Improved Decision Making through Integrated Asset Valuation and Asset Condition Modeling

Road controlling authorities (RCAs) strive to make investment and maintenance decisions that minimize cost to tax payers or maximize benefits to stakeholders. To help achieve this, New Zealand RCAs use asset valuation and asset condition modeling systems to estimate asset replacement cost and to predict asset condition under multiple investment and maintenance scenarios. However, valuation and condition modeling systems are often standalone applications and asset valuation and condition modeling are done as independent exercises by RCAs’ finance and engineering departments. Use of a single platform for asset valuation and condition modeling can help achieve better communication and coordination between finance and engineering managers that would result in improved decision making. It would also help analyze the true dynamics between investment decisions (capital and maintenance expenditures) and valuation (depreciation) over the long term. This paper presents development of an integrated asset valuation and condition modeling platform using the dTIMS CT (Deighton Total Infrastructure Management System, Concurrent Transformation). The paper also describes the authors' attempts to develop condition prediction models for different assets using historic condition data. Where realistic condition prediction models were developed, they were used for asset condition prediction and asset valuation. For other assets, default expected lives were used for asset valuation (depreciation) and asset condition modeling considering linear deterioration over expected lives. The assets modeled include bridges, pavements, street lights, drainage, footpaths, minor structures, railings, surface water channels, signs and other traffic facilities such as edge marker posts.


  • English

Media Info

  • Media Type: Digital/other
  • Features: Figures; References;
  • Pagination: 11p
  • Monograph Title: 7th International Conference on Managing Pavement Assets, June 23-28, 2008, Calgary, Alberta, Canada: "Preserving What We Have, Investing in the Future, and Finding the Balance"

Subject/Index Terms

Filing Info

  • Accession Number: 01447775
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Sep 28 2012 3:30PM