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Oracle Enterprise Asset Management

Know More. Do More. Spend Less.


Asset Management At-a-Glance

Asset Strategy Planning and Execution Breakdown & Response Tracking & Compliance

Perform total cost analysis Develop asset & spares strategies Establish 3rd party relationships

Create schedule Allocate / procure materials & services Maintain, repair, build, or dispose

Identify unplanned maintenance / repair Approve / schedule work request

Track and report projects & costs Verify compliance Manage performance

Some Enterprise Asset Management vendors can mitigate the costs of a best-of-breed strategy by providing ready-to-use, fixed-price, productized integration; however, many buyers we talk to are looking for single-vendor solutions that provide fewer risks in relationship management and future upgrades. Kristain Steenstrup, Research Vice President, March 2003

Asset Management At-a-Glance

Part of an Asset Lifecycle Management Solution
Financial Modeling Capital Improvement Capital Planning Budgeting Procurement

Performance Management






Finance Strategy Maintenance Strategy Operating Strategy

Plan current and future investments Track costs and cash flow Analyze asset value / ownership Plan and manage maintenance activities, equipment and materials Track asset history Analyze performance Manage production / operating schedules and asset availability Monitor the condition and status of assets

Types of Assets
Fixed Plant

Linear / Continuous

Roadways Pipelines Transmission lines Railway lines

Equipment Components


Trucks Buses Automobiles Rolling stock


Buildings Retail stores Universities Hospitals

Business Pressures
Enterprise Integration What is the best way to synchronize maintenance and production schedules? How can I get timely information and respond more quickly to change? Productivity and Cost How can productivity be improved while reducing labor costs? How can I simplify maintenance planning & scheduling in a complex operational environment?

Asset Utilization How can I minimize downtime and ensure assets are properly maintained? How can I tailor asset maintenance strategies to extend asset life?

Compliance and Oversight How can I ensure safety and regulatory compliance? How do I validate the accuracy of my financial statements and enforce policy / procedures?

Operational Challenge
Stand Alone Computerized Maintenance Mgmt System

Custom Interfaces
Enterprise Applications

Planning & Mfg


Inventory Purchases / Invoices Projects / Chargebacks Financials Human Resources

Integration required: complex, expensive Reactive maintenance leading to poor asset utilization and unplanned downtime Maintenance plans not integrated with production Mismatched skills and assignments leading to unsafe, inefficient work conditions

A Need for Change

Leading Business Trends

Reliability Centered Maintenance for High Utilization Integrated Predictive Maintenance & Ops Scheduling Proactive Workplace Safety & Regulatory Compliance Enterprise Management of Spare Parts and Equipment Automated Procedure and Maintenance Logs

Asset Management Opportunity

Improved Productivity Improved Safety Wrench Time Reduced Capital Decrease Surplus Stock Reduced Unit Costs Unplanned Downtime 40-55% 4020-50% 2020-50% 2050-90% 5050-90% 5010-40% 1030-40% 30-

Society for Maintenance and Reliability Professionals (SMRP)

How Oracle Delivers

Oracle: Complete E-Business Suite

Develop Contracts Projects HR Finance Maintain Service Fulfill Make
Customers, Suppliers, Products,

 Automate Key
Market Sell Order Plan Procure Internal Business Processes

Automation and Collaborate with Your Trading Partners

 Drive Continuous
Improvement with Real-Time Intelligence

Enterprise Asset Management (eAM)

Maintenance Requirements Engineering Specifications Production Schedules Meter Readings Usage Estimated Life Inspection Limits

Dynamic Plan Adjustments



HR: Skills

Execution: Workflow Driven

Create W/O Approve Dispatch Complete Inventory



Optimize Utilization

Maximize Safety & Compliance

Oracle Enterprise Asset Management

Enables You To
Replace Standalone Maintenance Mgmt Systems Drive Maintenance Best Practices Manage the Full Asset Lifecycle Support Compliance and Corporate Governance Provide Simple Self-Service Access

Traditional Asset Maintenance

Maintain Integration, Not Assets
ERP Applications
General Ledger Procurement Inventory Custom Interface Projects Documents Workflow Workflow APIs CMS Interfaces Custom Interface Custom Interface Custom Interface

Computerized Maintenance Management System (CMMS)

3rd Party Providers


Foundation: Common Data Model

Eliminate Cost and Complexity of Multi-Vendor Systems
ERP Applications
eAM General Ledger Procurement Inventory Projects

Reduce information
latency and synchronization issues
Assets, Resources, Suppliers,

