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C a p a c i t y M a n a g e m e n t CAPACITY DATABASE ... - Chrysler

C a p a c i t y M a n a g e m e n t CAPACITY DATABASE ... - Chrysler

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<strong>CAPACITY</strong> <strong>DATABASE</strong><br />

SUPPLIER TRAINING<br />

Debbie Reblin<br />

C a p a c i t y M a n a g e m e n t


What is it???<br />

• A system that holds Supplier’s stated capacity.<br />

• After a supplier is issued a P.O., the part drops into the<br />

Capacity Database.<br />

• All parts are assigned a Daily Purchase Order Tool<br />

Capacity. Suppliers are expected to produce parts at the<br />

P.O. Capacity rate. However, if unable to do so, updates<br />

must be made.<br />

• Suppliers are required to enter/validate capacity<br />

information on each one of their parts – making updates<br />

as necessary.


• Thru Covisint<br />

Access to<br />

Capacity Database<br />

• Under Capacity Management<br />

• Granted thru YOUR company’s Internal<br />

Security Administrator


System Functions<br />

• The Capacity Database System runs every<br />

Sunday afternoon.<br />

• If the system generates “Actionable Items”, it will<br />

automatically send an e-mail to the supplier<br />

asking the supplier to take action.<br />

• The supplier has 13 days to make adjustments.<br />

If late, a penalty is accessed for their DRIVe<br />

Score.


Capacity Management Homepage


Accessing Capacity Database


Insert Supplier Code


Actionable Items<br />

Please note Non-Actionable Items are also shown here.


Actionable Items Definition - Parts<br />

• Notice two sections: Parts (on the left) Common Process Groups (CPGs) on the right.<br />

• New Parts – Indicates new parts that have just been rewarded to the supplier with a P.O.<br />

Action: Validate capacity; if correct, no action required. If not correct, a new breakpoint will have to be<br />

added. Parts will stay in the New Parts category for 13 days.<br />

• In-Progress Capacity Effective Date Reached – When an In-Progress Breakpoint is created user if prompted to<br />

enter the date the capacity will be available. When the date is reached user needs to:<br />

Action: Delete the In-Progress Breakpoint or if capacity is not ready; change the date to a future date.<br />

• Temporary Breakpoints < 45 Days – System cites parts that have Temporary Capacity less than P.O. that have<br />

been in variance for three weeks.<br />

Action: P.O. should be corrected or capacity should be updated.<br />

• Temporary Breakpoints > 45 Days – System cites parts that have Temporary Capacity less than the P.O. that have<br />

been in variance more than 45 days.<br />

Action: Supplier’s Rating is now being affected.<br />

• Insufficient Capacity for Bottleneck Breakpoint Target Volume- All parts and CPGs require input for Bottleneck<br />

Breakpoint Target Volume. This category cites the parts that have not met the target volume.<br />

Action: Supplier must enter capacity to satisfy the highlighted Bottleneck Breakpoint Target Volume in<br />

incremental levels of capacity using Operational Breakpoints<br />

• Bottleneck Breakpoint Target Volume Change – Target was met but Target Volume has changed.<br />

Action: Adjust volume to satisfy the highlighted Bottleneck Breakpoint Target Volume.<br />

• 6 Month Review – Notification that breakpoint has not been altered in the past six months.<br />

Action: Review capacity and make necessary changes or click ‘No Change(s) Required’.


Actionable Items Definition –<br />

Common Process Groups (CPG’s)<br />

• Same for parts with the exception of:<br />

• Common Process Groups Rejected by the Buyer-<br />

Groups that are changed or created will require<br />

validation by the Production Buyer. If the buyer rejects a<br />

CPG there will be a comment stating the reason for the<br />

rejection.<br />

Action: The supplier may delete the request, or modify<br />

and resubmit the change.


Bottleneck Breakpoint Target<br />

Volume<br />

• Based on the highest weekly CPV (Capacity Planning Volume)<br />

for 3 forecasted model years.<br />

• 10-15% flex is added to the highest CPV to calculate the<br />

target.<br />

• Suppliers MUST HAVE <strong>CAPACITY</strong> in the Capacity Database<br />

to meet or exceed that capacity. If Operational Breakpoints<br />

don’t meet it, Planning Breakpoints should be added<br />

• If not, Insufficient Capacity for Bottleneck Breakpoint Target<br />

Volume or Bottleneck Breakpoint Target Volume Change<br />

Actionable Items will be generated for the supplier to answer.


Screen Print of Target Volume


Operational Breakpoints<br />

• The PO Tool Capacity Breakpoint is created systematically with<br />

the issuance of the Purchase Order; it cannot be deleted.<br />

• The Temporary Breakpoint is allowed to state a capacity that is<br />

different than the PO Tool Capacity. This capacity may be higher<br />

or lower than the PO Tool Capacity quantity.<br />

• The In-Progress Breakpoint is available to enter capacity levels<br />

that WILL be provided at some time in the future. Three In-<br />

Progress Breakpoints are allowed to give the Supplier the<br />

flexibility to enter the projected capacity that WILL be provided<br />

some time in the future.<br />

• SUPPLIERS ARE OBLIGATED TO THESE BREAKPOINTS<br />

• Used to calculate Volume Variances.


P.O. Tool Cap


Temporary Breakpoint<br />

WARNING! See Red Print – you are committing to this capacity


In-Progress Breakpoint


PLANNING BREAKPOINTS<br />

• Planning breakpoints are to be used for TRAP and What-If studies:<br />

• Used to meet Bottleneck Breakpoint Target Volumes.<br />

• Additional Shift – this is the only stand alone Planning Breakpoint. What would<br />

your daily capacity be it you were able to work another shift?<br />

• Bottleneck Breakpoint #1 – What one action or change would allow you to produce<br />

more capacity per day?<br />

• Bottleneck Breakpoint #2 – What action in conjunction with Bottleneck Breakpoint<br />

#1 would allow you to produce more capacity than stated in Bottleneck Breakpoint<br />

#1? And what would that capacity be?<br />

• Bottleneck Breakpoint #3 - What action in conjunction with Bottleneck Breakpoint<br />

#1 and Bottleneck Breakpoint #2 would allow you to produce more capacity than<br />

stated in Bottleneck Breakpoint #2? And what would that capacity be?<br />

• Note: Once the Bottleneck Breakpoint Target Volume has been reached you will not<br />

be required to enter additional breakpoints.


Adding a Breakpoint


Adding a Breakpoint – continued


Additional Shift Breakpoint


BOTTLENECK BREAKPOINTS


Analysis Tool


Release Detail


Common Process Groups (CPG)<br />

• Common Process Groups enable<br />

suppliers to enter the capacity for a<br />

process and to identify the specific parts<br />

that share the capacity.<br />

• CPGs provide a more accurate picture of<br />

the suppliers true capacity.


Creating a CPG


Creating a CPG Continued


List all Common Process Groups


Directed Parts<br />

• Suppliers that have directed parts that are part of the<br />

Modular Process are required to use the Capacity<br />

Database.<br />

• We do not send them releases, but we base their<br />

variance on the releases that we send the Modular<br />

Supplier.<br />

• If there is a variance, we send the Directed supplier and<br />

the Modular supplier an e-mail. The Directed supplier<br />

will have an actionable item.


Contacts<br />

• cdhelp@chrysler.com<br />

• Debbie Reblin<br />

248-576-8574

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