Asset Recovery Management (ARM) involves the evaluation, decommissioning, packaging, sale, logistics and commissioning of complete petrochemical installations, refineries, onshore and offshore production facilities and power plants. But also the individual handling of gas-turbines, compressors work-over rigs and equipment in general.
There are many similarities with Surplus Material Management. The way we address our customers, the commitment and our drive to attune our services and products to the clients business. There are significant differences as well, needing a specific approach to succeed.
ARM goes further than the boundaries of the surplus definition to an area of equipment, machinery, plants and process installations. Not all of these assets are new. Others might meet the definition of surplus. Most important is that the condition of the assets is good enough for reliable operation for the new owner (fit-for-purpose).
Again there are two client sides. The client asking us to source equipment, machinery or process installations and the clients where these have become obsolete or have been labelled redundant. To be able to present a reliable asset to the client on the demand side, you need to know the history of the product, the former owner, maintenance records etc.
Often we are confronted with high value assets. Demand-side clients are seeking an opportunity to acquire these high value assets for a more attractive price. The current owners, on the other hand, aim to get the best price for their assets. It requires a delicate touch to accomplish these types of transactions.
When dealing with ARM you must be familiar with the current operation of the assets and their future operation. The technical involvement is crucial because most assets are specifically engineered. A potential fit is difficult to realize if you dont understand all the (technical) possibilities.
So the key elements of ARM are:
We can define two major areas of operation in ARM. The first area is where the assets comply with the definition of surplus. OEM is then the vital link. The second area of operation is where the assets are used. Factors like decommissioning cost, timing and safety are vital elements of the equation that determines the possibilities.
In both cases there some key services are required in order to increase the success rate. Acquion offers these services in regard to ARM: