In the complex world of spare part inventory management, we all know that decision-makers are constantly striving to optimize stock levels, reduce costs, and ensure operational reliability.
However, what many don’t realize is that a subtle and dangerous cognitive bias often creeps into these decisions: survivorship bias.
This is a logical error; focusing only on the assets, components, or practices that “survived” operational stresses while ignoring the lessons from those that failed or even the risks inherent in those that don’t even get ‘tested’ due to infrequent events. These issues can lead to misleading conclusions, flawed strategies, and increased risk.
