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Material Spares Data Management

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The information you provide to your maintenance, operations and procurement professionals determines whether they can find the spares they need, what they ultimately buy, and how long it all takes - from maintenance request to procurement to your suppliers to inventory receiving. Poor information causes unnecessary requests for new spares, delays in completing work orders, poor spend control, and bloated inventory. But properly managing MRO materials data can be a daunting challenge for asset intensive companies, which often have tens of thousands of items (or SKUs) per plant. Typical implementations of SAP Material Master for MRO do not fully sup- port company goals of user efficiency and effectiveness, inventory cost management, and increased material availability within asset intensive organizations such as Oil & Gas Production and Refining, Energy Generation, Consumer Products, and Chemical Manufacturing. Problems include: Incomplete and inconsistent Material descriptions that limit users ability to find and compare parts Unrecognized duplication of inventory because of poor descriptions Inadequate tools for managing new part requests and updates No comprehensive strategy for ongoing material data governance Centrally managed and standardized spares information can eliminate the com- mon problems of spares management by: Increasing corporate visibility of spares Ensuring that failed searches really do mean that you don't have the part Streamlining new part requests MRO Data Governance for MDM Material Spares Data Management “It’s a great prize to get to, if we can define our materials in a consistent way” . . . citing “huge benefits” from IHS Intermat and SAP MDM Andy Walker, BP MDM Architect – SAP SAPPHIRE EMEA 2007
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Page 1: Material Spares Data Management

The information you provide to your maintenance, operations and

procurement professionals determines whether they can find the

spares they need, what they ultimately buy, and how long it all

takes - from maintenance request to procurement to your suppliers

to inventory receiving. Poor information causes unnecessary

requests for new spares, delays in completing work orders,

poor spend control, and bloated inventory.

But properly managing MRO materials

data can be a daunting challenge for asset

intensive companies, which often have

tens of thousands of items (or SKUs) per

plant. Typical implementations of SAP

Material Master for MRO do not fully sup-

port company goals of user efficiency and

effectiveness, inventory cost management,

and increased material availability within

asset intensive organizations such as Oil &

Gas Production and Refining, Energy

Generation, Consumer Products, and

Chemical Manufacturing. Problems

include:

• Incomplete and inconsistent Material

descriptions that limit users ability to find

and compare parts

• Unrecognized duplication of inventory

because of poor descriptions

• Inadequate tools for managing new part

requests and updates

• No comprehensive strategy for ongoing

material data governance

Centrally managed and standardized

spares information can eliminate the com-

mon problems of spares management by:

• Increasing corporate visibility of spares

• Ensuring that failed searches really do

mean that you don't have the part

• Streamlining new part requests

MRO Data Governance for MDM

Material Spares Data Management

“It’s a great prize to get to, if we can

define our materials in a consistent

way” . . . citing “huge benefits” from

IHS Intermat and SAP MDM

Andy Walker, BP MDM Architect

– SAP SAPPHIRE EMEA 2007

Page 2: Material Spares Data Management

The Solution - MDM Optimized for MRO

MDM Optimized for MRO is designed to assist you in

resolving issues in MRO spares management by leveraging

IHS Intermat and SITA CORP's broad range of knowledge of

the industry best practices for data and process manage-

ment. We do this through a combined System, Business

and Data Comparative Analysis - delivering a comprehensive

and actionable Report of Findings, which documents the

customers' current situation, areas for improvement and rec-

ommended “Next Steps”. We then use these findings to

cleanse and standardize customer spares data according to

the IHS's Standard Modifier Dictionary™ (SMD™) - the most

widely used taxonomy for MRO spares - and to establish a

central catalog for searching and maintaining spares data.

Once implemented, MDM Optimized for MRO provides

powerful search and retrieval capabilities, as well as data

governance over changes and requests, built on the world's

foremost data dictionary for MRO and using a platform

proven in hundreds of customer implementations.

IHS Intermat, the worldwide leader in structuring and stan-

dardizing MRO spares content and an SAP Content Partner,

has teamed with SITA CORP, an SAP Services Partner and

leader in Enterprise Data Management, to offer the premier

singular source of MRO and data management expertise.

MDM Optimized for MRO is a package of domain specific

services for cleansing. standardization, and process improve-

ment to leverage the capabilities of SAP's Master Data

Management platform to manage catalog data and

workflows in a complex landscape.

SITA CORP and IHS's delivery of MDM Optimized for MRO

embodies industry leading expertise and MRO experience

not before available in a single, cohesive solution. MDM

Optimized for MRO is designed to address all of these

issues - leaving you with cleansed data, software tools and

training customized to meet your unique business require-

ments and IT environment.

What You’ll Receive

Only IHS and SITA CORP have the proven combination

of technical content, tools, and expertise to deliver a

comprehensive solution to manage MRO spares and

optimize MRO inventory.

Why let your users base their decisions on this . . .

. . . when they could be basingtheir decisions on this . . .

Text/KeywordSearch

Multi-ItemSelect/CompareHierarchical

(SMD) Search

ParametricSearch

Attributed ItemDetail View

Page 3: Material Spares Data Management

SolutionComponent Description Unique Benefits

IHS StandardModifier Dictionary(SMD)™

Provides the basis for cleansing and standardizing existingdata, and for establishing ongoing consistency in sparesdata, that ensures users can find the parts they need andeliminates unnecessary requests for new spares.

