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Lack of communication, planning stunts MRO material management: Survey

Radnor, PA – Lack of planning and tracking of inventory, poor communications among company divisions, and underutilized or non-existent technology are among the core elements holding back manufacturers, educational and medical...



Radnor, PA – Lack of planning and tracking of inventory, poor communications among company divisions, and underutilized or non-existent technology are among the core elements holding back manufacturers, educational and medical institutions, life sciences companies, food processors, automotive makers and facility maintenance companies from achieving world-class MRO operations, according to a recent survey completed by Storeroom Solutions Inc.

The extensive survey, conducted over nine months with input from diverse industries and personnel, was designed to assess the current condition of MRO storeroom operations.

“In the US alone more than $500 billion annually is spent on MRO spare parts and services,” said Michael Weinberg, vice-president of sales and marketing for Storeroom Solutions. “A tremendous amount of time and resources are consumed managing that spend in order to maintain production reliability and maintenance effectiveness. This survey confirmed much of what we already knew about how companies are managing MRO, and exposed some new trends as well.”

Among the survey’s key findings:

- More than half of those surveyed indicated the state of their MRO/indirect materials storeroom frequently causes reliability issues or downtime at their plants.

- Little to no communication exists between the storeroom, purchasing and the rest of the company.

- Most companies surveyed don’t have the visibility across the supply chain to see how their inventory is moving.

“The survey clearly shows that while some companies are becoming more sophisticated in managing the MRO supply chain, most are lagging in the adoption of new processes – whether that comes via internal resources or third-party management,” Weinberg said.

The survey included responses from representatives across industries, including life sciences, education, facilities maintenance, pharmaceutical, automotive, food processing, general manufacturing and other industries. Respondents had responsibility spanning purchasing/procurement, operations and information technology, with titles from maintenance managers to chief financial officers, from buyers to vice-presidents of purchasing.

The companies ranged in size from under 100 employees to more than 1,000.

The complete survey findings are available in a whitepaper from Storeroom Solutions, an independent provider of MRO/indirect materials management services in North America. It works with companies in the United States, Puerto Rico, Canada, Mexico and Singapore to drive down the total cost of MRO/indirect materials by streamlining storeroom management processes.

For more information, contact Storeroom Solutions at (610) 293-5940 or www.storeroomsolutions.com.

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