What is IT Asset Management, and Why is It Important?

Posted by Mike Woods

Fixed Asset Market Manager

in Technology, Inventory Management

Updated December 10th, 2023

Table of Contents

• How Does IT Asset Management Work?
• Why Does IT Asset Management Matter?
• Track IT ROI with Proper IT Asset Management

Your organization spends a lot of resources on IT equipment — shouldn’t you get the full value of these assets over time?

With more employees relying on technology to do their jobs, it’s never been more important for organizations to manage their hardware and software assets. Since IT has a larger footprint today, it’s necessary to manage all of your assets in one place. That’s where IT asset management (ITAM) comes in.

Learn what IT asset management is and the five reasons why more organizations are investing in this cost-saving solution.

How Does IT Asset Management Work?

Technology is essential to doing your job right, but it means organizations need to manage everything from software subscriptions to laptops. It might be easy to manage all of this in a small business, but at scale, manually managing technology across employees, departments, and locations just isn’t possible.

IT asset management is the process organizations use to get more value out of their investment in IT hardware and software. With IT asset management, organizations can more effectively manage their:

• Laptops
• Smartphones
• SaaS subscriptions
• Printers
• Security cameras
• Routers

Not only can you see what you have in stock and where everything is, but ITAM also allows you to quickly check an asset’s maintenance history and warranty information. The goal is to track the lifecycle of an asset in your IT department over time, managing maintenance schedules and costs more efficiently.

In practice, organizations rely on IT asset management to help them:

• Prove IT ROI
• Manage inventory
• Dispose of outdated assets
• Track asset locations
• Prove compliance
• Analyze usage patterns

Since there are thousands of IT assets in a single business, most organizations manage their IT assets with specialized asset management software. ITAM software will generate a QR or barcode that IT can attach to the asset with a durable label. Any time IT conducts maintenance or checks out an asset, they can scan it and send its history back to the ITAM dashboard. This is the most efficient way to manage IT assets and get full visibility into every asset in your business at scale.

Why Does IT Asset Management Matter?

IT asset management is a must for reducing the complexities of managing IT hardware and software. Every business’s setup is unique, but most organizations enjoy these five benefits when they invest in effective ITAM.

Make the Most of What You Own

Your organization already has IT assets. With IT asset management, you get a better idea of what you already have in your possession, whether it’s outdated, and what assets (if any) you need to purchase.

This helps you minimize unnecessary purchases, making the most of the assets you already have. For example, if you know you have laptops in storage, you can equip employees with those laptops instead of buying new hardware. If you rely on software licenses, IT asset management ensures you have the correct number of licenses for every employee — ensuring you don’t pay for licenses you don’t use.

Upgrade at the Right Time

When is the right time to upgrade hardware and software? Every asset is different, but IT asset management software will tell you when it’s time to upgrade.

Outdated hardware can lead to big business disruptions down the road, so ITAM helps businesses upgrade at the right time to balance costs and asset quality. For example, many organizations will upgrade their hardware every two years. This allows them to resell the hardware to make some of their money back while giving their team the latest and greatest hardware.

Maintain Your Assets

If your team struggles to update printer firmware or laptop antivirus in a timely manner, IT asset management can help your team fill in the gaps. Your software will tell you which assets need maintenance and when, ensuring your team only spends their time updating assets that truly need attention.

Reduce Theft

It’s unfortunate, but employee theft happens. IT asset management makes it much more apparent when assets are missing because it’s clear which employee is in charge of an asset. This won’t prevent all asset loss, but the additional layer of accountability can reduce theft and overall IT costs.

Improve Security

Outdated assets or stolen assets are a liability for your company. With IT asset management, you can monitor where assets are and revoke access if you realize they’re missing or stolen. Plus, ITAM ensures that all assets are updated and patched at the right time, which significantly reduces security risks. Security labels, such as destructible vinyl asset tags and tamper-evident polyester labels, help to deter theft by leaving clear evidence that an asset label was removed from an IT device.

Track IT ROI with Proper IT Asset Management

Every asset in your business has an expiration date. Instead of using assets well past their lifespan — and risk the disruptions that come with outdated hardware — IT asset management helps you strike a balance between saving money and optimizing performance.

IT asset management is a no-brainer for businesses that want more visibility into their IT costs. But you need tracking solutions to make ITAM possible at scale, which is where Camcode comes in. Tag all of your IT assets with Camcode’s durable labels designed to last an asset’s entire lifecycle. Request a sample of Camcode’s reliable, high-quality labels today.