Parts Logistics Problems?

You can’t operate an effective manufacturing business and optimise its profits and cash flow without a fast and lean parts supply chain.  After all, your end-to-end supply chain feeds parts and materials from your suppliers into your operation, through your operation and out the front door to your customers.  It is the backbone of your manufacturing and aftermarket service business.

Parts supply chains for manufacturing operations can be complex and can be even more complex for service support and aftermarket parts operations with multiple routes to market.  When they go wrong, they can kill your business as promised profits evaporate rapidly and disappointed customers take their custom elsewhere, without warning, for good.

If your parts supply chain is getting out of control and hurting your business then you can expect to see several of the following symptoms:

  • Rising logistics costs and premium shipping costs

  • Increasing parts inventory and falling stock turns

  • Extended delivery times and growing customer arrears/backorders

  • Extended supplier lead times and ballooning supplier arrears

  • Supply chain bottlenecks and slow material flow

Any one of these symptoms is bad enough by itself.  Unfortunately, they tend to happen in combination, hence the dire consequences if neglected and left alone to fester.

To help manufacturer’s aftermarket businesses to speed up, slim down and increase the agility of their end-to-end supply chains, Servispart Consulting has developed a highly effective “Fast & Lean Parts Machine Programme” with a suite of diagnostic, modelling, planning and improvement features.

What Can You Expect?

Whilst results vary and are entirely dependent on your own business situation and your willingness to implement our recommendations, some of the results we’ve delivered for previous clients include:

On-Hand Inventory Reduction

Pipeline WIP Reduction

Parts Availability Increased

Critical Customer Arrears Reduced

Receiving Queries / Grief Shrunk

Parts Supplier Arrears Reduction

Packer Arrears Reduction

Supply Chain Cash Flow Savings

How It Works

Our Fast & Lean Parts Machine Programme consists of three key phases:

Supply Chain Diagnostic

Identify the root causes of your supply chain problems using lean, value-stream, modelling and financial techniques.

Fast & Lean Blueprint

Identify the best combination of quick fixes and improvement actions to address your pain points and regain control.

Parts & Service Machine

Implement fixes and improvements to recover your parts supply chain, restore profitability and service excellence.