What Is Asset Control? A Beginner’s Guide

Maintaining control over your organization's assets is paramount in today's dynamic business environment. Mismanagement can lead to inefficiencies, increased costs, and security risks.

This guide will demystify asset control and emphasize its importance in helping businesses track, utilize, and safeguard their resources effectively. From audits to digital tracking solutions, we'll explore various strategies to optimize asset management.

Let's dive in. 

Main Takeaways From This Article:

• Asset control solutions help organizations track, utilize, and maintain assets effectively to prevent misuse and loss.
• Basic techniques include audits, physical checks, and digital asset tracking systems to ensure accurate asset management.
• Benefits include optimized asset utilization, an improved inventory management system, minimized asset loss, and enhanced decision-making.
• Implementing an effective asset management software strategy involves defining clear objectives, documenting procedures, training staff, and continuously monitoring control measures.
• RedBeam's asset tracking software offers a user-friendly platform that enhances asset control efforts with secure and streamlined operations.

What Is Asset Control?

Asset control is the practice of managing, tracking, and monitoring an organization's assets to ensure they are being used efficiently and effectively. It involves audits, physical checks, and digital tracking to prevent asset misuse, loss, and theft, ultimately enhancing overall business operations and decision-making processes.

How Does Asset Control Work?

The asset control solution involves a combination of processes, technologies, and personnel to ensure that an organization's assets are effectively tracked, managed, and maintained.

Here's a breakdown of how it works:

• Identification: Each asset is uniquely identified using barcodes, RFID tags, or serial numbers, simplifying tracking and management.
• Data Entry: Key information such as purchase date, cost, location, maintenance schedule, and user assignments is recorded into an Asset Tracking Software solution.
• Tagging: Physical assets are tagged with labels containing unique identification information. This facilitates easy scanning and tracking.
• Audits and Physical Checks: Regular audits and physical inspections verify the presence and condition of assets and ensure data accuracy.
• Reporting: Detailed reports are generated to provide insights into asset utilization, maintenance schedules, and overall asset health.
• Maintenance Management: Scheduled maintenance is tracked and managed effectively to prolong asset lifespan and avoid unexpected downtime.

Benefits of a Good Asset Control System

A robust asset control system brings multiple advantages to your organization. From optimizing asset usage to enhancing decision-making, these benefits drive efficiency and security, providing a strong foundation for effective business management. Discover the key benefits below.

Optimized Asset Utilization

Maximizing the use of your assets is crucial for any organization. Proper asset utilization ensures you get the most value out of each asset, reducing idle time and preventing unnecessary costs. Here's how:

• Track Asset Utilization: Knowing which assets are frequently used and which are underutilized can help you reallocate resources where they are needed most.
• Inform Acquisition Decisions: By understanding utilization patterns, you can make better-informed decisions about purchasing new assets or phasing out old ones.
• Prevent Overuse: Monitoring asset usage helps prevent overuse that could lead to early wear and tear or failure, thus extending the life of your assets.
• Improve Efficiency: Proper utilization tracking streamlines operations, ensuring assets are available when needed, thereby improving overall operational efficiency.
• Maximize Return on Investment: Effective asset utilization ensures that you maximize the return on investment for each asset by using it to its fullest potential.

Enhanced Inventory Management

Enhanced inventory management is a crucial component of asset control, ensuring that your organization accurately understands its asset stock levels. Here are some key advantages: 

• Tracking: Instant access to asset data helps monitor stock levels and locations, reducing the need to search for assets manually.
• Time Efficiency: Automated systems decrease the time spent on inventory checks, allowing staff to focus on more critical tasks.
• Accurate Record-Keeping: Reduced human errors in data entry, resulting in more reliable inventory reports and enabling better planning and forecasting.
• Cost Savings: Avoid the expense of over-purchasing or replacing lost and stolen items through precise inventory tracking.
• Improved Customer Experience: Maintain optimal stock levels to ensure product availability and timely service delivery, consequently enhancing customer satisfaction.
• Increased Visibility: Gain comprehensive insights into inventory movement and trends to help aid purchasing decisions and strategic planning.

Minimized Asset Loss and Theft

Loss and theft of valuable assets are significant concerns for many organizations, leading to financial loss and operational disruptions. A strong asset control system minimizes these risks, protecting investments and ensuring business continuity. 

Here's how:

• Automated Alerts: Automated alert systems notify you of any unauthorized movement or access to your assets, enabling quick responses to potential security breaches.
• Audit Trails: Comprehensive audit trails provide a historical record of asset usage and movements. This data can be crucial in identifying and addressing any issues related to asset theft or loss.
• Secure Access Controls: Implementing secure access controls ensures that only authorized personnel can access or move high-value assets, significantly reducing the theft risk.

