What is Asset Management?
Asset Management ensures you get value from your physical assets. It supports corporate strategic objectives with a balance of performance, risk, cost and opportunity. You do this by managing the entire life cycle of physical assets – from concept through to disposal. Asset Management is the next evolution of our profession – beyond engineering and beyond
The new standards, ISO 55000, 55001 and 55002 raise the bar above conventional engineering, maintenance and capital planning practices. Risk management is enhanced and competency is developed. Your insurers, banks and regulators gain confidence that you are managing your assets well and exposing them to lower risks so they can offer lower premiums, larger capital and operating loans and better terms. These new standards provide a mechanism to demonstrate to them and to yourself that you are managing your physical assets to be best possible standard and for everyone’s best interests.
An Asset Management policy must be established that is appropriate to the organization and provides a framework for setting objectives and satisfying them, as well as continuous improvement. It must be consistent with the organization’s plans and policies; be appropriate to the organization’s assets and operations; be available, communicated, periodically reviewed and updated if needed.
Good Asset Management supports corporate strategic objectives through an Asset Management Strategy (or Strategic Asset Management Plan) with its own objectives and Policies. AM leadership ensures roles and responsibilities are defined, accountabilities are clear. Asset life cycle processes are managed with a set of documented plans having
consistency of purpose and clear alignment with objectives. Documentation and information is shared and consistent across your organization. The whole framework is monitored and improved as strategy, objectives and your business environment change.