Phase Priority in Physical Assets Management: A Case Study of Pressure Vessel in Petroleum Industry

Physical asset management (PAM) is a complex field in which several activities and disciplines interact to plan and control fixed assets such as machinery, vehicles, equipment, plants, buildings, and infrastructure. One of the Industries to which PAM is applicable is the petroleum industry. Although literature study interest in PAM has increased globally, the risk considerations for each phase of the PAM lifecycle are still lacking. Uncertainty and risks in the business environment can affect the performance of PAM. The risks involved in PAM at each phase of the lifecycle vary according to severity and probability. Organizations need to identify the risks that exist to know the critical factors leading to PAM failure. PAM failure is a failure to achieve the desired level of condition of physical assets. However, it is impractical to manage risk at each phase of the PAM lifecycle at the same time due to resource constraints. Therefore, the organization can use the risk priority method with multi-criteria decision-making (MCDM). This research proposes the fuzzy AHP method to find priorities among PAM phases in terms of risk.