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Introduction to Supply

This article serves as an introduction to how the supply app functions

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Written by Yosr Laatar

Any plant responsible for Production of goods needs to track and manage the entire lifecycle of its supply events, in order to ensure their punctual delivery and smooth entry in the production line.

The supply app provides information regarding three main supply events categories:

  • Purchase Requests (PRs): a formal request initiated to procure goods or services. It outlines the need for specific parts, quantities, and the desired timeframe for delivery.

  • Purchase Orders (POs): a formal agreement between a buyer and a supplier detailing the purchase of a specified quantity of parts to be delivered within a set timeframe.

  • Stock Transfer Orders (STOs): stock exchanges between plants within the same organization.

The user personas of the Supply App are the following:

  • Procurement Leaders

  • Supply Managers

  • Logistics Managers (secondary)

In the Supply App, Users manage the lifecycle of all the Supply events and anticipate blockers.


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The Supply App is divided into 4 main abs (will be linked to sub-components):

  • Purchase Order Book

  • Supply Planning

  • Line of Balance (Multi-equipment)

  • Missing Parts Timeline

Purchase Order Book:

The Purchase Order Book (POB) in Pelico provides a comprehensive view of all open supply events at the Purchase Order Line Schedule (POLS) level, which is the most granular level of a Purchase Order (PO). Here's how POs are structured:

  • Purchase Order Line (POL): Represents an individual part and includes a list of delivery dates and quantities.

  • Purchase Order Line Schedule (POLS): Tracks specific delivery events for a part with associated delivery dates and quantities.

Once a POLS is delivered and the stock is updated, it is no longer displayed in the POB.

Each POLS progresses through the following statuses:

  1. Pending: No date or quantity commitment from the supplier.

  2. Confirmed: Supplier commits to a delivery date and quantity.

  3. In Transit: The supplier provides a shipping transit number.

  4. Shipped: The shipment is dispatched.

  5. Delivered: The parts are delivered and added to stock.

POLS Lifecycle

Purchase Order Line Lifecycle

  1. A Purchase order Line is created with an open quantity and marked as "Pending" Example: PL00005056_80_628 (PONumber_LineNumber_Schedule)

  2. Once a supplier confirms the delivery, an Advanced Shipment Notice (ASN) is generated.Example: PL00005056_80_628 – 0034 (POLS - ASNNumber)

  3. ASNs track delivery progress across statuses (Confirmed, In Transit, Shipped, Delivered).

  4. Delivered quantities reduce the POLS open quantity. The lifecycle completes when the final delivery meets the total quantity.


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Key Features Displayed in the Purchase Order Boook

Statuses

  • OTD Status: Indicates whether a delivery is on time or delayed:

    • On Time: Delivery before the production date.

    • Delayed: Delivery on or after the production date.

    • Missing Info: No OTD date available.

Delivery Information

  • Delivery Status: Tracks the shipment's progress through the statuses.

  • Suggested Delivery Date: Calculated based on stock projections, accounting for optimal delivery timing.

Reliability Index

A risk score at the part level that considers:

  • Part Likelihood: E.g., stock level, safety stock ratio.

  • Supplier Likelihood: E.g., past delivery performance.

  • Impact of Shortages: E.g., demand instability.

Additional Capabilities

Filtering and Grouping

  • Apply filters to narrow down orders by criteria (e.g., supplier, part).

  • Group data by categories such as supplier or MRP codes for aggregated insights.

Export and Import

  • Export: Download the POB data as XLS/CSV files.

  • Import: Update POLS comments via an exported file.

Simulations

Simulate new delivery dates or quantities for POLSs:

  • Recalculates availability, suggested delivery dates, and OTD status.

Escalations and Comments

  • Escalate parts for team alignment.

  • Add, edit, or delete comments for supply events.

Key Dates in the POB

  1. Created Date: When the PO was generated.

  2. Original Requested Date: Initial request date; aligns with the original MRP date.

  3. Promised Date: Latest supplier-committed delivery date.

  4. Need Date (MRP Date): Calculated by the MRP system based on demand.

  5. Availability Date: When the part will be ready for consumption.

  6. Suggested Delivery Date: Calculated for efficient inventory management.

Actions that can be taken by using info from the purchase order book

  • Pull-in: If parts are needed sooner than expected.

  • Push-out: If delivery is required later than the scheduled date.

  • Cancel: If no need for the parts is projected within the current timeline

Supply Planning

This view contains all Plant-Parts either

  • with Supply Events (Purchase Order , Purchase Request (PR) and Stock Transfer Order )

  • with Sourcing Type equal to Buy or Make / Buy

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