Doing Business with Daimler Trucks North America LLC. A

Transcription

Doing Business with Daimler Trucks North America LLC.
A Supplier’s Guide to a successful business relationship
with Daimler Trucks North America LLC.
Revision 04.2010
Table of Contents
Table of Contents ....................................................................................... 1
Index of Figures ........................................................................................... 4
1.0 Preface ................................................................................................ 5
1.1 Welcome to Doing Business with Daimler Trucks North America (DTNA)........................ 5
2.0 Purchasing............................................................................................. 6
2.1 Purchase Contracts ................................................................................ 6
2.2 Other contracts..................................................................................... 6
2.3 eDocs ............................................................................................... 6
2.4 Supplier Evaluation ................................................................................. 6
3.0 Tooling ................................................................................................. 8
3.1 Tooling Ownership.................................................................................. 8
3.2 Tool Tracking ....................................................................................... 8
3.3 Tooling Quote....................................................................................... 8
3.4 Tooling Start-up .................................................................................... 8
3.5 Tooling Changes .................................................................................... 8
3.6 Tooling Maintenance ............................................................................... 8
3.7 QA Check Fixtures.................................................................................. 8
3.8 Tooling Moves or Resourcing ...................................................................... 8
3.9 Tooling Completion................................................................................. 9
3.10 Invoicing........................................................................................... 9
3.11 Asset Tags......................................................................................... 9
3.12 Process Sheets.................................................................................. 10
3.13 Asset Pictures................................................................................... 10
3.14 Refurbishment / Replacement Requests ...................................................... 10
4.0 Quality ............................................................................................... 12
5.0 Materials Management ............................................................................. 13
5.1 Introduction to Supplier Management, Launch and Change Management and Material Planning
........................................................................................................ 13
5.2 Changeover ....................................................................................... 13
5.3 Material Supply Planning......................................................................... 13
5.4 Manufacturing EDI Business Rules and Usage .................................................. 15
5.5 EDI Trading Partner Registration and Set Up.................................................... 20
6.0 Engineering .......................................................................................... 25
6.1 DTNA Engineering’s Commitment to Suppliers ................................................. 25
6.2 General Expectations of Suppliers ............................................................... 25
6.3 Safety Defect Investigations and Remedy ....................................................... 27
6.4 Parts Development Expectations (prototype/test) ............................................. 27
6.5 Failure Mode and Effects Analysis (FMEA) ...................................................... 27
6.6 CAD Information and Other Data Exchange ..................................................... 28
6.7 Supplier Changes................................................................................. 29
6.8 Consequences of Chronic Issues ................................................................ 31
6.9 Supplier Innovation............................................................................... 32
04.2010REV Daimler Trucks North America LLC
1
7.0 DTNA Production Parts Packaging, Labeling, and Shipping Guidelines ........................... 33
7.1 Introduction....................................................................................... 33
7.2 Packaging and Shipping Data .................................................................... 33
7.3 Primary Container Requirements ................................................................ 34
7.4 Internal Part Protection Requirements .......................................................... 35
7.5 Pallet Requirements .............................................................................. 35
7.6 Unitization and Palletization Requirements ..................................................... 36
7.7 Returnable Container Programs ................................................................. 37
7.8 Identification and Labeling Requirements ....................................................... 38
7.9 Trailer Loading and Transportation Requirements .............................................. 41
7.10 Glossary ......................................................................................... 43
7.11 Forms and Samples............................................................................. 44
8.0 Logistics ............................................................................................. 51
8.1 Terms ............................................................................................. 51
8.2 Routings .......................................................................................... 51
8.3 Compliance with Routing Instructions ........................................................... 53
8.4 SID Numbers ..................................................................................... 53
8.5 Premium Freight Authorization .................................................................. 53
8.6 ASNs .............................................................................................. 53
8.7 Cooperation with Ryder Integrated Logistics.................................................... 53
8.8 Regional Integrated Logistics Centers (RILC’s) Shipping Instructions.......................... 53
8.9 DTNA- RILC Communication Procedures - General ............................................. 54
8.10 Shipping Requirements ......................................................................... 56
8.11 Shipments into NAFTA (Mexico/Canada)...................................................... 57
