The life of an asset management contractor

As an asset management contractor, fulfilling clients demands are very specific and technical due to the expectation.  When clients seek to reduce cost, increase revenue, or develop processes to improve performance, there are no simple agreements to any given projects.  For a typical project, the client request a total quote .  This includes all materials, labor, and/or special cost.  All quotes are to include future costs, depending on how complex the project is.  Once the quote has been submitted, it is review by the department manager then approved by that managers, the plant manager, and the plant controller.  Once a purchase order has been submitted to the contracting company, the project begins on a specific date.  From here on, the client expects the project to be carried out with extreme professionalism, top quality, and daily updates to the progression for the project.  Unfortunately, there are no universal procedures due to each project being unique, however this is a general idea to what the client expects.
            As example project would be the most recent project I've had to develop.  The issue is that the plant is unable to focus on its quality reject and scrap reduction program since the facility is still in a launch phase.  Due to this, it is costing the facility over $1.6 million every six months.  There is a process developed (not named), the main issue is that i isn't being enforced or maintained throughout the facility.  In my own development for this project, I simply created everything from scratch beginning on where to collect the rejected materials, how to identify each defects, dissembling each defected product, documenting each part (salvaged or scrapped), and finally gaining approval for salvaged materials.  This step by step process would be similar to an Operation Description Sheet (ODS document), (2012).  This document creates a standard process for an operation in which team members would need to follow.  Applying a Six Sigma and Kaizen philosophy develops and evolves this project and any other.
            To maintain a good business relationship between contractor and client, a Total Quality Management System (TQM) is commonly used every day.  The basic model for a TQM is customer focus, planning process, process management, process improvement, total participation, (2010).  This model is enforced every day.  Without it, or anything similar, could lack the professionalism for the contractor to deliver what the client needs.
            Personally, I've witnessed many other contractors in the facility that have not lasted very long.  Whether it was project management, enforcing quality standards for any project, or simply not improving project development.  To put things into perspective, consider the client is offering to pay a contractor to manage and maintain a project.  If a contractor fails to do this, then the client is not receiving the results of what they are paying for.  The same would apply to anyone who buy a project and the product breaks when used for its designed purpose.  Since I've used this type of system, my company has been the longest contractor there for over two year, beginning with 2 employees to now at 22.

References: (2010). Total Quality Management. Retrieved from, (2012). What does ODS stand for? Retrieved from,

2 comments to "The life of an asset management contractor"

  • Pretty interesting insight from the other side of the operation. Asset management really is so important to the success of a business. The amount of time and ultimately money I have saved investing in a IT asset management software has been the difference between breaking even and making a profit every month. The economy is tough, so I was nervous about changing the way I did things but I am so thankful I made the decision to do so!

  • Hello, thanks a lot for giving a link to my blog. Cheers

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