10 Benefits of IT Asset Management

IT Asset Management (ITAM) is the process of tracking, managing, and optimizing an organization's IT assets — hardware, software, and other digital resources — throughout their lifecycle. 

It ensures assets are used efficiently, remain secure, and comply with policies and regulations.

Throughout my journey supporting companies worldwide in their implementation processes, I have witnessed firsthand the benefits of a well-executed ITAM strategy I've summarized these key advantages in the following list:

#1. Standardized IT Asset Management processes

ITAM brings structure and consistency by establishing clear processes for every asset-related activity. By implementing organized, repeatable procedures, businesses can reduce errors, improve accountability, and ensure compliance with internal policies and external regulations. 

It also enhances collaboration between departments — IT, Finance, and Procurement all operate with a shared, up-to-date view of asset information, leading to better decision-making and smoother operations.

#2. Cost savings and optimization

ITAM helps organizations reduce IT asset spend and drive cost savings by improving procurement, optimizing usage,, tracking status and depreciation, and streamlining maintenance. 

By creating and monitoring an accurate IT asset inventory, businesses can eliminate redundant purchases, reclaim unused software licenses, extend hardware lifecycles, and ensure assets are upgraded, replaced, or retired at the right time. 

“Getting a grasp on what you're buying and who is buying it is probably one of the most major steps you can do.”​

Aaron Davenport, Software Asset Manager at HCA

Episode 6 of Ticket Volume - IT Podcast

And let me tell you that these cost-saving opportunities are significant. Take software usage for example. According to a 2023 Nexthink report analyzing over 6 million customer environments, nearly 50% of all installed software goes unused, costing businesses approximately $45 million per month — or over half a billion dollars per year in wasted licenses.

#3. Strengthened cybersecurity and risk mitigation

You can’t protect what you can’t see. With IT Asset Management, every IT asset is visible, and a visible asset is a manageable one. Having this level of control is the only way to ensure proper protection, not just of the asset itself but of the entire organization.

By keeping a centralized, up-to-date inventory, ITAM reduces blind spots that attackers often exploit. It ensures hardware and software are properly updated and patched, closing the door to vulnerabilities that could otherwise escalate into major breaches.

ITAM also supports adherence to cybersecurity frameworks and compliance requirements while enforcing internal policies. This way, organizations can ensure that only authorized, approved, and secure assets are in use. 

#4. License compliance and audit risk reduction

Software vendors frequently audit businesses, and non-compliance can result in costly penalties. ITAM provides visibility into software entitlements and usage, ensuring organizations remain compliant with licensing agreements. This reduces the risk of unexpected fines and legal issues while also improving vendor relationships through better transparency.

A lack of proper asset tracking can lead to significant financial and security risks. For example, NASA’s Inspector General reported in 2023 that poor asset tracking led to $20 million in unnecessary software license fines and overpayments over five years. This highlights how a lack of ITAM can result in both financial loss and security risks. 

#5. Improved IT efficiency and productivity

ITAM streamlines IT operations by centralizing asset data in one platform. By centralizing all information in one place (generally in IT Asset Management software), IT teams can shift their focus from routine, manual tasks to more strategic initiatives.

This has a direct impact on the productivity of the IT department and, by extension, the entire organization. Ultimately, it enables IT to become a true business enabler, driving innovation and supporting long-term growth. 

#6. Better strategic planning and decision-making

IT Asset Management enables IT teams to make better decisions not only internally but also at the organizational level. With complete visibility into IT assets, and the ability to identify, monitor, and manage them, the IT department increases the effectiveness with which it plans and executes all its tasks.

This clarity allows organizations to anticipate needs, allocate budgets more efficiently, and ensure that every IT investment aligns with broader business objectives. In short, ITAM transforms asset data into actionable intelligence that drives smarter strategies and sustainable growth.

#7. Greater procurement visibility and control

A major challenge in IT Asset Management is the lack of centralized procurement data. Many organizations purchase hardware and software through multiple channels — IT departments, business units, procurement cards (P-cards), and vendor agreements — leading to fragmented visibility. 

Without a structured ITAM system, procurement remains disorganized, inefficient, and prone to poor decision-making.

#8. Improved remote and hybrid work support

The rise of remote and hybrid work environments has made IT asset tracking more complex. Employees now use company-issued devices from various locations, making traditional ITAM practices less effective. 

IT Asset Management provides visibility into remote IT assets, ensuring that all devices are accounted for, secured, and properly maintained.

By implementing ITAM policies tailored for remote work, organizations can track asset usage, ensure compliance with security policies, and streamline device retrieval when employees leave the company. 

ITAM also plays a role in optimizing asset distribution, ensuring that employees receive the appropriate equipment regardless of their location. This enhances the employee experience while reducing the risks associated with lost or stolen company assets.

#9. Optimized device and asset utilization

By providing full visibility into asset lifecycles, ITAM helps organizations maximize the utilization of their hardware and software. Instead of assets sitting idle or underutilized, businesses can reallocate devices and software where they are needed most, ensuring that employees have the right tools to perform their jobs effectively. 

“It’s not just about tracking licenses. It’s about making sure employees have the right tools to do their job efficiently.”​

David Foxen, lead consultant at SAM Beast Consulting Ltd.

Episode 64 of Ticket Volume - IT Podcast

ITAM also aids in asset redeployment. When an employee leaves or changes roles, their assigned hardware and software can be reassigned efficiently, reducing unnecessary purchases and maximizing existing resources.

10. Sustainability and asset lifecycle optimization

ITAM supports sustainability by promoting a circular economy approach — extending device lifecycles, enabling asset reuse, and ensuring proper disposal or recycling. 

Rather than following a “buy-use-dispose” model, ITAM allows businesses to track, refurbish, and redeploy assets efficiently, minimizing electronic waste.

“We have to start thinking about processes – both services and processes such as Asset Management – as no longer a linear process. Instead of just buying, using, and discarding, we need to ask, ‘Do we even need this asset? Can we wait? Can we reuse it?’”

Dr. Tuuli Bell, PhD, Tuuli Bell Ltd.

Episode 84 of Ticket Volume - IT Podcast

The environmental impact of IT operations is increasingly a priority for businesses, and ITAM provides the tools necessary to make sustainable choices. By maintaining detailed asset records, companies can determine when to refurbish or recycle hardware rather than dispose of it. 

Many organizations also use ITAM to measure and reduce their carbon footprint by optimizing server and cloud resource usage, leading to more sustainable IT practices.