Blog

ROI of a CMMS Let's say you're still managing your maintenance processes through traditional methods, such as pen and paper, email outreach, phone calls, or WhatsApp messages. Naturally, you realize that it is not efficient management, so you finally decide to look for an alternative and more performing solution. Do an internet search, ask around, and collect a few pieces of information wherever you can. You realize that this is interesting. Sooner or later, however, you will end up asking yourself a question like this: "How much does a CMMS cost me?" What is the ROI of a CMMS Soon after, you will ask yourself another question: “What is the ROI of a CMMS?” If you are reading this article, it is likely that what I have just described is, more or less, the path that has led you here. In fact, they are both legitimate questions, the only problem is that it is not very easy to answer completely exhaustively. In short, you cannot read this article passively: your help will also be needed. Why? Well, finally a simple question: because there is neither a precise cost nor (let alone) a single ROI that applies to everyone. Exactly: when evaluating the final cost or calculating the ROI of a CMMS, there are a number of factors to take into consideration that will decisively affect the result and the price of the CMMS. What Is ROI? ROI, the acronym for Return on Investment, is one of the profitability indicators that is part of the economic analysis of a business. The Return on Investment is taken into consideration when investors and entrepreneurs want to know if it is worth investing in a company because it clearly reports how much that business makes in its core business. What Is ROI For? Now we know what ROI means and that it is a profitability indicator, but what is it for? Return on investment is used to understand if an investment in a particular company is profitable. In a nutshell, what return will I get if I invest X euros in this company/sector/software? Will I make a profit or a loss? The Return on Investment shows the answer to this question, so it is essential to calculate it in order to understand whether or not to invest in that particular company/sector/software. In fact, thanks to the ROI calculation, we will be able to understand the efficiency with which the company/sector/software we are going to invest in will manage our invested capital and its ability to generate income from the investment. In fact, it is NEVER advisable to analyze just one balance sheet index when evaluating a possible investment. ROI belongs to a larger group of profitability indicators and it is advisable to analyze them all. How is ROI calculated? The ROI, therefore the return on investment, is calculated as a percentage taking into consideration the investment and the turnover. As with other balance sheet ratios, the ROI calculation will be indicative of your business only if accompanied by other indicators of your company's structure, both from an equity and economic point of view. This therefore means that it is not a sufficient parameter to tell you whether your company's performance is sufficient and profitable or not. In addition to this, you need to understand how to interpret the ROI data presented, and how much to rely on it to make decisions that can prove decisive for your business. To calculate your ROI just use a simple formula. ROI: formula The formula for calculating the return on investment is given by dividing the net return on investment, calculated by subtracting the turnover from the investment, by the invested capital. The figure obtained will then be multiplied by 100 to calculate the percentage value. The ROI formula is therefore: [(turnover - investment) / invested capital] x 100 Try our ROI Calculator for Free!       ROI Calculator Investment ($): Turnover ($): Calculate ROI   Types of ROIs Based on the value obtained from the calculation of the return on investment, three types of ROI can be identified: ·  greater than 0: if the ROI is positive, the business is generating wealth. ·  equal to 0: if the ROI is equal to zero, the business is neither generating nor destroying wealth. ·  less than 0: if the ROI is negative, the business is destroying wealth. Six Factors That Influence The Cost Of A CMMS What are the main cost items of a CMMS? Software cost Implementation and configuration Training, education, and support Integrations Hardware (when needed) Customizations The cost of CMMS: cloud Vs on-premise Most CMMS vendors offer two solutions for delivering their software: Cloud-based CMMS CMMS on-premise Cloud-based CMMS software is often delivered through a subscription model. The subscription is often linked to the number of users (therefore to the number of people who will use the software) and is usually paid once a year. People who only have the possibility of reporting a fault using the appropriate technical intervention request form are not to be considered users. When you want to determine an estimate for membership fees, you should therefore ask yourself one question: How many people will use the system? Calculating this cost is the most difficult part, as it varies according to what we want: customizations and integrations are among the most common extras that lead to raising the final price of the CMMS and are usually also the most expensive items. On the other hand, however, they are at the same time the elements that can lead to a higher ROI. So it's about finding the right balance. We will examine each of these items more closely in the next paragraphs. Calculate the costs of a CMMS: implementation and configuration The cost of implementing and configuring a CMMS includes both direct and indirect installation costs to make the software operational. To give some examples, potential implementation costs concern the payment of services such as system configuration, data migration or data entry, creation of scheduled maintenance, etc. Most CMMS vendors charge an hourly rate to cover the hours of work required or offer a standard implementation package that includes these services. Calculate the costs of a CMMS: training, education, and support The cost of training and support depends on the size, goals, and capabilities of your team. As with implementation, most vendors offer a specific number of training hours directly with the purchase of a subscription. Any additional hours are charged by the hour. While this item is the most tedious part of buying a CMMS, don't underestimate it. Successful implementation depends on how the people involved use the software. [cta title="Accumulate your savings with WorkTrek CMMS!" text="Book a WorkTrek demo to see how a CMMS can help your business." link="https://login.worktrek.com/Account/Register?_gl=1*fpersd*_ga*MTcwMjE1OTkzNy4xNjU0NTA3NTI2*_ga_8N6446P9LX*MTY3Mzk2ODEzNS4yNi4xLjE2NzM5Njg4MDAuNDguMC4w"] Calculate the costs of a CMMS: integrations Being able to integrate your CMMS with other company systems is one of the essential elements to take maintenance to the pro level. Whether you want to connect the CMMS to the corporate ERP system, to an MES, or to production schedulers, warehouse software, SAP, sensors, meters, and so on, it often represents a decisive argument for achieving the best ROI. The first step in determining the effective cost of integration is to understand what we want to connect to the CMMS. Talk to your supplier to understand what the possibilities are and get an accurate idea of​​the final cost. Calculate the costs of a CMMS: customizations Customizing your CMMS is not only a smart move but very often a decisive one too. CMMS software is used in many sectors ranging from facility management to industry. Although CMMS providers very often provide slightly different environments from sector to sector, you will always have needs that are different even from those of your competitor. However, these customizations are divided into 2 categories: for a first group, represented by simple changes to the interface, it is only a question of modifying some fields, for example removing those that are not needed to make the interface itself cleaner. These customizations are usually done without adding an extra cost unless they become too much. Other customizations instead require a greater effort for the CMMS provider. Some of them may even involve the development department and, of course, will have to be paid for. Extra costs: hardware The purchase of mobile devices represents one of the few costs of a CMMS associated with physical hardware. One of the main advantages of a CMMS is its ability to access it through smartphones or tablets. This allows you to be able to use the system directly through your own devices, but if the company intends to provide a corporate one, it will be good to calculate the cost in advance. Calculate The ROI Of A CMMS The time has come to understand what value a CMMS can offer. Calculating the ROI of a CMMS depends on many factors including, for example, the objectives we have set ourselves to achieve, or the sector in which we operate. However, since ours is intended to help calculate ROI, we will focus only on those aspects that are measurable. Downtime: Downtime can represent a significant cost item for companies every year. CMMS software can help you reduce this cost in many ways: for a manufacturing company, for example, a CMMS can help reduce the number of