Adoption of the SS ISO 55000 series of Asset Management Standards will benefit Asset Reliant Organisations

To promote the two newer Singapore SS/TR ISO 55000 series of standards in Singapore, IES Asset Management Technical Committee (AMTC), in collaboration with the National Mirror Working Group of ISO TC 251 on Asset Management (NMWG), conducted a webinar on 24 November 2022, on the standards.

The event provided a platform for industry experts to share their Asset Management experiences and their thoughts on the organisational benefits realised.

IES Asset Management Technical Committee (AMTC) was established in October 2016 to explore, monitor and develop thought leadership in various topics under Asset Management, in Singapore. AMTC submitted a Standards Development/Review And International Participation Proposal Form to Singapore Standards Council and Enterprise Singapore (ESG), proposing national participation in international standardisation, under ISO TC 251, the ISO (International Organization for Standardization) Technical Committee for Asset Management, responsible for the development of the ISO 55000 series 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 organisations. After obtaining the approval from ESG, the National Mirror Working Group of ISO TC 251 on Asset Management (NMWG), which comprises mostly members from IES AMTC, was established in July 2021.

The NMWG reviewed the existing Singapore Standard SS ISO 55002:2016 Asset management –Management systems – Guidelines for the application of ISO 55001, and recommended the identical adoption of the revised edition, ISO 55002:2018. The NMWG also reviewed a new standard, ISO/TS 55010:2019 Asset management – Guidance on the alignment of financial and non-financial functions in asset management, and recom- mended the identical adoption as a Technical Reference. These two documents were subsequently published as, respectively, SS ISO 55002:2021 Asset management –Management systems – Guidelines for the application of ISO 55001, and TR ISO/TS 55010:2022 Asset management – Guidance on the alignment of financial and non-financial functions in asset management.

Asset Management is about realising value from an organisation’s asset base. The ISO 55000 series of standards on Asset Management provides a framework to establish Asset Management policies, objectives, decision-making, plans, risk management and governance, so as to facilitate an organisation’s achievement of its strategic goals. It comprises life cycle delivery activities encompassing design, procurement, operations and maintenance, renewals and disposals; and uses information and data for an integrated technical-financial-people-resource approach to manage the organisation’s assets. The standard utilises a structured, effective and efficient management process that drives continual improvement and ongoing value creation by optimising asset-related cost, performance and risk.

Singapore, as a participating member/country of ISO/Technical Committee 251 on Asset Management, has adopted the following ISO standards:

• ISO 55000:2014 Asset management – Overview, principles and terminology, as SS ISO 55000:2016

• ISO 55001:2014 Asset management – Management systems – Requirements, as SS ISO 55001:2016

• ISO 55002:2018 Asset management – Management systems –Guidelines for the application of ISO 55001, as SS ISO 55002:2021

• ISO/TS 55010:2019 Asset management – Guidance on the alignment of financial and non-financial functions in asset management, as TR ISO/TS 55010:2022

‘Introduction to Asset Management and an Overview of ISO 55000 series standards’ by Mr Cho Sungin, Deputy Chairman, AMTC and a member of NMWG

Mr Cho has more than 10 years of industry experience relevant to the Asset Management of electrical infrastructure and currently works in Singapore Power Group, delivering collaboration research projects with NTU (Nanyang Technological University) on Risk-based Asset Investment and Planning Optimisation, as well as Failure Mode Analysis and Mitigation Optimisation.

Mr Cho shared the general concept of Asset Management for the physical infrastructure and provided a comprehensive overview of various

- People involvement and competence, and ISO 55013 - Guidance on the management of Data Assets in asset management, which are currently being developed by ISO TC 251 Asset Management.

In the face of challenges like unexpected asset failures and the need for cost-efficiencies and sustainable development, Mr Cho highlighted the importance of Asset Management in overcoming them, through providing the fundamental structure of the Asset Management system and data driven, decision-making process. He also provided answers to questions such as “What is an asset?”, “What is Asset Management and why is there a need to implement it?”, “What is risk?” and “How to realise the value of an asset?”. He ended by highlighting that the ISO 55000 series of Asset Management standards is an excellent starting point for Asset Management, that would also enable a continuous process of improvement, to best realise the value of assets in the organisation.

Introduction to SS ISO 55002:2021

Asset management – Management systems – Guidelines for the application of ISO 55001 by Mr Leow Meng Fai, Chairman, AMTC and a member of NMWG

Mr Leow has more than a decade of senior management experience in varied Asset Management and Maintenance roles in aviation and urban rail transport sectors. He is a Chartered Engineer (Singapore) in Systems Engineering and an Asset Management Professional regis- tered with the Institute of Asset Management UK.

