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

    • Lower PPM
    • Lower NPD time
    • First time right of the products/ components at supplier’s place
    • Improved “on time in full quantity”
    • High productivity
    • Lower cost of sourcing

    Qualitative

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    • Skill-building and problem-solving capability
    • KPIs alignment
    • Standardized processes
    • Prevent product failure through “mistake proofing”
    • Improved data layer maturity
    • 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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