unexpected downtimes or help you plan scheduled maintenance more rationally. A CMMS can also help you: Understand the hourly cost of machine downtime. Monitor the number of hours of downtime before and after implementation. Analyze failure types and evaluate their effects in terms of hours worked per machine and other maintenance metrics. Eliminate inefficiencies: Eliminating inefficiencies can save you time and money. The main problem is being able to find them. CMMS software can give you a big hand in this. Once you've established the average time required to complete a specific task, as well as the required man-hours and man-hour costs, you can begin to find answers to questions such as: Does fewer unexpected breakdowns mean fewer additional staff/suppliers? Is our preventive maintenance program sufficient to reduce the number of breakdowns? Are we saving time by automatically entering data, tracking operations, and compiling the digital end-of-service report? Is work being assigned and done faster using the mobile app? Does the improvement in communication and dissemination of information lead to shortening intervention times? Aspects such as productive time, quality of work, and the total value of working hours are increasing? Analysis and efficiency: One of the central aspects of a CMMS is the ability to analyze stored data and provide advanced reporting to make it easier to read and therefore actionable. Some reports and KPIs can also give us an indication of the return on investment of our CMMS. These reports can help us answer questions that, without data in hand, would remain unanswered. Are we doing too much (or too little) scheduled maintenance? Indeed, if it has been demonstrated that optimal maintenance planning can cost 3 to 4 times less than reactive maintenance, it is also true that an excess of scheduled maintenance leads to a significant loss of efficiency which has repercussions on management costs and times. How much does a machine downtime cost on average (and specifically)? Has the average number of total machine stops (or for each plant) dropped or is it dropping? Which assets are our staff or suppliers spending the most time on? What are the most expensive assets in terms of downtime or maintenance? What is the backlogging rate (maintenance backlog)? Is it decreasing? Is the mean intervention time (wrench time) decreasing? Answering these questions will help you find the CMMS ROI in relation to labor costs and labor time. Inventory and spare parts warehouse: Optimal management of spare parts and materials in the warehouse can lead to a significant reduction in costs. You can measure these savings by calculating the amount you spent on inventory before and after implementing a CMMS. Here are some examples of how CMMS software can help you better manage your parts warehouse inventory. You can save on purchasing spare equipment through maintenance planning. You can track the usage of spare materials and equipment in your warehouse in just a few clicks, and set minimum thresholds so you don't overstock. Identifying the materials needed for a work order allows you to reduce time and labor costs. Durability and asset efficiency: Part of the ROI of CMMS software also comes from ensuring that the assets receive adequate maintenance in order to make them last longer and maintain initial productivity standards. This will allow your company to save a nice nest egg in the long run. All of this obviously has a major impact on the ROI of a CMMS. In particular, because it allows you to: Increase the availability and efficiency of your plants Extend the natural life cycle of resources Sustainability and safety: A CMMS can also provide a high ROI in terms of efficiency and sustainability. Here are some examples: Better maintenance helps keep machines in like-new condition, reducing utility costs. CMMS software simplifies the management of audits and inspections, as well as contributes to compliance with safety procedures. Through processes that automate maintenance planning, the CMMS contributes not only to comply with the required regulatory standards. Integration with business systems: In addition to integration with ERP systems, a CMMS can also be integrated with much more complex systems, such as BMS, BEMS, and BIM, by sharing the collected data. This possibility, very often, is able to generate an even higher ROI because even in maintenance unity is strength. Costs and ROI of a CMMS: finding the right balance for your Business needs The CMMS software market has evolved in recent years, both in terms of available features and in terms of its cost. Today, CMMS software is available at a much lower cost than in the past, and even some open-source experiments are available. See WorkTrek pricing here. Each of these has different characteristics, different capabilities, and, of course, different ROIs. Understanding the cost of a CMMS and the value it brings to your company requires careful analysis and a definition of the objectives that we want to impose on ourselves through the implementation of maintenance software. It is important to carefully consider each of the elements, talk to the different suppliers, and get a complete picture, since the cost structure of a CMMS, more often than not, is also an indication of the necessary effort and services behind the product but which can turn out to be an ace in the hole and an extra gear to achieve success. ROI is a fundamental index for evaluating the profitability of a company's investments.

CMMS software is essential for the coordination of all activities related to the availability, productivity, and maintainability of complex systems. Modern computer resources have made it possible to considerably improve the effectiveness and efficiency in the field of maintenance through the use of CMMS. But – implementing a CMMS correctly means making the most of your investment. To do this, you need the know-how and experience necessary to avoid nasty surprises when it will already be too late. Implementing a CMMS requires planning, time, and project management skills that will involve people and processes within your company. Being able to do it well means starting the journey towards better management of your resources on the right foot, which will potentially be studded with great satisfaction. For this to happen, it is not enough to choose the CMMS based on its functions. You need the know-how and experience necessary to ensure that the software can adapt to your processes, without expecting the opposite to happen overnight. The people involved need to learn how to use it and do it well, to get the most out of the system and not just a slice of the pie. Your company is not only making an investment in terms of money and time, but it is also facing a cultural change, as it moves from an old way of doing things to a new and more performing one. What Is A CMMS Software? The acronym CMMS stands for Computerized Maintenance Management System. This software package was designed to manage maintenance globally, on a strategic, financial, and operational level. It is today the essential software of the industrial sector. Much more than simple computer programming, it is an assistant for maintenance teams, the cornerstone of industrial efficiency. Because you can use it to achieve different goals, there are different ways to describe computerized maintenance management software. On the one hand, it is sophisticated software that captures and uses thousands of data points to provide an overview of how a facility is operating or detailed information about individual pieces of equipment. In terms of functionality, CMMS software offers businesses the ability to monitor inventory levels, manage work orders, set up and schedule preventive maintenance programs, and quickly generate accurate reports. But on another level, it's just the solution maintenance managers need. Automating processes and streamlining workflows makes your life less stressful by making your workday more predictable. What Does CMMS Software Do? The CMMS is a software capable of containing all the maintenance information: from the technical master data to the asset files, passing through the maintenance plans, the requests for technical intervention, and the work orders. It also allows you to manage all the documentation, the history of interventions and work reports, the spare parts in the warehouse, and of course the technicians and suppliers. Thanks to all this information, it is able not only to help you optimize maintenance processes but also to provide all the data necessary for a detailed analysis of the same, monitoring times, costs, and performance thanks to business intelligence systems that analyze the data for you, creating personalized and incredibly detailed reports. The best CMMS software is also able to automate a large part of these processes, for example by automatically creating work orders or assigning them, always automatically, to the right personnel, based on the indications you have given to the system. Read also, 20 benefits of CMMS tools for small business How Does It Work? Let's say, for example, that you need to plan preventive maintenance interventions based on the working time of a machine. The CMMS is able to generate a new work order every time this time is reached, inform you if spare parts are available in stock, attach the