Last updated on February 24th, 2025 at 05:21 am
Enterprise Asset Management (EAM) is a system businesses use to manage their physical assets. EAM makes it possible for companies to extend asset lifespans, centralize asset data, and optimize company performance. Unfortunately, most business owners have no clue how EAM works, and as a result, end up making mistakes. If you want to ensure that your physical assets are effectively managed, adopting a more serious attitude towards EAM is essential. This post explains how you can do that, and offers a comprehensive guide that you can use to manage assets professionally.
Hiring a Consultant
As mentioned above, most business owners have no idea how EAM works. This often leads to them making mistakes. Mistakes in the context of asset management can have serious consequences. One of the best ways to take a proactive approach toward your company’s physical assets is to outsource its EAM to a consultant. The experts offering Maximo Consulting say they can uncover trends and help businesses find the best asset management practices possible. If you plan on hiring a consultant, shop around and find the most experienced, skilled one you can.
Understanding EAM
In order to take EAM more seriously, you first need to understand its purpose. It is managing your business’s physical assets, so they don’t depreciate in value or break prematurely. All physical assets are covered by EAM, whether that’s brick-and-mortar buildings, vehicles, or even equipment. EAM will help you to ensure your assets are functional at all times and only retired when absolutely necessary. An EAM consultant or EAM software will help you to track the use and performance of assets, too.
Why EAM Matters
Physical assets cost money. If you adopt a casual attitude toward them, you could end up losing money when they inevitably break. By managing them better, you will also be able to minimize downtime or expensive repairs. This is because you will know what condition they are in at all times, so you don’t have to worry about unexpected accidents taking them out of commission. EAM can also enhance employee productivity by ensuring they have access to reliable tools at all times.
How Does EAM Work?
The main parts of the EAM process are tracking, maintenance, and repairs. Compliance is also considered an important part too, but more on that later. EAM can help you with tracking your assets so you know where they are at all times, as well as maintaining them when they need to be maintained, and performing emergency repairs in the event they get damaged. It can also help you to ensure you are compliant at all times. If your regulator catches you in an act of non-compliance, you can get into a lot of trouble.
Using Software
One of the easiest ways to manage your company’s EAM is to use specialist software. Many consultants have particular programs they recommend to their clients, so rather than trying to find one yourself, hire a consultant who’s in the know to hit the refresh button your company’s EAM system and change it for the better. They will help you to find software that works, as well as make other recommendations for things they think you should change.
Following Rules
There are rules you have to follow as it relates to your business’s asset management. If you do not follow the rules set by your industry regulator, you could end up getting into a lot of trouble. The best way to find out what these rules are is to get in touch with a consultant. They will explain all the rules, as well as other regulatory requirements you need to know about.
Identify Problems
As mentioned above, physical assets can be expensive. If you do not take yours seriously, they could end up breaking prematurely. By managing assets more effectively, you will be able to identify problems early, which will save you a lot of money on repairs. Catching problems early prevents them from getting out of control.
Asset Life Cycles
If you do not manage assets well, you could end up shortening their life cycles. If asset life cycles are premature, you could end up having to pay to replace them, which will cost you unnecessary money. On a side note, better EAM can help you to predict future trends, which can make it easier for you to figure out which assets to buy, which to sell, and which needs special attention as it relates to maintenance.
EAM can save you a lot of money. If it isn’t something you have thought much about before, now’s the time to give it consideration. You can use the guidance given here to do that. Give each point consideration and definitely hire a consultant to support your efforts.
