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Smart Spare Parts Inventory Management: IoT and AI-Driven Integration to Improve Service Level in the Peruvian Automotive Sector

  • Universidad Peruana de Ciencias Aplicadas
  • Universidad Piloto de Colombia

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

The article presents a proposal of an integral model to optimize the perfect order rate in an automotive dealership, in which this sector is important since it represented 2.53% of the national GDP in 2024. Currently, this sector faces significant challenges in inventory management due to the great variety of spare parts, which is affecting customer satisfaction and the company's profitability. In response to this problem, a solution was developed using demand forecasting models powered by artificial intelligence, combined with Lean Warehousing methodologies and traceability technologies such as IoT and RFID. This model aims to improve operational efficiency, minimize inventory errors and increase spare parts availability, which will raise the current POI of the case study from 65% to an indicator above 85.90%, where the leading companies in the industry are located. Simulation results using real company data showed an increase in inventory accuracy (ERI) from 85.00% to 93.30%, a decrease in out-of-stocks from 9.68% to 4.15%, and an improvement in warehouse location accuracy from 81.14% to 93.45%. Therefore, this model contributes to improving the competitiveness of the dealership under study, with a focus on digital transformation.

Original languageEnglish
Title of host publication2025 11th International Conference on Innovation and Trends in Engineering, CONIITI 2025 - Conference Proceedings
PublisherInstitute of Electrical and Electronics Engineers Inc.
Edition2025
ISBN (Electronic)9798331591328
DOIs
StatePublished - 2025
Event11th International Conference on Innovation and Trends in Engineering, CONIITI 2025 - Bogota, Colombia
Duration: 1 Oct 20253 Oct 2025

Conference

Conference11th International Conference on Innovation and Trends in Engineering, CONIITI 2025
Country/TerritoryColombia
CityBogota
Period1/10/253/10/25

Keywords

  • Artificial Intelligence
  • Inventory Management
  • IoT
  • Lean Warehousing
  • Perfect Order Index (POI)
  • RFID

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