While preventing IT asset theft or loss of data may be the most compelling reason to invest in a solution designed to automatically manage and track assets, there are other factors prompting companies to explore and invest in asset tracking technology. They include:

Inventory Processing Organizations that conduct inventory manually and log their information in spreadsheets spend valuable time and resources on labor-intensive processes that are prone to human error and disrupt employee productivity. If they fail to maintain a current and accurate inventory count, it could hamper their accounting processes and lead to superfluous purchasing. Automating this process saves employees time and saves the organization money related to labor costs.

Tracking Mobile Assets Many IT assets and peripherals are moved from one department or facility to another and become misplaced. Often there aren’t processes and systems in place to hold people accountable for the IT assets they use or move to another department, which can result in an organization purchasing more equipment unnecessarily. And, with an upsurge in company-issued laptops, mobile phones and PDAs for a mobile and telecommuting workforce, there is an increased likelihood that these mobile assets will be stolen, lost, or damaged if they are not closely tracked both on and off the premises.

Cannibalization, Warranties and Claims Cannibalization of IT equipment occurs very regularly for most organizations, and can be done so without regard to whether the equipment is leased. Leased equipment should be able to be quickly identified and staff members should be able to determine proper configuration of memory, disk, etc. to avoid end of lease penalties. Similarly computers need to be evaluated before warranties expire and claims are sent in to maximize cost savings.

Government and Legal Compliance To comply with IRS regulations or mandates such as Sarbanes-Oxley, companies must track and report depreciation of fixed assets - such as routers, switches, desktop computers and copiers - and reconcile the assets claimed on paper with those in their actual possession.

Globalization As companies expand internationally and their offices, and thus equipment, become widely dispersed, managing IT assets and data becomes a more necessary and challenging undertaking. To avoid incurring customs penalties, companies must be able to accurately account for the products they are importing or exporting. With asset management processes in place, companies have real-time visibility into the movement of their assets and can create automatic audit trails for customs and other government-mandated reports.

Companies are increasingly recognizing the multitude of benefits that come with switching from a manual to an automated IT asset management system. In addition to providing real-time visibility into the status and movement of their assets, which reduces the chance of loss or theft and improves inventory control, automated asset management systems can also deliver historical asset data that enables companies to improve their reporting and better plan for future utilization.

While a number of asset management technologies exist, Radio Frequency Identification (RFID) is rapidly emerging as the solution of choice for organizations of all sizes and industries.

When RFID is paired with asset management software, the technologies deliver a comprehensive and cost-effective solution that automates asset management processes, provides 24/7 visibility to IT assets, and empowers companies with detailed accounting of their asset movements.