Guidance Material And Best Practices For Inventory .
Guidance Material and Best Practicesfor Inventory Management2nd Edition
NOTICEDISCLAIMER. The information contained in thispublication is subject to constant review in the lightof changing government requirements and regulations. No subscriber or other reader should act onthe basis of any such information without referringto applicable laws and regulations and/or withouttaking appropriate professional advice. Althoughevery effort has been made to ensure accuracy, theInternational Air Transport Association shall not beheld responsible for any loss or damage caused byerrors, omissions, misprints or misinterpretation ofthe contents hereof. Furthermore, the InternationalAir Transport Association expressly disclaims anyand all liability to any person or entity, whether apurchaser of this publication or not, in respect ofanything done or omitted, and the consequencesof anything done or omitted, by any such person orentity in reliance on the contents of this publication. International Air Transport Association. AllRights Reserved. No part of this publication maybe reproduced, recast, reformatted or transmitted in any form by any means, electronic ormechanical, including photocopying, recording or any information storage and retrieval system, without the prior written permission from:Senior Vice PresidentSafety and Flight OperationsInternational Air Transport Association800 Place VictoriaP.O. Box 113Montreal, QuebecCANADA H4Z 1M1Guidance Material and Best Practices for Inventory ManagementISBN 978-92-9252-741-9 2015 International Air Transport Association. All rights reserved.Montreal—Geneva
Table of ContentList of Figures .vList of Tables .viiAbbreviations .viiiIntroduction .xPurpose of the Guide .xiScope . xiAudience . xiObjective . xiiSection 1—Goals of Inventory Management .1Section 2—Introduction to Inventory Classification .42.1Rotable Inventory .82.2Repairable Inventory .92.3Expendable Inventory .102.4Recoverable Inventory .112.5SPEC2000 Inventory Classification .122.5.1SPC 1 .122.5.2SPC 2 .122.5.3SPC 6 .12Section 3—Initial Discussion of Airline Provisioning .133.1Sources for Spares Provisioning Data .163.1.1Data from the Aircraft Manufacturer .163.1.2Operational Data from another Carrier with the Same or Similar Fleet .223.1.3Data from an MRO Partnering with the Carrier for Spares Provisioning and Repair/Overhaul .223.1.4Data from Industry Experts or Consultants .223.2How to Provision for Airline Operations .233.2.1Nine Step Model to Determine ROTABLE Inventory Support for Airline Operations .233.2.2Understand Airline Operational Goals .243.2.3Gather Needed Data .243.2.4Calculate Annual Demand .263.2.5Designate Stock Items .273.2.6Calculate Station Qualification .282nd Edition 2015i
Guidance Material and Best Practices for Inventory Management3.2.7Determine Allocation Quantities and Location . 333.2.8Determine WIP Support Inventory Levels . 413.3Formulate Procurement Strategy . 443.3.1Ownership . 453.3.2Leasing . 463.3.3Owned Versus Leased Assets . 473.4Options other than Ownership or Leasing . 503.4.1Inventory Pooling . 503.4.2Borrow Strategies . 513.4.3Exchange . 543.4.4Robbing Parts . 553.5Considerations for Different Types of Operators . 563.6New Versus Aging Fleet . 563.7Provisioning Considerations for an Airline: New or Leased Aircraft . 58Section 4—Monitor and Improve the Inventory System . 604.1Inventory Performance Metrics . 634.2Metrics and their Importance to Operations . 674.3An Integrated Approach for Metric Monitoring . 684.3.1Frequency . 684.3.2Format . 694.4Summary on Metrics . 72Section 5—Understanding Provisioning Calculations . 735.1Assumption of a Poisson Process . 735.2Notes on Essential Data and Sparing Calculations . 745.3MTTR or TAT . 755.3.1Using MTTR in Lieu of TAT . 765.3.2Summary of MTTR Versus TAT . 79Section 6—Forecasting, Practical Application and Impact on Sparing Strategy . 806.1Day to Day Operational Considerations . 816.2Surplus . 816.2.1Surplus of Excess Assets . 816.2.2Purchase of Assets on the Surplus Market . 836.3Airline-MRO Relationships . 846.4Inventory Sale-Leasebacks . 866.4.1iiSome Specifics Regarding Sale-Leasebacks . 872nd Edition 2015
Table of ContentSection 7—Optimization of Airline Inventory .897.1Goals Revisited with Optimization .917.1.17.2Organizational Structures .92Interactions an Inventory Manager Should Expect .957.2.1Internal Interactions .957.2.2External Interactions .987.3Expendable Planning .997.3.1Introduction .997.3.2Expendable Planning Strategies .1007.3.3Planning the Expendables Warehouse .1057.3.4Planning Station Expendables .1077.3.4.1Data Needed .1087.3.4.2Calculating Safety Stock .1087.3.5Planning the Station .1107.3.5.1Determine Stock Items .1117.3.5.2Determine Replenishment Lead Time .1127.3.5.3Set Allocation Quantity .1127.3.5.4Set Safety Stock or Min .1137.3.5.5Determine Reorder Point .1137.3.6Planning the Warehouse .1157.3.6.1Minimum Lot Sizes.1167.3.6.2Basic Inventory Model .1167.3.6.3Safety Stock at the Warehouse .1177.3.6.4Calculating the Safety Stock and Reorder Points at the Warehouse .1187.4MRP/ERP in Warehouse Management .1217.4.1EOQ in Warehouse Management.1227.4.2Discussion of Ordering Strategies .1237.4.2.1Planning for the Hangar Bay .1257.4.2.2Control of Expendable Inventories .1257.4.2.3Inventory Accuracy .126Section 8—Accounting for Rotables and Expendables .1278.1Introduction .1278.2Rotables .1278.3Expendables/Consumables .1288.4Accounting Summary.1302nd Edition 2015iii
