MCPInstall

supplychain

Executive-level supply chain expertise for automotive manufacturing. Strategic purchasing, materials management, supplier development, and cost optimization aligned with IATF 16949 requirements. USE WHEN user says 'supply chain', 'purchasing', 'procurement', 'supplier', 'materials management', 'inventory', 'sourcing', 'vendor', 'BOM cost', 'PPV', 'should cost', 'make vs buy', 'RFQ', 'category management', or needs strategic guidance on automotive supply chain decisions. Integrates with AutomotiveManufacturing, A3CriticalThinking, and HoshinKanri skills.

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Install

Works with every agent the skills CLI supports.

npx skills add https://github.com/robdtaylor/personal-ai-infrastructure --skill supplychain
  1. 01

    Install

    Run the command in your project. The CLI asks which agents to install for.

  2. 02

    Describe the task

    Ask your agent for something this skill covers. It loads supplychain automatically when relevant.

  3. 03

    Review the result

    The agent follows the SKILL.md steps, scripts and references bundled with the skill.

SKILL.md

The instructions your agent reads when the skill is triggered.

Supply Chain Management - Automotive Manufacturing

When to Activate This Skill

  • "Help me negotiate with [supplier]"
  • "Create an RFQ for [component]"
  • "Supplier scorecard for [vendor]"
  • "Should-cost analysis for [part]"
  • "Make vs buy decision for [process]"
  • "Category strategy for [commodity]"
  • "Reduce BOM cost by [target]"
  • "Supplier quality issue with [vendor]"
  • "Materials planning for [product]"
  • "Inventory optimization"

Strategic Framework

The Supply Chain Value Hierarchy

┌─────────────────────────────────────────────────────┐
│  1. QUALITY & COMPLIANCE                            │
│     Zero defects to production line                 │
│     IATF 16949, ISO 9001, customer requirements     │
└─────────────────────────────────────────────────────┘
                        ↓
┌─────────────────────────────────────────────────────┐
│  2. DELIVERY & AVAILABILITY                         │
│     Right part, right place, right time             │
│     Supply continuity and resilience                │
└─────────────────────────────────────────────────────┘
                        ↓
┌─────────────────────────────────────────────────────┐
│  3. TOTAL COST OPTIMIZATION                         │
│     Not just piece price - total cost of ownership  │
│     PPV, logistics, inventory, quality costs        │
└─────────────────────────────────────────────────────┘

Critical Rule: Never compromise quality or delivery for cost. A cheap part that stops the line costs far more than the savings.


Executive-Level Competencies

Strategic Purchasing

DomainCompetency
Category ManagementCommodity strategies, market analysis, TCO modeling
Supplier StrategyRationalization, development, partnership tiers
NegotiationMulti-variable deals, BATNA, value creation
Contract ManagementTerms, risk allocation, performance clauses
Cost ManagementShould-cost, VA/VE, design-to-cost
Risk ManagementSingle source mitigation, geopolitical exposure

Materials Management

DomainCompetency
Demand PlanningForecasting, S&OP integration, consumption patterns
Inventory StrategySafety stock, JIT, Kanban, VMI, consignment
MRP/ERPSystem optimization, parameter tuning, exception management
LogisticsInbound optimization, milk runs, cross-docking
WarehouseLayout, flow, accuracy, cycle counting

Supplier Quality

DomainCompetency
PPAPProduction Part Approval Process management
Supplier AuditsProcess audits, system audits, LPA
Performance MetricsPPM, OTD, cost recovery, scorecards
DevelopmentSQE programs, capability building
EscalationQuality alerts, controlled shipping, business review

Key Metrics & KPIs

Executive Dashboard

MetricTargetCalculation
PPV (Purchase Price Variance)Negative (savings)(Standard - Actual) × Volume
OTD (On-Time Delivery)≥98%(On-time receipts / Total receipts) × 100
Supplier PPM<50(Defects / Parts received) × 1,000,000
Inventory Turns≥12COGS / Average Inventory
Days of Supply<15Inventory / Daily Usage
Spend Under Management>90%Managed spend / Total spend
Cost AvoidanceTrackNegotiated savings from market increases

Operational Metrics

MetricTargetPurpose
Dock-to-Stock Time<24 hrsReceiving efficiency
Inventory Accuracy>99%Cycle count results
Premium Freight<0.5% of spendExpedite control
Invoice Match Rate>95%Process efficiency
Supplier ScorecardTop quartilePerformance trending

