<abstract xmlns="http://www.w3.org/1999/xhtml"> Purpose: The purpose of this empirical study is to examine the role of two contingency factors, i.e. uncertainty and competitiveness in relation to physical asset management (PAM) practices as well as to maintenance key performance indicators. The research is based on a premise that PAM, which was defined by risk management practices, performance assessment practices, life cycle management practices, and policy &amp; strategy practices, has become an indispensable element of strategic thinking of asset owners as well as maintenance and asset managers. The purpose of this study is to advance the understanding of how organizations that face high or low level of uncertainty and competitiveness respond in terms of PAM deployment.Methodology/Approach: This study employed a data set based on a large-scale survey among organizations in six European countries (i.e. Slovenia, Poland, Greece, Sweden, Turkey and Slovakia). Data were collected from 138 organizations located in the above-mentioned countries to conduct the study.Findings: The results show that organizations that are faced with high level of uncertainty and competitiveness are more engaged in the deployment of PAM practices. Moreover, results show that when organizations are facing high levels of competitiveness they are using KPIs to a greater extent than organizations under low levels of competitiveness.Originality/value: From a theoretical perspective, this study contributes to the contingency theory by providing empirical evidence whether a context-dependent approach to PAM is needed. The findings also provide insights for managers on how to respond to the competitive pressure as well as how to customize PAM practices in order to adapt to the changes in dynamic organizational environment.</abstract>

Purpose: The purpose of this empirical study is to examine the role of two contingency factors, i.e. uncertainty and competitiveness in relation to physical asset management (PAM) practices as well as to maintenance key performance indicators. The research is based on a premise that PAM, which was defined by risk management practices, performance assessment practices, life cycle management practices, and policy & strategy practices, has become an indispensable element of strategic thinking of asset owners as well as maintenance and asset managers. The purpose of this study is to advance the understanding of how organizations that face high or low level of uncertainty and competitiveness respond in terms of PAM deployment.Methodology/Approach: This study employed a data set based on a large-scale survey among organizations in six European countries (i.e. Slovenia, Poland, Greece, Sweden, Turkey and Slovakia). Data were collected from 138 organizations located in the above-mentioned countries to conduct the study.Findings: The results show that organizations that are faced with high level of uncertainty and competitiveness are more engaged in the deployment of PAM practices. Moreover, results show that when organizations are facing high levels of competitiveness they are using KPIs to a greater extent than organizations under low levels of competitiveness.Originality/value: From a theoretical perspective, this study contributes to the contingency theory by providing empirical evidence whether a context-dependent approach to PAM is needed. The findings also provide insights for managers on how to respond to the competitive pressure as well as how to customize PAM practices in order to adapt to the changes in dynamic organizational environment.

Contingency Factors Influencing Implementation of Physical Asset Management Practices

Faculty of Organizational Sciences, University of Maribor,

School of Engineering, Linnaeus University,

Department of Business Administration, University of Macedonia,

Faculty of Management, University of Lodz,

Faculty of Business, University of Wollongong in Dubai,

Organizacija

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Purpose: The purpose of this empirical study is to examine the role of two contingency factors, i.e. uncertainty and competitiveness in relation to physical...

Contingency Factors Influencing Implementation of Physical Asset Management Practices

Published Online: Mar 14, 2017

Page range: 3 - 16

Received: Nov 29, 2016

Accepted: Nov 29, 2016

DOI: https://doi.org/10.1515/orga-2017-0003

Keywords
Physical asset management, maintenance, uncertainty, competitiveness, maintenance key performance indicators, empirical study

© by Damjan Maletič

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Contingency Factors Influencing Implementation of Physical Asset Management Practices

Published Online: Mar 14, 2017

Page range: 3 - 16

Received: Nov 29, 2016

Accepted: Nov 29, 2016

DOI: https://doi.org/10.1515/orga-2017-0003

KeywordsPhysical asset management, maintenance, uncertainty, competitiveness, maintenance key performance indicators, empirical study

© by Damjan Maletič

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Keywords
Physical asset management, maintenance, uncertainty, competitiveness, maintenance key performance indicators, empirical study