Local Road Asset

Management
Framework
 Local Road Asset Management Framework
A generic asset management process
illustrating the elements necessary to form a
fully developed asset management approach.

It recognizes that asset management is a

process that is defined by the combination
of a number of key activities.

If the LGU documents how they propose to

address each Processes - they will have a
basic asset management plan.
Local Road Asset Management Framework: Use
 Implementing Asset Management
Macro/Simple
Process Current Practice
Desired Practice
Review
Improved quality of
our decision-making
for the allocation of Gap Analysis
road asset funds. PEOPLE PEOPLE

Document existing PROCESSES Implementation Plan PROCESSES

arrangements, to set
these down as DATA/SYSTEMS DATA/SYSTEMS

process maps, and to Prepare Asset

seek a more Management Plan
standardized
approach
 1. Review of Current Practice
Key Areas in the Analysis and Documenting
Practices
PEOPLE
PEOPLE
The organization, cultural changes, resistance and
engagement and development of staff
PROCESSES PROCESSES
Comprehensive review of existing processes/
procedures and establishment of new desired
DATA/SYSTEMS
procedures
DATA/SYSTEMS
Arrangements for the collection, storage, management
and analysis of asset related data and systems
 2. Desired Practice
KEY QUESTION How would we like them to be in the future?
Resource On what basis do we want to allocate resources?
Allocation
Decisions Who do we want to make the key decisions? What data
do we need to assist with making these decisions?
Resource What information will we provide to support funding
Generation applications?

Processes What are the processes we want to use?

Operations What information systems are required to support how
we wish to operate?
Tools What specific tools do we need?
3. Gap Analysis
 4. Implementation Plan

The gap analysis is used to create an implementation plan

with details:
• Actions required
• Responsibility center
• Communication strategy
• Programs for staged delivery (trainings, dat collections,
reorganization, investment in new software systems )
• Costs
4. Implementation Recommendations
4. Implementation Recommendations
Asset Management Framework

STAMP, March 2005

Local Road Asset Management Framework

STARTING LEVEL OF OPTION

POINT SERVICE IDENTIFICATION

REPORTING
DECISION SERVICE
AND
MAKING DELIVERY
MONITORING
Local Road Asset Management Framework

STARTING
POINT

This section outlines the importance of establishing a relationship

between our desired asset management priorities and other
corporate goals and objectives. Including structures.

It also identifies the crucial role that inventory data plays in enabling
the application of good asset management practice.
 Local Road Asset Management Policy
The local road asset management policy is a short and concise
document that describes the principles adopted in applying asset
management to achieve the agency or LGU’s strategic objectives

Examples of statements may include, description or commitment

to:
- Road inspection policy
- Road inventory policy
- Road maintenance and rehabilitation policy
- Road preservation and upgrading policy
- Road reporting and valuation policy
The Road Asset Policy can be articulated in the P/LRNDP.
 Local Road Asset Management Policy
• Are there clear, goals, objectives and priorities to guide your LRAM
activities?
• Are there policy and management documents that exist?
• Are there standards applied that may effect the contents of the plan?
• Are these goals supported and articulated by top management?
• Is there an approved LRAM plan that addresses these goals?
• What is the desired relationship between the asset management plan and
other corporate documents?
• Are LRAM activities coordinated between groups / functions?
• Do you have data sources / resources to support asset management
activities?
• Do you have tools required for the job?
• How are you measuring and evaluating performance?
 Local Road Asset Structure
Effective asset planning is a discipline that brings
together those who control the resources, those who lead
the asset management, and those who will use the asset
management to develop a strategy:
a. Engineering
b. Accounting, Budget and Expenditure (Financial Planning)
c. Economic and demographic forecasting
d. Organizational and Strategic Planning
e. Performance Monitoring and Management
f. Risk Management
g. Political decision-making and leadership
 Local Road Asset Inventory: Asset Register
Refers to database of information and use of tools to generate and collect
information
• Asset Inventory- COMPLETE, ACCURATE AND, UP-TO-DATE
• Also know as the ASSET REGISTER, is the starting point for any
valuation and is the foundation stone on which asset management
processes are to be built.
• It is only when appropriate inventory and condition data are
available to all staff involved in the process that an overall view and
consistent management approach can be achieved.
• Used to analyze in combination with condition and other data sets,
e.g. accidents, traffic flows, can provide new information on which critical
decisions can be based.
Local Road Asset Inventory: Data Review
 Road Asset Inventory: Data Review
• Carriageway
• Earthworks, embankments
• Bridges
• Footway/cycleways
• Other highway structures
• Street lighting
• Drainage
• Signs
• Traffic Signals
• Road markings
• Safety fencing
• Verge and Landscaped areas
 A review of data should ask:

