PPM Low Commodity Comparison – Production and/or
Service (+100 to -250 points)
PPM Commodity General Rules:
• Score and Commodity determined separately for Production and
Service, based on data from the last 6 mature calendar months.
• Each Commodity is scored, with the lowest scoring commodity
chosen to determine the site commodity score.
• Industry is defined as all external supplier shipments (reported in
SIM) of part numbers with the same Low Commodity Code.
• Industry Commodity PPM level is updated annually in March based
on the prior 12 months Industry PPM for each Low Commodity for
both Production and Service.
• No positive points are allowed if the Supplier Site has fewer than 2
months of production/service receipts in the last 6 mature months.
• The lowest possible score for a commodity may be limited and
phased in based on several metrics including Site and Commodity
PPM, receipt % of site volume and total rejected parts.