Streamlined Business Operations

Effective asset control is at the heart of streamlined business operations. Companies can optimize workflows and enhance efficiency by maintaining precise records. Here’s how robust asset control helps in streamlining your business operations: 

• Improved Accuracy: Digital tracking solutions reduce human error, ensuring that all asset data is precise and up-to-date.
• Updates: Automated systems provide information on asset status and location, making it easier to make informed decisions swiftly.
• Centralized Information: A single, unified system allows easy access to all asset-related data, eliminating the need for multiple databases and reducing redundancy.
• Efficient Maintenance Scheduling: Regular audits and tracking help schedule maintenance activities at optimal times, preventing sudden breakdowns and costly downtimes.
• Time Savings: Staff spend less time searching for assets or verifying records, freeing up their time for more productive tasks.
• Enhanced Collaboration: With available clear asset information, different teams within the organization can work together more seamlessly, promoting better coordination and cooperation.

Enhanced Decision-Making

Effective asset control goes beyond inventory tracking—it equips managers with the data needed to make informed decisions. Accessing comprehensive insights into asset utilization, status, and location allows organizations to respond proactively to emerging challenges and opportunities. 

Here's how:

• Informed Budgeting: Accurate asset data helps forecast expenses and allocate resources more effectively, ensuring that budgets are adhered to and financial planning is streamlined.
• Optimized Resource Allocation: Knowing which assets are underutilized or overused allows managers to redistribute resources efficiently, maximizing productivity and ensuring all assets contribute to business goals.
• Strategic Planning: With detailed analytics, businesses can identify long-term trends and patterns, enabling the formulation of strategic initiatives that align with organizational objectives.
• Risk Management: Asset tracking diminishes the risks associated with asset loss or theft. It gives managers the data necessary to develop and implement robust security measures.
• Compliance and Reporting: Accurate, up-to-date records simplify ensuring compliance with industry regulations. They also help generate necessary reports without the last-minute rush.
• Improved Operational Efficiency: Decisions based on precise data reduce downtime, prevent bottlenecks, and enhance overall operational workflows.

Implementing an Effective Asset Control Strategy

An effective strategy is essential to achieving optimal asset control. This involves setting clear objectives, documenting procedures, training staff, integrating control systems, and continuous monitoring. 

Let’s examine the steps to implement a successful asset control process.

Define Clear Asset Control Objectives

Setting clear asset control objectives is foundational to an effective management strategy. Objectives provide a roadmap and set clear expectations for tracking, utilizing, and maintaining assets. 

Here are key objectives to consider: 

• Ensure Asset Accountability: Define who is responsible for each asset, ensuring every item can be traced to a custodian or department.
• Maximize Asset Utilization: Set targets for the optimal use of assets, minimizing downtime and increasing operational efficiency.
• Prevent Asset Loss and Theft: Develop strategies to safeguard assets from loss, misplacement, or theft, including physical security measures and tracking technologies.
• Enhance Record Accuracy: Implement regular audits and leverage asset tracking software to achieve accurate asset records.
• Facilitate Compliance and Reporting: Ensure asset control practices meet industry standards and regulatory requirements, enabling smooth and accurate reporting.
• Streamline Asset Life Cycle Management: Focus on maintaining assets efficiently from acquisition to disposal, optimizing their lifespan and value contribution.

Develop and Document Control Procedures

Developing and documenting control procedures is a cornerstone for any robust asset control strategy. These procedures serve as a roadmap for your team, outlining the standardized methods for managing and maintaining your assets. 

Here are some tips to implement this: 

• Define Processes: Clearly outline the steps for asset acquisition, deployment, maintenance, and disposal. Ensure these processes are detailed and align with the overall asset control objectives.
• Assign Responsibilities: Designate specific roles and responsibilities for each part of the asset management process. This could include who is responsible for regular audits, maintenance checks, and updating records.
• Detail Documentation Requirements: Specify the necessary documentation for each stage of asset management. This can include purchase orders, maintenance logs, and disposal certificates. Maintain these documents in a centralized, accessible location.
• Establish Security Measures: Implement protocols to safeguard assets from theft or misuse. This could include restricted access controls, regular audits, and advanced monitoring solutions.
• Review and Update Procedures: Periodically review and update the control procedures to adapt to new technologies, regulations, or organizational changes. This ensures that your asset control strategy remains current and effective.

Train Staff on Asset Control Protocols

Proper training is critical for effective asset control. Educating your staff on the protocols ensures everyone understands their responsibilities and procedures, leading to a cohesive and efficient system. 

