If you have ever read a book on selling or marketing, you will know that one of the key tenants of those disciplines is to describe the major benefits for the buyer. From the buyer’s perspective this is literally translated into ‘what’s in it for me?’. Similarly, ask any consultant
The James Bond Approach to Inventory Optimization
OK, I admit it, I am a James Bond fan. You know James Bond, British Secret Service, 007, license to kill, and all that. How much of a fan am I? Well I have all 25 movies on DVD! Recently it occurred to me that what we need to do
Inventory Statistics Aren’t Analysis
Have you ever thought about the mind numbing array of statistics that sports commentators go through during just about any sports telecast? It seems that for every position or every action there is a raft of different stats that someone, somewhere seems to think matters. I guess that the commentators have
How to Manage Rotable and Repairable Spare Parts
The management of rotable items and repairable spare parts is different to the management of other inventory items and proper control requires greater cooperation between maintenance and stores/inventory management. For access to this article, and all of our content, join using the button below. If you are already registered
How Storeroom Security Puts Reliability at Risk
Many companies are fully aware of the importance of maintaining security around their spare parts inventories. They secure their spares in lock-up areas, ensure staff are on hand to manage the high levels of spares requests during the day shift period of highest maintenance activity, and provide a rock solid
Procurement Savings: 33% by Removing One Artificial Constraint
Subject Area: Procurement Savings One of the main short comings that I see in the approach to indirect materials and spare parts management procurement is that many people don’t think past the key decision as to whether to stock or not to stock an item. After they reach the decision
Are the Benefits From Inventory Savings Real?
Last month I wrote about the cost of delaying action when improvement opportunities are identified. My point was that many people only consider the accrual of benefits AFTER they have taken action and not the opportunity cost of not taking or delaying action (e.g. if I can be $100 better
Stock Turn Measurement – Four Common Problems
This 2-Minute Tutorial explains the calculation of stock turns and presents 4 common problems with both calculation and interpreting the stock turn ratio. For information on our Pro Level membership please visit our Pro Level page. Posted by: Phillip Slater
Why You MUST Also Review Critical Spare Parts
Maintenance and reliability engineers will happily (well, not happily) undertake a review of spare parts that are not classified as critical, yet they will shy away from reviewing items that are classified as critical spare parts. Why? Why should you choose to avoid reviewing spare parts that are classified as
Spare Parts Inventory is Like a Loan From the Bank
What would you do if you had the chance to save $2M per year with no capital expense and a payback period measured in weeks? Nothing? Have you ever noticed how much time we all spend considering the costs of taking action and how little time we spend considering the