Spare parts management process flow

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Spare parts management process flow

Auto Spare Parts Management System Data flow diagram is often used as a preliminary step to create an overview of the Auto Spare Parts without going into great detail, which can later be elaborated. All of the below diagrams has been used for the visualization of data processing and structured design of the Auto Spare Parts process and working flow. View the discussion thread.

Posted By namita on June 28, Auto Spare Parts Management System Data flow diagram is often used as a preliminary step to create an overview of the Auto Spare Parts without going into great detail, which can later be elaborated. It also identifies internal data stores of Report, Order, Invoice, Billing, Reports that must be present in order for the Auto Spare Parts system to do its job, and shows the flow of data between the various parts of Purchase, Reports, Order, Report, Invoice of the system.

You will highlight the main functionalities of Auto Spare Parts. It may require more functionalities of Auto Spare Parts to reach the necessary level of detail about the Auto Spare Parts functioning.

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What are Maintenance Repair and Operations - MRO industrial spare parts and supply chain

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Hotel Room Booking System Dataflow Diagram Hotel Room Booking System Data flow diagram is often used as a preliminary step to create an overview of the Hotel Room without going into great detail, which can later be elaborated.Practical spare part management is the foundation for reliable plant operation and is crucial to a plant managers success. As plant manager, you need to know how to determine which spare parts are needed to make up an effective and comprehensive inventory system.

Taking these factors into account can help minimize performance disruption, promote efficiency, and reduce carrying cost. Ultimately, producing successful spare part management. As a parts manager, you will either operate from a predictive or reactive position.

Most companies fall into the habit of building their management strategy around reactive events. To successfully manage part inventory a manager should adopt a predictive strategy.

While reactive management can be beneficial during a crisis, the essence of successful management is the ability to prevent problems before they arise.

Predictive management of spare parts includes the collection and analysis of data, and the ability to look at the entire scope of operation to locate and solve important underlying problems that may surface in the long run. In relation to collecting and analyzing data, be sure to look out for patterns of failure that can reveal problems that are not clearly visible.

7 Things to Consider for Successful Spare Parts Management

Predictive management will help you to make better use of resources, cutting the time and cost associated with fixing issues. It is impossible to eliminate the nagging issue of stockout out of stock parts without investing in spares. However, if you try to identify the major cause s of your stockout you can limit the effects it has on your operation. Start recording the reason s for out of stock parts in real time.

Additionally, review forecasted demand and look for parts that may have an incorrect order setting. Your spare parts inventory does not have to be all-encompassing to be effective. In fact, it is unrealistic to stock large quantities of various parts. To achieve better control over inventory, develop clear criteria that will help define and categorize spares. Recognize that terms like this are multi-dimensional, and can be refined further.

For instance, a part can be labeled as critical to the operation or critical to specific machine function. A higher priority may be given to one designation over another, depending on its risk and impact if a failure should occur.

Tip: Periodically review all spare parts classifications i. A regular review of spares for excess stock can help to reduce cost too. Properly storing and organizing spares in a designated, secure space is also beneficial for the control of inventory. A prompting for reorder will not take place if a part is taken without a record.To browse Academia.

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Structure One must find ways to maximize revenues and reduce the operating costs. Knowing what is in your inventory is the first step.

Optimal spares conditioning is a necessity for the entire types of maintenance tasks, such as inspections, protective maintenance, and repairs.

spare parts management process flow

With the exception of protective activities, spare parts for maintenance tasks are usually required at random intervals. Thus, the rapid and safe coordination of the demand for spare parts with the supply of spare parts at the required time is a vital factor for the prompt execution of the maintenance process.

Missing materials are one of the most frequently cited rationales for the interruption in completion of maintenance tasks. As spare parts for equipment are frequently of very high quality, merely increasing warehouse stock cannot solve this problem. A maintenance planner should know about potentially essential parts and their accessibility.

Effective maintenance management results in higher productivity, better quality and reduced cost of operations. Spare parts play a vital role in these. You will read about them in more details in the course MS Maintenance Management.

Most of the issues discussed in this unit are taken from unit 7 of the Maintenance Management Course. You cannot plan and schedule work effectively unless you know about the job at least 24 hours before the job has to be started.

Appropriate preparation and management of spare parts inventory is a significant module of an effective spare parts management program. If the accurate parts are available when needed for everyday maintenance or repairs, downtime is prolonged. If moreover many parts are on hand, the organization incurs tremendous costs on carrying the inventory. There exist many approaches to supervise spare parts.

Every business such as mining, chemicals, and service providers such as call centers, banks, and insurance corporations and hospitals use technical equipment to manage their day-to-day work.

spare parts ( Flowchart)

These tools are not just significant assets in every single company, they also require maintenance and depending on the category and scope of these tools, this can present a real maintenance challenge. In general these tools are denoted as spare parts.

