Total Asset Management

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Total Asset Management Managing All the Capital
of Enterprise  JohnPaul Kusz Center for
Sustainable Enterprise, Stuart Graduate School
of Business Illinois Institute of Technology -
Chicago
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Environmental Management
What We See What Others See
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Survey of Disciplines
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What We See
Natural Capital
Extraction
Conversion
Design Artifact?
Manufacture
The View/Self-view
The View/Self-view
Distribution
Use/Abuse/Reuse
The View Tomorrow?
The View Today?
RecoveryIndustrial Ecology
Acute and ChronicEntropy Diffusion
DESIGNING TOMORROW TODAY
Return to Sender?Natural Systems
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What Others See
How is Environmental Management viewed
today? When thinking about Environmental
Management, what does the CEO, Director see?
Environmental Management
Challenge To move the role of Environmental
Management to a strategic position in the
organization. Using the Lexicon of Business!
Going from the end of the pipe to the corner
office
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Environmental Management Enterprise Management
Changing the Paradigm from Supervision to
Super Vision
WASTE MANAGEMENT
RESOURCE MANAGEMENT
ASSET MANAGEMENT
Costs Money
Makes Money
Saves Money
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Forms of Capital Real Virtual
Financial Capital (Principal)
Physical Capital (Principal)
Human Capital (Principal)
Natural Capital(Principal)
Constructed Means Of Production Of Goods
Services

• Evolved Means Of Production Of Physical Capital
  And Goods Services

• Constructed Value Metric Surrogate For Natural,
  Human Physical Capital

• Source Of All Other Forms Of Capital (Basis Of
  All Wealth)

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Effects of Disposition
Are Products Physical Capital?
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Product Asset, Resource or Waste?
Product as Asset--------Restoration Pre-Production
Costs - Investment?Utility Transaction(s) -
Annuity - ROI? Product as Resource---Mitigation I
n-Production Costs - Linear (Cost
Margin)Unit/Utility Transaction(s) - Sale -
Possible Recovery Product as Waste--------Degradat
ion Post Production Costs (Public)
- Unit/Utility Transaction(s) Sale
Acute/Chronic Disposition
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Research Stuart MBA E M Faculty Learning
Stuart MBA E M Programs Teaching
Center for Sustainable Enterprise
Businesses Sharing
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Environmental Management
...the next phase Sustainability or Comprehensiv
e Enterprise Modeling
where Environmental Health
Economic Health (Wealth) (Wealth)

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Total Asset Management
If everything that enters the enterprise system
is viewed and managed as an asset, the resulting
model of wealth creation is circular and
contained rather than linear. The continuous
dividends generated by the asset management model
lead to an effectiveness that defines the next
level of competitiveness in the business model,
and the nature of wealth (health) in the
community model.
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• Thank You
• JohnPaul Kusz
• Stuart Graduate School of Business
• Jpkusz_at_stuart.edu
• Center for Sustainable Enterprise
• www.stuart.edu/cse