The Reducing Costs through Spares Optimisation and Rationalisation Training Course is designed with a structured content framework, blending theoretical knowledge with practical case studies and industry applications. The training content covers the following areas:

1. Introduction to Spares Optimisation and Rationalisation

Definition and importance of spares optimisation in cost accounting and financial control
The role of spare parts in asset lifecycle management
Key cost drivers in spare parts management
The impact of poor inventory control on financial performance

2. Fundamentals of Cost Accounting in Spare Parts Management

Understanding cost categories: direct costs, indirect costs, and hidden costs of spares
Cost allocation methods for spare parts in different industries
Linking spare parts management to financial reporting and cost accounting frameworks
Case study: financial impact of excess inventory in an oil & gas company

3. Inventory Analysis and Demand Forecasting

ABC and XYZ analysis for spare parts classification
Criticality assessment and risk-based analysis
Demand forecasting models for spare parts consumption
Balancing cost reduction with operational reliability

4. Rationalisation of Spare Parts Inventory

Identifying obsolete, duplicate, and redundant spare parts
Developing a spare parts rationalisation strategy
Techniques for reducing working capital tied up in inventory
Practical tools for rationalisation: Pareto analysis, inventory turnover ratios, and benchmarking

5. Integration with Procurement and Supply Chain Management

Role of procurement in spares optimisation
Vendor rationalisation and supplier performance management
Reducing lead times and negotiation strategies for cost efficiency
Case study: successful vendor consolidation project in the energy sector

6. Optimisation Techniques and Best Practices

Just-in-time (JIT) spare parts management
Economic order quantity (EOQ) and safety stock calculations
Use of ERP systems for spares optimisation
Best practices in global industries: lessons from aviation, automotive, and power sectors

7. Cost Control and Financial Impact Analysis

Linking spares optimisation with overall cost control strategies
Measuring financial benefits: ROI, payback period, and cost savings analysis
Monitoring key performance indicators (KPIs) for spares management
Practical workshop: building a cost reduction model for spares optimisation

8. Implementation Framework and Change Management

Developing an implementation roadmap for spares optimisation
Stakeholder engagement and organisational alignment
Overcoming resistance to change in inventory and procurement practices
Continuous improvement and monitoring frameworks

9. Case Studies and Practical Exercises

Case study on spares rationalisation in oil refineries
Lessons from manufacturing plants on reducing spare parts costs
Hands-on group exercise: designing a spares optimisation strategy for a utility company

10. Final Review and Action Plan Development

Consolidation of key learning points
Developing a customised action plan for participants’ organisations

Aligning spares optimisation strategies with long-term business objectives

Reducing Costs through Spares Optimisation and Rationalisation

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Available Dates

Custom Date Selection

Available Cities

Objectives and Target Group

Course Content

Reducing Costs through Spares Optimisation and Rationalisation

Date

Select a Date

Price