Organizations are equipped with a lot of assets and sometimes it becomes so hard to know where assets are located. To manage assets effectively, organizations must use asset labeling. Therefore, in this blog, we will know what exactly Asset labeling is. What are the benefits of Asset labeling? And several other questions and answers as well. It will help you to make the most of your assets. So, without wasting any time, let us begin.
Q. 1 - What Is Asset Labeling or Asset Tagging?
Asset labeling is the process of giving a unique identity to every asset. It is helpful to an organization when an organization is equipped with a lot of same-looking assets.
Asset labeling process decreases the. Manual asset tracking and automate the process. It is also helpful in providing accurate asset location & reduces human errors.
According to Fortune Business Insights, “The Global Smart Label Market size was USD 3.93 billion in 2018 and is projected to reach USD 13.91 billion by 2026, exhibiting a CAGR of 17.3% during the forecast period.”
Recommend To Read: 4 Reasons Why the Health Care Industry Should Use NFC Tags & Labels?
Q.2 - What Is the Importance of Asset Labeling?
The importance of asset labeling is discussed below:
1. Asset labeling automates the asset tracking process & eliminates manual asset tracking.
2. You can easily create asset lists and keep them accountable.
3. Asset labeling saves assets from asset theft & misplacement.
4. It improves asset visibility and adds security to the asset.
5. It can enhance the productivity of the organization and employees.
Q.3 - How Does Asset Labeling Work?
To maximize the Utilization of asset labeling, one must invest in asset management software. Each asset label contains a unique identification number that is adhered to the Asset. Now, this unique number is stored in the asset management software.
With this software assistance, you can get all the information related to each asset from every aspect. So, whenever any label is scanned it automatically fetches all the information stored in the system asset location, asset condition, asset last maintenance is given date, maintenance due date, and so on.
Q.4 - What Are the Benefits of Asset Labeling?
Below we have mentioned a few of the major benefits of asset labeling:
1. Physical Verification
Physical verification is an essential part of asset auditing. You can easily verify your assets with asset labeling as it provides asset location in real-time. So, asset labeling can help the organization in the asset audit process and finishes asset audit more quickly and efficiently.
Asset label scanning assists in quick asset verification and asset counting is simplified. Physical verification shall be done regularly as it saves assets from theft & misplacement and makes them accountable. It minimizes the chances of ghost assets as well.
2. Asset Location
When you have lots of assets, it is difficult to know where exactly each asset is located. Asset labeling helps in providing accurate location of each asset. It saves time for looking for assets. So, it makes you more productive.
Missed To Read: What Are the Best Practices of Asset Tagging in an Organization?
This feature comes in handy when your work location keeps on changing regularly, for example in the construction industry asset locations change as they are required in different locations from time to time. With the asset location feature, you can find the exact locations of assets within a few clicks.
3. Valuable Information
Asset labeling can provide valuable information related to each asset when it is synchronized with asset labeling software. It can help in maintenance, enhancing asset life cycle. Most importantly you can decrease maintenance expenses and optimize asset performance that will help in increasing production work.
Q.5 - How Asset Labeling Helps Businesses?
Asset labeling helps businesses in several ways:
1. Asset labeling provides accurate asset location.
2. It can automatically record the entry and exit of asset.
3. Helpful in the asset auditing process.
4. Provide crucial asset analytics for asset optimization.
5. Better regulatory compliance.
6. It is a time-saving process.
7. Scanning asset tracking labels quickly fetches asset data in real-time.
Q.6 - Which Type of Asset Labeling Will Be Best for Your Business?
There are several types of techniques available, as we have told above choosing technology depending on your requirement and business type. Some labels come in simple paper form; others come with plastic shields, polyesters, and so on.
One thing you must ensure is that labels must be of good quality so that they remain useful. If the environment is harsh (too cold or hot) then it must be workable in that condition as well.
Unquestionably asset labeling is essential for business especially when you have a lot of assets. To make the most of your assets investing in asset management software is essential.
Asset Infinity’s asset management software will enable you to scan multiple asset tags at once & access all information in the offline mode as well. For better understanding, you can add images, videos, and descriptions as well. You can learn asset movement history as well.
Frequently Asked Questions (FAQs)
1. Which Are the Most Used Asset Tracking Technologies in Small & Mid-Size Businesses?
Barcode, QR Code, RFID are the most used asset tracking methods in small-scale businesses. As these techniques are economical and affordable compared to others and lots of big organizations also utilize these technologies.
2. What Are the Various Types of Asset Tracking Technologies Available in the Market?
In the market, there are several types of asset tracking techniques available such as barcode, QR (Quick Response) Code, RFID (Radio-frequency Identification), GPS (Global Positioning System), BLE (Bluetooth Low Energy), NFC (Near field communication), IoT (Internet of Things).
3. What Are Ghost Assets?
Ghost assets are those assets that are mentioned in the account books of organizations but physically it is nowhere to be found. Ghost assets are very dangerous for businesses as organizations pay taxes for those assets that they are not using. Furthermore, if that is found in external asset auditing then the organization might end up paying a huge penalty amount. With asset labeling, you can easily eliminate the chances of ghost assets existing.