[This article was written by Lisa Michaels.]
As a business leader, you need to effectively manage various aspects of your company to eliminate expenses and boost profits. This extends to HR, operations, and especially to asset management.
However, achieving this is often easier said than done.
Artificial Intelligence (AI) can be a competitive edge for your company if you know what it can do and how you can use it for asset management, regardless of whether they’re digital or physical.
AI tools that help manage important aspects of your business are already widely available, and at a reasonable cost as well. In this article, we will examine how AI can help with asset management to make your organization more profitable.
One of the main benefits of artificial intelligence is predictive marketing. The ability to take a large amount of marketing information and process it is a relatively new development. Before, it would have taken far too much time or eaten through your budget too quickly.
Marketing fuels every successful business. Without the right information, you could end up spending too much on the wrong kind of campaign, missing key growth opportunities, or aiming for the wrong clients.
Obviously, if you can use AI to predict marketing campaigns, it will help with your top-line revenue. But how does this help with asset management?
In simple terms, it allows you to predict market demand for a certain product so you can ensure you have the right amount of equipment or products on hand. Furthermore, it helps you invest in the right assets to be prepared for where the market is heading.
Risk Assessment and Management
Risk is an unavoidable factor in any business. Part of managing your assets is understanding what kind of risk you might be undertaking with each decision. This spans from new purchases to maintenance, safety concerns, and more.
AI algorithms allow you to assess the risk of a specific piece of equipment breaking down, for instance. It factors in the years, the model, and other characteristics like usage, taking a lot of the guesswork out of risk management.
AI can also help you assess the potential risk of acquiring new assets. Let’s say you manage the assets of a real estate company and you are dealing with a lot of moving parts. You need to know occupancy rates, cap rate, maintenance needs, the current state of the market, and more.
Instead of researching individual stats, AI automatically puts this data together and continues to learn from it, so your investments are more profitable assets every time.
Predictive maintenance modeling is when you can leverage AI to model your potential maintenance plan based on various acquired and analyzed data.
The last thing you want is to be in a position where you have to reduce capacity. This happens when an asset suddenly goes out of service or is otherwise unavailable to be put to use.
AI takes data from previous input, such as maintenance schedules of a particular asset. Using this information, it predicts the right timeline to perform maintenance, and when it might be time to look for replacements.
Predict precisely when you need maintenance saves time for both your workers and yourself.
No longer do you have to worry about having a machine or asset breaking down in the middle of a project. You can plan to get it up and running without losing revenue in the short term.
Inventory Assessment and Optimization
What does your inventory engagement look like right now? Are you leveraging machine learning to understand exactly the most efficient layout and the best amount of product to keep on hand?
Using AI to keep track of your inventory will help you see new ways to purchase, store, and display inventory. You might even find new opportunities to get better deals based on market conditions.
The sky’s the limit when it comes to how much artificial intelligence can bolster your ability to optimize inventory toward your business goals.
Your assets are only useful if they provide value at a rate that outweighs its cost. That means they need to operate efficiently.
In software terms, this means that your app can switch between screens and run functions faster. In physical terms, it might mean owning the best machine on the market.
AI can help increase efficiency by tracking your business operations and cutting inefficiencies so you can save money and your team gets more done in less time, meaning more opportunities to grow.
AI manages tedious tasks that would otherwise overload your team, and it gives you predictability. Therefore, you’re getting the same results in a fraction of the time with less risk. And it works 24/7 for you, for free.
Modern AI and cloud-based solutions also enable greater asset visibility and efficiency for asset management. You can cut the costs and risks of in-house servers or physical solutions. You also achieve security, speed, and scalability.
AI has the potential to change the way companies operate from the ground up. However, you need to be smart about how you approach it.
You should be looking at your businesses’ specific weaknesses and strengths. Each company has a unique set of assets that need to be taken into account.
Using the tips above, examine your company structure and determine where AI could be the best fit. That way, you can leverage the power of automation and bring your business one step closer to the future.
Lisa Michaels is a freelance writer, editor, and a thriving content marketing consultant from Portland. Being self-employed, she does her best to stay on top of the current trends in business and tech. Feel free to connect with her on Twitter @LisaBMichaels.