9.0 Accounts Payable ................................................................................... 61
9.1 Evaluated Receipts Settlement (ERS)............................................................ 61
9.2 Payment Terms ................................................................................... 61
9.3 Banking Instructions ............................................................................. 61
9.4 Invoice Details .................................................................................... 61
9.5 Debit Memos ..................................................................................... 62
9.6 Disputes .......................................................................................... 62
10.0 U.S. Import Compliance ........................................................................... 63
11.0 Warranty ........................................................................................... 66
11.1 Introduction ..................................................................................... 66
11.2 Warranty Agreement ............................................................................ 66
11.3. Warranty Process .............................................................................. 66
11.4 Failed Parts Return.............................................................................. 67
11.5 Warranty Certification Program ................................................................ 67
11.6 Warranty Rating Criteria ........................................................................ 67
11.7 Warranty Agreement (Example form) .......................................................... 68
12.0 Customer Support/Aftermarket .................................................................. 70
12.1 Purchasing ...................................................................................... 70
12.2 Delivery and Availability ........................................................................ 70
2
12.3 Aftermarket Parts Packaging, Shipping and Documentation.................................. 72
12.4 Marketing Programs ............................................................................ 72
12.5 Sales Support ................................................................................... 73
12.6 Technical Support............................................................................... 73
3
Index of Figures
Figure 1: Tool Acceptance Certificate .................................................................... 9
Figure 2: ID/Certification Tag........................................................................... 10
Figure 3: DTNA Tooling Refurbishment/Replacement/Questions/Procedures ...................... 11
Figure 4: SID (Shipment Identification) ................................................................. 18
Figure 5: DTNA Assembly and Manufacturing Locations .............................................. 19
Figure 6: Covisint Directions ............................................................................ 23
Figure 7: Supplier Part Change Time ................................................................... 30
Figure 8: DTNA Change Form ........................................................................... 31
Figure 9: DTNA Production Parts Expendable Packaging Data ........................................ 45
Figure 10: DTNA Test Packaging Identifier ............................................................. 46
Figure 11: DTNA Packaging and Shipping Label Detailed Outline ..................................... 47
Figure 12: DTNA Master Label Detailed Outline ....................................................... 48
Figure 13: DTNA Mixed Load Label Detailed Outline .................................................. 49
Figure 14: DTNA Destination Label Detailed Outline................................................... 50
Figure 15: Routing Instructions Example ............................................................... 52
Figure 16: Custom Clearance Requirements for Canadian Vendors Shipping Into the U.S........... 58
Figure 17: Sample U.S. Customs Invoice form ......................................................... 60
Figure 18: Warranty Agreement Example Form ........................................................ 69
4
1.0 Preface
1.1 Welcome to Doing Business with Daimler Trucks North America (DTNA)
To create and maintain a successful business relationship with Daimler Trucks North America (DTNA), many
specific requirements must be addressed by suppliers. DTNA has an expectation to receive quality products
and services in the right quantity, at the right price and at the right time. Understanding the meaning and
detail of these expectations can be difficult, so we are providing our suppliers with this guide to help
understand the key steps they can follow for a long-lasting and successful business relationship with Daimler
Trucks North America.
This guide outlines supplier expectations by presenting a logical progression of departments, events and
documents that will be encountered when doing business with DTNA. We hope suppliers find it helpful and
look forward to a mutually rewarding business relationship.
Thank you for your interest in this guide and your service to Daimler Trucks North America.
5
2.0 Purchasing
2.1 Purchase Contracts
The Purchasing Contract is a general agreement which stipulates part numbers and prices as well as DTNA’s
required Terms and Conditions of purchase. Purchase Contracts are created for recurrent requirements such
as parts needed for ongoing truck production. The Purchase Contract expires at the end of each year in which
it is issued, unless stated differently. The agreement is renewed annually if it is expected that parts will
continue to be purchased from the supplier.
2.2 Other contracts
Successful suppliers will be expected to enter into any one of DTNA’s standard form of contracts to manifest
the intent and the agreements of a business relationship. Some of the more common are as follows:
1. Warranty Agreement (required of all suppliers)
• Detailed information can be found in Section 11 of this guide
2. Non-Disclosure Agreement
• Assures confidentiality between DTNA and supplier
3. Development Agreement
• Documents all aspects and agreements during the development phase of a project prior to
production
4. Long-term Agreement
• Outlines annual cost reductions and/or efficiency improvement for the period of the
agreement
• Documents a relationship lasting more than one year with a commitment to competitive
pricing, acceptable quality and delivery performance
2.3 eDocs
eDocs allows purchasing documents such as inquiries, orders or contracts originating from the DTNA
purchasing system to be exchanged over the Internet with any required file attachments. Using secure
functions, suppliers can confirm receipt of documents and acceptance of content or reply to inquiries with an
online quote.
Access to eDocs is supplied via the Global Daimler Supplier Portal in Covisint. An application is provided
including a neutral log-in procedure with administrative functions for business partners.
