Aftermarket supply chains deliver parts, repair, maintenance, and digital services for equipment or goods that have already been sold (e.g. automotive spare parts.) To meet evolving customer service demands, CEOs at industrial OEMs are increasing their focus on Aftermarket services. In doing so, unlocking untapped value by strengthening core Aftermarket business.
Traditional Approach & Challenges
High inventory costs are frequently a critical challenge for Aftermarket supply chains. At its core, the issue usually comes down to forecasting service requirements and parts replenishments, while concurrently optimizing spare parts inventory.
The results in a supply chain dilemma; improving customer loyalty through high aftermarket service availability, while at the same minimizing aftermarket inventory.
This makes knowing which parts (and how many of each) to keep in stock at a given point time a complex task, especially when considering the high volume and urgent customer demands for timely Aftermarket products.
A primary SCAS differentiator is its ability to continuously incorporate high volumes or granular demand data for Aftermarket products. This data comes together to provide a clear picture of:
- Spare parts usage insights across product and consumer segments
- Overall customer usage insights for the products being serviced
Leveraging the AP&I AI Engine, SCAS learns potential consumption scenarios for spare parts to direct Aftermarket supply chain management activities. This shift away from manual forecasting and towards (near) real-time inventory optimization delivers immediate ROI and ongoing longer term benefits related to production capacity and profitability