necessary documents and maintenance check-lists to ensure that the interventions are carried out in the correct way and finally assign them to the person indicated on the basis of the machinery or its location. This allows you to drastically reduce costs and management times of your resources, in addition of course to machine downtime, also reducing manual actions and margins of error. One of the most important features of modern CMMS systems is the ability to use the mobile app. Thanks to the mobile app, technicians can take the CMMS for company maintenance with them in the field at all times. They will be notified via a simple notification (or an email) when a work order is assigned to them, they will be able to consult the documentation, record the intervention times, take advantage of the check-lists attached to the work order, and add the pieces in just a few taps spare parts used in the final report. See also, what is CMMS? Features, benefits, and how it works. What Does This Mean? This will allow them not only to cut intervention times but also to automatically record all the data and information relating to the work order within the CMMS system. Once the intervention has been completed, they will be able to automatically generate the end-of-work report, form it directly on their telephone, and send it to the system (as well as by e-mail to the interested figures). At this point, the CMMS system records the data and orders them within the platform, where they will be available in real-time. Similarly, the maintenance manager will have a complete view of the progress of maintenance operations, and will be able to easily monitor, without any additional action, the work orders carried out and those still to be carried out, as well as analyze the recorded data in real-time. Consider reading, 10 easy steps to successful CMMS implementation. Why Set Up a CMMS Software? A CMMS software brings to the company or organization: better productivity (plan and manage maintenance interventions, centralize information for technicians, prioritize requests and tasks, etc.); improved cost control (greater durability of equipment thanks to regular maintenance, anticipation of expenses to find the best price); more transparent and more fluid communication of information between the various managers of a structure and their clients; automatic reporting in the form of dashboards and statistical reports, with high-level traceability. The CMMS is also a guarantee for the continuity of a company's activity. It limits the risks in terms of equipment failure or out-of-stock. In the absence of a dedicated IT tool, maintenance management within a company or another organization runs the risk of being neglected. A human-made error, such as a simple oversight to order new stock or update a workstation, can cause chain reactions and hurt a team's overall performance. Read also, a step-by-step guide to choosing and using the right CMMS. Why Do CMMS Implementations Fail? According to a study, by one of the most authoritative voices in the maintenance industry, between 60 and 80% of CMMS software implementations fail. The main reasons for these failures are: Lack of clear goals Lack of a figure able to lead the project Insufficient training and post-implementation support Inability to tailor the software to business needs and practices Solutions developed in-house without the necessary know-how Most of these motivations have something in common. In fact, they do not concern the product itself, but problems of various kinds that arose during the implementation process. This is an important food for thought, to keep in mind when we are about to choose a CMMS. There are not only functions and indeed, in this regard here is another interesting fact, relating only to the American market: according to Reliable Plant, 90% of companies that use a CMMS do not take full advantage of its characteristics. See also, CMMS success, top 7 industries that benefit the most. Why Your CMMS May Not Meet Expectations The reasons why CMMS fail are as varied as the companies that implement them. Often the software package chosen or the manufacturer support provided is to blame. But that's usually an excuse, not the real reason these errors occur. Failure can usually be traced to one or more of the following main causes: Solving the wrong problem with a CMMS Sometimes, companies decide to implement a CMMS to solve problems that are not related to the system. For example, you might hold on to inappropriate or outdated maintenance practices; or they neglected training in the past, or the organizational structure isn't right for doing business in today's environment. Unless these problems are addressed, no system will help and actually make the problems worse. Before starting a CMMS project, make sure the problem is properly defined. Lack of organizational goals Realizing that you need CMMS software is an important first step. Next, you should decide why you want it and what you expect from it. If you don't have a clear roadmap, it can be difficult to understand exactly what steps are needed to complete a project. Set clear goals for yourself from the start: How the implementation process should work How your team will use the software What role will your staff play in the process Avoid filling your team with ambitious plans. Keep realistic expectations and easy-to-achieve plans. This is the best way to avoid burnout and make sure everyone shows up as expected. See how to maximize manufacturing production with CMMS. The wrong package was selected for the job Often a CMMS package is chosen that is not suitable for the desired solution. For example, the features and functionality of a software package may be suitable for rolling stock maintenance but not for a processing plant with a large amount of capital equipment. Mismatches between system capabilities and solution requirements are often the result of a rigorous process of evaluating and selecting packages to meet solution requirements was not followed. Insufficient change management Among the top reasons for project failure, change management is the most overlooked. However, effective management of organizational change is critical to the long-term success of a CMMS project. Change cannot be left alone. It must be planned and executed carefully. [cta title="Achieve your expectations with WorkTrek!" text="Book a WorkTrek demo to see how a CMMS can help your maintainability." link="https://login.worktrek.com/Account/Register?_gl=1*fpersd*_ga*MTcwMjE1OTkzNy4xNjU0NTA3NTI2*_ga_8N6446P9LX*MTY3Mzk2ODEzNS4yNi4xLjE2NzM5Njg4MDAuNDguMC4w"] Four Reflections On The Benefits Of A CMMS Software The following is not an exhaustive list of the benefits that CMMS software can bring to the maintenance of a company. Instead, it is meant to be an invitation to reflect on some of the main aspects, which together can have a disruptive effect on the entire corporate maintenance process. Improve workflow One of the most important effects that a CMMS (Computerized Maintenance Management System) can have on maintenance management concerns the workflow. A CMMS software is a real hub, capable of intercepting and connecting the various maintenance processes, from the opening of a ticket (therefore a request for intervention) to data analysis. In between are the management of work orders, technicians, and suppliers, planning of preventive maintenance activities, monitoring of assets and downtime, maintenance management, and warehouse management. And so on. With CMMS software, managers, technicians, suppliers, and customers are able to collaborate all together and in real-time, with different levels of access, on the same platform. So we can say that maintenance is in one place. Now think about your processes. How well are they able to integrate with each other? What advantages could it bring, in terms of workflow management, and data flow, or what impact could it have on intervention times? Communication Collaboration is a central aspect in maintenance management and therefore also in the implementation of a maintenance CMMS. Optimizing communication between the actors involved means: Improve productivity Improve efficiency Decrease errors In addition to eliminating errors, CMMS software is also able to remove obstacles, slowdowns, inaccuracies, and loss of productivity largely due to communication problems. A great way, often underestimated, allows you to save time and therefore money. Think about your maintenance processes. How does communication take place between the subjects involved? Do you use email, WhatsApp messages or phone calls? What are the limitations of these means compared to the automatic tracking and monitoring provided by a software CMMS? Simplification Other benefits of a CMMS are the different aspects and functions that can usually contribute to simplifying maintenance processes through: Traceability: The complete traceability of all the single actions that are carried out on an asset, a plant, a machine, or inside a building, is a fundamental aspect. With CMMS software, all actions are recorded automatically within the platform. This not only allows maintenance events to be traced but also makes this information easily accessible thanks to automatic entry into the maintenance system. Automatisms: The creation of automatisms allows us, through guided procedures and automatic