Is the forecasting of spare parts requirements hard, especially intermittent parts? Is your demand for parts based on random failure? These issues lead to forecasts that don’t achieve their goal. Having the past you need, when you need them. In this short video Phillip Slater explains what works – and what doesn’t! Forecasting […]
Working Capital Decision-Making
Does your company spend money (working capital) on spare parts inventory that you don’t actually need? Do you end up holding them for a long time before deciding to remove those parts and incur the cost of the obsolescence? Perhaps a better idea would be to not buy those parts in the first place. This […]
Spare Parts Management: Who Owns the Problem?
This post, Who Owns the Problem, is from our first ever newsletter. Published in February 2007. It is re-posted in celebration of our 250th edition. Inventory Reduction Identified Recently I worked with an organization to help identify opportunities relating to their indirect inventory. Specific details about the company aren’t important but I can tell you […]
Multi-Echelon Inventory Management Definition
A multi-echelon inventory management system occurs when multiple storerooms are part of a spare parts inventory management and supply system. For example, where a company on a large site has a central storeroom and then one or more satellite storerooms that are located closer to the operational activity. Another example: When a company has a […]
Satellite Stores Definition
A Satellite Storeroom is a small storage area that is separate from the main or central storeroom. What differentiates satellite stores from squirrel stores is that a satellite storeroom is an official storage location where the items located there are subject to the record keeping and management controls set out by the main storeroom. This […]
Squirrel Stores Definition
Squirrel stores are the unofficial hoarding of items outside of the official storeroom management system. Squirrel stores are usually established out of good intent but they are to be avoided because their existence has a detrimental effect on inventory levels, reliability, and obsolescence. The existence of these stores is usually a sign that there is […]
Management of Spare Parts Inventory Video – Working Together
This management of spare parts inventory video explains why the effective and efficient management of spare parts relies on the input from people from a whole range of different functions from within the organization. Working together is essential for spare parts management success. Phillip explains in this short video. Working Together for Spare Parts Management […]
Spare Parts End of Life Planning
When you do Spare Parts End of Life planning you have to make a really important choice. If you consciously make that choice at the beginning of your end of life planning process, you’ll have a much better result. In this short video Phillip Slater explains. Spare Parts End of Life Planning Video Transcript Hi, […]
Inventory Cash Release Process
The Inventory Cash Release Process simplifies the review of individual spare parts items and helps you make better decisions on stock holdings and quantities. How simple is this process? In this short video Phillip Slater explains. The Inventory Cash Release Process Video Transcript Hi, my name’s Phillip Slater and for the next couple of minutes […]
Spare Parts Standardization: The Pros and Cons
One of the enduring debates around spare parts management is to do with spare parts standardization. That is, if we standardize our plant and equipment, we would then be able to hold a standardized set of spare parts? In this short video Phillip Slater explains the pros and cons of spare parts standardization. Spare Parts […]