Do you hold the right levels of spare parts? Have you done the right analysis? These are two questions that keep maintenance and reliability engineers awake at night. Determining which approach to use for calculating reorder points and reorder quantities is the easy part of this dilemma. The hard part
More Truth About Inventory Management Theory
In a previous post we demonstrated that the classic ‘saw tooth’ diagram associated with inventory management and control is sometimes not at all representative of reality for engineering materials and spare parts. In this post, I am going to expand on this to show just how much it can cost
The Truth About Inventory Management Theory
Subject Area: Spare Parts Inventory Management Theory
The Spare Parts Storeroom – More Than Just Transactions
For access to this post, and all of our content, join using the button below. If you are already registered then you need to log-in. Many people view the spare parts storeroom as being a purely transactional environment. That the function of the storeroom is to administer
The Stock Out Metric
The stock out metric is one of the most popular ways to monitor spare parts inventory. A ‘stock out’ occurs when there is demand for an inventory item but there is no stock available. The Stock Out metric is a curious measure and as with all metrics one needs to
Managing Slow Moving Inventory
Is Slow Moving Inventory Really An Easy Target for Inventory Reduction? Inventory that is slow moving is often seen as an easy target for people undertaking an inventory review. Rather than undertake a structured review process (such as the Inventory Cash Release Process) many people will target slow moving
Inventory Management Formula – Knowing is the Easy Part!
For access to this post, and all of our content, join using the button below. If you are already registered then you need to log-in. In Fact, Just Knowing Inventory Management Formulas is Not Enough Does it really matter if you do or do not understand
Spare Parts Inventory Management – It’s All About Process!
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Inventory Myth #5: Putting Items Into Spare Parts Inventory Saves Money
For access to this post, and all of our content, join using the button below. If you are already registered then you need to log-in. Adding an item to spare parts inventory is sometimes seen as way of spreading the cost of the item so that the
Inventory Myth #4: Inventory Software Will Solve the Problem
For access to this post, and all of our content, join using the button below. If you are already registered then you need to log-in. Almost everybody realizes that inventory software alone does not provide a solution to problems. Yet many companies, when faced with an inventory