Maintenance Management Framework -

Flow Diagram

Definition
Maintenance Strategic Planning is the process that provides a strategic link between an
agency’s maintenance program and its corporate directions and core business.
Maintenance Strategic Planning allows an agency to plan and implement a maintenance
program in alignment with its capital investment, operational and disposal plans.
The process of maintaining physical assets covers all actions necessary for:
retaining an asset in a specified condition

restoring an asset to a specified condition

It requires a properly structured and professionally managed system to achieve this in a

cost-effective manner. (Maintenance excludes general cleaning and refurbishment to a
new standard of use)

Objectives
The objective of Maintenance Strategic Planning is to ensure that assets continue to
support the business objectives and service delivery requirements of the agency.
Maintenance itself also ensures that the capital investment in the asset is preserved,

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consistent with its age and market value.
The purpose of planning is to ensure that short and long term objectives are achieved in
an efficient and effective manner. Planning should occur at the strategic level, as well as
at the delivery level, to ensure that maintenance supports the agency’s corporate and
business directions, and that it links directly with programs for capital investment,
management-in-use and asset disposal.

Benefits and Risks

Benefits
The benefits of Maintenance Strategic Planning include:
the alignment of maintenance with an agency’s service delivery and asset strategies

the identification of, and planning for, long-term resource needs to meet emerging
liabilities

the presentation of a rigorously developed and viable plan to fund maintenance over
the life of the asset

the continual improvement of maintenance strategies and delivery

The benefits associated with the effective management of maintenance include:

assurance of asset capacity to perform

better management of risks associated with ownership and use

compliance with statutory requirements (e.g. for workplace health and safety)

economical service delivery

retention of asset value

rational demand for capital investment

Risks
The risks associated with a lack of planning at the strategic and delivery levels include:
inappropriate maintenance standards and performance

unscheduled/unexpected major expenditure

wastage of resources

inappropriate funding of maintenance

stakeholder dissatisfaction

The risks associated with a lack of commitment to maintenance of assets include:

loss of asset capacity and potential

loss of asset value

increased costs of service delivery

legal and other liabilities

poor image and community criticism

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 premature replacement

loss of productivity, and employee dissatisfaction

Maintenance requires a commitment of resources in an environment of competing

demands. The risks of under-resourcing maintenance can be managed only through
sound planning, informed decision-making and professional management.

The maintenance strategic planning process

Maintenance Strategic Planning has as its primary focus the alignment of maintenance
plans and strategies with the service delivery imperatives of the agency. The
achievement of this objective encompasses the following three steps.
Develop a structured maintenance framework:
(refer Maintenance Management Framework)
to ensure appropriate maintenance policies, strategies, systems and delivery
mechanisms are in place to meet the service delivery needs of the agency and to
facilitate the development of a Maintenance Strategic Plan.
Develop a Maintenance Strategic Plan:
(refer Maintenance Management Framework Information Paper)
that encompasses asset life-cycles and budget considerations and is in accordance
with the agency’s corporate and physical asset strategies.
Implement the Maintenance Strategic Plan:

in conjunction with capital investment, operational and disposal plans.

Develop a structured maintenance framework

A whole-of-Government Maintenance Management Framework (MMF) has been
introduced from 1 July 1999. The MMF has established a framework for the maintenance
of Queensland Government Buildings to ensure consistency in the planning, implement
action and reporting of maintenance.
The development of a structured maintenance framework includes the following actions:
Define maintenance objectives

Develop a maintenance policy

Develop a maintenance strategy

Implement a maintenance management framework

Define maintenance objectives

As part of the corporate planning and physical asset planning processes, the roles and
performance standards of assets should be defined and, where appropriate, performance
indicators developed. The maintenance framework developed for the agency’s assets
should enable the performance standards of the assets to be met efficiently and
effectively. With this in mind, maintenance objectives should be clearly defined. They
should facilitate performance measurement and enable appropriate policies and
strategies to be developed for their achievement.

Develop a maintenance policy

(refer Maintenance Management Framework Information Paper)
A maintenance policy should be developed and established to help accountable officers
to implement a consistent maintenance approach across the spectrum of assets. It

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should be expressed in broad terms, owing to the wide range of assets, but should set a
clear direction and enable strategies to be developed.
It should also be consistent with corporate and asset management policy developed as
part of the agency’s Strategic Planning process and address the agency’s commitment
towards maintenance and issues related to:
compliance with Government and corporate policy

compliance with statutory and legislative requirements

health, safety and security

risk management

asset preservation

standards of maintenance

roles and responsibilities

performance measurement

quality management

The policy should be endorsed at the appropriate level and incorporated in

documentation relevant to the management and maintenance of physical assets.

