Optimizing Facility Component Maintenance, Repair, and Restoration Investment Strategies Using Financial ROI Metrics and Consequence Analysis

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Optimizing Facility Component Maintenance, Repair, and Restoration Investment Strategies Using Financial ROI Metrics and Consequence Analysis

Grussing, M. N. / Uzarski, D. R. / Marrano, L. I.

In order to proactively manage facility assets and allocate resources to optimize facility performance, infrastructure asset management professionals at all levels need improved decision support tools and processes. This paper addresses the business process framework for developing a comprehensive facility infrastructure investment plan using information about current and projected future asset condition. This process starts by identifying which building components are candidates for corrective repair or replacement using standards and policies linked to acceptable building performance requirements. Next, a prioritization schema determines which work actions are most important for funding when budgets are constrained. Priorities are developed through importance and condition metrics, risk assessment, penalty costs of not doing work, and return on investment (ROI) analysis and metrics. These financial metrics also help to determine the best option between component stop-gap repair, major repair, or total replacement alternatives by evaluating the economic return over the lifecycle of the asset. Finally, consequence analysis simulations determine the impact of difference standards, policies, and budget levels, further maximizing building performance and return on investment.