Government budgets are under increased scrutiny due to combinations of local and global pressures, creating a greater focus on fiscal responsibility and efficiency. Because physical assets at government facilities can be so costly, they also offer unique opportunities for savings. By implementing comprehensive asset lifecycle management, facility and maintenance teams can lower operational costs and extend lifespans to maximize return on investment.
What are the unique costs for government physical assets?
Governments manage a wide variety of assets and equipment, including many that are never or rarely owned privately. These assets are often especially expensive due to their unique nature.
Historical and cultural importance
Sovereign assets, including national parks and historical landmarks, are costly to acquire and require ongoing funding for conservation and public access. National parks like Yellowstone or the Great Barrier Reef involve extensive land management, wildlife conservation, and visitor services. The cost of maintaining these parks includes everything from ranger salaries to environmental monitoring and restoration projects.
Cultural and educational assets, such as national libraries and public universities, are vital for preserving knowledge and fostering education. The British Library, for example, houses millions of books, manuscripts, and other cultural artifacts, and its maintenance and expansion are ongoing and costly.
Criticality
Central banks and government databases, which are essential for managing national financial stability and ensuring the smooth operation of public services, involve high costs in technology, security, and personnel. Central banks, like the Federal Reserve in the United States, must invest in sophisticated financial systems and security measures to protect against cyber threats and ensure the integrity of the nation’s monetary policy. Government databases, which store sensitive information such as Social Security records, tax data, and health records, require robust cybersecurity infrastructure and continuous updates to maintain data accuracy and security.
Public utilities like electricity grids and water and sewage treatment plants are critical for the functioning of modern society and require significant investment. The construction and maintenance of a large-scale power plant, whether it is a nuclear, coal, or renewable energy facility, can cost billions of dollars. Water treatment plants and sewage systems are also expensive, with the need for advanced filtration technologies, extensive pipeline networks, and regular maintenance to ensure the health and safety of the population.
Delayed maintenance
In many countries, governments haven’t been proactive in managing their assets, which can also increase costs. Deferred maintenance has increased from $216 billion in 2022 to $370 billion in 2024, more than double the $171 billion it was in 2017, according to the General Accounting Office.
In Canada, the government’s real estate property portfolio has an estimated $14 billion in deferred maintenance, while in the United Kingdom, the National Audit Office estimates the government’s maintenance backlog is at least $64 billion. However, because much of the government’s data on its properties is incomplete and out of date, the Office of Government Property believes that number could be substantially higher.
What is comprehensive asset lifecycle management (ALM)?
ALM is a strategic approach to managing the entire asset lifecycle, from acquisition and deployment to maintenance, repair, and eventual disposal. It involves a holistic view of assets, ensuring efficient use, proper maintenance, and timely replacement or repurposing. ALM encompasses various processes and technologies to optimize the performance, reliability, and cost-effectiveness of assets throughout their useful life.
Increased cost efficiency
By proactively maintaining assets, ALM minimizes unexpected breakdowns and downtime, which can be both costly and disruptive. For example, in a government hospital, regular maintenance of medical equipment such as MRI machines and ventilators can prevent sudden failures that would otherwise require emergency repairs or replacements, leading to significant costs.
ALM also supports teams in making informed decisions about when to repair, replace, or upgrade assets, ensuring that government agencies use capital efficiently, avoiding unnecessary expenditures. By tracking the performance and condition of assets, a city government, for example, can plan for timely upgrades to its public transportation fleet, reducing the risk of large, unplanned expenses and ensuring that the transportation system remains reliable and cost-effective.
Improved operational reliability
Regular maintenance and monitoring means assets perform consistently, which is crucial for government facilities where assets must be reliable. For example, a government office building can use ALM to manage its HVAC systems, ensuring that the environment remains comfortable and safe for employees and visitors. By scheduling routine inspections and maintenance, the building can avoid issues like sudden system failures, which could disrupt daily operations and affect productivity. ALM also helps government agencies maintain safety standards and regulatory compliance, reducing the risk of accidents and legal issues. For example, in a government-run water treatment plant, facility managers can use ALM to track the condition of filtration and treatment equipment, ensuring all systems meet safety and quality standards. A proactive approach prevents water contamination means the plant operates smoothly and complies with environmental regulations.
Extended asset lifespan
By implementing regular inspections and carefully scheduled repairs, ALM can help government agencies significantly extend asset lifespans. For example, a government school district can use ALM to manage its fleet of school buses. By scheduling routine maintenance checks and using condition monitoring systems to track the performance of each bus, the district can identify and address issues like engine wear or brake problems before they become major failures.
Being proactive ensures buses remain safe and reliable for student transportation while also extending service life, reducing the frequency of costly replacements. Similarly, a state transportation department can use ALM to manage its bridge infrastructure. Regular inspections and maintenance, such as addressing corrosion and structural weaknesses, can prevent the need for premature and expensive reconstruction projects. By extending the lifespan of these critical assets, the department can allocate its budget more effectively and ensure that the transportation network remains robust and functional for years to come.
Which software features help support lifecycle management for government assets?
An intelligent worktech solution empowers teams to connect and manage government facilities securely and efficiently by centralizing data, streamlining workflows, and delivering an advanced feature set tailored to maximize visibility, accountability, and control.
Maintenance ticketing and workflow
These systems are crucial for ensuring that maintenance tasks are managed effectively and efficiently. They allow employees to submit service requests through a user-friendly interface, which can be as simple as a mobile app or a web portal. For example, in a government hospital, a nurse might notice that a patient monitoring system is malfunctioning. Instead of calling the maintenance department, the nurse can submit a service request through the hospital’s maintenance ticketing system. The maintenance manager can see the ticket, prioritize the work, generate a ticket, and assign it to the appropriate maintenance team — all from directly inside the same platform.
