How to Eliminate 70% Ghost Assets and Recover Millions in Hidden Financial Liabilities.
Despite significant capital invested in fixed assets, a major aluminium producer struggled with "ghost assets" and fragmented data, leading to financial inaccuracies and risks in equipment life cycle management.
Pain Points
Inaccurate Asset Register
Over 77K assets requiring verification to establish financial controls.
Ghost Asset Risk
On average, more than 70% of the client’s Net Book Value (NBV) consisted of ghost fixed assets.
High Maintenance Uncertainty
Disconnect between accounting / Finance and engineering /Maintenance departments.
Inflated Liabilities
Increased tax and insurance liabilities due to unverified and overvalued asset records.
Audit & Compliance Risk
Lack of a compliant fixed asset register linked to operational equipment.
Poor Life Cycle Visibility
Incorrect depreciation classes and values affecting asset useful life calculations.
The Solution
Enhanced Data Governance
Establishing controls for future asset transactions (new, transfers, disposals) without interrupting production schedules.
Single Source of Truth
Performing a complete physical inspection and reconciliation of 99K assets to ensure a 100% accurate fixed asset register.
Cross Functional Synchronization
Linking financial assets to operational equipment maintenance to provide a clear view of the total cost of ownership.
Strategic Asset Tagging
Tagging all assets with barcodes to coincide with the ERP ledger, ensuring faster and more accurate future accounting.
Convert your Asset register into a driver for operational excellence.
By aligning every physical Asset with your financial and maintenance records, you bridge the gap between accounting accuracy and plant reliability.