Develop a maintenance strategy

(refer Maintenance Management Framework Information Paper)
The maintenance policy sets the framework and direction for the development of a
maintenance strategy to achieve the outcomes required. The strategy should address
each aspect of the policy and establish how maintenance should be implemented for the
various categories of asset controlled by the agency.

Implement a maintenance management framework

The efficient and effective maintenance of an agency’s assets requires both a strategic
and an operational focus. To ensure that maintenance is complementary to the corporate
and service delivery needs of the agency, a comprehensive maintenance management
framework must be set in place.
Key elements of this management framework are to:
identify management responsibilities

allocate maintenance resources

develop a maintenance information system

fund maintenance

measure maintenance performance

train maintenance personnel

These elements should be reviewed on an ongoing basis to establish how they can be
improved or structured to meet future needs.

Identify management responsibilities

Management responsibility for maintenance should be clearly identified in accordance

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with policy and assigned to the appropriate area in the agency so that a cohesive
network of maintenance responsibility is traceable.
The following considerations should be addressed:
appropriate level and authority in the agency

competencies

delegated authorities

reporting protocols

key accountabilities

service delivery objectives

performance measurement

Where responsibility for maintenance delivery has been assigned to external providers,
contract conditions need to be suitably structured to ensure that the agency’s interests
are safeguarded, that the responsibilities of purchaser and provider are clearly defined,
and that gaps in responsibility do not occur.

Allocate maintenance resources

Subject to the specific needs of the various types of asset, the following factors should
be considered in developing delivery strategies and in allocating resources:
maintenance tasks and activities

level and mix of professional and technical expertise

balance of in-house and outsourced expertise

procurement arrangements

funding constraints

management of resources

maintenance facilities

Agencies should consider maintenance within the overall context of asset management
and their core business to determine the scope, extent and cost-effectiveness of
undertaking maintenance themselves or outsourcing maintenance services.

Develop a maintenance information system

A comprehensive and appropriately structured asset register should form the hub of any
asset management system. Information stored in asset registers varies for different
asset types and is determined by agency requirements. However, the asset register
should be adequate to support, among others, systems for maintenance cost recording,
work scheduling and financial planning. It should include the following information:
asset description, value and location

asset attributes

asset age, service life and replacement requirements

statutory requirements (for registration, testing etc.)

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 community-sensitive issues (e.g. heritage factors, contamination risks etc)

ownership and control details.

Complex physical assets require significant technical information (in the form of
manuals, drawings, specifications and other records) to support maintenance. Disciplined
management systems should be established both centrally and at the site level to ensure
that maintenance personnel have timely access to information. Maintenance tasks also
generate documents and records, some of which are required by legislation to be kept or
submitted to the appropriate authority. Maintenance procedures should address the
issue of records management and ownership.
Computerised maintenance management systems facilitate the management of
maintenance activities, including work programming, cost control, reporting, logistics
and operational planning. Consideration should be given to integrated systems which
provide linkages to other asset management and financial management modules.
Information to support analysis and planning is essential to Maintenance Strategic
Planning. Design of systems must anticipate planning needs as well as operational
requirements.

Fund maintenance
(Refer Maintenance Management Framework Information Paper)
Maintenance should be appropriately funded to avoid deferment or non-performance of
essential maintenance and the resulting deterioration of asset condition, functionality
and value or breach of legislative requirements.
Issues that should be considered include:
appropriate maintenance activities to be funded as maintenance

funding of ongoing maintenance

funding of major corrective maintenance

funding of deferred maintenance

funding of major replacements

funding of works brought on by new legislation, service requirements and new

assets

contingencies for major unpredictable failures

It is essential that methodologies for determining appropriate funding levels be

developed and tested against asset condition, maintenance cost histories and industry
benchmarking.
Proper management procedures for the administration of maintenance budgets should
also be established, together with procedures for budget planning, allocation,
monitoring, control and reporting.

Measure maintenance performance

A system of performance measurement should be developed and implemented.

Train maintenance personnel

Maintenance is a disciplined and technical process that must be closely aligned with
service objectives. The nature of the assets to be maintained will determine the level of
professional management and technical expertise required.

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Training and development of maintenance personnel should be an ongoing process, and
extend from the management to the operational level.

