Asset Management Policy

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This tool contains two sample policies that focus on maintaining an asset management system to monitor and manage investments made in fixed assets and inventory.

In these samples, a company’s overall management objective is to obtain a maximum profit return on the assets utilized in the business. Not only does this require profitable operating results, but the profitability must bear an appropriate relationship to the size of the operating investment and assets utilized. Each company operating unit must implement and maintain asset management systems aimed at keeping the operating investment at the lowest, economically beneficial level consistent with the long-range profit objectives.

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