Materials management transformation
Materials management rebuilt as a commercial discipline: governance, stocking policy and accountability aligned to what the asset must produce - not to what the warehouse has always held.
Step 4 · Materials Management
What is your inventory worth when time catches up with it?
The right goods, at the right place, at the right time - today, and in five years. Most inventories answer the first question and quietly fail the second.
The diagnosis
Obsolescence always arrives. Stock bought against yesterday's asset plan ages into scrap on today's balance sheet, while the material the plant actually needs is on a lead time nobody tracked. Materials management is treated as a warehouse problem. It is a cash problem and a production problem - locked working capital on one side, deferred production on the other.
A missing part stops maintenance; stopped maintenance stops production. The warehouse is where that risk is stored, not where it is created.
What you receive
Inventory as an asset, not a habit
Inventory optimisation
Stocking levels, lead times and demand reconciled against the integrated activity plan. The outcome is unlocked working capital - and a structure that keeps it from locking up again.
Obsolescence mitigation
The ageing risk in the inventory made visible and priced, with a mitigation position for what to run down, what to preserve and what to write off - before time makes the decision for you.
Supply security, mapped to the asset plan
Critical materials mapped against the asset and its plan, so supply risk is known per item and per activity - not discovered at the moment of need. Grey stock in one place can be of value to one of your other assets.
You execute within your own ERP - the outputs land in your systems, not ours. Delivered as defined outputs under a service-level agreement.
Position in the chain
Step 4 of seven
Previous · Step 3 - Post Award Contract Management
The contractual side of the same discipline: intent, performance and commitment control after signature.
The service →Next · Step 5 - Commercial Assurance
The continuous, independent view that the whole chain - contracts and materials alike - holds the line.
The service →The whole chain: seven services, one chain of activities.
Further reading: obsolete inventory and materials management
See what your inventory is hiding
A demonstration walks your materials position through The Workbench - working capital, obsolescence exposure and supply risk against your own asset plan.
See it working - book a demonstration