Asset Management Strategy – Avoid Excess Inventory by Correcting These Four Asset Management Mistakes

Asset Management Strategy – Avoid Excess Inventory by Correcting These Four Asset Management Mistakes

Asset Management Strategy

Most organizations are eager to achieve proper a asset management strategy, however, most fail to implement the best practices that have developed over the years. Automated asset tracking systems have become crucial to managing and avoiding excess inventory.

Some organizations, municipalities, schools, and small businesses who still use a manual system which may make asset management more difficult. These are the four most common mistakes companies make with their asset management strategy:

#1: Utilizing a Manual Data Entry System
Most organizations track their assets correctly, but they use an antiquated asset management system (either paper-based or excel-based). Without the use of newer technological developments, organizations are not only wasting time, but could be at risk for asset record errors.

#2: Decentralized Records
Organizing company assets is essential – especially when you have a large organization with different divisions. With each unit keeping track assets in their own way, it becomes harder to have real-time knowledge of where company assets are.

#3: Inconsistent Accountability
Manual systems using paper or Excel can’t identify user revisions and it can be hard to know who entered what or when they did. This makes it more difficult to track errors and assets.

#4: Putting One Person in Charge
There is an increased risk of fraud when there’s only one person responsible for keeping records of assets. Relying on only one manager will also make transferring access and information to a new employee.

It’s wise to quickly correct these mistakes if they are occurring in your company right now. Prevention of excess inventory can save time and money in your daily operations. However, if excess inventory has already resulted, it’s easy to tip the scale back and solve that problem.

AECI specializes in asset management strategy and helping solve excess inventory issues for all types of businesses. Whether it’s an abundance of product parts, machinery, equipment or tools, AECI can provide a smart inventory management solution and help your company regain the value of those excess items.