Case study 4.1

Asset management for public entities: Learning from local government examples.

Organisation A – Lack of commitment to effective planning heightens risk

This organisation does not have a policy for asset management. Although the organisation has been developing its approach since the mid 1990s, it is not yet at a level consistent with good practice guidance. The organisation has not made a decision about the level of sophistication it wants to achieve for its asset management plans. It is still compiling information about its assets, levels of service are poorly expressed, and links to other planning are weak.

The organisation was not able to meet the required timescale for producing asset management plans to support its wider corporate planning. Although lack of resources were a constraining factor, the failure to update asset management plans in support of the organisation’s wider business planning suggests that commitment is not strong. It is likely that the organisation’s corporate planning is at more risk than would have been the case if it had more commitment to supporting good quality asset management planning.