity.

What is facility management?

Facility management involves the coordination and integration of activities that keep the physical environment well-maintained and functioning optimally for all stakeholders. This includes managing buildings, grounds, and infrastructure to ensure a safe and productive environment. Facility management encompasses a wide range of responsibilities, from routine maintenance to space planning and security.

Asset management vs. facility management

While asset management and facility management are closely related, they focus on different aspects of managing an organization’s physical environment:

Asset management

This involves managing individual assets like HVAC systems, lighting, or plumbing to ensure they are operating efficiently and are well-maintained. The goal is to optimize the performance and lifespan of each asset.

Facility management

This takes a broader approach, focusing on the overall management of the building and grounds, which includes various assets. It aims to provide a safe, comfortable, and efficient environment for occupants and operations.

What to consider when creating a facilities asset management plan

Developing an effective facilities asset management plan requires a holistic approach that considers several key factors:

Executive leadership

The executive level is critical in creating and executing a facilities asset management plan. A strong administrative framework in your facilities asset management plan supports decision-making, capital planning, resource allocation, and policy implementation.

Financial management

Sound financial planning is a large part of facilities asset management. Allocating resources efficiently keeps assets maintained, preventing costly breakdowns and extending asset lifespans. A comprehensive financial strategy includes budgeting, cost tracking, and capital planning.

Regulatory compliance

A facilities asset management plan must adhere to local, state, and federal regulations. This ensures your organization will avoid legal issues and that facilities remain safe and operational.

Operations and maintenance

Facilities asset management plans rely heavily on daily operations and facility maintenance functions to execute. Preventive maintenance reduces unexpected failures and downtime and extends asset life.

Asset tracking and management

By tracking and managing assets, operations can optimize their use, reduce costs, and support the overall objectives. Include an up-to-date maintenance inventory, asset conditions, a facility condition assessment, and a maintenance activity schedule in your facilities asset management plan.

Sustainability goals

By focusing a facility asset management plan on reducing environmental impact and promoting responsible resource use, organizations can enhance their reputation, meet regulatory requirements, and save costs. By implementing effective facilities asset management tactics combined with building automation, organizations can take a step toward sustainability.

How software can help with facilities asset management

Asset management software streamlines operations by centralizing data, automating processes, and providing real-time insights. Leading software offers various features like:

Monitoring and tracking

Industry-leading software creates maintenance schedules. It allows users to track energy usage, asset conditions, and other building features. These competencies enable organizations to address issues, optimize maintenance schedules, and make data-driven decisions.

Capital planning

Asset management software includes tools that aid in effective capital planning and budgeting. By providing insights into asset performance, maintenance costs, and lifecycle projections, the software helps organizations make informed decisions about capital investments and asset replacements.

Optimized resource allocation

Outsized maintenance budgets require leaders to maximize every dollar spent. Asset management software tracks expenditures and provides insights into optimizing future spending. By analyzing maintenance data, organizations can identify cost-saving opportunities and allocate resources more effectively.

FMX for facilities asset management needs

FMX provides organizations with tools and expertise to develop and implement a comprehensive facilities asset management plan. By offering solutions that centralize asset data, provide capital planning tools, streamline processes, and provide real-time insights, FMX helps organizations optimize asset use and ensure long-term sustainability.

Whether you’re looking to improve asset tracking, complete a facility condition assessment, enhance maintenance operations, or achieve sustainability goals, FMX can support your facilities asset management strategy.