An asset valuation approach for pavement management system | |
| Author | Poovadol Sirirangsi |
| Call Number | AIT DISS. no. TE-02-02 |
| Subject(s) | Pavements Pavements--Maintenance and repair |
| Note | A dissertation submitted in the partial fulfillment of the requirement for the degree of Doctor of Engineering, School of Civil Engineering |
| Publisher | Asian Institute of Technology |
| Series Statement | Dissertation ; no. TE-02-02 |
| Abstract | One of the Thai government's current directions focuses on managing the nation's assets in the same manner in which business does. Asset management is a business concept that combines engineering teclmiques, business practices and economic principles in the management of different types of assets (FHW A, 1999). In order to apply the asset management concept to different highway assets, the Federal Highway Administration (1999) suggests that asset valuation concept should be included in the existing infrastructure management system in order to value different highway assets such as pavements, bridges or traffic signs. The rationale behind asset valuation is to measure the relative value or wealth of individuals or organizations' assets over time. The benefits of applying the asset valuation concept in the existing management system are that highway agencies can provide fact-based information in monetary term to various stakeholders and apply the calculated asset value in highway maintenance planning and management. There are a few current standards or previous studies on the integration of asset valuation and management system particularly in Thailand. In order to develop a guideline for incorporating the asset valuation concept into existing pavement management system, this study demonstrates how to apply the asset valuation concept into the Thailand Pavement Management System. The study estimates the value of pavements and uses these values as decision-making tools in pavement management. The cost approach is selected in this study as a valuation approach in this study since it is the only one approach that relates asset value, depreciation and performance. According to this approach, asset value is estimated from land value, replacement cost and accrued depreciation. Accrued depreciation is calculated from physical deterioration, functional obsolescence and external obsolescence. Pavement database and asset value-performance-time modules are two main modules in this study. The pavement database module involves data collection from Thailand Department of Highways and Department of Lands. The second module estimates the value of pavement over its life cycle and captures the relationship between asset value, performance and time. Sensitivity analyses of relevant factors are performed to investigate their impacts on pavement values. In addition, this study demonstrates how to apply the calculated pavement value in projectand network- level maintenance management. At the project level, the pavement value estimated by cost approach and book value teclmiques are compared for two different scenarios according to types and timing of maintenance treatment. The objective of the comparison is to synthesize different asset valuation approaches in order to arrive at final estimates. At the network level, the calculated pavement values are prioritized to determine the ranking of selected sub-sections in terms of developed engineering economic indices which are normalized pavement value and return on investment in this study. This research provides a linkage between traditional infrastructure management system and the asset valuation concept by integrating asset value with existing performance indices and design standards. In addition, the application of asset valuation in the TPMS can be used as a guideline to integrate the asset valuation concept in other management systems. However, the details of derivation should be studied at the assets' component levels. |
| Year | 2002 |
| Corresponding Series Added Entry | Asian Institute of Technology. Dissertation ; no. TE-02-02 |
| Type | Dissertation |
| School | School of Civil Engineering |
| Department | Department of Civil and Infrastucture Engineering (DCIE) |
| Academic Program/FoS | Transportation Engineering (TE) |
| Chairperson(s) | Pannapa Herabat; |
| Examination Committee(s) | Yordphol Tanaboriboon;Sano, Kazushi;Chotchai Charoenngam; |
| Degree | Thesis (Ph.D.) - Asian Institute of Technology, 2002 |