Webinar December 2006 Global MMOGLE Materials Management Operations Guideline Logistics Evaluation J

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WebinarDecember 2006 Global
MMOG/LEMaterials Management Operations
Guideline / Logistics EvaluationJeff Turner
SMMT Industry Forum
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Presentation content

• Background
• Objective
• History
• Content
• Structure
• Weighting
• Assessment
• Scoring
• Classification
• Gap Analysis
• Methods of use
• Conclusion

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Background

• Supply Chain Drivers
• Ø     Customer demands
• shorter lead times
• reliable deliveries
• continuous improvement
• more flexible and efficient supply chains  
•      Business logistics drivers
• competitive environment
• lower costs
• increased customer satisfaction
•       The need for a common Best Practice
  Materials Planning and Logistics measurement
  tool.

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Global MMOG/LE Objectives

• Ø     Provide a Materials Planning and Logistics
  evaluation tool that can be used by all supply
  chain partners, both internally and externally.
•      Use Best Practice criteria for performance
  assessment and benchmarking.
•      Provide a gap analysis tool to enable
  continuous improvement plans to be recorded and
  prioritised.

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History

• lt 1999 Company specific evaluation
  documents
• Jan 1999 Odette Logistics Evaluation published
• used by European OEMs and suppliers
• July 1999 Materials Management Operations
  Guidelines
• used by AIAG members in North America
• Mid-2001 Joint development of a Global
  Standard (Odette and AIAG)
• Dec 2003 Global MMOG/LE published
• used by OEMs and suppliers world-wide
• June 2006 Release of Version 2
• improved functionality

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Content

Evaluated company
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Content



order
order
Transport
Transport
Customer
Supplier
Evaluated company
Stock
Stock
Stock
Stock
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Content
1. Strategy and Improvement
2. Work Organisation
3. Capacity and Production Planning



order
order
Transport
Transport
Customer
Supplier
Evaluated company
Stock
Stock
Stock
Stock
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Content
1. Strategy and Improvement
2. Work Organisation
3. Capacity and Production Planning
5.Production and Product Control
6. Supplier interface
4. Customer interface
order
order
Transport
Transport
Customer
Supplier
Evaluated company
Stock
Stock
Stock
Stock
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Content

• Strategy and Improvement - Vision strategy,
  objectives, measurement, analysis action plans,
  continuous improvement, supply chain development
• Work Organisation Organisational processes and
  procedures, resource planning, work environment
  human resources
• Capacity and Production Planning product
  realization, capacity production planning,
  systems integration
• Customer Interface Communication, packaging
  labelling, shipping, transportation, customer
  satisfaction feedback
• Production and Product Control Material
  identification, inventory, engineering change
  control, traceability
• 6. Supplier Interface Supplier selection,
  agreements, communication, packaging labelling,
  transportation, material receipt, supplier
  assessment

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Structure

• Self-Assessment comprises 206 criteria

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Structure

• Self-Assessment comprises 206 criteria

Weighting based on the likely impact of a
non-compliance
F3

• - high risk of interruption to
  customers operations and additional costs
  being incurred in the short term

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Structure

• Self-Assessment comprises 206 criteria

Weighting based on the likely impact of a
non-compliance
F3

• - high risk of interruption to
  customers operations and additional costs
  being incurred in the short term

F2

• - customer satisfaction and the
  organizations performance will be
  seriously affected.

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Structure

• Self-Assessment comprises 206 criteria

Weighting based on the likely impact of a
non-compliance
F3

• - high risk of interruption to
  customers operations and additional costs
  being incurred in the short term

F2

• - customer satisfaction and the
  organizations performance will be
  seriously affected.

F1

• - the organizations competitiveness
  will be adversely affected.

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Self -assessment
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Scoring
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Classification
Scoring Summary
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Classification
Scoring Summary
A Level gt 90, no F3 and lt 6 - F2
non-compliances
B Level gt 75, no F3 and lt 13 - F2
non-compliances
C Level lt 75, any F3 or gt 12 - F2
non-compliances
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Gap Analysis
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Methods of Use

• OEMs and suppliers utilise Global MMOG/LE for the
  following purposes
• Internal assessment
• Benchmarking current state against best
  practice
• Driving continuous improvement
• Promoting supplier development by
• Evaluating supplier performance and capability
• Improving supplier performance and capability

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Methods of Use
Internal Self-Assessment
Supplier Evaluation
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Methods of Use
Internal Self-Assessment
Supplier Evaluation
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Methods of Use
Internal Self-Assessment
Supplier Evaluation
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Methods of Use
Internal Self-Assessment
Supplier Evaluation
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Translated versions

• Global MMOG/LE is available in the following
  languages
• French
• German
• Spanish
• Portuguese
• Chinese
• Romanian

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Conclusion
The Global MMOG/LE tool has been specifically
created, using Materials Planning and Logistics
best practice, to assess performance and
implement continuous improvement throughout the
supply chain.
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Conclusion
The Global MMOG/LE tool has been specifically
created, using Materials Planning and Logistics
best practice, to assess performance and
implement continuous improvement throughout the
supply chain.
There are circa 2000 existing Global MMOG/LE
users worldwide.
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Conclusion
The Global MMOG/LE tool has been specifically
created, using Materials Planning and Logistics
best practice, to assess performance and
implement continuous improvement throughout the
supply chain.
There are circa 2000 existing Global MMOG/LE
users worldwide.
Existing users are gaining measurable benefit,
including Ford, Volvo Cars, Bosch, Siemens VDO,
Renault, PSA, Volvo Trucks, Lear Corp ..
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Conclusion
The Global MMOG/LE tool has been specifically
created, using Materials Planning and Logistics
best practice, to assess performance and
implement continuous improvement throughout the
supply chain.
There are circa 2000 existing Global MMOG/LE
users worldwide.
Existing users are gaining measurable benefit,
including Ford, Volvo Cars, Bosch, Siemens VDO,
Renault, PSA, Volvo Trucks, Lear Corp ..
For more information, and to download the
document, go to www.odette.org