Asset management and inventory control

What is the difference between an asset and stock?

An asset is a durable item you use over time, such as a laptop, motorbike, generator or printer. You track each one by name and number. Stock is a quantity of items you hold to use or give out, such as stationery, hygiene kits or tarpaulins. You track stock by quantity, not item by item.

The British Red Cross logistics manual separates the two, and says assets need more tracking than regular items. The CARE emergency toolkit makes a similar split between expendable supplies and non-expendable equipment. Your donor or finance policy may set a minimum value for an asset, so check your agreements first.

What goes in an asset register?

The asset register is the main control. The British Red Cross manual lists these fields, which also suit a small NGO:

• Asset number and category
• Description, brand, model and serial number
• Project or donor code used to buy it
• Purchase date, purchase order reference and value
• Person responsible
• Current location
• Status: working, damaged, in repair, lost or stolen
• Maintenance plan, where relevant

Add each item on the day it arrives, and match it to the goods received note and the purchase order. Tag the item with its number, using a label that is hard to remove, or paint or engrave it on large items such as generators.

How do you keep the register accurate? A five-step routine

1. Register on receipt. Check delivery against the order, record serial numbers, tag the item and add it to the register.
2. Assign one owner. The person who uses the asset signs for it. If the asset is in storage, the storekeeper or logistics focal person is responsible.
3. Record every move. Use a simple transfer form when an asset changes hands, location or project, and update the register the same day.
4. Check regularly. The British Red Cross manual suggests checking 5% of the register, or at least ten assets, whichever is higher, each month. Finance and logistics staff do this together, and investigate any difference. CARE suggests a monthly physical count of non-expendable property, plus a formal check at least twice a year by an independent team, preferably from administration and finance.
5. Report. Share the register with the project team on a set schedule, with finance when they need values, and with donors when they ask.

Small teams can scale this down. A three-person office can check all its assets once a month in half an hour.

How do you control stock and supplies?

For items you issue, such as stationery or relief goods, CARE recommends:

• A central stock ledger that records every in and out.
• Issue only against a signed requisition form.
• A bin card for higher-value items, updated with each transaction.
• A monthly physical count, compared to the ledger.
• Any difference reported at once to the supervisor.

The person who keeps the store should not be the person who approves what leaves it. This protects staff as well as the organisation. For distributions, see our guide on logistics planning.

What about maintenance, donations and disposal?

• Maintenance. Keep a service record for vehicles, generators and IT equipment. Planned servicing costs less than emergency repair, and a donor may ask to see it.
• Donated assets. Record items you receive from partners or donors in the register with the donor's name, and note any conditions on use.
• Disposal. Follow donor rules. Get written approval before you sell, give away or scrap anything bought with grant money. Record the date, method and who approved it. Keep the line in the register after disposal.

What are the common mistakes?

• No tag numbers, so staff cannot match items to the register.
• Equipment that moves between townships with no transfer form.
• A register nobody has checked since it was created.
• Items bought on one grant and used on another, with no record.
• Staff leaving without returning equipment and without a handover check. Add an equipment check to your exit process.

In places with power cuts, insecurity or limited office access, keep a backup copy of the register off site or in cloud storage, and protect it with a password. Regular checks may need to be done by photo or video call when staff cannot travel. Ask staff to send a dated photo of each item with its tag visible.

Good records also make audit preparation easier. For related purchasing rules, read writing a procurement policy.

How EMPO can help

EMPO is a trusted training and consultancy provider and one of Myanmar's leading names in practical NGO training: 1,200+ people trained, 15 partner organisations, and teams working in English and Burmese. We provide organisational development support, including the policies and systems behind asset and inventory control, and supply chain management training, online or in person across Myanmar. See our services or contact us to talk about your needs.

Sources

• Chapter 4: Asset Management, Logistics Manual — British Red Cross, 2021
• Equipment and property management, CARE Emergency Toolkit — CARE