Service Parts Management

Service Parts Management (SPM) is the logical capability of planning, sourcing, stocking, and pricing the spare parts needed to keep an installed base running across its operational life. Unlike production-parts MRP, SPM optimizes against multi-echelon networks of forward stocking locations, intermittent demand, long-tail SKUs, and asset-availability service-level agreements.

What it covers

• Multi-echelon inventory optimization — stocking decisions across plants, hubs, depots, and trucks.
• Demand forecasting for slow-moving / intermittent parts (Croston, bootstrap methods).
• Service-level driven planning — set fill-rate targets per part-location pair.
• Repair vs replace, returns, and reverse logistics.
• Service pricing — list, contract, and lifecycle-based price optimization.

Relationships (see sidebar)

• Supports the Service and Maintenance, Warranty and Field Feedback, and Supplier Development processes.
• Implemented by systems like PTC Servigistics.
• Consumes Part Lifecycle Information and the installed-base records from Field Service Management.