--- title: "Future trends in asset management" description: "As the global economy continues to adapt to the complex effects of the Covid-19 pandemic and the war in Ukraine, Enterprise Asset Management (EAM)" image: https://www.pragmaworld.net/wp-content/uploads/AdobeStock_480305090-scaled.jpeg canonical: https://www.pragmaworld.net/future-trends-in-asset-management-reviewing-the-near-term-practical-implications/ url: https://pragma-world.getmd.ai/future-trends-in-asset-management-reviewing-the-near-term-practical-implications/.md last_converted: 2026-10-06T18:54:00.179Z --- # Future trends in asset management | Reviewing the near-term practical implications September 9, 2022 As the global economy continues to adapt to the complex effects of the Covid-19 pandemic and the war in Ukraine, Enterprise Asset Management (EAM) professionals need to figure out how to keep assets productive and safe in a disrupted world. Hybrid working models and the digitisation of maintenance management processes are evolving, and new trends are emerging that will shape the future of EAM best practices. In a recent webinar broadcast, four of our futurists discussed these trends. Their focus was on how the complex combination of digital, physical and human elements and the emergence of alternative business models will affect asset management in the future. “These are trends we really need to be aware of now,” says Dirk Janse van Rensburg, MD of On Key Software Solutions. “We’re not looking too far into the future – maybe just a couple of years – and some of these things are already upon us.” **The changing context of asset management** To begin with, certain factors are materialising that will influence the context within which the responsible asset owner has to operate. “For example, we’re seeing changes in asset design with asset modularisation and component standardisation coming to the fore. On top of that, with IoT becoming more affordable, there’s a move to add a level of intelligence to assets, making them more autonomous and sophisticated,” says Dirk. Strategies that will improve asset maintenance are also emerging. These include offline maintenance, decentralised maintenance and opportunity maintenance. Then there’s the shift to a ‘green economy’, which asset owners cannot ignore. Things like compliance and a focus on zero waste are becoming non-negotiable. “Also featuring in the changing context is employee wellbeing,” says Dirk. “Increasing mental health challenges, additional demands on employees and the relentless pace of change can’t be disregarded. Besides the existing focus on safety through HSSE compliance, businesses will have to incorporate improved employee wellness and resilience into their planning.” **The rise of digital asset management** With the changing context as a backdrop, the panel discussed the rise of digital asset management. “It would be an oversight if we did not first consider the rise of the digital twin – a major trend that is coming of age,” says Stefan Swanepoel, Head of Product Development. “We’re seeing a lot of growth in the understanding of what the digital twin is and how it can be utilised. Digital twins have many benefits for optimising the performance of assets through planning, forecasting and modelling. They also provide opportunities for performance gains and risk reduction. “However, in terms of responding to the rise of the digital twin as a trend, companies need to resist the temptation to jump on the digital twin bandwagon without fully understanding what they need it for. And to make the most of this trend, an organisation needs a certain level of digital maturity before embarking on a digital twin journey.” Six other digital trends also coming to the fore are: | The increased demand for cybersecurity A move to real-time asset monitoring The impact of artificial intelligence (AI) and machine learning Automated maintenance planning and execution Data integration and collaboration The virtualisation of maintenance activities. | “Advances in technology, improved connectivity, and a greater emphasis on data sharing are all contributing to the changing digital landscape of asset management.” Stefan Swanepoel | | --- | --- | **Emerging business models** The next set of trends features some of the implications of the technology advancements described above and also highlights the science of asset management. “The first upcoming trend is **value based asset management**. Defining the value – rather than the cost – of asset management investments and activity and being able to monitor and reallocate that value delivery dynamically is becoming much more critical,” says Stephan Kornelius, MD: Pragma Advisory and Academy. “We’re seeing more and more companies using almost real time analysis of equipment availability – and also the cost and reliability information – to allocate resources in value chains across their production lines.” The second trend is **return on investment (ROI) based business models**. Original equipment manufacturers (OEMs) are starting to offer return-based guarantees or performance guarantees to their customers. “An asset OEM offering an ROI-based business model needs a very advanced set of predictive analytics, asset health monitoring and logistics planning skills for the model to succeed. If done correctly, these models will accelerate digital transformation and the use of machine learning, and will offer asset owners many new investment options,” says Stephan. Other business modelling trends we’re seeing are the following: **Structuring the asset management capability.