Spare parts mean a component or a sub-unit or a foremost assembly, which exists in stock for replacement when desirable. The spare part management function is decisive from an operational standpoint especially in asset intensive manufacturing industry such as refineries, chemical plants, paper mills, etc as well as an organization owning and operating costly assets such as airlines, logistics companies, etc.

The three basic types of spares parts are: a PM spares: Those replaced during preventive or opportunity maintenance b Repair Parts Breakdown spares : those required to replace parts that fail during service, and c Overhaul Shutdown Parts: Those required during planned overhaul or shut down of the plant.

The quantity and the time of requirement cannot be predicted for the repair parts. Only, the chance of their requirement can sometimes be predicted. Statistical methods are needed for their inventory control.

Spares have a huge range - each one having several specifications, which are not available to the user.The Department of Defense DOD operates 11 primary logistics and acquisition management centers to equip and sustain its global operations. The remaining three centers are elements of the Defense Logistics Agency DLAwhich manages inventory items common to multiple military services.

The inventories are constantly in motion, flowing from manufacturers to storage locations, to military units, to repair facilities, and then finally to disposal activities. Probably the biggest reason that SCT is high risk is that it is just one of many large and interconnected modernization efforts underway in DOD.

The good news is that the private sector has proven that large-scale SCT is possible, it leads to improved customer support, and it makes the business enterprise more efficient. Supply logisticians divide the class IX inventory into consumable repair parts and reparable spare parts, but in this article, class IX parts will include both consumable and reparable items.

Class IX items are the parts and assemblies required to maintain the trucks, radios, helicopters, missiles, armaments, and other weapon systems that AMC manages. AMC assigns a group of repair parts to one employee called an item manager IM.

Each group of items is usually unique to one weapon system, and the IM is responsible for maintaining adequate stock levels to fill any worldwide demand for his assigned items. The IMs at AMC manageitems, about a third of which are routinely procured, repaired, and issued. The next echelon in the supply pipeline comprises a global network of hundreds of supply support activity SSA warehouses that are colocated with the Army theater, brigade, battalion, and regimental units that they support.

The third echelon of supply comprises thousands of prescribed load lists PLLs that are owned and maintained at the unit level. While some SSA inventories can be deployed, all PLLs are intended to be mobile and thus are restricted to the minimum essential items required to support near-term tactical and training operations. Repair parts that are in use and become unserviceable are processed through the supply pipeline to the appropriate echelon of repair.

When the item can no longer be fixed, the IM will issue a disposal order to remove it from the supply chain. Successful use of LMP requires both organizational realignment and rigid data management.

Both of these changes will benefit SCT efforts. Supply Chain Models In the chart above, the pipeline depiction of the supply chain omits important events that must happen before AMC obtains the repair part and after it issues the part. The pipeline focuses primarily on what happens within the command and gives little emphasis to the effects of AMC operations on its suppliers and customers.

Until recently, this was standard practice at all 11 primary DOD logistics and acquisition management centers, but AMC is modifying this to take a more holistic approach to managing its repair parts supply chains. The model is divided into five level-1 processes: plan, source, make, deliver, and return. Any entity operating a supply chain must perform each of the level-1 processes to some degree.

The chart above converts the myopic, AMC-centric Army repair parts pipeline in the chart second from the top to one based on the construct of the SCOR model.This document helps MM consultants to understand the way in which the external refurbishment process can be mapped with the Integration of Subcontracting Purchase Order, Split Valuation and Serial Number to handle the complete cycle of refurbishment and track the material in system with entire history of material movements for the particular serialized material.

The refurbishment of repairable spares is important for industries like process industries, mass production, etc. In the below scenario taken up ahead, we will go through the case, when the refurbishment has to be performed completely by an external vendor and the Inventory will be managed in the Spares Warehouse.

The following graphic provides an overview of External Refurbishment for repairable spares taken for this illustration:. External Supplier supplies the spare part in the NEW state.

Meanwhile the Maintenance department is satisfied by the supply of another functional spare part from the Warehouse, so that there is no stoppage due to non-availability of spare item. Later for repairable spare item that cannot be further refurbished, it can be posted for scrapping.

In all these cycles, that happen on a particular spare part item, it is of vital importance to know at any time the number of refurbishments performed on a given individual spare part item, so as to enable to do proper planning of maintaining the adequate inventory in Warehouse for avoiding any resultant down times due to unavailability of a functional spare part at any given time.

The above cycle will be explained in the Demonstration section below, for the scenario considered in this illustration.

spare parts management process flow

In the scenario taken up for illustration here, the Repairable spare items are managed by the Spare Parts Warehouse. The Issued repairable spare part material is used in the Plant and when its usability ends, it is sent back to Warehouse for refurbishment by external vendor.

After the refurbishment is completed, the refurbished material is received back in stock by Warehouse.

