Asset management programs face many hurdles in relation to operations and maintenance, such as:
- Inadequate funding
- Program needs evaluated independently of current conditions
- Organizational bias towards new construction
- Defining, managing and reporting deferred maintenance backlog and capital renewal needs
Total Cost of Ownership (TCO) is a framework to improve your Asset Management Program
TCO helps define the financial needs analysis for your organization, and considers all of the costs of designing, building, operating, maintaining, and renewing physical assets by integrating programming, operations and capital renewal planning.
TCO integrates programming, operations, and capital renewal planning to enable communities, organizations, and buildings that are efficient, resilient, and safe.
There are several drivers to consider:
- Programming (stakeholder needs)
- Operational Requirements (health, safety, productivity)
- Capital Renewal (aging infrastructure)
Ultimately, TCO enables facility asset managers with…
- Improved operational and capital renewal planning
- Long-term roadmap for facilities
- Approach that will outlast organizational changes
Harness the power of TCO to make informed, predictive, and defensible building life cycle investment decisions and build a long-term plan for your facilities.
Want to learn more about how TCO can help you build defensible funding requests and improve your asset management program?
FEA can help you create defensible funding requests. Reach out to us to see how we can help you.