What is the minimum amount of spares that should be pulled?

To determine the minimum amount of spares that should be pulled, it is essential to consider standard practices in inventory management and spare parts management. The 10% figure represents a commonly accepted threshold in various industries to ensure that there is a sufficient buffer to meet unexpected demand or unforeseen equipment failures. This percentage strikes a balance between maintaining operational efficiency and managing costs effectively.

When using 10% as the minimum spare parts level, organizations can avoid potential disruptions caused by breakdowns or repairs, while not over-investing in inventory that might not be used frequently. This helps in maintaining workflow continuity and ensures that necessary parts are readily available without excessively tying up capital in inventory.

A lower percentage, such as 5%, may not provide adequate coverage for unforeseen issues, increasing the risk of downtime. On the other hand, higher percentages like 15% or 20% could lead to overstocking, resulting in higher holding costs without a corresponding benefit in terms of operational readiness.

Therefore, the choice of 10% effectively balances the need for reliability in operations with prudent financial management, making it a widely accepted standard in the field.