Develop a Maintenance Strategic Plan

(Refer Maintenance Management Framework Information Paper)
Maintenance Strategic Planning is a key component of Capital Investment Strategic
Planning as well as Asset Review and Disposal Strategic Planning. Maintenance Strategic
Planning is the process through which the agency can review the maintenance
requirements for its assets and develop suitable strategies for addressing any gaps and
future needs, in alignment with new capital investment and the rationalisation of existing
assets.
The plan should contain an overview of the physical asset portfolio and the key issues
relating to maintenance. These include:
the status of asset condition, performance and availability for core service delivery

policies and service standards established for core services and their implications for
maintenance

maintenance policies and standards and their implications for asset condition

financial, social, environmental and other emerging issues affecting maintenance

future maintenance planning strategies, including demand management

planned capital investment programs and other changes to the asset base, such as
disposals and rehabilitation

risk management

Outline of a Maintenance Strategic Plan

The purpose of a Maintenance Strategic Plan is to review, in broad terms, the physical
state and maintenance requirements of an agency’s assets and to establish a plan of
action for future maintenance, supported by a sound financial strategy. The plan should
clearly state the outcomes, and present them in a structured format ready for
implementation. It should also state the necessary endorsements from key stakeholders
that would be required before the plan can be implemented.
The strategic direction of maintenance should be guided by the role of assets in
supporting service delivery and the need to preserve the assets in appropriate condition.
The plan should address longer term objectives as well as short to medium-term
objectives and strategies, including resourcing and implementation issues.
Fundamental to the planning process is the existence of a maintenance infrastructure
which will support and provide the necessary information for operational and strategic
planning. The basic elements of such an infrastructure have been dealt with in the
preceding sections.
The following is a brief outline of the components of a Maintenance Strategic Plan.
Overview and key issues
The Maintenance Strategic Plan should contain an overview of the asset portfolio and
detail the key issues relating to maintenance. These include:
policies and service standards established for the agency's services and their
implications for asset condition, performance and capacity to support service
delivery
the current status of asset condition, performance and capacity and how these have

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 affected service delivery

an overview of maintenance and how it has impacted on assets

financial, social, environmental and other issues that have affected maintenance

planned capital investment programs and other changes to the asset base, such as
disposals and rehabilitation

key maintenance issues that need to be addressed in the Strategic Maintenance

Plan.

Asset Review
The asset profile should be reviewed to establish current and future trends and identify
any changes that would impact on future plans for maintenance. The review should
include information from related planning activities such as capital investment planning
and property rationalisation/disposal planning to ensure consistency and that all factors
affecting the asset base are properly considered.
The review should seek to establish specific attributes of the asset base that have
affected maintenance of those assets, their performance in support of service delivery
and implications for future maintenance. An essential element is to establish the existing
and anticipated future maintenance liabilities associated with the assets and develop
strategies to manage them.
(a) Type and category of assets
The following should be considered in a review of asset types and their impact on
maintenance:
type of asset

geographic distribution

design

operating environment

heritage or community interest

contamination issues

Issues arising from the analysis should be considered in terms of their long-term as well
as their short-term impact on maintenance. Significant trends that have affected or are
likely to influence maintenance planning should be identified. These should then be
translated into maintenance strategies.
(b) Age, condition and technical complexity
The age, condition and complexity profiles of the asset base need to be analysed and
presented. The analysis should seek to establish any gaps between the condition profile
necessary to support service delivery and the current profile. It should also identify
whether such gaps have been influenced by the level of maintenance provided and in
which particular aspects. For example, it may be hard to obtain spare parts for
technically obsolete assets while high technology assets in remote areas may suffer from
the lack of maintenance expertise. Age profiles, together with other related information,
would facilitate planning in relation to future maintenance, major repairs, replacements
and disposal.
(c) Function, capacity and operational requirements
The performance of assets should be reviewed to identify where their functionality and

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capacity to meet operational requirements have been significantly affected by the quality
of maintenance provided. Strategies to improve maintenance can then be developed,
based on the key factors identified. A review of maintenance and operational
requirements may also identify opportunities for improving productivity and operational
efficiencies (e.g. energy consumption).
Maintenance review
(a) Maintenance expenditure
The maintenance program should be reviewed in terms of key areas of expenditure by
maintenance activity (e.g. preventive, condition-based, statutory, routine breakdown
and incidence maintenance) and asset category or element to identify areas where
factors such as maintenance practices, usage, age, condition, complexity, locality and
environment have influenced trends in maintenance costs.
(b) Deferred maintenance
Deferred maintenance backlogs should be analysed against various parameters to
establish benchmarks for planning and future reference. Agencies should provide as part
of the maintenance funding projections an indication of how the backlog is to be
managed and funded.
(c) Major repairs and other liabilities
Projected maintenance works such as major repairs, overhauls and replacement should
be identified, quantified and programmed over a three to five-year horizon. The funding
commitments required should be clearly identified and a cashflow analysis prepared in
current dollar terms. Included in this category are emerging issues such as the impact of
new legislation, and environmental, heritage and health/safety concerns.
(d) Forward commitments
Anticipated maintenance commitments such as new assets coming out of warranty and
requiring maintenance servicing contracts (e.g. lifts or air-conditioning) should also be
identified, quantified and programmed accordingly. Capital investment plans should be
scanned to identify new assets likely to be built/acquired/leased which would require
additional maintenance funding.
(e) Major projects and improvements
Major maintenance projects and improvements to be undertaken should be reported,
with their costs–benefits for the maintenance program being outlined. Such projects are
usually undertaken with a view to reducing the future costs of maintenance and in most
instances would require an initial capital investment.
Maintenance funding projections
Drawing from the review of assets and their maintenance projections, a financial plan is
established for the Forward Estimates Period defining funding requirements for
maintenance and priorities for budget establishment. Longer term funding implications
should be also be identified as projections for future planning considerations.
The financial plan should provide a comprehensive picture of maintenance funding
requirements and how they are to be met. It should also seek to identify where
shortfalls in previous funding have occurred and how they affect funding requirements in
the current forward estimates period. Non-recurrent funding that is required for short-
term commitments should also be identified and presented.

