4 Secrets to Correct Asset Management
In business, making the most of your assets is crucial; it’s wasteful not to. That is why in the news, we see Swiss engineering giant ABB selling its assets in Baldor’s generator-set to Generic Holdings because Generic are in a better position to create additional value for the business. If you’re not squeezing the most out of your assets and don’t know how you can, we’ve created a short guide to explain things in clear, comprehensive detail. So here are our four secrets to correct asset management.
4. Get to Grips with Auditing
If you’ve got assets but don’t know how to keep track of them, you need to purchase a mobile scanning device and some barcodes. All of your physical assets should be bar-coded with a unique number so that at least once a year you can spend a day (or possibly more) checking off your products to see where you stand in terms of numbers.
3. Understand the Asset Lifestyle
An important reason you audit your assets in the first place is so that you can begin to understand how they are being managed. If you can learn how your assets are treated – i.e. where they’re located, who uses them etc. – then you can measure whether they’re being used efficiently.
2. Be Process-Driven
There are two kinds of business: a talent-driven company and a process-driven company. When you’re asset managing, you need to be firmly in the second camp. Create a sophisticated reporting system that shows the points from (4), as this will help you act on your feedback faster.
Even better, each year when you come to auditing your assets and reporting back on them, you’ll have a process in place which means you won’t be starting from scratch every single time.
1. Lower Your Costs
If you implement the asset management strategy suggested by the above points, you will almost certainly reduce your spending. For one, you’ll be able to react to your audit reports faster than you previously could, as by viewing trends you’ll be one step ahead. This should lead to clearer asset purchases; ones that you won’t need to sell soon after acquisition as a result of a bad investment.
So ultimately, correct asset management is about having a rigorous process in place and having the equipment and reporting tools to be able to measure it. One thing that could make your life easier is having a unified, bespoke piece of software that can measure your assets from one central online location. There are actually lots of companies out there offering such a solution, like Assetware Technology, so have a look and see how much better your business’s asset management could be.