Pdf classification methodology for spare parts management. The materials management and purchasing functions are often vied against. All items with stated material number can be purchased as spare parts. Practical spare part management is the foundation for reliable plant operation and is crucial to a plant managers success. Spare parts management maintenance manual, maintmaster. Materials management has an important role in production management or supply chain management. Parts management agreement simplify your spare parts supply with our vendormanaged inventory service automating your processes helps maximize production and increase profitability. The maintenance department can be regarded as the main customer of the stores department that reports with purchasing to the commercial manager. In addition, the thesis finds the best management model for spare parts sourcing. If your question is to mention the entire material as spare item, then you need to create the. Introduction to spare parts inventory management in medium and large manufacturing companies, effectiveness of production orders is dictated largely efficient technical maintenance of machinery and devices. In addition, the time and location availability of that inventory is the primary driver of customer service.
Spare parts management is about, how spare parts handling must be systematized and structured to enable efficient inventory management that leads to improved availability and reduces the amount of capital expenditure. This is because the purpose of keeping a stock of these items are different to serve as a replacement to the wornout parts in the machinery. Spare parts management spm is an important branch of management which could. Publishers pdf, also known as version of record includes final page, issue. Parts can be serialized at the time of material receipts, issue or during stock transfers. It can also reveal inef icient processes leading to inaccessible and poorly identiied spare parts inventory.
A team to drive continuous improvement in materials management. How to differentiate between spares and consumables. The focus of our parts and logistics organization is to provide on time, accurate and convenient service. Maintenance often results in some form of material consumption.
S spare parts management is the process of planning and aligning service parts inventories, resources and processes to ensure optimal customer service and response with minimal risk and cost. Theory of spare parts inventory management for production equipment 41 faults of parts are usually dependent on each other, what means that failure of one element may be the result of dysfunction of the second one. The important role of an equipment bill of material the 2nd in a series on integrated inventory management as appeared in the january february 08 issue of reliable plant 1. Spare parts are essential in ensuring proper operation of this system of maintenance by replacing parts, and so they also a ect daily services provided by equipment such as public transportation rolling stock, aircraft health care mri scanners, and military operations military equipment and weapon systems. Standard descriptions of equipment, parts and supply items. Take care of your customer satisfaction and put an end to machine obsolescence by keeping your parts digitalized in. Lces asset management services team undertook the optimization effort to. Sourcing organization and management model in spare parts. Production, logistics and operations management at the university of twente.
Spare parts, maintenance and operating supplies comprises of all variety of parts and materials essential to uphold the production assets in acceptable operating condition so as to accomplish desired production results in terms of quality, quantity. Along with that, you may even choose to manage prepayment actions, and sell not just stock, but nonstock spare parts as well. First off, physical stocking of parts can be reduced by properly accounting for existing inventory and setting proper stocking levels and replenishment actions. This is a serious problem, especially when relation of particular components is unidentified. Improved materials and spare parts management will free up time for maintenance planners, maintenance supervisors, and hourly. The book spare parts inventory management addresses the entire life cycle of spare parts inventory management from establishing the system of management through to deciding what to stock, the operations phase and ultimately obsolescence and disposal. One of the methods used for analysis of material demand is. This functionality allows for you to automatically andor manually create sales orders. Spare parts can be tracked individually through serial number management functionality in sap. Spare parts are kept on site typically for one of two reasons.
Applied delivers a broad spare parts portfolio developed to increase our customers wide variety of needs. In other cases this inventory is, hopefully, dedicated to support companies maintenance, repair and operations. Spare parts 3d supports the digitalization of inventories and enables ondemand production using digital manufacturing. When all aspects are working together, the spare parts program ensures the right spares are available, in the right quantity, at the right time. Rockwell automation shares your goal of keeping automation systems running smoothly and effectively, which allows you to be more competitive and costeffective. Materials and spare parts management and training power. Properly managing spare parts inventory can result in considerable savings for a company. Activities in the img, choose logistics general material master configuring the material master define structure of data screens for each screen sequence. This thesis objective is to find the best sourcing organization model for spare parts for the company who operates in both manufacturing and spare parts businesses. Maintaining of particular inventory level is one of the major goals in warehouse management 1. I heard that this differentiation should be very accurate as this in turn determines inventory management and stocking techniques and also material codification. During a recent project, a facility faced several challenges, includ ing the duplication of spare parts that were recommended for.