Implement the Maintenance Strategic Plan

The planning process should result in the identification of key issues, strategies and
actions to be implemented, recommendations for consideration and responsibilities for

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implementation, monitoring and reporting. The Maintenance Strategic Plan should clearly
state the outcomes and present them in a structured format ready for implementation. It
should also state the necessary endorsements from key stakeholders that would be
required before implementation.
A comprehensive maintenance management framework is essential for maintenance
strategic planning and implementation. As part of Maintenance Strategic Planning, there
should be a review of these elements and how they can be improved or structured to
meet future needs. The maintenance management framework supports the
implementation of the strategies and actions identified in the Maintenance Strategic
Plan.
The delivery of maintenance services is one of the main outcomes of implementing
maintenance strategic plans. While the detailed planning of maintenance delivery is not
part of the maintenance strategic planning process, the following has been included to
illustrate key considerations in the implementation of maintenance strategic plans.

Maintenance delivery
Maintenance delivery involves not only the implementation of maintenance procedures
and tasks but also the establishment of interface arrangements with asset users and
other support services.
Appropriate procedures and systems should therefore be established for:
access to assets

service interruptions

coordination with other services

response to emergency situations

authorisation and acknowledgement of maintenance work

recall and warranty situations

remote monitoring and breakdown response

Maintenance tasks/activities
Maintenance requirements are determined by the physical and functional needs of the
assets, and maintenance programs should be designed to reflect this. Specific
maintenance tasks are dictated by:
asset type

asset condition, age and usage

statutory requirements

technical requirements

standards and codes of practice

operating conditions

Maintenance programming/scheduling
Maintenance programming requires an appropriate level of knowledge of the assets and
their maintenance requirements. A well designed and planned maintenance program
should seek to meet the maintenance requirements efficiently and in a cost-effective
manner.

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It should include:
a condition-based evaluation system from which an annual program of planned
maintenance work can be developed for each asset
a program of routine and periodic maintenance to address statutory and engineering
requirements as determined by legislation, asset characteristics and reliability
considerations
a breakdown maintenance system for responding to breakdowns and minor and
urgent repairs
A system of risk-based maintenance prioritisation should be an integral part of
maintenance programming.

Maintenance procedures
Maintenance procedures should be designed and documented to incorporate and reflect
maintenance requirements, programming, implementation and management. They
should be incorporated into manuals that are suitably designed for the use of
maintenance operatives at different levels, and should reflect and clearly enunciate the
maintenance policy and strategy appropriate to the particular class of asset to be
maintained.
Where external providers are responsible for the maintenance function, issues of
intellectual property and ownership of maintenance procedures should be addressed
through appropriate procurement arrangements.

Maintenance performance measurement

Maintenance performance should be measured.

Performance Measurement
A system of performance measurement should be developed and implemented to track
the performance not only of maintenance but also of service providers and other
suppliers. A system of audits should also be incorporated to test performance.
Performance indicators that may be adopted are generally those that apply to public
sector program management, specifically developed for a maintenance context. These
are:
appropriateness (need for maintenance and how needs are met)

effectiveness (extent to which purpose is satisfied)

operational efficiency (inputs versus outputs)

standard of service (time, cost, quality)

social justice and outcomes (equity, access, outcomes)

Performance measurement relies on accurate and reliable information being provided by

maintenance information systems.
Performance measurement against set standards of asset condition, asset performance
and other financial benchmarks should be developed and applied. Specific performance
indicators relevant to the particular class of asset or business process can also be
developed to evaluate the effectiveness and efficiency of maintenance task delivery.
These may include response times, Mean Time Between Failure (MTBF) and others. The
focus should be on outcomes but with due regard for inputs and outputs.

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Reference Material
All Queensland Government Legislation

Building Division

Glossary of Terms

Department of Public Works

Queensland Treasury

Workplace Health and Safety Act

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