A barcode scanning system can help banking and finance institutions get a handle on the lifecycle management of their fixed assets. Proper maintenance and tracking of fixed assets is a vitally important determinant of an organization’s long-term health. How?
Fixed Asset Management: A Ripple Effect
Fixed assets likely represent the most significant investments a bank or finance institution will make. The irony is that many organizations overlook the management of those fixed assets in the wake of seemingly more urgent priorities. What they don’t realize is that the failure to adequately track and maintain fixed assets throughout their respective lifecycles can negatively affect their ability to address those other priorities. Specifically, if a bank is frequently having to replace lost or stolen fixed assets or pay high repair costs on IT equipment that hasn’t been routinely serviced, their bottom lines will suffer for it. Banking and finance is a competitive industry. If you’re wasting valuable resources or otherwise neglecting your fixed asset lifecycle management, your ability to pull ahead of the pack may be compromised.
In a December 14, 2019, post for Business2Community.com (“6 Big FinTech Trends that Shape the Banking Industry in 2020”), writer Dana Kachan names AI, voice, Blockchain, expansion of 5G wireless, cyberthreats and cybersecurity among the forces that will shape the industry this year. A financial institution that is properly tracking and maintaining its fixed assets – most notably, its technology – will be better positioned to manage and even capitalize on these trends. It’s also worth noting that mistakes in your financial reporting of fixed assets can lead to fines, skeptical shareholders and a hit to your most important asset: your reputation.
Another important point for financial organizations to consider: “A firm’s flexibility is inversely related to its investment in fixed assets. Investments in land, buildings, and equipment involve long-term commitments, underscoring the importance of a careful estimation of fixed asset needs at the business planning stage,” said co-authors John Vinturella and Suzanne Erickson in their 2013 book Raising Entrepreneurial Capital (second edition). Financial institutions benefit when, though a reliable barcode scanning system and proper fixed asset management, they can maintain an inventory no more and no less than they need to perform optimally.
Benefits of a Barcode Scanning System
A barcode scanning system assigns a unique code to each of a bank’s fixed assets, enabling managers to track information that is specific to any asset. They can access the complete maintenance history and current condition of a fixed asset, track depreciation, warranty and insurance information, lease/purchase information, and much more. As part of an asset tracking platform, a barcode scanning system provides the real-time data banks need to make decisions about their inventory needs, stay on top of key maintenance and updates, and create equipment refresh schedules. The natural and positive side effect of this kind of asset management is better lifecycle management. Financial institutions can maximize the useful lives of each of their fixed assets, saving them both money and time – and, possibly, security breaches that come from poorly maintained IT equipment.
A barcode scanning system can also eliminate ghost assets, improve disaster recovery, and reduce employee theft. Reporting the value of fixed assets also becomes a less stressful endeavor when banks are using a fixed asset tracking platform, as they enable managers to rely on real-time data, not guesswork. Finally, financial organizations can use these systems to conduct fixed asset audits, which provide a comprehensive look at all of the assets in inventory, their respective locations and conditions.
Asset Panda’s simple-to-use barcode scanning system is powered by a free mobile app that syncs with the cloud and includes a scanner. You don’t need additional hardware or extensive training to track and manage the complete lifecycle of your fixed assets. To learn more, go to assetpanda.com
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