Your Guide to Software Selection

Fixed Asset Management Software: System Features and Requirements

The ability to effectively track assets is essential for any company, no matter its size or the industry in which it operates. Every company that has fixed assets such as machines and equipment needs to ensure these assets operate properly. But managing fixed assets without a reliable system in place can have dire consequences. Assets that aren’t properly managed can go missing or get damaged without anyone noticing until it’s too late. That’s where fixed asset management software (also known as eam software) comes in. We’ve compiled a comprehensive fixed asset management features list to help you understand the purpose of fixed assets software and choose the right system with confidence.

Before we can get into fixed asset software, we must first understand what’s considered a fixed asset.

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What is a Fixed Asset?

To put it simply, a fixed asset is any asset that a company doesn’t plan on selling or otherwise converting into monetary value within the upcoming year after purchase. These assets usually relate to infrastructures such as buildings, lands or machinery, meaning that they’re not assets that are directly sold to customers.

These assets are usually expected to bring a long-term profit to the company as a result of their function. At the same time, they have a finite lifespan, because their usefulness usually declines over the years as a result of wear and usage.

In order to get the most out of these assets over their lifespan, companies must be able to accurately track the depreciation of value that these assets bring, as well as accurately manage preventive maintenance. That’s where fixed asset management software features shine.

What is Fixed Asset Management Software?

Since tracking multiple locations, conditions and maintenance requirements for assets can be difficult and time-consuming, a tried and trusted system could help businesses quickly implement an efficient, serial code-based asset management system that makes the entire process easier to handle. These systems are known as fixed asset or enterprise asset management (EAM) software.

There are numerous software vendors that offer fixed asset management solutions to businesses of all types and sizes, although these systems don’t always fall under the same software category. Software solutions that often have comprehensive fixed asset management functionality include enterprise resource planning (ERP) systems and computerized maintenance management systems (CMMS), both of which can help organizations effectively track, manage and maintain their fixed assets.

Asset Management Software Features and Benefits

Without a reliable way to manage your fixed assets, it’s almost impossible to track maintenance requirements and depreciation. These tasks are crucial in order to make sure that all assets are functioning properly and serve the company for as long as possible. Early breakdown and unplanned repairs can become costly for your enterprise, so it’s obvious why routine upkeep is so important.

Don’t believe me? Here are some stats:

In the past, companies that could adopt EAM technology gained a significant advantage over most of the competition. These days, those without asset management system software aren’t even on the same playing field.

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With a comprehensive system to manage buildings and machinery, companies can use software to maximize their efficiency and get the most out of their assets . Organizations will find that  fixed asset management solutions offer a robust array of features that are useful for a variety of industries.

Benefits of Fixed Asset Management Software

So what can EAM/FAM/CMMS software offer your business? First, here are some of the benefits that you can expect from fixed asset management software solution:

Improved Security

Because companies in industries (like nuclear power, for example) face increased scrutiny from regulatory bodies and government agencies, being able to provide a transparent view into your operations is crucial.

With the help of asset tracking systems such as FAM, it becomes easier to store and track data accurately. This makes it easy for users to mitigate the likelihood of human error — or at least keep a record of it to learn from. FAM makes it easy to record every action logged by users, and role-based access permissions ensure that only authorized personnel can access sensitive data.

Budgeting, ROI and Cost Reduction

Organizations should always be looking for ways to make operations more efficient — that’s just good business. An asset management system allows you to make sure that your assets are maintained cost-effectively.

Buying unnecessary inventory (a.k.a procurement) is a problem for many organizations: keeping track of stock levels and materials by spreadsheet is tedious and often inaccurate.  A reliable storing and tracking system for this data is important. It gives companies total control of what stock they currently have, where it is and what new purchasing decisions need to be made.

There are several features that help significantly with budgeting and management operations. By defining asset traits like asset depreciation, users can predict individual asset lifespans. This potentially saves you money by providing warning when an asset is reaching the end of its profitable life, allowing you to replace or retire it.

Efficient, Accurate, Excellent

Business intelligence features like reporting offer companies real-time data into how each asset is functioning. It can measure MTBF, performance and average downtime to evaluate the lifecycle of assets. This information allows users to make data-driven decisions based on concrete facts about individual assets.

This also streamlines the management process, improving the overall profitability of your organization. Additionally, FAM helps reduce human errors in asset performance monitoring. Even small errors can result in issues like inaccurate depreciation calculations which, at best, waste time and money. At worst, they can be life-threatening errors if assets like machines become dangerous as they age.

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Fixed Asset Management System Features

Fixed asset management software brings a number of useful capabilities to businesses, which makes it an increasingly popular tool among companies that want to make sure they get the most out of every asset in their possession. It allows you to track and actively manage assets across multiple business locations, enabling maintenance managers to access relevant information from any device.

And since fixed assets are vital to both day-to-day operations and achieving long-term goals, having a reliable way to make sure that the assets are always secure and maintained is a top priority.

