How to choose the most effective asset management system

How to choose the most effective asset management system

One of the most important duties of any facilities manager is to choose an asset management system that can improve the way manufacturing companies handle all of their equipment and resources, the American Machinist reports.

According to the news source, asset management differs from inventory management in that it deals with equipment and machinery necessary to manufacture a product, rather than keeping tabs on the inventory itself. Some facility managers implement programs that require manually recording each asset, then inputting this data into a computer. While this is one of the most affordable ways to keep track of equipment, it can often result in major errors and miscalculations.

What's more, simply noting the location and serial number of an asset makes no account of its maintenance schedule, who had been operating the equipment and the last time it was used. This can drive costs higher, with manufacturers facing an average loss of $437,000 due to lost or misplaced assets.

This makes it critical for facility managers to choose the correct asset management program to keep costs down.

First, it is necessary to determine the maintenance schedule, equipment uptime and downtime and the user for each asset to identify what exactly needs to be tracked through a program. Asset management programs can help increase the availability of production equipment and increase savings through regular maintenance.

"Machinery and equipment should be kept in good working order, and it’s crucial to know if those machines are running at maximum capacity with an uptime of 99.9 percent," wrote Bryan Keepers, a computer software expert, for American Machinist.  "If a business is collecting revenue, it must actively ensure machines are fixed and kept in good working order regarding their terms of repair and warranties."

Keepers added that this is especially true for businesses that produce or deliver finished goods.

"More downtime equals lost production time and lost revenue," he said.

A strong asset maintenance program can also be beneficial if a facility is inspected by the Occupational Safety and Health Administration (OSHA) or the Environmental Protection Agency (EPA). Keeping a strong record of all asset functions can make the process swifter and can result in less facility downtime.

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