Benefits of Fixed Asset Management Software | Roles of ERP

What is Meant by Fixed Asset Management (FAM)?

Fixed Asset Management is basically the practice of monitoring and managing tangible assets, such as structures, machinery, equipment, etc. Its goal is to ensure that assets are well-maintained and utilized to optimize their worth.

Since many organizations depend on fixed assets to run, having good and efficient FAM is crucial to ensuring that organizations can continue to run effectively without any interruption.

10 Benefits of Fixed Asset Management Software Integration with Existing ERP

Organizations can benefit greatly from integrating the Fixed Asset Management with their current ERP. It adds a great value to the company in such a way that leaves one completely astonished.

Here is a list of the benefits a company can effectively profit themselves from the integration:

1. Enhanced Security

Security is certainly the number one concern of every range of businesses. A piece of confidential information that too in the wrong hands can be the ultimate reason for the downfall of a business.

This is where Fixed Asset Management comes into the roleplay. They tightened the security and kept all of your crucial information in one place, making it harder for unauthorized people to access or change anything.

As a result, all your data gets preserved and remains in safe hands against every kind of unintentional deletion or corruption, fraud, or vandalism.

Besides, with the help of asset tracking solutions, it is simpler to record and manage every kind of information properly. To simply state, every user behavior can be easily recorded with FAM, and role-based access permissions guarantee that only authorized workers can access important information.

Therefore, your asset data can be made more secure and powerful by integrating Fixed Asset Management software with the current systems.

2. Gain High Visibility

Large and medium-sized businesses have more resources. As a result, it is necessary to have a clear view thorough of these assets. So, you can see them whenever needed. With the help of integrating FAM and ERP, this asset visibility gets increased significantly.

This, in return, helps the managers to see all the assets and helps them to make better decisions on asset lifecycles, maintenance, etc. Plus, if you can automate an activity to extend their asset lifespan, it will improve your assets' productivity and performance.

Deep visibility ensures that you are always aware of the whereabouts of your assets by tracking them down. In addition, it will be beneficial in raising the level of customer satisfaction and service.

For instance, if you have a group operating in a particular region, and you receive a complaint from a client residing in that area. Next, you let the crew know about the complaint so they can immediately go to the client's premises and fix the problem.

3. Improve Data Integrity

Increasing data accuracy is certainly one of the main advantages of using FAM software in combination with the ERP.

It can be pretty challenging to maintain a record of all the data and make sure that it is accurate, as this fixed asset information is kept in multiple locations.

When two systems are integrated, they can retrieve data from one table and provide it to another. As a result, it lessens the likelihood of human mistakes while simultaneously reducing human engagement.

You can benefit from depreciation as well as tax deductions when faults get minimized, and financial reports are made correct. Also, paper usage reduces as the process becomes automated and computerized.

Further, data tracking can be made simpler when this fixed asset information is connected with the ERP information. After all, without accurate data, it is impossible to run any business operations.

4. More Effective Resources Usages

Companies can use their resources more effectively when FAM software is connected to an ERP. Such as, businesses can prevent double data input and improve asset tracking more precisely.

Furthermore, they can even create efficient reports using the information from the ERP to make better decisions for the welfare of the business, ultimately improving the decision-making. The better decisions, the better it will be for your company's overall growth.

5. Simplifies the Asset Maintenance and Repair Procedures

ERP offers a centralized depository for all corporate information, such as the asset information. This makes it simpler to track and administer because all the data about an asset is maintained in one location.

Another characteristic that ERP systems can use to streamline the maintenance and replacement processes is workflow capabilities. By doing so, you can make sure that the work is done quickly and effectively.

As a result, firms can enhance their maintenance and repair procedures by incorporating FAM software with ERP systems.

6. Bring More Flexibility

Using this FAM software in combination with your current systems can give you more freedom in maintaining your resources. You can quickly alter how you can see and handle your data when it is all preserved in a single area.

Besides, it can be pretty useful if you want to try out other asset management techniques or want to adjust your current asset management tactic.

7. Boost Productivity

Combining Fixed Asset Management software with already installed programs helps boost productivity. Well, this is due to the fact that workers will only require to utilize one simple system, which can enhance productivity and save up time. 

As data will get modified automatically in all the platforms whenever modifications are made, it can also aid in lowering errors and improving precision.

8. Reduce Overall Cost

Using the Fixed Asset Management software in combination with the current system is pretty effective in reducing the expenses. It is due to the possibility of doing away with the requirement to buy and keep up different systems for every resource type.

Furthermore, it can assist in lowering the time and expense devoted to teaching staff members how to utilize and manage both the systems.

9. Audit Proof Asset Register

By incorporating FAM software with your ERP, the mistakes and inaccuracies in your asset records can be reduced so that you can effectively construct an audit trail.

Furthermore, these fixed assets software can assist you in managing and monitoring the depreciation schedules for your resources. Your company can be totally audit-proof by giving a detailed list of the worth of all your assets in time.

10. Lower Overall Business Risks

Lastly, ERP system integration with Fixed Asset Management software can assist in minimizing risk. For instance, companies that keep track of their fixed assets in various locations risk losing crucial data if any of the storage areas fail.

However, by maintaining a backup file housed in the ERP, organizations can reduce this danger when integrating their fixed asset information with their Enterprise resource planning.

To Conclude

In a nutshell, firms can reap a variety of important advantages by combining Fixed Asset Management software with their current ERP systems.

As we all know, enterprise resource planning emphasizes in managing reports, financial records, and data analysis for future plans. On the other hand, Fixed Asset Management focuses on managing assets directly.

In addition, it supports everyday operations optimization. Therefore, integrating this kind of Fixed Asset Management software is essential for every firm whose primary goal is growth.

So, what are you waiting for? Make the most use of your business by integrating fixed asset management software with ERP!