Guidance Material and Best Practices for Inventory ManagementSection 9—New Value Chain Options . 1319.1Point-of-Use Trends . 1319.2Distributive Versus Allocated Models . 131Section 10—Inventory Assessment . 13410.1OECM . 13410.2Recommendation and Examples . 13510.2.1Recommendation . 13510.2.2Examples . 136Section 11—Work Cited . 138Section 12—Acknowledgements . 139iv2nd Edition 2015
List of FiguresList of FiguresFigure 1.Goal Hierarchy in Aviation Inventory Management.3Figure 2.Inventory Classifications and Characteristics .4Figure 3.Examples of Commonly Allocated Parts by Material Type .5Figure 4.Aircraft, Airframe, and Engine Inventory .6Figure 5.QEC and LRU Inventory Relationship to Engine and Airframe Inventory .8Figure 6.High Level Inventory System Design .13Figure 7.Nine Step Inventory Provisioning Model .24Figure 8.Situations with Potential for Inventory Consolidation .34Figure 9.Critical Path of Remove and Install .36Figure 10. Representation of the Removal and Repair Cycle Showing the Repair Pipeline .39Figure 11. Provisioning Options Summarized .55Figure 12. Typical Bathtub Curve .57Figure 13. Flow of Inventory through the Airline .60Figure 14. SIPOC Model .60Figure 15. Detailed SIPOC model .61Figure 16. Typical Six Sigma DMAIC Cycle .62Figure 17. Pareto Chart for Monthly No-Fills by Station .70Figure 18. Pareto Chart for Normalized Station Data .71Figure 19. Run Chart - Station 3 No Fills, Rolling 12 months .72Figure 20. Right Skewed Distribution .
section 1—goals of inventory management . economic order quantity eo engineering order erp enterprice resource planning etops extended-range twin-engine operations fmv fair market value fifo first in first out fak fly away kit fod
Switch and Zoning Best Practices 28-30 2. IP SAN Best Practices 30-32 3. RAID Group Best Practices 32-34 4. HBA Tuning 34-38 5. Hot Sparing Best Practices 38-39 6. Optimizing Cache 39 7. Vault Drive Best Practices 40 8. Virtual Provisioning Best Practices 40-43 9. Drive
Forensic Science Regulator GUIDANCE - GUIDANCE- GUIDANCE- GUIDANCE- GUIDANCE- GUIDANCE- GUIDANCE- GUIDANCE- FSR-G -206 Consultation Version Page 4 of 34 1. INTRODUCTION 1.1.1 For the purposes of this appendix, contamination is defined as "the introduction of DNA, or biological material containing DNA, to an exhibit at or after the point
The Global Association for Contact Center Best Practices & Networking www.ContactCenterWorld.com THE BEST PRACTICE SERIES Nov 11-15, 2013 Benchmarking, Networking & Best Practices IN THE CONTACT CENTER WORLD TOP RANKING PERFORMERS BEST PRACTICES CONFERENCE & AWARDS WORLD'S BEST LAS VEGAS . Kansas City Call Center
VMware ESX Host Best Practices for Citrix XenApp –Provides proven VMware best practices for vSphere hosts running XenApp workloads. Includes guidance in the areas of CPU, memory, storage, and networking. Citrix XenApp on vSphere Best Practices – Deploying Citrix XenApp on vSphere requires that proven best practices for the XenApp application continue to be followed. The focus in this section is on
Within each category, the Election Security Best Practices Guide separates the recommendations into two levels according to their criticality to help Election Authorities prioritize the implementation of the practices: (1) Priority Best Practices and (2) Standard Best Practices. Priority Best Practices are urgently critical and form the .
BEST PRACTICES FoR CRAFT, MEdIA & VISuAL ARTISTS In ALBERTA ALBERTA BEST PRACTICES - InTRoduCTIon 1 oF 2 2 InTRoduCTIon Best Practices are industry standards, or professional guidelines, for specific fields of work. Best Practices for Craft, Media, and Visual Artists facilitate fair, ethical interactions and equitable dealings between artists, and individuals or organizations that engage the .
9 of these Best Practices were rated as no longer effective and are recommended for deletion In addition, Focus Group 1C is proposing 2 new Best Practices to address gaps identified by the Focus Group Recommended modifications to the Best Practices and new Best Practices are included in Section 8.4 of this report. 3 Background
8 BEST PRACTICES FOR SMALL BUSINESS GIFT CARDS BEST PRACTICES FOR SMALL BUSINESS GIFT CARDS 9. BEST PRACTICES FOR SMALL BUSINESS GIFT CARDS 11 61% . nicer, more elegant carrier, like a gift box or tin that reflects your brand well. 14 BEST PRACTICES FOR SMALL BUSINESS GIFT CARDS BEST PRACTICES FOR SMALL
