MRO items are utilized in production and plant maintenance and may include items such as maintenance supplies, consumables, spare parts used in the production process, and ultrasound inspection. These things may either be valuated or non-valuated, and sometimes no physical inventory is performed, depending on the items’ values.
MRO items may include things such as oils, lubricants, safety equipment, and cleaning products. Throughout the supply chain, it’s vital to pay attention to maintenance, repair and operating supplies. An optimized supply chain can help ensure that everything is being done to supply the customers with what they want and when they want it, all while spending as little money as possible to make it happen. Failure to pay close attention to all aspects of the operations – including MRO – may result in the failure to accomplish such optimization.
Some companies place MRO control or oversight on an administrative level, which means administrative employees are given the job of placing orders with MRO suppliers as required. However, putting the MRO responsibility within a supply chain team can ensure that the company’s operations are optimized. There are plenty of benefits of having a supply chain buyer as opposed to an administrative buyer.
For starters, a supply chain buyer will pay attention to usage, safety stock, inventory management, and lead times. Those who specialize in supply chain can establish a dedicated approach to MRO management in motion. There may not necessarily be a real-time record of the actual number of supplies there are at any given time since MRO items are usually not part of a company’s official inventory.
A supply chain professional is able to rectify this situation on behalf of companies. Many questions can be answered with the help of an expert in supply chains. For instance, they’ll be able to help you determine what your lead times are when MRO items need to be resupplied, or what a company’s usage and depletion rate of MRO items happens to be.
Supply chain experts can also handle MRO supply management using a sound strategic sourcing approach. While some MRO inventory items may be difficult to resource, an MRO supplier may be able to be sourced from various suppliers more easily.
Considering the importance of MRO management and the magnitude of the job, it’s extremely helpful to have a supply chain professional in charge of this task.