Suppliers’ Capability Enhancement Programme (SCEP)

SCEP focuses on developing and enhancing supplier capabilities, enabling them to become more proficient in their services for manufacturers
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Are you facing any of these challenges?

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Missing delivery deadlines due to supplier’s long lead time.

  

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Increase in customer complaints due to supplier raw material/part/component issue

  

inventory

New product launch not successful due to supplier incapability

  

meeting_room

Supplier not able to meet Q/C/D parameter

  

category

Low productivity due to material unavailability

  

emergency

High risk of supply continuity due to import dependency

  

SCEP – The purpose

Supply chain partners’ success is an essential element in the survival and growth of any business. Therefore, it is important to ensure that the suppliers understand the expectations and supply the materials to the manufacturers in the right quantity at the right time and with the requisite quality.

The purpose of SCEP is to develop and improve suppliers’ capabilities so that the large manufacturers realise their business goals.

SCEP approach

01

Critical suppliers identification

02

Supplier assessment

03

Improvement projects implementation

04

Supplier foundation building

Stage 1: Critical supplier identification

Critical suppliers identification

Supplier assessment

Base building

Improvement projects

Objective

To identify critical suppliers to ensure supply continuity

Key activities:

Critical supplier’s identification based on agreed criteria

  

Supplier performance analysis

  

Supplier’s selection for strategic sourcing

  

Stage 2: Supplier assessment

Critical suppliers identification

Supplier assessment

Base building

Improvement projects

Objective

Measure capability of critical suppliers

Key activities:

Quality

  • Proactive approach process
  • Reactive approach process

Capacity

  • Supplier capacity assessment
  • Bottlenecks and constraints

Delivery

  •  Supplier logistics process

Stage 3: Supplier foundation building

Critical suppliers identification
 

Supplier assessment
 

Supplier foundation building
 

Improvement projects implementation

Objective

Improving supplier’s capability while setting foundation

Key activities:

Process mapping

  

OEM-supplier KPI mapping

  

Process standardization

  

Stage 4: Improve project implementations

Critical suppliers identification 
 

Supplier assessment
 

Base building
 

Improvement projects implementation

Objective

Improving supplier’s capability while setting foundation

Key activities:

Project definition

  

Project execution

  

Project sustenance

  

Expected outcomes from SCEP

Quantitative

  1. Lower PPM
  2. Lower NPD time
  3. First time right of the products/ components at supplier’s place
  4. Improved “on time in full quantity”
  5. High productivity
  6. Lower cost of sourcing

Qualitative

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  1. Skill-building and problem-solving capability
  2. KPIs alignment
  3. Standardized processes
  4. Prevent product failure through “mistake proofing”
  5. Improved data layer maturity
  6. Improved supplier satisfaction

Typical SCEP roadmap

The duration required for implementing a SCEP programme depends on several factors such as the supplier’s size, product complexity, organisational culture, and current status.

Typical SCEP roadmap

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