The Value of MRO Inventory

July 20, 2017

Duties ranging from keeping track of spare parts to performing preventive repairs all fall under the purview of maintenance, repair and operations specialists. The MRO head or team in any company can expect to be almost constantly busy, and that leaves little time for activities that actually optimize their work and the way they perform these tasks. Adopting a preventive and predictive mindset to MRO inventory management can lead to a host of improvements throughout the organization, if only department leaders knew where to begin addressing inefficiencies.

 

Where MRO often falls short

The lynchpin of any MRO team is its inventory. The procurement and management of spare parts, tools and specialized labor is the critical force driving success or failure in MRO strategy. As explained in an article from Industry Week, a laser-focused, micro-management MRO style is often fatal in asset-intensive industries like manufacturing.

 

Rather than zeroing in on individual performance metrics, MRO managers need to view their inventory strategy in context of the entire system. That means going beyond tracking KPIs, but actually organizing data and associated materials to make comparison easier. Consider not only the tools or materials that are in constant demand but also those that routinely run a surplus, and adjust accordingly.

 

This job itself can apply to many different aspects of MRO inventory management, requiring a great deal of time and effort to assess where problems lie and how to correct them. The payoff for completing this assessment, however, is invaluable to the business as a whole.

 

Benefits of better MRO

Getting control of the MRO inventory and operating systems positions site personnel to gain needed visibility to material when planning and scheduling maintenance work orders. Financial benefits of optimizing MRO workflows and systems are seen in reduced maintenance costs and less waste from spoilage or poor organization. Effective planning and scheduling of inventory processes is known to increase task accomplishment rate from 25 percent to as much as 70 percent.

 

Beyond budget line items, better MRO inventory processes simply make businesses work better. It’s difficult to put a price on increased reliability, employee satisfaction and strong customer relationships, but their value is unquestionable in any case.

 

To learn more about how to optimize MRO processes and what it can help your organization accomplish, register for Predictive Service’s webinar on MRO inventory management. Until then, contact the experts at Predictive Service for even more insights on how to manage a top-tier MRO program.