Minimize implementation
time and cost

Decrease maintenance
and upgrade cost

Manufacturing Service etc

Single Source of Truth

Scale to meet
growth demands

Out-of-the-Box Enterprise Integration

Link to ALL Business Functions Across the Enterprise
Suppliers Procurement Manufacturing Projects Inventory Service

eAM Business Flow

Work Requests Entry Material Request Work Scheduling

Work Order Generation

Resource Planning

Work Order Update and Close Out

Task Planning


Asset Performance

Human Resources

Accounts Payable

General Ledger

Fixed Assets

Property Management

Example: Integrated Information Flow

Suppliers Procurement Manufacturing Projects Inventory Service

Operation Completion

Material Reqs & POs

Plans & Costs & Work Orders Tasks

Availability, Costs BOMs & Routings

Service Requests & Customer Information

Chart of Accounts

Employees & Skills

Posting Integration

Capitalized Depreciation

Maintainable Assets

Human Resources

Accounts Payable

General Ledger

Fixed Assets

Property Management

Integrated eAM: Sustainable Advantage

Improve Asset Management and Lower Costs
Subcontractor Management
 Improve planning and scheduling  Better control of services procurement

 Decrease lead time  Reduce part cost  Increase purchasing efficiency

Materials Management
 Improve stores inventory management  Enhance control of Direct items

Labor Costs
 Reduce parts search time

Oracle Enterprise Asset Management

Enables You To
Replace Standalone Maintenance Mgmt Systems Drive Maintenance Best Practices Manage the Full Asset Lifecycle Support Compliance and Corporate Governance Provide Simple Self-Service Access

Asset Maintenance Best Practice Goal

Common Practice
60% 50% 40% 30% 20% 10% 0%
Reactive Preventive Condition Based

Best Practice
60% 50% 40% 30% 20% 10% 0%
Reactive Preventive Condition Based

Increase Proportion of Condition Based Maintenance Performed

Source: PWC Best Practices for Asset Intensive Industries

Multiple Maintenance Strategies

Plan Maintenance and Repairs in Any Environment
Condition Based

Condition Monitoring
Temp, Flow Rate, Wear, Vibration, Calibration

System Identification of Limit Violations

Workflow-Driven System Action

 Notify Asset Owner  Generate Work Order

Planned Usage
Planned Calendar Events, Production Forecast Preventive

Maintenance Schedules

Maintenance Forecast

Actual Usage
APIs to Monitoring Systems / Multiple Meters

 Auto-Creates Work  Seasonal & Alternative Strategies

Estimated Life
Run to Failure, Planned breakdowns

 Real-Time, Recommended Forecast Based on Plans, Estimates, and Actual Usage  Dynamic Plan Adjustments


Maintenance Request
Equipment Failure, Inspection Readings

Unplanned Maint Scheduling

 Auto or Manual Work
Request Approval

Operator Initiated WO Req / Approval

 Notify Asset Owner  Generate Work Order

Mgmt of Complex Work Relationships

Manage Network -- Not Just Individual Work Orders
Cost Roll-up to Parent

Link work orders together

for reference, cost, reporting, or scheduling

Create follow-up work

End-to-Start Dependency

orders while performing tasks on another work order

Parent-to-Child Relationships

Optionally require Child

completion prior to Parent start (e.g., Tag Out)

Drag and drop groups

of work orders
Monday Tuesday Wednesday

Aggregate cost to a work

order or project

Automated Work Request Approval

Respond Quickly to Unplanned Maintenance Requests
Manual Review & Approval Planning & Execution Work Requests
Engineering Safety Compliance

Accurate Documentation / Work Packet Standard Operating Procedures Up to Date Schedule Work Resolution Requirements

Automatic Approval

 Streamline routine work request approvals  Automatically flow requirements to planning and execution  Enable compliance to standards and other requirements

Spare Parts Management

Plan and Manage All Types of Parts
Inventory Optimize stocking levels and automate replenishment Maintenance Execution

Maintenance BOM
Inventoried Parts (e.g., Pipe Fitting) Rotables (e.g., Diesel Engine) Non-Stock Direct (e.g., Actuated Valve)

Automatically generate inventory pick list and purchase requisition

Planning Synchronize purchasing needs with actual requirements

Procurement Enable accelerated purchasing of parts and materials

Internet Supplier Portal

Web-Based Collaboration with Suppliers / Subcontractors
Record Work Resolution Details Post labor hours and material usage

Complete subcontractor operation Comply with mandatory quality plans Replenish inventory
Manage Agreements / Contracts Track and maintain orders, ASNs, receipts, returns, quality, delivery and shipment schedules, invoices, and payments

Link to RFQs / auctions

Update and Evaluate Maintain supplier details such as address, contact, phone number, etc.

