Leaders employ various strategies to manage physical assets:
1. Asset Inventory and Valuation: Keeping an up-to-date record of all physical assets and their current market value is essential. This helps in making informed decisions regarding maintenance, upgrades, or disposals. 2. Maintenance and Upkeep: Regular maintenance ensures that assets remain operational and productive. Leaders must schedule routine checks and repairs to avoid unexpected breakdowns. 3. Risk Management: Physical assets are subject to risks such as theft, damage, and depreciation. Leaders must implement security measures, insurance policies, and contingency plans to mitigate these risks. 4. Cost-Benefit Analysis: Before acquiring new assets, leaders should conduct a thorough cost-benefit analysis to determine the potential return on investment (ROI). This involves considering the initial cost, maintenance expenses, and the asset's expected lifespan.