Exposed as title:

spare parts management in

maintenance operations
:Prepared by In the supevising of
 REDOUANI Abdelkarim  HARROUZ ayman
 Botbila abd elfatah
Year: 2023/2024
 SHOW PLAN
 INTRODUCTION GENERAL

 DEFINITION

 SPARE PARTS STRATEGY

ELABORATION

 SPARE PARTS MANAGEMENT BEST

PRACTICES

 SPARE PARTS MANAGEMENT

 INTRODUCTION
GENERAL
Managing maintenance parts and supplies can be hard. This become a harder
still if we have many types of equipment to maintain.
Each type of equipment will have its own unique set of parts and supplies for
corrective and preventive maintenance.
But that’s just part of the story…
Equipment spares can cost a lot and add a lot to the maintenance budget.
In addition keeping enough stock on hand of many types parts & supplies
will also add to the maintenance budget.
How Can one Improve Maintenance Spare Parts Management
 DEFINITION
Spare Parts Management purpose is to provide “the right parts, in the right
quantity, to the right place, at the right time, with the right level of quality,
and at the least total cost to the organization”.
Effective management of maintenance spare parts is a critical contributor to
equipment operating performance and to the cost of the maintenance
investment.
The scope of Spare Parts Management therefore includes all functions from
the supplier through to the point of use. – identification and coding, criticality
classification, procurement, quality inspection, stocking policies, links to
work planning (kitting, staging), supplier management and internal
performance.
Have strategic service providers, delivering consistent performance and
Service Level agreements, at the best priceSpare Parts Management
mission is to provide “the right parts, in the right quantity, to the right
place, at the right time, with the right level of quality, and at the least
total cost to the organization”.
Effective management of maintenance spare parts is a critical contributor to
equipment operating performance and to the cost of the maintenance
investment.
The scope of Spare Parts Management therefore includes all functions from
the supplier through to the point of use. – identification and coding,
criticality classification, procurement, quality inspection, stocking policies,
links to work planning (kitting, staging), supplier management and internal
performance.
 SPARE PARTS STRATEGY
ELABORATION
There are a few things to consider in creating effective spare parts inventory
management. The seven things to consider have been carefully analyzed to help in
enhancing performance, the effectiveness of plant operations, and also reduce cost.
Below are the seven things to consider:

Operation strategy Standardizing the work order process

Adopting better security measures Effective parts inventory control

Stocking parts for new equipment In-depth understanding of lead times

for different parts
Calculating risk for every
equipment
 SPARE PARTS MANAGEMENT
BEST PRACTICES
An accurate Spare Parts Management system allows the area responsible to be

proactive and responsive to the plant. Also, they can save from 5 to 15% on

spare parts inventory costs. Here are spare parts management best practices,

for managing parts inventory more effectively:

Identify all spare parts Use an Inventory control system

Classify all spare parts Define a stock location for every part

Implement cycle counting for inventory

Utilize and Manage the Bill of Materials control

Use the work order Standardize Spare Parts

Limited access to the parts warehouse Develop Spare Parts Management Processes
 Use an Inventory control
Classify all spare parts
system

By utilizing your ERP’s warehouse

Classify the spare parts as per functionality or a warehouse
management system (WMS) to manage
criticality. This classification will
your parts inventory will ensure
support the process to define an accuracy and ease of managing your
parts warehouse. This should be linked
effective safety stock:have the right to the EAMS/CMMS.
Using barcodes and scanning
parts, at the right time, with the
functionality in conjunction with the
lowest possible cost at the system will improve the efficiency of
the management processes in the parts
minimum inventory value warehouse and inventory accuracy.
 Classify all spare parts
Classify the spare parts as per
criticality. This classification will
support the process to define an
effective safety stock:have the right
parts, at the right time, with the
lowest possible cost at the
minimum inventory value
Define a stock location for every part
Make sure that all parts required for
maintaining the asset are properly
identified. If, for example, a part is
required for a major overhaul, there
may be several items that are
purchased for a one-time use. Once the
machinery overhaul is completed, there
may be unused parts which have future
use and should be inventoried. Other
equipment in the plant may be able to
use the same parts. So, rather than
maintenance storing these parts without
any correlation with the asset, the items
should be added to the inventory
control system and placed into parts
inventory on the EAMS/CMMS
 Utilize and Manage the Bill of
Materials
having accurate BOMs will support the
scheduled preventive maintenance
(PM) that is needed on a given piece of
equipment. This process will allow the
generation of a work order with the
scheduled date of the PM.
BOMs will make ordering parts and
placing work orders simpler.
Additionally, make sure that your
BOMs are kept up to date, considering
the asset status and modifications
Implement cycle counting for
inventory control
Make sure that all parts required for
maintaining the asset are properly
identified. If, for example, a part is
required for a major overhaul, there
may be several items that are
purchased for a one-time use. Once the
machinery overhaul is completed, there
may be unused parts which have future
use and should be inventoried. Other
equipment in the plant may be able to
use the same parts. So, rather than
maintenance storing these parts without
any correlation with the asset, the items
should be added to the inventory
control system and placed into parts
inventory on the EAMS/CMMS
 Use the work order
All spare parts that have been used
have to be linked to a work order. For
PM, work orders requested in advance
can be pulled and staged for pickup or
delivered to the requesting department.
This will reduce the maintenance
industry-wide standardization. This can
department’s wait time at the parts
warehouse for their work order to be
fulfilled. Work orders need to be
created for all parts issuance so that
inventory remains accurate.
Standardize Spare Parts
Standardizing for spare parts
management, usually means agreeing
that a certain type/model of equipment
will be used and with that the spare
parts required for each installation will
be the same. This is different to
contribute to improve the MTTR, the
negotiations with the Spare Parts
Suppliers and the stocks.
 Limited access to the parts Develop Spare Parts Management
warehouse Processes

