How to use Plant Wellness Way Asset Management Methodology to Build a Complying ISO 55001 Asset Management System and a Successful Business

Doing ISO 55001 Asset Management the Plant Wellness Way Maximixes Your Chances of Operational Success and Large Operating Profits

Download our spread sheet that maps the Plant Wellness Way to the ISO 55001 Asset Management Standard

The Plant and Equipment Wellness Way is a life-cycle long, business-wide, holistic methodology to design, build and run a hugely successful enterprise asset management system

When you are ISO 55001 accredited, your certificate is for a EAM system meeting the ISO 55001 Standard, but that does not mean you get more business success. When you adopt the Plant Wellness Way you get an asset management system designed to deliver a mighty successful organization.

 


 

Introduction

On 15 January 2014 the International Standards Organisation released the first edition of ISO 55001 Asset management – Management systems – Requirements, along with the rest of the ISO 55000 suite of explanatory documents (ISO 55000 Asset management overview, ISO 55002 Asset management guidelines). It was a world-wide attempt to standardise what enterprise asset management (EAM) incorporates. It contained content for what was thought necessary by the ISO technical committee to be in an EAM system. Unfortunately, ISO 55001 does not guarantee you get reliable assets.

In April 2016 the book, Industrial and Manufacturing Wellness, the complete guide to successful enterprise asset management, was released. It contained a reliability-focused, risk-based approach to design, develop and imbed a life cycle asset management system into companies. The Plant Wellness Way EAM methodology detailed in Industrial and Manufacturing Wellness was designed to most quickly deliver great, and long-lived, production asset success.

The book applied the Plant and Equipment Wellness EAM methodology and explained ‘how to’ use the Plant and Equipment Wellness principles, methods and practices to establish an enterprise asset management system that produced outstanding plant and equipment reliability. The Industrial and Manufacturing Wellness book is a Plant Wellness Way ‘manual’ detailing how to repeatable get world class asset performance and operating profits in equipment intensive companies. The Industrial and Manufacturing Wellness book will also let you develop a life cycle asset management system that is fully compliant to the ISO 55001 asset management standard and will achieve ISO 55001 certification.

Foundational Principle of Doing ISO 55001 Asset Management the Plant Wellness Way

Only one purpose drives the use of the Plant Wellness Way. It is to maximize the chance of successfully achieving world class plant and equipment performance in organizations that use physical assets. By doing ISO 55001 Asset Management the Plant Wellness Way you build a system-of-reliability designed to deliver world class asset performance that also generates high operating profits.

You are part of a business or organization in which its people and stakeholders want it to be an outstanding success. Simply complying with ISO 55001 will not create an outstandingly successful business. When you are ISO 55001 accredited you get a certificate that says you use a EAM system meeting the ISO 55001 Requirements, but that does not automatically mean you will also get operational success. When you adopt the Plant Wellness Way you will get an ISO 55001 compliant EAM system, but far more importantly, you create a business system designed to deliver a hugely successful and profitable organization.

Layout of the ISO 55001 Asset Management the Plant Wellness Way Spread Sheet

The ISO 55001 Asset Management the Plant Wellness Way mapping spread sheet does not explain the Plant Wellness Way, you can get that information from the Industrial and Manufacturing Wellness Book. The spread sheet shows which parts of the Plant Wellness Way to use to develop and imbed an EAM system into your organization. Regardless of your operation’s size or what it does, the spread sheet aims to help you get the most operational success in the quickest time.

The simplest format for the spread sheet layout, to maintain consistency with ISO 55001, was to retain the clause numbering of ISO 55001 and add the applicable explanations and solutions from the Plant and Equipment Wellness Way of doing enterprise asset management.

Disclaimer

Though every effort has been made to make the ISO 55001 Asset Management the Plant Wellness Way spread sheet a document that does what it promises—to show equipment intensive companies how to get world class production asset performance and results—it is impossible to know what people will actually do or how well they will perform. It behoves for you to be aware that having an intention, and developing a plan to achieve it, does not guarantee its reality. But it does greatly improve your chances of making it a reality.

Download the ISO 55001 Asset Management the Plant Wellness Way Mapping Spread Sheet

Click on the link to get your ISO 55001 Asset Management the Plant Wellness Way spread sheet, in which the ISO 55001 Asset Management Standard is mapped to the Plant Wellness Way EAM methodology (190 KB .xls file).

Summarised below are our interpretations of the major sections from ISO 55001 asset management standard. In blue text is how you would address the sections using the Plant Wellness Way enterprise asset management methodology.

