Materials Management Operations Guidelines/Logistics Evaluation (MMOG/LE)

What is MMOG/LE?

MMOG/LE is a comprehensive supply chain self-assessment for material and logistics control that is used to evaluate production, parts and service, and warehousing processes to assure readiness to comply with OEM supply chain requirements. MMOG/LE helps automotive suppliers and OEMs:

• Determine the robustness of existing internal processes
• Facilitate continuous improvement
• Streamline the flow of information and products throughout all tiers of the supply chain
• Improve supplier readiness results for delivery performance, capacity and new product launches
• Leverage a proven, common global standard for delivery performance

Many automotive suppliers are required or mandated by OEMs to complete their MMOG/LE assessment. Currently, Chrysler, Ford, General Motors, Renault, PSA, Volvo Car, and Volvo Truck require their suppliers to submit their MMOG/LE assessment. Other OEMs and multi-national Tier 1 suppliers are expressing interest too.

QAD Supports Your MMOG/LE Initiatives

MMOG/LE is simply good business and through our Enterprise Applications suite QAD is committed to ensuring our customers have the right solutions to meet their global MMOG/LE objectives.

E-mail the QAD Expert

As an ERP provider, QAD is committed to ensuring our customers can rely on QAD Enterprise Applications to easily meet MMOG/LE requirements. QAD provides the following support:

• QAD MMOG/LE Answer Sheet which details how QAD Enterprise Applications and Services can help suppliers achieve Level A certification for all 206 criteria
• QAD provides automotive-specific Process Maps, based on MMOG/LE compliance requirements which include work instructions, training, compliance points and operational metrics
• QAD two day MMOG/LE Review to assist companies in completing a proper assessment
• Member of AIAG/Odette global MMOG/LE work group
• Member of the AIAG Supply Chain Steering Committee
• Designated MMOG/LE training provider on behalf of AIAG/Odette in North America, Asia-Pacific, and Eastern Europe

MMOG/LE Drives Bottom-Line Results

MMOG/LE best practices guide manufacturers in assessing, improving and benchmarking materials management and logistics processes. During the assessment process, manufacturers will uncover critical areas where automation and systems can significantly increase plant efficiency and streamline processes. MMOG/LE ensures information flow follows material flow.

Suppliers around the world have improved supply chain operations with MMOG/LE, documenting benefits like:

• 25-50% reduction in raw materials and finished goods
• 30-85% reduction in premium freight
• 80% reduction in obsolescence costs
• 50% reduction to train employees
• 20% improvement in monthly customer delivery

Obtaining the QAD MMOG/LE Answer Sheet

QAD has developed detailed responses for all 206 MMOG/LE assessment criteria. Each response illustrates exactly which aspects of the QAD product suite will help you accomplish each assessment point. Companies using QAD applications will find this tool extremely helpful in providing direction on how to achieve assessment criteria. To obtain a copy of the QAD MMOG/LE Answer Sheet email mmogle@qad.com.

Completing a Proper Assessment

The QAD MMOG/LE Review is a two-day engagement designed to guide organizations on how to complete this assessment. QAD helps the organization to identify gaps, strengthen assessment responses and evidence, and ensure the organization is prepared for a customer audit, regardless of the Enterprise Resource Planning (ERP) that is used.

What’s Next?

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