By: Casey Dunn, Texas Chapter Member
Whether you’re a private fleet, a government fleet, or even if you are a retail maintenance organization, proper parts/inventory management can and will impact your bottom line. Improper operation of your parts storeroom directly affects everything from technician productivity and repair times to customer satisfaction and your bottom line.
If you maintain vehicles, having a parts storeroom is one of the areas that can literally make or break your organization’s bottom line. Lack of parts increases service turnaround time, lowers technician productivity and the expediting of parts adds cost in at least freight charges not to mention buying it from the first vendor without checking your other vendors for price comparison. Too many parts add to your expenses and lead to obsolete parts on the shelf.
Proper inventory controls can help you keep these risks to a minimum and increase your bottom line. You will have to run reports to give you the data you need to monitor your movement (or turns), obsolescence, value and count, to name a few.
Ways to Reduce Your Risk:
Having professional parts personnel to manage the storeroom so technicians have their parts, those parts are correct, and parts are issued into FMIS or work order, is an absolute to properly manage your inventory. Communication between Service and Parts must be intact and lived as a team.
Fleet managers must face and manage inventory to have a chance to meet budgets as well as to set budgets for the upcoming year. Just when you thought your plate was full, I know. Be personally involved in fostering the relationship between Parts and Service with these targets on your radar. It is this writer’s opinion that, if your organization is not constantly monitoring inventory, you may be missing asset dollars in the coffers. In these lean times we have been facing, I hope this acts as a refresher, a focal point, and that you find some dollars you might have been missing.
The FleetPros Blog is written and moderated by the Business Manager with contributions from the membership and Business Services Team.