Dec
18
2009
Companies Who Didnt Manage Their Assets
Author: adminThere are many companies that have suffered closures this year, some bigger than others but what are the reasons behind this?
Woolworths PLC
Well as a former member of the group I must say that I know exactly why the company closed and part of it was indeed down to the poor fixed asset accounting that the company had been doing. They had over 800 stores and quite simply they had a team of idiots behind the company. The directors knew fully well that they were a failing business and they had over a year to sort this out and they seemed to do nothing. This obviously failed and I must say a lot of this was to do with the thick headed directors not being able to manage their assetsThis obviously failed and I must say a lot of this was to do with the thick headed directors not being able to manage their assets.
XL
A lot of this was of course down to the fuel prices that had been steadily on the rise in the late part of 2008 and the other was that XL were not filling their planes. Planes were of course the major asset of the company and because of this they were clearly not managing their assets in the best way. One of the other reasons that this company fell is because the recession had started to make people stop and think about going away.
MFI
Once again this could be put down to a number of different things. One of the major reasons is because they didn’t really put enough time into caring for their customers. Most of the offers that these companies had were often lies and most of the things they said were included were not at all. As well as this they didn’t seem to recognise IKEA as a real competitor and of course they didn’t do well on the asset management front.
So the advice here? Get some asset tracking in there and make sure your inventory management software is perfect!
