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Case study

The impact of procuring reverse engineered spare parts on the supply chain : A case study

Nayif A. Al-Theeb
Journal of Supply Chain Management, Logistics and Procurement, 5 (4), 325-345 (2023)
https://doi.org/10.69554/CLUS5603

Abstract

The introduction of reverse engineering (RE) to the supply chain by procuring equipment spare parts allows to enhance the procurement process and to bring additional advantages such as localisation and economic benefits to the supply chain. This paper attempts to show the impact of enabling alternative qualified and more affordable supplier sources of spare parts to be part of the procurement process along with original equipment manufacturers (OEM) to supply the plant machinery’s spare parts for maintenance. In this case study, the reverse engineering of spare parts is intended for Saudi Aramco internal installation and utilisation and not for commercial purposes. This is particularly relevant to cases of OEM parts becoming obsolete or sources are diminishing, causing increased spare parts cost. The case study sheds some light on the work done, the challenges faced to enable such process and shares the methodology used. It also shows the cost saving, materials shortening delivery time, localisation and other benefits as a result of obtaining spare parts from reverse engineering manufacturers.

Keywords: reverse engineering (RE); sustainability; circular economy; obsolete spare parts; commodity material masters

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Author's Biography

Nayif A. Al-Theeb Nayif Al-Theeb is a supply chain management specialist with over 27 years’ experience with Saudi Aramco Oil Company. He graduated in mechanical engineering from King Fahad University of Petroleum and Minerals. Nayif has a wide technical experience in industrial equipment, spare parts and materials. He works with Procurement and Supply Chain Management where he supports Saudi Aramco in resolving technical issues related to procurement and supply chain. He is also involved in several procurement initiatives related to equipment and spare parts localisation, inventory optimisation and materials cost reduction. He is a member of Saudi Council of Engineers, American Society of Mechanical Engineers, American Society of Materials and Supply Chain Procurement Society.

Citation

Al-Theeb, Nayif A. (2023, June 1). The impact of procuring reverse engineered spare parts on the supply chain : A case study. In the Journal of Supply Chain Management, Logistics and Procurement, Volume 5, Issue 4. https://doi.org/10.69554/CLUS5603.

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cover image, Journal of Supply Chain Management, Logistics and Procurement
Journal of Supply Chain Management, Logistics and Procurement
Volume 5 / Issue 4
© Henry Stewart
Publications LLP

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