Leyland Supply Chain Improvement Programme Nov 2005

Preliminary Report

Introduction

The DRIVEN supplier development strategy incorporates activities which have external funding agency support, Accelerate and DTI.

This portion of the strategy is in the closing phase and the purpose of this paper is to provide Leyland with a better understanding of the status

 

Executive Summary

• One supplier received an Award for Excellence as a direct result of their involvement in the Leyland SCIP programme.

• The current state mapping activities have identified across all suppliers a total opportunity exceeding £4 mil.

• The ability of the individual suppliers to achieve all the savings potential identified during the current state mapping activities is variable, especially within the remaining time frame of the funding programme.

• There are a number of projects which have been completed resulting in significant financial and cultural changes within some suppliers.

• There have been a number of Green Belt Certification events due to successful project completion being supported by both Leyland and the funding body.

• 14 different companies have sent people on Green Belt training due to the need for these skills to improve specific aspects of their businesses.

• There have been 75 people from all the suppliers who have participated in specific Green Belt Training. All candidates have been involved or led improvement projects in their respective businesses.

• Of the 75 people, 33 have completed Lean Green Belt training and 42 completing 6 Sigma Green Belt training.

 

Commentary

The programme was established with the objective of providing suppliers with the enabling skills to create a sustainable competitive position to support Leyland. The level of training, project activity and project mentoring will yield significant cost saving opportunities for the suppliers. It is reasonable to conclude that with 75 trainees across 14 different companies represents very real tangible benefits to the suppliers and Leyland. It must also be appreciated that this only represents the ‘first’ projects within the businesses. In numerous instances we have been involved in 3 to 5 projects within a supplier –this now places Leyland in a very strong position to review their CMP with the suppliers.

Dean Sexton

Symbios

Nov 2005.

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