compilations, to avoid errors, for example on an intervention request, but also to save precious time in the operations planning phase or in the creation and assignment of work orders. For example, we can automate the creation of a work order whenever a plant or asset reaches a certain condition, based on triggers such as time, mileage reached, or meter monitoring. Documentation: The creation of a digital profile of our assets, plants, and buildings allows us to access all the related documentation with a simple click: guarantees, contracts, but also the history of interventions, saved checklists, maintenance, etc. Maintenance plans: A great classic of CMMS software. Establishing priorities, and correct strategies, and evaluating their effectiveness is one of the fundamental aspects of a maintenance management program. Data Finally, the data. We have a budget available, often quite tight, and we have to respect it. So we want to make sure we allocate our resources as efficiently as possible. Are we doing too much corrective maintenance? Or too much preventative maintenance? How much does downtime cost us? Are we spending too much on a particular asset and perhaps it would be worth replacing it? When is the best time to carry out an inspection? Which supplier guarantees us the best results? These are just some of the questions that CMMS software allows you to find answers through analytics, economics, and the creation of customized reports. Data analysis is the key to maintenance management systems. Using CMMS software to manage maintenance, means knowing your processes and finally making them measurable. How To Choose The Best CMMS Software And Meet Your Expectations? Choosing the best CMMS for your company is a delicate operation, which not only requires careful evaluation but can turn out to be a strategic decision of no small importance. Nowadays the market offers a wide range of different CMMS solutions, starting from the choice of a cloud or on-premise software. But functions are not the only aspect to consider. Implementing a CMMS is a delicate matter that needs a lot of attention. Very often the best solutions are also linked to services such as training and education, as well as the availability of a project manager made available by your supplier who is able to transfer the necessary know-how, together with the identification of objectives and steps necessary for the implementation to be successful. Furthermore, the possibility of customizing the CMMS software to adapt it to your processes and workflow always proves to be a fundamental discriminating factor, which no successful implementation can ever ignore. In other words, the saying "do it yourself, do it for three" does not apply when it comes to a computerized maintenance system. If you found this useful, consider reading, essential tasks to track in your CMMS. Here are some aspects to be clarified during the analysis phase to help you choose the best CMMS based on your real needs: Does the vendor you've selected also offer the necessary services for implementation? Does the CMMS feature cover your needs? Are your company goals aligned with the software offering? Does the supplier provide someone who can lead the implementation within your company? Is the CMMS you have selected able to guarantee the usability you need to make it easier for the whole company to adopt the software? Does the supplier already have valuable experience in your industry, so they know what your needs are and bring in the necessary know-how? Is the timeline for implementation clear and in line with your needs? Meet Your Expectations With CMMS Software The use of CMMS software in carrying out maintenance activities proves to be a fundamental card for anyone who wants to raise the bar of their productivity. In fact, digital maintenance management allows you to save time, save money and increase the efficiency of maintenance teams, as well as the performance and life cycle of company assets. This is why CMMS software is a tool capable of making a difference, part of a digital transformation strategy that companies can no longer postpone. Naturally, however, to fully reap the benefits of using such a tool, it is necessary to consider maintenance and its processes as part of an investment that aims to save us money, make our plants more productive, increase safety at within the company, and enhance the assets we have, instead of considering it (as has been done for too long and still today, unfortunately, in some circumstances) a due cost.

The Future of CMMS as we know it will continue to change and improve as more and more companies continually strive to achieve better resource allocation, greater customer satisfaction, optimized production, and improved safety performance. Development Of Different Generations Of CMMS CMMSs have been around since early computers. In the 1960s, the first generation of maintenance solutions used punched cards running on IBM mainframes. Earlier versions of the app were limited in terms of usage and the expertise required to execute basic work orders. The system has attracted large corporations and government organizations to manage its service operations. Punched cards were replaced by computer terminals in the late 1960s. The development of mainframe computers made the solution available to many organizations, but it remained limited to large corporations and government organizations that could afford the tool. After the introduction of minicomputers in the late 1970s, service management continued to evolve with advanced features that enabled medium and large industries to take advantage of CMMS. Technological advances in personal computers from the late 1980s to the early 2000s paved the way for the platform. CMMS and Internet Access The possibility to connect a PC to a local network expands the range of use of the tool's functions. After the 1990s, and more precisely from 2000 onwards, we saw a huge growth in maintenance driven by the internet and the cloud. This is the story of how CMMS evolved and achieved its biggest breakthrough, which can be used anywhere in the world with Internet access. This solution emerged through service operations in various industries and evolved from a buy or support model to a SaaS model. After the outbreak of the Fourth Industrial Revolution in 2010, computer networking capabilities emerged. With the advent of wireless and cellular technologies, cloud-based solutions are adopted. Here, the on-premises application model is replaced by a cloud-based model. With the development of Industry 4.0 technology, mobile service solutions have become common, and the Internet of Things and artificial intelligence have made important contributions. This makes it easier for users to remotely place work orders, track progress, and order parts. The Evolution Of CMMS The development of CMMS is relatively new, around 50 years ago. From on-premises CMMS to cloud CMMS. Initially, there was no wireless or cellular access, so the use of CMMS was limited to large punched card computers. For the most part, these early systems were only attractive to very large companies, given the cost of the equipment and the expertise required to operate them. With the advent of computer networking capabilities, CMMSs have evolved. They are then available on the institutional network and can be accessed from a desktop computer. With the advent of wireless and mobile technology, the cloud-based CMMS format made its debut. Another new feature of the software is mobile access, allowing system users to remotely place work orders, order parts and track progress. Finally, the introduction of predictive maintenance programming represents a quantum leap forward for facility management, allowing regular maintenance checks to be performed while equipment is still operating and with minimal disruption to the manufacturer's production cycle. All of these developments make the latest CMMS releases more attractive to companies of all sizes and industries. Maintenance management today. Today's maintenance management experience is very different from that of a spreadsheet user or earlier CMMS versions. Automation. Once implemented, these systems perform all maintenance management tasks automatically and often require little more effort from the user than a click or touch of the equipment being used. Maintenance technicians no longer need to be burdened with paperwork as all labor and parts orders, job tracking, and other communications are done electronically. Mobile access. Mobile access with camera and barcode scanning enables technicians to work from anywhere while saving time and reducing errors. Customizability. Finally, one of the greatest benefits of today's CMMS is that they adapt to the organization, rather than requiring the organization to adapt to the system. This means they can meet the unique needs of large and small businesses with varying numbers of assets, users, locations, and preventative maintenance needs. Most importantly, they are also able to adapt to the changing needs of the organization as it grows and restructures. Changes in technology, the market, and the business environment have all led to the development of CMMS as the solution of choice for maintenance management. By comparing pre- and post-implementation approaches to maintenance management, one can see how these software systems