Sunday, April 16, 2017

What You Need To Know About Asset Labeling

By Brenda Moore


Normally, most institutions utilize tags and labels to enable for an easy tracking and monitoring of any fixed and movable assets they own. This also permits theft deterrence, easy financial accounting as well as preventive maintenance. On the contrary, you could as well utilize asset labeling for various benefits.

To begin with, these labels offer an easy and quicker way of identifying your property. In most cases, spending your precious time in tracking down your assets when intending to use them may be tedious and discomforting. This is because any wasted minute derails your plans. The use of these property tags will, therefore, offer you the opportunity to easily locate your assets within a short time.

This feature also deters theft as well as any unauthorized transfer of assets. Although the use of these labels is never directly meant to boost security, it remains to be in the list of greatest benefits of using asset labels. Whenever high-valued items for example laptops are labeled clearly using some durable barcodes labels, thieves are less-likely to steal such items for the reason that they will easily be caught. In addition, certain asset tags are exclusively designed and used to give evidence of any tampering.

The other benefits is its simplification of inventory management processes. Managing of an inventory may be very frustrating and even become tedious and time-consuming for product-oriented organizations. However, utilizing tags for assets will eliminate any likely guesswork in inventory management. This is even simplified by the existence and use of centralized inventory data contained in databases that easily allows the manipulation of such data to track assets.

Also, using the labels on the assets is also beneficial in the calculation of usable life, as well as depreciation. Normally, this is usually essential for tax reporting. Therefore, assets tags simplify the act of gathering data required in carrying out such calculations.

Apart from the various benefits, different bodies normally encourage the use of labels for assets. For instance, regulatory agencies in most industries require that companies use asset tags captured by comprehensive datasets for compliance. This additionally aid in quickly identifications as well as the development of resolutions for certifications when need arises.

On the contrary, audit requirements as well observing the importance of labeling. In accordance to the international body that manages Accounting Standards, institutions are required to tag assets which include their equipment, plant, and property. In consequence, it is also essential to maintain the trend of asset-labelling so that you are in compliance with these regulations. This again permits auditors to conduct physical verifications in a simple manner for fixed assets during audits.

Again, despite the fact that most people are aware of the existence of tags for assets, it remains essential to also know the different ways through which such tags can affectively be used. Normally, the use of tags for assets remains easy to implement when only one objective is to be achieved. However, if the use pertains to a number of objectives including asset tracking and security provision, tags that capture multiple features remain a very beneficial alternative.




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