Use of proactive spare parts inventory management (PSPIM) techniques for material handling vis-à-vis cement industry

In the cement industry, the decision for the replacement of the Spare Parts Inventory is the more essential decision, especially, the proportion of the product collection, dedicated to replacement parts is always important. The unusual incidence of demand associated with these products & the consequent low contribution to an organization's overall turnover, this slower-moving SKUs rising to constitute up to 60 percent of the total stock value. Simple changes in their implementation may also be converted into significant cost savings. The current research is undertaken to measure and use a proactive methodology for keeping the inventory of Spare parts. In Cement companies, the methods used for High-value management of material, spare part material, carrying cost, and components of replenishment lead time with critical spare part inventory to be kept, is of greater significance. The methodology of the research includes gathering the views of 902 respondents of cement companies. The same was further analysed with the statistical technique multiple regression to develop the benefits model for the PSPI. The outcome of the research is in the form of aspects of Spare part material with six categories including Physical Stockroom, Computerization Assessment, Tracking enhancement steps for spare part inventory, Visual Inspection, Rules for effective spare part management and essential points regarding JIT.