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IAM The Institute of Asset Management Certificate Sample Questions (Q23-Q28):

NEW QUESTION # 23
Which of the following is best described as an Asset Management Objective?

A. A risk-based approach to renewal and maintenance will be adopted
B. Risk-based maintenance will be introduced at Depot A in September 2011 with the following work volumes
C. Risk based provide direction for Asset and Non-Asset Class Planning
D. Risk-based maintenance will deliver an improvement in the failure rate of assets of 10% for no increase in cost by September 2011

Answer: A

Explanation:
AnAsset Management Objectiveis typically astrategic-level goal, not overly detailed or time-bound. It focuses on intent, such as adopting a methodology or aligning with a principle. Option B and C are performance targets or KPIs. D is grammatically incorrect.
Exact Extract from ISO 55001:2014, Clause 6.2 - Asset Management Objectives:
"Objectives shall be consistent with the asset management policy, measurable (if practicable), and aligned with achieving value from assets."

NEW QUESTION # 24
A vital element underpinning successful asset management, are .....

A. Consistent
B. Competent
C. A-B-C True
D. Optimal decision-making

Answer: C

NEW QUESTION # 25
For investment, it is important that the risk management processes adequately identify, assess and manage asset-related risks:

A. That vary with time
B. That are fixed in time
C. That do not consider time
D. That align with historic events
E. That match investment periods

Answer: A

Explanation:
Asset-related risks evolve over time, due to condition changes, usage patterns, environmental factors, and technological obsolescence. Therefore, risk assessments must account fordynamic, time-varying risk profiles
, especially in investment planning and forecasting.
Exact Extract from IAM - Asset Management: An Anatomy (v4), Section 4.5.2 - Risk-Based Decision- Making:
"Risks are not static. Their likelihood and consequence change over time and should be continuously assessed in line with asset lifecycle and investment horizons."

NEW QUESTION # 26
What is an Asset Management System as defined by PAS 55?

A. The management system which organises and drives all asset management activities
B. The system by which organisations can manage and influence stakeholder requirements
C. The asset information technology system used for collating and analysing asset data
D. The asset system which organises all data management activities

Answer: A

NEW QUESTION # 27
The following things are taken into consideration in developing an asset management strategy,except:

A. Life cycle approach
B. Management needs
C. Asset requirements
D. Consistency

Answer: B

Explanation:
When developing anasset management strategy, key elements include:
* Consistencywith the organizational context and policy.
* Alife cycle approach, covering all asset phases.
* Clear understanding ofasset requirementsto meet future demand and performance expectations.
Management needs, while important for operational support, are not a core component of strategic development and are therefore the correct exclusion.
Exact Extract from ISO 55001:2014, Clause 6.2 - Asset Management Objectives and Planning:
"The strategy must consider the asset lifecycle, ensure consistency with organizational objectives, and define asset requirements."

NEW QUESTION # 28
......

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