have helped thousands of manufacturing companies keep up with tighter profit margins and growing economic and industrial demands. CMMS Top Trends And Predictions The CMMS market is expected to grow at a compound annual growth rate (CAGR) of 9.1% from 2023 to 2033, reaching USD 42.15 billion. As CMMS software grows and becomes more widely used, predicting the future of CMMS industry trends can be challenging. However, we have identified some emerging trends that are likely to impact this market in the future of CMMS. Gain better maintenance insights through big data Almost every industry is leveraging big data to gain insight into its processes, predict problems before they occur, and then use that information to drive continuous improvement. From healthcare to aerospace, education, and manufacturing, these changes are happening primarily on Industrial Internet of Things (IIoT) platforms and wireless sensor networks. We expect that within the next few decades, the maintenance process will completely shift from paper-based or manual management to real-time monitoring based on machine-provided information. The future of CMMS will be largely digitized and automated, with most of their decisions based on real-time machine data. The overall result of this massive data analysis will be higher device reliability than ever before. Cloud maintenance The use of cloud computing solutions by businesses and individuals has increased significantly in recent years. For maintenance professionals, the main benefit is that cloud-based maintenance support or maintenance-as-a-service offers comprehensive functionality accessible from anywhere in the world. The most popular of these tools are cloud-based computerized maintenance management systems (CMMS) because they offer customizable capabilities, can be deployed faster than on-premises CMMSs, and have traditionally provided more mobile, flexible, and customizable Enterprise Maintenance Solutions. Plus, it gives you all the benefits of a pay-as-you-go enterprise maintenance solution. Prescriptive maintenance Yes, predictive maintenance (PdM) is cutting-edge technology. But what about prescriptive maintenance? Prescriptive Maintenance (RxM) is a technique that analyzes machine data and uses that information to recommend actions to correct any anomalies and reduce operational risk. Basically, RxM is higher than PdM. PdM tells us when something might go wrong, while RxM tells you what steps need to be taken to fix the problem. While prescriptive maintenance clearly has the potential to fundamentally change maintenance, research is still ongoing. Increasing Predictive Maintenance (PdM) Strategies Advances in machine learning (ML), artificial intelligence (AI), and the Internet of Things (IoT) enable the collection of data from machine-level sensors and ML algorithms to predict machinery failure modes before they cause costly downtime. This process helps companies plan maintenance proactively, streamline maintenance operations and reduce operating costs. The latest research reveals that the global predictive maintenance market was valued at USD 5.6 billion in 2021 and is expected to grow to USD 64.25 billion by 2030, at a CAGR of 27.4% from 2022 to 2030. As the benefits of predictive maintenance are increasingly recognized, this maintenance strategy is expected to gain popularity and impact the CMMS market in the coming years. [cta title="Supercharge your business with WorkTrek CMMS" text="Book a WorkTrek demo to see how a CMMS can help your asset management." link="https://login.worktrek.com/Account/Register?_gl=1*fpersd*_ga*MTcwMjE1OTkzNy4xNjU0NTA3NTI2*_ga_8N6446P9LX*MTY3Mzk2ODEzNS4yNi4xLjE2NzM5Njg4MDAuNDguMC4w"] Internet 4.0, Internet of Things, and Artificial Intelligence The use of modern tools such as Internet 4.0, artificial intelligence, and the Internet of Things is bringing the future of CMMS to industrial maintenance automation. Artificial intelligence or the ability of machines to self-regulate to maintain the human element, the CMMS must be able to integrate with these autonomous machine parts. A computer can communicate with another computer through Internet 4.0 without human intervention. Smart devices can monitor themselves; no technician is required to do this. Maintenance managers have access to real-time data, which they can then take appropriate action to prevent unforeseen issues. Companies use IoT data to manage asset maintenance. Predictive maintenance is used to make real-time asset management decisions. The maintenance function will be transformed from a cost center to a profit center. Using data collected through IoT, you can make decisions that align with your long-term goals. People are moving to data-based intuitive maintenance. Maintenance audits can be performed faster using IoT. Inventory management Additionally, to prevent unplanned downtime and loss of production, maintenance managers must ensure that spare parts and components are readily available. Therefore, one of the latest developments in maintenance management is the improvement of inventory management. Modern CMMS systems make inventory and spare parts management easier than ever. With a reliable CMMS software solution, maintenance managers and technicians can determine which equipment requires which spare parts, provide an estimated time frame for when components on a machine will need to be replaced and more. A data-driven approach to inventory control can eliminate waste, speed up item delivery, increase prices, and ultimately improve maintenance control. High demand for integration with other business applications In the past, CMMS software was seen as a tool that only benefited the maintenance department. These benefits are short-sighted and primarily seen as a tool for tracking preventive maintenance and spare parts. However, companies today are realizing how a CMMS fits into an organization's overall strategy. Obviously, if production machinery or critical equipment is unavailable, production will slow down or customer service will be disrupted. This ultimately affects the company's ability to compete and provide value to customers. Since CMMS software is now considered a critical tool for achieving business goals, there is a strong need for integration with other business-critical applications. Many companies integrate CMMS with enterprise resource planning (ERP), customer relationship management (CRM), human resource information systems (HRIS), and other tools. CMMS users will demand integration capabilities with other business applications, and CMMS vendors are addressing these needs. Automation and robotics are revolutionizing maintenance work Automation technologies, including robotics, will play a vital role in the future of CMMS maintenance management. Robotic and autonomous systems will perform routine tasks, inspections, and repairs in hazardous or hard-to-reach areas, keeping maintenance personnel safe. These AI-powered bots will be able to analyze complex data patterns, detect anomalies and perform advanced diagnostics. Collaboration between humans and robots will simplify maintenance operations and allow technicians to focus on complex problem-solving and decision-making. Using robots in maintenance management brings several advantages. They can operate in harsh environments without the need for personal protective equipment, minimizing risk to human workers. In addition, robots can work continuously without getting tired, thereby increasing productivity and reducing maintenance costs. By taking on repetitive and mundane tasks, robots free human technicians to engage in more strategic and value-added activities. Robotic process automation (RPA) will also play an important role in maintenance management. RPA uses software robots to automate manual and repetitive tasks, such as data entry and report generation. By automating these administrative processes, organizations can increase efficiency, reduce errors, and free up resources for more important maintenance activities. The CMMS Market Continues To Grow The CMMS market is expected to continue growing through 2023 as more companies realize the benefits of using these systems to manage their maintenance processes. CMMS systems support businesses to increase efficiency, reduce downtime and increase equipment reliability, resulting in cost savings and improved profitability. The continued development of new technologies, including predictive maintenance and advanced analytics, will help drive further expansion in 2023. According to a new study by Grand View Research, Inc., the global computerized maintenance management system market is expected to reach USD 2.41 billion by 2030, growing at a CAGR of 10.9% from 2023 to 2030. The future of CMMS maintenance management promises exciting advancements driven by technology and sustainability. AI, IoT, automation, AR/VR, and data-driven decisions will revolutionize maintenance practices, increase efficiency, reduce costs, and increase equipment reliability. Companies that start using these technologies and invest in upskilling their employees will gain a competitive advantage in the future of maintenance. By integrating sustainable practices and circular economy principles, companies can contribute to a greener future while simplifying maintenance operations. The journey to the future of maintenance management and CMMS have already begun.

