Top 10 IT Asset Management Best Practices to Streamline Your Operations

The IT director at a medium-sized financial services company uncovered the issue during a routine audit of their asset management inventory. He and his team were looking for 312 laptops, about 18% of their equipment. Some laptops were with ex-employees who never returned them. Others sat in storage closets, forgotten after office relocations, and a few had simply gone missing.

 

The financial consequence was immediate: $468,000 in missing assets. The compliance implications were even more daunting. Without knowing where devices were or who had access to them, the organization couldn’t demonstrate the data security controls required by its SOC2 certification. The audit process, which should have taken two weeks, instead took three months.

 

This situation is not unique. Companies waste 1,900 days each year, and $1.7 million in labor costs, looking for lost devices and resolving inventory inaccuracies. The challenge is not failed procedures or lack of effort. The problem is that organizations lack structured procedures to keep up with the complexity of modern IT.

 

IT asset management best practices are structured policies and processes that manage the entire lifecycle of IT hardware and software. Organizations that embed these practices into their IT asset management process can breeze through their audits with confidence. They can reduce costs associated with asset management for IT hardware while improving compliance and building operational efficiencies that grow over time. 

 

In this article, we’ll walk you through ten proven ITAM best practices to help organizations build proactive asset management capabilities. 

1. Define ITAM Governance and Procedures

A successful IT asset management process should offer a clear roadmap by explicitly defining how an organization will acquire, manage, and dispose of IT assets. Without proper governance, ITAM can pave the way to shadow IT, compliance gaps, and wasted spending.

Why It Matters the Most

Procedures create accountability by defining who can request assets, approve purchases, and monitor assignments and upkeep. Accountability deters unauthorized purchases and engages all divisions equally to manage your IT assets. Organizations that have established formal IT asset management governance are more likely to achieve full asset visibility and compliance readiness.

How to Implement It Across the IT Asset Lifecycle

Establish ITAM policies by documenting them in a centralized, consistent, and visible location. Policies should cover:

• Asset acquisition – who can request assets, the shopping cart process, and procurement pathways
• Asset assignment – how devices are assigned to employees and how this is tracked
• Usage policies – define acceptable use and security policies
• Disposal process – how devices are accounted for, how data is wiped, and how artifacts are disposed of
• Accountability – designate specific roles for individuals involved in asset management, IT hardware, and software maintenance

Ensure that your organization’s asset management policies are compatible and compliant with international industry standards. This approach will not only help with governance but also provide organizations with a way to demonstrate compliance in front of auditors and other stakeholders.

2. Create a Centralized IT Asset Inventory

You cannot manage assets that are neither visible nor accessible. That’s why a centralized inventory via IT asset management solutions is a must-have investment. It serves as a single source of truth, offering a bird’s-eye view of all your IT assets across the organization.

Why This Matters

Organizations face several issues without a complete inventory. They might buy duplicate assets because they do not know what is in the organization. They pay for unnecessary software licenses because they cannot track usage. 

Organizations invest in unnecessary software licenses. As a result, IT leaders cannot track usage effectively. CIOs, CISOs, and IT management lack a basis for changing the number of software licenses purchased or kept. Organizations face similar challenges when vendors disclose security vulnerabilities. 

For example, IT teams may not know which devices need patching because they cannot identify all devices owned by the organization. Research shows that only 43% of organizations have full visibility into the tech stack, and this number is decreasing as IT environments become more complex.

How to Centralize ITAM Effectively

Your inventory must account for all IT assets. IT assets should include:

• Hardware: laptops, desktops, servers, mobile phones, and other equipment
• Software: licenses, subscriptions, and applications
• SaaS tools: cloud-based services and subscriptions
• Cloud resources: VMs, cloud storage, and platform services

To get started, you can deploy automated discovery tools that find connected devices and scan your network for hardware, installed software, or cloud tools without human action. Another option is to establish a tagging system with unique identifier numbers for all physical assets. Tags can include bar codes, QR codes, or RFID chips, linking each asset to a digital record in your ITAM software.

After the inventory is established, it is vital to update it regularly, not just during annual audits. The best IT asset management applications track changes to asset state in real time, such as adding or retiring assets.

3. Establish IT asset lifecycle management

All IT assets progress through distinct lifecycles, including the stages of acquisition, deployment, maintenance, and retirement. Actively managing all stages results in the maximum amount of value and the minimal amount of wastage.

