Keeping track of fixed assets is a big deal. Fixed asset registers list all the tangible stuff an organization owns, like machines, vehicles, and equipment. But keeping these lists updated and accurate? Not easy. Enter asset tracking systems. They make managing assets a breeze and ensure precise data.
Here’s how asset tracking systems boost fixed asset registers, with some real-world examples.
Smooth Data Entry and Updates
Data entry and updates are automated by asset tracking system. Barcodes or RFID are placed on assets. Whenever you buy, move or sell an asset this system updates every detail automatically.
Example: A factory tags its machines with barcodes. When they buy a new machine, scanning the barcode updates the register with all the details, cutting out manual entry mistakes.
Better Accuracy, Fewer Errors
Asset tracking systems provide better accuracy with respect to manual entries. Automation ensures consistency and correctness in fixed asset registers.
Example: RFID tags are used by a hospital on medical equipment. The tracking system maintains accurate data by updating the fixed asset register with the location and status of each item.
Real-Time Monitoring
In addition, one of the best features of an asset tracking system is live tracking – every asset’s current whereabouts, movements and status, directly uploaded into the fixed asset Register.
Example: A logistics company uses GPS trackers on its trucks. The system gives real-time location updates, recorded in the fixed asset register, so they always know where their trucks are.
Easier Audits and Reconciliation
Asset tracking systems make it easy for audits and reconciliations. To verify the physical presence and condition of an asset, simply scanning the asset tag is the key. For solving discrepancies, it is necessary to cross-reference with the register.
Example: A school audits classroom equipment yearly with an asset tracking system. By scanning barcodes on desks, computers, and projectors, they quickly match physical assets with the register, ensuring accurate records.
Better Asset Utilization and Maintenance
These systems give insights into how assets are used and maintained. This helps plan maintenance, optimize use, and decide on repairs or replacements. The fixed asset register, updated with this data, becomes a powerful management tool.
Example: An IT company tracks its servers. The system logs usage patterns and maintenance history, which go into the fixed asset register. This helps schedule timely maintenance and replace failing servers.
Boosting Security and Preventing Loss
Asset tracking systems provide security by logging asset movements and their usage. Unauthorized usage of assets, theft, and loss—all of these can be prevented with the help of this system. An updated fixed asset register provides accountability and a clear audit trail.
Example: A retail chain uses RFID tags on inventory. The tracking system monitors stock movements and updates the fixed asset register, helping prevent theft and ensure accurate stock records.
Meeting Regulatory Requirements
Asset tracking systems provide records that are accurate, which leads organizations to stay compliant. Fixed asset registers are vital for complying with financial reporting standards and regulations.
Example: A financial firm uses an asset tracking system for office equipment. The system keeps the fixed asset register accurate, supporting compliance with audit standards and regulations.
Questions to Understand your ability
Ques1: What tech helps automate asset data entry?
- Barcodes
- Manuals
- Papers
- Pens
Ques2: What does real-time monitoring give?
- Delays
- Updates
- Errors
- Estimates
Ques3: Which tags are hospitals using for gear tracking?
- GPS
- Barcode
- RFID
- Serial
Ques4: What gets reduced by using tracking systems over manual entry?
- Speed
- Costs
- Errors
- Data
Ques5: What do track systems boost to stop theft?
- Security
- Cost
- Time
- Size
Conclusion
Asset tracking systems play a great role in the field of fixed asset registers. Automating data entry, increasing accuracy, ease in audits, regular updates, efficient usage of an asset, etc. are the tasks that are performed by the asset tracking system. Integrating both systems of fixed asset registers and asset tracking companies can lead to better asset management as well as financial reporting.
FAQ's
They use barcodes or RFID tags to automatically update records when assets change.
They replace manual entry with automation, keeping records precise and current.
It shows live asset locations, movements, and status updates in the register.
Scan tags to check assets, then match with the register to fix any mismatches.
Keeping track of how assets are used and maintained helps with planning repairs and replacements.
By logging asset moves and usage, creating an audit trail to stop unauthorized actions.
They make sure that reporting rules are followed by keeping the asset register up to date.
Hospitals use RFID tags to track medical equipment, which also helps to update the asset register with the necessary location and status.