WHY ASSET MANAGEMENT IS MORE CRITICALLY IMPORTANT THAN EVER BEFORE

A good asset management framework is understanding what you have, its value, what you need to do to make improvements, the marginal gains from different investments and from different things you do to that system, and the whole host of players who are involved in managing the system. It is necessary to have an integrated focus, a database system, engineering and economic analytical tools, and a methodology to understand the system. In the highway program, there are two general areas that influence discussions on asset management. The first area is the evolution from building the system to maintaining and operating what we have. Asset management clearly covers the full gamut of preservation and operation of the system: the whole range from preventive maintenance to reconstructing the system while placing a strengthened emphasis on operations, including traffic control operations, freight operations, and customer service. Another major influence is the change in transportation roles for the state and federal governments and for the private sector. State departments of transportation are decentralizing programs and project management, coalescing some support service functions, streamlining operations, and moving toward performance-based operations. A whole range of public-private ventures are evolving, including a general trend toward increased privatization. Outsourcing is becoming much more common. This evolution of roles is going to continue, and asset management must be understood and embraced.

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  • English

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Filing Info

  • Accession Number: 00790635
  • Record Type: Publication
  • Files: TRIS, USDOT
  • Created Date: Apr 10 2000 12:00AM