View Order Detail View POs / PO releases, work orders, and attachments (designs, specs, etc.)

Acknowledge orders Review subcontract labor and

material requirements

Access audit trail

Asset Failure Analysis

Predict and Prevent Asset Failures
Planned Readings Actual Results Analysis Adjust

Feed System With Predefined Specifications Analyze Performance of All Assets Track Efficiency and Utilization by Asset Compare Actual With Planned Results Identify Maintenance Plan Adjustment Opportunities Reset Asset Parameters in Collection Plan to Match Results

Oracle Enterprise Asset Management

Enables You To
Replace Standalone Maintenance Mgmt Systems Drive Maintenance Best Practices Manage the Full Asset Lifecycle Support Compliance and Corporate Governance Provide Simple Self-Service Access

Asset Lifecycle Management

Internal External





Requirements Specifications
Advanced Collaboration Tools

Drawings Schedules

Defects Orders
Project Management

Portfolio Management *



Asset Intelligence*


Financial Management

Asset Maintenance

Global Asset Repository

* Coming in a future release



Commission Maintain


Plan Asset Construction

Leverage Historic Project Information
Project Plans

Schedules, Costs & Budgets Prior Acquisition Strategy Docs, Specs, Requirements Issues and Changes Resources / Expertise

Plan Key Aspects of Project

Aggregate all sources of demand Align projects to resources and objectives Create work plan and deliverables Generate budget for resources and work plans Evaluate daily business intelligence and key performance indicators

Global Asset Repository

Consistent Project Information

- Information entered once via multiple methods - Operational & accounting views by role - Attribute-based searches for historic data

Project / Program Managers Team Members Line of Business Executives

Secure, Role-Based Access

- Functions secured by role on each project - Multi-Method Access (e.g., portal, productivity tools)

Harvest & Reuse Leading Practices for Optimal Decision Making



Commission Maintain


Build or Acquire Assets

Project Manage All Asset Activities
Integrate Sourcing, RFQ and Bid Processing
- Automate paper-based processes - Release POs and subcontract agreements

Optimize Workforce Deployment

- Integrate skills repository with project requirements

Collaborate on Design Changes

- Provide access to real-time information - Work collaboratively with all participants

Capture and Manage Project Costs

- Incorporate actual or standard costs, overhead, adjustments



Commission Maintain


Global Asset Logistics

Integrate Planning and Execution Processes
e.g. Capital Equipment

Asset Design Supply & Demand Planning

e.g. Performance

e.g. Planned Shipments e.g. Load Plans

Transportation Planning

e.g. Shipment Schedule

e.g. Dock Scheduling e.g. Load Confirmation

Transportation Execution Warehouse Management

e.g. Actual Shipments e.g. Shipment Exceptions

Event Management Operational Minutes Hours/Days

e.g. Delivery Confirmation






Commission Maintain


Manage Asset Disposal

Efficiently Dispose of Assets
Disposal Process
Inactivate asset

Related Impact
Update fixed asset status to Retirement, but allow continued inspections to be logged and tracked Prevent further postings of further inspections or maintenance Track work completion and internal / subcontract expenses at desired level in appropriate GL accounts Determine residual value from fixed assets for writeoff or sale / auction

Flag asset as non-maintainable

Create disposal work order or project

Sell / auction or discard asset

Oracle Enterprise Asset Management

Enables You To
Replace Standalone Maintenance Mgmt Systems Drive Maintenance Best Practices Manage the Full Asset Lifecycle Support Compliance and Corporate Governance Provide Simple Self-Service Access

Define and Track Standard Procedures

Comply with Regulatory and Safety Requirements
Structured Definition
Define SOPs and Required Documentation
- Procedures (e.g., safety, hazardous material) - Dependent task planning (e.g., Tag out) - Specifications / drawings - Special handling

Equip Technicians to Perform Quality Work, on Time and Within Guidelines
- Minimize time to locate required documentation - Reduce incident rate - Decrease work order errors - Ensure optimal repair work

Manage Work Order Execution

- Automatically create audit trail and electronic history

Monitor & Audit Compliance

- Avoid fines and reduce non-compliance risk

Skills Selection
- Search and select by technician certifications or competencies

Assign Qualified or Certified Technicians to Tasks

Flexible Financial Accounting and Control

Accommodate Simple and Complex Financial Reporting
Track material, labor and contract services costs at appropriate level
Business Unit



Dept Parent Work Order Child Work Order

Capital or Expense Project

Maintenance charges flow directly to the General Ledger

Analyze Financial Details at Appropriate Level

Deliver Daily Business Intelligence

Real-Time Access to Complete Business Information
What is my work

order completion percentage? backlog and asset downtime improving?