Mr Leow shared the requirements related to the key fundamentals of Asset Management, in ISO 55001, how these requirements can be implemented in the different domains of Asset Management (Asset Portfolio, Asset Management System and Asset Management), and the recommended good practices in Asset Management, in the SS ISO 55002 Standard. He also shared on the key changes that have resulted in significant expansion, from the first 2014 version to include, in particular, the new guidance on cross-cutting subjects identified in the Asset Management domains. The cross-cutting subjects of Value, Scope of Asset Management Sys- tem, Strategic Asset Management Plan, Decision-Making, Risk Management, Finance and Scalability, provide useful guidelines on the application of the requirements in ISO 55001, and will help address the cross-functional issues and queries typically encountered by organisations in their Asset Management implementation journey.

Introduction to TR ISO/TS 55010:2022 Asset management

– Guidance on the alignment of financial and non-financial functions in asset management by Er. Seow Kang Seng, Advisor to AMTC and Convenor of NMWG

Er. Seow has more than four decades of management, strategic planning, technical, operational, regulatory and consulting experi- ence, in the electricity utility industry, where his duties spanned the conducting of feasibility studies to planning, design and implementation of numerous power engineering projects. He is a Professional Engineer and a Chartered Engineer (Singapore) in Systems Engineering.

Mr Seow highlighted why the alignment of financial and non-financial functions of Asset Management is important, and based on the Technical Reference ISO/TS 55010:2022, provided guidance on how this alignment can be achieved, to promote the benefits for the organisation and its stakeholders, as well as enable the organisation’s functional areas to share information and collaborate, to achieve the objectives of the organisation. He concluded his presentation by shar- ing an example of the implementation, explaining how alignment was achieved in a rapidly growing decentralised company which had a very immature Asset Management System, a poorly aligned Records System and Processes, and, generally, not aligned Accounting and Operational Systems.

SMRT Trains Asset Management Excellence Journey by Mr Lim Yong Ming, Head of System Management, SMRT Trains Limited and a member of AMTC

Mr Lim oversees rail system sustainability, at SMRT Trains Limited. He is also the Convenor for the Singapore Rail Standard Asset Readiness Work Group. Mr Lim is a Chartered Engineer (Singapore) in Systems Engineering and a member of the Systems Engineering

Technical Committee, Singapore Rail Academy. He has experience in Asset and Supply Chain Management in the Maintenance, Repair and Overhaul (MRO) environment.

Mr Lim shared on SMRT’s core business and the New Rail Financing Framework (2016). He then presented SMRT Train’s journey in embracing ISO 55001 Asset management framework, from organisational, people, process and technological perspectives, in enhancing rail system reliability, and in ensuring that assets entrusted by LTA are being appropriately maintained, with risks properly identified and addressed. As part of its journey, SMRT Trains had coupled its Asset Management framework with a Systems Engineering approach and the use of technologies as an enabler, to achieve effective Asset Management practices. The benefits of systematic Asset Management can be seen in the successful renewal and upgrades undertaken, in close partnership with LTA.

by Mr Jon Arnup, Founder CEO of Trent Port Services and Trent Moscord

Both Trent Port Services and Trent Moscord are headquartered in Singapore and provide global port-focused services solutions. In the seven years of operation, Trent has received an award from APAC Business Headlines magazine for being a Top 10 Start-up Company in APAC region.

Mr Arnup has more than 30 years of international experience in the port industry, in various senior line management roles and as Corporate Director, working for some of today’s leading global port operators. He was DP World’s Director of Global Engineering, from 2004 to 2014. Mr Arnup has also played key roles in the successful expansion, acquisition, development and integration of multiple terminals and port operators around the world, and led a team that, to-date, has been responsible for delivering more than USD 3 billion worth of large port cranes and mobile equip- ment around the world. Together with his team, he led and developed the Asset Management ISO 55000 program. They have executed and implemented the full Asset Management program in a number of ports on five continents, which was later recognised at a formal ISO 55000 gathering in London, as the world’s largest single Asset Management program at that time.

In his presentation, Mr Arnup shared that in many ports and other organisations, he sees opportunities and benefits in addressing alignment from top to bottom and across the organisation. That is, alignment in strategy, goals objectives, decision-making, budgeting, operational risk and more. Organisations such as ports, are asset-intensive. The Asset Management standard, ISO 55000 was the first to set out a more holistic approach which includes the encompassing of financial components, in order to improve an organisation's management system and realise the true value of its assets. He highlighted the approach in getting the ISO 55000 standard to speak the language of ports, and the engagement needed to execute the full program, and bring it across the line, with demonstrable results in a number of areas, such as strategy, operations, human resources, finance and engineering.