But how exactly can fixed asset software help make the process more efficient? Well, here are some of the main asset management system features that make this software a wise investment:

Asset Lifecycle Management

Asset tracking is a huge feature of assets management, and with FAM systems, the entire process is made simpler. With the help of barcoding technology, managers can get real-time data about all of their items, including tracking costs, identifying potential issues and making timely adjustments to maintenance schedules according to both immediate and long-term needs.

IBM Maximo offers role-based user access to restrict administrative actions to the appropriate personell

Asset Management
Asset Accounting
Asset Tracking
Asset Performance Management
Asset Transactions
Lifecycle Monitoring
Contract Management
Asset Monitoring
Item Classification
Material Allocations
Part Reservation
Status Updates

Inventory Management

The best asset management software also accounts for parts, tools and other supplies that leave the warehouse. This seamlessly manages all of the billing associated with it with the help of barcoding, all in one system.

Infor’s work order management helps streamline work requests, inventory orders, etc.

Supplier Information Management
Stock Level Metrics
Automated Reorder
Inventory Allocation
Inventory Transfers
Inventory Substitutions
Bill of Materials (BOM)
Cycle Counting
Lot Control and Serialization
Multi-Site Inventory Management

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Preventive and Predictive Maintenance

Preventive maintenance is all about making sure that the fixed assets function properly and have a prolonged lifespan. It helps make the processes of creating schedules, procedure tracking and setting up maintenance routines much easier, automatically generating schedules and notifying managers about any necessary actions.

According to a PdM survey, more than 45 percent of plants are taking a proactive approach to maintenance. This means that a significant number of companies understand the importance of getting ahead of any potential problems, because it can help reduce maintenance-related expenses while maximizing the value of each asset.

Bigfoot CMMS offers preventive maintenance scheduling to help users stay on top of maintenance activities

Regulatory Compliance Management
Template Creation
Fault Management
Warranties
Preventive Maintenance
Vehicle Maintenance Repair Standards (VMRS)
Preventive Maintenance
Asset Consumption and Condition Maintenance
Component Management
Pooled Inventory
Reverse Logistics
Parts Management

Mobile Access and Software Integrations

Implementing mobile devices into business operations is no longer optional, as their widespread use and application have made them an absolute requirement for businesses that want to operate efficiently. Since issues with your fixed assets can occur at any time, it’s paramount to not only have real-time data on all of them, but also to be able to access the data at any time of the day, from any device.

Since sometimes even minutes can make a huge difference in fixing problems, having mobile access to fixed asset software can prove to be a very valuable feature. That’s why most of the leading vendors provide mobile access and are continuously working to make accessing the software easy and seamless from all devices.

Mobile Integration
Data Import/Export
Human Capital Management (HCM)
Workflow and Business Process Integrations

Do You Need Fixed Asset Management Software?

Even though it’s obvious that a fixed asset system can be very useful, does your company actually need it? Well, the short answer is yes — at least if you have multiple fixed assets that need to be monitored. The easiest way to quickly figure out if EAM software could be useful for your company is to think about a few key considerations:

First off, a great indicator that an EAM system could be useful is if your company owns multiple fixed assets that need to be monitored and maintained. Since the software brings numerous benefits that make the entire process much easier, it’s definitely worth an investment.

However, even if the number of fixed assets you currently own is limited, your company may have plans to add new assets in the coming year. If so, it might be wise to start looking for an EAM solution, because it’s better to be ready once the need arises.

If these areas are part of your operations, then FAM software could make them much easier and more efficient.

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Final Word

EAM offers numerous benefits to organizations of all sizes and specialties. Now that you understand the features that typical asset management systems offer, you can match them with your organization’s unique requirements to begin your software selection journey. No single system is the objective best in the industry, so matching your needs to the features different products specialize in is the best way to ensure you get the right software for you.

Do you still have questions about asset management software? Ask it in the comments!

Bergen AdairFixed Asset Management Software: System Features and Requirements

5 comments

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  • Tom Lyttleton - April 20, 2018 reply

    BEAM (Bimser Enterprise Asset Management). Just wondering if you reviewed this product?

  • Ganesh - November 25, 2018 reply

    You are talking about EAM softwares and missed to mention industry leader as per Gartner…..IBM Maximo.

    Bergen Adair - November 26, 2018 reply

    This article is a bit out of date, thanks for bringing it to our attention! We’ll be updating it with more recent information very soon. IBM Maximo holds a strong position on our EAM leaderboard!

  • Shabbir Ragib - April 13, 2019 reply

    Lot’s of useful information. I’ll add MaxAsset as well if we’re talking about Asset Tracking & Management System. I’m well versed about the above list & undoubtedly, they are truly few of the best Asset Tracking & Management System. And MaxAsset has all the potential features to add it into the above list. It’s offered by a leading Software company in UAE.

    Bergen Adair - April 15, 2019 reply

    Thanks for your comment Shabbir! There are a huge variety of asset management solutions out there, so we appreciate you bringing another one to our attention. Hopefully other readers will find your addition useful as well.

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