Spare Parts Inventory Management. Phillip Slater

      

      SPARE PARTS

       INVENTORY

       MANAGEMENT

      A Complete Guide to Sparesology^®

      Phillip Slater

      Industrial Press, Inc.

       Industrial Press, Inc.

      32 Haviland Street, Suite 3

       South Norwalk, Connecticut 06854

       Tel: [phone], Toll-Free: 888-528-7852; Fax: [phone]

       E-mail: [email protected]

      Author: Phillip Slater

      Title: Spare Parts Inventory Management, A Complete Guide to Sparesology^®, First Edition

      Library of Congress Control Number: 2016954132

      ISBN print: 978-0-8311-3608-6

      ISBN ePDF: 978-0-8311-9423-9

      ISBN ePUB: 978-0-8311-9424-6

      ISBN eMOBI: 978-0-8311-9425-3

      Copyright © 2017 by Ipiaight Pty Ltd.

      This book, or any parts thereof, with the exception of those figures in the public domain,

       may not be reproduced, stored in a retrieval system, or transmitted in any form

       without the permissionof the copyright holders.

      Sponsoring Editor: Judy Bass

      Copy Editor: Judy Duguid

      Interior Text and Cover Designer: Janet Romano-Murray

      Although the author and publisher have made every effort to ensure the information

       in this textbook was correct at press time, the author and publisher do not assume and

       hereby disclaim any liability to any party for any loss, damage, or disruption caused

       by errors or omissions, whether such errors or omissions result from negligence,

       accident, or any other cause.

      Trademark note:

      ICR, Sparesology, and Inventory Cash Release are

       registered trademarks of Ipiaight Pty Ltd.

      industrialpress.com ebooks. industrialpress.com

      Dedication

      In 1676, Sir Isaac Newton wrote in a letter, “If I have seen further, it is by standing on the shoulders of giants.” In a similar vein, my ability to write this book is entirely due to the experiences and opportunities that have come to me since commencing university 36 years ago. From university lecturers, to work colleagues, bosses, projects, and clients, I have learned from each one, and the experience and insight relating to spare parts inventory management is distilled into this book. I am grateful to everyone that I have worked with, and learned from, during my career.

      The one constant during most of that time has been my wife, Mercedes. Without her boundless optimism, constant support, and apparently endless patience, I am sure that none of this would be possible. This book is dedicated to you.

      Also by Phillip Slater

       A New Strategy for Continuous Improvement

       Smart Inventory Solutions

      Smart Inventory Solutions, 2nd edition

       The Optimization Trap

      Table of Contents

Preface

Introduction

About the Author

Part 1: The Spare Parts Management System

1.1 Your Management Systems Either Are Designed or Evolve Randomly

1.2 What Are MRO and Spare Parts?

1.3 Why Spare Parts Are Different (from Other Inventory Types)

1.4 Five Common Supply Chain Techniques That You Should Not Use for Spare Parts Management

1.5 The Number One Problem with Spare Parts Inventory Management

1.6 The Big Picture—Putting Spare Parts Management in Context

1.7 Maintenance Alone Won’t Solve Your Spare Parts Problems

1.8 Spare Parts Management Requires Collaboration, Not Just Cooperation

1.9 Financial Considerations

1.10 Follow the Money—Accounting for Spare Parts

1.11 The Key Elements of a Spare Parts Management System

1.12 A Quick Word on Multiechelon Systems

       1.13 Inventory Prevention

       1.14 Spare Parts Inventory Management Policies

       1.15 Categories

       1.16 Procedures

       1.17 Developing a Spare Parts Identification System

       1.18 Best Practice Spare Parts Management Research

       1.19 The Best Practices That Make a Real Difference

       10 Key Lessons: The Spare Parts Management System

       Part 2: Create and Stock

       2.1 Introduction

       2.2 Deciding What to Stock

       2.3 The Pros and Cons of Spare Parts Standardization

       2.4 Capital