Asset Tracking 101: What an Asset Tracking System is and Why You Need One

With today’s businesses being more tech-driven than ever, let’s address the most evident questions: what an asset tracking system is, why asset tracking is important and how to track assets to benefit your business? Asset tracking is a crucial process that helps businesses manage the physical assets they need to function on a day-to-day basis. Whether a company uses cars, machinery or just stocks consumable products, knowing their current position and condition is crucial to ensuring efficient operations, cost savings and safety. 

However, setting up asset tracking can be time-consuming, especially when you’re starting a business.

What is an Asset Tracking System?

In recent times, advanced asset tracking technology enables businesses to track the whereabouts of physical assets like vehicles, computers or any other valuable equipment on-site. The asset tracking process usually consists of storing data such as location and ownership, etc., by using suitable software. The system provides for better asset management, tracking and maintenance. Therefore, it reduces the need to allocate extra manpower for these tasks, saving both time and money.

How Does Asset Tracking Work?

Essentially, a unique identification is attached to an asset using a barcode, chip or RFID tag. This unique identifier provides location information to a reader or scanner and sends it to asset management tracking software, which converts the data into readable, actionable insights. 

How asset tracking works can vary depending on the technology used, such as RFID, BLE, GPS or advanced IoT solutions.

Market Growth: The global asset tracking market is projected to grow from USD 23.42 billion in 2024 to USD 59.64 billion by 2032, exhibiting a CAGR of 12.4% during the forecast period. 

Asset Track Tracking Methods

1. RFID

Radio-frequency identification, commonly known as RFID, utilizes electromagnetic scanners and tags for tracking assets. Useful in many scenarios, this still possesses critical drawbacks such as very expensive hardware and vulnerability to interference caused by metals and liquids. That makes RFID less efficient in dynamic environments or large deployments.

2. UWB

Ultra-wideband technology offers accurate indoor tracking with low-power pulses. It is not very practical for businesses in need of cost-effective and scalable solutions that work in multiple environments due to its high implementation cost and focus on indoor usage.

3. LPWAN 

Low Power Wide Area Networks (LPWAN), which includes LoRa, is the suitable technology for long-range low power tracking. LPWAN systems, however, often experience latency and low data speeds. This makes them not applicable for real-time tracking in fast-moving operations.

4. BLE 

Bluetooth Low Energy is another popular technology because of low power consumption and long battery life, but BLE’s short range and reliance on multiple gateways increase cost and add complexity, especially in larger or multi-location facilities.

5. Barcodes 

Barcodes are low-cost and reliable for inventory tracking. However, they cannot be tracked in real time, and scanning must be done manually. This slows operations and adds to the risk of human error.

IoT with Mapsted Tags: Why is it a Smarter Solution

Mapsted Tags redefine how assets are tracked. With cutting-edge IoT technology, Mapsted goes beyond conventional methods by providing advanced features that change the way businesses manage their assets, such as:

• Real-Time Location Tracking: Get instant, accurate location data and a history of movements to support better planning.
• Workflow Automation: Simplify processes and boost efficiency to save time and resources.
• Utilization and Maintenance Tracking: Track asset utilization and maintenance for increased productivity
• Asset Security: Protect important assets with advanced tracking and loss prevention
• Compliance and Audit Trails: Facilitates maintenance of regulatory compliance through detailed records on the movement of assets.

Why Mapsted Tags Outperform Other Solutions

• Minimal Hardware: Unlike traditional systems, Mapsted Tags substantially reduce hardware requirements, lowering setup and maintenance costs.
• Long-Lasting Batteries: An extended battery life reduces the need for frequent battery replacements making maintenance easier. 
• Flexible Solutions: A variety of Tags are available for different needs, from office equipment to industrial equipment.
• High Accuracy & Range: Mapsted Tags provide precise location data with accuracy within 1-5 metres and span over a comparatively larger area, ensuring easy scalability, reliable tracking and affordability in any setting.

Industries Benefiting from Mapsted IoT Technology

• Manufacturing and Warehousing: To track tools and inventory in the facility.
• Healthcare: To locate essential medical equipment quickly in order to improve patient care and emergency response times.
• Retail and Hospitality: To enhance high-value equipment management and offer better customer service.
• Education: To manage learning resources effectively for more usability.
• Transportation and Logistics: To simplify the tracking of on-site vehicles and equipment to reduce delays.

With IoT-enabled Mapsted Tag solutions, businesses can now implement a robust and flexible solution for asset tracking. The ease of use, advanced features, affordability and reliable performance ensure assets are always where they need to be.

Benefits of Asset Tracking Systems

Why is asset tracking important? When choosing asset tracking systems you can reduce the risk of loss and theft but also enhance overall operational efficiency, helping businesses make the most of their resources. Here are some benefits of asset tracking systems: 

1. Intuitive Reports and Audits

Asset tracking technology gives you real-time reports and remote access to data, allowing businesses to monitor asset quality, location and lifespan. New asset tracking systems simplify compliance and internal audits with a single click.

2. Enhance Asset Lifecycles

Asset management tracking can easily simplify and manage routine maintenance by providing real-time reports on asset status and its condition. Paperless asset inspections can help businesses enhance equipment productivity and safety, while also reducing downtime.

3. Cost Advantage

Businesses that do not use specialized asset tracking systems depend on administrative staff for asset condition monitoring which can lead to human errors and potential asset mismanagement. By using asset tracking systems, enterprises can reduce equipment maintenance costs by up to 12%, stressing the financial pros of implementing such technologies. 

4. Increased Efficiency

Tracking an asset’s location and usage helps businesses to have precise accuracy and visibility. Monitoring asset maintenance, downtime and expenses can help businesses make informed decisions on asset utilization leading to better optimal performance.

5. Widespread Industry Adoption

More than 70% of businesses intend to increase their investment in asset tracking technology in the years to come, recognizing its value in reducing theft and loss. 

Things to Consider When Opting for an Asset Tracking Solution

Before you choose an asset tracking solution for your business, below are some of the essential factors to consider:

• Customizability and Integration: Ensure the solution supports firmware updates and IoT integrations.
• Notifications and Reminders: A robust asset tracking system should provide maintenance alerts and customized asset reports.
• Security: Choose a system with secure, role-based access control to prevent data breaches.
• Support: Look for a solution with dedicated customer support for smooth operation.
• Ease of Use: Testing a customized demo can help assess the software’s user interface and usability.

Conclusion

By now you must have a more clear idea of what an asset tracking system is and how these asset tracking technologies can help your business and offer valuable solutions that more companies are exploring. To manage assets efficiently, companies need a system that doesn’t depend on GPS, BLE beacons or Classic Bluetooth. Mapsted provides such an innovative asset tracking solution based on advanced IoT solutions—trusted by hospitals and fleet management companies worldwide.

If you found this blog helpful, don’t miss our post on Empowering Event Experiences Through Indoor Asset Tracking or watch our video on Discover Mapsted’s New IoT Division | Transform Your Operations Today to learn more.