Spares Optimization Aircraft Repair

February 2, 2003
Marrakech Conference Briefing Book
May 7, 2002

Spares Optimization Aircraft Repair

decision analysis partners designed a unique methodology, Decision Mapping, to help identify decision support needs and to create effective programs to improve decisions within ARSC. AR&SC has achieved close to 100% total asset visibility (TAV), drastically improving inventory accuracy.  It is now in position to achieve higher efficiency by leveraging its information capital.  The questions now being asked are whether the current spares inventory is ‘the right parts in the right places and in the right amount.

The objective of this study is to analyze AR&SC’s current spares optimization practices, compare it to other industry practices, and recommend a decision support strategy.  This decision support strategy is designed to assist with:

  • Formulating effective inventory management policies
  • Supporting budget planning and management processes
  • Aiding in the management of the spares supply chain
  • Making obsolescence decisions

decision analysis partners enabled ALD to develop a detailed program plan for implementing a comprehensive decision-support system which benefits included the adoption of integrated performance metrics.  These metrics helped support the overarching goals of integrating organization-wide decision-making through a balanced scorecard approach. As a result of the project, ALD took the lead in defining the detailed functionality of critical decision-support modules for demand forecasting and inventory planning.  These modules have been integrated into a centralized data warehouse that is currently at the core of a Commercially Available Non-Developmental Item supply-chain management business solution.