Typical MRO Costs from Purchasing Point of View
In Maintenance, Repair and Operations (MRO) operations, procurement-related costs play a crucial role. These expenses can be divided into several categories, each with its direct impact on the efficiency and profitability of the organization.
Direct Acquisition Costs
- Product Pricing: Includes tools, spare parts, and essential materials needed for daily operations.
- Transportation and logistics: Expenses associated with the delivery of materials from the supplier to the customer, which can increase if urgent or frequent shipments are made.
- Supplier management: Resources invested in negotiating contracts, finding new suppliers and evaluating the performance of current ones.
Indirect Costs
- Storage: Includes the expenses of maintaining inventories in optimal conditions, such as space, refrigeration, and security.
- Obsolescence: Losses derived from materials that become unusable before being used.
- Order errors: Costs associated with returns, restocks, or duplicate purchases due to inefficient planning.
Opportunity Costs
- Lack of availability: Losses due to not having tools or materials at the right time, which generates operational delays.
- Overbuying: Unnecessary expenses when acquiring more inventory than necessary due to poor forecasting.
How to Optimize Purchasing Costs in MRO
Optimizing these costs requires a comprehensive strategy that addresses each of the critical points:
Efficient Inventory Management
- Advanced technology: Implement solutions such as RFID to track and manage tools in real-time.
- Automatic replenishment: Systems that avoid both stockouts and unnecessary accumulations.
Improving the Relationship with Suppliers
- Strategic collaboration: Working with reliable suppliers that offer high levels of availability and quality.
- Supplier consolidation: Reduce the number of sources to simplify management and negotiate better terms.
Indirect Cost Reduction
- Accurate planning: Use of predictive analytics tools to anticipate needs and minimize excess inventory.
- Continuous training: Ensure that personnel are trained to operate tools and systems efficiently.
Process Automation
- Administrative digitalization: Automate tasks such as purchase orders, invoicing, and order tracking to reduce time and errors.
How can EGA Group help you?
With more than 25,000 references and 98 % availability in stock for immediate delivery, we are a single gateway that allows you to optimize MRO purchasing costs.
With our 12 ranges of industrial and safety tools, we form a comprehensive solution for the most demanding industrial companies.
Innovation 4.0 for better optimization
In addition to the comprehensive solution, we develop 4.0 solutions in order to offer:
- Real-time traceability: Total control of tools and materials, reducing losses and errors.
- Usage History: Key information for planning and preventive maintenance.
- Time savings: Significant reduction in the time needed to locate tools and manage inventories.
What is EGAWARE?
EGAWARE is an advanced inventory management solution specifically designed for complex projects such as turbine assembly, designed by our sister company EGA Solutions.
Based on the EGAWARE software, different technologies have been developed, which are:
EGAWARE CONTROL
Tool and tool management system that allows better control of access to tools, as well as their entry and exit during work shifts.
EGAWARE RFID
Tool and tool management system, automated using RFID technology, which allows better control of access to tools, as well as their entry and exit during work shifts.
EGAWARE RFID Control Station
A decentralised tool and tool management system, automated by RFID technology, which allows better control of access to tools, as well as their entry and exit during work shifts.
Additional Benefits of Working with EGA Group
- Customized solutions: Adaptation to the specific requirements of each client.
- Reduction of logistics costs: Thanks to its high availability and optimal delivery times.
Properly managing procurement-related costs in MRO can make the difference between inefficient operations and a highly productive organization.
EGA Group, with its innovative technology and wide range of products, not only reduces costs, but transforms the way companies manage their resources.
In a competitive environment, relying on a partner like EGA Group is the key to ensuring efficiency, quality, and savings in MRO operations. Find out how their solutions can help you optimize your processes and maximize your profitability.