Assets are fundamental to any organization and managing them in a controlled manner would ensure optimum performance and prevent breakdown, leading to possible downtime and financial losses. The assets within the scope of the asset management system can be described as Asset portfolio and then the set of interrelated or interacting elements is called the Asset management system. ISO 55000 is the Asset Management Standard guiding the AMS.
How do we measure standard procedures for asset management? How do we know an organization is following best asset management practices? These thoughts and consideration most likely gave birth to the ISO 55000. Prior to the emergence of ISO 55000, we had the BSI (British Standard Institution) PAS 55 as the standard measure for asset management. PAS 55 was originally produced in 2004 by a number of organizations under the leadership of the Institute of Asset Management.
The standard is based on the 28 elements contained in British Standards Institute Publically Available Specification 55, part 1 and part 2. About ten years down the line, the ISO 55000 series of Asset Management standards was launched specifically in January 2014. ISO Technical Committee for Asset Management Systems is responsible for the development of the ISO 55000 family of standards. These standards define good practices in Asset Management and requirements for a management system. The standards apply to all types of assets and to all organizations.
This standard describes the four documents of an asset management system:
- Asset management policy
- Asset management objectives
- Asset management strategy
- Asset management plans
The summary of the ISO 55000 family is given below:
– ISO 55000: Overview, principles, and terminology
– ISO 55001: Management Systems – Requirements
– ISO 55002: Guidelines for the application of ISO 55001
Compliance with the ISO 55001 standard can support organizations that are striving for a culture of proactive, continual improvement, and can drive an organization’s effectiveness and efficiency in the realization of increased value from its assets. It reflects the latest thinking and best practices in asset management.
The ISO 55000 standard is for any asset that creates value for an organization that they have a legal responsibility for, not just physical production assets. The focus of this standard is more on managing the value and risk to internal and external stakeholders than on the management of the assets.
The Institute of Asset Management developed endorsement schemes for recommending competent assessors and training providers and so one’s organization can work towards not just practicing the ISO 55000 standards but also becoming certified although standards should be implemented without necessarily waiting for a formal certification.
Some benefits of implementing the ISO 55000 standards are:
- Performance improvements
- Cost improvements
- Management of risk
- Assurance of business growth and improvement
- Reliable decision making
- Enhanced stakeholder confidence through compliance and improved reputation
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