Why It Matters

Organizations analyzing the entire asset lifecycle make better decisions regarding the timing of their purchasing, upgrading, and retiring processes for any given piece of equipment. They do not run the risk of retaining assets for too long (which has security implications) or purchasing the replacement too early (which is a waste of money).

In addition, proper lifecycle management increases employee experience. When the deployment process is efficient, new employees receive equipment in a timely manner than if they were to have waited. When the maintenance process is proactive, employees receive less disruption.

How to Implement

1. Procurement: Limit the types of devices to standardized options, and advocate for volume discounts from vendors during negotiations. Centralized procurement minimizes shadow IT and allows the organization to track all assets from day 1.
2. Deployment: Automate the device’s configuration and assignment to any accounts that might be created. Signifi’s smart locker solutions facilitate this process by allowing IT personnel to preconfigure devices and place them into secure and convenient lockers in multiple locations. The employee is then notified when the device is ready for use and can access it 24/7 using secure authentication. The process moves deployment from days to hours, while building complete tracking and accountability.  
3. Maintenance: Continuous tracking of the age of your devices, along with other important performance indicators, is a key practice. In addition, process support tickets to assess when an asset needs repair or replacement. Plan and execute a regular scheduled maintenance program to increase the lifespan of your assets.
4. Retirement: Have the end-of-life process for all your assets clearly defined. When an employee returns a specific asset, the system will instantly update the inventory’s status and start data wiping. After the data is completely erased, the device is moved to the appropriate pickup or disposal facility.   

4. Automate IT Asset Management with Software and Tools

Manual asset tracking is neither scalable nor manageable. As an organization’s IT environment becomes more complex, automating processes will help preserve accuracy and efficiency.

Why this Matters

Automated ITAM solutions eliminate manual data entry and associated errors, providing real-time visibility. They can track thousands of assets in multiple locations without constant human oversight. Organizations that utilize automated ITAM tools report a considerable improvement in inventory accuracy and substantial time savings on IT asset tracking.

How to Start

Select an ITAM software that integrates with your technologies. Look for the following capabilities:

• Automated discovery: A network scan that discovers devices connected to your network and whether software is installed.
• Integration capabilities: The ability to facilitate two-way data exchange with an IT service management platform such as ServiceNow or Remedy.
• Reporting and analytics: A dashboard that clearly shows asset utilization, maintenance costs, and compliance standards.
• Timely alerts: Real-time notifications for license renewals, warranty expiration, and policy violations.

The Signifi’s SignifiVISION™ platform provides automated tracking for physical IT assets. The platform integrates with leading ITSM systems to record each asset transaction (distribution and return) automatically to systems of record via RESTful APIs. This not only eliminates manual data entry but also keeps asset location, status, and utilization visible in real-time.

Create automated reports to run on a schedule, tracking metrics such as asset utilization rates, total cost of ownership (TCO), and compliance.

5. Connect IT Asset Management with Third-Party Tools

IT assets do not live in a vacuum. They are connected to employees, service tickets, and business processes. Integration ensures that information about the asset flows from the IT asset management system into other systems seamlessly.

Why This Matters

Integration reduces manual effort and increases accuracy. As an example, when HR begins the onboarding process for a new employee, with an integration of IT asset management and HR platforms, the IT asset management system can automatically trigger the assignment of devices to that employee.

Additionally, if an employee is offboarded from the organization, IT asset management software can flag the device assigned for return and possible reassignment. Integration can also enhance visibility into shadow IT. If procurement systems are integrated with the IT asset management system, all purchases can be automatically written into the IT asset management system, increasing the visibility of any unauthorized purchases.

What to Do

Connect your IT asset management system to:

• An IT service management (ITSM) platform where you can connect the asset to service tickets and gather insight into which devices generate the most service requests.
• A human resource (HR) system so that you can automate assignment when onboarding and reassign when offboarding.
• A procurement system so that all purchases are tracked from the moment they are ordered.
• Finance system (i.e., budgeting) so that all costs, depreciation, or any other related expenses can be tracked.

APIs can be used to connect systems and allow for automated workflows. As an example, when HR marked an employee as terminated, the automated workflow would automatically:

1. Flag all assets assigned to that employee as to be returned.
2. Limit access to smart lockers or asset distribution points to retrieve the assets.
3. Generate a checklist for IT to make sure all equipment is collected.
4. Change the status of the asset once collected.

