4 common challenges for companies regarding asset tracking
| March 2022 |.
If you find that any of the problems below regarding your assets are slowing down your operational operation or leading to loss of revenue, read on to learn how to remedy these shortcomings with a digital management system that best suits your needs.
1. Frequent equipment failure or maintenance problems
According to a recent study, outdated equipment and lack of time to perform maintenance are the leading causes of unplanned downtime in an enterprise. Companies struggling with equipment failures should upgrade their service programs by implementing a rigorous maintenance schedule. Preventive maintenance is crucial because it eliminates unwanted downtime by:
- Improving the efficiency and productivity of tools
- Reduce maintenance costs
- Increasing asset uptime and longevity
- Reduce work stoppage
2. Loss of assets due to misplacement, loss or theft
Reports show that this is no small matter: companies can lose very large amounts of revenue as a result of poor security. Theft or loss of corporate assets is a common occurrence that every industry struggles with, and a lot of money can be saved if asset management is done right.
For example, with a smart enterprise equipment tracking solution, managers can "tag" all tools and equipment with the appropriate sensors and assign a unique serial number to each of the objects. This makes it easy to locate and track ownership in case of unauthorized use or lost assets.
Equipment theft has a negative impact on any business because when equipment is lost or stolen, operational operations are affected and project deadlines are extended. Moreover, losses also directly affect a company's bottom line and productivity.
4. Human error
Unfortunately, this problem is inevitable because we make mistakes even when we don't try or want to. This is where more traditional business asset tracking methods can increase the likelihood of this problem and require many more work hours in the long run. While the spreadsheet tracking method may be cost-effective and relatively easy to implement, it is enormously prone to error as many employees manually enter data at the same time. As a result, overall productivity can be affected.
5. Waste of resources
Misplaced assets and equipment can adversely affect a company and its operations through lost labor hours, work stoppages, delayed project deliverables and more. If a required item is not found, operations can be delayed or become inefficient as employees must wait for a replacement tool to become available.
The lack of a proper workflow structure can lead to stoppages of routine operations and work orders that are not completed on time.
Benefits to tracking your business assets that you definitely need to know
Locating and managing your business assets has numerous benefits, and almost all of them contribute to improving a company's bottom line, provided the asset management process is properly implemented.
These are some of the benefits companies can enjoy by implementing a digital asset management system.
1. Variety of options
Perhaps the most obvious benefit of asset tracking is the variety of technology that can be implemented based on an organization's geographic needs and size. For example, RFID tags, GPS and QR codes are just a few of the many technology options available for passive or active asset tracking.
2. Movement monitoring.
Managers of companies using asset tracking can benefit from the ability to monitor the exact locations of their equipment and machines and their operational status. In addition, by scanning a QR code, users of an asset can download a manual, for example, or report a malfunction or failure. Having access to an asset's location and being able to remotely take actions that ensure continuity of operation not only provides peace of mind, but it also allows employees to correct potential errors in the future.
3. Organization and efficiency
Since asset tracking collects all the information users need, organizing your fleet, machinery and storage areas becomes much easier and faster. "Users can not only track which company assets are grouped together to create a more efficient organization, but can also especially reduce work time needed to locate assets.
4. Other benefits of materials management worth mentioning include:
- Asset tracking means you need fewer resources
- Your administrative costs are much lower because administrators no longer have to manually locate or manage assets.
- Fewer losses, failures and breakdowns, so your operating assets can be used more efficiently and much longer
- Your equipment management system should be seen as a payback model and grow with you as your business grows
- Improve customer service through improved asset tracking and management practices
- Ensure accountability and accuracy in loss and asset management
Get free advice
Have this blog answered your questions and are you ready to talk to us about an asset tracking solution for your business? Call us for an exploratory meeting: 03 289 55 35, or contact us online below. We'll explain how tracking technology can work for you, answer your questions, and send you a no-obligation proposal tailored 100% to your needs.
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