THE MMOG/LE RECOMMENDATION: A PRACTICAL ASSESSMENT OF THE INFLUENCE OF ITS ADOPTION TO IMPROVE LOGISTICS PROCESSES

Abstract

This paper analyses the practical influence of a logistics performance assessment tool as perceived by operations managers from the automotive industry in Brazil. Participants that had been trained and had implemented the MMOG/LE Recommendation (Materials Management Operating Guideline/Logistics Evaluation) in their organizations filled in a Likert scale survey. A set of variables was used comprising 32 questions covering all areas of concern of the MMOG/LE and the logistics processes related to them, in an attempt to understand its contribution to the improvement of the logistics processes in the surveyed organizations. There was also an attempt to identify “logistics dimensions” for which the recommendation provides most effective contributions. The main result was the identification of three such dimensions that were value by the respondents: (1) concerns with the manufacturing and logistics processes; (2) concerns with the details involved in the relationship with customers; and (3) concerns with the development of a systemic understanding of the importance of operations and logistics to the organization as a whole and the alignment of functional objectives to the organization’s strategy. Respondents consider that MMOG/LE is more important to provide a holistic view of the logistics processes that anything else, which is really important considering that such processes are becoming more and more complex and each time involve a greater number of different parties.