Surplus Asset Identification = Reduced Risk + Higher ROI

Investment recovery (IR) represents the third phase of Supply Chain or Life Cycle Management: First, acquire the asset; second, control it while in use; and finally, dispose of the asset. Surplus asset identification is the initial, and therefore, a key step in successfully completing that third phase of the materials management process.

Surplus asset identification is broader and more inclusive than most would consider. Surplus asset identification involves:

 

1. Identifying the sources of information on existing and future surplus;
2. Identifying the physical location of the surplus;
3. Developing an inventory and cataloging protocol;
4. Recording the cataloged data in a database to facilitate reuse or sale.