Reducing Costs through Spares Optimisation and Rationalisation

Introduction

Many companies do a bad job of managing their inventory effectively, there are many reasons for this. But it usually starts with bad submission of SPIRs, cataloguing and selecting initial spares.

This practical GLOMACS Reducing Costs through Spares Optimisation and Rationalisation training seminar covers aspects related to reducing inventory and costs of spare parts and is supported by case studies, software and practical exercises to aid understanding. There are very few courses conducted that deal with the practical issues of spares cataloguing and optimising spares.

After this GLOMACS training course, delegates will leave the training with tools and techniques that they can immediately apply in their own companies and start to reduce costs.

Excel Analysis worksheets containing all formulae will be provided to conduct your analysis.

Two analysis techniques will be covered, first using probability and the second using simulation (modelling) techniques for high value spares with logistic issues.

Objectives

• To highlight current problems with spares management
• To improve cataloguing of spares
• To show how determine when to order scientifically - the reorder point
• To show how many to order
• To discuss principles of rationalising spares

Training Methodology

Use of PowerPoint slides, case studies, exercises using provided Excel Worksheets & discussions.

Organisational Impact

• Reduce inventory carrying costs
• Reduce stock turn ratios
• Reduction in duplicate stock
• Decision support techniques for high value, long lead time spares
• Reduction in lead times

Personal Impact

• Understand the stock management process
• Raise awareness of how to select inventory levels
• How to cataloque consistently
• How to reduce stock outs and lead times