Ultimate guide to asset tracking: Types, benefits, and best practices

When a team member exits the organization, the offboarding process should be straightforward: revoke access, retrieve assigned devices, and update the asset register. In practice, however, devices often go unaccounted for, software usage remains unclear, and asset records are frequently outdated or overlooked.

This is how many IT teams gradually fall behind—not due to major failures, but because of small tracking gaps that accumulate over time. These oversights can lead to increased security risks, disorganized audits, and escalating hardware costs.

Here, we’ll explain asset tracking and how IT teams can make it work. You’ll learn the systems, tech, and processes behind IT asset tracking, from laptops and servers to cloud subscriptions and virtual machines.

What is asset tracking?

Asset tracking monitors physical or digital assets throughout their lifecycle, from acquisition to retirement. It captures details like location, user, performance, and service requirements to ensure control, minimize waste, and support informed decision-making. 

But IT asset tracking is more complex, focusing on data, patches, and licenses. Without it, managing distributed teams' hardware, software, security, and compliance becomes difficult, increasing risks such as shadow IT and infrastructure instability.

Asset tracking vs. inventory tracking: Understanding the differences

While often used interchangeably, asset tracking and inventory tracking resolve different problems, particularly in IT, where managing devices and digital tools affects compliance, security, and service delivery.

Here’s how the two differ:

• Asset tracking focuses on long-term, high-value items such as laptops, servers, monitors, or software licenses. These are tracked individually and monitored for performance, location, and lifecycle status.

• Inventory tracking covers short-term, consumable items such as printer cartridges, dongles, or cables. IT inventory management software helps track these in bulk, often with quantity-focused updates rather than individual records.

To make the differences clearer, here’s a quick side-by-side breakdown focused on IT use cases:

Here’s a simple way to think about it: A help desk might use inventory tracking to keep tabs on keyboards. However, it depends on accurate IT asset tracking—whether for a MacBook Pro or a VMware license—where visibility into the user, device status, and renewal timelines directly impacts IT operations management.

Why is asset tracking important?

In most organizations, IT doesn’t just manage tools. They manage risk. That’s why strong IT asset management (ITAM) is essential. Every unmanaged laptop, expired license, or unknown endpoint becomes a liability. And businesses are waking up to this reality.

The numbers prove it: The global asset tracking market was valued at $25.98 billion in 2025 and is expected to reach $59.64 billion by 2032. This surge demonstrates a simple truth: companies need better control over the assets they rely on to operate, secure, and scale.

Here’s why IT asset tracking is now non-negotiable:

• Because IT can’t manage what it can’t see (visibility): From office laptops to remote routers and cloud licenses, assets multiply quickly. If IT doesn’t know what exists and where, problems stay hidden until they’re too expensive to ignore.

• Because failed audits aren't just paperwork issues (compliance): Software renewals slip. Licenses go unmonitored. And the penalty? Unexpected costs, security concerns, or regulatory consequences. Asset tracking keeps records tight—and IT out of the spotlight.

• Because security gaps start with unknown devices (security): Every unmanaged asset is a potential risk. Tracking ensures that nothing slips through, especially in hybrid setups where equipment and access constantly shift.

• Because faster support depends on better records (productivity): Help desk teams move faster when they know the full history of a device—when it was last serviced, who used it, and what software it’s running.

What are different types of assets tracked?

While common perceptions of assets include desks and delivery trucks, the true complexity of asset tracking lies in the variety of assets. Identifying the type of asset is crucial as it dictates tracking methods, frequency, and overall importance.

Let’s break it down:

• Fixed assets: These include buildings, manufacturing equipment, and office furniture. They don’t move often, but tracking them helps with depreciation, insurance, and compliance reporting.

• Mobile assets: Think delivery vans, medical carts, or field tools. These move between teams, departments, or locations. Tracking helps reduce loss, plan maintenance, and increase utilization, especially when paired with GPS or BLE tags.

• Consumable assets: These comprise high-turnover supplies such as printer toners, cables, adapters, and batteries. They're usually tracked in bulk but need oversight to avoid stockouts and waste.

• IT assets: These include laptops, servers, mobile devices, software licenses, and cloud instances. These assets impact operations daily and must be monitored for patch status, user assignment, software compliance, warranty periods, and end-of-life triggers. Overlooking any of these elements can result in operational downtime, audit failures, or potential security vulnerabilities.

