Journey towards a mature asset management system

This blog series explores the complex tasks energy utility companies face as they transition to holistic grid asset management to manage through the energy transition. Previous posts in this series have addressed the challenges of energy transition through holistic grid asset management, integrated asset management platforms and data exchange, and merging traditional top-down and bottom-up planning processes.

Asset management and technological innovation

Advances in technology support the need for holistic grid asset management, making the assets on the grid smarter and equipping the workforce with smart tools.

Robots and drones perform inspections using AI-based visual recognition technology. Condition monitoring technologies are enabled by asset performance management (APM) processes, including risk-based and predictive maintenance and asset investment planning (AIP).

Technicians connect to the internet through wearable devices such as tablets, watches, or VR glasses, allowing customers to quickly access relevant information or receive expert support from anywhere in the world. Technicians can resolve technical issues faster, increasing asset utilization and reducing asset downtime.

Mobile connected technicians experience improved safety through measures such as access control, gas detection, warning messages or fall recognition, reducing risk exposure while executing tasks and improving operational risk management (ORM). Cybersecurity reduces the risk exposure of cyberattacks to digitally connected assets.

Sensing and monitoring also contribute to directly measuring sustainability environmental, social and governance (ESG) indicators such as energy efficiency, greenhouse gas emissions or wastewater flows. This approach provides real, real-world data points for ESG reporting instead of model-based assumptions, helping you reduce your carbon footprint and achieve your sustainability goals.

Asset Management Maturity Journey

Utility companies can view the evolution of asset management as a journey toward asset management excellence. The following figure shows the steps from a reactive to a proactive asset management culture, along with the different methods and approaches companies can apply.

From a holistic asset management perspective, a scalable platform provides the ability to build capabilities along the way. Each step of the journey requires the adoption of new processes and ways of working, supported by dedicated best practice tools and optimization models.

An Enterprise Asset Management (EAM) system essentially becomes a preventative maintenance program in the early stages of the maturity journey from “pure” to “understanding.” This conversion reduces the cost of unplanned repairs.

To advance to the next level of ‘competency’, APM capabilities are taking the lead. The focus of asset management organizations shifts to uptime and business value through failure prevention. This also prevents costly machine downtime, production delays and potential safety or environmental hazards. Connecting machines through Internet of Things (IoT) data exchange enables condition-based maintenance and condition monitoring. A risk-based asset strategy balances cost and risk by coordinating maintenance efforts.

Predictive maintenance applies machine learning models to predict impending failures early in the potential failure curve and provide sufficient warning time to allow for planned intervention. The final step in this phase is to optimize the maintenance and replacement program based on asset criticality and available resources.

APM and AIP are combined in the “Excellence” phase, where predictive-generating AI creates an intelligent process. At this stage, the asset management process learns and disciplines itself to make the best decisions for overall business value.

New technologies accelerate the asset maturity journey, digital solutions connect asset management systems, and smart connected tools improve work quality and productivity. The introduction of (generative) AI models in the asset management space brings a complete toolbox with new optimization tools. Gen AI use cases have been developed at each stage of the journey to help businesses develop more capabilities to be more efficient, safer, more reliable, and more sustainable. As assets and asset managers become more mature, current and future grid assets will generate more value.

Holistic asset management aligns with business goals, integrates previously disconnected areas of operation, deploys digital transformation technologies, and improves asset management maturity. This approach allows utility companies to maximize value and grow while managing the energy transition.

Learn more about the business value of APM.