The Problem: Fragmented Asset Data and Lack of Visibility
- Scattered or outdated asset records stops organizations from achieving full visibility.
- Companies direct large portions of budgets to solving data challenges instead of focusing on business needs.
- Siloed data makes it difficult to maintain an enterprise-wide, single source of truth
The Solution: A Central Asset Register
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- A central asset register is a detailed list of all physical resources owned by a business.
- The purpose is to accurately track asset status, location, price, depreciation, and current value.
- Implementing a digital centralized maintenance platform can help maintain accuracy and track maintenance data.
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Key Benefits of a Central Asset Register
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- A central asset register provides complete transparency of all asset data.
- Maintaining a fixed asset register simplifies calculation of annual depreciation and forecasting profits.
- Having an asset register reduces business risks and helps to strategize better asset management
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How to Implement an Asset Register: Best Practices
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- Eliminate spreadsheet usage and utilize automated software for accuracy and efficiency.
- Establish a logical hierarchy of assets and create an SOP for registry tracking.
- Assign an owner and designated custodian for each asset and ensure proper tagging.
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A centralized asset register refers to a comprehensive and organized system that companies use to record and manage their assets in a centralized location. It serves as a repository of information about all the assets owned by a company, including tangible assets like equipment, machinery, vehicles, and buildings, as well as intangible assets like intellectual property, patents, and trademarks. Here’s why companies need a centralized asset register and some of the associated needs and frustrations: 1. Asset Tracking and Management: A centralized asset register enables companies to accurately track and manage their assets throughout their lifecycle. It provides a single source of truth for asset-related information, such as acquisition details, maintenance records, location tracking, depreciation, and disposal. This helps companies optimize asset utilization, plan maintenance schedules, and make informed decisions regarding asset investments and replacements.
2. Financial Reporting and Compliance: Maintaining an accurate and up-to-date asset register is crucial for financial reporting and compliance purposes. By having a centralized register, companies can easily extract relevant asset data needed for financial statements, audits, tax filings, and regulatory compliance. It ensures that the company’s financial records are accurate, reliable, and in accordance with accounting standards and legal requirements.
3. Cost Control and Budgeting: A centralized asset register allows companies to monitor and control their asset-related costs effectively. By having a clear overview of all assets and their associated costs, such as acquisition, maintenance, repairs, and depreciation, companies can identify areas of inefficiency, track expenses, and plan budgets more effectively. It helps in optimizing asset usage, reducing unnecessary expenses, and maximizing the return on investment.
4. Risk Management: Assets are susceptible to various risks, including theft, damage, obsolescence, and legal compliance. A centralized asset register facilitates risk management by providing companies with an overview of their assets, their values, and associated risks. It allows companies to implement appropriate risk mitigation strategies, such as insurance coverage, preventive maintenance plans, and compliance measures, reducing the likelihood of financial losses and operational disruptions.
5. Streamlined Operations: With a centralized asset register, companies can streamline their operational processes related to asset management. It eliminates the need for scattered or outdated asset records and enables easy access to asset information by authorized personnel. This improves operational efficiency, reduces administrative burden, and ensures consistent and standardized practices across the organization. In summary, a centralized asset register is essential for companies to effectively track, manage, and optimize their assets. SOURCES The Cost Of Fragmented, Inaccessible Data To Your …business www.forbes.com What is data fragmentation and how to overcome it? www.zeenea.com Data Fragmentation | Defining, Solving, and Strategizing.www.cohesity.com Big Data in Asset Management. www2.deloitte.com. From fragmented real estate data to effective asset management. www.mrisoftware.com Building a central asset register with Amazon S3 Inventory. aws.amazon.com/blogs What is a fixed asset register? www.mrisoftware.com/solution The central asset register for equipment over £25000.www.bath.ac.uk/corporate-information What Is an Asset Register & Why Accuracy Is Important www.comparesoft.com/asset-management Why is Maintaining an Asset Register Important for Your ..blog.ezofficeinventory.com Best Practices for Using an IT Asset Register wwwitemit.com 5 tips for a better asset register.www.assetivity.com Best practices for keeping your Asset Register Up to Date www.lifars.com
