Mazda Delivery Performance Score Card. User s Guide. January 8, 2010

Transcription

1 Mazda Delivery Performance Score Card User s Guide January 8,

2 Table of Contents Section A. How Mazda Measures Total Delivery Performance in North America 3 Page B. Mazda s Total Delivery Performance Targets & Point Scoring Scales 4 C. Intro to Delivery Performance on the Supplier Report Card 6 D. Reading Delivery Performance on the Supplier Report Card 8 E. Corrective Action Plans 19 F. Exclusion / Concerns Process 20 2

3 A. How Mazda Measures Total Delivery Performance in North America Mazda North American Operations (MNAO) measures supplier delivery performance (in pieces) based on two key dates: 1. the PO Line Due Date, 2. and the supplier ASN Date. The PO Line Due Date is calculated as follows: PO Issue Date + Supplier LT (from RFQ) = PO Supplier Due Date The supplier s ASN Date should simply equal the shipment date and is the date the ASN transmits to Mazda. Therefore, it is the supplier s responsibility to transmit ASN data to Mazda on the actual shipment date. Using these two key dates, MNAO categorizes delivery performance into three primary areas: 1. On-Time Shipment Performance 2. Past Due Performance 3. ASN Performance A shipment to Mazda is considered On-Time when its ASN Date is received by MNAO within ±7 calendar days of the PO Supplier Due Date. If the ASN is received more than 7 days before the PO Supplier Due Date, then the shipment is considered Early, and not On-Time. If the ASN is received more than 7 days later then the PO Supplier Due Date, then the shipment is considered Late, and not On-Time. A shipment to Mazda is considered Past Due when it is more than 7 days past the PO Supplier Due Date at the time the ASN is created, or when it is more than 7 days past the PO Supplier Due Date and there is no ASN at all. Specifically, MNAO measures suppliers on their ability to minimize past due shipment pieces greater than 21 days old. MNAO measures a supplier s ASN performance by calculating the number of error-free ASN lines transmitted to MNAO versus the total ASN lines actually received per supplier over a given time period. 3

4 Each category described above is weighted as follows to calculate the Total Delivery Performance score: 1. On-Time Shipment Performance (70 points of 100) 2. Past Due Performance (20 points of 100) 3. ASN Performance (10 points of 100) B. Mazda s Total Delivery Performance Targets & Point Scoring Scales It is Mazda s expectation that all suppliers will maintain a minimum Total Delivery Performance score of 90 points. Points are awarded in the three categories mentioned above per the performance-related scales below: 1. On-Time Performance On-Time Percentage Delivery Points Awarded 95% to 100% 70 points 92% to 94.9% 64 points 85% to 91.9% 60 points 80% to 84.9% 56 points 70% to 79.9% 49 points 50% to 69.9% 35 points 33% to 50% 25 points < 33% 0 points 4

5 2. Past Due Performance Past Due > 21 Days % Delivery Points Awarded < 5% 20 points 5% to 9.9% 18 points 10% to 19.9% 16 points 20% to 24.9% 14 points 25% to 29.9% 12 points 30% to 34.9% 10 points 35% to 49.9% 6 points >50% 0 points 3. ASN Performance ASN Accuracy % Delivery Points Awarded 98 % to 100% 10 points 96% to 97.9% 9 points 90% to 95.9% 7points 80% to 89.9% 5points < 80% 0 points The color status assigned to the supplier s actual performance in each category is defined as follows: GREEN Supplier clearly achieved an acceptable level of performance and is awarded at least 90% of all points available in the category. YELLOW Supplier achieved a performance level that is bordering on unacceptable and is awarded a minimum of 70% of the available points in the category. 5

