MCA Solutions
MCA Solutions is an American based provider of decision support technology for spare parts planning and management. Founded in 1999, MCA Solutions works with complex equipment manufacturers to determine optimal spare parts stocking levels and locations to support equipment in the field and increase product availability.
MCA’s technology can be classified as spare parts planning, service parts planning, service parts optimization, service parts management, Strategic Service Management, service management and readiness based sparing.
History
In the 1980’s, Dr. Morris Cohen and Dr. Vipul Agrawal recognized the revenue-generating capability of the service supply chain and established new algorithms, methodologies and workflows that would identify opportunities to reduce inventory investment, while improving customer satisfaction. Their work gained attention from manufacturers including General Motors and IBM.
In 1999, Dr. Cohen and Dr. Agrawal officially founded MCA Solutions as a decision support technology company for spare parts planning and developed its Service Planning and Optimization (SPO) software suite. MCA Solutions serves manufacturers in the following industries: aerospace and defense, high technology, capital equipment, medical and semiconductor.
Today, Dr. Cohen is the Panasonic Professor of Manufacturing and Logistics at the Wharton School of the University of Pennsylvania and continues to work with MCA Solutions as chairman of the board.
Focus
MCA Solutions’ software, Service Planning and Optimization (SPO), consists of three core modules: ‘Strategic Planning’ ‘Tactical Planning’ and ‘Service Business Design. All three modules are designed for manufacturers across the aerospace and defense, high technology, capital equipment, medical and semiconductor industries and can be licensed traditionally, or accessed OnDemand.
Strategic Planning consists of forecasting parts demand and determining optimal stocking lists and stocking levels for optimized aftermarket service. Comparison and analysis of service scenarios help determine the most profitable and efficient supply chain design, service offering, and relationships with your outsourcing, repair, and supply vendors.
Tactical Planning involves generation and prioritization of optimal new buy, repair, transshipment and allocation orders to meet service level objectives.
Service Business Design allows service managers to analyze several business scenarios to ensure that they have full visibility into the factors that drive the profitability of their service operations. This includes creating an efficient service supply chain structure to determine the best service product to meet customer demand, and identifying the most profitable supplier relationships.
Performance Based Logistics (PBL): The United States Department of Defense (DoD) has mandated that PBL programs be adopted by its major weapon systems and equipment suppliers. PBL programs align incentives by directly tying supplier compensation to product performance and customer value. Suppliers such as Boeing Integrated Defense Systems, Lockheed Martin Aeronautics, Bombardier and Rockwell Collins are using MCA’s spare parts planning technology to meet the DoD’s mandate.
SAP Partnership
In 2006, MCA Solutions partnered with SAP AG as an Endorsed Business Solution for spare parts planning. The two companies now offer a joint solution called Service Inventory Optimization (SIO) which consists of MCA’s core software integrated with SAP’s ERP system. The companies share several joint customers including KLA-Tencor, the U.S. Navy and Bombardier Aerospace.
Achievements
MCA has received several industry awards including:
2009
- Supply & Demand Chain Executive ‘Pros to Know’
- Supply & Demand Chain Executive 100
2008
- Deloitte Fast 50
- Supply & Demand Chain Executive ‘Pros to Know’
- Start-IT 125
- Start-IT’s ‘Hottest Companies’
- Supply & Demand Chain Executive 100
- Rated “Positive” in Leading Analyst Firms’ Service Parts Planning MarketScope
Report 2007
- SAP Pinnacle Award
- Tibbetts Award
- Start-IT 125
- Supply & Demand Chain Executive ‘Pros to Know’
2006
- Manufacturing Business Technology’s ‘Emerging 40 Award’
- Named "The Apple of the SaaS Market" by Technology Evaluation Centers
- Named #1 Provider of Service Parts Inventory Optimization by ARC
- Global Logistics & Supply Chain Strategies ‘Great Supply Chain Partner’
- Supply & Demand Chain Executive ‘100’
- Supply & Demand Chain Executive ‘Pros to Know’
2005
- Deloitte and Touche Fast 50 Technology Companies
2004
- Philadelphia 100
- Red Herring’s Top 100 Innovators
- Ernst & Young U.S. Entrepreneur of the Year Finalists
- MCA Chairman Receives MSOM Distinguished Fellow Award
- Supply & Demand Chain Executive ‘100’
2003
- National Science Foundation Innovation Award
2002
- Aberdeen Group & AFSM "What Works" Award
2001
- National Science Foundation Innovation Award
In 2006, Dr. Morris Cohen and Dr. Vipul Agrawal were published in the Harvard Business Review. Their article is titled “Winning in the Aftermarket,” and it highlights after-sales service – both as a means of driving customer loyalty, and profits.
Understanding the harsh economic climate in 2009, Dr. Morris Cohen wrote 'The Value of Aftermarket Service in a Down Economy'. The piece highlights areas where manufacturers need to focus to maintain customer retention while bettering their businesses. 1
Partners
MCA Solutions is partnered with 2Moro, AFSM International, Astea International, BearingPoint, CACI International Inc., DHL, SmartCo Services LLC, SAP AG, SeeControl, Semi and the Supply-Chain Operations Reference (SCOR).
Customers
MCA Solutions customers have included: Bobst Group, Boeing, Bombardier Aerospace, Briggs & Stratton, Brocade Communications Systems, Cisco Systems, Cymer, KLA-Tencor Corporation, Lam Research, Lockheed Martin, Rockwell Collins, Sysmex Corporation, Tellabs, U.S. Navy and Varian Semiconductor
Industry Acronyms
PBL – Performance Based Logistics
SPP – Service Parts Planning
MRO – Maintenance, Repair and Overhaul
RBS – Readiness Based Sparing
References
- The Service Supply Chain: Turning Potential into Profit, Inbound Logistics, May, 2006
- Getting Service Parts Logistics Up To Speed, Inbound Logistics, November, 2006
- When Companies Compete on After-Sales Support, Service Supply Chains Take Center Stage, Global Logistics & Supply Chain Strategies, March, 2006
- Aftermarket Outlook, Aviation Maintenance, May, 2006
- MCA asks: Why choose one major ERP partner when you can have two?, Manufacturing Business Technology, November, 2007
- MCA scores deal with Navy to manage jet parts stock, Philadelphia Business Journal, February, 2007
- Rethinking the service supply chain, The Manufacturer, April, 2007
- Get Down to Detail on Inventory, Logistics Today, September, 2007
- [http://www.kmworld.com/Articles/Editorial/Feature/KM-past-and-future-Solutions-for-a-changing-world--52042.aspx, KM past and future: Solutions for a changing world, KM World, January, 2009]
- [http://www.industryweek.com/articles/remote_service_optimizing_spare_parts_inventory_for_manufacturers_18724.aspx?ShowAll=1&SectionID=4, Remote Service: Optimizing Spare Parts Inventory for Manufacturers, IndustryWeek, March, 2009]
- [http://www.servicemanagement365.com/Service_Management_Software/Article414621.aspx, Rapid Expansion of Service Operation Drives Need for New Service Management System, Service Management Magazine, May, 2009]
- [http://www.aviationtoday.com/am/issue/cover/Supply-Chain-Problems-and-Solutions_32278.html, Supply Chain: Problems and Solutions, Aviation Maintenance, June, 2009]