• Where is the data held?

• What level of detail is held? i.e. subcomponent level
• Is it held electronically?
• How is it updated?
• How is it validated?
Local Road Asset Inventory: Data Potential Use
 Local Road Asset Inventory: Network Referencing
and Prioritizing Data Collection
• Location referencing such as coordinates for
using GIS and other road or Land
Information Systems, Streetworks Register
among other.
• Asset Management practice will increase
demand for data integration that can be
used for trending and determining
exceptions or discrepancies.
• Is the data materially important to the
management of asset or will an
approximation be sufficient
• Prioritize – most critical items of data
 REPORT ON PHYSICAL COUNT

ROAD NAME,
COMPONENTS DESCRIPTION
SECTION AND ID

DATE
CONSTRUCTED/ COST CONDITION
COMPLETED
 ASSET ROAD NETWORK LEDGER CARD

ESTIMATED
DESCRIPTION COST
USEFUL LIFE

ACCUMULATED
DEPRECIATION MAINTENANCE
IMPAIRMENT
COST HISTORY
LOSSES
 Local Road Inventory and Condition
Road Inventory Data
Number of Number of
Bridges, Types
Road Culverts
and Condition
Terrain
ID Type
Road
Length The road
Form and inventory is
Surface Carriageway Average
Note: The Annual Average Daily Condition Width
Annual Daily
initially
Traffic (AADT) is also integrated in
traffic prepared in
the inventory as basis for assessing the
level of importance of the road. Excel form.
 Local Road Inventory and Condition
RBIS Database (ArcMap)

Data from the road

inventory in Excel
form is transferred
in the RBIS, to
produce thematic
maps that can be
overlaid with other
vital provincial data
to be used as basis
for provincial road
network planning.
 Local Road Inventory and Condition
125°15' 125°30' 125°45' 126°00' 126°15'

9°15'

9°15'
MAP SHOWING THE PROVINCIAL ROAD CONDITION
WITH EXISTING LAND USE MAP AND
N
POVERTY INCIDENCE

LEGEND :
Municipal Boundary
10 5 0 10 National Road
Provincial Road Condition:

Sample GIS
Kilometers
Good

9°00'

9°00'
Sibagat
Fair
Poor
Bad
Existing Land Use:

application by overlaying the

Prod'n Agriculture
Production Fore
Protection Forest
Protection Wetland
Poverty Incidence:

road network, road condition

8°45'

8°45'
Above 70%
Bayugan 60 - 69%
50 - 59%
Prosperidad Below 50%

and socio-economic Esperanza

8°30'

8°30'
information San Luis

Talacogon
San Francisco

Rosario

8°15'

8°15'
La Paz

Bunawan

Trento
Loreto
Veruela

8°00'

8°00'
Sta. Josefa

Province of Compos tela Valley

125°15' 125°30' 125°45' 126°00' 126°15'

Local Road Inventory and Condition

AVERAGE
SURFACE REMARKS
CONDITION
Smooth riding, no potholes or Fair
Good 174.677 kms.
cracking (62.37%)

Smooth riding over most but Poor

Good Bad
Fair some potholes, patching 10.404 kms.
92.778 kms. (33.13%) 2.190 kms.
(3.72%)
(0.78%)
and/or cracking
Uneven riding, large
Poor percentage of potholes,
cracking and edge damage
Very rough riding, extensive
Bad damage and potholes, badly The DPWH Qualitative Condition Rating is used in
broken edges, poor drainage assessing the condition of provincial roads.
Road Asset Condition Tool

Road and Bridge Inventory and Assessment

29
 Local Road Inventory and Condition

Once condition assessment is gathered,

it can be considered as part of the basis
for:
• Determining intervention point’s in
the assets’ life cycle
• Making remaining life predictions and
• Developing programmes of
maintenance and asset renewal
IIMM
Quick Exercise: Work with your groups (15 mins)
Review your existing Road Network Policies (Goal and Structure) and Inventory

1. Give at least 1 policy that will you recommend/propose to start or enhance the road asset
management culture in your LGU?