This document shall give an overview on standard parts management within sap in relation to cad integration. The important role of an equipment bill of material. The functions for the spare parts class code and overlength part numbers are then available for rotables management and for spec 2000 functions. Abc analysis in spare parts warehouse katarzyna grondys czestochowa university of technology, poland. A breakdown often entails major problems that can be further aggravated if no spare parts are. Just to add on what other forum members confirmed there is nothing like indicator to mention spare parts in material master, whereas in bom item level it is available. Hot cutting and shearing technique which is used in manual or automatic. Introduction the principal purpose of the materials management organization is to provide the right parts in the right quantities at the right time. Our semiconductor spares portfolio ranges from basic transactional spares through comprehensive programs such as total parts management tpm. Sap menu logistics materials management material master material create general immediately. While creating material master, on which basis should i mention the material type. Serialization also helps in tracking warranty on parts. This thesis is delimited to spare parts management and inventory management.
Spare parts inventory management plays an important role in many industries. Parts managers are involved in the flowdown and compliance of requirements to ensure specific parts, materials and processes used in manufactured products and systems are reliable and effective. Incorporating these new parts can uncover issues with current spare parts organization and management. In industrial contexts the proportion of the stock range that is devoted to spare parts is often considerable e. Create operating supplies hibe or spare parts ersa material use this activity is used to create an operating supply or spare part in the material master. Spare parts management guidelines february 20 process industry practices page 4 of 9 4. Spare parts management dispensing an organized maintenance storeroom is one of the key processes which support effective maintenance planning and scheduling and equipment reliability improvement. Missing materials are one of the most frequently cited rationales for the interruption in completion of maintenance tasks.
Materials management mainly focuses on management of raw material or components required for continuous production. The key elements of a spare parts management system. Create operating supplies hibe or spare parts ersa. Spare parts management needs special treatment, somewhat different from the inventory management of regular items. Basics of spare parts management s spare parts and services account for 8 percent of the annual gross domestic product in the united states. Spare parts management in sap plant maintenance sap blogs. Maintenance, facilities, engineering, and operations with respect to. Whether a maintenance and repair organization mro is internal to a larger business, or providing maintenance services to an external customer, efficient spare parts inventory management plays a critical. Effective management of maintenance material working capital. Spare parts management potential in production sector diva.
Vereecke and verstraeten, 1994 and small improvements in spare parts management may be translated to substantial cost savings eaves and kingsman, 2004. Many companies, large and small, have storerooms or warehouses containing inventory ready to ship directly to customers. Spare parts inventories diverge from inventories of manufactured products and. The management of spare parts and materials is a company level system level e of figure 2. Once the risk assessment step is completed, the recommendation. Furthemore, it raises arguements on whether sourcing can create extra value for the spare parts. In this post phillip slater explains what they are and the consequences of failing to. Spare parts inventory management shares many traits with standard inventory management, but requires an extra layer of cost consideration.
What are the key elements of a spare parts management system. Spare parts can also be transferred between different. Standard parts management product lifecycle management. Predictive management of spare parts includes the collection and analysis of data, and the ability to look at the entire scope of operation to locate and solve important underlying problems that may surface in the long run. Spare parts management from material handling and safety course. In this short video phillip slater explains the structure of the book. You can use the bill of material and configuration data for the object to determine the spare parts. Pdf spare parts are held to reduce the consequences of equipment. The team should include representatives from maintenance, stores, procurement, design, business services, construction and integrated suppliers. Service parts management for large original equipment manufacturers, asset operators, and resellers of capital goods equipment, service parts inventory typically represents significant financial investments. Spare parts warehouse management provides a problematic aspects for planning. At idcon, we know that the efficient management of spare parts and materials in an organization results in more efficiency with the team members time, reduced maintenance costs, and an organised parts inventory. The gap between theory and practice of spare parts management is investigated from the.
Sd19 parts management guide defense logistics agency. Spare parts planning and control for maintenance operations. The practical use of iso, lean and six sigma together. You need to place a large order for spare parts for your equipment but due to the disarray of your materials storeroom, you have. Evaluating effective spareparts inventory management for. By accessing the material sheet, the study has been given the opportunity to. Proactive and efficient spare parts inventory management policies. Our materials and spare parts management training provides strategies to assist clients in developing effective work processes.
The smart tmas material and spare parts management system provides seamless lifecycle planning, tracking, ordering, allocation, receiving, issue tracking, inventory management and reporting for government and company expendable, durable and serialized tools, materials and spare parts. Disposing adequate places of spare parts storage allows ensuring a proper conservation and repair of damaged equipment. This document is intended to be used by defense contractors and acquisition activities. Elements of a materials management system a team to drive continuous improvement in materials management. It may also be used as a tool for evaluating a contractors parts management performance. Maintenance and spare parts management semantic scholar. In this paper, a framework for or in spare parts management is presented, based on the product lifecycle process and including the objectives, main tasks, and or disciplines for supporting spare. When you use spare parts orders, all the functions for shipping processing.