Some of the advantages of using eDocs are:
- Paperless contracting
- Confirmation of receipt and delivery based on online transmission
- Reduction of administrative workload
- Immediate notification of new parts on a contract
- Reduction of invoice discrepancies which can be caused by delayed reviews of pricing agreement
The use of eDocs is free of charge to our business partners.
In order to become activated for eDocs transmissions, please contact your purchasing agent to receive the
required documentation and instructions.
2.4 Supplier Evaluation
The intent of the supplier evaluation is to review and evaluate the performance of potential and existing
suppliers in terms of the four value drivers: quality, cost, technology and supply. The supplier evaluation
6
supports the pre-production and series production purchasing processes and provides an early indication of
support needs for suppliers in the case of an award. Procurement Trucks and Buses (PTB) methods of
supplier evaluation include the On-site Assessment, Internal Cross-functional Assessment, and External
Balanced Scorecard.
The On-Site Assessment (OSA) is used in specific cases to evaluate NEW and CURRENT suppliers within the
scope of a new contract award for product projects and series production. The main element is the on-site
evaluation of the supplier by a cross-functional team of representatives from Purchasing, Engineering, Quality,
Manufacturing, Materials and Supplier Evaluation. Results of an On-site Assessment are communicated to the
supplier at the end of an assessment through the use of a feedback form containing the “category” rating,
noted highlights, and potentials for improvement.
The Internal Cross-Functional Assessment (ICA) is used to evaluate CURRENT suppliers within the scope of a
new contract award for a product project before start of production. Previous and current experience with the
supplier is evaluated by Purchasing, Engineering, Quality, Production, Materials and After Sales by means of a
questionnaire.
OSA and ICA results in one of the following supplier classifications:
Category 1 – Suitable for cooperation with Daimler Trucks North America
Category 2 – With support, suitable for cooperation with Daimler Trucks North America
Category 3 – Unsuitable for cooperation with Daimler Trucks North America
(Note: receipt of a Category 1 or 2 rating does not indicate or guarantee an awarding of business or the
continuation of business, and does not waive any rights of DTNA under contracts or law.)
The External Balanced Scorecard (EBSC) is an instrument for continuous assessment of the performance of
CURRENT suppliers. Target values are determined for each EBSC parameter in interdisciplinary cooperation
with Operative Purchasing, Engineering, Quality, Warranty, Parts & Service, Materials, Change Over, After
Sales, and Accounting and are tracked in the EBSC through TARGET/ACTUAL comparisons. The results are
communicated to the suppliers via the supplier portal.
EBSC supports the following:
Commodity Strategies
Sourcing Decisions
Supplier Development Activities
Supplier Awards (Masters of Quality Award, see Section 4 for details)
If you have any questions regarding Daimler Truck North America’s OSA, ICA or EBSC programs, contact the
supplier evaluation group within DTNA Purchasing.
7
3.0 Tooling
3.1 Tooling Ownership
Typically, DTNA pays for 100% of the unique tooling cost incurred and assumes ownership of the tools used to
manufacture DTNA proprietary parts. There are cases when tooling is owned by the supplier (i.e. supplier
proprietary design) however, DTNA prefers to own assets needed to make proprietary production parts.
3.2 Tool Tracking
Tool tracking is critical to monitor tooling progress and provide progress reports to understand timing and
know when first shots or hits will be available. Proactive information regarding tooling is preferred.
Monthly tooling progress reports will be required on large tooling. On large programs, weekly progress may
also be set up along with on-site evaluations.
3.3 Tooling Quote
DTNA quotes need to include detailed tooling breakdowns with complete information (ie. tool physical
address, tool life, tool description, etc.). Many details are needed to start up and track tooling, requiring a
complete and accurate DTNA quote form. All quotes need to be reviewed by Purchasing.
3.4 Tooling Start-up
Tooling is kicked off by a tooling analyst within the tooling team. All tooling purchase orders should come
from this group. Tooling progress payments may apply depending on the complexity and cost of the project.
Terms are as negotiated and set forth on the purchase order, but as an example standard terms for progress
payments are as follows: 30% kickoff of production tooling, 30% due upon tool completion and 40% due upon
PPAP approval and final documentation.
3.5 Tooling Changes
Both engineering and supplier initiated tooling changes must come through the DTNA Tooling Operations
group. It is important to track the latest revision (and part number) of the asset. It is also important for the
tooling group to be the point of contact for all tooling changes or tooling moves.
3.6 Tooling Maintenance
Tool maintenance is the suppliers’ responsibility. Assets need to be maintained and PM records kept ensuring
the life of the tool meets expectations and commitments. All quotes must have a tool life agreement
approved up front.