**There’s a move away from using traditional headcount or asset value benchmarks to determine maintenance staffing requirements. Companies are starting to use a more nuanced approach in designing a resource structure that will meet the organisation’s requirements in the most effective way. **An increased focus on maintenance readiness.**Recent high-profile project failures have resulted in an increased focus on maintenance readiness during project development. Asset owners are beginning to insist that maintenance strategies, criticality analysis, spare parts planning and skills estimates are included much earlier in the asset design process. **Building an ecosystem.** Companies are shifting towards building technology and service ecosystems in which just one or two best practice partners are selected and then used for the companies’ global operations. **Customer demand for responsible maintenance.**The broad sustainability agenda has moved beyond just carbon footprint reporting. “We’re seeing a lot of activism for companies to be much more transparent about how their production and maintenance activity is environmentally responsible,” says Stephan. **Talent and learning** Talent and learning is one more area in which certain trends are coming apparent. Darryl Aberdein, Partner Consultant, explains that as the asset management environment is being shaped by developments in technology, **a** **new skills gap** is opening up. “Current skills in supply/demand planning are based on traditional role definitions and learning pathways. However, modern technologies and maintenance practices are rapidly changing the skills requirements for these roles. The ability to keep up with technology is going to be one of the success criteria for job applicants. Flexibility is becoming more important than having a particular skill,” says Darryl. Closely aligned to this trend is **an evolving approach to learning**. “Traditional approaches to learning and development will need to be adapted for what we call the ‘new talent generation’. These are the millennials, who will make up 75% of the workforce by 2025,” says Darryl. “They are motivated by different learning drivers than previous generations were, and organisations will need to modify their learning programmes accordingly or risk losing this generation to competitor companies.” The final trend we’re seeing is the **changing role of reliability engineers**. The skill set of a reliability engineer tends to be underused as their role is often misunderstood, and this causes significant frustration. “Industry is starting to warm up to the idea that reliability engineers can add much more value in a dedicated analysis/design role, where they can really dig into failure causes and solution design to improve overall system availability,” says Darryl. **** **View the full webinar on YouTube by following this link:**[Trends shaping the Asset Management environment](https://www.youtube.com/watch?v=EDgROrdh7gI&t=2561s) ##### Subscribe to our newsletter ##### Tags Business Models Digital Asset Management Digitalisation Maintenance Readiness Reliability Engineering ##### More content ##### AI in maintenance: from CMMS records to better decisions Author | Henk Wynjeterp - Regional Lead – Europe AI is giving maintenance teams new ways to extract, structure and interpret information. But the... ##### Asset Management Masterclass or Awareness Training? Start with the role, not the course Author | Karen Greyling - Business Development Manager, Pragma I get asked this question quite often: Should I do the Asset Management Masterclass, or... ##### The lonely learner problem: why self-paced learning still needs people Author | Karen Greyling - Business Development Manager, Pragma Self-paced learning has solved a very real problem for busy adults. It gives people more... ##### Pragma appoints Stephan Kornelius as Chief Executive Officer Author | Pragma Experienced Pragma executive takes the helm on 1 October as the business continues its next... ##### No time for training? Look at what is taking the time. Author | Karen Greyling - Business Development Manager, Pragma “Not now. The team is too busy.” It is one of the most understandable reasons... ##### When Finance and Operations agree