- April 2014
- Posted By JohnnyG
- 0 Comments
While there are many strategies in growing your business including penetrating your existing market, extending your market reach, and innovating on your products and services, business experts strongly recommend establishing effective, efficient, and responsive IT asset management solutions. These solutions are based on the latest in information technology (IT) features and functions and designed for the effective management of assets in the company.
Importance of Asset Management
Why should asset management take primary precedence over other aspects of business growth? Keep in mind that asset management, in its broad definition, refers to the system that monitors, maintains, and even evaluates the assets of an organization. The system may apply to both tangible and intangible things of value like cash, inventory, and property as well as goodwill and intellectual property, respectively.
Keep in mind, too, that asset management is a systematic process used in the operations, maintenance, and disposal of the assets in a timely manner. Assets that are not used in a productive, effective, and efficient manner become liabilities to the company because of the direct and indirect costs involved, thus, the importance of the IT asset management solutions.
For example, when your warehouse managers have been reporting shortages, shrinkages, and spoilages, then your asset management particularly your inventory management system should be examined for inefficiencies. Wasted inventory, waster resources, wasted opportunities at making a profit.
Think of it this way as well: Assets are your organization’s most important wealth in maximum growth because these are used in the purchase of products and services, in their manufacture and delivery, and in the maintenance of employee satisfaction, among other functions. Manage your assets well and your business will most likely thrive amidst strong competition.
Complementary Strategies to Asset Management
Of course, the achievement of sustainable growth for your business does not start and stop with effective IT asset management solutions. You have to look beyond your company and into your market, your competitors, and your industry to survive and thrive. The following complementary business strategies are a must:
• Penetrate your existing market since it is more cost-effective to get your present customers to buy more than to persuade new customers to buy first
• Expand your market since your existing market may already be saturated, among other reasons, by participating in trade shows, providing franchises, and asking for referrals
• Innovate on your products and/or services and then create a strong consumer demand for them
• Control your costs while also focusing on your profit generation strategies
• Diversify your products and/or services when innovations may not be welcome for viable reasons
• Focus on employee satisfaction because when your employees are happy, they are more likely to contribute to your business’ success, as is true with customers
• Install asset management solutions for each major area or adopt a unified approach, whichever suits your business needs (Experts suggest the former)
Types of Asset Management
The above mentioned business growth strategies should also be complemented by the right type of IT asset management solutions in various areas including:
• The enterprise asset management system should support the effective and efficient management of all the assets in the company.
• The physical asset management solution deals with the management of the entire life cycle of physical assets including buildings, transport systems, and production facilities, among others. The life cycle refers to entire process of the physical assets from their design, construction, and operation to their maintenance, modifications, and disposal. The solution is tied with the accounting system on many levels including depreciation recognition.
• The IT asset management system is usually the one referred to in IT asset management solutions although the latter is now used for other IT-based asset management solutions, as mentioned above. This system joins the sub-system involved in the protection of company information including the software and hardware components involved in it.
Most important, the achievement of sustainable business growth requires hard work in the office and in the field from managing the assets to interacting with the target market, suppliers, and partners. Work hard and work well for business success to be yours!