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SCE Limited

SCE Limited
SCE Limited

 

 

Order Fulfillment Cycle Time - SCORŪ
 

OPERATIONAL DEFINITION
Order Fulfillment Cycle Time is a continuous measurement defined as the amount of time from customer authorization of a sales order to the customer receipt of product. The major segments of time include order entry, dwell time for future dated orders, manufacturing, distribution, and transportation.

 

 
LEVEL 1 AND 2 DECOMPOSITION
Order Fulfillment Cycle Time
  Customer Authorization to Order Entry Complete
  Order Dwell Time*
  Order Entry Complete to Start Manufacture**
  Order Entry Complete to Order Received at Warehouse
  Start Manufacture to Manufacturing Ship**
  Manufacturing Ship to Order Received at Warehouse**
  Order Received at Warehouse to Order Shipped to Customer
  Order Shipped to Customer to Customer Receipt of Order
  Order Received at Customer to Installation Complete
 
* Used for future dated orders
** Used for MTO items

 

 
COMMON DATA SEGMENTATION FIELDS
Common data segmentation fields for Perfect Order Fulfillment include
 
MTO
MTS
Future Dated Orders
Customer Sales Order Number
Customer Ship To Location
Ship Point
Plant
Item (SKU) #
Customer ID
Customer Channel ID

 

 
DEFECT ANALYSIS
For the purposes of six sigma type analysis, an analytical unit is an individual customer order.  A defective unit is an order cycle time greater than the committed cycle time. The number of defect opportunities is the total number of customer orders in the sampling period.

 

 
COMMON BENCHMARK DATA SOURCES