ASTM_E_2495_-_13.pdf

Designation:E249513Standard Practice forPrioritizing Asset Resources in Acquisition,Utilization,andDisposition1This standard is issued under the fixed designation E2495;the number immediately following the designation indicates the year oforiginal adoption or,in the case of revision,the year of last revision.A number in parentheses indicates the year of last reapproval.Asuperscript epsilon()indicates an editorial change since the last revision or reapproval.INTRODUCTIONIdentifying assets that are most critical to a mission or practice is challenging for most businessentities.The ability of a business entity to minimize the gap between its asset portfolio andever-changing organizational missions often determines its success or failure in achieving designedobjectives.The goal of this practice is to provide managers with a disciplined,quantitative approachto an inherently subjective decision-making process:determining which assets are critical to anentitys designated mission and are therefore deserving of priority attention or funding.1.Scope1.1 The asset priority index(API)establishes aquantitativeeprocess for prioritizing asset resources in acquisition,utilization,and disposition to provide entities with a provenmethodology to prioritize asset resources.1.2 The API is a metric used to communicate the relativeimportance of equipment in terms of mission criticality,security,or other measures important to the business entity.Itoffers a method for ranking assets based on judgment/importance factors defined by the organization,creating infor-mation to justify compelling arguments for investment,secu-rity strategies,and disposition plans.1.3 The API also provides a quantitative basis for determin-ing and documenting operational relationships between anasset portfolio and business objectives capital investmentstrategies,maintenance approaches,security design andanalyses,continuity of business/risk analyses,and dispositiondecisions.1.4 The API enables management to identify critical assetsand allocate resources appropriately.1.5 The API model is designed to be applicable and appro-priate for entities holding equipment with a material impact onthe entitys mission.1.6 In addition to the applicability of moveable and durableassets as defined in this practice,this methodology is similarlyused in the analysis of investments in buildings and buildingsystems(see Practice E1765).1.7 This practice offers instructions for performing one ormore specific operations.This document cannot replace edu-cation or experience and should be used in conjunction withprofessional judgment.Not all aspects of this practice may beapplicable in all circumstances.This ASTM standard is neitherintended to represent or replace the standard of care by whichthe adequacy of a given professional service must be judged,nor should this document be applied without consideration ofa projects many unique aspects.The word“Standard”in thetitle means only that the document has been approved throughthe ASTM International consensus process.2.Referenced Documents2.1 ASTM Standards:2E1765 Practice for Applying Analytical Hierarchy Process(AHP)to Multiattribute Decision Analysis of InvestmentsRelated to Buildings and Building SystemsE2135 Terminology for Property and Asset ManagementE2811 Practice for Management of Low Risk Property(LRP)3.Terminology3.1 Definitions:3.1.1 asset portfolio,nassets that are within the scope ofthe asset management system.1This practice is under the jurisdiction of ASTM Committee E53 on AssetManagement and is the direct responsibility of Subcommittee E53.05 on PropertyManagement Maturity.Current edition approved Jan.1,2013.Published February 2013.Originallyapproved in 2006.Last previous edition approved in 2007 as E2495 07.DOI:10.1520/E2495-13.2For referenced ASTM standards,visit the ASTM website,www.astm.org,orcontact ASTM Customer Service at serviceastm.org.For Annual Book of ASTMStandards volume information,refer to the standards Document Summary page onthe ASTM website.Copyright ASTM International,100 Barr Harbor Drive,PO Box C700,West Conshohocken,PA 19428-2959.United States1 3.1.2 asset priority index(API),nnumerical value as-signed to an asset reflecting its value to an entitys mission orother critical assignments as defined by the criteria set forth bymanagement.3.2 Definitions of Terms Specific to This Standard:3.2.1 analytical hierarchy process(AHP),ndecision-making model that reduces complex decisions to one on onecomparisons resulting in the ranking of a list of objectives oralternatives.Satty,199433.2.2 inconsistency measure,ninconsistent scoring withina square matrix(the same number of columns and rows,see theexample in Appendix X1,Table X1.3)using a predefinedinterval scale,for example,rating all comparisons high thusdisturbing the logic of the matrix.3.2.3 interval scale,nstandard survey rating scale,basedon real numbers,in which distances between data points aremeaningful.3.2.3.1 DiscussionInterval scales have no true z