The spare parts challenge of a multinational business

world map with interlocking lines

Posted on Tuesday, December 19, 2017

One of the big benefits of cloud services is their ubiquity – if you have an Internet connection, you can access the service. For multi-national organizations, this solves a major problem, reducing dependence on local data centers.

But the reality is that enterprise-class businesses can’t simply drop all of their existing assets and replace them with a cloud-based alternative. With so many moving parts in their infrastructure, the migration process will take years – assuming there are suitable hosted replacements for their legacy systems.

And so the localized data centers remain in place for the foreseeable future.

The issue of spare parts

Many OEMs use this complexity as a way to keep customers tied into their maintenance programs. With a global supply chain network at their disposal, OEMs can overcome challenges like shipping spare parts internationally.

This is critically important. A system outage caused by a critical component failure could last days, or even weeks, if parts cannot be imported quickly. The long-term effect could be catastrophic for the business – and that fear keeps CTOs paying over the odds for OEM support year after year.

Third parties have global supply chain networks too

Just because third parties have a lower profile than their OEM counterparts, does not mean they are necessarily any lessorganized. CDS maintains a multi-million dollar spare part inventory held in three different locations, making it simple to ship parts to clients throughout the world.

To ensure delivery in as little as 4 hours, CDS will often store high-demand parts in the customer data center, ready to be fitted by an engineer during an emergency. This approach solves common problems with importing, exporting and local customs checks in advance.

So although spare parts are a genuine concern for global businesses, the issue of international availability may not be as dire as the OEMs claim. Thirds party support and maintenance provides an effective way to control costs – without compromising spare parts availability.

To learn more about our global support network and spare parts inventory, please get in touch.

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