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Planning and Execution

  • Supplier Collaboration improves the entire supply chain process through the sharing of our planning data to help Suppliers better plan for their own resources. 3M begins by sharing netted forecast data for better long-term planning by the Supplier. The next step is to enter a Supplier Managed Inventory (SMI) relationship where the Supplier assumes responsibility for deciding what to replenish and when based on min-max ranges or days of stock. 3M provides the gross forecast (current inventory position plus expected demand). 3M no longer generates purchase orders as the Supplier determines when to replenish. A scheduling release is used to set time frame and quantity parameters. SMI requires a more committed relationship and discipline between 3M and the Supplier. Where appropriate, 3M may also invite a Supplier to further develop the SMI relationship by migrating to consignment inventory.

    If you are interested in leveraging planning data, discuss with your 3M Planner at the 3M plant or distribution center.



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