Maximizing Asset Lifespan with CMMS - As an entrepreneur, you're looking for ways to maximize profits and minimize costs. One of the keys is proper wealth management - an often overlooked aspect of running a successful business. By implementing an effective maintenance and procurement strategy, you can extend the useful life of your assets and save your business money in the long run. The foundation of any business is your asset. In the current economic climate, there is no room for downtime, lost productivity, or poor quality. Maintenance teams are valued for their ability to keep assets running, while businesses seek to extract as much value as possible from their assets. Therefore, companies need to invest time in asset management (CMMS). What Is An Asset? An asset is an item of value owned by an organization or individual. Assets are divided into tangible assets (physical assets such as land and machinery) and intangible assets (information technology assets such as copyrights, trademark rights, and computer software). Within tangible assets, there are two subcategories: current assets (cash, inventory) and fixed assets (equipment, buildings, machinery, and other physical resources used in the operations of a business that are unlikely to be sold). When we talk about asset lifecycle management, we're talking about managing the lifecycle of fixed assets. What Is Asset Management? Asset management in the financial industry is related to investment management. Digital asset management is a solution for storing and organizing media files. Asset management in an industrial environment is the process of maximizing the value of assets most economically during the life cycle of a company. In asset management, "asset" refers to everything tangible, including machines, buildings, cars, tools, and real estate. Why Asset Management Matters? Asset management is critical to any business, regardless of size or industry. At its core, asset management involves the maintenance and procurement of equipment, machinery, and other physical assets to ensure they operate efficiently throughout their lifecycle. Proper asset management can help businesses save money by reducing downtime from equipment failure and minimizing repair costs. It can also extend the useful life of assets beyond expectations without regular maintenance. Additionally, effective asset management improves workplace safety by identifying potential hazards before they occur. By maintaining accurate records of all assets and tracking their usage over time, organizations can make informed decisions about when to upgrade or replace obsolete equipment. In short, investing in proper asset management is a smart move for businesses looking to increase efficiency and reduce overall costs. With a sound maintenance and procurement work strategy, companies can expect longer-lasting assets that deliver consistent results day in and day out. What Is Asset Maintenance? Asset maintenance is the process of maintaining and repairing physical assets such as equipment, facilities, and systems to ensure they are in good working order and function as designed. This can include activities such as inspection, cleaning, lubrication, repair, and replacement, as well as implementing a preventative maintenance program to identify and resolve potential problems before they arise. Effective asset maintenance is important for the following reasons: It increases efficiency and reduces the risk of equipment failure or downtime. Reduce the risk of accidents or injuries due to equipment or system failure. Extend the life of your assets by helping you detect problems before they become more serious. Reduce maintenance costs because you can identify potential problems before they occur. Increased asset value, as well-maintained assets command higher prices when sold or leased. Get better prices when selling or renting. Asset maintenance can be performed by an in-house maintenance team or outsourced to a professional maintenance company. The specific approach to asset maintenance depends on the type and size of the asset and the resources and expertise available. Asset Maintenance Management vs. Asset Management: What's the Difference? Although the name may be misleading, asset maintenance management strategies should not be confused with asset management strategies. Although the two concepts complement each other, they are not the same. Asset management is a management system that requires input from all departments involved in the business process (maintenance being one of them). Every aspect of the asset lifecycle – from research to acquisition to disposal – is part of an overall asset management strategy. In this strategy, departments such as planning, production, maintenance, and accounting work together to assess each asset's cost management, value, risk, and performance. Asset maintenance management focuses on performing maintenance activities and coordinating maintenance resources (including spare parts, labor, budget, etc.). The strategy can be viewed as a smaller, more defined component of wealth management. Maintenance stems from the need to keep equipment running, update maintenance schedules, and control costs as much as possible. However, access to asset management is critical to achieving maintenance excellence. If the goal is to optimize asset availability throughout its lifecycle, reduce repair costs, increase productivity, and comply with regulations, you must follow resource management principles to help define the best strategy to apply to each asset to achieve the end goal. The better your asset management strategy, the lower the cost of maintaining it. Life Cycle Management Life cycle management refers to managing the entire life cycle of assets from acquisition to disposal. This can help businesses make more informed decisions about when assets need to be repaired, replaced, or disposed of, based on their condition and value. Currently, these trends in asset maintenance focus on Maximizing Asset Lifespan with CMMS using advanced technologies and methods to optimize asset performance and value. By using these technologies and methodologies, organizations can reduce maintenance costs, increase efficiency and productivity, and improve safety and compliance. What Are The Basic Components Of An Asset Maintenance Management Strategy? An AMMS (Asset Maintenance Management Strategy) can be said to be truly effective when it enables you to monitor, manage and control the following five basic components that help fully characterize the assets held by an organization, namely: Identification – Not all assets of a company can be managed and maintained in the same way. Therefore, it is essential to properly identify all assets for which you are responsible and define relative importance levels to choose the most appropriate maintenance strategy. Location – To properly manage an asset, it is necessary to know its exact location. However, the company's resources are likely not all concentrated in the same place. Some organizations base their business on using mobile assets or resources spread across multiple regions. To more easily locate assets to manage, many professionals in the industry rely on GIS (Geographic Information System) and GPS (Global Positioning System) technologies. Condition – Knowing the shape of an asset is critical to planning appropriate management, maintenance, and disposal strategies. Status information can be collected manually through visual inspection or direct monitoring through smart sensors. Maintain – Depending on the nature, location, and condition of each asset, an appropriate maintenance plan can be developed. It is important to identify which are the most critical assets requiring preventive maintenance and which can be managed with simple corrective maintenance. Using a CMMS system (Computerized Maintenance Management System) will help to simplify and automate all maintenance management operations. Cost – Plant performance tends to decline over time as operating costs increase. The right asset maintenance management strategy can maximize the useful life of resources and identify potential savings, thereby minimizing management costs. [cta title="Learn more about how WorkTrek CMMS software can help industries track and manage maintenance activities efficiently." text="Book a WorkTrek demo to see how a CMMS can help your maintainability." link="https://login.worktrek.com/Account/Register?_gl=1*fpersd*_ga*MTcwMjE1OTkzNy4xNjU0NTA3NTI2*_ga_8N6446P9LX*MTY3Mzk2ODEzNS4yNi4xLjE2NzM5Njg4MDAuNDguMC4w"] The Management Connector To Empower Your Corporate Assets The increase in the complexity of the plants and the need to minimize downtime make it essential to have a great ability to coordinate and share and preserve knowledge. It is no longer possible to base decisions on estimates or impressions but all questions relating to maintenance must be answered based on exact numbers interpreted through reports and talking graphs. The interventions can no longer only be carried out following a breakdown or scheduled but must be carried out in advance according to optimized predictive models. IT support that acts as a connector and facilitator of management becomes indispensable for providing the right information at the right time, managing people, deadlines, and interventions, and providing decision support. CMMS is an essential tool for keeping assets efficient, productive, and profitable. Fundamental for management, monitoring, archiving, analysis, and, in general, for supporting the entire decision-making process. It must be an easy and intuitive tool with an optimal user experience that allows easy adoption by maintenance personnel, a facilitator, and not a complication of the daily operations of maintenance technicians and production workers. The CMMS is a driving force to increase communication between those who work in maintenance at all levels. One of the goals is to get people to share information