Knowledge

Assets are a crucial pillar for companies to achieve optimal business processes and compete with other organizations. Many companies do not effectively manage their assets, hindering their planned growth. One of the primary reasons for this is a lack of transparent and optimal asset inventory processes. 

What is Asset Inventory? 

Asset inventory is a vital process within the asset management lifecycle, involving the identification and reconciliation of recorded assets with those managed by the company. Managed assets can include: 

• Physical assets / fixed assets: such as buildings, vehicles, and equipment. 
• Intangible assets: such as copyrights, licenses, software, and company inventory items. 

The purpose of conducting asset inventory is to ensure that all assets are properly recorded, maintained, and optimally utilized to support the achievement of company objectives.

Benefits of Asset Inventory for Companies 

While numerous challenges exist in conducting asset inventory, it is essential to recognize the positive impacts derived from a well-executed asset inventory process: 

1. Data Transparency and Accuracy, by performing asset inventory, companies gain accurate and transparent data regarding the quantity, type, location, and condition of their assets. This is crucial for data-driven decision-making, including the presentation of asset data in the company’s financial reports. 
2. Efficient Asset Management Asset inventory, helps companies identify assets that are no longer usable or are unproductive, allowing for optimization as needed or their derecognition. 
3. Asset-Related Risk Management, with proper asset recording, the risks of loss, damage, or misuse of assets can be minimized. 
4. Regulatory Compliance, many regulations related to the business processes of certain companies require complete and detailed asset records. The asset inventory process helps ensure compliance with these regulations. 

Enhancing Asset Inventory Effectiveness with Technology 

To support companies in conducting quick and effective asset inventory processes, several solutions can be implemented: 

• Software-based asset management systems or applications that enable automated and real-time asset recording and tracking,
• Technologies such as QR codes, RFID (Radio Frequency Identification),
• IoT (Internet of Things) can simplify asset identification and monitoring processes. 

Is Technology Sufficient for Asset Inventory Optimization? 

If asset management is currently performed manually, an improvement can be made by using a user-friendly asset management system or application that accommodates the company’s required asset data. 

However, if the company already uses a sophisticated asset management system or application, here are some further enhancements that can be made from the results of asset inventory to support a more optimal asset inventory process: 

1. Proposing asset optimization considering ESG (environment, social, and governance) factors. 
2. Regular updates for the security system used for assets, especially for systems or applications used by the company. 
3. Implementing international standards such as ISO 55001 Asset Management System. 
4. Utilizing Artificial Intelligence (AI) to provide predictive analytical data for assets, such as maintenance processes that consider the asset’s history. 

With the steps outlined above, companies will not only be able to manage assets effectively but are also expected to optimize asset value to support future business growth and sustainability. A well-executed asset inventory is a long-term investment that will positively impact company performance. 

Written by Hilman Badhi Adikara – Team Leader GRC Robere & Associates (Indonesia), 2025. 

---

For those who wish to discuss further and explore the latest information on Asset Inventory based on ISO 55001, Robere & Associatess ready to assist. Contact us now!  Contact us now!