ASSET management
The delivery of infrastructure goes beyond construction. It is the cornerstone of service delivery and economic growth. In turn, asset management is the key to unlocking sustainable delivery and a healthy economy.
Government’s investment in public sector infrastructure is significant. Replacement costs in today’s economic climate equate to billions of rand. Resources, including immovable assets, must be used efficiently and effectively to sustain service delivery.
The best way to optimise return on investment is to manage assets, minimise life-cycle costs and mitigate replacement risks. Making this integral to South Africa’s entire construction delivery capability will ensure that investment in infrastructure goes hand in hand with asset management. Not only will this sustain service delivery and create economic growth and long-term employment, but it will also defer the need to replace assets and create a pool of capital to fund further growth.
Locally, the Government Immovable Asset Management Act (GIAMA), Act 19 of 2007 and National Treasury’s asset management guidelines define the requirements for recording infrastructure assets, while the Generally Recognised Accounting Practices (GRAP) stipulates the principles for recognising infrastructure assets in municipal asset registers.
BIGEN AFRICA is a service provider of choice to local government to provide sustainable solutions to asset management challenges – it’s the Bigen way.
The Bigen Africa Asset Management Team
Our multi-disciplinary team combines engineering with asset valuation and management expertise to address any aspect of infrastructure asset management.
Team leader Harold Lombard (MEng PrEng, PrCPM, PMP) and his able team are competent in all disciplines
Team members interact with a network of professionals who have the knowledge and expertise to support the execution of specialised projects.
The team partners with leading asset managers country-wide to address urgent infrastructure needs and eradicate pressing service delivery backlogs. Their expertise is applied to the accurate assessment of assets, risks and safety needs to optimise asset preservation.
Our competitive advantage
Integrating ‘best- practice’ engineering and accounting expertise combines our technical insight and innovative institutional and financial modelling. It sets us ahead of current thinking in asset management and allows us to develop technically sound and auditable infrastructure asset registers. It enables us to offer public and private sector clients exceptional value in infrastructure asset management.
Our services
We align our services with the legislative directives for infrastructure asset management, with a focus on:
- asset management policies
- assessment methodologies and tools
- infrastructure asset registers (and populating these)
- appropriate infrastructure norms and standards
- cost models to quantify infrastructure backlogs
- infrastructure asset management plans.
Specialist service areas include:
- asset management strategies
- asset inventories
- asset condition assessments
- financial valuations of assets
- capital and operational budgets
- asset maintenance, repair and replacement.
Our approach
We adopt a programmatic approach to asset management, which is aligned with international best practice. The goal is to assist clients to cost-effectively meet required levels of service delivery.
We collate accurate information about assets, safety, criticality and risks to establish a sound basis for strategic decision-making and identifying funding needs. We are aware of the need for sustainable implementation and give specific attention to capacity building in the execution of our projects.
Municipalities in South Africa face significant challenges in managing assets built 45 to 60 years ago with a diminished lifespan now due to a lack of maintenance. Replacement costs are often unaffordable.
Integrated asset management –simultaneously investing in infrastructure and managing assets – improves the performance of infrastructure and contributes towards job creation.
Integrated asset management defers the need to replace assets and free up capital to fund growth.
Integrated asset management improves policy and practices and sustain the delivery of services in the public sector.
Integrated asset management mitigates risk, such as having to replace a R11 million sub-station because a R16 000 set of batteries was not replaced in time, or jeopardising lives because ill-maintained oil breakers explode.
BIGEN AFRICA ‘s ‘best practice’ expertise in asset management positions its asset management team as a service provider of choice – one that intends making a significant and constructive contribution to infrastructure asset management – the Bigen way.
Our track record
BIGEN AFRICA has established a track record for adding value to resolving clients’ asset management challenges.
A selection of projects on which we built our track record and which reflects our team’s knowledge and expertise in immovable asset management include:
| Department of Education (national and provincial) |
- R60m condition assessment project to compile an asset register and infrastructure investment plan for the maintenance of 27 000 public schools and related infrastructure (2005 - 2006).
- R3.6m project to update the asset register for 1 120 public schools in the Limpopo Province (2008 - 2009).
