Risk-Based Multi-Objective Cross-Asset Budget Planning and Allocation Framework for the Integrated Asset Management System (IAMS) Using a Case Study of the City of Sugar Land, TX.

Abstract

A proper strategic asset management enables one to understand what network performance can be achieved, at what expense, and with what associated risks. However, the current management approaches practiced by many cities are very parochial and limited to a single asset type, justifying a need for an Integrated Asset Management System (IAMS). IAMS provides an interface on which different assets in a facility get digitally connected. It is a data-centric strategic asset management system that prioritizes the maintenance and rehabilitation schedule of various assets based on various factors like the utility, budget, condition, and so forth. This research project proposes a risk-based reliability-centric asset management approach to combine the different single asset management strategies into a cross-asset management model using a case study of the asset database at the City of Sugarland, TX. The model works on the principle that the risk associated with an asset's failure is the function of the direct and indirect cost of replacement. While the direct cost of replacement is the unit cost, the indirect cost is the additional cost related to the failure, which typically is not quantified easily in terms of the monetary units. The assets are prioritized based on the highest yearly benefit to cost ratio for replacement, with the benefit being a reduction in the expected monetary consequences of failure. The outcomes of the designed model are analyzed in terms of a reduction in the network level expected annual failure rate, an increase in the network level average reliability, and a decrease in the number of assets in a very high-risk category in the risk matrix. The end product of the research is a SQL-based quantitative tool that allows the decision-makers to prioritize the cross-asset replacement under different yearly budget scenarios, allocate the replacement budget for the assets, and visualize the results using the interface of Microsoft Power-Bi.