An introduction to asset management and asset management software
Asset management is no small feat – it allows for transparency on the company’s financial value. Asset management applies to both tangible and intangible assets. This section goes deeper on the definition of asset management and explores asset management software and its benefits.
What is asset management?
In simple terms, asset management is the management of an organisation’s wealth. Typically, it is managed by an investment manager and is clustered in investment portfolios. Asset management includes assessing the risks of investments, looking for opportunities and developing strategies for continuous growth.
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What is asset management software and how does it work?
Asset management software was developed to help companies optimise their assets. This is done by maximising returns while minimising costs. The asset management software should be easy to work with, integrate with the organisation’s systems, be easy to audit and provide visualisation on the value of assets through reporting. In other words, asset management software tracks asset values and improves the inventory management process. It constantly monitors the assets of the organisation. The software is commonly used by accountants for asset depreciation analysis, by managers for overall asset tracking and by warehouse employees who need to manage the inventory.
The software can be used as a standalone solution or may be integrated with the enterprise asset management software. Below are some features necessary for integration:
- Includes features for asset registries
- Manages the relationship between assets and categorises them
- Tracks assets across multiple locations
- Maintains records of inventory and any adjustments
- Includes technology to track assets
Benefits of asset management software
Asset management software may sound complex, but it may bring many benefits to your organisation. Take a look at the benefits below:
Provides a single source of truth
With asset management software, the company’s inventory is centralised in a single place and is regularly updated. This makes it a single source of truth.
Allows for asset tracking and monitoring
Tracking assets is one of the top benefits of asset management software. The software has strong tracking capabilities, which increases awareness on the life cycle of the assets. Real-time tracking may be possible depending on the software, making it effortless to localise and maintain assets.
Gives visibility and transparency on existing assets
Having transparency on existing assets allows businesses to know the state of play at any moment in time. The results will determine if there are any risks or opportunities. With asset management software, the organisation can have holistic visibility of their current financial situation. This allows for better, more informed, decision making.
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Eases the auditing process
Audits are frequent and businesses need to be in a constant state of readiness for them. Asset management software plays a consolidation role by simplifying the collaboration between stakeholders. Everyone will be ready for the audit and the solution can be used to extract accurate records.
These benefits of asset management software are not an exhaustive list and, depending on the tool selected, there is much more to asset management software. Overall, implementing the solution will allow for centralised and comprehensive asset visibility and will minimise human error.
How to select your asset management software
Selecting your asset management software is a process that requires a good understanding of your needs as well as of integration capabilities. The section below lays out the key criteria when launching such an initiative. It also presents some of the most relevant asset management software available on the market.
The selection process
Choosing the right solution will ensure that your processes are optimised and that you reach your desired outcome. When making your selection, consider the following points:
Understand your existing asset workflow
Gaining insight on your existing workflow is essential to define your needs. Ask yourself how the business assets are acquired and how they are monitored.
Consider the types of assets of the business
The type of assets that the organisation owns will have an influence on the software selected. At this stage, it is relevant to also prioritise the assets. Some will be more important than others. This categorisation will become useful when selecting the tool’s features.
Identify your needs in relation to inventory tracking
Inventory tracking is the backbone of asset management solutions. Define your inventory and ensure that the tool selected has the appropriate tracking features.
Understanding the points above is essential to gaining transparency on your state of play and therefore on what you will look for in the software.
Understanding the types of asset management software
Asset management tools are specialised and some will answer different needs than others. By understanding the types of asset management software, you can narrow down the solutions available for your organisation.
Fixed asset management software
Also referred to as FAM software, fixed asset management software focusses on the physical assets such as vehicles or equipment.
Digital asset management software
As its name states, DAM software focusses on digital assets. For example, multimedia assets are managed through these solutions.
Information technology asset management software
ITAM software is built to manage IT assets such as computer systems, servers and software licences.
Real estate asset management software
Also referred to as REAM, this software type aims to track the value of real estate assets. It manages leases, tracks occupancy rates and even schedules general property maintenance.
Enterprise asset management software
EAM software is designed to integrate with the company’s systems. It gives a centralised view of all the types of assets owned by the organisation, from real estate to equipment and not forgetting IT solutions and digital assets.
Examples of asset management software available for your business
In the section below, we have selected a few examples of asset management software that are available. This is by no means an exhaustive list, but can give you a starting point when looking at selecting your asset management software.
ManageEngine AssetExplorer
This solution has a significant number of features, including inventory management, licence administration and more. The tool is easy to set up and the solution is web-based. The main downside of the tool is that it has no mobile application.
InvGate Assets
InvGate Assets is a tool that was built for small and medium business. It is compatible with Windows, MacOS and Linux. The tool allows for smooth management of assets with limited IT staff as its implementation is straightforward. It is also easy to use and provides basic reporting.
Asset Panda
Asset Panda is a tool that has highly customisable dashboards. The solution also includes a free app with barcode scanning. The technical support is strong; however, it may take longer to learn to use the tool. This solution is recommended if your business is niche as it has high customisation capabilities.
MMSoft Pulseway
For those who prefer a mobile app solution, MMSoft Pulseway is the right choice. The software is one of the best on mobile and features a modern user experience. Note that the tool has limited reporting functionalities.
GoCodes
GoCodes uses QR stickers. It is a solid solution that is affordable and makes tracking physical assets easy. The setup of the solution is straightforward and provides the ability to track networked and non-networked assets.
For small and medium businesses that are expanding, implementing an asset management software is a good idea. It reduces manual work, increases accuracy and allows for better decision making and planning. Take a look at more ways to grow your business.
Please note that none of the companies, institutions or organisations mentioned in this article are affiliated with Indeed.
