Strategic Asset Management Flashcards

Which of the following is an example of an intangible asset that may be included in an asset management system?

Answer: A software license or brand reputation

ISO 55000 recognizes that assets can be physical or intangible, such as software, licenses, or brand.

An organization shows strong alignment between its strategy and maintenance activities, but leaders rarely communicate asset goals to staff. Which element is weakest?

Answer: Leadership and culture

Leadership and culture are ISO 55000 fundamentals, and communication from leaders is essential for engagement.

What is the main benefit of applying a risk-based approach to asset investment planning?

Answer: It directs spending to where it most reduces risk to organizational objectives

A risk-based approach allocates resources where they deliver the most risk reduction and value.

During a capital project, why should maintenance and reliability staff be involved early?

Answer: To influence maintainability, reliability, and life cycle cost before the design is fixed

Early involvement lets reliability and maintenance input shape designs that lower long-term cost and risk.

Which statement about asset management and financial functions is most accurate?

Answer: Financial and technical asset information should be aligned and consistent

ISO 55001 calls for consistency between financial and non-financial asset information to support sound decisions.

Management of change in asset management is primarily intended to:

Answer: Assess and control risks introduced by changes to assets, processes, or organization

Management of change makes sure the risks of planned changes are evaluated and controlled before they are carried out.

Which outcome best indicates that strategic asset management is delivering value?

Answer: Assets meet required performance at optimal life cycle cost and acceptable risk

Value comes from balancing performance, cost, and risk to meet organizational objectives.