Standard Practice for Establishing the Guiding Principles of Property Asset Management
4.1 The intent of these principles and desired outcomes is to provide requirements and guidance for an effective and efficient system for (1) the acquisition of property, (2) the utilization of available property, and (3) the disposal of property. (40 U.S. Code § 101)
4.2 Asset management practices shall seek, when viewed in totality, to be effective and efficient, to the point at which benefits exceed the costs of operation.
4.3 The requirements and guidance in this practice shall be used to establish property management plans that strategically address organizational objectives including: scope, management system, management structure, process flows, alignment, internal controls, enforcement, risks, accountability, and resources to collectively realize optimal value from assets.
4.4 The intent of this practice is to promote the right sizing and scope of the asset management activity to appropriately manage organizational assets.
4.5 To establish a learning and innovative culture with continuous self-assessments and process improvements.
4.6 To establish policies, systems, and processes to timely prevent, detect, and correct operational weaknesses and deficiencies in internal controls that may result in waste, fraud abuse, mismanagement, and corruption.
1.1 This practice covers the creation of a set of guiding principles that, when adopted, is endorsed by top management to be applied to the practice of property management. These principles will enunciate the objectives and intent of the property (also known as “asset”) management community, stress simplified procedures, promote less rather than more, judgment rather than “by-the-book” decisions, and encourage the adoption of “best practices.”
1.2 The acceptance of these guiding principles provides the high potential of improved internal controls and governance. It promotes a problem-solving mentality and culture within the property management community, encourages the use of innovative and cost-effective practices, creates greater commonality between government and industry practices, and increases the ability of organizations to respond to changing needs and business conditions.
1.3 This practice adopts the concept that the potential benefits of operating in a manner consistent with a set of standards and guidelines outweigh concerns about the loss of predictability, uniformity, and consistency.
1.4 This practice provides property management standards and guidance that may be used for various types of property including tangible, intangible, personal, and real.
1.5 This standard does not purport to address all of the safety concerns, if any, associated with its use. It is the responsibility of the user of this standard to establish appropriate safety, health, and environmental practices and determine the applicability of regulatory limitations prior to use.
1.6 This international standard was developed in accordance with internationally recognized principles on standardization established in the Decision on Principles for the Development of International Standards, Guides and Recommendations issued by the World Trade Organization Technical Barriers to Trade (TBT) Committee.
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