MRO Parts Inventory Audit

An automotive manufacturer that produces, markets, and distributes vehicles and vehicle parts with 28 assembly plants across North America.

REQUIREMENT

The automotive manufacturer’s issues that required resolving were:

• The inventory of more than 6.5 million parts had an unacceptable accuracy rate
• All parts were located in automotive manufacturing plants spanning North America
• In-house employees could not be pulled away from other tasks to fix accuracy issues
• Due to union regulations, the cost could not exceed current, in-house inventory costs

SOLUTION

RGIS worked with the automotive manufacturer to complete the following:

• Experienced RGIS teams completed two proof-of-concept inventories, to meet union regulations
• The inventories resulted in lower costs and more efficient service
• Once the bid had been accepted, RGIS teams got straight to work correcting accuracy issues in the MRO inventory
• Inventories were completed at the auto manufacturing plants over the weekends, to avoid disrupting regular operations

RESULTS

By outsourcing the full MRO inventories to RGIS, the automotive manufacturer had:

• Completed full MRO inventories at 28 plants across the continent, at a lower cost than the in-house alternative
• RGIS auditors scanned 6.5 million pieces using pre-programmed handheld devices
• MRO inventory accuracy increased from a rate of 80% to a rate of 93%