1. Scope

A Plant Wellness Way physical asset management system addresses the design, manufacture, selection, use and care of physical assets across their whole life cycle. It particularly applies to any type of industrial plant and equipment. The Plant Wellness Way is based on the latest materials science; it applies proven engineering principles; uses sound risk management methods—so it can be extended to cover any physical asset.

2. Normative reference

Numerous books and references apply to the achievement of a highly effective and efficient enterprise asset management system. There are many published documents worthy of being read that will aid your understanding of delivering successful EAM. But very few of them consider how the EAM system must be combined into the business system to make both the business’ physical assets and the business highly successful. The first book to read if you want business success from your EAM system is, Industrial and Manufacturing Wellness, the complete guide to successful enterprise asset management.

3. Terms and definitions

In general the terms and definitions used in ISO 55000 apply.

Where necessary, specific Plant Wellness Way terms and definitions are explained in the spread sheet as they arise, or they are explained in Industrial and Manufacturing Wellness, the complete guide to successful enterprise asset management, book.

4. Context of the organization

ISO 55000: The external context includes the social, cultural, economic and physical environments, as well as regulatory, financial and other constraints. The internal context includes organizational culture and environment, as well as the mission, vision and values of the organization. Stakeholders exist in both context.

4.1 Understanding the organization and its context

The asset management system derives from and aligns with the organisational objectives.

Apply IONICS analysis to correctly design processes; Follow the ‘Stress to Process’ model to identify the right practices, the quality assurance, and the roles and duties for each process.

4.2 Understanding the needs and expectations of stakeholders

Asset management decisions require understanding stakeholder perceptions, values, needs, assumptions, concepts and concerns.

Apply IONICS analysis to correctly design processes; Follow the ‘Stress to Process’ model to identify the right practices, the quality assurance, and the roles and duties for each process.

4.3 Determining the scope of the asset management system

The boundaries and applicability of the asset management system should be captured in a statement of scope.

Apply IONICS analysis to correctly design processes; Follow the ‘Stress to Process’ model to identify the right practices, the quality assurance, and the roles and duties for each process.

4.4 Asset management system

An asset management system is to be established, implemented, maintained and continually improved. An asset management system is used by the organization to direct, coordinate and control asset management activities. It is a set of interrelated and interacting elements of an organization, whose function is to establish the asset management policy and asset management objectives, and the suite of processes and resources, needed to achieve those objectives.

Apply IONICS analysis to correctly design processes; Follow the ‘Stress to Process’ model to identify the right practices, the quality assurance, and the roles and duties for each process.

5. Leadership

ISO 55000: Top management is responsible for developing, resourcing and communicating the asset management policy and asset management objectives and for aligning them with the organizational objectives. Leaders at all levels are involved in the planning, implementation and operation of the asset management system.

5.1 Leadership and commitment

Top management demonstrates ownership, accountability, leadership and commitment to the asset management system by positively influencing the organisation.

Address the bullet points in the clause: Policy, SAMP, Objectives, integrated in business processes, resourced, communicated, outcomes are achieved, effective, collaborative, continually improved, risk management.

5.2 Policy

Top management author, establish and communicate an asset management policy of the principles to adopt in achieving the asset management objectives.

A policy statement addressing the bullet points and defining how the organisation’s resources will be used to meet objectives and operate the organisation while complying with laws, staying profitable and continually improving.

5.3 Organizational roles, responsibilities and authorities

Establish clear and unambiguous roles needed to achieve the strategic asset management plan (SAMP) and support the asset management system, fully clarifying boundaries, responsibilities and accountabilities.

Apply IONICS analysis to correctly design processes; Follow the ‘Stress to Process’ model to identify the right practices, the quality assurance, and the roles and duties for each process.

6. Planning

ISO 55000: The approach to implementing the asset management policy should be documented in a strategic asset management plan (SAMP), from which detailed plans of what to do throughout the organisation to achieve the SAMP are developed.

6.1 Actions to address risks and opportunities for the asset management system

Determine the actions that are necessary for addressing risks when planning the asset management system. The overall purpose is to understand the cause, effect and likelihood of adverse events occurring, to manage such risks to an acceptable level, and to provide an audit trail for the management of risks.

Three Factors Risk Analysis; Physics of Failure Analysis, ACE 3T quality assurance system, ACE 3T ‘chance of success’ analysis.

6.2 Asset management objectives and planning to achieve them

ISO 55000: objective is defined as ‘results to be achieved’.

6.2.1 Asset management objectives

The organization shall establish SMART asset management objectives derived from the SAMP at relevant functions and levels that when achieved will promote accomplishment of the organisation’s objectives.

