ISO Asset Management Standard

1. ISO Asset Management Standard NPMA National Education Seminar July 2011 Jim Dieter, CPPM CF MIAM Lyle Hestermann, CPPM CF MIAM

2. Topics • Background • US TAG Roles • US TAG Members • Schedule and Events • NPMA Involvement • Current • Opportunities

3. Background • In August of 2009 the International Organization for Standardization (ISO) accepted a new item work proposal (NWIP) from the British Standards Institute (BSI). • This NWIP was for the development of an international standard for (physical) asset management. • ISO Project Committee (PC) 251 has been approved to develop a standard for asset management. • The United States has formed a Technical Advisory Group (TAG), accredited by the American National Standards Institute (ANSI, which holds the sole US vote to ISO) and administered by ASTM International under the E53.10 Committee, to participate in the development of this standard.

4. Need for The Standard • Risk awareness has become a very high concern among business executives and government officials. • As emerging economies develop more rigorous business practices to help manage growth, standards around how organizations manage their assets will support international trade by leveling differences in how business is grown and managed. • The world has suffered from major industrial disasters, the financial crisis and great recession, and continued global instability caused by civil unrest and economic duress of certain nations • There is a need for an element of stability and this standard intends to be a leveling force for international trade

5. Proposed Asset Management Standard • The international standards for Asset Management are based on PAS 55-1:2008, Part 1: Specification for the optimized management of physical assets and PAS 55-2:2008, Part 2: Guidelines for the Application of PAS 55-1. • The three parts of the proposed ISO standard are: • Asset management - Overview, principles and terminology • Asset management – Requirements • Asset management - Guidelines on the application of ISO XXXX (where XXXX represents the number to be applied to the "Requirements" standard)

6. Proposed Asset Management Standard The standard is expected to be promulgated by early 2014 and will be known as ISO 55000. The predecessors of ISO 55000 were ISO 9001 and ISO 14001. In the same way these other ISO standards have benefitted organizations across the globe, ISO 55000 intends to help organizations generate value in the following ways: Structure good asset management practices across a broad cross-section of industry. Earn heightened investor confidence. Allow governments and regulators to have a level of understanding of how organizations do business within their borders.

7. US TAG to PC 251Membership and Roles

8. US TAG to ISO/PC 251Officers Chair: Lyle Hestermann, CPPM CF, MIAM, Raytheon Corp. Lyle_V_Hestermann@Raytheon.com 260.429.4082 Vice Chair: James Dieter, CPPM CF, Sunflower Systems jdieter@sunflowersystems.com 703.629.9014 Recording Scott Pepperman, Executive Director, NASASP Secretary ExecutiveDirector@nasasp.org 717.389.5100 Membership Kim Doner, CPPM, SRA International Secretary kim_doner@sra.com 202.536.5972 ASTM Staff Christi Sierk, ASTM International Manager csierk@astm.org 610.832.9728

9. US TAG to PC 251 • American Water Works Association (AWWA) • Founded in 1881, AWWA is the authoritative resource on safe water, providing knowledge, information and advocacy to improve the quality and supply of water in North America and beyond. AWWA advances public health, safety and welfare by uniting the efforts of the full spectrum of the water community • Paul Olson - Director of Standards

10. US TAG to PC 251 • DynCorp • A global government services provider in support of U.S. national security and foreign policy objectives, delivering support solutions for defense, diplomacy, and international development. • Rod Miller, Property Manager

11. US TAG to PC 251 • Genzyme Corporation • One of the world's leading biotechnology companies with products and services that are focused on rare inherited disorders and other areas of unmet medical needs. • Scott Morris – Associate Director Facility Operations • Robert Christman – Global Reliability Coordinator

12. US TAG to PC 251 • GPAllied • A diverse reliability and operations consulting and services company. • Darrin Wikoff - Senior Instructor and Change Management Professional

13. US TAG to PC 251 • Johns Hopkins University, Applied Physics Laboratory (JHU/APL) • Solves complex research, engineering, and analytical problems that present critical challenges to the nation. • Richard Shultz - Property Manager

14. US TAG to PC 251 • Lockheed Martin • Global security company principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. • The leading U.S. Federal Contractor • Richard Culbertson - Senior Manager Asset Management

15. US TAG to PC 251 • Meridium • A leading independent software vendor delivering an integrated asset performance management (APM) software solution to the process manufacturing industry. • Marc Laplante - Solution Specialist

16. US TAG to PC 251 • National Association of State Agencies for Surplus Property (NASASP) • A consortium of 56 State Agencies for Surplus Property one for each state, US territory and the District of Columbia, whose purpose is to protect, promote and enhance the Federal Surplus Property Program. • NASASP represents collectively over 67,000 eligible donee organizations including public agencies, non-profit health and educational organizations and small minority businesses.”. • Scott Pepperman - Executive Director

17. US TAG to PC 251 • National Grid • One of the world's largest utilities, focused on delivering energy safely, efficiently, reliably and responsibly. • Meet the electricity and natural gas needs of more than 6 million customers in the northeastern U.S.

