Modern Supply Chain Management (SCM) concepts address important root-causes of current limitations in logistics networks. Efficient built-to-order strategies and short time to delivery goals require fast and flexible supply networks. In this context inter-company visibility and transparency of relevant data play a central role. The promising potential of modern SCM concepts is attracting the attention of the whole automotive industry. Modern SCM is targeting to overcome the local, company-centric view by looking from a global perspective on value adding networks.

The Odette SCM group has focused on the logistics aspects. It is working out recommendations for selected SCM building blocks by bringing together the know-how and experience of key-players on OEM and supplier level.

This recommendation describes the SCM building block “Supply Chain Monitoring” (SCMo) and shall set a standard for the overall concept and the corresponding IT-applications. The medium term goal is to enable interoperability of SCMo applications from different software providers and marketplaces by creating open and accepted standards.

Supply Chain Monitoring (SCMo) is a multi-level SCM concept supporting the fulfilment/execution process. Basically it checks permanently if the actual inventory levels in the supply network are too high or too low regarding the demand of the next days/weeks. The multi-level approach takes into account the cumulated inventory across the supply chain and enables a fast and transparent demand calculation. Every company will get early and clear signals whether to speed up or to slow down production. This visibility will bring a great benefit, especially for suppliers on lower tier levels, suffering from the so called “bull-whip effect”. Thus SCMo helps to better master critical or difficult to manage supply networks. The final benefit is smooth and secure supply with minimal safety inventories.

Instructions for Dowloading and Reading.

1. Download the zipped file (12Mb) – this can take several minutes, depending upon the speed of your connection, so please be patient.

2. Create a specific directory on your PC and extract the contents to it (this may happen automatically).

3. You will see a large amount of files (don't worry), which together comprise:

- the main recommendation document;

- a guide to the process documentation system;

- a fully interactive set of SCMo process documentation in html (Opens in a web-browser and provides hyperlinks to navigate through the document by clicking on the ? symbol to the left of the words "SCMO Processes" under Model Description, on the underlined words, or on the flow-diagram symbols.);

- a data description diagram;

- three Adobe pdf presentations on various chapters in the central document for training purposes.

4. You only need to open the Adobe pdf document entitled "SCM_Central_Doc.pdf" to navigate through the files. This is clearly shown in the special directory which is created.

5. By clicking on the hyperlinks, which are present in the Appendices in Chapter 8.0, you will be automatically taken to the respective documents.

6. You may be prompted to install a special reader from IDS Scheer AG, in which case click Yes.

Further information:

• A list of Q & A’s
• the full Press Release