2. What is the current state of your road inventory data?

• Where is the data held?
• What level of detail is held? i.e. subcomponent level
• Is it held electronically?
• How is it updated?
• How is it validated?
Local Road Asset Management Framework

LEVEL
OF
SERVICE
This section describes what levels of service are and why they
are central to an asset management approach. It highlights the
issues to be taken into account when developing levels of
service and notes that they cover the condition of the asset and
non-condition related measures of performance.
LOS Categorization

The physical condition of the asset has 2 elements:

• The condition of the asset as determined or measured by engineering survey and analysis of road condition
data– may not be obvious to our customers.
• The condition of the asset as observed or experienced or “measured” by road users and the general public
(our customers).

Demand aspirations is a term used to describe the non-condition related performance

requirements of the asset. It is the use of the asset that reflect the social economic and
environmental goals of a wider community.
 Levels of Service (LOS)
• Levels of Service = asset management objectives
• It is the service quality for a particular activity (i.e. roading) or service area
(i.e. street lighting) against which service performance may be measured.
• Are broad statements describing the performance of road infrastructure
assets in terms of what stakeholders can understand.
• Quality of service of the road for the benefit of the community.
• They should relate to outcomes and cover key aspects of asset
performance such as safety, accessibility, serviceability and sustainability.
• They should consider the performance of the whole network rather than
that of individual assets.
Level of Service
 Aspects of Levels of Service
• Safety – Providing a safe road network is a statutory requirement for department and
LGU. It is essential, therefore, that the approach to asset management makes a
positive contribution towards a safe network;
• Serviceability – The performance of each asset in the road network contributes to
meeting stakeholder expectations;
• Environment Sustainability – The environmental contribution of the road infrastructure
and associated maintenance activity. This may include activities that reduce carbon
usage and noise pollution, such as reuse of materials, recycling and low noise surfacing;
• Accessibility – Aspects that contribute towards reducing congestion and improving
journey time reliability, as well as provide access to isolated communities and the
vulnerable; and
• Financial performance – Aspects associated with service delivery, choice of materials,
third party funding and delivering value for money.
Samples of LOS Performance Measures
• Time taken to patch a pothole once it is reported.
• Time taken to replace a broken pit lid after it is reported
• Time taken to investigate/undertake repairs to carriageway surfaces, once problem is known
or reported.
• The maximum acceptable frequency with which a given class of road can impassible due to
flooding.
• The level of traffic congestion acceptable on a given class of road.
• The percentage of property owners with no disruption to property access.
• Number of vehicle crashes per year involving injury where contributing factor is "road
conditions".
• All routes are to be made accessible within [x] hours of an emergency closure – cleared or
detour provided.
 Samples of LOS statements
• SAFETY: To ensure that our road users feel safe and are confident about
their personal safety when using the provincial road network.
• SAFETY: Taking appropriate care, our customers are able to travel
during inclement weather with some confidence that the risk to
themselves and others is acceptable.
• SERVICEABILITY: To provide our road users with a reasonable level of
confidence that their journeys on the provincial road network will be
predictable or/and timely.
• ACCESSIBILITY: To ensure that the provincial road network is available
and accessible, as far as possible.
• ENVIRONMENT: To progressively reduce the environmental impact of
the provincial road network asset for the benefit of all our road users.
LOS (Use) and Performance Indicators
Reasons for the Collection and Interpretation of
Data on LOS
• Identification of faults – to maintain the
highway in a safe condition, and for
general analysis.
• Reporting – to report on all
performance indicators as well as other
statutory obligations.
• Asset condition – to provide a broad
understanding of the overall condition
of our assets, management information
and trend analysis, etc.
• Programming – to identify and
prioritize schemes and to build rolling
programs of work.
• Contract management – providing
information to manage the
performance of our Constructors.
• Valuation – to enable us to value our
asset and the effect on this of current
and future programs.
• Non-condition performance – to
provide us with an improved
understanding of the means of
achieving improvements in the non-
condition related Levels of Service e.g.
accident reduction and congestion
levels.
LOS Recommendations
Quick Activity
1. Develop one LEVEL OF SERVICE statement
2. Identify a corresponding performance measure per LOS statement
Safety
Serviceability
Environment Sustainability
Accessibility
Local Road Asset Management Framework