6. Compliance and Audit Readiness

Software licensing audits and regulatory compliance review processes involve major financial risks to organizations. Organizations need to have systems and processes in place that streamline audit readiness, rather than create disarray.

Why It Matters

Vendors have taken decidedly aggressive approaches to enforcing licensing terms. Organizations that do not comply with licensing requirements risk penalties in the millions. In addition to vendor audits, regulatory standards such as SOC2, GDPR, and HIPAA all require an organization to track when a person accessed a system, and for what purposes.

How to Implement

Ensure that you track all software licenses within your ITAM system. Make sure you document purchase dates, renewal dates, number of licenses, and actual usage of the licenses. You can set up automatic alerts so that you are notified when a renewal date is fast approaching, or if you are nearing your license limits of actual usage.

Perform a regular license reconciliation where you compare purchased licenses to the actual installations to determine over-licensed (wasted money), and under-licensed (compliance risk). Also, make sure you maintain a complete record of asset transactions. Your ITAM system should track the following:

• Who became aware, approved, and later used the asset, and when
• When the asset was deployed, and to whom
• The history of transfers and/or re-assignments
• When the asset was returned or retired

Signifi’s SignifiVISION™ platform tracks a complete audit trail of all physical asset interactions. The system captures a detailed history of all interactions within smart lockers, providing a complete chain of custody indicating use, when, and to what extent the equipment was used. This documentation comes in handy during compliance reviews, and serves as con/cible evidence of the efficient management of each asset.

7. Cut Costs by Leveraging Usage Analytics

Not all IT assets are created equal. Some are crucial for your day-to-day operations, while others are hardly utilized, which is just wasted capital. Usage analytics allow you to understand an asset’s performance standards thoroughly.

Why It Matters

Typically, an organization has a slew of underutilized or unused IT assets. This represents capital you could repurpose or avoid buying new assets in the future. Oftentimes, usage analytics can help inform better purchasing decisions. You may find that, rather than purchasing new assets, you can reappropriate existing assets to fulfill those needs.

How to Approach It

Track utilization metrics associated with IT asset types. For instance, while dealing with hardware, stay on top of their login frequency, number of active hours, and performance metrics. When it comes to software and tech stack, maintain an up-to-date record of licenses, usage patterns, and user activity. For cloud assets, keep track of their compute, storage, and service usage metrics.

Once you’ve identified what assets are being underutilized or unused, you can take the following actions:

1. Repurpose: Redirect any equipment that is idling to employees who can use it
2. Consolidate: Eliminate all duplicate tools and just use one or two
3. Retire: Get rid of any assets that don’t serve a purpose any longer

Be sure to also check the inventory of available equipment that could fulfill the need prior to a purchase. Following this line of thought limits unnecessary spending.  

Track the overall cost analytics to calculate the total cost of ownership (TCO) for various asset types. TCO is the sum of both the purchase price of TE assets and any ongoing maintenance, support, or disposal costs. This will help you determine what devices and software you should standardize on.

8. Protecting IT Assets Organization-Wide

Distributed workforces introduce a new level of security risk. Devices can be deployed across multiple locations, making it harder to provide physical protection and track.

Why This Matters

Once a device is lost or stolen, there are multiple risk factors. The devices represent a loss of capital, but could also expose sensitive data if not properly protected. Organizations that employ distributed workforces experience a greater incidence of lost or stolen devices than organizations that operate from a central location.

Remote and hybrid work also leads to the incidence of personnel using their own devices for work purposes, creating a hybrid combination of corporate and personal assets.

How to Make It Happen

Set specific expectations for remote employees:

• Require all devices to be encrypted and use a password.
• Define acceptable use around corporate devices.
• Establish how devices need to be physically stored and transported.
• Set clear expectations for reporting lost and stolen equipment.

Use secure distribution methods for remote employees. The slow pace of traditional methods for distributed mobile workers shipping the devices or having them travel to a central office creates tracking gaps.

Signifi’s smart locker network provides a safe, distributed solution. Organizations deploy the smart lockers in their regional offices, coworking spaces, or other strategically accessible locations. Your employees can get their pre-provisioned device at their convenience and authenticate securely using a badge, pin, or biometric. Tracking for both pickup of the device and during the return is logged with full visibility. 

9. Inform and Train Employees on ITAM Policies and Procedures

Highly effective IT asset management initiatives are useless unless employees understand it and buy in. Understanding and buying into the initiative will create awareness and allow organizations to establish a culture of accountability.

