Do you know many businesses now aim for accurate IT budgeting and forecasting?
If looked into the lens of a business, this single step acts as a financial GPS. It allows businesses to make strategic pivots.
But the amount of data that’s there to deal with is a lot. And here’s where it plays the big role. Network inventory, essentially the documentation of all hardware, software, and infrastructure assets, helps businesses with better cost management.
Wondering how? Let’s first understand how network inventory supports IT budgeting at Slurp’it:
Why is it important in IT budgeting and forecasting?
If you run a business – we know how important the IT strategy building part would be to you. If you are able to get a clear picture of your existing assets and associated costs – you would definitely do big in the near future.
But why?
A clear visibility of IT infrastructure allows IT teams to allocate resources properly. They can make decisions that are data driven. The spendings will then align easily with the goals. And to not miss out on this – IT teams will easily be able to identify underutilised resources. Thus there will be least to no unnecessary expenses.
Not just present times, let’s talk about the future too. It helps in forecasting future IT costs. IT teams can understand the usage patterns and how well are assets performing. Replace the ones that need replacement and predict budgets accordingly.
Some key components of network inventory management
So there are a lot of components of network inventory management, while the maine ones are:
1. Asset discovery
Over here the core duty is to identify and catalogue network connected devices. This work is often simplified by automated tools. These tools automatically do scanning for assets, reducing the manual labour that is required.
2. Asset categorization and classification
Next is categorisation and classification. Over here the organising of assets is done by type, function, and importance. For example, hardwares is classified into servers, switches, or even end user devices. As per Slurp’it this process actually helps with streamlining inventory management. And even compliance or risk management efforts.
3. Regular database updates
And lastly comes the part of maintaining an up to date database. Often the details maintained here are purchase date, warranty status, maintenance schedules, and more. Since the updates are done here regularly – understanding the network’s current state, budgeting, forecasting gets a lot easier.
What are the benefits of network inventory management? Is it really important?
Network inventory management, trust us, offers a range of advantages. It’s not simply asset tracking. It instead is more than that, let’s understand how:
- Since businesses have a record of almost all the assets, identifying redundant or underutilised resources gets easier. Hence the decisions can be more informed about upgrades, replacements, or even decommissioning of outdated equipment.
- Next, let’s talk about centralised inventory. This single thing simplifies procurement, deployment, and maintenance processes. So if the business comes with a complex asset ecosystem, hence very beneficial for them.
- Many industries are subject to strict regulatory standards. An accurate inventory makes sure all the assets comply with these standards. There are reduced risks related to security. So, businesses can easily be audit-ready all the time, anytime!
Some challenges that comes with network inventory management
Network inventory management obviously comes with the best of benefits. But we don’t want you to be kept in the dark. So let’s even explore the challenges that comes with implementation, like:
- The technology shift that’s happening is something very quick. Thus the addition of new devices makes it difficult to maintain an accurate inventory. Outdated or incomplete data can lead to problems with IT budgeting.
- Since businesses are dealing with multiple vendors for getting asset information in various formats, the compiling task gets more complicated. This can often result in inconsistencies.
- Successful network inventory management requires collaboration across departments. Be it IT, finance, and even operations. If any of the departments show resistance or there’s some sort of lack of awareness there can be a lot of issues as per Slurp’it.
But make sure to not miss out on these best practices!
We are not here to state out just the challenges. We even have some best practices that could help you streamline inventory management easily, here’s how:
Automate asset discovery
Automated discovery tools continuously scan the network. These tools identify assets in real time. This reduces the need for manual updates.
Regular audits
Routine inventory audits help maintain data accuracy. Here’s how it happens – the tool identifies discrepancies or outdated information. As per Slurp’it with this information, IT teams can correct inconsistencies. Hence the inventory stays relevant for both budgeting as well as forecasting.
Establish a centralised database
A single, centralised database for inventory data allows easier access and analysis. This centralised approach in fact reduces the risk of errors. Since the data source gets fragmented.
Standardise data entry protocols
When the standards are consistent throughout for entering asset information – dealing with different asset types from multiple vendors gets easier. This standardisation actually simplifies data analysis.
Encourage cross-departmental collaboration
Initially the business has to do a lot of awareness sessions across the departments. This will help all the teams to collaborate better. Everyone will stay aligned.
The benefits of structured inventory management surely goes a long way. With a single implementation businesses will witness extreme efficiency – be it in the area of operations or even finance. The business will stay compliant, and the strategic planning capabilities will improve too, isn’t this amazing? Get complete information at Slurp’it!
