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IAM The Institute of Asset Management Certificate Sample Questions (Q52-Q57):

NEW QUESTION # 52
What is the purpose of the asset management policy?

A. To describe the long-term approach to the management of physical assets and how organisational objectives are converted into asset management objectives.
B. To balance the costs and benefits of different renewal maintenance overhaul and disposal interventions in support of the asset management objectives.
C. To address the approach of the asset management organisation to realise the (strategic) asset management plans.
D. To set a framework of principles for translating the organisation's strategic objectives into asset management objectives and guiding development of the asset management strategy.
E. To determine the asset management objectives including costs, risks and performance, aligned with the organisational objectives.

Answer: D

Explanation:
Theasset management policyis a high-level document that provides direction and a framework for developing asset management strategies and objectives. It does not include specific activities, financials, or operational details.
Exact Extract from ISO 55001:2014, Clause 5.2 - Asset Management Policy:
"The policy provides a framework for the setting of asset management objectives and alignment with the strategic plan."

NEW QUESTION # 53
The objectives that the organization wants to achieve from its asset management activities, are ....

A. to describes an organisation's long-term approach to managing its assets.
B. A&B True
C. the future capability and performance requirements of assets, asset systems and the asset portfolio as a whole
D. A&B False

Answer: B

NEW QUESTION # 54
The contents of an asset management policy can include:

A. Mandated requirements, AM principles, roles and responsibilities, key risks, and review frequency
B. The mandated requirements, roles and responsibilities, key departments, framework for strategy, and review frequency
C. The requirements of key stakeholders, roles and responsibilities, AM principles, framework for strategy and objectives, and review frequency
D. Mandated requirements, AM principles, roles and responsibilities, strategy framework, and commitment to continuous improvement
E. Mandated requirements, roles and responsibilities, AM principles, strategy framework, and AMP details

Answer: D

Explanation:
Option D covers all key elements described in ISO 55001: compliance, alignment, clarity of roles, continuous improvement, and a basis for strategic and tactical planning.
Exact Extract from ISO 55001:2014, Clause 5.2:
"The policy should include: appropriateness, commitment to compliance and improvement, framework for setting objectives, and alignment with strategy."

NEW QUESTION # 55
There are many factors that can drive the decommissioning of assets,except:

A. Compliance with changes in legislation
B. Excess of service capacity
C. Obsolete technology
D. Cost of retaining in service

Answer: A

Explanation:
Whilelegislative compliancetypically drives asset upgrades or operational adjustments, itdoes not directly trigger decommissioning. Instead, decommissioning is usually influenced by:
* Obsolescence(e.g., technology no longer supported)
* Overcapacity(asset redundancy)
* Operational cost(prohibitive maintenance or energy expense)
Exact Extract from IAM - Asset Management: An Anatomy (v4), Section 3.4.5 - Life Cycle Stage:
Disposal/Decommissioning:
"Typical drivers include condition, cost of retention, obsolescence, redundancy, and safety concerns."

NEW QUESTION # 56
What is the Asset Life Cycle?

A. A project management system
B. All False
C. A substitute for quality management
D. A strategic and analytical approach to the management of a business's assets

Answer: D

Explanation:
TheAsset Life Cyclerefers to the complete sequence of phases an asset undergoes from its creation to final disposal. It includes stages such as planning, acquisition, commissioning, operation, maintenance, and disposal. It is not just a linear timeline but a framework for making optimized, value-driven decisions throughout the asset's existence.
* Option Ais correct: Asset management involves the strategic and analytical control of assets over their lifecycle.
* Option Bis incorrect: Project management is a tool used within specific lifecycle phases.
* Option Cis false: Asset management complements but does not replace quality management.
* Option Dis not applicable, as the premise of Option A is accurate.
Exact Extract from IAM - Asset Management: An Anatomy (v4), Section 3.4 - The Asset Lifecycle:
"The asset lifecycle is a concept used to describe the phases of activity over the life of an asset...
Organizations need to understand how asset decisions and activities interrelate across these phases and manage them in an integrated manner."

NEW QUESTION # 57
......

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