Systems and methods for calculating a standardized Health Index for a plurality of different components are shown and described. There is a vast number of different components used on an oil rig and each one may have a different definition of new, worn, damaged, or depleted. The system includes a measurement component that takes a measurement of the different components, and a health modeling component which calculates the standardized Health Index. Monitoring the Health Indices provides a rig operator information from which decisions on equipment use can be made.