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| Department of Justice and Constitutional Development |
- R16m condition assessment project to compile an asset register and asset management plan for 990 courts and related infrastructure (2007 - 2008).
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| Department of Public Works |
- R1.3m project to assess the condition of 92 national Police facilities consisting of 62 Police Stations and 30 Local Criminal Record Centres (2003 - 2004).
- R5m condition assessments, repair and maintenance audit of five Ports of Entry in Lesotho (2004 - 2007).
- R1.8m assessment of compliance with GIAMA (Government-wide Immovable Asset Management) of 1 200 facilities in the Bojanala District Municipality (2009 - 2010).
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| Department of Water Affairs and Forestry |
- R2.5m project to apply asset register performance modelling to all bulk water and sanitation assets in the Mpumalanga Western Highveld Region (1997).
- R10m condition assessment project to compile and implement O&M (organisation and method plans in the Western Highveld Region of Mpumalanga (1999 - 2003).
- R1m project to assess the condition of all water and sanitation infrastructure assets in the Nkangala District Municipality and crossborder Sekhukhune District Municipal areas (replacement value > R1 billion) (2003).
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| Various municipalities |
- R2m condition audit of infrastructure assets to assist the Thabazimbi Municipality with the provision of water and sanitation services, maintenance of infrastructure and their upgrading and funding applications (2008 - 2009).
- R30.6m for the identification, condition assessment, unbundling, componentisation and valuation of immovable assets and investment properties. This included infrastructure, community, operational buildings and intangible assets for the Steve Tshwete, Elias Motswoaledi, Mogale City, Govan Mbeki, Randfontein, Modimolle and Westonaria Local Municipalities (2008-2011).
- R16.4m projects to develop asset management systems, asset management plans based on life cycle asset management and provide support through bureau appointments for Ekurhuleni MM, Steve Tshwete and Mogale Local Municipalities (2008-2011).
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| Department of Health (national and provincial) |
- R7m for the Gauteng Hospitals’ Revitalisation Programme (GHRP) where detailed condition assessments and project preparation for the refurbishment, improvement and extensions to selected hospitals were conducted in Gauteng Province (2010-2011).
- R2.7m for the National Hospitals’ Revitalisation Programme (HRP) where rapid assessments were conducted on selected projects at selected hospitals (2011).
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| Kannaland and Hessequa Local Municipalities |
- R1.5m for the compilation of O&M plans contained in an O&M assessment report dealing with the Water & Sanitation, Roads & Storm Water, Electricity and Solid Waste Sectors (2011).
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| University of Pretoria |
- R1m project to compile and review 11 maintenance term contracts for all the campuses and assist with the implementation and training of staff (2007 - 2009).
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| Magalies Water |
- R10m condition assessment project to compile and implement O&M plans in the Temba area (2004 - 2008).
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| Department of Education (national and provincial) |
- R0.6m to compile the User Asset Management Plan (uAMP) for the provincial Department of Education in the Limpopo Province (2010).
- R3.5m to conduct condition assessments in compliance with GIAMA on selected schools for the provincial Department of Education in the Mpumalanga Province (2011).
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Our empowerment credentials
The quality management of our projects is aligned with ISO 9000. We have trained more than 300 infrastructure assessors and mentored trainee assessors execute assignments competently and as independent thinkers.
The quality management of our projects is aligned with ISO 9000. We have trained more than 300 infrastructure assessors and mentored trainee assessors execute assignments competently and as independent thinkers.
Contact PERSONS
Harold Lombard
Tel: +27 (0)12 842 8700
Fax: +27 (0)12 843 9000/01
Email: harold.lombard@bigenafrica.com
Jan-Louis van den Berg
Water Services
Tel: +27 (0)12 842 8809
Fax: +27 (0)12 843 9000
Email: JLvdb@bigenafrica.com
Anton Booyzen
Electrical
Tel: +27 (0)11 802 0560
Fax: +27 (0)11 802 0565
Email: anton.booyzen@bigenafrica.com
Nico Swart
Roads and Stormwater
Tel: +27 (0)11 802 0560
Fax: +27 (0)11 802 0565
Email: nico.swart@bigenafrica.com
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