Assessing the Business Value of Asset Performance Management for IIoT and IoT

Organizations continue to search for ways to leverage connectivity and IoT messaging for innovation and improvements. Maintaining optimal asset performance delivers critical business benefits such as operational efficiency, cost reduction, and compliance. A successful Asset Performance Management (APM) approach plays a pivotal role in achieving these goals.

This blog will guide you through the critical components to assess and understand the business value of improved APM.

Key Tech Components for Asset Performance Management

Creating a good asset performance management strategy requires modern, scalable technology to ensure companies can monitor and optimize assets throughout their lifecycle. The systems required include: 

• IoT Sensors for Data Collection: These sensors continuously collect data from assets, to deliver insights in real-time about performance, location, and condition. 

• MQTT Broker: The MQTT broker plays a pivotal role in consolidating, normalizing, and contextualizing data from various assets, making it accessible for APM applications.

• Software Suites (ERP, CMMS, EAM): Solutions such as SAP, Oracle, and IBM Maximo analyze asset data.

• Condition Monitoring Software: These solutions provide insights for corrective and preventive maintenance.

• Advanced AI/ML Analytics: As more data is available for analysis, advanced use cases such as these can enhance asset optimization. 

Assessing the Business Value of APM

Creating a new process, procuring new software, and integrating data sources requires dedicated time and resources. A clear strategy with alignment from multiple stakeholders can help make this process simpler but being able to demonstrate business value can accelerate new projects much quicker.

Here are 10 areas of business value to assess in order to streamline a new asset performance management strategy in your organization.

1. Operational Efficiency

   • Real-time Monitoring: Expected improvements in data collection and monitoring.

   • Predictive Maintenance: Reduction in unplanned downtime.

   • Asset Utilization: Optimization of asset use and performance.

2. Cost Savings

   • Maintenance Costs: Projected savings from predictive maintenance.

   • Energy Efficiency: Potential reduction in energy consumption.

   • Downtime Reduction: Financial impact of reduced downtime.

3. Reliability and Safety

   • Fault Detection: Improvements in early fault detection and resolution.

   • Safety Compliance: Enhancements in safety measures and compliance.

4. Scalability and Flexibility

   • Scalable Architecture: Ability to scale operations without significant additional investment.

   • Interoperability: Ease of integrating with existing systems.

5. Data-Driven Decision Making

   • Data Analysis: Enhanced decision-making capabilities from comprehensive data analysis.

   • Reporting: Improvements in reporting accuracy and frequency.

6. Customer Satisfaction

   • Service Quality: Impact on service delivery and customer satisfaction.

   • Reliability: Enhancements in the reliability of products/services.

7. Competitive Advantage

   • Innovation: Benefits of staying ahead of competitors with asset performance management.

   • Market Differentiation: Opportunities for market differentiation.

8. Compliance and Risk Management

   • Regulatory Compliance: Improvements in compliance with industry standards.

   • Risk Mitigation: Reduction in operational risks.

9. Sustainability and Environmental Impact

   • Resource Optimization: Efficiency gains in resource usage.

   • Environmental Impact: Reduction in environmental footprint.

10. Employee Empowerment

    • Skill Development: Training and development opportunities for employees.

    • Productivity: Increase in employee productivity and focus on high-value tasks.

Asset Performance Management with MQTT

Security, scalability and reliability are important features of any APM process and can be achieved with an MQTT broker central to the technology stack. HiveMQ’s enterprise MQTT platform is proven to be efficient for data movement, IoT messaging, and scaling to support any number of assets.  

Learn how leading organizations have achieved regulatory compliance, efficient fleet management, and saved millions of dollars using HiveMQ’s platform and a comprehensive Asset Management Performance plan.