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SCE Limited

SCE Limited
SCE Limited

 

 

Upside Supply Chain Flexibility - SCORŪ
 

OPERATIONAL DEFINITION
Upside Supply Chain Flexibility is a discrete measurement defined as the amount of time it takes a supply chain to respond to an unplanned 20% increase in demand without service or cost penalty.  The challenge with this measure is to make it as scientific as possible.  With science in mind, then, we must go to item master for the data!  For each item there is usually a "replenishment lead time" which sums the MAKE and DELIVER planned lead times.  To this we must add the longest planned lead time of the components in the BOM.  The idea, here, is that your planned lead times is the best representation of flexibility without cost or service penalty.

 

 
LEVEL 1, 2, AND 3 DECOMPOSITION
Upside Supply Chain Flexbility
  Planned Replenishment Lead Time
    Make Planned Lead Time
    Deliver Planned Lead Time
  Planned Component Lead Times

 

 
COMMON DATA SEGMENTATION FIELDS
Common data segmentation fields for Upside Supply Chain Flexibility include
 
MTO
MTS
Ship Point
Plant
Item (SKU) #
BOM Component #
 

 

 
DEFECT ANALYSIS
For the purposes of six sigma type analysis, an analytical unit is an individual item or SKU.  A defective unit is an item or SKU with planned lead times greater than the targeted days of inventory. The number of defect opportunities is the total number of items or SKUs.

 

 
COMMON BENCHMARK DATA SOURCES