What Is Asset Management?
Asset Management is the process of managing and monitoring assets efficiently. Basically, its main function is to track and records assets across their entire life cycle. It offers actionable data to the organization like where each and every asset is located, who the user is and how it is being utilized and the asset would need maintenance.
Physical asset management resolves issues of organizations such as return on investment, maintenance activity, inventory management, etc.
From the hospitality sector to the construction industry, from healthcare to the food services, asset management is present practically everywhere. While some organizations still do it manually, many are using the software. Asset management is as important to a company as their assets. In this blog, we will try to understand what asset management is, what its types and benefits are.
What Are The Benefits of Asset Management?
Here are a few of the main asset management benefits:
Decreased Asset Breakdown
When an unforeseen breakdown occurs, it not only costs money but also creates hurdles in the company’s productivity. The workers are rendered idle and the whole downstream process gets affected.
Not maintaining assets regularly can cause breakdowns, expensive repairs, etc. The asset management software emphasizes on scheduling maintenance because when it comes to problems, prevention is better than repairing.
Maximizing Asset Life
The real importance of maintenance is realized when a machine or vehicle is deployed on a heavy workload. For asset maintenance, the software will send alerts and notify the personnel automatically. Consequently, physical asset management is done efficiently.
Tracking asset life is also essential for an organization. With asset tracking management software, it is easy to find out if an asset is working properly, whether it needs any kind of maintenance and so forth. Overall, the system makes sure that assets are functioning in peak condition and performing as per expectations.
When the organization is appraised on the status of its assets, they also can make correct decisions. This helps in saving costs and extending the life of assets. One of the major benefits of asset tracking is that it enables tracking, managing, and enhancing the asset’s life cycle. Asset tracking provides regular updates and reports on the maintenance of assets, thereby optimizing the asset life.
Preventing Asset Theft
In a small size organization, the menace of asset theft can be better managed if there is a limited number of vehicles and the track record of maintenance can be kept. However, if the number of vehicles is high, it becomes very difficult to manually keep track of assets as well as their maintenance history. Moreover, the chances of asset thefts also increase. Therefore, the software is necessary to keep track of assets efficiently and comprehensively.