- Tax savings
- Better asset utilization
- Eliminating risks of regulation non-compliance
Direct savings in taxes can be realized from proper asset management. Many large organizations have assets sitting on their books that are still depreciating slowly when they are disposed of, and that could be written off, subsequently generating a tax saving. Better visibility of asset movement also allows tax savings by providing the information required to fill in tax claims, the requirements of which are otherwise impossible to obtain. A better understanding of the use tax and purchase tax, combined with a proper asset management strategy, allows a corporation to build business strategies that could save millions in taxes.
Gains in efficiency can be realized through an IT asset management strategy. This strategy enables organizations with metrics to increase the utilization of IT assets by helping IT staff identify assets that are underutilized. These underutilized assets can then be put in a cascading program that allows the organization to maximize its investment in IT assets.
Companies can increase their value by signaling they are at low risk of failing an audit. By reducing their risk of failing an audit, they are reducing their expected costs and increasing their expected bottom line. Such signaling can be done through investment in an asset management system or in a long-term association with an asset management provider.