MRO Inventory and Purchasing: Maintenance Strategy Series, Volume 2

Chapter 1: Organizing MRO Inventory and Purchasing

MRO Analysis

MRO inventory and purchasing, in this text, stands for maintenance, repair, and overhaul inventory and purchasing. It is the organizational function responsible for procuring and storing spare parts for the assets or equipment in the plant or facility. However, the impact of this organization is pervasive. Its efficiency affects all of the departments (such as maintenance, project engineering, contractors, etc.) that perform work on the company's assets or equipment.

MRO inventory and purchasing are the single biggest maintenance support functions that contribute to low maintenance productivity. As was covered in the introduction to this text, many maintenance labor delays are related to issues concerning materials and spare parts. Because the purchasing function typically procures the materials for the MRO storerooms, it also has a big impact on maintenance productivity. Additional material problems that impact labor productivity include late deliveries from vendors, wrong parts delivered, and parts that are damaged and cannot be used when they arrive. If you believe your organization has problems in the MRO inventory and purchasing areas, you should conduct an internal analysis to understand clearly the type and severity of the problem.

The following questions can be used for a high-level analysis of the MRO inventory and purchasing systems in most companies. For problems that are highlighted by using this high-level analysis, the information detailed later in this text should help managers make the proper changes in their processes to bring the MRO inventory and purchasing functions up to an acceptable level.

The first...

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