Incorporating Risk into your Asset Management Plan

Incorporating risk into your asset management plan can is an effective way to keep on top projects and improve your bottom line. Risk management should be seen as an opportunity, not an uncertainty.

Support from management

Educating your business leaders on the benefits of risk-based asset management and the processes behind identifying and reducing risk is crucial to the success of your operations.

As management hold the power to make decisions in your organisation, the first step is to get them on board with your risk management planning in order to implement a successful asset management plan.

Think long-term

Reducing risk, means improving the bottom line over the long term. Think of all the potential dollars lost through potential hazards. Machinery downtime, projects delayed, and at worse, any catastrophes that could arise.

Consider how the risk-based asset management plan will affect your business in terms of its long term results. Document all the pro’s and con’s and any scenarios that may relate.

Presume there will be external risks

While you can’t predict all hazards and catastrophes, there are ways you can presume certain types of risks for your organisation. For example, does your area ever experience flooding, cyclones or bushfires? What time of the year does this usually occur?

What is your emergency plan if any of these natural disasters occur? Or what about threats or lock-down situations?

A business should consider all possible threats, risks, or emergency situations, including natural disasters that could possibly affect the organisation and develop appropriate plans to productively cope with anything that arises.

Communications

Whatever your risk management plans and processes may be, you must keep everyone informed. Whether that be management, the board, staff members and any other key stakeholders. By keeping all parties in the loop, everyone will know that your business is doing the best it can to reduce risks within its operations.

Press for progress

You should review and refine your risk-based asset management plan systematically. As you become more experienced with risk management, you will find further areas for improvement continuously. For further progression staff training should be implemented and documentation created of your processes and results.

Combine risk management with your asset management system

Mainpac enterprise asset management system software assists you in managing both your assets and any risks related to your assets at the same time, effectively. It also provides an integrated platform for performance reports, including weekly or monthly risk management reports.

If your organisation needs to develop a risk-based asset management plan Mainpac can help. Speak to one of our consultants today.