Managing spare parts presents very unique challenges. How many and what kind? What should be stocked and what should be able to be ordered?
What is acceptable from a customer service perspective in terms of wait time for a particular part? Does it matter where parts are warehoused given the extensive transport options available in Australia and the ability to rapidly airfreight parts if necessary?
Additionally, the lifecycles on products are getting shorter and shorter in an effort to remain competitive in an ever increasingly crowded market especially with the emergence of Chinese and South American players. This has resulted in a burgeoning spare parts list that is increasingly difficult to maintain.
GRA can help with determining the optimal mix of in-stock versus on-demand inventory as well as designing a supply chain that is flexible and responsive that will also remain cost effective for the long term. GRA has proven methodologies and approaches to optimise inventory as well as minimise inventory levels, reducing capital investment and freeing up cash for more strategic initiatives.
Find out who we've worked with in the Automotive and Aerospace industries.
"GRA helped us reduce inventories and improve operating cash flow by $12 million within 12 months whilst improving stock availability in stores. All the more impressive considering we were growing rapidly, but experiencing tough retail trading conditions at the time."
– Peter Birtles, Managing Director, Super Cheap Auto Group