Why Bother with Fixed Asset Management

Know what you have, where it is, who has control/possession and true value. Control can only be implemented when accessible records are available. Potential dollar loss can be high and often savings can be gained by effective control over assets deployed.

Why bother with just another record keeping exercise? Perhaps if you've just a few thousand dollars involved it doesn't make sense. However knowing full particulars about assets can do a lot for you.

1. It might bring out the fact that the replacement value of assets is much higher than you think. Your 'Book Value' may be only a fraction of actual replacement value.
2. Adequate records mean you have proper insurance coverage on expensive assets. It also simplifies making an insurance claim if ever necessary.
3. A periodic audit of assets doesn't just identify missing items. It's the time to check asset condition and estimate when replacement should be scheduled. That sales department fax machine or printer being out of service for days could cost you serious money.
4. Prevent/reduce 'mysterious disappearance' or 'shrinkage'. Just a barcode label on an asset is known to deter casual 'borrowing' of an asset.
5. Recover assets from employee when he or she leaves your company.
6. Would an expensive repair have been covered under a warrantee if anyone knew when warrantee expires?
7. Get maximum value from your investment. Are assets really being used where they are or could they be better employed elsewhere in the organization?
8. Increase accountability and control, reduce costs by allocating idle assets, eliminate the High Error Incidence of Handwritten Record Keeping, prevent Missed Maintenance Schedules, account for lost and misplaced equipment etc.

How a PC, Software and a Scanner Can Help

While information on assets can be kept in a ledger or a paper listing it is difficult to obtain an overall perspective and quickly find specific asset information. A barcode scanner with batching capability (holds multiple scans in memory for uploading) while not absolutely necessary can make data entry easier and speeds annual/semi annual auditing of assets.