To help Asset Management have a positive impact on the port terminals business, be it for greenfield terminals, brownfield acquisitions, expansions or mode changes, Mr Arnup shared that he uses a multi-faceted methodology covering System Dynamics, Change Dynamics, Risk Dynamics and Asset Performance Dynamics, which are important for businesses to succeed in their journey.

Integrated Knowledge Based (IKB) and IoT Driven Approach in Asset Management – Lowering Whole Life Cycle Costs of Energy Systems in a Smart Building by Mr Ho Chee Kit, Senior Director for Sustainability, Asset Management Services and Integrated Facilities Management, C&W Services (S) Pte Ltd

Mr Ho holds a Master of Science (Electrical Engineering) degree from National University of Singapore and a Bachelor of Engineering in Electrical (Hons) from Nanyang Technological University. He also has a Diploma in Asset Management, from Institute of Asset Management, UK.

Mr Ho has more than 20 years of working experience in technical engineering and Facility Management for institutional, healthcare, defence and commercial buildings. In his presentation, Mr Ho explained that equipment that is ageing or under-maintained is usually expected to perform less efficiently than a new equipment. However, by implementing smart Asset Management practices, this can be otherwise. These practices involve integrated, strategic and sustainable Asset Management practices based on green and smart Facility Management concepts, Internet of Things (IoT) as well as big data analytics with computational intelligence).

They enable maintainability, reliability, cost management and risk profiling, and will optimise performance and maximise availability. He also presented a case study, in which through an integrated Facility Management and Asset Life Cycle Management approach, a 11-yearold chiller plant achieved a performance that was at least 20% more efficient and had a lower carbon footprint, in 2021, as compared to when it was first installed.

The webinar, including panel discussions, was moderated by Er. Yeo Howe Chien, member of AMTC and member of NMWG. Er. Yeo is the General Manager, Operations Development and Strategy for Certis Integrated Facilities Management.

Er. Yeo observed that asset-intensive industries can benefit from the ISO 55000 series of standards and recommended practices, by enabling them to start and improve their Asset Management implementation to deliver good business results. He noted from the industry presenters, how their respective journeys and initiatives in Asset Management had delivered business results, innovations and better decisions for organisations. He said that good Asset Management will go a long way towards sustainable development, with assets that can perform longer, while reducing resource consumption and carbon footprints, with greener operations and optimisation of the asset life cycle.

(AMTC also announced, at the webinar, that all participants would be included in a list of Asset Management practitioners / interested individuals, enabling them to receive relevant information, including on future seminars / webinars, workshops, training courses, sharing sessions, as well as articles on Asset Management etc, from AMTC. They may also be contacted by the AMTC to find out their areas of interest in Asset Management. Any participant who does not wish to be included in this list, should inform IES by email)

Meticulous Research, a leading global market research company, recently published a research report titled, ‘Industrial Asset Management Market by Offering, Deployment Mode, Asset Type, and End-use Industry (Food & Beverage, Pharmaceuticals, Biotechnology, Medical Devices, and Other Industries), and Geography

- Global Forecast to 2029.’

According to the publication, the global industrial Asset Management market is projected to reach USD 14.4 billion by 2029, at a CAGR of 12.2% from 2022 to 2029.

The global Industrial Asset Management market is segmented by offering solutions (predictive maintenance solutions, asset lifecycle management solutions, inventory management solutions, reporting & analytics solutions, and other Industrial Asset Management solutions), services

(professional services, managed services), deployment mode (on-premise deployment, cloudbased deployment), asset type (conventional assets, automation assets), and end-use industry (food & beverage, chemicals, automotive manufacturing, pharmaceuticals, biotechnology, medical devices, metal & mining, energy & power, aerospace & defence, electronics & semiconductors, and other industries).

Based on offering, the global Industrial Asset Management market is segmented into solutions and services. In 2022, the solutions segment accounted for the larger share of the global Industrial Asset Management market. This segment is also expected to register the highest CAGR during the forecast period.

Based on deployment mode, the Industrial Asset Management market is segmented into on-premise deployment and cloud-based deployment. In 2022, the on-premise deployment segment accounted for the larger share of the global Industrial Asset Management market. However, the cloudbased deployment segment is expected to register the highest CAGR during the forecast period. Based on asset type, the Industrial Asset Management market is segmented into conventional assets and automation assets. In 2022, the automation assets segment accounted for the larger share of the global Industrial Asset Management market. This segment is expected to have the highest CAGR during the forecast period.

Asia-Pacific accounted for the largest share of the global Industrial Asset Management market, in 2022. This region is projected to grow at the highest CAGR during the forecast period.