The MRO software advantage

In modern manufacturing, efficiency is everything. Margins are tight, global competition is fierce, and resources, whether financial, human, or material, must be used wisely. Yet in many plants, a quiet but costly inefficiency persists: spare parts that sit unused for years, occupying shelf space, tying up working capital, and quietly draining value from the business.

For most manufacturers, maintenance, repair, and operations (MRO) remains a highly manual, fragmented process. Storerooms are managed locally, data is inconsistent across sites, and procurement teams spend valuable time chasing information or reordering parts already in stock. While these inefficiencies are widely acknowledged, the adoption of dedicated MRO software is still far from universal.

Our latest report, The MRO strategy gap: The overlooked lever for margin growth, shows that only 34% of manufacturers use MRO software today. Yet those that do report measurable improvements in inventory levels, spend reduction, and operational efficiency. Results that directly enhance profitability and resilience.

The inventory impact

Large MRO inventories are often bloated with duplicate items, obsolete parts, or stock that has sat unused for years. Without a clear, centralized view of what is on hand, teams continue to reorder unnecessarily, tying up capital in parts that may never be used. At the same time, critical items can still be missing when needed, leading to downtime.

The MRO software advantage: Among manufacturers using MRO software, 96% reported a reduction in inventory levels, averaging 9%. More than a third of this group cut inventory by over 10%. These reductions come not from risky cost-cutting, but from targeted actions such as removing duplicates, cleaning obsolete items, and reallocating unused stock before new purchases are made. The result is a leaner, more accurate inventory that still protects against unplanned downtime.

Figure 11: Change in spare parts inventory since MRO software implementation

Lowering MRO spend

Procurement teams face constant pressure to control MRO spend, yet poor visibility into existing stock and inconsistent data make this difficult. In many cases, teams are ordering parts that already exist in another storeroom or ordering premium replacements when more affordable alternatives are available.

The MRO software advantage: 78% of companies using MRO software reduced their MRO spend, with one in four cutting costs by over 11%. With accurate data and visibility, procurement teams buy only what is needed. One of the world’s largest automotive suppliers achieved 98% master data transparency after enriching its purchasing data with verified manufacturer information, resulting in a sustainable, mid-six-figure reduction in global spare parts procurement costs.

Figure 12: Change in overall MRO spend since adopting current MRO software

Driving efficiency gains

Manual MRO processes slow down a wide range of processes, from material creation to spare parts searches. Locating a single part can involve multiple systems, outdated spreadsheets, or phone calls to different sites. This not only wastes time but also delays repairs and procurement cycles.

The MRO software advantage: 39% of companies using MRO software reported efficiency gains of over 21% in MRO activities. By automating or streamlining time-consuming tasks, such as spare part lists checks, material creation and management, and supplier sourcing, organizations free up maintenance and procurement teams to focus on preventive maintenance, supplier relationships, and higher-value strategic work.

Figure 13: Change in time spent on MRO activities since software implementation

Why the gap remains

If the benefits are so clear, why are two-thirds of manufacturers still relying on outdated processes? Several barriers persist:

• Perceived complexity of implementation: Many organizations underestimate the speed at which modern MRO software can be deployed.
• Siloed ownership: Without joint buy-in from procurement, operations, and maintenance, software adoption stalls.
• Competing priorities: MRO is still viewed as secondary to other transformation initiatives, even when its ROI is faster and more predictable.

Moving from opportunity to action

The findings are clear: manufacturers that have embraced MRO software are achieving measurable reductions in inventory, procurement spend, and administrative time. These are not marginal improvements. They represent structural changes in how spare parts are managed and directly strengthen resilience, free up working capital, and improve the speed and quality of maintenance and procurement decisions.

For the majority of manufacturers still relying on disconnected systems and manual processes, the gap is widening. The longer organizations delay addressing visibility, data integrity, and standardization, the more entrenched inefficiencies become. In a competitive landscape where uptime, agility, and cost control are decisive, these inefficiencies represent lost margin and missed opportunity.

By building a single, accurate view of inventory across sites, standardizing and enriching material master data, and embedding these capabilities into daily operations, manufacturers can unlock the same gains already being achieved by early adopters. The path to these outcomes is clear, and the technology to enable them is proven. What remains is the decision to prioritize MRO optimization.

In The MRO strategy gap: The overlooked lever for margin growth, we explore the state of MRO in depth and provide answers to questions, including:

• What percentage of manufacturing executives report improved margins from MRO optimization?
• Which challenges are at the top of the list for operations and procurement teams, and do they align?
• How does a growing volume of spare parts unused in inventory equate to bottom-line figures and costs?

Download the full report to see how your organization compares, and where the fastest, most reliable gains can be made.