and knowledge related to the operating process to be faster, more versatile, and work smarter and more fluidly. The CMMS is a technological tool that enhances people's work by making it safer and more efficient. The Importance Of CMMS The use of maintenance management software is essential to effectively monitor and manage maintenance processes. Maintenance management software allows you to plan maintenance activities, including execution times and responsible employees, efficiently and ensure that they are performed promptly. In addition, maintenance management software helps reduce maintenance costs and productivity losses. This software provides a detailed overview of system health, including failures and malfunctions, enabling technicians to identify root causes of problems and perform corrective or preventive maintenance. Maintenance management software also allows you to manage your spare parts inventory accurately. Thanks to these software solutions, maintenance activities can be planned efficiently, the spare parts inventory can be managed accurately and maintenance costs can be reduced. Features Of CMMS CMMS must be designed with specific features to meet the needs of maintenance technicians and maintenance task managers. Among the important features are: Planning and scheduling: CMMS allows you to plan maintenance activities based on system and customer needs. Planning can include scheduling maintenance tasks, allocating resources, and tracking progress. Monitoring and reporting: CMMS allows you to monitor ongoing maintenance activities, resource levels, and system health. The reporting functionality allows you to collect detailed information on failures and malfunctions of the system, and to create detailed reports for the maintenance activities performed. Warehouse management: CMMS allows you to manage your spare parts inventory accurately. This includes managing inventory, scheduling purchasing activities, and ordering spare parts. Automation: CMMS helps automate maintenance tasks and minimize the need for manual intervention. This includes automatic scheduling of maintenance tasks, sending notifications to maintenance technicians, and automatic reporting. Functions Of Asset Maintenance Management In CMMS Key features of asset tracking in a CMMS include: Asset Registration: Asset tracking in a CMMS usually starts with registering the asset in the system. This includes entering information about the facility such as B. make and model, serial number, location, and other relevant details. Maintenance and Repair Tracking: A CMMS can be used to track the maintenance and repair history of any asset, including the type of work performed, parts used, and repair costs. This information can be used to optimize maintenance planning and extend asset life. Asset Location Tracking: Used to track the location of each asset, making it easier to locate and transport assets when needed. Asset Availability Tracking: A CMMS can be used to track the availability of any asset, including whether the asset is in use or available for maintenance or repair. Performance Tracking: Used to track the performance of each asset over time, including metrics such as downtime and frequency of repairs. This information can be used to identify trends and issues that may need to be addressed. Advantages of Asset Maintenance Management There are several advantages to using a CMMS for asset tracking: Improved asset visibility: CMMS asset tracking provides a centralized digital record of all assets, making it easier to locate and track their usage, maintenance history, and current condition. Increased efficiency: By automating asset tracking and maintenance planning, a CMMS can help streamline asset management processes and reduce the time and effort spent on asset tracking and management. Reduced downtime: By tracking equipment maintenance and repair history and proactively scheduling maintenance, a CMMS can help reduce the risk of unplanned downtime due to equipment failure. Improved asset utilization: By tracking asset usage and availability, a CMMS can help organizations optimize asset utilization and use resources more efficiently. Improved asset security: A CMMS can help organizations track asset location and usage, reducing the risk of theft or unauthorized use. Cost savings: By simplifying maintenance planning and reducing downtime, a CMMS can help companies reduce maintenance costs and extend the useful life of assets. Invest in Asset Management Software (CMMS) One of the best practices to adopt when managing assets is to invest in CMMS (Computerized Maintenance Management System) software that supports the most critical asset management needs. A robust CMMS system provides a central database for storing supplier information, warranties, site leases, and more. It will also provide tools to simplify maintenance workflows. Overall, deploying an asset-tracking CMMS can help organizations improve the efficiency and effectiveness of asset management processes, reduce costs, and maximize asset value. CMMS asset tracking provides the current status of assets, providing vital information for your company. Asset tracking is very helpful for CMMS software to make maintenance operations more efficient. Choosing the right CMMS software system for your company's maintenance needs is always crucial. And remember, if your team doesn't have the bandwidth to harness this powerful tool fully, there's always the option to hire a part-time to manage it. This way, you can get the most out of CMMS without overstretching your internal resources. Don't let the complexities of CMMS deter you—it's an incredible asset optimization tool you shouldn't miss.

Asset and inventory management processes add unique value to operations by providing a reliable framework to track individual consumables, industrial equipment, and other critical assets. Assets are defined as equipment used to run a business, while inventory consists of finished goods or parts used in manufacturing. Asset tracking doesn't have to be a nightmare. It can be a streamlined process that gives businesses a clear understanding of the location and status of their assets. All you need are the right tools. What Is An Asset? An asset is an item of value owned by an organization or individual. Assets are divided into tangible assets (physical assets such as land and machinery) and intangible assets (information technology assets such as copyrights, trademark rights, and computer software). Within tangible assets, there are two subcategories: current assets (cash, inventory) and fixed assets (equipment, buildings, machinery, and other physical resources used in the operations of a business that are unlikely to be sold). When we talk about asset lifecycle management, we're talking about managing the lifecycle of fixed assets. Why Is Asset Tracking Important? People usually do business to make money. Assets enable companies to do this. Businesses buy (or lease) assets at cost and use them to produce goods or services that generate revenue. Assets are also a measure of a company's value. Money-making organizations continue to grow by adding new assets or optimizing the use of existing ones. A thriving business is an attractive opportunity for investors, who may inject additional capital into the business to help it grow. How does maintenance management affect assets? The maintenance team is tasked with maintaining the company's assets. To do this, the maintenance team must have sufficient information about available assets, such as their location and condition. Armed with this knowledge, maintenance teams can develop maintenance plans to keep assets in optimal operating condition. What Is A CMMS? The acronym CMMS stands for Computerized Maintenance Management System. This software package was designed to manage maintenance globally, on a strategic, financial, and operational level. It is today the essential software of the industrial sector. Much more than simple computer programming, it is an assistant for maintenance teams, the cornerstone of industrial efficiency. Because you can use it to achieve different goals, there are different ways to describe computerized maintenance management software. On the one hand, it is sophisticated software that captures and uses thousands of data points to provide an overview of how a facility is an operating or detailed information about individual pieces of equipment. In terms of functionality, CMMS software offers businesses the ability to monitor inventory levels, manage work orders, set up and schedule preventive maintenance programs, and quickly generate accurate reports. But on another level, it's just the solution maintenance managers need. Automating processes and streamlining workflows makes your life less stressful by making your workday more predictable. CMMS Software: Managing Asset Data A supporting component of a proactive maintenance foundation is the integration of CMMS (Computerized Maintenance Management System) software, which creates a database for all the information gathered from maintenance monitoring sensors throughout the enterprise facility. CMMS software creates a framework that guides owners and users on how to organize this related data and establishes an interoperability hierarchy to determine how this data impacts different plant operations. CMMS software enables maintenance professionals to figure out how best to respond to asset degradation or impending failure before productivity is fully impacted. How to Use CMMS Software for Asset Management Asset tracking is an essential feature for any business to maximize return on investment. Asset maintenance management provides clear data to strategically optimize a company's assets and equipment. Why do you need asset management? Plant maintenance is very important for industries with a large number of machines and equipment. Since these assets are often expensive and represent a significant portion of the capital