Materials Management Operation Guideline
MMOG is a tool for evaluating the supply chain of a company. It is recommended for automotive companies since it shows a clear image of how well a company is operating in the Supply Chain.
MMOG was developed by the Automotive Industry Action Group (AIAG). The same group that created the guidelines for the Core Tools.
The evaluation has 197 points in its complete version and 106 points in its basic version.
For the direct suppliers of automotive companies, tier 1, it is recommended the complete version and for indirect suppliers of automotive companies, tier2, the basic version will be enough. All decisions should be consulted with their respective clients. The plants are classified in a point based system. Each of the 34 high importance critical points, F3, give 3 points, medium importance critical points, F2, give 2 points, and low importance critical points, F1, give 1 point. At the end, a global score of A,B,C is given.
Afterwards, actions must be taken to improve the score.
The six big chapters of MMOG are:
- Strategy and improvement
- Work organization
- Capacity and production planning
- Customer service
- Production and product control
- Supplier service
By Enrique Gonzalez