Facility teams can use these systems to track and manage all maintenance requests, ensuring that no issues are overlooked. They can use the system to prioritize tasks based on urgency, which is particularly important in government facilities where safety and operational continuity are paramount. For example, the team would start work immediately on a broken fire alarm. The platform helps the team address critical issues promptly, reducing the risk of accidents and improving overall safety.
The department can also use the maintenance ticketing systems to generate detailed reports and analytics, helping identify trends and areas for improvement. For example, if a particular piece of equipment in a government laboratory is frequently breaking down, the system automatically flags the issue, allowing the facility team to investigate the root cause and take corrective action.
Building information modeling (BIM)
BIM is a 3D modeling process that provides detailed information about the building and its systems, making it easier to plan and execute maintenance tasks.
For example, the facility team at a government courthouse might use BIM to better manage its HVAC systems. The 3D model of the courthouse can show the exact location and condition of each HVAC unit, along with its maintenance history. Maintenance staff can use this information to schedule regular inspections and cleaning, ensuring that the units operate efficiently and reducing the risk of breakdowns.
At a government school, the 3D model can include detailed information about the campus electrical systems, plumbing, and structural components. By regularly inspecting these systems and recording the findings in the BIM, the facility can identify potential issues early. For example, if a routine inspection reveals signs of corrosion in the plumbing system, the team can quickly generate and assign a work order to address the issue before it leads to leaks or more extensive damage. This not only extends the life of the plumbing system but also ensures the school remains a safe and functional learning environment.
The operations and maintenance departments can add asset metrics like the number of maintenance requests, the frequency of breakdowns, and the cost of repairs, to the BIM data to create a comprehensive view of asset health. For example, a government library might use asset metrics to track the performance of its book sorting and shelving systems. If the data shows that a particular system is experiencing more frequent breakdowns, the maintenance team can schedule more frequent maintenance or consider upgrading the system.
Capital planning and forecasting
Capital planning and forecasting are essential for government facilities to make the most efficient use of their financial resources, especially at the very beginning and end of an asset’s lifecycle. It involves a comprehensive approach to managing the lifecycle of assets, from initial acquisition to eventual disposal. For example, a city government needs to forecast the future needs of its public transportation system. By leveraging the solution to analyze data on the current fleet of buses, it can predict when vehicles will need to be replaced or upgraded, allowing the city to budget accordingly and avoid sudden, large expenditures.
In another example, a government office building might use capital planning to manage its IT infrastructure. By tracking the performance and age of servers, computers, and network equipment, the facility can time upgrades and replacements. They avoid the risk of system failures that could disrupt critical services while also maximizing the return on earlier investments.
Capital planning can also help when repurposing assets. For example, a government agency might have surplus office furniture or equipment it can reallocate to other departments or sell to reduce storage costs. By maintaining an accurate inventory and forecasting future needs, the agency can make informed decisions about repurposing or disposing of assets, thereby reducing excess inventory and avoiding unnecessary expenditure.
How does preventive maintenance support longer lifecycles for assets at government facilities?
Preventive maintenance is a proactive approach to maintaining assets that involves regular inspections, routine repairs, and timely replacements of parts before they fail. The maintenance strategy helps teams extend the lifecycle of assets by identifying and addressing potential issues early, which can prevent more significant, costly problems.
- HVAC systems: Cleaning and inspecting heating, ventilation, and air conditioning (HVAC) systems can prevent issues like clogged filters, worn-out parts, and inefficient performance. For example, a government office building that conducts quarterly HVAC maintenance can avoid the need for emergency repairs and extend the life of the system by several years.
- Elevators: Inspecting and maintaining elevators can prevent issues like malfunctioning doors, worn-out cables, and electrical failures. For example, a government courthouse that schedules monthly elevator maintenance can make sure the elevators operate smoothly and safely.
- Security systems: Scheduling checks and updates of security systems, including cameras, access control systems, and alarms, can prevent vulnerabilities so the systems remain effective. For example, a government data center that performs bi-annual security system maintenance can identify and address issues like outdated software, faulty sensors, and degraded camera performance.
- Water treatment plants: Cleaning and inspecting water treatment equipment can prevent breakdowns so the plant operates efficiently. For example, a municipal water treatment plant that performs monthly checks on its filtration systems can avoid costly repairs and downtime, extending the life of the equipment.
- Sewage systems: Checking pipes and pumps can prevent blockages and overflows. For example, a county that invests in routine sewer maintenance can avoid the need for emergency repairs and the associated costs of cleanup.
- Power plants: Maintaining power generation equipment, including turbines and generators, can prevent breakdowns for more efficient operation. For example, a government-owned power plant that follows a strict maintenance schedule can avoid the need for costly repairs and extend the life of the equipment.
Preventive maintenance is not only crucial for extending the lifespan of equipment but also for optimizing maintenance efficiency. In fact, preventive maintenance work orders take significantly less time compared to reactive maintenance work orders. On average, preventive maintenance tasks take just 1 hour and 17 minutes, while reactive maintenance tasks can take up to 2 hours and 22 minutes, according to the 2025 Workplace Index report.
Unified, intelligent worktech makes asset lifecycle management possible
Asset lifecycle management starts with a worktech solution platform that connects workplace and facility management to integrate data from various sources, providing real-time insights. By centralizing data and processes, government agencies can enhance decision-making, improve resource allocation, and ensure that all stakeholders have access to the same up-to-date insights, ultimately leading to more effective and cost-efficient asset management.