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ISO 55000 Asset

Management Systems

Jim Dieter, MIAM CPPM CF


Director of Strategic Programs, Sunflower Systems

February 2013
ISO 55000 Asset Management Systems

• The release of ISO 55000 Asset Management will


be a seminal event for asset holding organizations
and for all of us as Property and Asset
Management Professionals

• How can you leverage this incredible opportunity


to benefit your organization and your career?

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The Need for Standards

• Risk awareness has become a very high


concern among business executives and
government officials:
• The world has suffered from major
industrial disasters, the financial crisis and
great recession, and continued global
instability caused by civil unrest and
economic duress of certain nations
• There is a need for an element of stability
and this standard intends to be a leveling
force for international trade
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Background:
Standards Organizations

• ISO – International Organization for


Standardization, European based developer
of international standards

• ANSI – American National Standards


Institute

• ASTM – ASTM International is a US based


developer of international standards

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Standards Development
Committees

• ASTM E53 – ASTM standards committee for


asset management standards, and the ANSI
sanctioned host of the US TAG to TC/251

• TC/251 – ISO Technical Committee tasked with


developing a management system standard for
Asset Management

• US/TAG (US Technical Advisory Group ) - ANSI


sanctioned US group participating in TC/251
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US/TAG Participating
Organizations

Stratum Consulting Partners

E-ISG Asset Intelligence

Test6
ISO/TC251 Participating Countries

1. Argentina 11. Ireland 20. Spain


2. Australia 12. Italy 21. Sweden
3. Canada 13. Republic of 22. United Kingdom
4. Chile Korea 23. United States of
5. China 14. Netherlands America
6. Czech Republic 15. Mexico 24. United Arab
7. Denmark 16. Norway Emirates
8. Finland 17. Peru 25. Japan
9. Germany 18. Portugal 26. France
10. India 19. South Africa 27. Switzerland

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Timeline Status

Mar 2011 Oct 2011 Feb 2012 Jun 2012 April 2013 Feb 2014

Month 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36
Comments
Stage Working Drafts Cttee Drafts DIS
Resolution
FDIS

May 2011 Sep 2011 CD2 DIS


For Ballot
Distribute WD2
WD2 Comments
RCVD
February
2014
CD1
For Comment
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ISO Definition of
Management System

• Management System – Set of interrelated


or interacting elements of an organization to
establish policies and objectives, and
processes to achieve those objectives

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ISO 55000
Asset Management System

• These standards describe a


Management System for Asset
Management
• They do not describe processes for the
management of assets
• ASTM E53 standards (and other
guidance) cover lifecycle functions of the
management of assets
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ISO 55000 Series Structure

ISO 55000: Overview, Principles and


Terminology

• ISO 55001: Requirements

• ISO 55002: Guidelines

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ISO 55000: Definitions

• Asset – something with potential value


to an organization and for which the
organization has a responsibility

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ISO 55000: Definitions

• Asset – something with potential value


to an organization and for which the
organization has a responsibility

Value!
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Value
Destruction

Over $2 B in cleanup costs


Over $60 B in lost stock value15
Asset Management

• Asset management enables the


realization of value from assets

• Value realization is achieved through


the use of analytical approaches and
implementation processes that have
similar core characteristics, no matter
what the industry

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ISO 55000: Definitions

• Asset – something with potential value to an


organization and for which the organization
has a responsibility

• Asset System - group of assets that interact


and/or are interrelated so as to deliver a
required business function or service

• Asset = Asset System 17


ISO 55000 Series Structure

• ISO 55000: Overview, Principles and


Terminology

ISO 55001: Requirements

ISO 55002: Guidelines

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ISO 55001 and 55002
• The ISO 55001 and ISO 55002 documents
share the same structure
• ISO 55001 covers requirements
• ISO 55002 covers guidance

• The details are of course not yet finalized,


but key concepts are unlikely to
significantly change
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ISO 55001/55002
Structure
• The Organization
• Leadership
• Plans
• Support
• Operation
• Performance Evaluation
• Improvement
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The Organization
• Stakeholders, not just shareholders
– Triple bottom line - People, Profit and Planet
– Quadruple bottom line – adds a Spiritual
component
• Scope – what assets are included?
• System interfaces

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Leadership
• Top management involvement
• Continual improvement
• AM integrated with business processes
• Adequate resources available
• Establish an Asset Management Policy
• Alignment with organizational strategic
plan

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Plans
• Establish an Asset Management Plan
• Measurable objectives
• Risk management
• Monitored and communicated

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Support
• Provide necessary resources
• Assure competence of people doing the
work
• Awareness
• Information requirements
• Documentation

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Operation
• Process control
• Change management
• Control of any outsourced activities

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Performance Evaluation
• Monitor and measure
• Analysis and evaluation
• Internal audit
• Management review

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Improvement
• Nonconformity and corrective action
• Preventive action
• Continual improvement

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Management Systems
Assessments
• Has anyone participated in an ISO 9001
assessment audit?

• Other ISO Management System Audits?

• If you have, ISO 55001 assessment audits


will likely look very familiar
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What’s in it for your organization?

• ISO 55000 promises to be a widely recognized and


adopted international standard
• Assurance that the right things are being done
• Focus is on supporting the mission and objectives
of the organization
• Realizing value from the organization’s assets
• The opportunity to differentiate your organization

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What’s in it for you as individuals?

• Better enable all of us to do our jobs


• Increased management awareness of
asset management
• More “transportable” job skills and
expertise
• More opportunities

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Actions
• Awareness
– Personal awareness
– Organizational awareness
• Become an ISO 55000 expert
• Develop change management skills
• Build AM relationships across
organizational silos
• Realize value from organizational assets

Start Now! 31
Three Word Summary

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Three Word Summary

• Value

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Three Word Summary

• Visibility

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Three Word Summary

• Opportunity

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Three Word Summary

• Value
• Visibility
• Opportunity

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ASTM E53.10 Committee
ISO Asset Management Activities
US/TAG Officers:
Chair: James Dieter, CPPM CF, Sunflower Systems,
jdieter@sunflowersystems.com

Vice Chair: Scott Morris, Genzyme, scott.morris@genzyme.com

Recording Scott Pepperman, Executive Director, National Association


Secretary: for the State Agencies for Surplus Property,
ExecutiveDirector@nasasp.org

Membership Kim Doner, CPPM, SRA International, kim_doner@sra.com


Secretary:

ASTM Staff Katerina Koperna, ASTM International, kkoperna@astm.org


Manager

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