The Institute of Asset Management Certificate Questions and Answers
Question 17
ISO 55000 is ......
Options:
A.
The international reference standard to sets out the criteria for a quality management system
B.
The international reference standard for the optimal management of physical assets.
C.
The international reference standard that provides the overview of information security management systems
D.
The international reference standard to sets out the criteria for an environmental management system
Answer:
B
Explanation:
ISO 55000 is a part of the ISO 55000 series (including ISO 55001 and ISO 55002), which serves as the international standard for asset management . It outlines the principles, terminology, and benefits of implementing an asset management system. It is not related to quality, environmental, or information security management systems, which are governed by ISO 9001, ISO 14001, and ISO 27001 respectively.
Exact Extract from ISO 55000 – Asset Management — Overview, Principles and Terminology:
"This International Standard provides an overview of asset management, its principles and terminology, and the expected benefits from adopting asset management."
(ISO 55000:2014, Clause 1 – Scope)
Question 18
This covers everything that goes into planning, designing, and procuring an asset.
Options:
A.
Acquire
B.
Commission
C.
Operate
D.
Dispose
Answer:
A
Explanation:
The Acquire stage encompasses feasibility studies, planning, specification, design, procurement, and funding—the preparatory activities before an asset is commissioned.
Extract from IAM Document – Asset Management: An Anatomy (v4):
"The acquisition phase includes the activities required to define, justify, plan, design, and procure the asset."
(Section 3.4.1 – Life Cycle Stage: Acquire)
Question 19
The term optimizing describes:
Options:
A.
The process of Maintenance the best value compromise between a set of competing factors, in order to support asset management decision-making
B.
The process of establishing the best value compromise between a set of competing factors, in order to support asset management decision-making
C.
The process of control the best value compromise between a set of competing factors, in order to support asset management decision-making
D.
The process of review the best value compromise between a set of competing factors, in order to support asset management decision-making
Answer:
B
Explanation:
Optimizing is a core concept in asset management. It refers to establishing a compromise between performance, cost, and risk—across the asset lifecycle. This balancing act is based on data-informed decision-making and scenario analysis.
Exact Extract from IAM – Asset Management: An Anatomy (v4), Section 4.5 – Decision-Making:
“Optimization is the process of determining the best value compromise between conflicting priorities such as cost, risk, and performance.”
Question 20
The benefits of an asset management system are...
Options:
A.
Formalizes asset management
B.
Establish roles and responsibilities
C.
Bring best practices into the organization
D.
A-B-C are true
Answer:
D
Explanation:
An asset management system, especially when aligned with ISO 55000, delivers comprehensive business benefits, including structured role clarity, procedural discipline, and the integration of industry best practices. This leads to more transparent governance, accountability, and performance management across the asset lifecycle.
A is true: It transforms informal practices into formal procedures.
B is true: Clearly defines roles and governance responsibilities.
C is true: Embeds global best practices via systematic frameworks.
Exact Extract from ISO 55000:2014, Clause 3.4:
"An asset management system enables an organization to achieve its asset management objectives and derive value from its assets... It formalizes roles and responsibilities and incorporates recognized practices."
