Most of my career has been spent working with multi-national companies (MNCs). Sometimes these companies have operations in just a couple of countries. Sometimes they have hundreds of locations around the world.
One thing they usually have in common is a disjointed approach to spare parts inventory management.
They lack visibility across their locations and their management systems are developed locally.
This results in the purchase of stock items when within their own network they have excess stock that they could easily transfer.
Now imagine these companies seeking to reduce their inventory through selling excess stock. To say the least the result is likely to be sub-optimal.
NRI Industrial, a member of the Spare Parts Alliance, has written an article examining the challenges that MNCs face in this situation.
Reading this article is highly recommended if you are at all interested in the asset recovery and free-ing up the cash that is frankly just laying about in your warehouse or yard.