Apply IONICS analysis to correctly design processes; Follow the ‘Stress to Process’ model to identify the right practices, the quality assurance, and the roles and duties for each process.

6.2.2 Planning to achieve asset management objectives

The organization develops asset management plan(s) to define the activities that will be implemented and the resources that will be applied to meet the asset management objectives and consequently the organizational objectives. An asset management plan(s) provides the direction to, and expectations for, an individual asset or for a portfolio, group or class of assets.

Apply IONICS analysis to correctly design processes; Follow the ‘Stress to Process’ model to identify the right practices, the quality assurance, and the roles and duties for each process.

7. Support

ISO 55000: The collaboration across the organization, sharing of resources, coordination and communication needed for the asset management system to reach the asset management objectives of the organization.

7.1 Resources

All resources – human, infrastructure, information, financial and physical – required for the establishment, implementation, maintenance and continual improvement of the asset management system.

Apply IONICS analysis to correctly design processes; Follow the ‘Stress to Process’ model to identify the right practices, the quality assurance, and the roles and duties for each process.

7.2 Competence

The organization is to determine the suite of competencies required for all asset management roles and responsibilities, and the awareness, knowledge, understanding, skills and experience needed to fulfill them, provide suitable incumbents, including the use of outsourced expertise.

Apply IONICS analysis to correctly design processes; Follow the ‘Stress to Process’ model to identify the right practices, the quality assurance, and the roles and duties for each process.

7.3 Awareness

Persons working under the organization’s control should have appropriate awareness of the organization’s asset management policy, asset management system, business risks and their work activities and behaviours. Awareness needs of a stakeholder are determined by their role and its relationship to the organization meeting its asset management objectives.

Persons working in the asset management system are to be aware of the asset management policy, their contribution to the effective operation of the asset management system, their work activities and the associated risks, and appreciate the consequences of not doing their work properly.

7.4 Communication

Asset management activities carried out by the organization should be communicated to relevant stakeholders periodically, in a coordinated way, as an integral part of the organization’s asset management activity and asset management system. The organization ought have communication plan(s) to influence the decisions of stakeholders by advising them of the asset management system requirements, the appropriate actions to do, the knowledge needed to make sound decisions, when and what to communicate using feedback and reporting processes and methods.

Determine the need for internal and external communications relevant to assets, asset management and the asset management system for persons working under the organization’s control.

7.5 Information requirements

Determine the information needs using a systematic approach to identify the necessary asset information, and establish the appropriate information management system and repositories related to its assets, asset management and asset management system. Information required includes: strategy and planning, process, technical and asset physical properties, service delivery and operations, maintenance management, performance management and reporting, financial and resource management, risk management, contingency and continuity planning, contract management, continual improvement.

Apply IONICS analysis to correctly design processes; Follow the ‘Stress to Process’ model to identify the right practices, the quality assurance, and the roles and duties for each process.

7.6 Documented information

ISO 55000: information, either as documents or records, interval or external, are required to be controlled and maintained by the organization and the medium on which it is contained.

7.6.1 General

Identify and define the documented information to be managed and maintained over the life cycle needed to fulfil legal requirements, provide asset health during its use and after decommissioning, promote and support effectiveness of the asset management system.

Satisfy the document management and records management requirements of ISO 9001 applied to the asset management system.

7.6.2 Creating and updating

Put suitable controls in place to ensure that the information is appropriate and personnel in the asset management system or doing asset management activities are using the approved, accurate, most up to date information.

Satisfy the document management and records management requirements of ISO 9001 applied to the asset management system.

7.6.3 Control of documented information

Documents and records are to be controlled.

Satisfy the document management and records management requirements of ISO 9001 applied to the asset management system.

8. Operation

ISO 55000: the design, direction, implementation, change management and control of the asset management activities, including those services and activities outsourced.

8.1 Operational planning and control

The organization needs operational planning and control processes in order to support the effective delivery of the activities required by the asset management plan(s). Define requirements for the operational planning, control, resourcing, measuring and auditing of asset management and the asset management system.

Apply IONICS analysis to correctly design processes; Follow the ‘Stress to Process’ model to identify the right practices, the quality assurance, and the roles and duties for each process.

8.2 Management of change

The organisation needs to evaluate and manage internal or external changes affecting assets, asset management or the asset management system by assessing their risks, their consequences across the organisation’s systems, including unintentional consequences, and developing appropriate mitigations and implementing them successfully.

Three Factors Risk Analysis; Physics of Failure Analysis, ACE 3T ‘chance of success’ analysis.