Supplier Management

Supplier Tiering Strategy

┌─────────────────────────────────────────────────────┐
│  STRATEGIC PARTNERS (Tier 1)                        │
│  • Joint development, shared roadmaps              │
│  • Long-term agreements (3-5 years)                │
│  • Executive relationship management               │
│  • Collaborative cost reduction                    │
└─────────────────────────────────────────────────────┘
                        ↓
┌─────────────────────────────────────────────────────┐
│  PREFERRED SUPPLIERS (Tier 2)                       │
│  • Proven performance, competitive pricing         │
│  • Medium-term agreements (1-3 years)              │
│  • Regular business reviews                        │
│  • Standard cost reduction expectations            │
└─────────────────────────────────────────────────────┘
                        ↓
┌─────────────────────────────────────────────────────┐
│  APPROVED SUPPLIERS (Tier 3)                        │
│  • Qualified but transactional                     │
│  • Spot buy or competitive bid                     │
│  • Annual review                                   │
│  • Performance-based retention                     │
└─────────────────────────────────────────────────────┘
                        ↓
┌─────────────────────────────────────────────────────┐
│  PROBATION / EXIT (Tier 4)                          │
│  • Performance issues, quality concerns            │
│  • Controlled shipping or new business hold        │
│  • Active exit planning                            │
│  • Seek alternatives                               │
└─────────────────────────────────────────────────────┘

Supplier Scorecard Framework

CategoryWeightMetrics
Quality40%PPM, PPAP on-time, warranty claims, audit scores
Delivery30%OTD, lead time, flexibility, communication
Cost20%Price competitiveness, VA/VE, payment terms
Service10%Responsiveness, technical support, innovation

Cost Management Strategies

Total Cost of Ownership (TCO)

PIECE PRICE
    + Tooling (amortized)
    + Logistics (freight, handling, duties)
    + Inventory carrying cost
    + Quality costs (inspection, sorting, returns)
    + Administrative costs (POs, invoices, management)
    + Risk premium (single source, geopolitical)
    ─────────────────────────────
    = TOTAL COST OF OWNERSHIP

Cost Reduction Levers

LeverDescriptionTypical Savings
Volume LeverageConsolidate spend, longer commitments3-8%
Specification ReviewOver-engineering elimination5-15%
VA/VEValue Analysis / Value Engineering10-30%
Should-CostDetailed cost breakdown analysis5-20%
ResourcingGeographic arbitrage, new suppliers10-25%
Process ImprovementSupplier manufacturing efficiency3-10%
Payment TermsExtend terms, capture early pay discount1-3%

Should-Cost Model Components

MATERIAL COST
    Raw material × Usage factor × Scrap factor
    + Market pricing or index

CONVERSION COST
    Labor: (Cycle time × Labor rate) / Efficiency
    Machine: (Cycle time × Machine rate) / OEE

OVERHEAD
    SG&A: % of conversion
    Profit: % margin (typically 5-15%)

LOGISTICS
    Packaging + Freight + Duties

Negotiation Framework

Preparation Checklist

  • BATNA - Best Alternative to Negotiated Agreement
  • ZOPA - Zone of Possible Agreement
  • Supplier economics - Their costs, margins, pressures
  • Market conditions - Supply/demand, commodity trends
  • Leverage points - Volume, specification, competition
  • Walk-away point - Clear bottom line
  • Value creation opportunities - Win-win possibilities

Multi-Variable Negotiation

Don't negotiate price alone. Trade across multiple variables:

VariableGiveGet
Volume commitmentHigher volumeLower price
Contract lengthLonger termPrice protection
Payment termsEarlier paymentDiscount
SpecificationRelax toleranceCost reduction
LogisticsDifferent IncotermPrice adjustment
QualityAccept more inspectionCost pass-through

BATNA Development

Always have alternatives:

  1. Identify backup suppliers (at least 2)
  2. Understand switching costs and timeline
  3. Maintain relationships with alternatives
  4. Document qualification status
  5. Never reveal desperation

IATF 16949 Supplier Requirements

Supplier Quality Management System

RequirementExpectation
QMS CertificationIATF 16949 preferred, ISO 9001 minimum
PPAP SubmissionLevel 3 minimum, all 18 elements
Process ControlsControl plans, PFMEA, reaction plans
Change ManagementPrior notification and approval
TraceabilityLot traceability to raw material
CalibrationTraceable measurement systems
Continuous ImprovementYear-over-year PPM reduction

Supplier Development Program

Stage Gate Approach:


Risk Management

Supply Risk Categories

Risk TypeExamplesMitigation
Single SourceProprietary technology, limited capacityDual source, inventory buffer
FinancialSupplier bankruptcy, cash flow issuesCredit monitoring, payment terms
GeopoliticalTrade disputes, sanctions, instabilityRegional diversification
OperationalFire, flood, equipment failureBCP review, safety stock
QualitySystematic defects, process driftAudit frequency, incoming inspection
CapacityDemand surge, allocationLTA commitments, capacity reservation

Risk Assessment Matrix

ProbabilityLow ImpactMedium ImpactHigh Impact
HighMonitorMitigateUrgent Action
MediumAcceptMonitorMitigate
LowAcceptAcceptMonitor

Materials Planning

Inventory Strategy by Part Type

Part TypeStrategyTarget DOS
A Items (High value, critical)JIT, frequent delivery3-5 days
B Items (Medium value)Weekly delivery, safety stock7-14 days
C Items (Low value, commodity)VMI, consignment, bulk30+ days
Critical sparesBuffer stock regardless of valuePer risk

Safety Stock Calculation

Safety Stock = Z × σ × √(LT + Review Period)

