Suppose you are in the plastic bags business and have several machines going at one time to keep up with customer’s demands. However, during the course of a day’s time, two machines need repairs and there are not enough Ro-an bag machine parts on hand. As a result, you have to order the parts needed and it will take several days to receive them. So how can problems like these be avoided? It may be as simple as ordering extra parts. Let’s check out the many advantages of this strategy.
Precious Time Lost
Time is something we all wish we had more of. In fact, once you lose a minute, hour or day, it can never be recaptured. When one of your machines is not running properly, it may need to be taken out of service. If you must have parts for the repairs, you need them now, not tomorrow or next week.
Costs Associated with Waiting for Parts
One of the most obvious problems associated with parts delays is downtime. You could have people on the payroll with nothing to do. They may have to be sent home or you might need to find other things for them to do. In any manner, your profits take a huge hit during this time. Here are some more problems you may be dealing with:
* Lost customers – your customers may be depending on your plastic bags and need them now. If one or more of your machines are down (and in need of Ro-an bag machine parts) for a specified amount of time, you may not be able to meet customer demand. If this happens too many times, your customers will go elsewhere.
* Lost reputation – if you lose a customer, it can hurt your business reputation. No one wants to be known as “unreliable” as this can make it very hard to earn new business in the future. When you decide to keep often used parts on hand, you can eliminate lengthy downtime and problems which come with it.
What about Older Equipment?
Ro-an machines are very durable and can be used for many years, but maybe you are thinking about replacing some of the old machines. You may be better off waiting until next year and having the right Ro-an bag machine parts on hand, can help you delay this business expense indefinitely. This is an important consideration for the company with limited capital and rising operating costs.
