Maintenance & Capital Spend Optimisation

Maintenance and Capital Works tend to exist in 2 distinct organisations. Often planning of each takes place within those 2 distinct boundaries. However, since both are interventions of the same assets, there is also some degree of relationship in planning. But how much real planning and budget optimisation takes place between the two?

Joining-Up Joint Ventures

apm has been involved in many Private Finance Initiative and Public Private Partnership deals in which the Maintenance and Capital Works organisation have been separate companies / directorates of the same Joint Venture, and often owning 50% share of the JV organisation. As such motivation to optimise asset interventions between the two is complex as the overall size of budgets tend to be fixed at the bid stage. In fact, there is more of a drive to reduce the budgets of each, which tends to have a greater impact on the Maintenance Operations being able to keep the assets working over full duration of the project.

However, on a year-on-year basis, using our Asset Modelling techniques, we have been able to bring together the planning of the two directorates to demonstrate how they are able to optimise a combined plan to better programme major capital works and gain the most return from maintenance interventions via performance-penalty regimes, and ultimately hand-back the assets with acceptable remaining life.

We have achieved this by overlaying Planned and Reactive Maintenance Operations and Capital Works Plans, over the failure and condition characteristics of assets.