Where:
Z = Service level factor (95% = 1.65, 99% = 2.33)
σ = Demand standard deviation
LT = Lead time in periods

MRP Best Practices

  • Accurate BOMs (99%+)
  • Realistic lead times (include buffer)
  • Clean inventory records (cycle count)
  • Demand forecast accuracy tracking
  • Exception management daily
  • Planner workload balancing

Templates Available

TemplatePurposeLocation
RFQ PackageRequest for Quotationtemplates/rfq-template.md
Supplier ScorecardPerformance trackingtemplates/scorecard.md
Should-Cost ModelCost breakdowntemplates/should-cost.md
Negotiation PrepDeal preparationtemplates/negotiation-prep.md
Category StrategyCommodity planningtemplates/category-strategy.md
Supplier AuditAssessment checklisttemplates/supplier-audit.md

Integration Points

With A3CriticalThinking

  • Supply disruptions trigger A3 problem solving
  • Cost reduction projects use structured analysis
  • Priority hierarchy: Quality → Delivery → Cost

With AutomotiveManufacturing

  • PPAP documentation requirements
  • Control plan supplier inputs
  • Work instruction material specifications

With HoshinKanri

  • PPV targets cascade from strategic objectives
  • Supplier development as improvement priority
  • Bowling chart for supply chain KPIs

Key Principles

  1. Total Cost Thinking - Never optimize piece price at expense of total cost
  2. Supplier Partnership - Best results come from collaboration, not adversarial relationships
  3. Risk-Adjusted Decisions - Factor in supply continuity, not just price
  4. Data-Driven Negotiation - Use should-cost and market intelligence
  5. Continuous Improvement - Year-over-year cost and quality improvement
  6. Strategic Alignment - Supply chain supports business objectives
  7. Ethical Conduct - Fair dealing, no kickbacks, transparent process

Extended Context

For detailed methodologies, case studies, and advanced strategies: read ~/.claude/skills/SupplyChain/CLAUDE.md

For templates: ls ~/.claude/skills/SupplyChain/templates/

Workflow Routing

User RequestWorkflowOutput
"Negotiate with supplier X"Negotiation FrameworkBATNA analysis, multi-variable strategy
"Create RFQ for [part]"RFQ PackageStructured RFQ document using template
"Supplier scorecard for [vendor]"Scorecard FrameworkWeighted performance assessment
"Should-cost analysis for [part]"Should-Cost ModelCost breakdown by material/conversion/overhead
"Make vs buy for [process]"Make vs Buy FrameworkDecision matrix with recommendation
"Category strategy for [commodity]"Category ManagementSpend analysis, tiering, sourcing strategy
"Reduce BOM cost"Cost Reduction LeversPrioritized list of cost reduction opportunities
"Supplier quality issue"Supplier Development / 8DEscalation path, containment, corrective action
"Materials planning / inventory"Materials PlanningABC analysis, safety stock, replenishment strategy
"Risk assessment for supply base"Risk ManagementRisk matrix, mitigation actions

Examples

Supplier negotiation prep:

"Help me prepare for a negotiation with our casting supplier who wants a 10% price increase" → Provides BATNA development, should-cost comparison, multi-variable trade strategy, and walk-away point.

Total Cost of Ownership analysis:

"We found a cheaper supplier in Eastern Europe — should we switch?" → Builds full TCO model including freight, inventory carrying cost, quality risk, and management overhead to compare true cost.

Supplier development plan:

"Our key machining supplier is at 800 PPM and 90% OTD — what do we do?" → Provides phased development plan: assessment, improvement targets, SQE resource deployment, and ROI calculation.

FAQ

What does the supplychain skill do?

Executive-level supply chain expertise for automotive manufacturing. Strategic purchasing, materials management, supplier development, and cost optimization aligned with IATF 16949 requirements. USE WHEN user says 'supply chain', 'purchasing', 'procurement', 'supplier', 'materials management', 'inventory', 'sourcing', 'vendor', 'BOM cost', 'PPV', 'should cost', 'make vs buy', 'RFQ', 'category management', or needs strategic guidance on automotive supply chain decisions. Integrates with AutomotiveManufacturing, A3CriticalThinking, and HoshinKanri skills.

How do I install supplychain?

Run npx skills add https://github.com/robdtaylor/personal-ai-infrastructure --skill supplychain in your project. The skills CLI detects the agents you use and copies the skill into the right folder. For Claude Code you can also place the skill folder at ~/.claude/skills/supplychain/ (personal) or .claude/skills/supplychain/ (project).

Which AI agents can use supplychain?

Any agent that supports the open Agent Skills format (a folder with a SKILL.md file), including Claude Code, Codex, Cursor, GitHub Copilot, Gemini CLI, Windsurf, Cline, OpenCode and more.

Is supplychain safe to install?

No partner security audit is available yet. Skills can run commands and scripts, so read the SKILL.md and any bundled files before installing.

Who maintains supplychain?

It is published by robdtaylor in robdtaylor/personal-ai-infrastructure. It has 89 recorded installs.

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