Supplier performance

Supplier performance can be measured over a period of time. Through this measurement, both you and your suppliers can recognize areas for process improvement. The Supplier Performance module is based on tests that are grouped into related categories. Each test and category is customer-configurable to provide a performance evaluation based on only issues important to you. After you generate a supplier performance report, you can publish the data for suppliers to view. Each supplier can only see their performance ratings.

• Categories

  The Supplier Performance module is broken into several categories, each comprised of various tests. You can turn on/off metrics at the test or category level as well as customize the weight or importance assigned to each test.

• Schedule Adherence by Quantity

  The schedule adherence by quantity category rates how well suppliers meet the requirement demand. Relying on fulfilled schedules (those shipped against), the metric tests compare the quantity ordered to the quantity shipped by the supplier. The schedule adherence by quantity tests are On Schedule, Under Schedule, and Over Schedule. These tests can conflict with the Demerits Assessed test within the Delivery Performance Report (DPR) category.

• Schedule Adherence by Date

  The schedule adherence by date performance category rates how timely suppliers fulfill demand. Relying on ASNs for ship-based requirements and receipts for delivery-based requirements and fulfilled schedules and purchase orders, the metric tests compare the due date to the ship date or receipt date. The schedule adherence by date tests are On Time, Late, and Early. These tests can conflict with the Demerits Assessed test within the Delivery Performance Report (DPR) category.

• Receiving Accuracy

  The receiving accuracy category rates how accurate supplier ASNs are. Relying on ASNs and receipts, the metric tests compare quantities and dates. The receiving accuracy tests are ASN Accuracy (matching quantities), ASN Timeliness (ASNs published before receipt), and Receipts without ASN (no ASN sent).

• Premium Freight Charges

  The premium freight category rates how well suppliers can fulfill demand without requiring expedited shipments. To appropriately track expedited costs, either the AETC module, Premium Freight module, or both must be used. Relying on ASNs, the metric tests check for AETC numbers and responsibilities. The excess transportation cost tests are Expedited Shipments and Supplier Responsibility.

• Parts Per Million (PPM)

  The PPM category rates how well suppliers deliver defect-free materials. To appropriately include parts per million metrics and include them in supplier ratings, the PPM module must be used. Relying on imported PPM files, the sole metric test tracks the number of defective parts. These tests can conflict with the Issued test within the Defective Material Notice (DMN) category.

• Defective Material Notice (DMN)

  The DMN category rates how well suppliers deliver defect-free materials and how well they respond to notices of defects. Relying on DMNs, the metric tests track the number of DMNs and how often suppliers respond with appropriate containment and corrective responses. The DMN tests are Issued (number of DMNs), Containment On Time Responsiveness, Containment Rejections, Corrective On Time Responsiveness, and Corrective Rejections. This test can conflict with the PPM test within the Parts Per Million (PPM) category.

• Delivery Performance Report (DPR)

  The DPR category rates how well suppliers deliver. Relying on DPRs, the metric tests track the number of demerits generated by DPRs and how often suppliers respond with appropriate responses. The DPR tests are Demerits Assessed (number of demerits created by DPRs), On Time Responsiveness. The Demerits Assessed test can conflict with tests within the Schedule Adherence and Delivery/Shipment Performance category.

• Production Part Approval Process (PPAP)

  The PPAP category rates how well suppliers provide acceptable material for approval. Relying on PPAPs, the metric tests track how often materials are accepted/rejected for manufacture during the approval process. The PPAP tests are Accepted, Provisional, and Rejected.

• Custom Metrics

  The custom metric category is customer-defined. There is no limit to the number of tests that can be created. The supplier performance in the custom tests can be imported or manually entered.