What are the core components of an asset tracking system?

Effective asset tracking means establishing connections between them, such as ownership, software, and warranty. This comprehensive visibility is vital for efficient IT management of numerous assets and personnel, serving as a foundation rather than an extra feature.

Here’s what that foundation looks like in practice:

• Asset tags and labels: These are the starting points—barcodes, QR codes, or RFID stickers placed directly on the asset. For example, tagging every new laptop with a scannable QR code makes it easy to check which device was issued to which employee and when. This is the first layer of accountability for IT asset tracking.

• Tracking devices: Tags alone aren’t enough when assets move. Devices such as GPS units or Bluetooth Low Energy (BLE) beacons help track equipment in real time. Picture field teams using mobile hotspots—BLE tags help IT monitor location, usage, and loss risks without manual check-ins.

• Asset management software: All tracking data needs a place to live and act on. Tools such as ITAM software organize everything—status, assignment, warranty, license data—in one system.

• Database and cloud integration: Tracking doesn’t help if the data stays siloed. Cloud-connected systems ensure asset records stay updated and accessible across departments. That’s key in hybrid teams where procurement, security, and IT support all need access to asset records from different locations.

Once you have an effective system set up, tracking IT assets goes from chasing down missing devices to managing everything proactively. With tagging and keeping everything in one place, companies can get a clear and reliable picture of all their IT assets.

Methods and technologies used in asset tracking

How you track assets can make or break your visibility, especially in fast-moving IT environments. Some methods are ideal for high-volume equipment, while others give you smarter insights into asset health and usage. Let’s break them down.

• Manual spreadsheets: Spreadsheets work when managing 10 devices, not 1,000. They require constant manual updates, lack real-time visibility, and can’t flag missing software or warranty gaps, making them unreliable for serious IT asset tracking.

• Barcodes and QR codes: These are simple tags scanned using mobile devices or barcode readers. IT teams often use them to label laptops, printers, or hard drives, offering a quick way to check asset status and ownership during audits or handovers.

• Radio Frequency Identification (RFID): RFID readers can capture data from multiple tags at once. This makes them ideal for server racks or IT stockrooms, where scanning each device individually would waste valuable time during inventory checks.

• Global Positioning System (GPS): GPS is used to track mobile assets across locations. Think of company-issued laptops for traveling staff or routers at client sites. GPS gives teams real-time updates on movement, theft risks, or off-site equipment left behind.

• Bluetooth Low Energy (BLE): BLE beacons are ideal for pinpointing indoor assets, such as switches or access points, in large campuses. IT admins can see which assets are closest to a specific room or floor without needing manual intervention.

• IoT-based tracking: IoT sensors add real intelligence to asset tracking. For example, a network switch can alert teams if it overheats or exceeds usage limits. This is key for lifecycle management and preemptive maintenance in large IT environments.

• Near Field Communication (NFC): NFC is ideal for mobile-first teams. IT technicians can instantly tap a smartphone to an NFC tag to pull up asset details. It’s a low-cost, quick-scan method that simplifies updates during field service or tech refresh cycles.

• Satellite/Cellular tracking: Satellite/cellular tracking is used for remote or industrial IT deployments. Cellular-enabled trackers support remote asset management by monitoring field devices in areas without internet, like edge routers in remote branches or construction IT kits.

Quick tip for IT teams: Pair RFID with IT asset discovery tools to flag ghost assets—devices still listed in your system but physically missing. This reduces audit headaches and improves accuracy across your IT asset tracking workflows.

What are the key features of modern asset tracking solutions?

Modern IT environments with distributed assets and complex requirements, such as software license management and remote security, need more than basic asset tracking with barcodes. Proper visibility requires a flexible, integrated, and scalable tool designed for IT.

Modern IT asset tracking solutions must include the following five key features for growing businesses:

• Real-time asset location monitoring: Track assets across offices, data centers, or remote teams with GPS, RFID, or BLE tags. This is ideal for reducing asset loss, improving security, and increasing visibility in IT asset tracking setups where every device counts.

• Automated check-in and check-out: Automatically log who’s using what, whether it’s a developer laptop or a field technician’s toolkit. This reduces manual errors, enables accountability, and is essential for tracking asset custody during onboarding or offboarding.

