How UK firms are using asset tracking software to eliminate blind spots
Audits are complex and subject to tough regulations, and relying on manual solutions doesn’t help. Find out how asset tracking software makes a difference.
Firms and public bodies in the UK face increasingly complex processes and tougher regulations when preparing for asset audits. Becoming audit-ready becomes a greater challenge if those organisations rely on manual data capturing and inefficient solutions such as spreadsheets.
Offering accuracy, current asset records, and complete maintenance histories, FMIS’ asset tracking software can help these organisations to eliminate the blind spots that hinder their audit preparation processes by simplifying how they track, store, and analyse asset-related data.
Asset inventory and audits
An asset inventory includes both physical assets, such as equipment and vehicles, and non-physical assets, such as contracts, intellectual property, and licenses. A comprehensive asset inventory groups assets together by type and includes important details for each asset, such as make, model, and maintenance history. This information makes it easier for firms and public bodies to identify misplaced or stolen assets, assets in need of replacement or upgrading, and when they should acquire additional assets.
Audits assess all physical and non-physical assets. The auditing process enables organisations to confirm or update information, such as current asset condition and location, and to confirm that they still have those assets. Audits also help organisations comply with best practices, industry standards, accounting models, and government legislation, and increase productivity and efficiency.
Asset audit challenges
Audits play a vital role in organisational performance calculations at the end of the fiscal year. Audits and calculating the performance of firms or public bodies become a challenge when they rely on data that has been manually captured and entered onto old-fashioned solutions such as spreadsheets, rather than advanced asset tracking solutions from FMIS.
While manual data entry might not be too much of a problem for small businesses with few assets, in larger organisations, this can be a time-consuming process that’s prone to human error, especially when asset managers need to keep track of many assets in different locations. Data errors can lead to assets being duplicated, misplaced, stolen, underutilised, or not being maintained. It can also result in incorrect depreciation calculations and reporting, accounting errors, over- or under-paying insurance, non-compliance, data security risks, and potential fines.
How asset tracking software can help
FMIS’ asset tracking software helps eliminate the blind spots that arise from relying on tracking and recording assets manually. Some of the ways it does this include:
1. Effective asset tracking
Using asset barcodes and barcode scanning technology, FMIS’ asset tracking software streamlines how organisations track and monitor asset performance. In addition to storing basic asset information in their inventory, firms can update location, maintenance, licensing, and other records as needed. By storing up-to-date information, asset tracking software gives asset managers full visibility of their organisation’s assets, enabling them to make informed decisions that help improve operational efficiency.
2. Enhanced data accuracy
The accurate information that FMIS’ asset tracking software offers regarding asset usage, maintenance, and performance enables organisations to generate accurate reports and conduct accurate audits. Staff spend less time counting physical assets and checking discrepancies, while financial teams can prepare reports more efficiently.
This can have a positive impact on productivity, accounting and tax compliance, and cost savings, as it prevents assets from being duplicated unnecessarily, ensures depreciation is calculated correctly, maintenance is performed proactively, assets are allocated effectively, and the correct insurance is paid.
3. Tailored reports and analytics
With FMIS’ asset tracking software, firms and public bodies can customise and automate accurate asset reports. Accurate reporting can help ensure these organisations remain compliant and make informed decisions regarding asset utilisation, replacement, and disposal. By automating reports, staff do not need to spend long hours creating reports that could potentially contain inaccuracies.
4. Greater compliance and risk mitigation
Organisations can use the data provided by FMIS’ asset tracking software to spot potential risks to their assets, such as incorrect storage, loss, misuse, theft, or fraud. By identifying potential risks, asset managers can protect their assets proactively. Thanks to the software’s high level of data security, organisations reduce the risk of potential cybercrime and data theft. They’re also able to respond more effectively if assets are lost or stolen or they are targeted by cybercriminals.
5. Greater cost savings
Assets play a role in organisations generating profits or facing losses. By using asset operation, maintenance, and storage cost data from FMIS’ asset tracking software in their audits, organisations can identify the assets that provide the most value and those that are underperforming. They can then sell or retire those assets and replace them with assets that add greater value.
Choose asset tracking software for audit-readiness
Becoming audit-ready is a complex process that involves compliance with stringent regulations and requires a significant amount of preparedness and accuracy on the part of firms and public bodies in the UK.
By choosing asset tracking software from FMIS, your organisation can gain greater internal confidence, increase operational efficiency, respond effectively to cybersecurity or physical loss incidents, and achieve audit readiness.