Asset management best practices

Data governance in construction

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What is data governance?

Data governance is the framework of policies, processes, and standards that ensure the effective management of data throughout its lifecycle. In the construction industry, where projects involve multiple stakeholders, complex workflows, and large volumes of data, a data governance strategy is necessary to manage the complexity of construction projects.

Data governance in the construction industry

 

In construction projects, poor data quality can lead to project delays, budget overruns, and compliance risks. Proper data governance streamlines workflows, enhances collaboration and provides a clear audit trail, which is crucial in an industry governed by strict regulatory and safety standards. Moreover, it can ensure that data is accurate, consistent, and accessible, enabling better decision-making and reducing errors.

How is data governance different from data management?

While data governance establishes the rules and frameworks for data usage, data management focuses on the operational execution of these rules. Governance is the strategic foundation—defining policies for data quality, access, and security—while management involves the day-to-day processes, tools, and technologies to implement these policies. In the construction sector, governance ensures alignment with standards like ISO 55013, while management handles tasks like storing and organizing project files.

Key challenges in data governance for the
construction industry

In 2006, British mathematician Clive Humby is said to have coined the phrase, “data is the new oil.” Michael Palmer later expanded on this, noting that, like oil, data is “valuable, but if unrefined it cannot really be used.”

Today in the construction industry, data has indeed become a strategic asset essential for innovation, decision-making, and optimising asset performance. Yet many organizations still struggle and face challenges to unlock the full potential of their data. Recognizing data as an asset requires careful and strategic oversight throughout its lifecycle.

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The ISO 55000 series: a framework for asset management

The ISO 55000 series, introduced in 2014, provides a framework for asset management by systematically addressing the lifecycle of physical assets. With the growing importance of data, ISO introduced ISO 55013, Guidance on the Management of Data Assets, to help organizations treat data strategically and effectively. Asset management inherently involves data-driven decision-making, and ISO 55013 offers guidance on managing data with asset management principles. By adopting a structured approach to data management, organisations can leverage data for enhanced decision-making, thereby achieving asset management objectives more effectively.

ISO 55013: identifying data as a strategic asset - Key principles

Often not considered for its importance, ISO 55013 frames data as a strategic asset essential to all stages of asset management, from planning and operations to performance evaluation. Poor data quality can lead to ineffective decision-making, increased costs, regulatory non-compliance, revenue loss, and damage to an organization’s reputation. High-quality data, by contrast, supports operational efficiency, drives innovation, and enhances decision-making; therefore, it must be prioritised by organisations to fully realise these benefits.

To manage data as a strategic asset, ISO 55013 outlines principles focused on data governance, quality, and lifecycle management:

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  1. Data governance: Effective data governance is fundamental, as it provides oversight for data asset management. Organisations should adopt a governance framework that aligns data activities with strategic objectives, continuously improving and securing data integrity and quality. For example, models like the EDM (Evaluate, Direct, and Monitor) approach can help guide governance efforts.
  2. Data quality: High data quality supports performance optimisation, cost reduction, and risk mitigation. Aligned with ISO 55001 Clause 7.6, which calls for organizations to “determine the data and information needed to support asset management,” ISO 55013 emphasizes the importance of maintaining data that is reliable and fit-for-purpose to enhance overall asset management practices.
  3. Data lifecycle management: Asset data is generated throughout the asset lifecycle, from inception to decommissioning, and must be responsibly managed for as long as the asset exists. ISO 55013 offers a comprehensive framework for data lifecycle management, covering data collection, storage, analysis, and the use of data in decision-making.

Best practices for achieving ISO 55013 compliance

How should you go about achieving ISO 55013 Compliance? Here are some actionable best practices:

  • Ensure effective collaboration: Ensure all stakeholders, from project managers to contractors, adhere to governance policies. This includes ensuring clear communication and using shared platforms to facilitate transparency and consistent data usage.
  • Implement automated tools: Use software solutions to streamline data collection, validation, and reporting. Automation reduces the risk of human error and enhances efficiency in maintaining compliance with ISO 55013 requirements.
  • Conduct regular audits: Routine audits help organizations remain proactive in refining processes and adapting to new challenges or regulatory changes.
  • Align with other standards: Integrate ISO 55013 with related standards, such as ISO 19650 for BIM data management, to create a holistic governance framework.
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Conclusion

As data becomes increasingly essential in the digital age, ISO 55013 provides organizations with a framework for enhancing data quality, which in turn reduces risk, improves decision-making, and drives efficiencies. By adopting this standard, organizations can develop a comprehensive data management strategy that encompasses governance, security, and privacy, ensuring that asset data is treated as a vital contributor to performance, just like physical assets.

To effectively implement these strategies, organizations must explore solutions that facilitate the management of asset data throughout its lifecycle, including data collection, storage, analysis, and reporting. Tools such as enterprise asset management software and analytics platforms allow organizations to consolidate diverse data sources into a single source of truth, aligning with the framework to generate actionable insights. Ultimately, ISO 55013 serves as a crucial framework for organizations seeking to strategically manage their data assets, guaranteeing that high-quality information supports effective decision-making and bolsters overall asset management performance.

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