This study proposes to identify the relationship between asset management (AM) maturity and business performance, thereby building a theoretical model that relates AM competencies to business performance.
This is tested by analyzing the application of partial least squares structural equation modeling (PLS-SEM) in a sample of 70 asset-intensive Brazilian companies that have conducted a maturity assessment with multiple evaluators.
The results reveal that AM maturity influences business performance, whereas AM capabilities related to strategic AM have an impact on different AM competencies. In addition, having the capability to exploit Risk and Review competence demands maturity in Leadership and People and Asset Information.
The finding motivates AM decision-makers to develop AM Maturity by fostering the improvement of AM capabilities, since AM Maturity contributes to business performance. In addition, this prompts such decision-makers to explore the technologies and practices that have been applied in mature organizations whether in Brazil or in other countries.
These findings significantly advance the theoretical underpinnings of AM in validating the structural model that demonstrates the relationship between AM dimensions, AM maturity and business performance, which can be used in asset-related decisions that are expected to have an impact on business performance.
