In present world, computers and its accessories are main assets in any organization. Semi Fixed assets like furniture and fixtures does not get moved much out of the office: nor they disappear without a trace. Asset tracking is important to your organization’s bottom line and compliance, as you are responsible for locating and replacing lost or missing physical assets, as well as those that have come to the end of their lifecycle. Computers and its accessories move within the premises as well as out of the office premises with a higher frequency. Barcoding the asset keeps the track of incoming or outgoing asset. But this does not solve the problem of a HR personnel. Keeping a track of these assets is vital for any organization since it involves a lot of cost.
In the absence of a HRMS tool, companies track their equipment by manual processes using spreadsheets and human efforts. But these manual records result into total chaos due to forgotten items, broken or lost equipment, human error, hours spent searching, items that have mysteriously disappeared, inaccurate information for accounting and compliance, employee dissatisfaction, etc.
So how does a HRMS tool help the organization to track its assets?
Traditionally, a team of HR personnel depending on the size of the organization record all information regarding employees, its incoming assets etc. manually in ledgers or on spreadsheets. Errors are unavoidable and extracting information was a cumbersome process. This may involve paperwork and authorization process could be time-consuming.
Introducing a HRMS tool can solve a lot of these problems and make tracking easy for HR personnel. HRMS is a computer-driven tool automating the process with a click of a button. Recording of procurement of assets, authorization for issuance, issuing asset to an employee, return of the asset, disposal of a redundant asset all can be done through the HRMS tool. This can be carried by any authorized personnel with in the organization. The tool can be connected to MIS and other tools as per requirement. Authorized person could be in any department and can record it without any paper work and this can be viewed by other authorized personnel. At times other assets are also moved to other premises which could be a factory or warehouse. However small the asset could be in terms of size or value, recording them in a HRMS tool will ease work and keeping a track of the assets. A cloud-based HR software can be very beneficial for the organization as all the data become centrally linked and accessed anytime anywhere.
Life-Cycle of Asset Tracking System (ATS) in HRMS tool:
First, each and every asset item is uniquely identified. Most assets like electronic equipment have a unique serial number. If required, we can also print our own or buy pre-printed barcode labels and associate the assets with company location, vendor name, purchase order and other details can be easily processed into HRMS SaaS application with the assistance of electronic data processing (EDP).
Assets should be insured in order to protect company assets from theft or damages due to fire accidents or other such calamities. These details along with intellectual property or agreements are secured into HRMS application that helps to avoid such sudden losses by claiming the damages against the insurance policy.
In HRMS, employee onboarding involves action item like asset assignment to new joiners of the company. What item has to be assigned, who has what item, when they had it, date of expiry of possessing the item, location of the asset etc. are all controlled and the movement can be tracked via HRMS records.
It is necessary for certain assets to bear maintenance/services for the enhancement of particular asset performance and it’s vitally important to get email notification or SMS alert to the asset admin. The HRMS application can raise the comprehensive report related to assets maintenance due dates.
HRMS tracks the movement of every asset from the employee usage to its return. Where each asset is located and sees who the assigned employee is, this enhances security by taking control of company assets at a lower cost and will increase company efficiency.
The total list of items in a selected location such as assets purchased, assets assigned, assets not in use, damaged assets can be tracked, controlled and record will be stored in the HRMS application. It also provides tangible proof of transactions and receipts and also customizable to include critical information such as contract/legal terms, itemized lists, asset ownership, due dates, etc.
The life of any tangible asset is not fixed. Over time assets age need to be ascertained. These activities are needed to ensure assets retain value and remain usable to the business. Calculating each asset’s value can be done in the HRMS application at any time, with client choice of depreciation method.
For the purpose of finding out the valued asset, one will have to refer to the original invoices, cost accounts and market prices, which can be ascertained, form the financial papers, etc. HRMS, quickly provide commonly requested goods and repurpose returned assets. Create a purchase order with a single click for requested items that are not in stock. Ordered assets are tracked and, once received, are automatically updated in the system
Assets that are returned by the employee because of employee off-boarding process or to be replaced for its maintenance, is tracked in the application and we can create, run, schedule and share reports.
HRMS enables asset managers to merge their procurement needs and provide a comprehensive and configurable procurement workflow, which includes tracking asset requirements and send a request for quotes. Vendors can submit quotes online. Comparison of vendors’ quotes for products and services with regards to price and quality, release of purchase orders with dynamic approvals from configurable authority sequence in an organization can be managed from HRMS. Ordered assets are tracked and once received are automatically created in the system. This creates a new cycle for that product.
Written By Aparna Raparthi