investment, proper maintenance is critical to getting the most out of them. What is a CMMS good for? A Computerized Maintenance Management System (CMMS) is a business tool that centralizes maintenance information and simplifies maintenance operations. It acts as an asset management software that manages equipment maintenance, and work orders, tracks inventory, and stores various equipment asset information. Asset management software capabilities in CMMS software help to proactively track and manage assets across a company's multiple locations, giving maintenance managers quick access to relevant information from any device whenever they need it. Features of Asset Tracking & Management Software in CMMS A CMMS has many functions that support asset maintenance management: Asset Tracking All assets of the organization are always tracked. However, it may not be economically feasible to keep track of every single asset all the time, so better to keep track of the more important assets. Organizations classify their assets into more and less important assets based on a variety of factors such as sensitivity, criticality, value, or compliance requirements. Collect information Track various information about the device such as B. Model number, date of purchase, warranty details, serial number, etc. This information also aids in system operations, recalls, maintenance, etc. Track spare parts and consumables It is also important to keep track of equipment reserves, such as parts suppliers, parts, and consumables required for various equipment. Organizations try to manage their facilities at the lowest possible cost and in the shortest possible time. To achieve this, there is a great benefit to combining records and providing the above-mentioned assets. Get device maintenance history Gathering and recording information about equipment changes, maintenance history, costs incurred, etc. is helpful when replacing equipment. The features and cost of old equipment can be compared with new equipment to make effective purchasing decisions. Likewise, the operational history of calibrations, changes, damage, etc. can be recorded in one place to simplify the verification process while searching for relevant information to resolve issues. Asset Tracking Best Practices for Maximizing Data Accuracy Here are nine asset-tracking best practices to follow if you want to simplify your asset management efforts: Use unique asset IDs Assign each asset a unique identification number or code for accurate and efficient tracking. This helps avoid confusion and allows easy retrieval of asset information. Regularly update asset information Keep an up-to-date record of asset details, including location, status, maintenance history, and any other relevant information that requires manual updates. Leverage technology Leverage asset tracking technologies such as barcode labels, RFID tags, or GPS tracking devices to automate data collection and simplify the tracking process. Conduct periodic audits Periodic asset audits are performed to verify the physical existence and condition of the assets against the recorded information. [cta title="Supercharge your business with WorkTrek CMMS" text="Book a WorkTrek demo to see how a CMMS can help your asset management." link="https://login.worktrek.com/Account/Register?_gl=1*fpersd*_ga*MTcwMjE1OTkzNy4xNjU0NTA3NTI2*_ga_8N6446P9LX*MTY3Mzk2ODEzNS4yNi4xLjE2NzM5Njg4MDAuNDguMC4w"] Implement asset movement controls Establish proper protocols and approval processes for asset movement within the organization. This includes documenting asset transfers, tracking custodians, and ensuring accountability to minimize the risk of unauthorized use or loss. Train employees Ensure that all employees understand and apply established follow-up procedures. Integrate asset tracking with asset management solutions Integrate asset tracking technology with other related systems such as ERP or CMMS software. This is the best way to ensure seamless data flow, avoid duplicate data entry, and gain complete visibility into asset-related information. Implement security measures Protect assets from theft or unauthorized access by implementing security measures such as access controls, monitoring systems, or anti-theft devices. Continuous improvement and optimization Regularly assess asset tracking processes, identify opportunities for improvement, and implement necessary changes. This includes analyzing data, gathering employee feedback, and leveraging technological advancements to improve the efficiency and accuracy of asset tracking. How Helpful Is Asset Tracking In Delivering Functionality Through The CMMS? Tracking assets using digital technology changes business models as it offers new value-add opportunities that CMMS promises. Asset Tracking helps organizations to perform various activities such as Maintenance Management, Purchase Requisition, Physical Inspection, Asset Scanning, etc. With asset tracking, a computerized maintenance management system can be easily implemented. Customizable configuration Asset tracking is very user-friendly as it can be customized according to business needs. You can also make adjustments and additions if necessary. Inventory management The maintenance team also manages inventory levels. Inventory can include extra machine parts, craft supplies, office equipment and materials; hotel bedding, room linens, etc. CMMS software informs remaining inventory levels, quantities used during maintenance, and reordering of new material. Also, it helps in managing inventory efficiently and controlling inventory-related expenses. Mobile platform for Asset Tracking The asset tracking mobile app behind CMMS provides 24/7 access and convenience. If you want to know where your assets are, just use your smartphone and access the app software. Mobile technology provides the opportunity to ask questions, solve problems, and ensure on-time operations. Search for updates and information even when users are away from their desks. Preventive maintenance PM is a periodic inspection program with the goal of "finding and fixing small problems before big ones arise." It is an essential part of a CMMS because it can be scheduled in advance. It also sends out alerts and notifications to take over scheduled tasks. The goal of preventive maintenance is to maintain the machine or equipment in the absence of breakdowns. This includes performing some or all maintenance, oil changes, lubrication, etc. at specified intervals. Preventive maintenance can save up to 20-30% in maintenance costs. Purchasing and Requisition Procurement and requirements processes have also become more efficient in achieving consistent results. The digital procurement process is easy to set up because it is computerized and multiple operators are responsible for handling large amounts of data dynamically. The purchase requisition process interfaces with the purchase requisition software in the asset tracking system to provide stock level notifications before stock levels reach minimum stock and backorders are required. Required processes will be verified against relevant existing invoices and purchase orders before approval. Reports are generated without blocking and delays. So you have a real-time vision. Cloud-based storage is centralized with easy and seamless access to the system and approval requests. Security check Security is one of the least considered aspects. Unmaintained equipment or its sudden failure may result in personal injury. Fortunately, this situation can be avoided if the right precautions are taken. Maintenance management software tracks maintenance and lets you know when the last maintenance was performed and when the next maintenance is due. A computerized maintenance management system allows supervised access to prevent safety hazards. The right people can access the application. This also reduces insurance costs, since preventive measures aim to prevent accidents and injuries. Work plan and arrangement Many companies employ computerized software to manage their work orders and streamline their maintenance operations. In the application, you can easily get detailed information about the ticket. Important data such as work order status, machine status, work order assignments, and work order history can also be retrieved. Comparison of CMMS and EAM Asset Tracking & Management Some companies use hardware maintenance software called CMMS, short for “computerized maintenance management system” but also called “computer-assisted maintenance management software”. CMMS and EAM systems have similar goals and some of the same functionality, although EAM systems offer a wider range of functionality. What sets them apart is philosophy and scope. A CMMS system focuses on support, while an EAM system takes a holistic approach, integrating multiple business functions. The CMMS begins to provide follow-up after the purchase and installation of an asset. On the other hand, the EAM system can follow the entire life cycle of an asset, starting with design and installation. A CMMS system is designed to handle a single site or offer limited multisite support. The EAM system is equipped with extensive functions to manage multiple sites and companies. An EAM system is a comprehensive tool for managing physical assets and optimizing their performance across the enterprise. EAM is a CMMS combined with an inventory management system, a purchasing management system, a document management system, an accounting system, a project management system, multi-site management tools, and performance management, all in one integrated software. Asset maintenance management is very helpful for CMMS to make operations simpler and more efficient. It simplifies asset management, makes company operations robust, and provides a comprehensive reference guide for the future. A CMMS enables management teams to make informed decisions based on operational efficiencies and asset cost savings, thereby increasing company savings.