MANY colleges and training providers shy away from running programmes on inventory management, but why?
Teaching and encouraging an interest in inventory management is often challenging; one has to overcome concerns that the subject is too abstract or conceptual. The objective often lies in linking the theory, practicality and the financial impact of the subject.
But when you consider that of the 75 per cent of franchised workshops surveyed, many have at least 50 per cent excess inventory than required, the growing importance of holding the right amount of inventory is critical to the business.
“The inaugural four-day programme with IMI Awards QAA (Quality Assured Awards) was well received as this was the first time that a programme of this nature has taken place in Malaysia,” said Matthew Stuart, IMI Awards representative in Malaysia.
IMI Awards is the leading awarding body for the retail motor industry in Britain and part of the Motor Industry group of companies.
We even went to the extent of transforming our training room at the hotel into a virtual parts depot, with a wide range of parts boxes scattered around the room.
“We wanted to give our participants the opportunity to gain hands-on experience and understanding of key concepts like the ABC stock management system, inventory turn or order fill rate.”
Findings have demonstrated that a well-planned programme delivery system that includes opportunities to see, experience and discuss will greatly enhance the learning process. No matter how process-oriented your organisation is, there is always room for improvement.
The objective of the spare parts department of any dealership is to strike a balance between inventory investment and customer service levels. In the quest to maximise return on investment, many dealerships fail to scrutinise their investment of inventory.
Leaders today lack the understanding of this balancing act and the need to engage with the parts manager; to review the stock status and to appreciate the level of specialisation and analytics required.
Dealerships in Malaysia traditionally put much focus on the front end of the business. The parts department is the least understood and often due to neglect, the staff lack morale, as they are literally stored away in a poorly lit warehouse and not given the due training.
By partnering with IMI Awards, the knowledge gained in the management of parts ordering, stocking and administration will productively plug wasteful leakages; as well as raise staff morale.
The four-day programme was spread over three months to give the participants the opportunity to apply the newly acquired skills and knowledge at their work place. It also gives the trainer the opportunity to visit and interact with the participants on-site during the duration of the programme.
“We were delighted to witness the quality of individual presentations by the participants who recently completed the Parts Management Programme,” said Ramachenran Krishnan, one of the subject matter experts facilitating the programme.
Participants were encouraged to reflect on what they had most effectively learnt from the programme and how they can apply this new skill and technique to improve the parts operations at their workplace.
The participants were a great mix of global brands ranging from European to Japanese, motorcycle OEMs, a leading parts stockist and even new friends from Hyundai, Land Rover and Jaguar dealers from the Brunei.
