Published January 21, 2019
In a recent edition, Uptime magazine published an article discussing “The MRO Dilemma: Major Time, Minor Spend” in which the author, George Krauter (disclosure: a former Synovos employee), discusses the continuing dilemma companies face in dealing with MRO inventory. The argument comes down to this: a company’s MRO inventory spend usually falls between 6% and 10% of the overall spend while taking up 70% to 80% of all transaction costs.
This is nothing new and rarely is it unrecognized. Still, it’s a dilemma that Synovos sees every day. Of course, companies react differently to dealing with the consequence of mismanaged MRO, including everything from increasing inventory purchasing to ignoring the issue entirely, hoping it goes away.
Read the full article here.