6 RED Supplier clearly achieved an unacceptable level of performance and is awarded no more than 60% of the points available in that category. 4. Total Delivery Performance - the sum of the On-Time, Past Due and ASN performance scores as follows: Total Delivery Performance Score (Points) Status GREEN YELLOW 0-69 RED If Total Delivery Performance for the period is GREEN, then the supplier has met Mazda s minimum delivery performance targets and no further action is required on the supplier s part. If Total Delivery Performance for the period is YELLOW, then the supplier should begin to identify the delivery category(s) requiring improvement and conduct the necessary process and procedure review to identify the internal changes required to improve and assure Mazda s minimum delivery performance targets are met in the immediate future. If Total Delivery Performance for the period is RED, then the supplier is performing at unacceptable levels and will be required to complete the Mazda Multi-Discipline Problem Solving Report. This includes a review of all internal processes and procedures including root cause analysis and implementation of corrective actions. C. Intro to Delivery Performance on the Supplier Report Card Mazda provides each supplier individual access to a web-based tool that monitors overall supplier performance. The tool is called the Supplier Report Card and located at: 6

7 Access to the Supplier Report Card is granted per user through Mazda. To access your delivery information, please contact your Mazda buyer using the link below: If you have difficulty accessing delivery performance data to Mazda, please contact: When accessing specific delivery performance to Mazda via the Supplier Report Card, each supplier will be able to review their own Delivery Summary and Detail. The Delivery Summary Screen focuses on Total Pieces Open, Total Pieces Due and Total Pieces Past Due per period and the Total Delivery Performance points awarded for the period in three delivery categories: 1. On-Time Shipment Performance (70 points of 100) 2. Past Due Performance (20 points of 100) 3. ASN Performance (10 points of 100) Please see an example of the Summary Screen below: 7

8 By clicking on the Detail button on the Delivery Summary Screen, you may retrieve greater detail supporting the Summary view (known as the Detail Screen). The Detail Screen focuses on Total Pieces Due and Past Due, On Time Performance, Early and Late Performance and Past Due Aging. For EDI suppliers, this screen also allows visibility to the ASN detail behind the supplier s ASN Performance score including Total ASN Lines received, Error Free ASN Lines and overall ASN Accuracy. Please see an example of the Detail Screen below: 8

9 Definitions of all terms and metrics contained on the Delivery Summary and Detail Screens can be found on the Delivery Performance Definitions Document at: D. Reading Delivery Performance on the Supplier Report Card The Delivery Performance Score Card is divided into the following 3 areas: 1. On-Time Performance - This is the area that Mazda measures the supplier s ability to ship ± 7 days of the purchase order due date. 9

10 10 a.) On-Time Performance Definitions:

11 Total Pieces Due - The quantity stated in pieces that are due in the month indicated based on the P.O. Due Date. Total Pieces Past Due The pieces that are open and past due according to the PO Due Date in the month indicated. On-Time Pcs The pieces in a given month whose ASN was received within ± 7 days of the PO Due Date. On-time % - A calculation as follows: On-Time Pcs Total Pcs Due = Ontime % Early Pcs The pieces in a given month whose ASN was received more than 7 days earlier than the PO Due Date. Early % - A calculation as follows: Early Pcs Total Pcs Due =Early % Late Pcs - The pieces in a given month whose ASN was received more than 7 days later than the PO Due Date. Late % - A calculation as follows: Late Pcs Total Pcs Due = Late % b.) On-Time Targets and Scoring The points accumulated toward the Total Delivery Performance score as a result of the supplier s On-Time delivery performance are defined below: 11

12 On-Time % Delivery Points Awarded Target 95% to 100% 70 points 92% to 94.9% 64 points 85% to 91.9% 60 points 80% to 84.9% 56 points 70% to 79.9% 49 points 50% to 69.9% 35 points 33% - 50% 25 points <33% 0 points 12

13 13 c.) Detailed reports via link The following 4 reports can be accessed via the links on the Detail screen:

14 14 2. Past Due Performance This is the area of the score card that Mazda measures the supplier s ability to manage past due shipments to within 21 days of the PO Due Date.

