Many people who are not familiar with the term of asset management. What is asset management? Asset management is a process that involves various things in the company both in the form of asset or human resources who work there. A company that runs the system with good asset management has the opportunity to continue to grow, succeed and make a profit. What is asset management? Asset management is a collective investment which objective is to provide maximum results at minimum investment or low cost.
What would be the first priority of implementing asset management systems, namely identifying the company’s assets and human resources that exist. Definition of assets that could mean anything owned by these companies, can be cash, property, goods, savings and investment. Assets can also be monetary investments, plants, infrastructure and human resources. All that must be identified and will be determined where the profitable assets and which are not profitable. Options that may arise after the identification process is to separate assets which are still workable and which are not profitable. If assets are profitable for the company so his position is secure, there is no need of any repairs. However, if the assets are not deemed profitable, then the option is to dispose off, sell or reprocessed to produce something that profitable.
For example, after conducting an over-haul on a production machine, it will be found if the machine is still functioning or not, are there parts that need to be replaced, or whether in fact the machine can not function anymore and will be better to be sold, on the consideration of buying a new machine as an investment would be more profitable than the cost of servicing and replacement of spare parts. Moreover, if these production machines are old and have been difficult to find the spare parts.
Assets in the form of goods referred to real property, then the human resources are not real assets. Why is that, because human resources can only be employed by the company but can not be owned or become property of the company. When companies need to make efficiencies, usually the ones that been removed or reduced is its human resources. Asset management system will evaluate each section or department regarding the real amount of necessary human resources. Certainly adjustments will occur on accordance with efficiency on the amount of human resources according to the recommendations of the existing asset management systems. Asset management systems main jobs are improving skills of their human resources asset. Asset management system must also create a sense of comfort and safety in the work environment because it will motivate people to work harder when a policy has been made and each human resources must optimize their work.
Well managed asset management will be offered the opportunity to invest for the companies. Not only limited to the machinery and infrastructure investments but also in the form of other investments such as stock market, oil, gold, bonds and other things of value. It just another profit taking. But not every company is able to manage its own asset management. Many asset management companies out there who have the expertise to help companies to become more efficient, effective and competitive. It’s just to rigorously be careful in choosing the right asset management companies and not to get stuck in a failed investment. Asset management is the heart of today’s companies. No company can survive if they are not able to manage their assets properly and successfully.