Summary of How spare parts pooling increases availability at lower costs
Key Issues with Spare Parts
- High Unused Inventory: Approximately 75% of Spare Parts are never used, leading to waste.
- Shelf Life Concerns: Spare Parts, especially electronic components, have limited shelf lives, resulting in further waste if not utilized.
- Lead Time Challenges: The median lead time for obtaining Spare Parts can be up to five weeks, complicating maintenance and repairs.
Proposed Solution: Spare Parts Pooling
- Pooling Concept: Establish a network where companies can share Spare Parts, connecting internal inventories with external sources (e.g., other companies, suppliers, and potentially 3D printers).
- Data Integration: Create a comprehensive dataset to track Spare Parts across different companies, addressing issues of data quality and standardization.
- Three-Tier Pool Structure:
- Internal Spare Parts Pool: Allows companies to share parts within their own organization.
- Industry-Wide Spare Parts Pool: Connects companies in a region to share parts more broadly.
- Supplier Spare Parts Pool: Links companies to suppliers' current stock, facilitating quick access to parts in emergencies.
Benefits of Spare Parts Pooling
- Increased Availability: Reduces downtime by ensuring necessary parts are accessible when needed.
- Cost Reduction: Sharing resources leads to lower costs per participant, as evidenced by research from the Technical University of Munich.
- Reduced Waste: Minimizes the disposal of unused parts, addressing both cost and environmental concerns.
- Less Manual Effort: Streamlines procurement processes, reducing the administrative burden associated with managing Spare Parts.
Methodology for Implementing Spare Parts Pooling
- Data Cleansing: Ensure that all parts in the pool have accurate identifiers and descriptions to avoid duplicates and improve accessibility.
- Creation of the Pool: Develop a platform that allows users to search and find parts across the network, while maintaining anonymity for the stock owners.
- Optimization Analytics: Use algorithms to analyze data on parts' usage and failure probabilities, helping companies determine optimal stock levels.
Presenters/Sources
- Christian (Presenter)
- Dr. Boyer (CEO of Bomber Group)
- Professor Faulkner (Technical University of Munich)
Notable Quotes
— 01:31 — « Data from material handling and logistics suggests about 75% of parts will actually never be used. »
— 13:41 — « The immediate benefit is higher availability at lower downtime. »
— 13:52 — « A lot of these parts are thrown away; that's cost, but it's also environmentally problematic. »
— 14:06 — « I have not met a company that doesn't want to reduce working capital. »
— 16:20 — « If you are today Siemens, you typically charge the same price for a customer if you have the part in stock or if you have to produce it. »
Category
Business and Finance