- Published: Tuesday, 21 May 2019 15:00
Top 5 Challenges Tracking Assets
By: Shannon Corgan, Director of Marketing
Tools and equipment are critical to a construction business’ success. Without the right tools and equipment available and accessible to your employees, you’re increasing the risk that you’re projects are going to miss schedule deadlines and go over budget. Here are the top 5 challenges tracking assets for construction businesses:
1. Locating Assets is Time Consuming
When a supervisor or employee needs a piece of equipment he calls the equipment shop to find out who has it. The equipment shop manager looks at the form or spreadsheet to locate the piece of equipment. The equipment manager typically knows that the tools or equipment were checked out in the morning from the equipment shop and at the end of the day he or she knows if it’s checked back in or not returned. Throughout the day, it’s common for a piece of equipment to be utilized at multiple locations by multiple employees. The equipment manager calls, texts, or emails the person that supposed to have it and then they tell them it was taken to a different job site and that another employee has it. Then once it’s located, the equipment manager has spent half an hour of his/her day just trying to locate it.
2. Manual Asset Tracking is Error-Prone
Most companies are still using paper or spreadsheet printouts in the field to track their fixed assets. If you are tracking your assets on paper, the inventory is only accessible in the physical location where your tools and equipment are stored which is typically an equipment shop. Your employees in the field can’t easily check the asset inventory from the field without making a call to the equipment shop manager. Another challenge for manual asset tracking or tracking assets on paper is that even though you may love your equipment manager, but he or she didn’t win any penmanship awards and the handwriting on the forms may be illegible. With manual asset tracking in one physical location, you can't track where your assets are in real time and who has them.
3. Tools or Equipment are Lost or Stolen
If you don’t know who has your company’s assets or where they are at, you’re increasing your chances of having tools or equipment lost or stolen. If your employees don’t have the right tools or equipment to perform the work needed, it slows down your projects and the amount of work that can be completed. When businesses owners experience tools or equipment theft, they have to purchase new tools or equipment if they haven’t insured the tools and equipment. Even if business owners do have insurance, they still have to take time to file police reports and insurance claims. In addition, they have to rent replacement equipment and can expect higher insurance premiums due to the insurance claims for their stolen or lost equipment. All of this leads to lost productivity and schedule delays. Schedule delays can lead to missed deadlines and penalties for missed deadlines.
4. Difficult to Track Maintenance
Unfortunately, if there is not a centralized location for fixed asset maintenance schedules, many times preventative maintenance isn’t proactively performed and is reactive. Most companies without a centralized asset tracking system with global visibility service their equipment only when it’s broken down and is also known as reactive maintenance. When your fixed assets are only serviced when it’s broken down, it can lead to much higher repair costs. Also, if you’re only performing reactive maintenance on your fixed assets you’re also reducing the asset life cycle and which increases the cost because you have to replace your fixed assets sooner.
If you can relate to any of the Top 5 Challenges Tracking Assets, and want to automate your asset tracking for accurate real-time asset inventory and assignments in a centralized location with global visibility, click here to learn more.