Inventory/Stores Management
Design and improve your inventory and stores
Inventory/Stores Management Overview
Establishing and stocking a spare parts store is an expensive and time-consuming activity for many companies, the money tied up in stock can be 40%-50% of the maintenance budget.
Managing spare parts can seem to be a daunting task, which can be eased by using a computer software package (most CMMSs have an inventory management module); this can be used to record all spare parts, their locations, purchase and usage. This way, technicians know exactly what parts they'll need for a repair or preventive maintenance task, where those parts are and how to use them.
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Optimising Spare Parts and Inventory Management
Inventory/Stores Management Approach
Maintaining optimal inventory requires tracking usage data and inventory costs, order history and issues against work orders.
Effective stores and inventory management depends on a small number of key steps:
Defining common standard to describe each item
Deciding the stock policies (stock/no stock)
Setting stock levels and reorder quantities
Managing the issue and return of parts
Historically, few companies had these steps in place; hence there is generally an overstocking situation with duplicate, obsolete and redundant items. MCP can provide a complete stores and inventory improvement programme which covers:
Data cleansing and parts standardisation
Data mining, standardisation, validation and enrichment
Parts and materials classification
Spare parts evaluation/inventory listings
Stock replenishment policies - min/max stocking levels
Building Bills of Materials (BOM) for assets
Warehouse design and management processes development
Spare parts analysis
De-duplication cleansing of stock lists
Disposal of excess stock inventory
Inventory/Stores Management Benefits
We support our clients to employ appropriate stores management techniques to optimise availability versus costs.
The benefits include:
Improved demand forecasting to allow for optimised inventories
Optimised target inventories (holding cost vs. ordering cost vs. service)
Tactical stock location(s) and picking strategies
Optimised stores design, layout, materials handling practices and workflows
Stores management system requirements/specifications
Safety stock requirements to meet specified service targets
Stores automation and materials handling systems
Dynamic inventory targets reflecting varying demand patterns
‘Cost to serve’ modelling to support the optimised solution
