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Acronyms in Supply Chain

 

APS: Advanced Planning System

C2C: Cash to Cash (Cycle)

E2E: End to End (Planning)

ERP: Enterprise Resource(s) Planning

FTL: Full Truck Load

LIFO: Last In First Out

MES: Manufacturing Execution System

MPS: Master Production Schedule 

MRP: Material Requirements Planning

O2C: Order to Cash (Cycle)

OTIF: On Time In Full 

RCCP: Rough Cut Capacity Planning

S&OP: Sales and Operations Planning

VMI: Vendor Managed Inventory

 

 

S&OP

Sales & Operations Planning

Process to support business leaders making decisions on topics such as balancing demand plans with supply plans, making adjustments in execution, introducing new products and phasing out of old products, and so on.

 

O2C

Order to Cash (Cycle)

Time from order receipt to fulfillment and cash inflow. Shortening cycle aims at improving cash flow position and usage, increasing customer satisfaction and overall operational efficiency.

 

C2C

Cash to Cash (Cycle)

Time period spanning over cash out to suppliers to cash in from customers, thus measuring how cash is tied from production into sales.

 

RCCP

Rough Cut Capacity Planning

Planning over longer term in order to balance required and available capacity.

 

E2E

End to End (Planning)

Involving the entire supply chain processes, information flows and execution activities. Such visibility avoids siloes and spans over demand and design, through production and distribution, to delivery and after sales service.

 

MRP

Material Requirements Planning

Plan and manage procurement and scheduling of materials needed for production; ensure material availability in quantity and timing, optimize inventory levels, reduce stockouts.

 

OTIF

On Time (and) In Full

Measure the ability to fulfill delivery promises made to customers, simultaneously supplying what they required and when they required it.

 

VMI

Vendor Managed Inventory

Inventory management technique where supplier of goods takes responsibility to manage and optimize downstream inventory holdings.

 

FTL

Full Truck Load (or Truckload)

Transportation of goods in a fully loaded trailer in order to carry as much load as available space to increase efficiency and reduce item cost when moving goods, while tending to a sustainable footprint.

 

MPS

Master Production Schedule [or Scheduling]

Medium term horizon, aggregate and optimize production plan to fulfill demand, leveling and smoothing load with available capacity.

 

APS

Advanced Planning System

Streamline demand forecasting, supply planning, production planning, inventory management, distribution and logistics execution; improve planning efficiency and effectiveness to optimize resource utilization.

 

MES

Manufacturing Execution System

Capture and process real time data to monitor and control production activities at shopfloor; bridge gaps between enterprise level systems and shopfloor, provide real time visibility and control.

 

ERP

Enterprise Resource(s) Planning

Automate business processes e.g. finance, accounting, purchasing, sales, distribution, human resources, customers; record transaction unified and centralized, facilitate data flow and communication, data repository.

 

LIFO

Last In First Out

Account for inventory so that cost of most recently item put into stock is expensed first.