15 a.) Past Due Performance Definitions: 21 Days Pcs - Open pieces that are past the PO Due Date, but no more than 21 days past due according to the PO Due Date. 21 Days % - A calculation as follows: 21 days Pcs Total Pcs Past Due = 21 Days % >21 Days Pcs - Open pieces that are more than 21 days past due according to the PO Due Date. > 21 Days % -A calculation as follows: >21 days Pcs Total Pcs Past Due = >21 Days % b.) Targets and Scoring The points accumulated toward the Total Delivery Performance score as a result of the supplier s Past Due delivery percentage as defined and weighted below: Past Due > 21 Days % Delivery Points Awarded Target < 5% 20 points 5% to 9.9% 18 points 10% to 19.9% 16 points 20% to 24.9% 14 points 25% to 29.9% 12 points 30% to 34.9% 10 points 35% to 49.9% 6 points > 20% 0 points 15

16 16 c.) Detailed reports via link - The following 2 reports can be accessed via the links within the Detail Screen.

17 17 1.) ASN Performance This is the area that Mazda measures the supplier s ability to transmit an accurate ASN on the date of the purchase order due date.

18 a.) ASN Performance Definitions: Total ASN Lines Receipted - The number of ASNs lines received matched to the supplier code and receipted in the month specified. Total Error Free ASNs The number of ASN lines receipted in the month without issue or need for Mazda to correct. ASN Errors - The number of ASN lines receipted in the month that failed as a result of issues within the supplier s control and had to be repaired by Mazda. No ASN - ASN lines receipted in the month where the ASN had to be created by Mazda to facilitate the receipt. ASN Accuracy % - a calculation as follows: Total Error Free ASNs lines Total ASN Lines Receipted b.) Targets and Scoring - The points accumulated toward the Total Delivery Performance score as a result of the supplier s ASN Accuracy performance as defined and weighted below: ASN Accuracy Percentage Delivery Points Awarded Target 98% to 100% 10 points 95% to 97.9% 9 points 90% to 94.9% 7 points 80% to 89.9% 5 points < 80% 0 points 18

19 19 c.) Detailed reports via link The following 3 reports can be accessed via the links within the Detail Screen.

20 E. Corrective Action Plans Mazda links Total Delivery Performance to varying levels of corrective action that may be required. To assure a continuous level of Total Delivery Performance (Green status), Mazda requires non-conforming suppliers to perform an internal review of operations, processes and procedures that may be negatively impacting delivery performance and to report findings back to Mazda. Corrective actions by stop-light status are as follows: GREEN - the supplier has met Mazda s minimum delivery performance targets and no further action is required on the supplier s part. YELLOW - the supplier should identify the category(s) requiring improvement and conduct the necessary process and procedure review to identify the internal changes required to improve and assure Mazda s minimum delivery performance targets are met in the immediate future. Once these reviews are completed, results should be communicated to your normal Mazda contacts (buyer and planner/expeditor). RED - the supplier is performing at unacceptable levels and will be required to complete the Mazda Multi-Discipline Problem Solving Report. Doing so forces a review of all internal processes and procedures including root cause analysis and implementation of corrective actions. The Mazda Multi-Discipline Problem Solving Report template and instructions can be found at: 20

21 F. Exclusion / Concern Process The Exclusion / Concern Process is in place to facilitate the exclusion of order lines from the on-time performance measurement. To minimize the need for exclusions Mazda will not measure Emergency Order or Initial Parts Order types. Any exclusion must be due to an action, request, or error made by Mazda or by an agreed upon circumstance over which the supplier has no control. Examples: 1. Mazda requests that an order line be shipped early / late based on the order line due date. This action would cause the pieces on that order line to be recorded as an early / late shipment if not excluded. In this case, Mazda would exclude all pieces on the order line to eliminate the negative impact to the supplier s score. 2. The supplier requests to ship early / late based on some circumstance that would prevent the supplier from shipping within the ±7 day grace period. The supplier will need to contact Mazda to explain the circumstances and request the exclusion. If agreed upon by Mazda, all pieces on the order line will be excluded. To have a part excluded from the metrics Mazda must be contacted prior to the ASN being transmitted. Once an ASN is transmitted an exclusion from the process is not possible. Please contact your Mazda Supply Chain Representative to make an exclusion request. Please provide the representative with the Mazda purchase order number, part number, quantity, original due date, expected ship date, and the reason for the exclusion request. Mazda will record and review all requests for exclusion based on the information available. The disposition of all exclusion requests shall be at the sole discretion of Mazda. The supplier, at the latest, will be provided disposition within 24 hours of the next business day. 21