Why fixed asset management software?
Fixed asset management is a tough nut to crack. The cost of acquiring and maintaining these assets is high, and deciding on a process that best utilizes and optimizes the performance of these items can be difficult to get right. Businesses want to keep storage and maintenance overheads low, while at the same time increasing ROIs and asset longevity. Trying to track and manage assets through spreadsheets can be painstakingly slow and ineffective; equipment gets missed, lost, or stolen, and there are no checks in place to ensure accountability or data accuracy. This is why fixed asset management software is a safe bet for businesses wanting to improve asset productivity. Let’s look at how this kind of solution helps businesses streamline fixed asset management.
Measure value at every stage
The defining feature of fixed assets is that they are long-term assets. This means they’ll be around for quite a while before procurement in the first phase, all the way through to their eventual retirement. This is why it is important to measure the value of your fixed assets at every stage of its asset lifecycle. A fixed asset management software with a robust reports module can come in extremely handy. It lets you see which items are waning in productivity or are a drain on your resources, enabling you to make better asset procurement and deactivation decisions. The software also enables you to benchmark and track valuable KPIs, refining the way you manage both your items and your operations in general.
Fixed assets often count towards the majority of your business expenses. This means that it is simply not feasible to rely on spreadsheets or other methods of asset management which do not allow you to put your data through various checks. Fixed asset management software enables you to simplify security by putting everything on the cloud, allowing different administrators to verify information independently. You can even limit employee access to sensitive data through access control features, ensuring a much more accountable business climate.
Pay attention to detail
Although fixed assets can be hefty pieces of equipment like forklifts or factory machinery, you’d be best served if you scale down and focus on the little details. This is because paying attention to detail can open you up to surprising insights on trends and usage that can greatly boost ROIs. This is why the option to log custom details is extremely helpful in fixed asset management. You can organize your assets into groups or even custom kits for more streamlined operations, and lower costs simultaneously!
A recent study by BOMA found that repair and maintenance makes up 15 percent of all overheads when it comes to fixed assets. This is why preventive maintenance can be a huge help for businesses struggling with overheads. Services that are planned well in advance will not only smooth our your workflows by lowering downtimes, but the regular maintenance of assets will make them more productive in the long-run. In addition to this, fixed asset management software that helps automate services can further reduce administrative burdens for your business.
Know when to let go
No business can run without fixed assets. Whether we’re talking a room to work out of, a computer that lets you run your store, or a piece of machinery that helps you contribute to a large project, fixed assets are extremely important. However, you also need to know when to let go. The ability to automatically calculate depreciation and adjust value accordingly is a huge boon for businesses, as it lowers administrative hassles and gives you one less thing to worry about. This kind of insight can help lower your Fixed Asset Turnover Ratio by enabling you to make the correct decisions about when to retire assets and make way for new ones. This allows you to streamline business processes so you have the best set-up possible.
Fixed asset management software is integral for asset-intensive businesses who want to lower costs and raise ROIs. Not only does it optimize the performance of these assets, but it ensures reliability and efficiency, freeing up time for administrators to focus on more immediate concerns.