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Why Every Manufacturer Should Care About IoT Asset Management

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Manufacturers traditionally rely on various technology solutions for asset tracking like SCADA, EAM applications, RFID/Barcode, or GPS solutions. These methods work independently and are managed by different stakeholders.

Every Manufacturer Should Care About IoT Asset Management

Despite collecting technical data from different sources for varying purposes, having a centralized data repository for assets remains a challenge for manufacturing leaders looking to make accurate decisions.

There are many issues with outdated protocols

Conventional asset management practices present obstacles for manufacturing personnel, particularly in tasks requiring significant manual effort such as visual inspections, handwritten lists, and equipment location tracking. The lack of visibility in identifying equipment defects, missing materials, and bottlenecks results in inaccurate decision-making and dissatisfied customers.

The problem can be addressed through

  1. Simplifying asset management
  2. Gaining complete visibility and control over asset management activities

Outdated legacy systems need updating

Given the underperformance of legacy systems, it’s crucial to explore new approaches to simplify, enhance, and streamline the asset management process. Top manufacturers are now turning to the Internet of Things (IoT) and partnering with reputable IoT app development companies for efficient asset tracking and management.

The adoption of IoT has seen significant growth across various industries, with studies indicating its positive impact on rapid growth and operational improvements.

Understanding the Importance of Asset Tracking in Manufacturing

The Asset Tracking Market was valued at USD 17.14 billion in 2020 and is projected to reach USD 34.82 billion by 2026, with a CAGR of 13.45% during the forecast period 2021 – 2026. Given the high value of enterprise and industrial assets, especially fleet equipment, monitoring and tracking these assets is crucial. (Source: Mordor Intelligence)

The Role of IoT in Asset Tracking and Management in Manufacturing

An IoT Smart Asset Management solution typically includes

  • Asset Health/Condition Monitoring
  • Predictive Asset Maintenance
  • Asset Lifecycle Management
  • Remote Asset Tracking
  • Asset Workflow Automation

Benefits of IoT-based Asset Management

Below are the top 6 benefits of IoT-enabled asset management systems for manufacturers.

  1. Increased speed and efficiency in inventory processes, optimized cost
  2. Improved asset transfer along the supply chain
  3. Real-time tracking of asset status, condition, and location
  4. Elimination of human errors in automated, data-intensive asset management
  5. Enhanced authentication and security
  6. Quick and easy access to assets

Applications of IoT in Asset Management

  • Theft prevention
  • Condition monitoring
  • Location tracking
  • Utilization monitoring
  • Asset maintenance

Now let’s delve into the applications of IoT in asset management.

IoT for Theft Prevention

Losing or misplacing assets poses challenges for manufacturing staff, consuming time and increasing procurement costs. With traditional methods falling short in asset protection, manufacturers are turning to IoT for effective asset management.

Here are 4 ways to prevent theft and loss using IoT:

Beacons

Beacon-embedded IoT devices play a crucial role in asset tracking and management. They notify staff of asset movements, triggering alerts for necessary actions.

Smart Tags with Sensors

Combining smart tags with BLE sensors and IoT helps reduce fraudulent activities in warehouses. Any asset movement is promptly detected, aiding in asset security.

Geofencing

This technique, achieved through geographical barriers and app integration, monitors designated areas. Any breach triggers immediate alerts, preventing unauthorized asset movement

Open Notification

IoT devices in packages send alerts if tampered with during transit, safeguarding assets from theft.

IoT for Condition Monitoring

Condition monitoring is crucial for tracking equipment, machinery, or tools conditions, especially during transportation or continuous operation. IoT-based solutions offer

  • Improved asset performance
  • Enhanced asset visibility
  • Enhanced workplace safety
  • Immediate alerts on asset conditions
  • Predictive maintenance benefits
  • Extended asset lifespan

IoT for Location Tracking

Tracking assets within warehouses or project sites is challenging and manual methods are prone to errors. IoT-enabled asset location tracking provides real-time data and utilizes various tracking options like GPS for accurate asset location.

Benefits of IoT Asset Location Tracking Systems:

  • Reduced human errors, faster actions based on real-time data
  • Optimized asset utilization and space
  • Proactive supply chain management

IoT for Utilization Monitoring

Continuous monitoring of under-utilized assets is vital but can be labor-intensive. IoT asset management simplifies this process, saving time and costs for manufacturers.

  • Continuous asset monitoring
  • Tracking asset health and location
  • Efficient asset utilization
  • Reduced asset procurement costs and waste

IoT for Asset Maintenance

Regular asset maintenance is essential for manufacturing success, but manual systems are costly and may not prevent failures during critical operations. IoT-based predictive maintenance systems provide real-time data for proactive asset maintenance, reducing costs and downtime.

Benefits of IoT Predictive Maintenance:

  • Reduced costs, improved uptime
  • Reduced safety risks, extended asset lifespan

Summary

Manufacturers should prioritize IoT asset management to save time, reduce costs, and make informed decisions. Implementing an asset management system can streamline operations, enhance insights, and alleviate asset-related challenges.

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