What is asset management and what is its importance for the companies? Incorrect asset management leads to the situation where the assets are costly, underutilized, outdated and hard to monitor. The definition of asset management is that it stresses the strategic management of the assets throughout their lifetime. A good asset management process will ensure that firms will be able to keep track of the performance of the assets, schedule maintenance, evaluate costs and replacement of the assets. Knowing what is asset management will help the management to align resources with the organizational goals. This may be related to any kind of assets such as equipment, technology, property and financial assets.