PECB ISO 55001 Foundation key terms

An item, thing, or entity that has potential or actual value to an organization. Value can be tangible or intangible, financial or non-financial, and includes information, people capability, and reputation as well as physical equipment.

The coordinated activity of an organization to realize value from assets. It balances financial, technical, and other considerations so that assets deliver the organization's objectives over their whole life cycle.

A management system for asset management, comprising interrelated elements such as policy, objectives, processes, resources, and responsibilities used to direct and control asset-related activities and achieve the asset management objectives.

A statement of the organization's intentions and direction for asset management, formally expressed by top management. It provides the framework for setting asset management objectives and commits the organization to satisfying applicable requirements.

A result to be achieved that is consistent with the asset management policy. Objectives are measurable where practicable, set at relevant functions and levels, and are translated into asset-level plans and activities.

Documented information that specifies how organizational objectives are converted into asset management objectives, and the approach for developing asset management plans that support achievement of those objectives.

Documented information specifying the activities, resources, responsibilities, timeframes, and expected outcomes required for managing a group of assets, or a specific asset, to meet the asset management objectives.

The overall goals an organization sets for itself, such as profitability, service levels, safety, or regulatory compliance. Asset management objectives are derived from these and must remain aligned with them.

The traceable linkage running from organizational objectives through the strategic asset management plan and asset management objectives down to individual asset plans and day-to-day activities, so that work performed visibly supports what the organization is trying to achieve.

The worth, benefit, or importance of something to the organization and its stakeholders. In asset management, value extends beyond cost and revenue to cover risk, performance, safety, environment, and reputation.

The successive stages in the life of an asset, typically from identification of need and acquisition through operation and maintenance to renewal, decommissioning, and disposal. Costs and risks are considered across all stages.

The total cost of an asset over its entire life cycle, including acquisition, operation, maintenance, renewal, and disposal, together with associated risk and financing costs. It supports economically sound decisions rather than lowest purchase price.

The effect of uncertainty on objectives. In asset management this covers the chance that assets fail to deliver required performance, and the safety, environmental, financial, and reputational consequences of such events.

A way of prioritizing asset management effort, controls, and resources according to the likelihood and consequence of failure or of not meeting objectives, so that attention focuses where it matters most.

The assessed importance of an asset, function, or activity relative to the consequences of its failure or unavailability, used to rank priorities for maintenance, spares, monitoring, and investment.

A person or organization that can affect, be affected by, or perceive itself to be affected by a decision or activity. Stakeholders include customers, regulators, employees, owners, communities, and suppliers.

The needs and expectations of stakeholders that the organization decides to address, including legal, regulatory, contractual, and voluntary obligations. These are inputs to the asset management system and its objectives.

The combination of internal and external issues, stakeholder needs, and the scope of activities that influence how the asset management system is designed and operated, including the boundaries of that system.

The documented boundaries and applicability of the asset management system, identifying which organizational functions, asset types, sites, and activities are covered, with justification for exclusions.

The active involvement of top management in establishing policy and objectives, providing resources, integrating asset management into business processes, and promoting improvement, rather than delegating the system to a single function.

The person or group of people who direct and control the organization at the highest level. Top management is accountable for the effectiveness of the asset management system and for providing resources.

A set of interrelated or interacting elements of an organization used to establish policies, objectives, and processes to achieve those objectives. ISO management system standards share a common high-level structure.

Managing activities as interrelated processes with defined inputs, outputs, owners, and performance measures, so that results are understood and controlled consistently across the organization.

The ability to apply knowledge and skills to achieve intended results. The organization must determine needed competence for asset-related roles, ensure people are competent, and retain evidence of this.

The state of staff understanding the asset management policy, how their work contributes to objectives, and the implications of not conforming with system requirements, achieved through communication and training.

The planned process of determining what, when, with whom, and how the organization communicates internally and externally about asset management, including performance, risks, and changes.

Information required to be controlled and maintained by the organization, and the medium on which it is contained. It covers both documents such as plans and records such as inspection results.

An arrangement in which an external provider performs part of an organization's functions or processes. The organization remains accountable for conformity and must control such externally provided processes.

The arrangements used to ensure that contracted parties performing asset-related work meet the organization's asset management requirements, including specification, supervision, verification, and performance review.

Preparing documented arrangements to respond to and recover from disruptive events affecting assets, such as failure, loss of supply, or emergencies, and periodically testing and updating those arrangements.

A measurable representation of the extent to which an organization, process, or asset achieves its intended results. Indicators should be relevant, reliable, and linked to objectives.

The systematic collection of data and assessment of asset condition, performance, and system effectiveness against criteria, with results analyzed and used to inform decisions and improvement.

A systematic, independent, and documented process for obtaining evidence and evaluating it objectively to determine whether the asset management system conforms to requirements and is effectively implemented.

Top management's periodic evaluation of the suitability, adequacy, and effectiveness of the asset management system, using defined inputs and producing decisions on improvement, resources, and changes.

A failure to meet a requirement, whether of the standard, the organization's own system, or an applicable obligation. It is identified, recorded, corrected, and analyzed for root cause.

Action taken to eliminate the cause of a nonconformity and prevent its recurrence. It follows analysis of the underlying cause, not merely a fix of the immediate symptom.

The recurring activity of enhancing performance of the asset management system and assets, using audit results, monitoring data, reviews, and corrective actions to raise effectiveness over time.

The legal, regulatory, and other binding requirements applicable to the organization's assets and activities, which must be identified, understood, and met, with evidence retained.

Records, data, or other verifiable information demonstrating that requirements have been met or that the asset management system is operating as intended, used in audits and reviews.