The traditional way of tracking assets involved a lot of manual intervention. This leads to multiple challenges and inaccuracies and many times people don’t bother to make that effort. This makes making any predictions or commitments based on it difficult or inaccurate.
Today’s there are many assets lying around in the company without proper identification or location, thus hardly anybody knows about these assets. This leads to an inventory of the assets which are of not much use and hence classified as Non-Performing Asset.
The inability to locate results in lost value-able time, re-orders, or remakes resulting in wastage, important projects getting affected due to re-routed resources. All these scenarios result in business losses which get typically unaccounted.