Conceptual Asset Management framework: A Grounded Theory Perspective

Abstract

In general terms asset can be seen as anything with an actual or potential value to an organization, which also plays as a performance that can improve organization objectives. Nonetheless, more recent investigations concluded that asset also can be considered as a cost in terms of business operations and ultimately will affecting the financial objectives in terms of risk compliance within the organizational asset ownership. This paper argues that an asset management framework needs to give more consideration to the cost and risk factors of organizational objectives. The paper uses grounded theory to elaborate the asset’s lifecycle of management context. The theory examines the relationship between value, cost, and risk factors to understand how an asset management framework affect and affected by organizational business objectives. A number of organizations just commencing and completing an AM program were used as a data collection example. The conceptual asset management framework describes an illustration of the abovementioned relationship that direct organizational actions towards its objectives.