How does APM work?

Could you please elaborate on how APM, or Asset Performance Management, actually functions? I'm curious to understand the underlying mechanisms and processes that drive this system. Specifically, how does APM collect and analyze data to identify inefficiencies and opportunities for improvement? Also, what kind of tools and technologies does it typically employ to achieve its objectives? Additionally, how does APM integrate with other systems and processes within an organization to ensure seamless performance optimization?