Enterprise Asset Management Software (EAM) Right for My Organization?
I hate shopping for new enterprise software. Hot-take, I know… but dedicating the necessary days, sometimes months, of research is simply a distraction from the work I actually need to get done.
I wish there was a shortcut that delivered the right software, at the right price, with the right functionality. And while I don’t think I’m in the minority with this opinion, I realize the process of shopping for new software is crucial to an organization’s success.
If you are reading this blog, it stands to reason you are shopping for a new asset management software solution. So let’s take a look at some of the pros and cons of Enterprise Asset Management software (EAM) .
First off, what is EAM Software?
Enterprise Asset Management software (EAM) is a type of asset management software system that helps organizations manage and maintain their physical assets. These assets can include equipment, machinery, vehicles, buildings, and other types of assets that are critical to the organization's operations.
EAM software provides a central repository for asset data, including maintenance schedules, work orders, inventory levels, and asset performance history. This data can be used to track the lifecycle of an asset, schedule preventive maintenance and repairs, optimize asset performance, and make informed decisions about asset investments and retirements. EAM software typically includes features such as asset tracking, work order management, preventive maintenance scheduling, inventory management, and reporting and analytics.
Some EAM software may also integrate with other enterprise systems, such as financial and procurement systems, to provide a more comprehensive view of asset management and to enable more efficient and effective decision-making.
There are several benefits of using Enterprise Asset Management software (EAM) for organizations. Here are some of the key advantages:
Improved Asset Performance: EAM software provides real-time data on the condition, performance, and maintenance needs of an organization's assets. This helps organizations identify potential issues early, perform proactive maintenance, and optimize asset performance, leading to improved asset uptime and longevity.
Increased Efficiency: EAM software enables organizations to streamline their maintenance processes, automate manual tasks, and reduce paperwork. This can help improve the efficiency of maintenance operations, reduce downtime, and increase productivity.
Better Cost Control: By tracking asset performance and maintenance activities, EAM software can help organizations identify cost-saving opportunities, optimize maintenance schedules, and extend the life of their assets. This can help reduce maintenance costs, minimize downtime, and improve overall financial performance.
Regulatory Compliance: EAM software can help organizations ensure compliance with regulatory requirements and industry standards by tracking and reporting on asset performance and maintenance activities.
Improved Decision-Making: EAM software provides real-time data and analytics, enabling organizations to make informed decisions about asset investments, retirements, and replacement. This can help organizations maximize the value of their assets and improve overall business performance.
Enterprise Asset Management software (EAM), like any technology, has its potential drawbacks and limitations. Here are some of the potential challenges organizations may face when implementing EAM software:
Limiting: EAM software is only focused on managing and maintaining your physical assets. Typically, this is only one aspect of facility manager’s many responsibilities. To efficiently manage the entire workplace environment, including facilities, real estate, and the workforce – an Integrated Workplace Management Software (IWMS) is a more comprehensive solution.
Complexity: Some EAM software can be complex to set up and configure, particularly if the organization has a large number of assets, or if the software needs to be integrated with other enterprise systems. This can result in a longer implementation timeline, higher consulting costs, and more training requirements.
User Adoption: EAM software may be difficult for some users to adopt, particularly if they are used to traditional paper-based or manual processes. This can result in lower user adoption rates and a lack of engagement with the software.
Data Quality: Software is only as good as the data that is entered into it. If asset data is incomplete, inaccurate, or outdated, it can result in incorrect maintenance schedules, inefficient processes, and inaccurate reporting.
If your organization... manages and maintains a large number of physical assets such as equipment, machinery, and buildings, and does not need to manage capital projects, space management, or energy management, then an EAM system may be more suitable for your needs.
If your organization... manages and maintains a large portfolio of properties, leases, and facilities, and needs an enterprise solution to manage them efficiently. Additional workplace functionality is needed, including Property & Assets, Space Management, Work Management, Capital Improvement, and Energy & Utility Chargebacks, then an IWMS system may be more suitable.
Ultimately, the decision to choose EAM or IWMS should be based on a careful analysis of your organization's specific needs, priorities, and goals. It's important to consult with relevant stakeholders and experts to make an informed decision.