How to manage assets effectively

Investing and purchasing assets

• The first is to prepare a property purchasing budget.
• Search for suppliers: here there are criteria for technical specifications related to the property, information to ensure the supplier can meet the bid.
• Prepare contracts/orders for asset procurement.
• Receive goods, store them and put them into use.
• Payment to suppliers, warranty tracking.

All of the above steps also follow the normal Purchasing process. Completing the steps in the procurement process, move on to the step of monitoring operations and regular maintenance.

Operation and Maintenance of assets

• At this stage, there can be two options: the enterprise uses corporate resources to perform the implementation or hires a service provider to perform the implementation.
• Case 1: Use business resources to implement.
• Carry out operational planning such as tasks to be performed and monitored daily.
• Conduct maintenance planning such as monitoring and checking equipment/machinery/technical structures that need to be monitored and inspected periodically.
• Prepare cost estimates for operations and maintenance such as direct labor costs, costs of replacement materials, costs of machines and equipment needed to use in operations and maintenance.
• Record planned tasks according to the "check list" or daily work assignment sheet to be done, record damaged and error information during the inspection process and come up with solutions to fix and implement them.
• Record incidents that arise, check information and causes. From there, create a treatment plan, cost and time needed for treatment.
• All information is recorded by the system, checking the status of machinery and equipment as well as the history of repairs, replacements, and upgrades for assets is also clearer and faster.
• Monitor work that has not been completed according to plan, and alert the implementer and relevant units.
• Case 2: Hire a service provider to perform operation and maintenance.
• In this case, simply return to the Purchasing process, instead of buying goods, now it is buying services. It is necessary to provide details of operation and maintenance work to have acceptance assessment criteria with the service provider.

Upgrade/liquidate assets

• During the process of using and evaluating the asset, there are many problems. There will be two options: continue to use it but need to invest more to upgrade the asset or need to liquidate the asset.
• If upgrading, we will estimate the cost of upgrading the asset. If we liquidate, we will compare the investment cost of the new asset with the liquidated cost to see how much additional investment is needed.
• Choose an option and follow the plan.