Limiting access to the parts

warehouse inventory is mandatory
to maintain inventory accuracy.
Make sure that your Spare
Adopt a policy that parts inventories
Parts Management Processes
are “off limits” and only parts are developed as per best
practices to ensure
department employees have access,
sustainability and a base for
utilizing badge access to entry and training.
exit points. Allowing everyone to
have access can quickly make parts
inventories inaccurate.
 SPARE PARTS MANAGEMENT
ADVANTAGES
Spare parts management is crucial for several reasons:
1. Minimizing Downtime
Equipment breakdowns or
failures can disrupt operations
and result in costly downtime.
By having an efficient spare
parts management system in
place, organizations can ensure
the availability of critical spare
parts to quickly repair or
replace faulty components,
minimizing downtime and
maintaining productivity.
2. Cost Control
Maintaining an optimal inventory of spare
parts helps in controlling costs. On one
hand, excessive stock of spare parts ties
up capital and incurs carrying costs, such
as storage and insurance. On the other
hand, insufficient inventory can lead to
delays in repairs, expedited orders, and
higher costs associated with emergency
procurement. Effective spare parts
management strikes a balance between
these two extremes, optimizing inventory
levels and reducing costs.
 3. Improved Equipment Performance
Timely availability of spare parts ensures
that equipment and machinery can be
promptly repaired or maintained. This
contributes to their overall performance,
reliability, and longevity. Well-
maintained assets operate at their peak
efficiency, minimizing disruptions and
maximizing operational effectiveness.
5. Planning and Forecasting
Effective spare parts management
involves forecasting demand, analyzing
historical data, and identifying trends to
predict future requirements. This helps
organizations plan their procurement
and inventory strategies accordingly,
ensuring they have the right parts
available when needed.
4. Customer Satisfaction
Spare parts management is vital in meeting
customer expectations and delivering
excellent service. If a company offers after-
sales support or maintenance services,
having the necessary spare parts readily
available enables faster response times and
quicker resolution of customer issues. This
leads to higher customer satisfaction and
loyalty.
6. Regulatory Compliance
In some industries, regulatory requirements
necessitate the availability of spare parts for
specific equipment or machinery.
Organizations must comply with these
regulations to ensure safety, maintain
operational licenses, and meet legal
obligations. Proper spare parts management
ensures compliance with such requirements.
 SPARE PARTS MANAGEMENT
DESADVANTAGES
The typical problems they experience include:

1. Disorganized stock 2. Poor visibility into all stocking locations

Spare parts stock found within
field stocking locations and
individual field service
technicians’ vehicles are not well
organized or accessible. As a
result, technicians may think they
do not have a part on hand and
place an order for a new one
when in fact the part is in their
vehicle and just difficult to find.
Service Management does not have
visibility into the volume or value of
inventory within their technicians’
trucks or vans. As a result, they make
bad decisions about what inventory
to purchase, when to purchase it, and
where to inventory it.
 3. Stock imbalances
Some technicians may be carrying
too much stock and/or the wrong
stock, while others may be carrying
too little. Typically, these stock
imbalances can negatively impact a
company’s balance sheet and lead
to additional costs. For example,
unnecessary parts purchases,
additional carrying costs, and
higher shipping/freight costs.
4. Increased Productivity Challenges
Poor parts management leads to
productivity issues and additional
costs. If the technician doesn’t have
a part on-hand, then they must leave
the customer site to pick-up or
purchase a new part. It takes longer
to complete the service visit leading
to fewer service visits per day as well
as a repeat/return visit to install the
proper part.
 CONCLUSION

Spare parts management will be very successful if the system is

computerised and integrated with other systems. Computerisation will
bring in all round improvement by streamlinining the process as well as
reducing the total cost of stock holding, ordering and stock-out costs.