Asset Management: Why is Accuracy so Important?
18th November 2021 -
According to a report, a staggering 43% of small businesses fail to track their assets and inventory effectively. Many field service organisations still rely on antiquated, manual tracking methods, and some have no official processes in place, leaving them vulnerable to a range of potentially costly issues.
But, companies can’t afford to slip up if they are to survive in a post-COVID world.
In this article, we’ll explain what asset management is and why accurate and reliable data is so important. Plus, we’ll share how a comprehensive asset register is a must-have to keep track of your stock and equipment, and just one of the feature’s on the BigChange field service management software platform.
What is Asset Management?
Asset management is a crucial element of any field service business, whether you have 50 employees or 5,000. It’s responsible for keeping track of all the items a company uses to operate, from tools, vehicles and devices, to parts for customer jobs.
Historically, many field service organisations have relied on spreadsheets and paper-based tracking sheets to record the status of their equipment and assets. But, traditional methods often result in inaccurate reports and can cost companies dearly.
With state-of-the-art asset management software in place, unreliable data becomes a problem of the past. Modern systems record data in real-time, allowing you to make more informed business decisions based on fact rather than needing to count on potentially skewed details.
Why Accurate and Reliable Data is So Important in Asset Management
Without accurate and reliable data, you won’t have full visibility over your equipment and assets. As a result, you could end up spending more money than you need to, reducing first-time fix rates, increasing downtime and losing high-value items.
Instead, companies that have access to solid asset management data benefit from the following:
1. Fewer Equipment Losses
On paper, it makes sense to use manual check-out and check-in sheets to keep track of your equipment. However, traditional asset management methods don’t always work in practice and are inherently error-prone. In fact, human error is the leading problem for 46% of businesses when it comes to accurately reporting on assets.
Whether your engineers forget to sign the sheets, inadvertently take too many items and stash them in their van for another project, or their writing is simply illegible, you’ll soon realise that numbers aren’t adding up.
As such, your equipment can go missing, and there’s no exact way of tracking what happened to it. Not only will lost equipment likely stall other projects, but replacements can be pricey.
Instead, when you digitise your asset management methods, you can create a detailed register of equipment and other vital assets, maintain a record of fitted parts, track item movements and include serial numbers, barcodes or QR codes on the stock. Your engineers can then check inventory in and out directly from their mobile devices, and you will have better visibility over your valuable equipment.
2. Improved Finances
Did you know, 80% of equipment maintenance is reactive? Studies show that most field service businesses only maintain their assets when they break down or need immediate repair. However, proactive conservation of stock equipment and assets is less expensive in the long run and prevents disruptions to your workflow.
But, it can be challenging to schedule regular maintenance when you don’t have full visibility over your equipment and data isn’t being recorded properly. Broken equipment can have a knock-on effect, leaving your workers without the tools or materials they need to carry out jobs. Aside from being a major inconvenience, halted projects will destroy your bottom line.
With a cloud-based asset management tool, you can raise cases directly against your equipment for more efficient maintenance. Your engineers will always have the right gear for the job, and you won’t have to worry about something breaking down unexpectedly.
Plus, you can use the accurate and reliable data that the system updates in real-time to make the most of your assets. Assign stock and equipment directly to jobs for seamless check-in and check-outs, maximising efficiency, profit and first-time fix rates.
3. Processes that Grow as the Business Does
Unfortunately, inaccurate asset management reporting results in an estimated $1.1 trillion loss for businesses globally. Although manual processes may work when you don’t have many items to consider, it doesn’t provide you with much room to scale your operations. Consequently, you may struggle to monitor all your stock as your business grows and acquires more assets.
Using asset and stock management software, you’ll have the most accurate and reliable data to hand, which allows you to digitally keep track of all your assets, regardless of quantity or location. Subsequently, you’ll never have an issue with over-ordering stock or not having the suitable materials or equipment available for scheduled jobs.
With an easy-to-use platform in place, you can also maintain your team’s productivity by eliminating burdensome processes and freeing up their time to focus on other tasks that contribute directly to business growth.
Make Asset Management Simpler with BigChange
Asset management needn’t be a headache.
With BigChange’s complete field service management software solution, you’ll have access to real-time data on the location of your stock and equipment. With complete visibility over your assets, you can assign them directly to jobs, allowing your technicians to complete more projects per day.
Plus, you can easily manage stock in various locations, from warehouses and vans to client sites.
Want to find out more?
Discover how BigChange’s job management software can make your business grow stronger here and arrange a free demo today.