Embracing asset lifecycle management: A holistic approach to managing transportation assets

Article written and supplied by IBM, Platinum Sponsors of MOVE America 2024 at the Austin Convention Center, 24-25 September, Austin, TX. Get more exclusive insights from IBM at the event and make sure you meet them there.

The travel and transportation industry is a complex web of interconnected systems, relying on a vast array of assets to keep people and goods moving. From cars and airplanes to trains and buses, the efficient manufacturing and operation of these assets and the surrounding infrastructure is critical to ensuring a smooth and safe travel experience. However, managing these assets across their entire lifecycle is a daunting task, requiring careful planning, execution, and maintenance.

Market Condition and Challenges:

Transportation and Automotive leaders are experiencing unprecedented challenges:

The transportation sector is under increasing pressure to reduce its contribution to nearly 24% of global CO2 emissions¹
Preventive maintenance and run-to-failure are still common: 56% of the market today either run their assets to failure or practice traditional, time-based preventive maintenance²
The cost of unplanned downtime soared 50% in just two years from 2020 to 2022³
50% of transportation CEOs identify IoT, mobile and connected devices as the technologies that will help deliver results over the next 3 years⁴

What’s the solution?

This is where Asset Lifecycle Management (ALM) comes in – a holistic approach to managing the whole lifecycle of your assets – including planning, deployment, operation, optimization, and disposal make it possible to reduce operational cost and risk, improve workforce productivity and asset reliability, while reducing environmental impact. IBM’s ALM solution brings together core technologies such as Enterprise Asset Management (EAM), Asset Performance Management (APM), Reliability Center Maintenance (RCM), sustainability reporting and MRO IO (Maintenance, Repair and Operations Inventory Optimization) to fully equip organizations with the data, AI and tools to unify operations and mitigate risks. A prime example of the power of Asset Lifecycle Management (ALM) is Transport for London’s (TfL) initiative to optimize the city’s public transportation fleet, encompassing buses, boats, bicycles, and the tube. By leveraging ALM technology, TfL can proactively identify and address potential issues, thereby extending the lifespan of its existing assets and reducing the need for replacement parts. This proactive approach also minimizes the risk of catastrophic failures, which can have significant consequences for commuters and the city’s economy. According to TfL’s estimates, the implementation of ALM is expected to yield net savings of £21 million over the next decade, specifically for its London Underground operations.

We would love to hear what your challenges are

On Day 1 of MOVE, from 12:10 – 12:50 PM in Theater 4, we’ll be hosting a dynamic workshop led by transportation and automotive experts. We invite you to be part of this discussion to explore solutions to the pressing issues you face in the field. To make sure your specific concerns are addressed, we invite you to send your challenges in advance to Connor.Russell@ibm.com. Want to learn more about asset lifecycle management, AI and how IBM Maximo can support the travel and transportation industry? Check out Day 1 of the Tech, Data and Innovation track where you can hear from IBM SMEs across Automotive, Aerospace, Fleet and Infrastructure. Join us at booth 545 to see our new Gen AI assistant in action. 1 International Transport Forum, 2023. 2 IDC SaaS Path, IDC, 2023. 3 The True Cost of Downtime, Siemens, 2023. 4 Alicke, Knut, Tacy Foster, Katharina Hauck, and Vera Trautwein. Tech and regionalization bolster supply chains, but complacency looms. McKinsey & Company. Nov 2023.