SAP ABAP IMG Activity OLQN-MLB (Define Nonconformity Costs for Vendor Evaluation)
Hierarchy
☛ BBPCRM (Software Component) BBPCRM
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IMG Activity
ID OLQN-MLB Define Nonconformity Costs for Vendor Evaluation  
Transaction Code S_ALR_87004326   IMG Activity: OLQN-MLB 
Created on 19981222    
Customizing Attributes OLQN-MLB   Nonconformity costs for vendor evaluation 
Customizing Activity OLQN-MLB   Nonconformity costs for vendor evaluation 
Document
Document Class SIMG   Hypertext: Object Class - Class to which a document belongs.
Document Name OLQN-MLB    

In this step, you define an estimated amount for any work performed that relates to the nonconformity of goods (nonconformity costs, costs incurred as a consequence of defects), as a result of a quality notification.

If the buyer makes a vendor evaluation, the system gives the subcriteria quality/complaint a quality score that is calculated as follows: If no quality notifications exist, the vendor receives the highest possible quality score. This score decreases directly in proportion to the number of quality notifications for a given period, until the lowest quality score is reached. The proportional factor is the ratio of the average damage determined by the user (as a result of one complaint) to the weighted value of all deliveries within the given period. The value of the deliveries (value of vendor's sales) is weighted using a percentage share of business volume.

The system takes into account all quality notifications with origin Q2 (complaint against vendor) that have the status "Caused externally" and "Completed".

Quality as a Criterion in the Vendor Evaluation

The main criterion quality contains the automatically valuated subcriteria - goods receipt, audit and complaints.

  • Goods Receipt (GR)

    The goods receipt score is calculated from the quality score (QSc) for the inspection lots, according to the following formula:

    QSc = (S1 + S2) / (n1 + n2)

    • S1 = Sum of quality scores for the inspection lots
    n1 = Number of inspection lots
    n2 = Number of deliveries for materials with a quality information record, for which no inspection lots exist.
    S2 = n2 * QScmax

    You can break down the GR score for the vendor according to the material and the inspection type.
  • Audit:

    The audit score is either the average quality score for the audits or is made up of the quality scores for the most recent audits. You can also enter an audit score manually.

  • Complaints:

    The complaints score is calculated from the number of complaints against the vendor, according to the following formula:

    QSc = QScmin + (QScmax - QScmin) * (1 - (N * K) / (F * U))

    QSc = QScmin if (N * K) > (F * U)

    • QScmin = Lower limit for QSc
    QKZmax = Upper limit for QSc
    N = Number of Q-notifications in the applicability period
    K = Estimated nonconformity costs
    F = Share of business volume for QSc calculation
    U = Sales of the vendor in the applicability period

Example

Requirements

Standard settings

Recommendation

Activities

If you use the vendor evaluation in the MM component and want to use the estimated complaints valuation to contribute to the criterion "Quality", define a currency value (number and unit) for the estimated nonconformity costs for each notification type.

Further notes

The denominator of the proportional factor mentioned above contains the weighted value of deliveries to the relevant purchasing organization in the reference period.
If this value is high, the quality score remains at its maximum level and the influence of the complaints on the quality score (whole number) only becomes apparent if there is a large number of corresponding quality notifications.
If this value is less than the estimated damage as a result of a quality notification, the quality score is reduced to its lowest level based on the existence of one quality notification.

Business Attributes
ASAP Roadmap ID 204   Establish Functions and Processes 
Mandatory / Optional 2   Optional activity 
Critical / Non-Critical 2   Non-critical 
Country-Dependency A   Valid for all countries 
Assigned Application Components
Documentation Object Class Documentation Object Name Current line number Application Component Application Component Name
SIMG OLQN-MLB 0 (HLA0001813 A HLA0006218)  
Maintenance Objects
Maintenance object type C   Customizing Object 
Assigned objects
Customizing Object Object Type Transaction Code Sub-object Do not Summarize Skip Subset Dialog Box Description for multiple selections
V_TQ80_LB V - View SM30 V_TQ80_LB Valuation of nonconformities 
History
Last changed by/on SAP  19991223 
SAP Release Created in