IT Asset Management (ITAM): Managing the full asset lifecycle

What is IT asset management?

Definition: IT asset management (ITAM) is the structured process of managing all technology assets across their lifecycle to ensure they deliver maximum value with minimal risk.

ITAM supports organisations by providing a clear and accurate view of which assets exist, how they are used, what they cost and when they need to be maintained, replaced or retired.

By combining financial, contractual and inventory data, ITAM helps organisations make informed decisions, optimise resources and reduce unnecessary spend.

What is an IT asset?

An IT asset is any hardware, software or cloud-based resource that contributes to an organisation’s operations. This includes devices such as laptops, servers and mobile equipment, as well as software licences, SaaS subscriptions and data-driven services.

Why is it important?

If you don’t know what IT assets you have, where they are, how well they’re being used or when they will reach end-of-life, you’re operating without visibility.

This can lead to overspending, non-compliance with software licences, increased security risks and unclear accountability across the organisation.

In short, ITAM provides the clarity needed to stay compliant, secure and cost-efficient.

What are the benefits of ITAM?

• Centralised asset visibility
  One source of truth for all hardware, software and cloud assets, eliminating fragmented spreadsheets and inconsistent records.

• Optimised asset use
  Identifies unused or duplicate assets, supports redeployment and reduces unnecessary purchases.

• Improved licence compliance
  Tracks licences and usage, reducing the risk of costly vendor audits and ensuring contractual alignment.

• Lower total cost of ownership
  Clear insights into asset age, condition and investment requirements help prevent unnecessary purchases and extend useful life.

• Enhanced security and risk control
  Clear oversight of what is installed, where it runs and how it is maintained helps prevent vulnerabilities, outdated systems and unmanaged shadow IT.

• Better strategic decision-making
  Accurate financial, contractual and inventory data supports budgeting, forecasting and long-term technology planning. This transparency also helps organisations meet growing sustainability reporting needs, such as those outlined in our CSRD Impact Report.

How does the IT asset lifecycle work?

IT asset management follows a structured lifecycle that ensures assets are planned, acquired, used, maintained and eventually retired in a controlled and cost-effective way. Understanding this lifecycle helps organisations make consistent, data-driven decisions across all types of IT assets.

Stages of the IT asset lifecycle

• Planning: Identify business needs, assess alternatives and estimate total cost of ownership.
• Procurement: Purchase, license, lease, or build the required hardware, software or cloud services.
• Deployment: Install, configure and assign assets, ensuring they are logged and tracked correctly.
• Maintenance: Monitor performance, apply updates and carry out repairs or upgrades as needed.
• Retirement: Remove assets from active use when they become obsolete, inefficient or unsupported. Depending on their condition, assets may be redeployed, refurbished, remarketed to recover value, or prepared for secure disposal.
• Disposal: Securely wipe data and dispose of hardware, or remarket it where appropriate, in line with environmental and compliance requirements.

What are some ITAM best practices?

• Secure executive support
  Ensure leadership backs your ITAM policy, scope and goals so the programme has authority and continuity.

• Define a clear scope, roles and processes
  Decide which assets you track, what data is required and who is responsible for maintaining accuracy.

• Automate discovery and inventory
  Use ITAM tools to detect hardware, software and cloud assets, reducing manual errors and improving completeness.

• Integrate with key functions
  Align ITAM with procurement, IT service management, finance, HR onboarding/offboarding and security activities.

• Maintain one accurate asset register
  Ensure the asset register is always complete and up to date, including lifecycle status, ownership and contract details.

• Review and optimise continually
  Regularly assess asset usage, costs, performance and risk to support redeployment, replacement or retirement.

• Dispose of assets securely and responsibly
  Apply consistent end-of-life policies covering erasure, destruction and environmentally certified IT hardware recycling, supported with the required documentation.

• Educate stakeholders
  Make sure teams understand why ITAM matters and how their actions impact the accuracy of the asset record.

How can you bring ITAM into your operation?

Implementing ITAM in your company starts with defining clear goals and ensuring everyone understands why asset management matters. From there, the process can remain simple and structured.

• Set clear objectives
  Decide whether your priority is cost reduction, compliance, asset visibility or lifecycle control and build your approach around it.

• Establish a reliable baseline
  Create an accurate inventory of hardware, software and cloud services to identify gaps, duplicates, and shadow IT.

• Choose suitable tools
  Use ITAM software that integrates with procurement, service management, security and HR processes.

• Define policies and responsibilities
  Create consistent rules for acquisition, updates, maintenance and disposal and assign clear ownership.

• Embed lifecycle management
  Track each asset from purchase to retirement with reports that support budgeting, planning and compliance.

• Review and improve continuously
  Assess asset use, update records and adjust policies so ITAM grows with the organisation.

Conclusion

ITAM is more than keeping track of devices. When applied consistently, it provides visibility, reduces risk and supports smarter decisions across the entire IT environment.

By treating every asset as part of a managed lifecycle, organisations can stay compliant, reduce waste and make better use of their technology investments.