Asset Hierarchy
An asset hierarchy is a structured, multi-level classification that organises physical assets in a parent-child relationship reflecting their functional or physical relationships. A typical hierarchy might flow from site to building to system to equipment to component. It provides context for each asset’s role within the broader operation and enables structured analysis of maintenance data, costs, and performance at any level of the hierarchy.
Why it matters
A well-designed asset hierarchy enables meaningful reporting and analysis by allowing teams to aggregate data at any level, from individual components up to entire sites or divisions. It ensures that maintenance costs, failure data, and compliance requirements are attributed correctly. Without a hierarchy, assets exist as a flat list with no context, making it difficult to identify systemic issues or allocate resources effectively.
How MapTrack helps
MapTrack supports flexible asset hierarchies that allow teams to organise assets by site, project, department, or system, with the ability to view and report on data at any level of the structure.
Frequently asked questions
How should an asset hierarchy be structured?
The hierarchy should reflect how the organisation operates and maintains its assets. A common structure is: Organisation > Site > Area/Building > System > Equipment > Component. The depth should be sufficient to support meaningful analysis and cost allocation without being so granular that it creates unnecessary complexity. The structure should also align with financial reporting requirements.
Can asset hierarchies change over time?
Yes. Asset hierarchies should evolve as the organisation changes. Assets may be relocated between sites, new projects may be created, and organisational restructures may change reporting lines. A good asset management platform allows hierarchies to be modified without losing historical data, so past maintenance and cost records remain correctly associated with the asset regardless of its current position.
Related terms
Asset Register
An asset register is a comprehensive database or record of all physical assets owned, leased, or managed by an organisation. Each entry typically includes the asset’s unique identifier, description, category, serial number, purchase date, cost, location, assigned custodian, warranty details, and current condition. The asset register serves as the single source of truth for what the organisation owns and where it is.
Asset Lifecycle Management
Asset lifecycle management (ALM) is the practice of managing a physical asset through every stage of its life, from planning and acquisition through operation, maintenance, and eventual disposal or replacement. It integrates financial, operational, and technical data to optimise decisions at each stage. The goal is to maximise the value an asset delivers over its entire useful life while minimising total cost of ownership.
Computerised Maintenance Management System (CMMS)
A CMMS is software that centralises maintenance information, automates work order management, and tracks the upkeep of physical assets such as plant, equipment, and fleet. It stores service history, schedules preventive tasks, and manages spare parts inventory. Organisations use a CMMS to move from reactive, paper-based maintenance to a structured, data-driven approach.
Plant and Equipment
Plant and equipment is a broad term encompassing machinery, vehicles, tools, and other physical assets used in industrial, construction, mining, and commercial operations. In Australian workplace health and safety legislation, ‘plant’ is defined to include any machinery, equipment, appliance, container, implement, or tool, and any component or fitting thereof. The term covers everything from hand tools to heavy earthmoving machinery and cranes.
Asset Tracking
Asset tracking is the process of monitoring the location, status, custody, and condition of physical assets throughout their lifecycle. It combines identification technologies (QR codes, barcodes, RFID, GPS) with software to maintain a real-time or near-real-time record of where assets are and who is responsible for them. Asset tracking applies to tools, equipment, plant, fleet, IT hardware, and any other tangible items of value.
See how MapTrack handles asset hierarchy