18. US TAG to PC 251 • Doble • Now in 110 countries, Doble Engineering has been helping clients in the electric power industry improve operations and optimize system performance for more than 85 years. • Tony McGrail - Solutions Manager - IDD, SFRA

19. US TAG to PC 251 • Northrop Grumman • Northrop Grumman Corporation is a leading global security company whose 75,000 employees provide innovative systems, products, and solutions in aerospace, electronics, information systems and technical services to government and commercial customers worldwide. • Pat Jacklets - Manager, Property Management

20. US TAG to PC 251 • NPMA • NPMA is a professional membership association for individuals with responsibility and accountability for the physical assets of their organizations. Association members oversee trillions of dollars of movable assets for the US Federal Government, National Laboratories, Universities, Non-Profits, Hospitals, Government Contractors, State and Local Governments, and others. • Cheri Cross, NPMA Past President and Executive Board member

21. US TAG to PC 251 • Peabody Energy • The world's largest private-sector coal company and a global leader in clean coal solutions. With 2009 sales of 244 million tons and $6 billion in revenues, Peabody fuels 10 percent of U.S. power and 2 percent of worldwide electricity. • Steve Beamer – Vice President, Asset Management

22. US TAG to PC 251 • Raytheon • A technology and innovation leader specializing in defense, homeland security and other government markets throughout the world. • Lyle Hestermann - Manager, Property at Raytheon Network Centric Systems. NPMA National Director of Standards Development and Utilization. Chair of US TAG for PC251.

23. US TAG to PC 251 • SRA International • Provides expert knowledge, technical tools and solutions to governments, agencies and companies in national security, civil government and global health. • Kim Doner, Property Manager

24. US TAG to PC 251 • Stratum Consulting Partners • EAM & Best Practice consultants, who integrate application technology and process to deliver asset management excellence. • Tracy Smith

25. US TAG to PC 251 • Sunflower Systems • Software and solutions company serving the property and asset management needs of federal agencies, universities, government contractors and national laboratories, with solutions that are deployed around the globe. • Jim Dieter – Director of Strategic Programs. NPMA National Executive Vice President. Vice Chair of US TAG for PC251, and Technical Analysis Team Lead.

26. US TAG to PC 251 • The AES Corporation • A global power company with a diverse portfolio of generation and distribution businesses • In 29 countries across 5 continents • 40 GW of generation, 14 utilities • $40 billion in assets and $14 billion in revenues • Mark Mueller – Director of Asset Management

27. US TAG to PC 251 • University of Wisconsin - Madison • Department of Engineering Professional Development • Has been improving professional engineering and related fields since 1949 through its internationally-recognized continuing education program. • Thomas W. Smith

28. US TAG to PC 251 • Uptime Magazine • A specialty publishing company focused on information delivery of Articles, Videos, Case Studies, iPresentation tutorials, Web Workshops, benchmark data, Tips, and how-to information for maintenance and reliability professionals. • Terrence O'Hanlon - Global Reliability & Maintenance Engineering Coordinator

29. US TAG to PC 251 • VESTA Partners • Vesta is an SAP Services and a Gold Consulting Partner focused on delivering measurable results in Enterprise Asset Management (EAM). We help our customers build solid business practices that are enabled by the right technology applications. • Terry Wireman, Vice President and Advisory Board Member

30. US TAG to PC 251 • U.S. Department of Defense (DoD), Office of the Secretary of Defense (OSD) • OSD is the principal staff element of the Secretary of Defense in the exercise of policy development, planning, resource management, fiscal, and program evaluation responsibilities. • DOD is perhaps the largest holder of assets in the world • Amber Barber – Property and Equipment Policy

31. US TAG to PC 251 • U.S. Department of Energy, Princeton Plasma Physics Laboratory • Works with collaborators across the globe to develop fusion as an energy source for the world, and conducts research along the broad frontier of plasma science and technology. Also nurtures the national research enterprise in these fields, and educates the next generation of plasma and fusion scientists. • Rob Sheneman – PPPL Materiel and Environmental Services Division Head

32. US TAG to PC 251 • U.S. General Services Administration (GSA) • Lead federal agencies in the economical and efficient management of federal assets by spearheading effective policy development and by the exemplary management of the buildings/workplaces, motor vehicles, and personal property provided by GSA. • $500 billion in federal assets managed by GSA • Robert Holcombe – GSA Director of Personal Property Policy

33. US TAG to PC 251 • U.S. Department of Veterans Affairs (VA) • Benefits and hospitals for U.S. veterans • Vince Pontani – Director, Logistics Policy, Supply Chain Management; Office of Acquisition & Logistics Programs & Policy

34. US TAG to PC 251 • ASTM International • One of the largest voluntary standards development organizations in the world-a trusted source for technical standards for materials, products, systems, and services. • US TAG Administrator • Christi Sierk – Manager, Technical Committee Operations

35. US TAG to PC 251 • American National Standards Institute • As the voice of the U.S. standards and conformity assessment system, the American National Standards Institute (ANSI) empowers its members and constituents to strengthen the U.S. marketplace position in the global economy while helping to assure the safety and health of consumers and the protection of the environment • Accredits TAGs • Holds the sole US vote to ISO • Rachel Howenstein, Staff Manager

36. Schedule and Events • March 2011: First Official Meeting of PC251 in Australia • June 27,28 2011: US TAG Meeting in Philadelphia • June 29, 2011: Forum on the future of Asset Management in Philadelphia • October 10 -14, 2011: Second Official Meeting of ISO PC251 Washington, DC area – US hosting • Additional ISO PC 251 meetings in other countries • February 2014: Target date for the release of ISO 55000

37. NPMA Involvement • Current • Opportunities

38. US TAG to PC 251 Thank you!