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AgeReinvestment Matrix


Also
referred to as the "fundinglife cycle matrix". A matrix that plots the relationship (correlation) between the age of a facility and its capital reinvestment requirements, presented on a scatter plot. Purpose The primary purpose of the agereinvestment correlation is as follows:
Variables The agereinvestment matrix is comprised of two dimensions, as follows:
Horizontal Axis The horizontal (x axis) is comprised of the following age classes derived from the facility lifecycle model:
Vertical Axis Two alternative measures can be used to quantify the funding requirements on the vertical axis: Various reinvestment formulas have been applied to establish the quantum and reinvestment rates and funding trajectories for the vertical (yaxis):
Methodology Listed below are the key steps in the methodology to derive and analyze the conditionage matrix:
Analysis The scatter plot resulting from an agereinvestment matrix can be analyzed in a variety of ways, including
Performance and Variances Variances in the agereinvestment matrix, could arise from: Above the trend line:
Evaluation Listed below are some of the merits and advantages of the conditionage matrix:
Management Principles

Fig. A five stage lifecycle model of facilities, which establishes the funding/reinvestment requirements as the facility ages. Fig. An example of an agereinvestment matrix for a single class of buildings over a 60year period (horizontal axis). Fig. The "high" performers identified on a scatter plot (left). and the "Poor" performers identified on a scatter plot (right). Fig. The population of data identified on a scatter plot. Fig. Trend line for a data set. Fig. Outliers relative to the trend line of a scatter plot. Fig. The "high" performers identified on a scatter plot. Fig. Some explanations where certain facilities occupy outlier positions and are classed as "poor" performers on the agereinvestment matrix (above the average trend line). Fig. Some explanations where certain facilities occupy outlier positions and are classed as "high" performers on the agereinvestment matrix (below the average trend line). Fig. Comparison of the use of CRN and GFA as the vertical (y) axis on the matrix. Fig. Comparison of the pre and postrehabilitation phases of a building on the matrix. Fig. Comparison of a building class AgeReinvestment matrix compared to a copula family. 

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