Understanding how long an asset will remain useful is one of the most fundamental questions in facility, infrastructure, and asset management. Yet it’s also one of the most misunderstood because different disciplines approach the concept from different angles. “Useful life” is a collection of perspectives shaped by engineering, finance, and operations. Getting clear on those perspectives is the first step toward systems thinking and making better decisions.
The Big Three
Before we discuss the twelve ways to express asset life, let’s define the three foundational concepts that underpin many of those terms. [Read more…]