• Maintenance scheduling and alerts: Set automated reminders for servicing critical assets like servers, laptops, or firewalls. This helps extend the lifecycle, prevent sudden breakdowns, and reinforce asset tracking best practices around warranty and patch management.

• Audit trails and historical data: Every action—who used it, where it went, when it was fixed—is logged. This is ideal for compliance audits, hardware investigations, or pinpointing software misuse in regulated environments where IT transparency is a must.

• Integration with ERP and CMMS systems: Connect your asset tracking system with tools such as Freshservice to centralize workflows. This ensures smooth ticketing, faster approvals, and cleaner data across finance, IT, and operations teams.

To help you visualize how these features translate into real-world IT environments, here’s a snapshot of when to use them, what they do, and why they matter:

Industries leveraging asset tracking (and customer success stories)

The tools we depend on are getting smarter, smaller, and more mobile. This is precisely why asset tracking has become mission-critical across industries. From lifesaving medical gear to company-issued laptops and cloud software, knowing what’s in use (and where) isn’t just good ops hygiene. It’s essential for staying secure, compliant, and efficient.

Here’s how different sectors apply IT asset tracking to stay agile, secure, and audit-ready:

• Healthcare: Hospitals use real-time asset tracking to monitor diagnostic devices, mobile workstations, and tablets. This prevents treatment delays, ensures compliance, and helps manage high-value medical equipment that shifts constantly between departments, floors, or emergency response zones.

Princess Alexandra Hospital NHS tracks every asset across its lifecycle with Freshservice, streamlining workflows and improving care delivery across departments.

• Logistics: Warehousing and logistics companies track mobile scanners, forklifts, and terminal equipment across facilities. Knowing the real-time location and condition of IT and operational gear reduces operational slowdowns, supports maintenance, and keeps site-wide workflows moving on tight delivery schedules.

Aramex boosted agent productivity by 50% by centralizing asset data with Freshservice, enabling faster decisions and driving operational efficiency across global logistics hubs.

• Retail: Retailers rely on IT asset tracking to manage POS systems, store tablets, signage displays, and back-office devices. As staff churn and store expansions increase complexity, tracking prevents asset loss, ensures uptime, and keeps customer-facing systems running smoothly.

L’Osteria achieved 100% customer satisfaction by simplifying asset management and IT service delivery through Freshservice’s unified platform.

• SaaS companies: Software companies use IT asset tracking to manage remote laptops, servers, licensed tools, and employee-issued devices. With hybrid teams and critical data risks, asset visibility is key to faster onboarding, secure offboarding, and full compliance across global teams.

Glen Dimplex gained complete control over global IT operations by centrally tracking laptops, desktops, and servers across all sites using Freshservice.

• Education: Schools and universities track Chromebooks, classroom tech, and AV systems to manage limited budgets and fast student turnover. IT teams need centralized control to assign, retrieve, and update campus assets without falling behind on license renewals or audits.

Freshservice helped Catholic Education Western Australia (CEWA) manage assets in 164 schools, tracking computer lifecycles to enhance visibility, student experience, and operational consistency.

• Finance: Financial institutions track laptops, firewalls, VPN tokens, and licensed applications across secure environments. With growing compliance demands, IT asset tracking helps ensure every endpoint is accounted for, patched, and audit-ready, no matter where employees work from.

Fine Hygienic Holding cut IT resolution time by 60% using Freshservice for change tracking and implementation monitoring. This helped the company improve compliance, visibility, and operational control globally.

What are the benefits of asset tracking?

The real value of asset tracking goes beyond inventory control. One study found that asset visibility can boost productivity by 28%, cut repair and maintenance efforts by 17%, and eliminate up to 20% of downtime. This translates into smoother operations, stronger compliance, and fewer costly surprises for IT teams. 

Here's how organizations gain value:

1. Financial benefits

• Reduced asset loss and theft: By maintaining real-time visibility into asset locations and statuses, organizations can significantly decrease losses due to misplacement or theft, leading to substantial cost savings.

• Accurate forecasting and budgeting: Comprehensive asset data enables precise forecasting for replacements and upgrades, ensuring better budget allocation and financial planning.

• License compliance and savings: Tracking software licenses helps avoid penalties for non-compliance and identifies underutilized permits, allowing for cost-effective reallocations.

Example: Finance teams can generate detailed depreciation reports swiftly, aiding in accurate financial reporting and asset valuation.

