Asset Management Procedure

Document Code: OP-IT-ASM-01
Effective Date: 2025-10-30
Revision: 01
Prepared by: IT Department
Approved by: Management Representative

1. OBJECTIVE

This procedure establishes a standardized system for identifying, tracking, maintaining, and disposing of IT assets using ERPNext’s Asset Management Module. It ensures efficient utilization, lifecycle visibility, and compliance with accounting and data security requirements. The procedure incorporates custom fields and ERPNext module features to enhance traceability and decision-making.

2. SCOPE

This procedure applies to all IT hardware, software, and digital or consumable assets owned, leased, or managed by the Comfac Group of Companies. It covers the full lifecycle—from acquisition and deployment to maintenance, movement, depreciation, and disposal.

3. DEFINITION

3.1 ERPNext Asset Management Fields

The following are standard and custom fields used within the ERPNext Asset DocType:

Item Code – Unique identifier linked to inventory records.
Asset Name – Name following the CGG naming convention.
Item Name – Model, brand, or specifications of the asset.
Model Date (Custom Field) – Indicates the manufacturing or model year for lifecycle tracking.
Details (Custom Field) – Describes bundled or composite assets consisting of multiple sub-items.
Custodian – Assigned employee or department responsible for the asset.
Department – Department under which the asset is charged.
Location – Office or project site where the asset resides.
Asset Category – Classification following ERPNext’s hierarchy (e.g., Computers, Network Devices, Tools, etc.).
Asset Maintenance Team – Group or personnel responsible for maintenance tasks.
Asset Maintenance Log – Record of maintenance or repair actions performed.
Asset Repair – Record of repairs initiated for defective or damaged assets.
Asset Capitalization – Conversion of items into capitalized fixed assets.
Asset Depreciation and Balances – Tracks financial depreciation over time.
Asset Activity – Logs updates, movements, and other actions related to the asset.

Reference: ERPNext Asset Module Documentation

3.2 Asset Naming Convention

To ensure uniform identification and traceability of assets across companies and departments, the following naming convention applies:

Format:

[Company Code]-[Department Code]-ast-[YYMMDD]-[####]

Company Code – Refers to the legal entity (CSC, ESC, CF, CIT, etc.).
Department Code – Refers to the department (e.g., MIS for IT, ENG for Engineering, HR, FIN, etc.).
ast – Tag indicating that the record refers to an Asset (distinct from DocType series).
YYMMDD – The asset creation or acquisition date.
#### – Four-digit serial number starting from 0001, reset daily or monthly per IT policy.

Examples: - CSC-MIS-ast-251030-0001 → 1st IT asset recorded on Oct 30, 2025, under Cornersteel Systems Corp. - CF-FIN-ast-250801-0042 → 42nd Finance asset for Comfac IT recorded on Aug 1, 2025.

Item Naming Format

For the Item Name field, the format provides descriptive identification of the asset type:

[ItemType]-[YYMMDD]-[####]

ItemType – Descriptive name such as desktop, laptop, switch, license, printer, etc.
YYMMDD – Date of entry or acquisition.
#### – Sequential number or unique counter.

Examples: - desktop-251030-0005 - license-251030-0008 - router-251030-0002 - printer-251029-0010

Digital Asset Naming

Digital or intangible assets such as software licenses or subscriptions follow:

[Company Code]-[Department Code]-dg-[YYMMDD]-[####]

Examples: - CSC-MIS-dg-251030-0003 → Microsoft 365 License assigned to MIS. - CF-HR-dg-250901-0012 → HRIS SaaS subscription under Comfac IT.

Rationale: - Promotes uniform naming across all entities. - Enables quick identification of origin, type, and registration date. - Simplifies ERPNext search, audits, and asset lifecycle tracking.

4. REFERENCES

IT Equipment Requisition Form
IT Asset Monitoring Sheet
ERPNext Asset Management Module
ERPNext Asset Dashboard and Fixed Asset Register
Accounting Policies on Depreciation and Capitalization

5. RESPONSIBILITY

Role	Responsibilities
IT Department	Manages ERPNext Asset records, customizations, and lifecycle tracking; ensures data consistency.
End Users / Departments	Responsible for proper use and safekeeping of assigned assets. When assets are department-assigned, the Department Head of that area acts as the End User and is accountable for all assets under that department. For individually issued items, the person assigned as Custodian in ERPNext is responsible for the item’s care, reporting any loss or malfunction, and ensuring compliance with asset policies.
Requestor	Initiates IT Requests for new or replacement assets.
SPLD and Accounting	Collaborates on budgeting, procurement, depreciation, and disposal schedules.
HR Department	Notifies IT of employment changes affecting asset custody.

6. PROCESS

6.1 Acquisition and Registration

End user submits an IT Request (ITR) for new or replacement equipment.
IT validates need, checks available inventory, and identifies custodian.
A Material Request (Purchase) is created in ERPNext, specifying the department or project charge.
Upon delivery, IT records the asset in ERPNext with complete details, including Model Date and Details fields.
For purchased items, link the asset to the Purchase Invoice, Purchase Receipt, and net purchase amount for accurate valuation and accounting.
For existing or previously acquired assets, check Is Existing Asset in ERPNext to register without new procurement, maintaining proper traceability.

6.2 Movement and Custody Changes

Use Asset Movement to record transfers between employees, departments, or locations.
Ensure movements are linked to ITRs for traceability.
Assets assigned to departments require a designated custodian.
All issuances and receipts of assets must have a printed receipt signed by the employee or custodian as proof of acknowledgment. This serves as an official record to verify accountability and detect any deviations between the physical and system records.

6.3 Maintenance and Repairs

Schedule preventive maintenance under Asset Maintenance.
Assign maintenance tasks to the Asset Maintenance Team and record completion in the Asset Maintenance Log.
For defective assets, log under Asset Repair and track progress until resolution.

6.4 Depreciation and Capitalization

Coordinate with Accounting to configure Depreciation Schedules.
Periodically review Asset Depreciation and Balances.
Use Asset Capitalization for conversion of inventory items to fixed assets.

6.5 Disposal and Repurposing

Identify end-of-life assets using Model Date and depreciation data.
Securely erase data before repurposing or disposal.
Update ERPNext and monitoring sheets with final status.

6.6 Reporting and Monitoring

Use Asset Dashboard and Fixed Asset Register for real-time asset visibility.
Filter reports by Model Date to identify aging assets.
In the Asset DocType, filter by Custodian to quickly check if an employee has any assigned assets.
It is the responsibility of each employee (Custodian) to obtain and maintain a receipt or record confirming the status of their assigned assets.
Update the IT Asset Monitoring Sheet for audit traceability.

7. DOCUMENTATION

All asset-related transactions and movements must be logged in ERPNext.
Custom fields (Model Date and Details) must be included in all asset reports.
Maintain digital copies of receipts, repair logs, and disposal forms under the Asset Document Attachments section.
All revisions to ERPNext fields or workflows must be recorded in the IT Customization Log.

Version: 251030
Maintained by: Comfac IT Department
Next Review: October 2026