MMOG/LE – the Global Materials Management Operations Guideline Logistics Evaluation – is a supplier self-assessment and continuous improvement tool with a related training course, that improves materials management efficiency and accuracy while reducing costs from errors and waste.
Since its introduction in 2004, MMOG/LE (also known as just MMOG) has become the complex manufacturing standard for the industry globally, assessing the capability of the supply chain management (SCM) processes of OEMs and thousands of Tier 1 and Tier 2 suppliers.
As these SCM processes never stand still, the catalogue of audit questions is reviewed every three years to ensure the tool continues to meet the latest SCM developments and trends.
This tool can be used by both supplier and customer throughout the entire product life cycle, including early product development and pre-production phases, and the post-production aftermarket/service phases. Through implementation of the MMOG/LE standard, suppliers have seen up to A 60% reduction in inventory, an 85% reduction in premium freight costs, and an 80% reduction in obsolete materials. Suppliers also report a reduction in line stoppages, inventory carrying costs, premium freight, and rework, along with shortened lead times, all of which help mitigate supply chain risk.
MMOG/LE Version 6 offers further guidance in the following areas to help secure supply chains, including:
- Digital transformation
- Capacity planning
- ESG responsibility
- Crisis management
- Cybersecurity
- Cascade of SCM assessment with sub-suppliers and new entrants
As of April 1, 2023, V6 is available on the mmogle.com platform, in time for the Ford and Stellantis annual reporting periods from May 1 to July 31. We advise you to contact your customers or watch for supplier bulletins to know when Version 6 will be required.
For an overview and better understanding of MMOG/LE Version 6, please read the V6 Introduction & Instructions found below in our Free Resources! Be sure to check out our Global MMOG/LE Implementation Training - 6th Edition as well!