What Do Assets Mean for Businesses?
An asset (or business asset) is anything that has value or is useful to a company, helping it operate and succeed.
- A company’s assets include any valuable items, resources, or even people that contribute to its success.
- These assets are essential for the business to run smoothly.
- Assets can be money, products, services, information, employees, technology, and other physical or non-physical resources.
- It doesn’t matter if the asset is physical or digital, or if the company owns it outright.
- Businesses protect their assets based on how important they are.
- Importantly, assets don’t always have to be owned; for example, employees are assets because companies rely on them to keep things running, make products, and deliver services.
How to manage of Assets in Different Areas
Definitions of assets vary across different areas within an organization. Management perspectives on assets may diverge, leading to distinct viewpoints that do not always align.
Finance and Accounting Perspective
- From a financial accounting standpoint, assets are categorized based on accounting standards. These categories include:
- Long-term Assets: Assets that provide value over an extended period, such as property, plant, and equipment.
- Short-term Assets: Assets that are expected to be converted into cash or used up within a year, such as inventory and receivables.
- Tangible Assets: Physical assets like machinery, buildings, and inventory.
- Intangible Assets: Non-physical assets like patents, trademarks, and goodwill.
Occupational Safety and Risk Management Perspective
- Occupational safety considers assets related to buildings, infrastructure, and other elements that impact employee health and safety. These assets are crucial for maintaining a safe workplace and include:
- Safety Equipment: Items like fire extinguishers, safety harnesses, and protective gear.
- Infrastructure: Buildings, electrical systems, and other physical structures that must be maintained to prevent accidents.
- Environmental Controls: Systems that manage air quality, temperature, and other factors affecting employee well-being2.
Information Security Perspective
- Information security focuses on information and information and IT assets that are crucial for the operation of information systems. These assets are vulnerable to various security risks and therefore require appropriate protection and management. Key assets include:
- Data: Sensitive information that needs to be protected from unauthorized access.
- Hardware: Physical devices like servers, computers, and network equipment.
- Software: Applications and systems that support business operations and need to be secured against cyber threats.
By understanding these different perspectives, organizations can better manage and protect their assets according to their specific needs and risks
What are the most common business assets in small and growing businesses?
To better understand your business assets, try to identify anything in your company that you would say, "Without this, we can’t operate." Business assets typically include the following:
- Cash, funds, and financial resources
- Facilities, equipment, buildings, and other physical property
- Tools, machinery, and other movable equipment
- Technology
- Key personnel and employees
- Information and data
- Employee knowledge and expertise
- Hardware, IT equipment, IT services, and data storage media
- Software
- Outsourced services
- Utilities such as electricity, internet, water, and gas
How Aptien Simplifies Asset Management
Aptien GRC software helps you maintain an asset inventory across the following areas:
Office Management
- Office Supplies Management: Keep track of office furniture, tools, and other supplies to ensure they’re in good condition and properly assigned.
- Vehicle Management: Monitor company vehicles, including maintenance schedules and usage logs.
Human Resources (HR)
- Personal Protective Equipment (PPE) Management
Information Technology (IT)
- IT Asset Management
- IT Equipment Management: Track laptops, smartphones, and other IT assets, including their maintenance and usage history.
Cyber and Information Security
- Primary Asset Register and Asset Library
- Management of Supporting IT Assets
- Asset Management: Use the Asset Inventory feature to track, manage, and protect all your organization’s assets, ensuring they are accounted for and secure.
GRC and Risk Management
- Asset library overview as part of risk management and GRC solutions
- Comprehensive asset overview integrated with risk management processes
