IBM MRO Inventory Optimization

Uncover a clearer, more accurate view of your inventory with this cloud-based optimisation platform specifically designed for the distinct challenges of MRO asset-intensive environments.

Make informed inventory decisions that improve margins and minimise unplanned downtime.

When the supply of the tools, spare parts and consumables needed to operate and maintain assets is optimised, organisations enjoy substantial cost savings and operational efficiencies. With as much as 50% of unscheduled downtime attributable to a lack of spare parts or stockouts, optimising MRO inventory is not an opportunity that asset-intensive organisations should be prepared to ignore.

IBM MRO Inventory Optimization (MRO IO) is a cloud-based inventory platform that combines statistical analyses, prescriptive analytics and optimisation algorithms to help users in asset-intensive industries improve margins, increase service levels and minimise unplanned downtime.

Specifically designed for the unique challenges of MRO spare parts environments, MRO IO helps provide users with an accurate, detailed picture of their MRO inventory performance; and powerful capabilities to make informed decisions that balance cost and risk.

Asset-intensive organisations leveraging IBM MRO IO, automated processes and inventory management best practices to optimise MRO spares and consumables, can consistently produce results like:

Up to 50% reduction in unplanned downtime related to parts
20 - 40% reduction in inventory costs
15 - 35% savings in maintenance budgets
10 - 25% increase in service levels

IBM MRO IO includes intermittent demand forecasting, scoring capabilities to help prioritise pressing issues that need attention, process and workflow automation, work queues to monitor progress and workloads, and customisable layouts.

Key features include:

Advanced demand forecasting analytics
Overcome the difficulty in forecasting intermittent and variable demand that characterises MRO environments. Leverage algorithms to improve forecasting accuracy and stocking level recommendations; enhance service levels; and reduce costs.
Criticality Analysis
Understand which parts are critical to operations or employee safety and which are “nice to have” but not urgent by generating a criticality score that reflects the business impact for each stock item. Consider factors like where it is used, practical workarounds, supplier lead times and pricing.
Advanced algorithms and analytics
MRO Inventory Optimization leverages advanced industry-specific algorithms and analytics capabilities that help companies intelligently balance costs and risk across MRO materials management activities.
Interactive visualisations and actionable insights
Visualisations and "what if" scenarios make complex data patterns, trends, and opportunities easy for users to identify and comprehend, enabling you to make better decisions and take effective action.

Because the data required to effectively optimise MRO inventory resides in many different places, IBM MRO IO provides certified integration connectors to routinely integrate and extract data into the solution and perform extensive analysis. The solution can interoperate with one or many host data systems and seamlessly integrates with EAM and ERP systems, including:

IBM Maximo Application Suite
SAP
Oracle
Hitachi Ellipse

As a cloud-based solution, IBM MRO IO reduces the IT burden and is highly scalable. Implementation is typically completed within three to five months, with most organisations achieving a return on investment within one year.

Grasping the keys to MRO inventory optimisation success

Optimising MRO Inventory is often overlooked, but inefficient practices mean working capital is locked up in materials, and downtime due to stockouts is high. In this article we look at the keys to successful MRO inventory optmisation and the significant benefits it can provide asset-intensive organisations.

REDUCE INVENTORY COSTS
Identify the right amount of inventory to hold an release up to 40% of inventory costs from the balance sheet.
REDUCE UNSCHEDULED DOWNTIME
Eliminating stockouts as a cause of downtime can reduce unscheduled outages by as much as 50%.

REALISE PROCESS EFFICIENCIES
Free inventory analysts and warehouse personnel from manual optimisation approaches to realise up to 40% efficiency gains.
IMPROVE SERVICE LEVELS
Better inventory performance means you can meet or exceed reliability, safety and production targets.

MRO IO integration with EAM and ERP's for inventory optimisation

INVENTORY OPTIMISATION BUILT FOR MRO ENVIRONMENTS

Learn how COSOL with the use of the IBM MRO Inventory Optimization platform, can help you review, optimise and drive continual improvement of your organisations MRO inventory.

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