Asset Tracking Software and SMBs
Asset tracking software is being used by small businesses all over the globe to manage both assets and employees those assets are assigned to. It helps increase ROIs, bolster security, and encourage accountability across the organization. However that’s not all a great asset tracking software does. In-depth Reports modules can help small businesses keep track of asset-related KPIs that can further strengthen the organization and lead to a better understanding of what needs to be focused on for continued success.
Why track KPIs?
Any small to medium business knows the importance of tracking valuable insights across their industry, particularly as they relate to equipment management. Basic metrics such as asset value or growth have always been important, but to contextualize this type of broader information, a business must always get down to the specifics. This can help them see how certain actions link together, for example, or pinpoint areas that need to be addressed more directly to streamline the way they manage equipment.
Of course, measuring Key Performance Indicators is of little help if you do not have processes in place to react to the nuances in your results. In addition, consistency in KPI measurement is often the most important aspect of data analysis; if gathering information is abandoned at some point, or not done regularly. the data can have very little of any real value to say.
This is why generating monthly reports can be extremely helpful. Here are 5 valuable KPIs you can track using an equipment management software that will help you achieve your business goals a lot quicker!
Asset Utilization
If you’re a company that relies on equipment to help employees get their jobs done, you need to check which assets are being used consistently and what the demand for them is like. The ability to filter by groups and locations, for example, can help you hone in on areas that need special attention. Perhaps some tablets from the Finance Department aren’t being used much, and the upkeep overheads make them not worth having around at all. Reports that show additional information such as custom fields – such as displaying a ‘Usage’ value ranging from ‘Light Use’ all the way to ‘Heavy Use’ – can add even more depth to your utilization analysis.
Inventory Turnover
Inventory turnover is an extremely valuable metric for your SMB. It can help you determine how often you needed to restock inventory levels throughout the course of a specific time period, which in turn allows insight into stock consumption, wastage, and the associated overheads. This is particularly helpful when you can see the ‘actions’ taken on a specific set of inventory items, or even on items managed by a specific employee. This is because it provides a deeper understanding of where extraneous orders are being put in, and can also lead you to re-evaluate low stock thresholds to ensure shortages become a thing of the past!
Equipment Reliability
For business workflows to be seamless and efficient, all equipment used needs to be in the best shape possible. This not only makes it more productive and effective in the present, but also improves asset longevity, ensuring that long-term costs are brought down too. A great way to see how reliable equipment is in terms of fulfilling business processes is to see its maintenance history. You might find that some equipment isn’t being serviced as consistently as it should, or even worse, that too many maintenance personnel and servicing resources are being dedicated to equipment that would be better off retired. Reports that help you the nuances in equipment maintenance can help lower costs for both predictive and preventive maintenance.
Audits
Audits play a pivotal role in maintaining asset security, and ensuring all company equipment is accounted for. Without audits, things can get lost, misplaced, or stolen without a mechanism in place to recover them, or even to discourage thefts from occurring in the first place. The ability to create a report consisting of all assets that weren’t audited in a specific timeframe can be extremely useful. For example, an employee could go through a warehouse scanning all equipment present, and later run a report to see which assets are unaccounted for. This can help you quickly identify what to be on the lookout for, and pinpoint areas or items that need heightened security, for example.
Vendor History
Of course, it isn’t enough to know where you assets are currently or where they’re going to be in a few months’ time. Looking back at acquisition can also be a great exercise in improving asset value. Organizing vendors in such a way that you can view details on all assets acquired from them can be extremely invaluable; it tells you who to trust and whose practices you’d want to be more wary about in the future. Reports focusing on procurement can help you figure all of this out, but you can also glean additional information. Seeing how a particular vendor has changed prices over the years, for example, or being able to go directly to a particular Purchase Order can help you make more informed choices moving forward.
Conclusion
Equipment management software is therefore extremely crucial if businesses want to ensure they’re measuring the right KPIs as far as their assets are concerned. This will not only help them lower costs and increase returns on investment, but will also ensure their assets have longer lives and are part of much more streamlined workflows.
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