Promise timing
In the standard VRO process, the supplier has to call the customer at the time of sending the Promise if it contains a discrepancy.
Now imagine the worse, the supplier does not call the customer: in this case, the VRO counter detects the discrepancy at the receipt of the Promise and reports it on the Discrepancies Board. But this is the best of the worse cases! If the VRO counter is late in its counting activity, he will post the blue fax of the Promise on the Fax Board without analyzing it and he will continue to count.
Importance of the Discrepancies Review Meeting
Discrepancies review meeting
At least a daily review of each opened discrepancies is mandatory in order to get the full benefit of the VRO.
Before the beginning of the Discrepancies Review Meeting, the counter has to completely fill out the Discrepancies Board with the discrepancies detected since the previous meeting. He has to reserve enough time before the meeting in order to fully complete this task.
All the discrepancies have to be reported on the Discrepancies Board at the time of the Discrepancies review meeting.
Timing of the meeting
Imagine that we have only one Discrepancies Review Meeting at 11:00am every day. If a Promise is scheduled to be received 11:01am, it will be considered only the next day, increasing consequently the standard reaction time of 24h.
It is obvious that the choice of the hour within the day for this meeting is important. The receiving time of the Promise for critical suppliers has to be done according to the meeting hour in order to avoid to loose time.
Having 2 meetings is better and strongly recommended.
To avoid safety stock, the time between Promise and consumption of the product at the customer has to be longer than:
Time between Promise receipt and next Discrepancies Review Meeting + Standard Recovery Time + Express Transportation + Express receipt
Case of close suppliers
Here it is a surprising point : can we have a shorter time between Promise and shipping for close suppliers ? Of course not! This time has to be longer because the express transportation will not allow you to save time.
Closer is a supplier, longer has to be the time between the Promise and the material shipment.
Amazing isn't it?
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