Supplier Scorecard
In this section
This section is divided into the following subsections
11.1
Program Purpose
As part of our efforts to more effectively rate supplier performance, Great Dane has introduced a Supplier Scorecard Process. Scorecards are used to support our commodity management, subcontract management and strategic sourcing objectives. More importantly, we believe the Scorecards facilitate stronger communications between Great Dane and our supplier team members. Selected suppliers who provide products that are ultimately delivered to our customers will receive a Scorecard. Generally, special processors, service suppliers, and tooling suppliers will not receive a Scorecard.
When Used
Supplier Scorecards will be sent on a quarterly cadence by the commodity management team.
Applicability
Only select suppliers will be receiving the scorecards
11.2
Calculation Elements
Quality
Defective Parts Per Million. # of defective parts shipped to Great Dane plants labeled “Parts Defective” for each quarter of the year and divided by the total amount of parts shipped as “Parts Received”. Total Amount of Rejected Parts and Parts Received are obtained by going to Oracle BI Publisher report and running the Usage Report.
Delivery
Vendor’s On-Time Delivery by Quarter under the columns marked OTD by quarter. Vendor fill rate % in the fill rate columns per quarter.
Customer Service
On a scale of 0-5, Vendors are measured in the following categories – Response Time, Customer Effort, Short Lead Time Accommodations, Accuracy of Work, Overall Commercial Relationship.
Cost
On a scale of 0-5, vendors are rated in the following categories – Cost Savings Initiatives, Supplier Negotiations, Rebate Accuracy, Future Cost Containment, Payment Terms, Payment Discount Terms.
Calculation Weightage
Quality – 25%
Delivery – 25%, (OTD – 75% and Fill rate 25% of the metric)
Customer Service – 25%
Cost – 25%
Frequency
Scorecards are emailed every quarter by commodity managers.
Expectations
Great Dane expects suppliers to continue to monitor their scorecards and improve the metrics quarter over quarter. Suppliers falling short of Great Dane continuous metric improvement are asked to provide corrective actions for all metrics falling short.