MRO Data Collection,Classification &Standardization

Services to collect, classify and standardize legacy material masterdata, with optional data enrichment.

Provides a basis for duplicate identification and improvedspares management.

DuplicatesIdentification

Collapse disparate and redundantsupply chains through identificationof potential duplicates from partnumber and technical characteristicmatching.

Provides a single catalog record, even if the spare exists in multiple systems or plants, improving inventory visibilityand control.

MDM Repositoryfor MRO Materials

“Out of the box” IHS repository builtaround the SMD.™

Reduces implementation time and cost by allowing everyoneto concentrate on what is unique to your company.

MDM Configurationand Implementation

Implementation of SAP MDM forMRO Spares.

Provides a parametric catalog for accurate searching, andtools, including workflow, for data governance of spares.

DescriptionGenerator

Code for generating standardizedShort and Long Descriptions.

Automatically generates consistent short description andPO text as part of the data management process.

Integration Integration with systems that consume spares data.

Ensures that other systems have clean data to supporttheir needs.

SAP Portal SAP Portal configured as a catalog,with workflow for new spares requests.

An easy to deploy, web-based catalog front-end for users thatsupports both keyword and parametric searching, as well asproviding a vehicle for initiating new material spares requests.

Inventory Analysisand Optimization(IHS MRO InventoryOptimizer poweredby xIO™)

Analytics and performance manage-ment of MRO inventory at the item level, including automatedadjustment of order points, orderquantities, and lead times.

Identify what moves, how often and monitor lead times -and supplier performance - using the only web-based solution expressly designed for use with MRO inventories.

Adobe InteractiveForms for offlinematerial requests

Integrates SAP Adobe InteractiveForms as part of the new materialrequest workflow.

Allows users a simple interface that can be used online oroffline for initiating requests for material spares.

SMARTSearch™ Google-like catalog search UI. Provides a simpler, more-scalable user interface for thecatalog.

The Solution Package includes the following:

The preeminent MRO catalogingmethodology composed of approxi-mately 2,500 classification templates,9,000 technical attributes and 30,000values for MRO materials - certifiedcompatible with SAP MDM and usedby over 100 SAP customers worldwide.

ERP Integration OCI Integration of the Portal catalogwith ERP transactions such as WorkOrders and Requisitions.

Allows users to access the catalog from within ERP transactions, find spares, and pull them into transactions singly or in groups.

Training Training of data stewards in themanagement of the SMD™ and useof SAP MDM.

Allows your company to manage your own processes going forward.

Optional Components (not part of core Solutions Package)

Page 4: Material Spares Data Management

BenefitsMRO material master data management and

inventory optimization must be operational

imperative for asset intensive companies, due to

the high investment in capital assets and their

supporting materials and spare parts.

Organizations which have implemented SMD

as part of their MRO spares management, and

MDM as part of the data management process,

have recognized significant savings and efficiencies.

With MDM Optimized for MRO, you'll enjoy

the benefits of a central corporate repository

of standardized MRO information, which:

• Provides a single view of spares, improving

user's ability to find parts and supporting

enterprise-wide inventory visibility and reporting

• Enables data governance through workflow

and other system controls, ensuring data

reliability and integrity with clean, consolidated

and consistent material master data across the

enterprise

• Keeps down inventory costs by eliminating

erroneous requests for new material spares

Find Out MoreTo find out how MDM Optimized for MRO

can boost cash flow and material availability

at your company, contact IHS or SITA CORP

today for a complimentary consultation.

0231_MDM_Optimization_JB 4/09

For more information on IHS Intermat:

Worldwide +1 281 304 0897

Web: www.ihs.com/MRO

Email: [email protected]

About IHSIHS (NYSE:IHS) is a leading global source of critical information and insight, dedicated to providing the

most complete and trusted data and expertise. IHS product and service solutions span four areas of

information that encompass the most important concerns facing global business today: Energy, Product

Lifecycle, Security and Environment. It serves customers ranging from governments and multinational

companies to smaller companies and technical professionals in more than 180 countries. IHS is celebrating

its 50th anniversary in 2009 and employs approximately 3,800 people in 20 countries. Intermat is an IHS

solution focused specifically on helping Global 2000 organizations optimize and manage their industrial

MRO parts information. IHS Intermat cleanses, standardizes and enriches unstructured MRO/Indirect parts

data using industry-proven templates and tools.

About SITA CORPSITA CORP, a global provider of proven business management solutions and SAP consulting services,

assists companies in adapting and leveraging technology to solve business challenges, expedite growth

and reduce costs. SITA CORP enables and integrates SAP NetWeaver technologies, and enhances

solutions with its proprietary accelerators and automation tools.

IHS is a registered trademark of IHS Inc. All other company and product names may be trademarks of their respective owners.Copyright © 2009 IHS Inc. All rights reserved.

For more information on SITA CORP:

Worldwide +1 732 906 7806

Web: www.SITACORP.com

Email: [email protected]


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