ISO 15663 PDF

It is a decision process which addresses the development of the service life of a building component , building or other constructed work like a bridge or tunnel. Its approach is to ensure a proposed design life has a structured response in establishing its service life normally from a reference or estimated service life framework. Then in turn secure a life-cycle cost profile or Whole-life cost when called for whilst addressing environmental factors like life cycle assessment and service life care and end of life considerations including obsolescence and embodied energy recovery. Service life planning is increasingly being linked with sustainable development and wholelife value. The objective of service life planning is to provide reasonable assurance that the estimated service life of a new building on a specific site, with planned maintenance, will be at least as long as the design. Service life planning facilitates the making of well-informed decisions regarding value engineering , cost planning , maintenance planning , and environmental impact.

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In the unlikely eventthat a problem relating to it is found, please inform the Central Secretariat at the address given below. Unless otherwise specified, no part of this publication may be reproduced or utilized in any form or by any means,electronic or mechanical, including photocopying and microfilm, without permission in writing from either ISO at the address below or ISO smember body in the country of the requester.

The work of preparing International Standards is normally carried out through ISO technicalcommittees. Each member body interested in a subject for which a technical committee has been established hasthe right to be represented on that committee.

International organizations, governmental and non-governmental, inliaison with ISO, also take part in the work. Draft International Standards adopted by the technical committees are circulated to the member bodies for voting. Attention is drawn to the possibility that some of the elements of this part of ISO may be the subject of patentrights.

ISO shall not be held responsible for identifying any or all such patent rights. This will happen faster and more effectively if a common approach is agreedinternationally. Life-cycle costing is the systematic consideration of all relevant costs and revenues associated with the acquisitionand ownership of an asset.

It is an iterative process of estimating, planning and monitoring costs and revenuesthroughout an asset s life. It is used to support the decision making process by evaluating alternative options andperforming trade-off studies. While it is normally used in the early project stages evaluating major procurementoptions, it is equally applicable to all stages of the life-cycle, and at many levels of detail.

This part of ISO has been produced to provide guidance on practical steps that can be taken to introduce theorganizational and functional aspects of life-cycle costing into the offshore oil and gas business. It focuses on theimplementation issues identified by the industry, both those common to all and those specific to each participant. Keyissues addressed are— life-cycle costing within the organization:how it should be organized, coordinated and managed;— the contract:the procedural elements of incorporating life-cycle costing within pre-qualification, tender and responses;— risk and uncertainty:primarily viewed from the contractual standpoint within risk sharing or risk transfer frameworks such asalliances ;— communication:across the supplier chain operator contractor vendor , how it can be achieved and configurationcontrol or an audit trail maintained.

Experience has demonstrated that— for the operator, life-cycle costing integrates readily with existing appraisal techniques, can quantify andoptimize costs and revenues over the total life of a field development, thereby reducing uncertainty,— for the contractor, life-cycle costing provides techniques to support the extension of his role into areas such asmaintenance management, integrated service provision, engineering services contracts and life-cycle costingconsultancy,— for the vendor, life-cycle costing provides a common and consistent basis for demonstrating improved serviceand quality, thereby extending his role beyond technical compliance and lowest price.

There are opportunities and challenges for all parties within the oil production industry to benefit from the introductionand use of life-cycle costing techniques. The aim of this part of ISO is to provide practical guidance to operators, contractors and vendors in theintroduction and role of life-cycle costing techniques.

It seeks to address the issues associated with life-cycle costingwithin evolving industry custom and practice. This is illustrated in Figure 1 which shows the evolving situation. For a life-cycle costing implementation strategy, two key components emerge.

These are the interface issues therelationships between participants at the boundaries and the internal business processes required to support themanagement and presentation of the information flowing across the interfaces. In practical terms, these translate into the need for a non-prescriptive life-cycle costing implementation strategy thatprovides a basic framework to assist in the development and introduction of an engineering and design strategy andsupport strategy at all levels, together with its translation into a contract.

Equipment vendors and purchasers therefore need to work towards ensuring that wherever possible value, and notprice, is increased by the life-cycle costing process. This part of ISO is structured into the following sections:— the project or field life-cycle;implementation issues specific to the different phases of the life-cycle.

The three last-mentioned sections addressing the implementation issues are considered important to eachparticipant. Theguiding principle is that the life-cycle costing discipline does not stand in isolation, but should be integrated withinexisting support functions to extend their capability. This part of ISO is applicable when making decisions on any option which has cost implications formore than one cost element or project phase.

This part of ISO is applicable to all project decisions, but the extent of planning and management of theprocess will depend on the magnitude of the costs involved and the potential value that can be created. The guidelines will be of value when decisions are taken relating to new investments in projects or during normaloperation to optimize revenue.





ISO 15663-3:2001


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