Service Optimization

Optimum Service Level in Planning and Logistics Execution of Service Parts

The increased impact of the after-sales and service market is not unique to the automotive industry. Customers in every industry have high and continuously-increasing expectations of being able to access service plans for purchased items that will keep them running smoothly for many years.

One of the logistics industry's greatest challenges involves finding a balance between the high level of service expected by the customer and the lowest possible logistics costs. Stock-keeping and rapid availability, along with the associated effects on the supply chain become more complicated as the number of different parts involved increases.

Car manufacturers, in particular, are at the end of a complicated supply chain involving hundreds of thousands of service parts - starting with small, cheap electronics modules and moving through bulky body panels to entire engines and transmissions.

Service parts management, spare parts and service, level of service, logistics service business

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SPM and IM&C - A Long History

SAP Service Parts Management is the result of a year-long development project for service part supply networks involving Ford and its logistics partner Caterpillar.

IM&C has been involved in the business specification and technical design aspects of this project since the very beginning, collaborating with SAP at its headquarters in Wiesloch as well as at Clients’ sites providing support in global implementations since 2005.

Please click on the link to access an example of an optimised SPM design.