How Maritime ERP Software Helps Ship Managers Control Procurement and Spare Parts Costs

Have you ever asked yourself how a fleet's purchase procurement budget mysteriously gets depleted? Simple purchasing mistakes, duplicate orders, excess inventory and emergency purchasing will cause incremental cost increases across several ships. 

Today's maritime ERP software integrates purchasing, maintenance, inventory, and finance data into a single application. This allows managers of ships to see clearly what each ship requires, what is available, and when additional purchasing is needed. 

Connecting Maintenance With Procurement 

Maintenance activity dictates when spare parts will be needed. An integrated system that links planned maintenance plans to procurement plans ensures that requisitions are prepared for parts well in advance of need.

The marine procurement software helps the reduction of rush orders as well as ensures shore staff are better informed about the future maintenance requirements of all the vessels. 

Key features 

• Maintenance-based requisitions 
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• More efficient procurement plans
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• Reduced double ordering 
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• Proper specification of parts
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• Better coordination of ship and shore

Improving Spare Parts Visibility

Awareness of existing parts prevents duplicate orders. Ship spare parts management provides awareness of available stock levels onboard, which will allow checking of existing quantities prior to making any new requisition. 

Standard part numbering and component history also give further clarity in the purchasing process. Correct data helps avoid ordering wrong parts that would lead to further complications. 

Making Vendor Selection More Efficient 

The selection of suppliers entails detailed comparative analysis of cost, delivery time, and past performance records. The use of maritime ERP software can help to arrange quotations from various maritime vendors for effective comparison. 

Other ways of managing supplier selection include an online approval process that enables managers to review future spendings and avoid unplanned purchases. 

Controlling Inventories And Hidden Expenses 

Having too many spare parts on board means keeping money that should go somewhere else. Good maritime inventory management offers fleet-wide inventories, allowing managers to see what is available before buying anything else. 

Improved planning will allow saving on space while ensuring that essential parts are available. Proactive procurement will minimise rush delivery costs even further. 

Key Areas That Require Constant Attention 

Cost Area  

What Managers Must Pay Attention To

Stock 

Availability and requirement amounts 

Cost of suppliers  

Cost quotations and delivery times

Parts usage 

Usage history  

Urgent orders  

Purchases and rush charges  

Invoices   

Quantity ordered, received, and invoiced  

Bringing Procurement Under Better Control 

A specialised system for vessel procurement software will help to arrange all aspects of the process, including the requisitions, quotes, approvals, purchase orders, and receipts in a single workflow. As a result, ship managers will have better insight into the procurement from beginning to end. 

The automated process of matching purchase orders, receipts, and invoices may be useful to detect any inconsistencies prior to making payments. Thus, the process becomes more efficient and controlled. 

Winding Up

Efficient cost control of procurement will be ensured through proper inventories, correct choice of suppliers, and better collaboration between maintenance and purchasing units. The maritime ERP software integrates all these processes into one to enable ship managers to optimise their purchasing of spare parts.

Are you interested in having better control over the procurement process in your fleet? If yes, Try Naviox, the maritime-connected platform for vessel operations, inventory and purchasing