This document discusses spare parts management and outlines an approach for establishing an effective spare parts inventory system. It identifies typical characteristics of spare parts like high numbers and varieties, erratic consumption patterns, and sourcing constraints. The proposed approach includes creating a comprehensive spare parts list, classifying parts by criticality, and setting optimal reorder levels, safety stocks, and preservation plans based on factors like cost and usage frequency. The conclusion emphasizes treating spare parts management as a separate discipline, ensuring cross-functional cooperation, and involving engineers to properly assess requirements and optimize the inventory.
2. Typical Characteristics of
Spares
Large in numbers and varieties
Absence of Specifications
Erratic consumption / No pattern
Sourcing constraint
High Prices High / non moving Inventory due
to above parameters
Requirement of Large Space and preservation
Difficult to dispose off
3. Initial Approach
Initial Approach Comprehensive List With
details of Equipment and Spares
Estimate Requirements based on past
experience for similar equipments
Classify Criticality of Equipments
Classify Spares as Vital, Essential, Desirable
Identify Insurance Spares
Identify High Cost Spares
Identify Durable and Consumable Spares
4. Inventory management
Decide Frequency for review of Spares for
critical Equipments
Based on VED classification and cost of
Spares, decide optimum safety stocks
Fix min, max and reorder levels for
consumable spares
For durable spares, MRP data to be reviewed
by competent engineers to assess
requirements
Insurance spares requirement to be initiated
by user and reviewed at high levels
Preservation plan and activity to be chalked
out for durable and insurance spares
5. Operational Approach:
Adopt Standardization as follows :
Use Standard drives and couplings
Use standard fasteners with maximum
interchangeability
Avoid fine threaded fasteners wherever possible.
Instead use standard threads with lock washers.
Establish standard range of lubricants for the
entire plant.
Use standard structural shapes ,bearings and
belts.
Use standard pipes and tube fittings.
Replace with standard parts whenever non
standard parts become defective.
6. Procurement strategy:
Among various categories like Routine,
Leverage, Bottleneck and Critical ,Spare
parts fall into category of Bottleneck.
Hence we should have close
relationship with suppliers I.E
OEMS/Alternate Sources.
8. Safety Stocks:
Safety stocks pertaining to different
service levels is calculated as K^m
where K is a constant with various
values ranging from 0.7 to2.3 to give
service levels from 75% to 99%
Critical, cheap and frequently used
items will require higher assurance level
and hence higher safety stocks
Non-Critical, expensive and slow
moving parts will have low safety stocks.
9. Categorization of Spares
Preventive maintenance spares-such as filter
cartridge, rubber parts etc. These are known
as programmed spare parts.
Items with fairly steady and high usage.
Short life items like bulbs, fuses, V-belts,
bearings, switches etc. The aggregate
quantity based on number of machines to be
worked out.
Low and irregular usage items. Long life
items having fractional usage even annually.
Items required for over-haul. Requirement
per machine per over-haul.
11. Conclusion:
Spare parts Management is to be treated as separate
discipline from normal Inventory Management.
Close cooperation and coordination among Operations,
maintenance and Supply departments is essential to
achieve optimum inventory levels.
Top Management support and encouragement for
calculated risk taking and innovation is a must for
sustained improvement.
Involvement of smart and knowledgeable engineers for
assessment of requirements, usage/disposal of non-moving
spares, identification of interchangeability of
spares, development of drawings for source development
and preservation norms.