Computers, software licenses, digital tools, and cloud platforms—these are all examples of IT assets. And businesses, even smaller ones, have a lot of them: SMBs average 489-681 assets per employee.
The problem? 43% of small businesses fail to track their inventory and assets effectively. When IT assets are mismanaged, they often become underutilized or outright wasted, leading to unnecessary costs for the hardware and software you’ve already invested in.
This guide will walk you through the essentials of IT Asset Management (ITAM), its benefits, and a practical IT asset management checklist to help you optimize your ITAM process and get the most from your resources.
ITAM is the process of tracking, managing, and optimizing an organization’s IT assets throughout their lifecycle. These assets include hardware (like laptops and servers), software licenses, cloud services, and other digital tools critical to business operations.
The function of ITAM is to make sure all technology assets are used efficiently, comply with licensing agreements, and contribute to the organization’s goals. ITAM involves a combination of processes, policies, and tools to track asset inventory, manage costs, and reduce risks.
Key parts of the ITAM process include:
Implementing ITAM brings numerous advantages to organizations. Here’s a detailed look at the key benefits:
ITAM provides a centralized view of all technology assets across your organization. With detailed inventory tracking, you’ll know exactly what hardware, software, and licenses you have, who’s using them, and where they’re located. This transparency reduces redundancies and prevents overlooked or underutilized assets.
By identifying unused or underutilized assets, ITAM helps eliminate waste and optimize spending.
For example:
ITAM keeps your assets in line with security and regulatory requirements by:
ITAM standardizes processes for acquiring, deploying, maintaining, and retiring IT assets, reducing operational inefficiencies. This leads to:
ITAM provides valuable insights into your IT environment, empowering leaders to make informed decisions. With data on asset performance, usage trends, and lifecycle stages, you can:
Managing assets throughout their lifecycle minimizes risks related to:
As your business grows, ITAM can help your technology environment scale efficiently. By automating asset tracking and standardizing processes, your organization can onboard new users, integrate additional tools, and expand operations with ease.
ITAM encourages responsible disposal of IT assets, supporting sustainability goals through recycling or donating retired equipment. This can reduce environmental impact and enhance your organization’s reputation as a socially responsible entity.
While ITAM and Configuration Management Databases (CMDB) both focus on managing IT resources, they serve different purposes and address unique aspects of your IT environment. Here’s a breakdown:
ITAM:
ITAM: Provides insights into asset utilization, cost optimization, and budgeting. For example:
CMDB: Focuses on relationships and impact analysis. For example:
Every IT asset follows a lifecycle, but how that lifecycle is managed can vary widely between businesses. To keep your IT assets running smoothly and efficiently, use this comprehensive IT asset management checklist, optimized for every stage of their lifecycle.
Identify and catalog all IT assets in your organization, including hardware, software, and cloud services.
Organize and maintain detailed records of your assets, including purchase dates, warrant information, and lifecycle stages.
Handle each asset from acquisition to disposal, ensuring it remains functional and cost-effective.
Steps in Asset Lifecycle Management:
Why it matters: Reduces downtime, optimizes performance, and extends the useful life of your technology.
Confirm assets meet licensing agreements, regulatory requirements, and internal policies.
How it works:
Why it matters: Avoids costly fines, enhances security, and builds stakeholder trust.
Analyze asset usage and costs to identify opportunities for savings.
How it works:
Why it matters: Maximizes your IT budget so resources are spent where they have the greatest impact.
Use data from your ITAM system to generate insights and support decision-making.
How it works:
Why it matters: Provides actionable insights to improve efficiency and align IT investments with business goals.
ITAM isn’t one-size-fits-all. Different types of ITAM focus on specific categories of assets, each requiring unique strategies to manage effectively. Here are the five main types.
Hardware-based ITAM includes physical devices like computers, tablets, smartphones, SIM cards, wireless routers, switches, telecom systems, server rooms, scanners, printers, monitors, keyboards, and other tangible IT equipment.
Software-based ITAM includes software licenses, subscriptions, and applications used across the organization.
ITAM for software keeps organizations compliant with vendor agreements and reduces the risk of penalties. Additionally, monitoring software usage helps identify underutilized licenses, allowing for reallocation or cost reduction.
Cloud-based IT asset management includes resources such as storage, computing power, and services hosted by providers like Amazon Web Services (AWS), Microsoft Azure, Google Cloud, or others.
With cloud usage rapidly growing, cloud-based IT asset management helps optimize resource allocation and align spending with actual software usage.
This includes non-physical, digital files and resources such as media files, documents, design templates, and other digital tools critical to operations.
Fixed asset management includes stationary, non-IT-specific assets like desks, networking cabinets, server room air conditioning units, and printers.
Fixed assets often house or support critical IT systems, making their management essential for maintaining operational stability. Managing fixed IT assets maintains these systems properly and reduces costs associated with unexpected replacements or repairs.
ITAM is essential for any business to succeed. By keeping IT assets organized and properly maintained, you set your team up to work efficiently and without interruptions.
At Ripple, we ensure your IT assets work as they should through our ITAM expertise, MSP services, IT support, and more. If you’re ready to streamline your ITAM process, reach out to Melissa. She’ll be able to answer all your ITAM questions and help you explore how Ripple can make your IT operations run seamlessly.