What is MRO?

What is MRO?

Equipment.  It’s a word that can refer to a lot of different items.  In the case of MRO (Maintenance Repair and Operations), it’s the equipment that’s used to produce end products.  But MRO can also refer to things as mundane as required cleaning products and office supplies.

With hundreds of subcategories falling under category headings, there are millions of SKUs (stock-keeping units) and it’s always the case that these are sourced from an array of suppliers, due to the disparate nature of the items required across disparate locations.

That can get hairy for procurement.

What is MRO?  It’s a complex system of keep your operation working as it should.  It allows you to know what’s on hand, what’s needed and which contingencies are likely to arise, in an ideal world.  But due to the complexity of MRO, things don’t always go that way.

Different strokes

Clearly something as big and as crucial to operations as MRO deserves pride of place in a centralized setup.  But not all companies manage their MRO that way.

Many companies run MRO out of a variety of physical plants all over the country or all over the world. The reasoning behind this is that people on the ground have a clearer view of MRO needs.  But the problem with this methodology is that silos develop, personal styles dominate and there are few, if any, overarching control mechanisms.

What’s also clear about the de-centralized model is that you’re probably not going to get the most from your spend, as fragmentation of spend undermines economies of scale.

MRO challenges

Because of the millions of SKUs involved, a formidable data setup is needed.  Continual management of inventory and the supply chain is supported by data that helps you keep the many strands of MRO from becoming tangled and incoherent.

Inventory control is also a tremendous challenge in MRO.  When multiple locations are involved, inventory control becomes unduly complex.  It’s the simplest model that always serves the supply chain best and that isn’t achievable in a de-centralized MRO.

Because the MRO market is continually evolving, expertise in the field is the best-in-class method for achieving MRO that serves your operation better.  That’s why so many companies are outsourcing their MRO to procurement professionals like CenterPoint Group.

What CenterPoint brings to the MRO party

CenterPoint Group is a trusted procurement advisor that makes sense of the MRO chaos.  We bring your operation focused expertise that keeps apace of market changes, while applying keen data analysis to your MRO that creates efficiencies and generates savings.

We’re seasoned experts who come to you from suppliers and the business world.  With 15 years of focused experience in the fine art of data wrangling, we know how to interpret and analyze data to add value to your MRO.

Up-to-the-minute market intelligence is what you need to get the most from your spend.  Coupled with insight into supplier pricing methodologies, we re-create your MRO as a finely-tuned machine that gets you the most sustainable and responsive supply chain.

Ready to revolutionize your MRO?  Contact us.

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