Merkat intellekts Idea to IP in 60 day framework accelerated the migration of a Tier 1 organization in automotive industry from its usage of spreadsheets to manage and track their fixed assets to fixed asset management software. Past 16 years the Tier 1 organization is a leading supplier to a Korea based OEM that manufactures light motor vehicles and practiced spreadsheet based tracking for their vast portfolio of fixed assets. All their divisions and entries were later manually posted to their accounting software. The difficulties in consolidation of asset data along with all the required attributes were very high and the error rates are not negligible with these increased complexities.
Also, most of the assets are either under-utilized or put to disposal/retirement before reaching its fullest lifetime that lowering the value generated through that asset for the organization.
In order to overcome these challenges the organization decided to develop a completely automated FAM application that contains all documentations pertaining to the assets in their organization, including locate assets, schedule maintenance and also to calculate the depreciation cost of the assets, which will support the organization’s decision making process in retiring and new acquisition of assets.
Merkat intellekt developed the FAM application with fixed asset portfolio manager, maintenance and asset transfer modules which enabled the organization in effective categorization and utilization of assets centrally, avoiding unnecessary asset purchases by re-using existing resources that streamlined procurement challenges across all divisions in the organization.
As the outcome of this development the organization reaped the following benefits through their newly implemented FAM solution,
- Centrally trackable organization assets
- Effective contract and subscription management Increased asset lifecycle
- Improvised forecasting and budgeting capabilities Automated posting to ERP