Does your business have an asset tracking system in place? If not, then you are probably familiar with the following problems:
- Not knowing your assets. Although the importance of knowing what you have goes without saying, there are many organizations unaware of their assets. Probably due to overconfidence or simple neglect, they do not even have a list of what they have, much less a record of the condition of these assets.
- Improper asset maintenance. Without an effective tracking system, assets can either be over or under maintained. Over maintenance can result to unnecessary costs, while under maintenance might lead to the assets deteriorating at an accelerated rate.
- Inefficient operation. Because they do not understand how their assets work, organizations are unable to maximize their use. Improper use also leads to the shortening of the life cycle of assets.
- Risk management issues. The absence of an asset tracking system leads to improper management of assets, which increases risks that will eventually result in business losses.
Benefits of an Asset Tracking System
If your organization does not employ an asset tracking system, you risk losing not only your assets, but time and money as well. Therefore, you need a system that is designed to help you track items of value that help you run operations smoothly. An effective system will give you the following advantages:
- Accurate asset location and management. It can be a challenge to track where every single equipment is after it has been checked-in, checked-out or moved. A tracking system will give you access to records regarding the location of your assets which also ensures accountability of the staff who are supposed to handle them.
- Effective use of time. A tracking system eliminates the need for manual tracking, so employees can focus on more important tasks instead of chasing after misplaced or lost assets.
- Lower administrative costs. Because personnel do not have to manually locate assets, they are free to do other revenue-generating tasks. An automated tracking system also streamlines processes that leads to more efficiency. Finally, a tracking system in place reduces the risks of theft and asset loss.
- Less error. Because the system is automated, there is little room for error that is very common in manual tracking. There is no more need for paper records, so locating an asset can be done simply by looking it up on the system.
- Increased operational efficiency. A proper asset management system allows you to identify the commonly used assets in your operations, so you can create a better structure for your system. It also allows you to identify trends in your processes, so you can determine in advance what you need for these processes.
Although having an asset tracking system in your business might mean extra expenses, you are sure to have big returns on this investment. Aside from the above mentioned benefits, you will have peace of mind that comes with knowing that all your valuable assets are accounted for.