IAM Certificate IAM-Certificate Passing Score

A sound strategy evaluatesfuture customer needsto ensureasset capability and investment planningis aligned. Backward-looking or restrictive approaches do not align with proactive asset management.

Exact Extract from IAM – Asset Management: An Anatomy (v4), Section 4.3 – Demand Analysis:

“Asset strategies must reflect an understanding of both current and future customer requirements, including external drivers of demand.”

Capital Investment Decision-Making is a structured process that evaluatesinvestment options, typically considering total lifecycle cost, business value, and risk. While asset replacement may be a consequence, the broader goal is optimization of value creation through new asset deployment.

Exact Extract from IAM – Asset Management: An Anatomy (v4), Section 4.3.3 – Capital Investment Decision-Making:

“This includes identification, evaluation, and prioritization of investment options to create, upgrade or renew assets in alignment with organizational objectives.”

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.”

TheIAM Conceptual Modelconsists offour primary elements:

Why– Value

What– Strategy & Planning

How– Life Cycle Delivery Activities

Enablers– People, Processes, Systems

Exact Extract from IAM – Asset Management: An Anatomy (v4), Figure 1 – Conceptual Model:

“The model contains four domains that together define the purpose, processes, and enablers of asset management.”