Every company has a lot of assets that are equipped to perform daily tasks. To grow, they need to use these in an organized way to save time & money.
Businesses, whether big or small, require and depend on specific machines or tools to get things done. They set aside an extra budget for the purchase of necessary tools that may be required for the business. Depending on market fluctuations, they decide to make specific capital investments.
To be able to use them economically, we need to first find out the purpose of each asset and also how to utilize them in an organized manner. Some of the most common equipment used by any companies and their purposes are as follows:
- Transporting: many companies rely on transporting (either delivering or purchasing) goods using vehicles such as trucks, vans, lorries, or cars. This allows the company to reach out to customers in different locations and provide faster service.
- Presentation: certain tools are required to calculate the business finances such as calculators, computers, and software that are used to analyze financing. Computers functions in keeping all your finances in check and can also draft reports in the form of presentations for all to see. It also keeps tabs on the products and services (bearing in mind correct data entry is done) and also performs complicated works when using the right software.
- Furniture: Every company requires basic office furniture such as work desks, tables, and chairs, to create an environment where daily tasks can be done smoothly.
- Connectivity: To be successful, a business requires smooth communication with suppliers, vendors, clients, etc. Therefore, mobile phones, landlines, fax machines, internet connectivity are commonly used in offices to maintain that relationship.
How To Organize
Now that you know the purpose of the assets used at your company, you can organize them to run efficiently. There are a few specific ways to track your assets and keep them all up-to-date, besides utilizing them economically. From finding out what items you have to create equipment labels, here are some of the things you can do to systemize your assets:
Conduct An Audit
First thing you need to do is to find out what assets you have, how many, where it is stored or kept, and who manages it. To get this done quickly, you can use a Barcode scanner or QR code to verify the existing tools and track their movements. This can also be done manually, however, both methods require you to list down the check-ins and check-outs of the assets.
- Choose a method: select a method of collecting the data about the assets. It can be done by asking respective personnel who is in charge of the equipment (that are used for site projects) or by using scanners to check the stock update online. For assets in another location, the personnel in charge can correspond via email and update you after conducting an audit himself.
- Carry it out: after selecting a method, start carrying out the audit and record information on all the assets that are used by the company.
- Compile Data: next, gather all the information and compile them in a large file or update them using inventory tracking software. This would include reports of assets in use, missing, needs repair work, and other discrepancies.
- Analyze: next, study, and analyze the data collected. You can create a report and share it with the respective departments along with recommendations for improvement and how to utilize it to its potential. You can also ask them to account for the missing or broken gears and provide you with details of how and when it happened.
Categorizing assets gives you the advantage of utilizing them to their full potential without any hassles or inconveniences. You can categorize them according to location, function, department, depreciation value, or date of manufacturing. You can list down the items in a planner or a to-do list to make it easier for you to categorize.
Another way to keep track of the equipment and be informed of its purposes and uses is by creating labels. For instance, high maintenance labels can be given to those machines that require constant upgrades to be informed of the depreciation and manage the particular equipment.
You can also categorize them according to the item’s characteristics. Same items can exist in different departments, therefore it is essential to label them correctly to avoid confusion. Also, the item with similar colors can be color-coded to differentiate their uses.
Some companies decide to tag high-value goods so they can track those valuable assets that are worth the effort. The reason being that tagging labels incurs costs which is why firms benchmark the minimum dollar value that they are willing to tag.
Hire Asset Managers
This is an excellent way to keep your equipment up-to-date. Hiring someone to be accountable for the assets will save you time and also receive timely reports regarding your assets.
Asset managers can lay down rules and regulations and divide work among his/her subordinates to submit timely reports on assets located in different departments. He/she can also prepare a budget template that would include revenue, sales, and track expense reports which would help the owner to get the whole picture of the condition of his assets.
The managers can then also repair the damaged assets and track the depreciation value of the tools. This method can ensure to avoid stock shortages by replacing the assets on time. They can also record and track asset locations and make up a procurement routine to replenish products that are at the point of being damaged or finished.
Organizing your assets efficiently will save you time and money and also avoid delays in the progress of your work. Companies now can use automated systems to track their assets, their utilization, depreciation, and also their movements. Such software allows you to keep in tune with the updates even via your mobile phone; all you’d need is an internet connection and you’re good to go. Time and resources are saved in the business by following the automated system and generating reports and data have become much simpler than doing it manually.