2. Operational benefits

• Enhanced onboarding processes: Streamlined asset assignment ensures new employees have the necessary equipment from day one, improving productivity and satisfaction.

• Reduced downtime: Proactive maintenance schedules and real-time monitoring minimize unexpected equipment failures, keeping operations running smoothly.

• Efficient audit preparation: Comprehensive asset records simplify audit processes, ensuring compliance and reducing the time and resources required for audit readiness.

Example: Help desk teams can resolve tickets faster by accessing complete device histories, leading to improved service delivery.

3. Security benefits

• Endpoint visibility: Knowing which devices are connected to the network allows for better monitoring and quick identification of unauthorized access points.

• Compliance with security standards: Maintaining up-to-date records ensures adherence to industry regulations and standards, mitigating risks associated with non-compliance.

• Rapid incident response: Quick access to asset information enables faster response to security incidents, minimizing potential damage.

Example: Organizations can swiftly identify and isolate compromised devices, reducing the impact of security breaches.

4. Strategic benefits

• Informed decision-making: Access to comprehensive asset data supports strategic planning, such as technology upgrades and resource allocation.

• Vendor management: Tracking asset performance helps evaluate vendor reliability and make informed choices about future partnerships.

• Scalability: A robust asset tracking system supports organizational growth by ensuring asset management processes can scale effectively.

Example: Organizations can plan technology refresh cycles more effectively, ensuring that assets are up-to-date and aligned with business objectives.

What are the common challenges in asset tracking?

Even mature IT teams struggle to get asset tracking right. A recent study shows a disconnect between perception and reality—94% of organizations believe they have a live view of connected assets, yet 48% still track them in spreadsheets, and 55% rely on multiple disconnected tools. The result? Gaps in visibility, compliance risks, and wasted hours.

Here are five significant pain points IT leaders run into:

• Manual records that go stale: Spreadsheets aren’t built for real-time changes. Asset data goes out of date within days if not hours.

• Shadow IT and device sprawl: Unapproved devices and apps creep into the environment, often without IT knowing until there’s an incident.

• Lost equipment during employee exits: When offboarding isn’t tied to asset return, laptops and licenses quietly disappear from the system.

• Difficulty tracking SaaS tools and license usage: Most teams don’t know what’s being used, what’s idle, or what they’re still paying for.

• Hybrid/remote visibility gaps: Teams working from multiple locations make it harder to track hardware and software in real time.

How to get ahead of these challenges:

• Use tools with auto-discovery and Configuration Management Database (CMDB) sync to eliminate outdated records and maintain an always-accurate view.

• Enforce asset tracking best practices like endpoint monitoring to detect shadow IT before it creates risks.

• Integrate asset return checklists into your offboarding workflows to avoid lost hardware.

• Track license usage through built-in analytics to reduce overspending and simplify audits.

• Invest in cloud-based tracking that works across all devices—onsite or remote—for complete visibility.

How to implement an asset tracking system: Steps and best practices

Setting up an asset tracking system is a foundational move that helps reduce chaos and bring clarity to your operations. Whether dealing with 10 devices or 10,000, proper implementation can set you up for years of smooth scaling.

Step-by-step checklist for implementation:

Step 1: List all IT assets: Capture everything from laptops and servers to software licenses and SaaS subscriptions. Start with what you have, even if it’s scattered across departments.

Step 2: Choose the right platform: Pick a tool that fits your IT needs—something like Freshservice, which offers CMDB integration, agentless discovery, and remote asset management out of the box.

Step 3: Tag and categorize: Use barcodes, QR codes, or RFID to track physical assets. Use logical groupings, by location, department, or priority, to stay organized.

Step 4: Integrate with CMDB: Sync your asset data to a central CMDB. This links each asset to its incidents, changes, and tickets, building real-time operational awareness.

Step 5: Define lifecycle workflows: Set clear rules for onboarding, usage, maintenance, and retirement. Use alerts for renewals, patch cycles, and warranty expirations.

Step 6: Train teams and set automation: Educate staff on proper check-in/check-out procedures and tagging standards. Then, automate ticket creation, alerts, and updates wherever possible.

Step 7: Review and improve: Schedule audits quarterly. Use insights to refine tagging accuracy, reduce ghost assets, and clean up duplicate entries.

To get the most from your system, here are a few tried-and-tested tips IT leaders believe in:

• Always start with a clean baseline: Avoid pulling in bad data from old spreadsheets. Do a fresh discovery scan or physical audit before your first import.

