How important is Asset Management for an Organization?
Businesses across all industries need to keep track of all assets despite their different size and category. Knowing in-depth and detailed information about an asset’s value over its entire life cycle helps companies in many ways. A business needs to manage its assets efficiently to get the maximum possible returns, apart from just having the asset register. While improperly managed assets can also become cyber security vulnerabilities. Here is an explanation for what is asset management system, and why you need an effective asset management plan.
What is asset management?
Asset Management is the process of getting the most value of the assets by asset tracking, identifying the assets on the network, ensure free from the security issues and efficient operation of all status from purchase to disposal. By implementing an effective asset management plan, you can able to develop, operate, maintain, upgrade and dispose of assets cost-effectively. Anything tangible or intangible can be managed from a single place to provide maximum returns.
Reasons why it is important?
Act as a Central Database
Asset Management system acts as a central database of the company. It can store necessary information such as purchase details, copies of invoices, descriptions, maintenance history etc. This will let you know which assets have to replace and it’s time of preventative maintenance and inspections which reduces human error. Failing to keep track of new IT assets or removal of obsolete can lead to inaccurate record. For the reason that having an IT asset management process in place helps you keep track of changes so you can avoid these problems.
Proper Asset Tracking & accounting
Asset tracking enables tracking the assets from different locations and shows where the assets are currently located, last location history, how they are used, and when changes were made to them. So that you can easily identify the assets which were not reported or checked in by the user. Tracking the asset from purchase to disposal includes Supplier selection, Depreciation calculation, Sold information in order to maximize efficiency and minimize the loss. Additionally, finding ways to safely upgrade or replace them can help improve productivity.
Know the asset availability
Advanced functionalities of the software greatly increase the accuracy of the asset register and reduce the time spent over assigning the assets. The software allows assigning single/bulk assets at a time. While receiving the asset also, single/bulk check-in is possible. It helps to identify the exact status and availability of assets. knowing what assets are available can avoid the slowdowns and improve the efficiency, effectiveness & productivity of your business.
Get the benefits of cloud-based software
You can host this system according to the requirement in cloud or on-premise. The cloud-based software extends the benefits in cost and time-saving. No need to wait for the series of installation processes, updates in the cloud-based software of asset management. Since you don’t have to worry about issues with computer crashes or conflicts with other programs. additionally, new features will be published as soon as the development finished. Easy setup makes the project looks a lot friendlier.
Customization in hands
Asset management system comes with both predefined data fields and custom fields. Predefined fields may or may not apply to your business or sometimes you may require to manage Non-IT assets. To help in this situation, asset management software allows creating asset register with new fields of your own according to the requirement.
Get real time notifications benefits
Asset Management system will automatically send real-time notifications for all the major actions which performed over the assets. The notifications will send to the users as well as to the management. Additionally, the threshold feature of the asset management software allows managing the stock of assets on your own.
More than just counting
The asset management system provides a robust reporting feature to make insightful business decisions. Predefined reports will give the instant report anytime. But each department and teams of the organization may need a different type of reports for various purposes. Therefore custom report allows creating the own reports according to the different requirement. Likewise, asset management software can streamline the complete requirements of your organization.
Identify risks & get crucial regulatory compliance
Observing regulatory compliance and audit policies are necessary for every organization. If you don’t have an effective asset management plan, it is impossible to follow the numerous industry regulations. So, the asset management software monitors the license compliance and manages warranties on hardware assets. As a result, it meets the guidelines of other regulatory requirements for the asset register to avoid severe penalties.
Get our experts help in audits
The auditing procedures ensure the existence of assets in a company. The audit team of the asset management software follows the same procedures and perform internal audits in a regular interval and provide the audit report. So that, you can better identify inefficient procedures and then eliminate them.
Get a more efficient operation ever
Effective asset management plan increase the performance with its automated processes. The software has the bar-code facility which makes the physical asset verification process easier. Similarly, the collaborative working of the software helps a business to reduce both the overall capital expenditure and operating expenditure related to the assets.
The benefits will begin from the asset register creation and extend up to managing your employees, projects, suppliers, tasks and so on. Managing assets manually takes a lot of time and costs without getting the equivalent results like spreadsheets. Hence, consider using an automated system which has all features to manage it to optimize the assets. The same can provide the opportunity to plan against financial, operational and legal risk.
Also visit, Fixed Asset Auditing Procedures
