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  • Control your processes.

  • Reduce inventory carrying costs, freight, lead times and line shutdowns.

  • Support continuous improvement and change management initiatives. 

  • Increase customer satisfaction.

  • Gain the competitive edge.

  • Be more productive!

Listen to
Kimberly Strange, M.C.S.E.
further explain MMOG/LE
(00:20:13) Originally presented at the
Radley User Productivity Conference
 

 

 
         
 
What is it?
 
Who developed it and why?
 
  Materials Management Operations Guideline / Logistics Evaluation (MMOG/LE) is a global guideline based on business processes agreed upon by OEMs and Suppliers. The MMOG/LE includes extensive best practices and a new self-assessment tool that provides a means to measure and streamline material planning and logistics processes.   MMOG/LE guidelines were developed by the Automotive Industry Action Group (AIAG) and Odette International Ltd. to reduce the time and work required by suppliers and customers to determine materials process compliance. While it had it's beginning in the automotive industry, MMOG/LE is being applied across industries around the world.  
 
How is it used?
 
 

The Global MMOG/LE self-assessment tool is a complex spreadsheet that uses weighted questions to determine which areas should be given high priority.

 

 

F1 REQUIREMENTS
If not met, the organization's competitiveness will be adversely affected.
F2 REQUIREMENTS
If not met, customer satisfaction and the organization's performance will be seriously affected.
F3 REQUIREMENTS
If not met, there is a high risk of interruption to customer operations with additional costs to be incurred in the short term.
 
 
The following questions are examples from the MMOG/LE:
 
  F3 - Resources versus customer requirements shall be reviewed upon receipt of shipping requirements (e.g., 862/DELJIT), comparing daily ship requirement (usually current week and week 2) sent by customers.   F3 - Customer schedule information as well as internal production requirements shall be automatically integrated into the organization's releasing system to avoid manual transference of data by using ODETTE/AIAG (or equivalent) electronic communication standards or any other web based electronic standard.   F3 - The organization shall verify a) The data contents of shipping labels at the last possible point in the shipping process to assure consistency between container content, labels and documentation (the use of electronic based support systems such as RFID or scanning is mandatory for some customers); and b) The scanned shipping label reconciles against customer's delivery requirements.  

F3 - The organization shall have a process that ensures defective/obsolete material is contained, segregated, reworked or disposed of properly

 
 

 

 
 
Next Step: Achieve Compliance
 
 

Global MMOG/LE is also used as a self-assessment, or audit tool, for external processes within the organization.

• Once implemented, Global MMOG/LE is the ideal tool to measure existing performance against ‘Best Practices’ and provides the means for driving and monitoring continuous process improvement.

• Chrysler LLC, Ford Motor Co., Renault, PSA Peugeot Citroen, Volvo Truck Corp., and Volvo Car Corporation are just a few of the OEMs currently using Global MMOG/LE.

Are your Customers asking you to comply with MMOG/LE or similar mandates?

The majority of the F3 questions in the MMOG/LE self-assessment tool are addressed directly by our Supply Chain Productivity (e-Commerce) and our WorkForce Productivity (data collection) Suites of products.  To learn more call 248-559-6858 or email automotive@radley.com

 

Additional Resources:  AIAG Training | AIAG Website | Odette Website | Ask Radley

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Radley's Supply Chain Productivity and Workforce Productivity solutions can help you implement this global standard. Through the years (actually since 1974) Radley Corporation has worked with hundreds of manufacturers to implement and maintain sustainable cost savings in an increasingly competitive marketplace by enabling and enhancing productivity. Even during the most challenging of times you can still gain efficiencies in your shop floor processes using real-time information, reduce your labor, material and inventory costs by using accurate data, and optimize your existing ERP investment without throwing good money after bad. Learn how Radley can help you use the Global Materials Management Operations Guideline/Logistics Evaluation as a productivity booster. 

You really do have nothing to lose... Call now and receive a free professional eValuation* of your current eCommerce and shop floor processes. Call 248-559-6858 or email automotive@radley.com. *eValuation is limited in time and scope and does not include onsite visits.

 

 

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