8.3 Outsourcing

Outsourcing means the selected asset management activities are done by other parties or service providers and not by the organisation itself. This requires documented agreement on the processes/activities outsourced, responsibilities and authorities to manage them, and how knowledge is to be shared between parties.

Satisfy the supplier selection, supply chain management and review requirements of ISO 55001.

9. Performance evaluation

ISO 55000: The performance of the asset management system should be evaluated against any objectives set specifically for the system itself (either when it was established, or following previous evaluations). The primary purpose of evaluating the system should be to determine whether it is effective and efficient in supporting the organization’s asset management and meeting its asset management objectives.

9.1 Monitoring, measurement, analysis and evaluation

Performance indicators, either quantitative or qualitative, financial and non-financial, are selected to be monitored by persons at a level suitable to the risk, complexity and value of the assets. Processes are developed to measure, monitor, analyse and evaluate the organization’s assets, asset management system and asset management activity on a regular basis to determine how well the asset policy and SAMP are being met. By the use of performance indicators the organisation evaluates its assets and asset management activity in order to ensure their continuing suitability, adequacy and effectiveness. When necessary changes are made to policy, objectives, strategies, and other elements of the asset management system to improve its effectiveness in delivering the asset management objectives.

Apply IONICS analysis to correctly design processes; Follow the ‘Stress to Process’ model to identify the right practices, the quality assurance, and the roles and duties for each process.

9.2 Internal audit

Conduct internal audits of the asset management system, particularly in relation to critical assets and asset systems, to ensure that the asset management system is achieving its objectives and plans and is identifying opportunities for improvement. Internal audits should be conducted at planned intervals to determine and provide information to top management on the appropriateness and effectiveness of the asset management system, as well as to provide the basis for setting objectives for continual improvement.

Satisfy the internal audit requirements of ISO 55001. (NOT RECOMMENDED, WILL CAUSE PROCESS DISRUPTION. Monitor processes directly with statistical analysis and take appropriate management action)

9.3 Management review

A review and consideration of the organization’s assets, asset management system and asset management activity, as well as the operation of its asset policy, objectives and plans, is undertaken by top management at planned intervals. The purpose is to ensure the system’s current and continuing suitability, adequacy and effectiveness. The review would also consider the appropriateness of the asset management policy for the organization’s purpose, establish new or updated asset management objectives for continual improvement, and consider if changes are needed to any elements of the assets, asset management processes or asset management system.

Satisfy the management review requirements of ISO 55001. (NOT RECOMMENDED, WILL CAUSE PROCESS DISRUPTION. Monitor processes directly with statistical analysis and take appropriate management action)

10. Improvement

ISO 55000: Continual improvement is a concept applied to the assets, the asset management activities and the asset management system, including outsourced activities or processes.

10.1 Nonconformity and corrective action

Establish plans and processes to control nonconformities and their associated consequences to assets, asset management processes and the asset management system, to minimize any adverse effects on the organization and on stakeholder needs and expectations. Corrective actions are actions taken to address the root cause(s) of identified non-conformances, or incidents, in order to manage their consequences, and to prevent or reduce the likelihood of recurrence. Process(es) and their associated procedure(s) are established, implemented and maintained for the handling, investigation and correction of nonconformities, functional failures, and incidents associated with assets, asset systems and the asset management system.

Apply IONICS analysis to improve business process designs; Follow the ‘Stress to Process’ model to identify better practices, better quality assurance, and higher competencies and knowledge in the roles and duties for each process.

10.2 Preventive action

Preventive actions, which may include predictive actions, are those taken to address the root cause(s) of potential failures or incidents, as a proactive measure, before such incidents occur. The organization should establish, implement and maintain process(es) for initiating preventive or predictive action(s).

Physics of Failure Analysis, Reliability Grow Cause Analysis (RGCA), ACE 3T ‘chance of success’ analysis, DOCTOR operating profit optimisation, Process Step Contribution Mapping.

10.3 Continual improvement

Adopt an ongoing, organisation-wide process(es) to identify, assess and implement improvements for the assets, asset management, or asset management system. Collect information on new knowledge, technologies and practices that could bring useful improvement. Gather data from the current assets, asset management, and asset management system performance to identify opportunities for continual improvement.

Physics of Failure Analysis, Reliability Grow Cause Analysis (RGCA), ACE 3T ‘chance of success’ analysis, DOCTOR operating profit optimisation, Process Step Contribution Mapping.

All the very best to you,

Mike Sondalini
Managing Director
Lifetime Reliability Solutions HQ