MRO Operations

How is SMS Used in MRO Operations?

SMS provides features specifically developed for these inventories.  Maintenance Operations typically have items with "slow moving" - or "no moving" demand history.  Impossible for traditional forecasting software to plan for, these items are routine for SMS.  Many times, new items are introduced and a person manually sets a MIN and a MAX value.  That person typically sets these values too high resulting in immediate excess stock and adding more excess stock every time an item is ordered.  Items with no previous demand history (or no history in the past five years, for example) cannot be forecasted at all by traditional techniques.  SMS focuses on the proper spares level (Safety Stock) for these items based on average annual demand, number in service and MTBF statistics and leadtime to receive the item.

What about maintenance of Spares?
MMS is the most comprehensive approach available today!  MMS combines logic for both "fast moving" and "slow moving" stock in the same process.  MMS can detect which items are "slow moving" and will apply the appropriate logic to set the proper spares level.  Public Utilities, for example, have both inventories - "fast moving" (Transmission and Distribution) and "slow moving" (Power Generation).  These "slow moving" inventories are often characterized by high investment, but low annual  "spend".  Once a spare is on the shelf it may be there for quite a while.  This is why setting the proper spares level is so critical - and why it takes a long time to correct.

Does MMS Set Spares Levels at the Start?

Yes it does!  MMS has a calculation program that allows the person setting up the item into inventory for the first time to do the job right.  This is the same calculation that is included in the regular processing of SMS.  It does provide the planner or engineer with a range of spares levels based on failure rates of the item (MTBF).  This function has proven to be one of the most widely used inventory programs for all our maintenance clients.