The new ISO standard for asset management, published in January, provides an international framework which was inspired by best practices worldwide. Specialists, including KPMG, from more than 35 countries, in varied areas ranging from technical engineering to operations and finance, participated in developing the standard.
As a subject expert, the KPMG Global Asset Management Competence Centre was formally involved in the drawing up of the ISO 5500x series of standards from the very beginning. Based on its expertise in the field, KPMG was the only one of the big-four accounting companies to be invited to be an International Organization for Standardization Technical Committee 251 member, the group responsible for drafting the standards.
One of the reasons why we played such a key role in the development of the new standard is that the KPMG network has extensive experience advising or auditing asset-intensive organisations on asset management and is considered to be a pioneer in this area.
We’ve been working with our partners to achieve better valuation for those implementing the new standard. ISO 55001 now gives asset-intensive organisations worldwide a comparable and internationally recognised framework for asset management, offering a holistic approach to financial, operational and technical functions, while contributing to the strategic objectives of the organisation.
ISO 5500x clearly establishes the importance of asset management in the overall strategy for asset-intensive organisations
The new standard also allows organisations to establish a structured, consistent and transparent life cycle for their assets. By implementing ISO 55001 as an asset management framework, the cycle of assets within an organisation will be structured, consistent and transparent for all stakeholders, generating more value and ultimately benefit the organisation’s bottom line.
Thanks to this new standard, organisations will be able to integrate operations with finance and accounting activities resulting in more transparent and efficient financial-technical reporting on assets, including reports on the performance of assets and asset risks. In addition, organisations will be able to establish a lean principle that enhances the entire life cycle asset management, including costs, investments, asset performance and asset risks. This way of working will provide managers and leaders with a clear and undisputed audit trail.
ISO 5500x clearly establishes the importance of asset management in the overall strategy for asset-intensive organisations. This will help create more awareness of the importance of the function at board level. The board will realise the full potential of asset management, and will support asset management-related decisions and projects.
As organisations implement ISO 5500x standards, a growing number of companies around the world will be looking for a strong team of advisers – operational, technical, IT and tax – and auditors who can assist them with the analysis and creation of their asset management system, from strategy over asset operations to all required enablers.
They will find those trusted advisers at the KPMG Global Asset Management Competence Centre. KPMG experts are ready to provide their global expertise towards contributing to organisations’ sustainable future.
For an initial conversation, contact our expert Daniël Pairon at
dpairon1@kpmg.com