• Use auto-discovery agents: They help detect devices that aren’t manually tagged, which is especially helpful in hybrid work setups with rotating endpoints.

• Tie assets to user accounts: Track who’s using what. This improves accountability, simplifies troubleshooting, and ensures nothing gets lost during offboarding.

• Set up automated deprecation tracking: Knowing when your assets are nearing end-of-life helps with smarter budgeting and smoother hardware refreshes.

• Centralize everything in your CMDB: This aligns your service desk, asset tracking, and change management, avoiding siloed data and reducing manual effort.

• Run quarterly audits and close the loop: Don’t just track—verify. Audits help you find orphaned assets, fix mismatches, and maintain compliance.

Future trends in asset tracking

The future of asset tracking lies in how smartly you use data. Modern tools move beyond basic barcodes and static databases, providing real-time, insight-driven control through technologies that are actively reshaping operations. Here’s what forward-looking teams are investing in:

IoT: Real-time visibility across every asset

Track more than location. Internet of Things (IoT) sensors capture condition, usage, and uptime across physical and digital assets. Think real-time updates from a fleet of laptops, servers, or scanners, without manual intervention. 

Stat: The global IoT-based asset tracking market is set to reach $5.56 Bn by 2025, expanding at 9.9% CAGR (Source: The Business Research Company).

AI/ML: Fix before it breaks

Artificial Intelligence and Machine Learning power AI-based asset management by detecting anomalies early. That means fewer breakdowns and smarter service windows, especially for complex hardware and licenses.

Example: Siemens Energy uses AI-driven platforms to detect issues before outages hit production lines (Source: Business Insider).

Blockchain: Trust your audit trails

Blockchain offers tamper-proof logs and automated verification. IT teams can ensure that every asset event—purchase, patch, retirement—is securely logged and reviewable.

Use case: Blockchain builds traceability without the red tape for finance and compliance-heavy industries (Source: MDPI).

Augmented Reality (AR): Help desks meet hands-on work

AR tools let technicians scan server racks and instantly see connected devices, asset health, or past issues, without toggling between systems. This is ideal for remote sites or IT closets. 

What is IT asset tracking and why does it matter?

IT asset tracking monitors IT hardware and software throughout their lifecycle, providing a central view for ITSM. Real-time tracking supports IT asset lifecycle management by enabling automated patching, warranty monitoring, license enforcement, and faster ticket resolution. This leads to fewer disruptions, improved security, and better cost and compliance control.

Challenges faced by IT teams without proper asset tracking

Lack of visibility into IT assets creates risks like compliance gaps, productivity dips, and security threats due to disconnected systems and manual processes.

Here’s what that looks like on the ground:

• Lack of real-time visibility into asset usage, health, and ownership, leading to blind spots during outages or employee transitions.

• Unmanaged or rogue devices connected to the network without proper approval or tracking.

• Software license management complications resulting in compliance issues, over-provisioning, or unused subscriptions.

• IT help desk inefficiencies, as agents waste time resolving tickets without full context on the user’s assigned assets.

How Freshservice enables smarter IT asset tracking

Disconnected tools, missing asset histories, and shadow IT aren’t minor annoyances. They’re blockers that slow ticket resolution, increase security risks, and drain IT budgets. Freshservice resolves this chaos with control, visibility, and confidence in overall assets.

Here’s how Freshservice makes smarter IT asset tracking a reality:

• Agentless or agent-based discovery: Map your entire digital environment, from laptops and servers to software installs, without manual input. Pick the method that best fits your infrastructure.

• Real-time sync with the CMDB: Changes to an asset's ownership, status, or location are instantly reflected in your Configuration Management Database, so teams continuously work with accurate, real-time context.

• Auto-updating records: Tracks your assets through their entire lifecycle. No more manual edits or outdated spreadsheets. Updates flow automatically based on usage, location, and lifecycle events.

• License alerts and compliance: Get notified when software licenses are about to expire, are overused, or are underutilized. This will help you avoid audit headaches and optimize software spending.

• Remote tracking for hybrid teams: Whether assets are on-site or in an employee’s home office, Freshservice lets IT teams monitor usage, health, and status—no VPN needed.

With Freshservice, you’re not just checking a box for IT asset tracking. You’re building a more resilient, compliant, and efficient IT environment, one asset at a time.