Asset management is a systematic process designed to track, maintain, procure, and dispose of different types of business assets. It provides information like location, ownership, and utilization details about all assets stored in your organization. With an asset management system, a business can monitor physical assets, heavy equipment, furniture, IT devices, and much more.
When implemented in the correct manner, asset management improves organizational efficiency, lowers downtime, and facilitates growth. For the greatest return on investment, many companies automate their asset management systems.
Hosted on the cloud, automated asset management software enables businesses to eliminate manual processes thereby saving time and money. Businesses can minimize erroneous asset information and help get a better understanding of equipment utilization.
Let’s delve deeper into how asset management automation can help your business:
1. Improve asset visibility
Keeping tabs on multiple assets can be quite challenging, especially if you don’t have a properly documented system to manage workflows. Asset management automation enables businesses to record all details on a centralized platform.
Having all asset-related information in one place means that employees can access desired data anywhere, anytime.A cloud-based management system lets you organize your assets for different departments in a company. Doing so improves team productivity as items are readily available without conflicted reservations.
Instant visibility into your assets reduces the chances of misplacement or theft. With every single detail logged into the system, admins can easily spot inconsistencies and take immediate action.
2. Implement real-time tracking
One crucial part of asset management automation is asset tracking. This means businesses can label each one of their items with a barcode, QR code, or RFID tags. Each tagging option has its own merits depending on the nature of the business. Real-time asset tracking enables companies to monitor equipment and tools out in the field as well as in a warehouse.
By using asset tracking software, admins can receive instant notifications every time an asset changes its location. These alerts can also help you track asset ownership at all times. Real-time access to asset movement ensures transparency and improves employee collaboration. With updated asset data at hand, businesses can troubleshoot issues instantaneously and speed up workflows.
3. Optimize asset lifecycle management
In order to achieve maximum ROI, it is important for businesses to understand their asset lifecycle. The best way to do so is to automate asset management. This way businesses can track assets right from procurement to disposal. Effective lifecycle management can extend the total useful life of assets, reduce downtime, and improve overall performance.
An asset management system provides real-time information that can be used to drive business decisions through various stages of the life cycle. A central repository of all asset-related details can help to plan procurement of new stock or replenish existing inventory items. Next, when goods are being utilized, businesses can set up preventive maintenance schedules to eliminate chances of unpredictable downtime.
With the purchase dates recorded in the system, you can easily calculate depreciation on items throughout the year. Accurate depreciation estimates help companies prepare for timely disposal and reacquisition to keep their daily operations going.
4. Streamline compliance and audit
As companies prepare for audits, they need access to up-to-date data. By using an automated asset management system, businesses can maintain accurate asset records. When every asset transaction is properly accounted for, it reduces the risk of fraud for successful audit practices. Asset management software also maintains a full summary of all financial transactions made for procurements, service and repairs which is extremely helpful for audit compliance.
Real-time asset records ensure that there is no inconsistency between the documented and actual equipment on the field. Moreover, most asset management systems support barcode scanners that can verify ownership by tracking asset movements. This leaves no room for unauthorized access.
Apart from audits, asset management automation is also very beneficial for meeting compliance regulations. Details like maintenance records and procurement receipts ensure everything is according to the mandated guidelines. You can store consistent baseline information and keep up with the changing guidelines to avoid penalties and a tarnished reputation.
5. Access actionable insights
Asset management automation is more than just a repository for all your data. Businesses can use the software to transform simple numbers into actionable reports. Such reports can then be used as official business documents to monitor growth and investigate high-risk, bottleneck areas.
For instance, if the maintenance reports suggest that the HP Laserjet printers in your office have been frequently sent into maintenance for the past month, it could be a sign to switch your printer vendor.
Other than this, asset reports can also show trends over a specific period of time. This is especially useful if you want to evaluate business performance over the years. Based on these analytical tools, companies can then forecast future needs and make decisions accordingly.
Businesses relying on manual methods have a high chance of losing out on critical information due to inaccuracy. For this reason, automation of asset management leads to higher efficiency and improves overall productivity levels. With actionable data at your fingertips, you can view performance and utilization trends of each asset group and design strategies to increase their rate of return.
Automated maintenance cycles and depreciation reports lower costs associated with frequent breakdowns. A higher equipment uptime ensures that employees always get the tools they need and therefore, accelerates task completion rate. Based on these benefits, it is important to make the right investment and automated asset management is without a doubt your best candidate towards achieving business efficiency!