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REASONS TO WORK WITH A MRO INTEGRATOR

In the MRO sourcing world, various kinds of activities are pursued by the procurement services but since the present global scenario is compelling the companies to shift towards MRO outsourcing and only do the very essential within the company on their part. The primary aim has been improving the quality of the critical operations and significant cost reduction. This shift was due to the impact of the global financial crisis witnessed in 2009. Since then companies have prioritized cost savings over connecting with new suppliers. Though the modern-day distributors are the best in terms of providing service and competitive pricing, they do no justice in providing assured total cost savings from the angle of MRO procurement and that's what differentiates them from MRO integrators.

REASONS TO WORK WITH A MRO INTEGRATOR
In the MRO sourcing world, various kinds of activities are pursued by the procurement services but since the present global scenario is compelling the companies to shift towards MRO outsourcing and only do the very essential within the company on their part. The primary aim has been improving the quality of the critical operations and significant cost reduction. This shift was due to the impact of the global financial crisis witnessed in 2009. Since then companies have prioritized cost savings over connecting with new suppliers. Though the modern-day distributors are the best in terms of providing service and competitive pricing, they do no justice in providing assured total cost savings from the angle of MRO procurement and that's what differentiates them from MRO integrators. Reasons to work with integrators: They play an indispensable role in achieving maximum TCO benefits by helping buyers achieve reduced TCO of MRO items. They function by working on the following 3 aspects: • Strategic Sourcing of items • Physical Supply Chain • Technology tools and integrations MRO integrators make sure to take strategic sourcing decisions in the best interest of their clients and work by integrating and aligning them to the physical supply chain. Also, integration of modern e-procurement practices in the conventional procurement practices of buyers is an additional function they perform. They try their best to do a 360-degree cover-up for all the activities of MRO procurement. The process of strategic sourcing can aid in yielding savings up to 5-20% of the annual spend on services. This also helps in establishing long-term and cost-saving relations with strategic suppliers. It is important to address the supply chain relations to lessen the burden of total landed costs and also inventory costs on the buyer which in turn leads to the establishment of a structured operations strategy. Once the strategic sourcing and operations have been addressed, the next thing an MRO integrator does is to choose the right technology tools and utilize them. In a nutshell, in addition to cost savings, MRO integrators use a holistic approach to integrate supply, repair, replacement, and maintenance of industrial goods and services. An added benefit is the elimination of suppliers as the companies can avoid the hassle of contacting multiple hardware suppliers by just having a single contract with an integrator who will do the needed.

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