Enterprise Asset Management (EAM) is the process of managing the lifecycle of physical assets to maximize their use, save money, improve quality and efficiency, and safeguard health, safety, and the environment. EAM involves the management of the maintenance of physical assets of an organization throughout each assets lifecycle. EAM arose as an extension of the computerized maintenance management system (CMMS), which is usually defined as a system for the computerization of the maintenance of physical assets. EAM software is a computer software that handles every aspect of running a public works or asset-intensive organization. EAM software applications include features such as asset life-cycle management, preventive maintenance scheduling, warranty management, integrated mobile wireless handheld options, and portal-based software interface. An EAM system is designed to address the total lifecycle management of an asset, from capital planning, procurement, installation, performance, maintenance, compliance, risk management, through to asset disposal.
The purpose of EAM is to increase performance and uptime of physical assets, extend an asset’s useful life, reduce operational costs, boost environment, health, and safety (EHS) initiatives, and streamline all activities related to asset management through a centralized platform. EAM is mostly used in industries that rely heavily on expensive and complex physical assets, such as vehicles, plants, and heavy equipment. EAM's importance is in its ability to enable companies to track, oversee, evaluate, and optimize their assets throughout the asset management lifecycle.
