Why is it So Difficult to Manage Your MRO?

The complexities of MRO can sometimes seem ungovernable.  Your company is running what you believe is a tight operation, but Management Repair and Operations can sometimes take a back seat to other priorities.

And that’s not the best way to manage such a crucial and integral aspect of your business.   

Getting a handle on who’s buying what from whom – all on its own – can be a long day’s journey into night.  You’re dealing with multiple suppliers and your MRO function is probably fractured, having been placed in the hands of people across various locations around the country or around the globe.

A jigsaw puzzle

If what you’ve just read describes your operation’s MRO, then getting a handle on it can be like putting together a jigsaw puzzle – of the solar system.  There are a lot of stars out there.

With MRO, those stars are SKUs.  Stock-keeping units in the millions fall under the hundreds of categories of MRO necessaries.  From equipment and parts to office supplies and cleaning products, the disparate, complex nature of MRO is often tough to adequately monitor.

And monitor it you must, to create the efficiencies and savings MRO could be delivering.

It’s a business function

You know MRO is important.  If the supply chain breaks down at a crucial moment, or if a machine needs a part you don’t have in stock, you’re looking at downtime you can’t afford.  Your MRO needs to be managed closely and viewed as a critical business function that’s the backbone of your operation.

With limited visibility into the buying behavior of the many people involved in procurement across the company, how can you control spending?  How can you ensure that your supply chain is as sustainable and robust as possible?

It’s tough!

But there’s a better way to do it.  Many companies are realizing that MRO has the potential to bring enhanced value.  That realization is compelling them into the arms of procurement professionals with the expertise required to take on the difficult task of MRO reform that matters.

CenterPoint is a trusted procurement advisor, bringing companies like yours a better way of doing MRO.

A powerful ally

With 15 years of focused experience managing and interpreting data, CenterPoint is a powerful ally, offering meaningful MRO reform.  We penetrate your supply chain, de-mystifying and taming it with market insights and insider knowledge of supplier-side pricing methodologies.

Taming MRO means re-visioning it as a Center of Excellence which contributes materially to the efficiency of your operation, contributing value.  We effectively deploy data analytics and transaction analysis, creating opportunities to streamline operations.

Procurement in MRO is a complex undertaking that demands continual, expert management to make it run smoothly, efficiently and with an eye to cost control.  With CenterPoint managing your MRO, you have a powerful ally that leads the way to MRO-as-service – to your bottom line, your suppliers, your end users and your employees.

Unlock the power of your MRO with the seasoned procurement experts at CenterPoint Group.  Contact us.

The post Why is it So Difficult to Manage Your MRO? appeared first on Centerpoint.

source https://centerpointgroup.com/why-is-it-so-difficult-to-manage-your-mro/

What is MRO?

Equipment.  It’s a word that can refer to a lot of different items.  In the case of MRO (Maintenance Repair and Operations), it’s the equipment that’s used to produce end products.  But MRO can also refer to things as mundane as required cleaning products and office supplies.

With hundreds of subcategories falling under category headings, there are millions of SKUs (stock-keeping units) and it’s always the case that these are sourced from an array of suppliers, due to the disparate nature of the items required across disparate locations.

That can get hairy for procurement.

What is MRO?  It’s a complex system of keep your operation working as it should.  It allows you to know what’s on hand, what’s needed and which contingencies are likely to arise, in an ideal world.  But due to the complexity of MRO, things don’t always go that way.

Different strokes

Clearly something as big and as crucial to operations as MRO deserves pride of place in a centralized setup.  But not all companies manage their MRO that way.

Many companies run MRO out of a variety of physical plants all over the country or all over the world. The reasoning behind this is that people on the ground have a clearer view of MRO needs.  But the problem with this methodology is that silos develop, personal styles dominate and there are few, if any, overarching control mechanisms.

What’s also clear about the de-centralized model is that you’re probably not going to get the most from your spend, as fragmentation of spend undermines economies of scale.

MRO challenges

Because of the millions of SKUs involved, a formidable data setup is needed.  Continual management of inventory and the supply chain is supported by data that helps you keep the many strands of MRO from becoming tangled and incoherent.

Inventory control is also a tremendous challenge in MRO.  When multiple locations are involved, inventory control becomes unduly complex.  It’s the simplest model that always serves the supply chain best and that isn’t achievable in a de-centralized MRO.

Because the MRO market is continually evolving, expertise in the field is the best-in-class method for achieving MRO that serves your operation better.  That’s why so many companies are outsourcing their MRO to procurement professionals like CenterPoint Group.

What CenterPoint brings to the MRO party

CenterPoint Group is a trusted procurement advisor that makes sense of the MRO chaos.  We bring your operation focused expertise that keeps apace of market changes, while applying keen data analysis to your MRO that creates efficiencies and generates savings.

We’re seasoned experts who come to you from suppliers and the business world.  With 15 years of focused experience in the fine art of data wrangling, we know how to interpret and analyze data to add value to your MRO.

Up-to-the-minute market intelligence is what you need to get the most from your spend.  Coupled with insight into supplier pricing methodologies, we re-create your MRO as a finely-tuned machine that gets you the most sustainable and responsive supply chain.

Ready to revolutionize your MRO?  Contact us.

The post What is MRO? appeared first on Centerpoint.

source https://centerpointgroup.com/what-is-mro/