Why This is Important

System failures can commonly be the result of poor employee performance, rather than a poor ITAM system. Employees forget to report devices lost, never go through the purchasing process for devices, or simply don’t return devices when they leave. Organizations with formal training programs for their ITAM policies and procedures have fewer compliance violations than organizations without any formal training program .

How to Teach Employees

Create training materials that address the following:

• Requesting new equipment
• Acceptable use policies
• Security requirements (encryption, passwords, physical security)
• Reporting lost devices or other issues
• Return devices when leaving or changing jobs

The training should become part of all onboarding of new employees and should not take place as an afterthought when evaluating employee lists or onboarding lists. Onboarding should involve awareness of ITAM as one of the core items, not an afterthought. Conduct an annual training program to help employees keep up with evolving policies and regulations.

Make policies accessible via general organization resources (like an intranet page or knowledge-base article) if you anticipate that employees will refer to ITAM policy and procedure. Employees are exponentially more likely to comply with policies if you explain why they are beneficial. Teach them how accurate management of assets protects sensitive data, saves money, and ensures that they have what they need to do their jobs.

10. Measure, Monitor, and Continuously Improve

ITAM is not a single engagement but rather a continuing initiative that requires consistent monitoring and improvements.

Why It’s Important

IT environments are continuously changing. New device types come on the market, software licensing models morph, and business needs shift. The ITAM processes that were effective for you last year may not be the best for you this year. Organizations that review and optimize their ITAM programs regularly achieve  better results than organizations that only implement their program once and then move on.

How to Implement

Determine key performance indicators (KPIs) of your ITAM program:

• Asset usage rate: The percentage of assets that are being used actively.
• Inventory accuracy: The percentage of physical assets that are applicable to the inventory.
• Compliance rate: The percentage of applicable assets that meet compliance policies.
• Cost per asset: Total cost of ownership divided by the number of assets.
• Time to deploy: Average time from asset request until employee receives asset.
• Recovery rate: Percentage of assets successfully recovered when an employee off-boards.

Conduct regular audits by having a thorough checkup at least quarterly or semi-annually, where you validate inventory, compare installations with license counts, verify asset assignments, identify orphaned equipment, and run compliance checks across departments. Compare your metrics against the median in your industry. Use this fact to flag areas where you are performing extremely well or performing poorly.

Gather feedback across stakeholder groups by surveying employees about their experience requesting and receiving equipment. Survey IT staff about pain points in equipment management processes. In aggregate, these responses can now guide incremental opportunities for improvement. New ITAM process changes should not be implemented all at once, or you can be inadvertently disruptive. Identify high-impact opportunities that are manageable and implement changes in bursts or phases. 

ITAM Best Practices in Action 

A mid-sized financial services company with 2,000 employees across several locations was experiencing some of the same challenges as many organizations that are exploring ITAM. Devices were distributed manually, meaning IT staff had to arrange a meeting time with their employees to receive the devices. Tracking the assets was inconsistent, equipment went missing, and potential compliance issues arose. Their process for onboarding new hires took 3-5 days because it was unclear what devices would be available. 

 

The organization began to implement the following types of ITAM best practices: 

1. They established formal ITAM policies with clear roles and responsibilities 
2. They built a centralized inventory in their ITSM platform 
3. They deployed Signifi’s smart locker solution at five regional offices 
4. They automated the tracking of their assets and the related reporting 
5. They introduced usage analytics to identify underutilized equipment 

 

The results were astounding as the time to distribute a device went from 3-5 days to same-day pickup. Lost equipment was reduced  due to the improved tracking and secure storage of the devices, along with the time spent by IT staff on manual asset management. The accuracy of their inventory soared, giving them ample time to prepare for compliance audits. They achieved ROI within 7 months due to labor cost savings and eliminated equipment loss. 

Conclusion

Adopting best practices in IT asset management changes how organizations control costs, maintain compliance, and support distributed staff. The ten practices provided in this article offer a roadmap for building an ITAM program that is mature enough to achieve measurable results.

 

Success takes more than just policies and software. It takes integrated solutions that address the full lifecycle of digital asset tracking and physical asset management. The organizations that succeed to the highest level of visibility, control, and efficiency do so by coupling centralized ITAM platforms with an automated distribution solution.

 

Is it time to enhance your IT asset management? Learn how Signifi’s smart locker solutions can automate device distribution and recovery without losing tracking or compliance. Request a demo to see how organizations are reducing asset loss and decreasing deployment time from days to hours.