UK manufacturers writing off millions due to MRO supply chain issues claims ERIKS report

Based on a survey carried out in association with the Institute of Engineering & Technology, the Maintenance, Repair and Operational (MRO) Supply Chain report - which covers MRO procurement, the engineering stores function, and the MRO supply chain - shows that in 2023 the main causes of down time in UK manufacturing businesses were spares availability and lead time issues.

Amongst other key findings, the report identifies a direct link between unscheduled downtime and the operation of the engineering stores, the supply chain, and the MRO procurement function.  

A further revelation is that UK manufacturers are collectively writing off millions of pounds of MRO stock every year. Comparisons between data collected in 2016 and 2023 show that oversight in this area has declined markedly and that stockpiling, undertaken as a reaction to Brexit, the global pandemic and more recently the conflict in Ukraine, has resulted in businesses both tying up cash in inventory and writing that investment off as products age or go unused. The serious issue of MRO product obsolescence is covered in detail in the report.