Perform Supplier Tolerance Check

Explanation

Business contracts often include allowable schedule variances with potential financial penalties if violated. Therefore, it can be crucial for the supplier to present actual facts and figures associated with the schedule variance's violations.

The two main tolerance calculations are cumulative schedule tolerance and bucketed schedule tolerance call-off.

  1. Cumulative Schedule Tolerance: This check shows the cumulative effect of the releases. The quantity per day is compared to the same period of time for a previous schedule. The variations are also measured per day on the basis of cumulative requirements.
  2. Bucketed Schedule Tolerance: This check summarizes schedule quantities into the buckets defined by the schedule template. Accumulations in like-size buckets are compared to a tolerance percentage defined for each bucket in the template.

Perform a tolerance check by using one of the following alternatives:

Note: A supplier schedule can be checked for tolerance even if the approver is blocked for use.

Prerequisites

System Effects