Are work order How can resource

utilization be improved? variances and what is their trend?

Where are the largest cost What is my request

to resolution cycle time?

Manage By

Objective: Set institutional targets Fact: Provide performance-based metrics Exception: Continuously evaluate performance

Asset Management Intelligence*: Timely, Accurate, Relevant

Flexible Time Periods Flexible Comparisons RealReal-Time Results Links

Daily updates on key performance indicators Actionable information on savings and incremental revenue opportunities At a glance:
Graphs -

Performance Measures Reports

Work order status (open and past due) Asset downtime Actual costs
* Coming in a future release

Corporate Governance: Visibility, Control, Efficiency

Visibility Control

Identify and respond

earlier to significant production outages Enable real-time access and analysis of maintenance KPIs Consolidate capital improvement costs and expenses globally

Integrate and centralize

maintenance operations Document SOPs and track safety / regulatory compliance Automate work order / work request approval Manage subcontractor communications

Provide Single Source of the Truth

Centrally Manage Policies and Procedures Efficiency

Consolidate and reconcile

financial information rapidly Automate maintenance processes & enable self-service Simplify IT infrastructure Leverage best practices from different groups / regions
Your Company Orders Invoices Payments Requisitions Suppliers & Subcontractors

Automate Processes and Extend to Suppliers & Subcontractors

Oracle Enterprise Asset Management

Enables You To
Replace Standalone Maintenance Mgmt Systems Drive Maintenance Best Practices Manage the Full Asset Lifecycle Support Compliance and Corporate Governance Provide Simple Self-Service Access

Self-Service Access
Provide Maintenance Workers Easy System Access
 Remote access via web browser  Capture information at the source  Perform step-by-step transactions  Require minimal system training  Reduce time to input information  Decrease errors in data transfer  Reduce clerical labor

Self-Service Work Requests

Enable Immediate Problem Reporting
Any Employee Status Change Machine/Program Interface Generate Request Generate Request

Reported Problem
Work Request
Truck Number 103

Capital Asset

Asset / Serial Number


Allow users to report problems for

themselves and for other users

Optionally assign asset / serial number Intelligent default of asset information

Accept a condition which triggers a request Accept a request from 3rd party system

Maintenance User Workbench

Enable Personalized Role-Based Access
Easy to use, personalized HTML user interface

Personal KPIs

View Assigned Work and SelfAssign Work

Issue Materials,
Immediate access to employees current, past due and future work assignments Direct access to key processes (e.g., meter / quality reading entry, material request, asset details)

Record Labor, and Report Completion From Single Self Service Portal

Workers Access to Performance Measurements

Oracle Enterprise Asset Management

Single global instance with out of the box integration Multiple maintenance strategies, work order planning & relationships, spares mgmt, predictive analysis Project planning and execution, global logistics, asset disposal management Common data model, flexible financial accounting and control, integrated intelligence Self service role-based access, automated work request, maintenance user workbench Replace Standalone Maintenance Systems Drive Maintenance Best Practices Manage the Full Asset Lifecycle Support Compliance and Corporate Governance Provide Simple Self-Service Access Self-

Oracle Asset Management Products

Develop Contracts Projects Enterprise Asset Mgmt Self-Service Work Requests Asset Mgmt Intelligence* Related Products:
Financials (Property Manager, Fixed Assets), iProcurement, iSupplier Portal, Discrete and Process Manufacturing, Projects, Human Resources, Internal Controls Manager, Tutor, Collaboration Suite

Market Sell
Customers, Suppliers,

HR Finance Maintain Service

Order Plan Procure Make



* Coming in a future release

Evolution of Oracle Enterprise Asset Management

Base Differentiators New in 11i.9 New in 11i.10

Predictive, preventive, routine,

and corrective maintenance Maintenance forecasting and planning Flexible asset definition Asset data and history Meter-based asset monitoring Component mgmt & tracking Asset costing & work history Dynamic plan adjustment Complete work management forecasting, planning, scheduling, execution, and completion Built-in quality & safety mgmt Comprehensive request mgmt Self-service maintenance Out-of-the-box ERP integration Workflow-driven automation

