Asset tracking software has been recognized much less than its actual worth. Leveraging its value is important for organizations to work efficiently. Organizations acquire a wide range of assets to increase their brand value and business income.
However, increasing volumes tend to weaken the process of facilitating business operations. There exist many problems linked to asset tracking that pull down the productivity of an organization.
Problems Before Implementing Asset Tracking Software
Loss of Assets
A report says that organizations can lose revenue up to $10 million due to lack of security. Asset and equipment loss for any reason is the major concern faced by organizations across several industries.
To efficiently prevent theft and misplacement, organizations should implement a powerful asset tracking software.
In its absence, the business will be vulnerable to thefts and losses of time as well as money. The system provides the means to deeply analyze the information of assets and equipment in accordance with organizations' strategy.
Keeping stock of certain assets can often be difficult as the right quantity to stock up cannot be determined. This can lead to excess or short stocking.
This affects business performance as well. Extra stock means that much amount of additional money spent and insufficient stock can lead to production delays in the value chain.
Stock management with asset tracking greatly helps in managing the optimum stock levels and issuing accurate purchase orders based on consumption, previous orders, and production requirements.
Recurring Equipment Breakdowns
The major cause of equipment breakdown is ageing of the equipment or lack of maintenance thereof. If you are also facing regular equipment failures for a long time, you need to put in place correct maintenance schedules and systems.
Preventive maintenance software is very successful in eliminating downtime by:
- Increasing uptime and useful life of assets
- Boosting efficiency and productivity of tools
- Lowering costs of overall maintenance
- Reducing labour downtime
Low Asset Visibility
Organizations regularly hold meetings and conference. This means a lot of planning is involved in advance. However, the organization must know about all their assets, where they are located or installed, their maintenance status and so forth. All such information makes the planning that much more effective.
Asset tracking software helps a lot here to identify assets, their availability, their maintenance status etc. It makes sure the required assets are available and the event can be successfully executed.
Also Read: 5 Risks of Not Using Asset Tracking Software in an Organization
Benefits After Implementing Asset Tracking Software
Asset tracking software helps in tracking movement of assets - IT equipment, devices or software - within the organization. The system scans the entire assets to provide a quantitative record to enable their physical monitoring. Through the use of asset tracking software, organizations can schedule preventive maintenance of assets.
There are various reasons why enterprises should use asset tracking software:
1. Enables Asset Recovery
When an organization is deploying thousands of assets, it can be problematic if one gets detached from a big batch. Significant man-hours and productive time can be spent on looking for assets.
Consequently, the business is likely to experience delayed production, increased costs and a flurry of customer complaints.
All this can be avoided by implementing an asset tracking software. The software helps in knowing the location of a particular asset at any time, with its exact GPS coordinates.
2. Improve Customer Service
Customers expect a positive return on investment when they sign a contract and invest in doing a commercial deal. Among the many things they expect is exact information about location of their assets in real time.
Asset tracking software enables in keeping tabs on your customers' assets all the time. You can also track the efficiency in which items are moving through your internal processes and uncover opportunities for improving productivity.
3. Real Time Asset Management
By using tracking software, you can have a good picture of your business assets. You can track items in real time right from when they arrive or are moved to a particular location.
Accurate asset tracking is critical for efficient data management. Thanks to this feature, duplicate records can be eliminated. The user can assign each asset a unique identification number to prevent data from being compromised, e.g. when two or more assets share the same serial number.
4. Increase Productivity
An asset tracking application can helps in keeping track of how many different items are passing through departments. As a result, the asset's lifecycle can be calculated.
If the assets are fixed with RFID tags, they can be scanned automatically as they move through different stages of the process. This eliminates the need of manually scanning and logging the movement of assets.
An asset tracker frees personnel from routine tasks and enables them to focus on other areas of the business that contribute to the bottom-line of the enterprise.
Also Read: What is the Importance of Asset Tracking in CMMS?
5. Least Unnecessary Repair and Maintenance Costs
It is crucial to track the life cycle of assets used in projects that can last for months or years to complete. When you have essential information about an asset, e.g. when it was bought, how often it is used, how regularly it is being maintained etc., you can monitor its life-cycle and plan for its eventual replacement. Unproductive items inhibit operational efficiency and lead to unproductive costs.
Asset tracking software can be used to monitor and anticipate devaluation of items, and their consequent replacement in time.
6. Allows Maintenance Tracking:
Maintaining assets is crucial for process efficiency. With advanced asset tracking software, you can set repeat alerts for the regular maintenance of equipment used in the business, e.g. alerts can be set based on knowledge about an asset's previous usage or condition.
Some asset tracking applications can also be integrated with a complaint ticketing system to help know the person in charge of maintenance, expected completion date and so on.
7. Easy Asset Audits
Asset audits, whether done internally or externally, can put a lot of strain on the business. However, audits are important as they enable a business to identify potential ghost assets or expired licenses. The organization may be incurring costs for ghost assets in the form of taxes and maintenance fees.
An asset tracker can help you perform audits to increase the visibility of your assets and mitigate compliance risks. The software provides accurate data that can be greatly useful for making informed decisions.
8. Streamline Maintenance Schedules
Companies routinely fall behind in maintenance management as they use manual methods to track their schedules. If the assets in operation require ongoing or periodic maintenance, asset management software will provide an information lifeline. It alerts personnel about scheduled maintenance to ensure there are no delays.
9. Ensure Regulatory Compliance
Many small and medium-sized enterprises operated in heavily regulated industries. Such units are required to efficiently capture and report data that ensure their compliance with regulatory requirements.
Asset tracking can help organizations comply with regulatory conditions such as equipment maintenance, calibration and testing. Their reporting requirements can be completely streamlined by using an advanced asset tracking software, e.g. you can get detailed compliance reports in minutes. The same reports would have taken months if the data was compiled manually.
10. Ensure Accuracy
Lastly, an asset tracking software enhances the confidence that the organization has achieved maximum accuracy in asset tracking. Proper tracking allows an organization to successfully pass internal and external audits.
Using asset tracking software can help your company to scale up in strategic expansion plans. As the tracking process is automated, users in the company can track assets in real time and provide customers, auditors, and vendors with requisite data in a customized format.
Also Read: 7 Ways to Improve Business Profit through Asset Tracking System
Asset Tracking Software is the conclusive solution for all asset tracking-related problems. It enables setting clearly-defined goals and objectives. With the asset tracking software in place, you can increase the ROI and align with your strategic goals.