Here are some key areas to focus on when training your team: 

• Understanding Asset Importance: Teach staff why asset control matters, emphasizing the role of asset tracking in reducing losses and optimizing utilization.
• Asset Handling Procedures: Provide clear guidelines for handling, using, and reporting on assets. This includes check-in/check-out processes and maintenance routines.
• Using Asset Control Software: Train your team on how to use the asset tracking software properly. Demonstrate how to log assets, update records, and generate reports.
• Security Protocols: Educate employees on the measures in place to protect assets, such as password protocols, physical security checks, and how to report suspicious activities.
• Regular Audits and Checks: Explain the importance of regular audits and physical checks, detailing the procedures for conducting them and the frequency required.
• Compliance and Reporting: Ensure the staff knows compliance requirements and how to complete and submit necessary documentation and reports.

Integrate Control Systems with Business Operations

Integrating your asset control systems with your broader business operations is essential for seamless functionality and enhanced efficiency. This integration ensures that all departments work cohesively, leveraging data and analytics to make informed decisions. 

Here's how you can implement it:

• Synchronized Data Flow: Ensure that data from your asset control systems automatically updates across other business platforms, such as inventory management and financial software, for accuracy and alignment.
• Unified Reporting: Generate comprehensive reports that combine asset data with other critical business metrics, providing a holistic view of the organization's performance.
• Automated Workflows: Implement automation to streamline tasks such as asset tracking, maintenance scheduling, and compliance reporting, reducing manual effort and minimizing errors.
• Enhanced Communication: Facilitate better communication between departments by providing access to shared asset information, ensuring everyone is on the same page, and reducing downtime.
• Scalability: As your organization grows, integrated systems allow for scalable asset management that evolves with your needs without requiring extensive overhauls.

Continuously Monitor and Improve Control Measures

Ensuring your asset control strategy remains effective requires ongoing monitoring and continual improvement. Regularly assessing asset control measures can identify inefficiencies, address emerging issues, and adapt to organizational changes.

Here's how:

• Regular Audits: Conduct periodic reviews and inspections to verify asset locations, conditions, and usage. Regular audits help identify discrepancies and ensure compliance with your asset control policies.
• Feedback Mechanisms: Implement channels for staff to report asset control issues or suggest improvements. Employee feedback can provide valuable insights into daily operations and uncover hidden problems or opportunities for enhancement.
• Performance Metrics: Establish key performance indicators (KPIs) to evaluate the effectiveness of your asset control system. Regularly review these metrics to measure progress and identify areas that need attention.
• Continuous Training: Regularly update and educate your team on the latest asset control protocols and technologies. Ongoing training ensures that all staff members are proficient in asset management practices, reducing the likelihood of errors or negligence.

What To Consider When Evaluating Asset Management Solutions

When evaluating asset management solutions, it’s essential to identify the specific needs and challenges your organization faces. 

Below are key factors to consider: 

• Scalability: Ensure the solution can grow with your organization, accommodating increased assets and operational complexity.
• User-Friendliness: The interface should be intuitive and require minimal training for your staff to get up to speed.
• Customization: Consider if the software allows industry-specific features and can be tailored to meet unique business requirements.
• Integration: The software should easily integrate with your existing systems, such as ERP and accounting, to streamline operations.
• Support and Training: Verify the availability of customer support and training resources to assist with implementation and troubleshooting.
• Security: Ensure robust security measures are in place to protect sensitive asset information from unauthorized access and breaches.
• Cost: Evaluate the total cost of ownership, including licensing fees, implementation costs, and potential future upgrades.

Improve Asset Control With RedBeam Asset Tracking Software

RedBeam’s asset tracking software offers a user-friendly solution to enhance asset control efforts. By integrating powerful features like tracking, automated audits, and comprehensive reporting, RedBeam simplifies asset management. With a system that adapts to your needs, you can avoid costly losses and improve operational efficiency.

RedBeam helps transform asset control from a cumbersome task into a seamless part of daily operations.

Partnering with renowned manufacturers and technology resellers in the asset tracking industry, such as Zebra Technologies, is a significant accomplishment for RedBeam.

Zebra’s state-of-the-art technologies are integrated into our asset tracking technology package, fully compatible with the RedBeam software. The Zebra warranty assures customers that their hardware investment is protected, and its advanced features significantly increase the speed and efficiency of asset tracking.

Our in-depth knowledge of Zebra products enables us to make tailored hardware recommendations based on your business needs and budget.

Ready to see how RedBeam can revolutionize your asset management? Schedule a demo today and take the first step towards optimized asset control.