How to create bespoke asset management with ISO55001

Asset management is a broad term which is likely to mean different things to different companies. What is common, though, is the plan to manage these assets; and this ISO standard provides the requirements for the underpinning management system. HSEQ-360 are experts in building and developing integrated management systems which are bespoke, catering to the needs of the specifics of the individual company.

This blog introduces ISO55001 (2014) by describing the key terms and outlining what benefits it can bring companies. 

What is ISO55001 (2014)?

This International Standard outlines the requirements for an asset management system. ISO55001 (2014) can be applied to all types of assets and by all types and sizes of organisations.

ISO 55001 can be used in combination with any relevant sector or asset type-specific asset management standards and technical specifications. ISO 55001 specifies requirements for an asset management system.

What is an Asset?

Perhaps a fundamental question which may seem obvious, however an asset is “an item, thing or entity that has potential or actual value to an organisation”. The value will vary between different organisations and their stakeholders, and can be tangible or intangible, financial or non-financial.

Your organisation may choose to manage its assets individually or as a group; depending on the needs of the company and based on the additional benefits either option may provide. Such groupings of assets may be by asset types, asset systems, or asset portfolios.

Asset Management Fundamentals

There is a set of fundamentals which asset management is based upon:

Benefits of an Asset Management System

Asset management enables an organisation to realise value from assets in the achievement of its

organisational objectives. The value will depend on these objectives, nature and purpose of the organisation and the needs and expectations of its stakeholders and other interested parties. Asset management supports the realisation of value while balancing financial, environmental, social costs, risk, quality of service and performance related to assets.

The benefits of asset management can include, but are not limited to the following:

a) commercial improvements: improving the return on investments and reducing costs can be

achieved, while maintaining asset value and without impacting the objectives;

b) informed asset investment decisions: enabling the organisation to improve its decision making

and effectively balance costs, risks, opportunities and performance;

c) managed risk: reducing financial losses, improving health and safety, good will and reputation,

minimising environmental and social impact, can result in reduced liabilities such as insurance

premiums, fines and penalties;

d) improved services and outputs: assuring the performance of assets can lead to improved services

or products that consistently meet or exceed the expectations of customers and stakeholders;

e) demonstrated social responsibility: improving the organisation’s ability to, for example, reduce

emissions, conserve resources and adapt to climate change, enables it to demonstrate socially

responsible and encourage more ethical business practices (also see our previous posts on ISO26000);

f) demonstrated compliance: transparently conforming with legal, statutory and regulatory

requirements, as well as adhering to asset management standards, policies and processes, can

enable demonstration of compliance;

g) enhanced reputation: through improved customer satisfaction, stakeholder awareness, improved performance including enhanced efficiency & confidence;

Integrated Management Systems Approach

Using an integrated management systems approach allows an organisation’s asset management system to be built on elements of its other management systems, such as for quality, environment, health and safety, and risk management. Building on existing systems can reduce the effort and expense involved in creating and maintaining an asset management system (you will notice there is significant overlap in certain standards, namely 9001 (Quality), 14001 (Environment) & 45001 (Health & Safety). It can also improve integration across different disciplines and improve cross-functional coordination.

Organisations that have implemented an integrated systems approach have demonstrated the benefits of the integrated approach and shortened the time to implementation of each new system. The integrated approach, in addition to reducing cost, reduces risks and improves acceptance of each new system. 

Asset management, because it touches so many parts of the organisation, is a natural candidate for an integrated systems approach. We at HSEQ-360 certainly would recommend an integrated approach.

The HSEQ-360 approach to Asset Management? 

HSEQ-360 has the competence to implement Asset Management systems compliant with ISO55001 (2014), either by creating new systems or by reviewing and upgrading existing systems. We have the competence to offer this by offering:

• Chartered Engineers in relevant disciplines supported by technically qualified and experienced staff with knowledge of the law, codes of practice and examination and inspection techniques.
• Vast experience in Integrated Management System scoping, building and creation.
• Several personnel with extensive asset management experience.
• Lead auditors in several international standards. 
• Access to specialist services as required. 
• Formal organisational structure. 

For further information, please contact a member of the team on info@hseq-360.co.uk