Asset activity workbench Seasonal / production

preventive maintenance plans Preventive maintenance for rebuildables and spares Enhanced support for rebuild hierarchy and configurations Streamlined requisition for maintenance materials / MRO items to work order Service request support Work order billing and cost distribution Integration of production & maintenance planning Time entry integration Enhanced cost estimation and cost drill down capabilities Self-service work requests

Ability to view associated work

orders in Service UIs Work order relationships iSupplier Portal to address outsourcing & 3rd party logistics Direct (one-off ) items on maintenance activity BOM and work order requirements Usability enhancements for work execution: New HTML UIs Maintenance engr workbench Ability to drill down to property management application Work flow driven work request: flexible work order association Complete iSetup support for easy migration and configuration of eAM system Integrated Maintenance Intelligence

Oracle confidential. This is not a commitment to deliver. Product directions are subject to change without notice.

Support Global Operations

Think Globally, Act Locally

 30 Languages  Multiple Currencies  Customers in 100+ Countries  All Languages Installable in Same Unicode Instance  Support for Statutory and Customary Local Requirements

Modular Architecture
Implement Based on Your Business Priorities
 Implement by Business Flow
Start with one flow, demonstrate initial success Add more flows to expand business coverage Support changing business needs


 Flows are Seamlessly Integrated

Replace disparate systems Eliminate data synchronization Decrease time and cost to implement

Lower Total Cost of Ownership (TCO)

Run on a Single Global Instance
Roles: App Admin DB/AS Admin Sys Admin

E-Business On Demand
Needs: Availability Security Performance Change Problems You Manage: Oracle Manages: 50% Lower Cost 50% Better Svc Core Competence Predictable Cost

Consolidate Data Centers and Databases

HW Admin

Low Cost Linux Hardware

 3x faster, 5x cheaper  Easy to Automate en Mass  Highly Reliable

Standardized Open Integration Platform

Business events infrastructure Industry standard protocols Centralized integration repository
Customers, Suppliers, Products,

Oracles Experience with Linux

Production midtiers Production DB Demo environments Development Outsourced Customers 100% Linux RAC Cluster (Unix) 100% Linux 90% Linux 70% Linux

Simplify B2B Integration, Application Connectivity, and Process Management

Customer Success

A Few eAM Customers

 $1B+ Texas-based distributor of pure natural gas

1.7M gas utility customers served by 6 divisions in 12 states Enterprise Asset Management, Financials, Purchasing, Project Costing / Billing, Human Resources Key requirement is Integration of eAM to E-Business Suite DOT reporting requirements for inspections, leaks, repairs and maintenance

 Live on 11i -- single global instance

We had already attempted to integrate our systems, but we needed an even more seamless integration. Oracle E-Business Suite addressed that need. E- Jerry Malone, Director of Information Systems Support

 Enabled easy tracking of employee training and certifications  Aids in compliance to government reporting requirements  Reduced human resources staff

 $23B worlds leading producer of aluminum

Discrete/process manufacturing, mining and utility operations 350 manufacturing plants and 127K employees in 39 countries

 Live on eAM 11i at 27 sites

Enterprise Asset Management, Discrete & Process Manufacturing, Order Management, Configurator, iProcurement, Supply Chain Planning, Financials, HR, Project Costing

 Design partner for Enterprise Asset Management

Provided maintenance best practice expertise Extend beyond traditional CMMS Integration / common architecture

 Track and coordinate all asset requirements in a single location  Established infrastructure to absorb acquisitions rapidly

Al Ghurair Group
 Leading diversified manufacturer and commercial property manager in United Arab Emirates

Over 500 employees in numerous autonomous businesses Enterprise Asset Management, Procurement, Financials Reduced monthly financial close from 45 days to six Cut purchase order approval time from three days to an hour Linux operating system cut downtime by 70%, reduced cost of ownership by 40%, and contributed to positive ROI in 18 months

 Live on 11i

Oracle Enterprise Asset Management is key to our strategy for maximizing equipment capacity, increasing productivity, decreasing maintenance costs, and improving health and safety across all our manufacturing and real estate operations. -- Majid Saif Al Ghurair, CEO

 Reduced Equipment Breakdowns by 40% and Extended Asset Life 30%  Increased Labor Productivity by 30%


Oracle Enterprise Asset Management

Replace Standalone Maintenance Management Systems Enable Best Practices For Maintenance Management Manage the Full Asset Lifecycle Support Standards Compliance and Corporate Governance Provide Simple Self-Service Access Self-

Know More. Do More. Spend Less.