Understanding asset value 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 value from different angles. “Asset value” is not a single number—it’s a collection of perspectives formed by accounting, insurance, engineering, and operations. Getting clear on those perspectives is the first step toward making better decisions. 

The Big Three

Before covering the many ways to express asset value, it helps to define three basic concepts that support most of the others. 

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