1. Asset Management Plans
IHEA Professional Development Day – 19 May 2017
Warren Corlett, FIEAust CPEng
Manager, Asset Management
Department of Health and Human Services

2. Asset management plans - context
Government Vision
Service Strategy
Asset Strategy
Asset Management
Plan
50+ year vision shaping
Departmental/ portfolio objectives
10+ year
service directions
10 + year asset and
non-asset solutions
3-5 year rolling service
delivery and reporting
needs
scenarios
decisions
actions

3. Medical equipment asset management framework
Victorian Department of Treasury & Finance
Department of Health & Human Services - MEAMF
Asset management lifecycle

4. Basic asset management plans (BAMPs)
common basis and consistent means for dialogue between health service and the department on replacement qualification, prioritisation, criticality and timing
provision of BAMPs is a performance reporting requirement
need to demonstrate financial and asset accountability including investment against asset management plans
asset registers continue to be important for health service basic asset management plan information

5. BAMPs & specific-purpose capital grants
Plans are:
essential for whole-of-life planning & management
all replacements made under a grant is to be in-scope and consistent with health service asset management plans in:
health service identified individual allocations
highest critical risk items prioritisations
service delivery optimisation, rationalisation or changes using innovation
any grant funding set aside must also be in-line with lodged plans
grant expenditure is to be reported against lodged plans at financial year end

6. Plan development and asset management maturity
degree of understanding
third + generation
plan
consistently
gaining
best value
second
generation
plan
making better
decisions on
assets
first
generation
plan
getting the
basics right
time & experience

7. Development progression aspirations
Excellent
Clear direction with agreed scenarios on replacements
Corporately driven/monitored & whole-of service integrated
Competent
Evidence-based view of where health service plans to go
Structure strategically & corporately driven
Understand
Refined view on where health service wants to go forming,
structure starting to be strategically driven
Aware
Shared view on direction forming
Strategy starting to emerge, plan comprehensive & cohesive
Unaware
No substantive direction
No well structured strategy driving asset planning for replacements

8. Continuous improvement
progression
Excellent
Competent
Understand
Aware
Unaware
degree of difficulty

9. What integrity, confidence and transparency is demonstrated?
Higher confidence
more
effort
improve & better apply evidence tools
Excellent
tight governance
plan, implementation & measurement effective
Competent
planning capability evident
More certainty
Understand
Less certainty
react to requests
Aware
placate department
Unaware
Lower confidence

10. Asset management – where are your BAMPs
Best Practice
Asset Management
Excellent •
decision-support at all organisational levels •
overlay less easily quantified criteria •
simulation & sensitivity-testing of future strategies •
increased reliance on
knowledge elements
Competent •
management of the
data resource as an asset
Improved
Asset Management •
planning horizon extends to 3-5 years •
asset condition & risk major decision-making inputs
Understand •
asset performance incorporated into decision-making •
known & acceptable quality of data inputs •
corporate governed asset lifecycle decisions •
emphasis on data integration and robust information
Aware
Basic
Asset Management •
short or no planning horizon •
few criteria used to support decisions (often proxy variables)
Unaware •
data used often incomplete or of unknown quality = low confidence •
data not information used as inputs to decision-making