Physical Asset Management for the Executive
Howard W. Penrose
Success By Design
Proper management of physical assets remains as the single largest business improvement opportunity in the 21st Century. Based upon the U.S. Census Bureau, an 1979 maintenance study performed by MIT and recent reliability and maintenance studies, the size of the asset maintenance industry in the USA was $1.2 trillion in 2005, in which $750 billion was the direct cost of poor physical asset maintenance and management. Of the $12.5 trillion GDP for the USA, an additional 20% was lost due to poor or improper physical asset investment while over 60% of businesses rely upon maintaining equipment reactively. Dr. Penrose discusses the strategies that must be applied to your business to take advantage of this last frontier in business improvement. Determine where you stand by asking yourself this one question: The next time you get on that elevator or airplane, what if they are maintaining it the same way you maintain your facilities and production equipment; would you want to ride?
Howard Penrose is the president of Success by Design, a reliability and maintenance services consultant and publisher who's clients include General Motors, US Steel, Monsanto, and numerous businesses, large and small, worldwide. He has 25 years in the reliability and maintenance industry with experience from the shop floor to academia and manufacturing to military. Dr. Penrose was an adjunct professor of engineering at the University of Illinois at Chicago from 1997-1999 and a senior research engineer at the UIC Energy Resources Center. He is a past chair of the Chicago Section IEEE, past vice chair of the Connecticut Section IEEE, and has had numerous other elected and appointed positions within IEEE as well as membership in the Vibration Institute, Society of Maintenance and Reliability Professionals, International Maintenance Institute, and MENSA. He is well published in trade magazines and is frequently invited to speak at industrial reliability events. He is a Certified Maintenance and Reliability Professional, NAVAIR and NAVSEA RCM specialist as well as numerous other industry certifications.