Round up of European Congress on Asset Management on 27 March

1. The 1st European congress on Asset Management: Success through a
common approach organized by the KPMG Europe LLP Asset Management
Competence Center, the Institute of Asset Management (IAM), the
Institution of Engineering and Technology (IET) and the Belgian Maintenance
Association (BEMAS).
The 1st European Congress on Asset Management took place in Brussels at the Hotel Marivaux on 27
March 2012. Daniël Pairon, responsible partner of the KPMG Europe LLP Asset Management
Competence Center and one of the patrons of the Institute of Asset Management, chaired the
meeting, whose purpose was to highlight the advantages and practicalities of maintaining effective
Asset Management systems for asset‐intensive companies.
The approximately 120 attendees represented a range of industries from Power & Utilities,
petrochemicals to public transportation and came from several European countries, the Americas
and the Middle East.
They heard speakers approaching the subject of Asset Management from various perspectives. One
view was expressed by a professional body representing specialists worldwide dedicated to
furthering knowledge and understanding of Asset Management. The management consultants
approached the subject from a structural context, explaining that companies constructing their Asset
Management systems can succeed by developing and implementing the needed building blocks. A
third perspective of Asset Management implementation came in the form of a company case study,
whose actions in improving its Asset Management system highlighted the importance of a clear
understanding of corporate strategy, commitment, planning and attention to detail in achieving
objectives.
How to Deliver an Infrastructure Investment Plan in an Uncertain Future
Richard Hawkins of SEAMS Ltd, a UK Asset Management consultancy explained how SEAMS, a UK‐
based Asset Management software provider, collaborated with Duena, a Dutch water company, to
design, develop and implement an investment planning system.
The key objectives of the project were:
 to improve the Asset Management decision making process
 to create a system that conforms to ministerial guidance on performance metrics
 to involve the Board in the strategic Asset Management decisions
 to maintain a sustainable balance between cost, performance and risk
The Fundamentals of Quantitative Analyses
Dr Erwin Kienegger, representing the consultancy S&G Asset Management, stressed the importance
of data quality in formulating an Asset Management plan. Dr Kienegger suggested using all the data
available to the organization and to pick them up at the highest level of detail. He explained the
power and added value of quantitative analysis, supported by the LCC AMQM software, in relation
to:

2.  qualitative maintenance analyses
 time span analyses
 life span analysis
 maintenance effect analyses
Quantitative analysis lead to substantial Opex and Capex optimization, without decreasing the
performance of the assets or increasing the risks. Savings, on average, of 5‐10% in maintenance and
10‐20% in investments are realistic. Dr Kienegger focused on the need for organizations to construct
an asset database containing all this information as fundamental to a transparent decision process.
The Asset Management Landscape
One of the most prominent features in the field of Asset Management has been the development of
common Asset Management methodologies. Richard Edwards, a Board member of the Institute of
Asset Management (IAM), associated the growing realization of the role Asset Management has
within an organization with the proliferation of training courses in the field and the increase in
standards, particular to Asset Management (e.g., PAS 55, ISO 55000).
Edwards underlined the benefits of comprehensive training in the many subjects that define the
scope of Asset Management, these include:
 greater access to guidance and leading practice material
 help in aligning the thinking that is influencing the global asset community
Asset Management Standards
Ir. Kris Laureys, senior manager of the KPMG Europe LLP Asset Management Competence Centre
presented a full review of the PAS 55 standards whose scope includes every sort of asset an
organization can invest in: physical assets, it assets, intangible assets (reputation, image), financial
assets and human assets.
He said that the purpose of the PAS 55 standard is to establish the asset management policy,
strategy, objectives, plans and performance measures needed to deliver results in alignment with
the overall corporate strategic plan. It is also designed to help businesses by raising the bar for Asset
Management competency.
In the business case for PAS 55 certification, Mr. Laureys pointed out that asset intensive
organizations that are certified can expect a better return on investment, cost savings, an
internationally recognized benchmark, enhanced corporate governance and improved risk
management. Mr. Laureys also mentioned the importance of the support and the real added value
of a PAS 55 expert / auditor during your journey.
Case study: Customer‐focused Asset Management at Evides
Boris Neefjes, Manager Maintenance and Technical Support at the Dutch water company Evides with
multiple locations, explained how his company translated different customer needs at each location

3. into a series of risk matrices related to the company’s strategy, the activities of each individual
installation, and a maintenance plan.
Mr Neefjes and his team ensured control of the company’s assets by enforcing and actively
participating in a change management process, which led to workers in the departments responsible
for managing assets to look at their roles differently and improved the level of cooperation among
them.
The PAS 55 certification process was also useful in order to indicate the areas in which improvement
was needed. This raised awareness both among senior staff and the workers in the field.
Round table Discussion
A round table discussion on the value of PAS 55 accreditation ended the congress on a positive note
as a large majority of the participants felt it validates a company’s Asset Management policy and
provides a benchmark by which organizations can be measured on an international scale.
Despite the generally affirmative view of PAS 55 accreditation, certain red flags were raised. Some
participants referred to the fact that for accreditation to be successful, a broad basis of commitment
must come from top management. Someone else brought up the subject of getting the lifecycle and
risk considerations into all the decision making.
Conclusions
This event offered a thorough examination of the latest Asset Management methods and techniques
from some of Europe's most prominent organizations. The delegates were shown ways to improve
and implement successful Asset Management programs, with an emphasis on managing business
critical assets, thereby resulting in increased asset performance, lower costs and risks and
interoperability.
The case studies looked outside of one specific industry and beyond the borders of most attendees’
country of operation. This provided a real potential to create new working relationships/ business
opportunities and work towards a low cost, low risk, efficient common approach to Asset
Management.
Following the interest shown by the participants to this Congress, we at KPMG look forward to
working with you in the future and meeting you at the next Congress.
To stay up to date with the ongoing developments in physical Asset Management, please follow the
KPMG Europe LLP Asset Management Competence Center on Twitter and LinkedIn.
If you request further information don’t hesitate to contact us on info‐amcc@kpmg.be or visit our
website kpmg.com/be/amcc
Your KPMG Asset Management Team