Distell is Africa’s leading producer of wines, spirits, ciders and ready-to-drink (RTD) beverages, sold across the world
Spares Optimization Project
Most manufacturing companies end up with a decent number and value of spares in satellite stores and that is due to lack of trust to the Engineering stores to provide a spare parts when it is needed.
The shortcoming of such a behaviour is that:
1. Lack Spares visibility
2. Spares costs are directly expensed instead of procured through stores
3. Deliveries are made to individual instead of central stores receiving
4. Duplicate of stock holding due to some items are in stores but they are still procured direct
5. Maintenance cost becomes in accurate as spares used are not issued using a proper process
6. Incorrect inventory levels since spares are in satellite stores and they do not have history of usage.
Read More
Spares Optimization project at Distell Springs Operations, South Africa
Distell Springs operation unlocked the value and number of spares from the satellite stores to central stores and the programme yielded a R6 Million worth of spares. The programs used a simple process by separating the stock items and non stock items, the stock items were returned to stock through the Return to stock process and the non stock items were given proper item descriptions / Literature and the list of non stock items made available to all the buyers at Distell to enable them to source from the list instead from the suppliers
