Asset Management vs. Facility Management: Spot the Difference
Asset management and facility management are two closely related disciplines that are often confused with each other.
However, there are some key differences between the two.
What Is Asset Management?
Asset management is the process of planning, organizing, and controlling an organization’s assets. Assets can be anything from buildings to equipment to intellectual property.
The goal of asset management is to ensure that assets are used efficiently and effectively, and that they are properly maintained and protected.
Facility management covers a range of disciplines across public and private organisations to ensure the safe and effective operational management of businesses.
What is Facility Management?
Facility management is the process of managing the physical environment of an organization. This includes everything from cleaning and maintenance to security and energy management.
The goal of facility management is to create a safe, comfortable, and productive environment for employees and customers.
The main difference between asset management and facility management is that asset management focuses on the value of the assets, while facility management focuses on the use of the assets.
Asset management is concerned with ensuring that assets are used in a way that maximizes their value, while facility management is concerned with ensuring that the physical environment is used in a way that meets the needs of the organization.
In practice, asset management and facility management often overlap. For example, a facility manager may be responsible for managing the maintenance of an asset, which is part of asset management.
Facility managers contribute to an organisation’s strategy and bottom line in a variety of ways;
Contribute to operational efficiencies
Plan and deliver infrastructure needs to support productivity
Manage risks including those to facilities, employees, suppliers and business reputation
Mitigate and reduce environmental impact
Promote sustainable tactics for long-term cost management
Leverage technological solutions
Mitigate and overcome effects of natural disasters
Guarantee compliance
Leverage security
However, the two disciplines are distinct, and there are professionals who specialize in each.
Here is a table that summarizes the key differences between asset management and facility management:
Here are some examples of how asset management and facility management can be used together:
- An asset manager may use data from a facility management system to identify assets that are at risk of failure. This information can then be used to prioritize maintenance and repairs, which can help to prevent costly downtime.
- A facility manager may use data from an asset management system to identify opportunities to improve the efficiency of energy use. This information can then be used to implement energy-saving measures, which can help to reduce costs and improve sustainability.
By working together, asset management and facility management can help organizations to improve the value of their assets and the performance of their physical environment.
Also Read: Choosing the Right Facility Asset Management Software for Efficient Operations
Choosing the Right Partner for Facilities and Asset Management
In today’s ever-changing workplace, it is more important than ever to have a strong partner for facilities and asset management. The right partner can help you to improve efficiency, reduce costs, and improve safety.
When choosing a partner, there are a few key factors to consider:
- Experience: The partner should have experience in managing facilities and assets in a variety of industries.
- Expertise: The partner should have expertise in the latest technologies and best practices for facilities and asset management.
- Reputation: The partner should have a good reputation for customer service and satisfaction.
Once you have identified a few potential partners, it is important to request proposals and compare them carefully. Be sure to ask about the following:
- The scope of services that will be provided: The partner should provide a comprehensive range of services, including asset inventory, maintenance planning, and budget management.
- The level of support that will be provided: The partner should provide 24/7 support and be available to answer questions and resolve issues quickly.
- The pricing: The partner should be able to provide a competitive price for its services.
Choosing the right partner for facilities and asset management is an important decision. By carefully considering the factors above, you can ensure that you choose a partner that can help you to achieve your goals.
Here are some additional tips for choosing the right partner for facilities and asset management:
- Get recommendations from other businesses in your industry.
- Read online reviews of potential partners.
- Schedule interviews with potential partners to get to know them better.
By following these tips, you can increase your chances of choosing the right partner for your needs.
