Many companies and institutions in different fields face major challenges in managing their assets effectively, which makes them need to develop organized plans to improve asset management, track them, and monitor different resources; so that they can improve operational efficiency and productivity.

In the era of digital transformation and the trend of companies to rely on different technical solutions by using technology to develop many tasks and departments, technical solutions have been provided to help company owners improve and develop asset management professionally by relying on a set of tools in order to achieve the maximum possible benefit from them and avoid common mistakes in asset management.

In this new article on our blog, we will explain to you what asset management is, what are the most common mistakes in managing the assets of companies and institutions, and how they can be solved effectively through digital systems and programs.

Explanation of the concept of asset management
Asset management is the development of systematic plans starting from developing plans to determine the assets that the company needs to purchase and start operating, following up, and maintaining them until the moment they are sold or disposed of in appropriate ways and relying on new, more advanced assets.

Asset management aims to protect assets through periodic maintenance operations and develop appropriate plans to utilize them in a manner appropriate to the company's operational and production needs and work to reduce various costs and risks. This can be easily implemented at the present time by adopting technical solutions that are in line with the company's goals and needs.

What are the common mistakes in asset management?
There are many common mistakes that companies face during the asset management process, which leads to their rapid depreciation, high operating costs for the company, and the inability to improve production efficiency in return. The most common mistakes in managing the assets of companies and institutions are the following:

Reliance on manual systems
One of the common mistakes in asset management is relying on systems that do not contain technical solutions in full, which leads to implementing many tasks in a traditional or manual manner, which causes many errors that cause companies to lose their ability to access data for any asset accurately to determine the operational status and know the efficiency required to be achieved in full, which leads to wasting a lot of time and effort to collect and analyze the required data.

Neglecting to update data
Neglecting to update data leads to loss of its value and inaccuracy, which directly affects asset management in terms of the inability to identify the status of existing assets in order to track them and make various decisions regarding them, whether they need updating, maintenance or replacement. This makes companies lose a lot of their ability to make the right decisions, develop work and performance and improve operational efficiency.

Lack of periodic maintenance
Delaying the implementation of periodic maintenance tasks and sometimes ignoring them leads to many problems in asset management, including sudden malfunctions that may cause high costs to repair these malfunctions, in addition to the depreciation of assets in a short period of time, in addition to stopping operational processes sometimes, which affects the company's performance in the labor market.

Most companies suffer from the inability to follow up on the implementation of periodic maintenance work due to the lack of planning in implementing periodic maintenance for each asset in the company according to its nature and specific dates, in addition to the lack of follow-up by the teams responsible for implementing these tasks.

Lack of strategic planning
Asset management needs to be well planned, and the planning process here means developing executive plans related to the condition of each asset starting from its purchase and starting to use it in terms of knowing its lifespan and how to use it to achieve the required operational efficiency and taking care of its maintenance and tracking the periodic condition of those assets to know whether the required return on investment from use has been achieved and knowing the new assets that the company may need to support existing assets and support the company's growth.

How to use technology to avoid common mistakes in asset management
Many companies are working to find advanced technical solutions to manage assets in a more efficient and effective way in order to avoid existing errors and work to reduce them and improve operational efficiency. There are many technical solutions that can be relied upon to implement this, including the following:

Using asset management programs
Asset management programs rely on many technical solutions that help business owners improve asset management and benefit from it to enhance operational efficiency and productivity and reduce costs that negatively affect companies, by creating a database containing a file for each of the assets used inside and outside the company.

Each file includes all data for each asset from the first date of purchase, operating data, model type, and other data. Through the program, you will be able to easily access this data, which is automatically updated continuously, which contributes to tracking assets and making various decisions regarding them.

Using the Internet of Things (IOT- Internet Of Things)
By relying on IoT technology solutions, you will be able to obtain actual data on the condition of assets, by connecting sensors to assets to monitor them instantly and sending alerts in the event of any problem or malfunction early to perform immediate maintenance and ensure that operational processes do not stop.

Integration with different systems
Integrating asset management programs with different systems such as enterprise resource planning (ERP) systems greatly helps in improving the efficiency of asset management and operational processes, and reducing many common errors, through the flow of data between these systems easily, which provides a comprehensive and accurate view of all aspects of asset management.