OPTION
IDENTIFICATIO
N

This section describes how levels of service are used to

inform the difference between the current and desirable
performance (performance gaps). This in turn enables the
identification of options for addressing the gaps.
 Performance Gaps

A performance gap is the gap between current

and desired performance.
Gap 1: Customer Expectations – Management Perception:
The customer’s expectations of the service provided do not
match the service provider’s management perception of what is
to be provided.
Gap 2: Management Perception – Actual Performance: The
management perception of the service quality does not match
the actual quality of service being provided
Gap 3: Actual Performance – Specified Performance: The
service is not being delivered to the quality specified in the
relevant standards and/or contracts.
Gap 4: Actual Performance – Communication to Customers:
There has been inadequate communication with the customers
resulting in them having a skewed perception of the service
delivered
 Performance Gaps

Determine
Need, Existing
Objectives Fund
Gap
and Targets

Road Assessment Methodology

 Lifecycle Planning (using asset data to improve
asset performance)

Asset Management Plan

FTA Research November 2016

 Life Cycle Planning - Considerations

• Do a Lifecycle plans for asset groups or types i.e. Carriageway

Earthworks, Embankments Bridges Footway/cycleways, Other
highway structures Street lighting, Drainage Signs, etc.
• A lifecycle plan should document how different options are selected
for closing identified performance gaps and should cover;
• It should also cover relevant cost in maintaining or preserving the
road assets – as inputs to planning, allocation of funding and to be
able to measure depreciation.
Local Road Asset Options (Physical
Component)

48
Area Approach and Service Delivery for
Road Maintenance
By Individual By Cluster of
Roads Roads

By Out-sourcing

By Force-
Account

49
 ASSET LIFE CYCLE OPTIONS

Renewal or
Creation or Routine
Acquisition Replacemen
Maintenance
t

Upgrading Disposal
Options Identification Recommendations
Exercise:
• Case Study
Local Road Asset Management Framework

DECISIO
N
MAKING
An improvement in decision-making is one of the key benefits of
asset management. This section introduces the concepts of
optimization and risk management and states how budget
considerations are taken into account.
 Optimization & Budget Consideration –
Services and Assets
• Road budgets are allocated to a combination of services and
assets. FUNDS FOR LOS
• Budgets typically include money allocated to initiatives for the
operation of the network, for example safety projects as well as
maintenance budgets for preserving the condition of the asset.
• Optimization techniques therefore need to address the demands
on different parts of the physical asset and the service levels.
• Requires analysis to determine the most cost effective means of
providing, for or managing the on-going demands placed on the
asset
 Environmentally Optimised Design (EOD)
Approach

• The approach involves locating the most problematic

sections along the road which prohibits basic access during
rainy season and applying:
Durable pavement structure at these specific
problematic sections
Less expensive pavements in areas which are perfectly
satisfactory all year round
 Risk Management

RISK RISK RISK ON-GOING

MONITORIN
IDENTIFI ANALYSI REDUCTIO G AND
CATON S N REVIEW
 Risk Identification
•Safety • Reliance on key
•Natural Events personnel
•Physical Risks • Systems
•Economic Risks • Political
•Resource Risks
•Legislative Risks
•Public Liability - claims
 IMPACT/
CONSEQUENCE