on spares Author | Pragma MRO spares are often the source of a familiar business tension. Finance wants to reduce... ##### You don’t train for a marathon by running a marathon Author | Tim Beavon - Partner Consultant, Pragma Why shutdown readiness depends on applying lessons before the next major event A major shutdown... ##### Pragma announces leadership transition and continues strategic momentum Author | Pragma Pragma has announced an important leadership transition as the business continues to build on... ##### Are we solving the wrong training problem? Author | Karen Greyling - Academy Business Development Manager, Pragma When organisations say they need training, they may already be solving the wrong training problem:... ##### The art of balancing work order feedback with compliance, learning, and wrench time Author | Scheepers Schoeman - Senior Associate, Professional Services Most organisations don’t choose their work order feedback culture. They drift into it. A new... ##### Why a qualified maintenance planner changes more than maintenance Author | Karen Greyling - Academy Business Development Manager, Pragma In many plants, the same pattern repeats itself. Work arrives late. Materials are chased at... ##### Why MRO inventory is different from other inventory classes Author | Andre Jordaan - Partner Consultant, Pragma MRO inventory differs from other inventory classes because demand is irregular, the consequences of stockouts... ##### How failing water infrastructure is quietly reshaping South Africa’s cities Author | Nelson Broden – Business Lead Pragma Managed Services On the school run through... ##### From dead capital to operational certainty: Smarter spare parts management Author: André Jordaan, Partner Consultant, Pragma Most MRO stores aren’t short of parts; they’re short... ##### Asset Management Awareness Training that fits real work Author | Karen Greyling, Business Development Manager If you’ve ever thought, “We don’t need another... ##### Asset Management Masterclass: Strategic training for leaders driving performance, reliability and results Author | Karen Greyling – Business Development Manager In asset-intensive industries, leaders are under growing... ##### Beyond compliance: Why repeated maturity assessments define asset performance leadership Author | Stephan Kornelius – Pragma Professional Services Business Lead In asset-intensive industries, leaders face... ##### OEMs need a connected platform for services Author | Henk Wynjeterp – Regional Lead – Europe | Henk leads Pragma’s OEM after-sales... ##### When rivers cry out: How asset management can help heal South Africa’s waterways Author | Nelson Broden – Business Lead Pragma Managed Services The Hennops River, once part... ##### Ditch the buzzword: OEM after-sales leaders buy execution, not “servitization” Author | Henk Wynjeterp – Regional Lead – Europe | Henk leads Pragma’s OEM after-sales... ##### Beyond the software – embedding your EAMS into your organisation’s DNA for sustainable value The key to a successful EAMS (Enterprise Asset Management System) implementation lies in integrating the... ##### Pragma’s perspective on what the proposed South African budget means for infrastructure governance Author | Stephan Kornelius Author | Stephan Kornelius – Pragma Professional Services Business Lead Finance Minister Enoch Godongwana’s 2025... ##### Government infrastructure investments must go beyond bricks and mortar – A global perspective Author | Bani Kgosana Author | Bani Kgosana Across the globe, ageing infrastructure threatens economic stability. In the US,... ##### Pragma partners with Q36.5 Pro Cycling Team to power maintenance excellence Author | Liza Schroeder Pragma is proud to announce its support of the Q36.5 Pro... ##### Revitalising South Africa – a better path to infrastructure renewal Author | Bani Kgosana, Pragma CRO South Africa faces an extraordinary opportunity to transform its... ##### Transforming maintenance from a grudge purchase to a strategic investment Author | Scott Gibson, Pragma CEO  With South Africans enjoying a break from load shedding... ##### Pragma 2.0 – CEO of Pragma, Scott Gibson’s vision is to compete with international giants through engineering excellence At Pragma, our roots are deeply embedded in engineering consulting. We are proud to be... ##### Are you proactively shaping your focused improvement process or is it evolving organically? Author | André Jordaan, Pragma Partner Consultant Focused improvement (FI) is the overarching process used... ##### Introducing Pragma’s Enhanced Asset Management Assessment Framework: AMIP Physical assets must be managed effectively for a business to grow and be competitive. Across... ##### Unlocking Asset Management Excellence: Pragma’s Spotlight at the SAAMA Conference, 5-6 June 2024 As anticipation builds for the upcoming South African Asset Management Association (SAAMA) Conference, Pragma is...