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Spare parts classification and inventory management: a case study

Bacchetti, A, Plebani, R, Saccani, N and Syntetos, A 'Spare parts classification and inventory management: a case study' , Salford Business School Working Papers Series, 408/11 .

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    The aim of this paper is to propose and discuss a hierarchical multi-criteria spare parts classification method developed for inventory management purposes and tested through an intensive case study in an Italian household appliances manufacturing company. In particular, the classification scheme under concern is built on the basis of several key dimensions in an almost hierarchical fashion, resulting in 12 different classes of spare parts, for which varying forecasting and inventory methods are proposed and tested. The results of our simulation study demonstrate the reduction of the total logistics costs by about 20% whilst the service target level is achieved for each of the classes. Even more importantly, the proposed approach is simple and straightforward enough to be understood by company managers, thus increasing the probability of its adoption (in the same or similar form) in other real world settings.

    Item Type: Article
    Themes: Subjects outside of the University Themes
    Schools: Colleges and Schools > College of Business & Law > Salford Business School > Operations and Global Logistics Management
    Journal or Publication Title: Salford Business School Working Papers Series
    Publisher: University of Salford
    Refereed: No
    ISSN: 1751-2700
    Funders: CARIPLO foundation
    Depositing User: Professor Aris Syntetos
    Date Deposited: 30 Nov 2011 11:05
    Last Modified: 26 Aug 2013 20:49

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