LIKELIHOO
D

RISK ANALYSIS
 Risk Reduction
• To weigh the cost of
acceptance of a risk or
• To plan appropriate risk
reduction actions.
• Alternatively the risk can be
accepted and the
consequential cost met
should the event occur.
Actions to Reduce Risk are:
• Capital or maintenance
expenditure to reduce the
probability of failure
• Reduce the impact of a failure
by the production of
contingency plans
• Insure against the
consequential loss
• A combination of the above
 Risk Monitoring
Identification of critical assets, explicit assessment of the risk of
failure and a review of the documented course of action to mitigate
those risks should become a routine task. In doing so, however, it
should be noted that;
• The effort of evaluating and managing risks must be
proportionate to the risk exposure
• Risk management can in some circumstances influence the cost of
insurance
DECISION MAKING
Optimization & Budget Consideration and Risk
Assessment for Decision Making
 Sample Optimization & Budget Consideration and
Risk Assessment for Decision Making

Example of Capital Expenditure Decision Audit New Zealand, 2017

 Quick Activity
• Identify one risk that relates to road asset management

• Develop the risk register

RISK LEADS TO LIKELIHOOD IMPACT MITIGATING RISK OWNER ACTION
ACTION STATUS
Lack of Delay in the HIGH HIGH Asset Mgnt. AM Planned
available staff implementatio Plan timeline Committee
n of AM to be set
Impact on Populate On-going
bidding for database with PEO
funding existing assets
Local Road Asset Management Framework

SERVICE
DELIVER
Y
A focus on the importance of taking a long-term view of forward
planning through the production of a work program. It also
identifies the link that needs to be established between the delivery of
works and services and forward planning.
Forward Works Program

• Most frequently used tool for demonstrating that long-term needs of the
asset have been considered and evaluated.
• The WORK PROGRAM is only a record. It is the process of producing it that
is important, and in particular, the way in which alternative improvement
projects and maintenance treatments are evaluated and ranked.
• Coverage – Minimum period of 10 year is recommended.
• Only by projecting forward the anticipated need can the best whole life
options be identified.
• Are built on projections using currently available data and knowledge.
Physical Works

Forced Account Contracted

Community-
based Contracts
 Forward Work Programming
(Long-Term Investment Program)
Local Road Asset Management Framework
REPORTING
AND
MONITORIN
G
A process that develops performance measures and provides
guidance on the desirable attribute of a performance measure. It
then outlines the importance of the identification of improvement
actions as a means of fostering a culture of continuous improvement.
Performance Measurement
• Asset Management Tool.
• Guide and inform the people managing the road
network.
• Performance measures are used to monitor whether we
are meeting the levels of service and to report the actual
performance.
• They may be technical and non-technical and are usually
numbers or scores that have meaning to relevant staff.
example - LRMPA
Performance Measurement
• We need performance measures to monitor, record and report
delivery of the road service, the asset management strategy, levels
of service and their overall approach to asset management.
• Performance measures need to be monitored, audited and
communicated on a periodic basis.
• The LGU or department, may choose to adopt a range of
performance measures, including nationally recognized indicators
and their own performance indicators.
• Each performance measure should link to a level of service, and
through this, to the asset management strategy, corporate vision
and objectives.
Types of Reporting and Monitoring
• Monthly –In general, these may
focus on activities and the time
taken to complete them.
• Progress of work against established
programs may also provide a useful
management tool.
• Annual – some indicators will be
based on information supplied by
others annually. This limits the use
of such indicators to annual reviews.
• Random auditing– audits can include
customer satisfaction surveys, sample
condition surveys and adhoc inspections.
Random audits are frequently used to
independently audit the performance
• System audits – where asset
management software systems have
been implemented the system, if
properly used, will provide a source of
management performance data. For
example, response times to queries and
to identify areas of exception.
Types of Reporting and Monitoring
• Quarterly returns – some indicators
will be reported on a quarterly cycle
to provide interim information
adjusting performance to meet year-
end targets.
• Compliance monitoring – will
include the monitoring of
constructor and consultant
compliance with contract
requirements including response
times, quality of decisions, quality of
work etc.
• It may also be beneficial to develop further
performance audits, which might include:
Network Condition Auditing . A random sample
of network lengths are reviewed on a monthly
basis, and the appearance of certain aspects of
asset elements within the network are visually
graded.
Service Inspections – regular, mainly specialist
inspections, allowing a monitored record of
condition (against set standards) of certain sites
within the programme of inspection, e.g. safety
fence.
Network Integrity Inspections – carry out
engineering level service inspections to review
the integrity of the overall asset and to use this
information to monitor overall improvements to
the network.
 Performance Measurement Recommendations