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The usability of the Repairable spare part item needs to be bifurcated in system based on one of the 3 states of the material as shown below:. Configuration for Split Valuation. The snap shots are self-explanatory. Configuration for Serialization.

spare parts management process flow

Configuration for Subcontracting. No Specific configuration required for Subcontracting, as we will be using the standard subcontracting process without delivery. Configuration for Material Provision Indicators. Material Master Extension for Valuation Types.Spare Parts Delivery Processing.

This scenario describes the processing of spare parts deliveries that become necessary when services are being performed for customer devices. You use this sales or spare part order to represent the sale and delivery of required spare parts. The functions for shipping processing and transportation are also available with the spare part orders.

In this way, the delivery with delivery notes is performed quickly and efficiently. You can use the integrated business functions of the following SAP application components within the scenario Spare Parts Delivery Processing :. The creation of the service notification is the central starting point for processing the problem. You can initiate all necessary processes for rectifying the problem from the service notification, also including a delivery of spare parts, that the customer installs independently.

If necessary, you can branch directly from the service notification to the spare part sales order.

spare parts management process flow

If you then return to the service notification and save it, the sales order is also saved. The following work steps for service notification processing are identical to those of the scenario Repairs Processing at the Customer Site. If you determine during notification creation, that a spare part simply has to be delivered and that a technician does not need to be dispatched, you immediately create a sales order spare part order from the service notification, on the basis of which further processing is then performed.

You use a sales order to define a one-off agreement to deliver products to a customer, and when doing so, the following central functions are available to you:. The spare parts are named in the sales order. The system supports you when determining the correct parts by making available the bills of material and the configuration data for the device.

In Credit Management, you can run static or dynamic checks on credit limits at different stages in sales order processing for example, in the order, the delivery or at goods issue. Risk Management provides additional procedures for guaranteeing against credit risk, such as documentary payments, payment cards or export credit insurance.

When you create a delivery note for the spare part that is to be delivered, the SAP System automatically creates an inspection lot and prepares the necessary shop papers for the quality inspection. The inspection lot can also be created manually.

If you have defined that the quality inspection can take place after the delivery, you can post the goods issue independently of the quality inspection. If the inspection does not show any apparent defects, you record characteristic results for the inspection lot or partial lot. You can document any defects that are found using defect data. If you want to manage the necessary corrections in the SAP System, you can create and process a quality notification in problem management.

You can now confirm costs that have arisen within the framework of results recording or when making the usage decision to the Production Planning department.

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If the quality inspection presents no technical findings, you can post the goods issue after making the usage decision. Because the following process flow for spare parts delivery is identical, the detailed description of the steps listed below can be found in the scenario " Repairs Processing at the Customer Site ". Processing of service notification. Procurement of non- stock materials; Inventory Management and withdrawal of stock materials.

Sales, delivery, transportation, and billing of materials spare parts. Quality inspection on goods issue of spare parts. Ongoing, automatic account postings upon invoice creation.Spare parts management can be a nightmare of holdups, downtime and loss of production OR a smoothly running system that supports maintenance activities efficiently, keeps the plant running and production on target.

Keeping inventory low minimizes the monetary value held up in stock and frees up cash flow for other activities. Analyzing trends with your CMMS software for high usage spares can help you to set an optimum reorder point. The reorder point must allow sufficient lead time for new stock to arrive before the existing stock runs out. Over time, equipment changes and priorities change as well.

It is easier to raise the priority of a part than to reduce it, but the reality is that there are some spares that should be downgraded as they are no longer critical to operations. It is helpful to have a regular process of assessment with clear criteria so that changes to the manufacturing environment can be reflected in the CMMS for spare parts management. Old fashioned periodic stock counts are still the best method to find out if your actual spare stock matches your CMMS data.

If there are discrepancies every time a stock count takes place, action needs to be taken to ensure that all part receipts and issues are controlled. It may be necessary to upgrade security and access to the storeroom in order to facilitate this control. One of the most frustrating things for both managers and maintenance staff is when a spare part is available in stock but is unsuitable for use. Parts must be stored in an environment that is conducive to keeping them in their original condition and available for use.

The more efficient the purchasing processes are, the lower the reorder levels can be. The more thorough the analysis of what is or is not a critical part, the more precise the spares management can be. The more detailed an investigation into a stock out incident, the better the preventive measures will be to ensure that it does not happen again. CMMS software has greatly enhanced the capacity of any manufacturing organization to efficiently manage their maintenance activities including the handling of spare parts.

Analysis tools are available to evaluate trends and inventory strategies and highlight problems before they occur. These software tools together with best practices in terms of inventory management can greatly enhance the effectiveness of the maintenance organization. Use CMMS trends to set reorder levels.

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Perform regular reviews of critical spare parts. Utilize stock counts in event of discrepancies.

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