Commitment from senior management is a critical precondition for a successful asset management system. Although incremental improvement projects can be initiated throughout the organization, it is critical that it the program is driven from the top. This philosophy is backed up in the new ISO 55000 standard for asset management.
Asset management directly impacts the value delivered per capital employed, as well as the safety and environment risks the organization is taking to delivery that value. Top management has ultimate responsibility for both these measures, and cannot just delegate that responsibility away. If disaster strikes, senior management will be held accountable.
That is not to say that every detailed decision needs senior approval. Executives are responsible for establishing the overall asset management policy that defines the parameters within which detailed decisions can be made by lower level management. Senior management needs to clearly define functional and geographic areas of responsibility, and the standard roles and responsibilities of key management positions within those business units. Leadership and direction should be provided to people in those roles to clearly define accountability and success measures, and to promote collaboration across functional and geographic boundaries.
For more on what is needed to succeed in sustaining improvement initiative, view the Bentley webinar on this topic here.