Inventory Management in Ellipse

~~1.1.1 The Public Transport Authority’s (PTA) Network and Infrastructure Division (N&I) holds an inventory of maintenance, repair and operating (MRO) parts and materials for the PTA’s rail infrastructure. There is a total of 39 locations where this inventory is stored, comprised of 7 dedicated storage facilities and other locations that are not formally recognised as storage locations (e.g. Signal Equipment Rooms).

1.1.2 Over 40% of the PTA’s total inventory is managed by N&I, and this proportion is growing. However, each branch within N&I manages inventory in different ways, and there are no dedicated store personnel. The disparate management practices, lack of documented processes and controls, combined with the number of people involved, results in there being no reliable, central source of information on the Division’s inventory holdings. These current practices have contributed to inventory increasing substantially.

1.1.3 Other issues with N&I’s current inventory management processes include:
• No visibility of stock levels for use in maintenance planning.
• Little control or visibility of stock holdings. Leading to an inability for anyone involved in maintenance to understand where spare parts are located at any point in time.
• Non-compliant and reactive procurement.
• The possibility exists that excess stock is purchased. Through unawareness of items in stock, or stock levels being unknown, unnecessary purchases are made of items already in stock.
• Inventory stored at uncontrolled locations, especially in regards to project related inventory that is left at N&I storage locations at the end of projects.

1.1.4 Introducing operational efficiency, improved practices and controls around N&I’s inventory is required to improve business efficiency and procurement compliance. Most importantly mitigation can be applied to a system currently lacking visibility of stock holdings in various locations. Transperth Train Operations (TTO) are currently using Ellipse to manage their inventory, as such N&I have an opportunity to use Ellipse functionality to improve the division’s inventory management processes.