Asset Management and the Financial Melt Down, Similarities???

Consider the following:

In the Financial World: Senior Investment Banking management, without an in-depth understanding of their mortgage underwriting vulnerabilities, were totally oblivious to the real risks involved.

In the Reliability World: Senior Plant and Facilities management, without an in-depth understanding of their real plant vulnerabilities, are also oblivious to the real risks they are taking.

"Plant reliability and safety is directly related to the existing vulnerabilities that have NOT yet been identified because the failure consequences surrounding those vulnerabilities have not yet occurred. Shortcuts in the RCM process will most likely result in those plant vulnerabilities remaining unidentified until an unwanted event does occur. Real-world RCM is all about finding those vulnerabilities before they can occur and result in an unwanted consequence of failure."

There is no substitute for diligent and astute pursuit of RCM and/or Asset Management, just as there is no substitute for good banking risk management principals. Read the following article for the full details:

http://articles.uptimemagazine.com/uptime/2008/11/rcm-the-sub-prime-mortgage-meltdown.html