1. Develop a performance measurement and

reporting regime
2. Include an improvement plan that will
cover all desired improvements (data,
systems, process and skills)
Asset Management Framework

STAMP, March 2005

ACTIVITY: FOUR
CORNERS
 FOUR CORNERS

FACILITATING HINDERING
FACTORS FACTORS

RECOMMENDATIO
CHALLENGES
NS
 GUIDE QUESTIONS
• FACILITATING – WHAT WILL FACILITATE AN EFFECTIVE ROAD ASSET
MANAGEMENT IMPLEMENTATION IN PLGUs?

• HINDERING – WHAT ARE THE FACTORS THAT MIGHT HINDER THE PLGUs
IN IMPLEMENTING AN EFFECTIVE ASSET MANAGEMENT?

• CHALLENGES – WHAT ARE THE EXISTING CHALLENGES IN

IMPLEMENTING ROAD ASSET MANAGEMENT IN PLGUs?

• RECOMMENDATIONS – WHAT DO YOU RECOMMEND TO COA, DILG AND

OTHER NATIONAL AGENCIES TO ENABLE PLGUs IMPLEMENT AN
EFFECTIVE ASSET MANAGEMENT
 WORKSHOP MECHANICS

• Participants to count 1-4

• Participants to discuss the key question assigned to
them
• Gallery presentation
ASSET MANAGEMENT PLAN
 ASSET MANAGEMENT PLAN

• Document that states how road asset

management are to be managed over a
period of time

• Reference guide for all those involved in

road management
 CONTENTS

• Purpose and Introduction

• Goals and Objectives
• Levels of Service
• Demand Management
• Lifecycle Management Plans
• Financial Management
• Information Systems
• Performance Measurement and Monitoring
• Improvement Plans
 ROAD ASSET MANAGEMENT PLAN

ACTIONS
RESPONSIBILITY PROGRAM
REQUIRED

COMMUNICATIO
COSTS
N STRATEGY
 KEY LEARNINGS

• It would take time

• Producing an Asset Management Plan is only one
element of asset management and in this instance
was the catalyst for a number of improvement
initiatives
• The Plan was the product of a collective effort
involving a group of people
• The Plan is the starting point for the development of
asset management
MOVING FORWARD TO REFORMS IN ASSET
MANAGEMENT…
 MECHANICS

•Participants to group by Province

•THINGS TO START -

•THINGS TO STOP -

•THINGS TO CONTINUE-
 Reflecting into the existing asset
management systems and processes of your
PLGU, discuss and agree on the lists of good
things that the PLGU should start doing or
what would the PLGU do differently next time.
Take into consideration the existing gaps and
challenges the PLGU is experiencing
 .

Reflecting into the existing asset management

systems and processes of your PLGU, discuss
and agree on the lists of practices and issues that
the PLGU should stop doing. Take into
consideration the existing gaps and challenges
the PLGU is experiencing
Reflecting into the existing asset management
systems and processes of the PLGU, discuss
and agree on the lists of things that the
PLGU should continue. Consider how can
these be scaled up or sustained.
“ Ultimate fulfillment and significance comes from a
LASTING SENSE OF JOY and SATISFACTION from
fully living a life purpose that is centered on ADDING
VALUE to others. As important part of fulfillment is
the sense of BEING PART OF SOMETHING BIGGER
THAN YOU ARE, OF LEAVING A LEGACY, OF
MAKING A DIFFERENCE FOR OTHERS AND
KNOWING THAT THE WORLD IS A BETTER PLACE
BECAUSE OF WHAT YOU GAVE”
 Road Asset Management System

Asset Budget and Network

Inventory
Data Standards

Analysis
Roads Insti. Process
Data
Database
Bridge (Analysis of
Results)
Decision
Making
Equipment Asset
Data
Condition, Usage, Level of
Service, location