Asset management: Everyone knows about it, everyone has it, but no one does it. At least not the way they should. And yet it’s supposedly so important. And every asset management system promises that it’s all so simple. So why is all the data constantly out of date? Why doesn’t anyone do it right? Let’s talk about forgotten assets, about all those countless data corpses. And about how to bring them back to life.
There they lie—cast aside, gathering dust, forgotten. Doomed to eternal uselessness. Anonymous devices, brand-new laptops, lonely families of mice buried under mountains of cables. Boxes full of monitors, once filled with flashing, colorful life. They’re listed in the system. Maybe. Maybe not. Somehow they got lost in the shuffle, and no one knew anymore where, what, or when. And so they were simply replaced without a second thought. They are living dead assets. Dead capital.
A Summary of the Challenges in Asset Management
- Neglect of asset management in many companies
- The frequent existence of outdated and forgotten assets, which constitute “data zombies.”
- Erratic movements and inaccurate tracking of assets in modern businesses.
- High costs resulting from poor asset management and bad investments.
- The need for an efficient asset management process that is supported by all employees.
Volatile assets and skeletons in the closet
Sure, they say every company has a skeleton in the closet. But this many? How did this happen? How is it possible that expensive equipment just vanishes into thin air? Doomed to an undead existence in musty storage rooms? Revived, at best, by a colleague annoyed by faulty asset management who accidentally stumbles upon them while searching for a cable. And while he’s at it, takes a third monitor for his office. Out of sight, out of mind. But setting aside such shenanigans, assets in modern companies have become quite erratic anyway. They’re constantly changing locations and owners; none remain where they were originally placed with such care. Laptops get dragged off to the home office. And office tablets end up on the beach in Bali—for a “workation,” of course.
It’s pretty tough for a field manager to keep track of everything and record it all meticulously. After all, they can’t be that flexible or agile. That’s obvious. And of course, IT is always swamped anyway. But what’s the point of that darn asset management system? It was expensive! Yeah, what’s the point, really…? No wonder IT managers and field service staff are giving up and breaking out in a cold sweat at the mere mention of inventory.
The Cost Trap of Dead Capital
But—let’s be honest—that doesn’t make any sense. Not to mention that if data isn’t properly maintained and updated, it’s not just the expensive asset management software that goes to waste. The cost issue can take on some unpleasant aspects in this context as well. After all, millions may be gathering dust in the warehouse while millions more are spent on new equipment because no one knows that what’s needed is already there. Dead capital, bad investments—a bottomless pit.
When you finally conduct a large-scale, labor-intensive inventory, unexpected treasures sometimes come to light. Most of the time, however, these items are simply no longer traceable or have long since become obsolete. What’s gone is gone. Rediscovered items must then be added to the inventory, while missing items—where on earth did they go?—must be written off. What’s available has to be laboriously typed in manually. A transposed digit can easily happen. But no one notices. In any case, it’s all quite exhausting.
It doesn't have to happen again so soon. Does it?
Process before software
It’s all rather grim, don’t you think? So much misery. But how should we tackle it? How can a company regain control of the situation?
First of all, there’s the matter of the process: if there isn’t a proper process behind asset management, even the best software won’t help. Hopefully, there’s no need to explain what an asset management process should include. As a reminder: delivery (initial entry), change of location or change of ownership (transfer), and decommissioning (de-registration). With proper asset management, this process should also be easy to map out. Ideally, this process should be firmly established among all responsible parties and employees, along with appropriate regulations and a certain level of awareness regarding the topic. So far, so good.
And yet something is still missing. As described, the implementation of this simple basic principle all too often leaves much to be desired. So how can this process be implemented as simply as possible?
Scan it, baby!
Despite all the digitalization, IT assets are still hardware products. Think about your local supermarket: How are products scanned at the checkout? Are they laboriously typed in? Well, okay, if Gabi’s dachshund has chewed off the barcode, that might be necessary sometimes. But otherwise: They’re scanned! So why not scan assets too?
For example, with a handy scanner that captures device numbers and transfers the corresponding assets directly into the asset management system. Just imagine: As soon as new devices are delivered—snap, scan, and they’re already recorded in the system and matched against the supplier’s packing list. One item missing? File a complaint immediately.
Ongoing – Inventory as a Side Issue
Let’s move on to step two: the transfer. How about a regular update, almost as an afterthought? Here’s how it works: If, for example, the field service technician is already in the building to fix the malfunction on Lieschen Müller’s monitor, they can also scan the devices in the room while they’re at it—think “ongoing inventory.” Alternatively, this can also be done on regular schedule dates, for example by a student worker or an apprentice.
With thescanner at the ready, it’s time to tackle those “zombie” assets. After all, once every office and warehouse is equipped with barcode labels, the process suddenly becomes a breeze. Upon entering a room, it is scanned and called up in the mobile asset management system. By scanning the existing devices, you can then verify whether the inventory in the room is up to date or if anything needs to be reclassified. Time-consuming large-scale inventories with gruesome discoveries of data corpses or terrible inventory discrepancies are now a thing of the past.
Every single asset, no matter how small, is suddenly back on the radar, properly recorded and precisely located. If it’s needed, it can be found—for a fulfilling asset life that is respectfully supported throughout its entire lifecycle. Right up until its natural end. And even then, it doesn’t disappear into sad, dark corners—no! Instead, when it’s time to decommission it, it can be scanned one last time, written off, and properly disposed of. So that it might see the light of day again as a new asset in the recycling cycle. Hallelujah.
The Three Pillars of Asset Management
Processes, software,scanners—the three pillars of effective asset management in today’s workplace. That’s all it takes. But not a bit less. Declare war on the asset apocalypse—against the asset undead and for a dignified asset lifecycle. Amen.
Key Strategies for Effective Asset Management at a Glance
- Establishment of a clear and efficient asset management process.
- Use of scanners for asset tracking and management
- Implementation of a “continuous inventory” system to regularly update asset data.
- Labeling offices and storage rooms with barcodes to facilitate the precise location of assets.
- Eliminating time-consuming large-scale inventories and avoiding data ghosting.
- Integration of processes, software, and scanners as the three pillars of efficient asset management in modern work environments