3.7 QA Check Fixtures
Quality assurance (QA) check fixtures will be an asset that the tooling group kicks off, but is coordinated by
the DTNA QA department. All asset requirements apply. Please contact DTNA Quality Assurance for details.
3.8 Tooling Moves or Resourcing
DTNA moves tooling based on supplier performance, cost, capability, market needs, etc. When tooling does
move, a “Tool Acceptance Certificate Form” (See Figure 1) must be completed. Ideally, all three parties need
to review the tooling for status. The current supplier, the new supplier and DTNA need to complete and sign
the form. This will ensure that all parties agree on the current status of the tool. See Figure 1 for an example
of the front and last page of a Tool Acceptance Certificate.
If a tool or asset is going to be moved internally, the supplier needs to contact DTNA and discuss the impact.
DTNA will need to know the old and new addresses of the tool, as well as understand the impact to the parts
supply.
8
Figure 1: Tool Acceptance Certificate
3.9 Tooling Completion
The DTNA Tooling Operations Group works with Launch and Change Management to coordinate the materials
and implementation of projects in the company. Early parts are sometimes needed to run a pre-series to
confirm the build, build a test truck, or just let the plant see and install the part before production volumes are
run. This will help identify any problems before production.
3.10 Invoicing
Items that need to be provided before an invoice will be paid are Process Sheets, Asset Picture, PPAP. To
expedite the payment process, invoices should be sent to the Tooling Analyst who issued the purchase order.
3.11 Asset Tags
All assets need to be identified with the DTNA asset number provided. Asset tags such as the one shown in
Figure 2 can be provided but more importantly, please ensure the asset number (referenced on the P.O.
header) is located on the tool/asset in a visible location.
9
Figure 2: ID/Certification Tag
3.12 Process Sheets
Process sheets are required before final payment is made. Please provide these process sheets to the Tooling
Analyst.
3.13 Asset Pictures
Pictures of the completed tooling are also required before final payment will be processed. The picture should
include a view that shows the tag and tag number. The tag is small so a sheet of paper with the asset number
in the picture will help both the supplier and DTNA identify the tool.
3.14 Refurbishment / Replacement Requests
Tooling life agreement is critical as this will be the basis for understanding the refurbishment or replacement
request. If the tooling is past its normal useful life, the supplier request is easier to process. Three quotes are
still required (from the tool shops) to justify the tool replacement or refurbishment costs. See Figure 3 for
an example of the “Information Request Form.”
10
Figure 3: DTNA Tooling Refurbishment/Replacement/Questions/Procedures
11
4.0 Quality
Guidelines describing DTNA’s supplier quality requirements can be found in the Supplier Quality Manual which
can be accessed by clicking on the link noted below. At DTNA, we are committed to working with our
suppliers to meet and exceed our customers’ expectations. Suppliers are required to maintain certification to
ISO 9001:2008 or ISO / TS 16949 and comply with Production Part Approval Process (PPAP) as published by
AIAG. Suppliers are also expected to maintain quality ppm and supply ppm of less than 50.
Suppliers are expected to demonstrate their commitment to continually improve their performance. Score
card results, responsiveness and innovation will be used as evidence of a supplier commitment to continually
improve.
Daimler Trucks North America takes a holistic approach to quality. Suppliers are evaluated by all functional
groups semi-annually. The results of the semi-annual evaluation may be used to award future business or to
disapprove a supplier.
Please follow this link to access the detailed Supplier Quality Manual:
https://daimler.portal.covisint.com/c/document_library/get_file?folderId=128435&name=DLFE-107228.pdf
The Supplier Quality Manual includes information on the following:
●
●
●
●
●
●
●
DTNA Quality Requirements
Supplier Quality Evaluation Page
Production Part Approval Process
Statistical Process Control
Supplier Corrective Action
Masters of Quality – Supplier Quality Award for Excellence
Supplier Disapproval
12
5.0 Materials Management
5.1 Introduction to Supplier Management, Launch and Change Management and Material
Planning
Daimler Truck North America expects suppliers to be proactive in managing inventories and supplying material
in a timely and accurate manner. All suppliers are expected to proactively communicate with Daimler Trucks
North America. It is the responsibility of the supplier to accurately manage and provide ordered materials.
5.2 Changeover
In order to ensure the quality and timeliness of changeover projects, the Launch and Change Management
Team requires the cooperation of all suppliers in complying with the following:
A. Quote process time
●
When quoting parts which require tooling, quotes will be due three weeks from the day of
receiving RFQ, prints and specifications.
●
When quoting parts which do not require tooling, quotes will be due two weeks from the day of
receiving RFQ, prints and specifications.
●
Exceptions will be made for major projects which may require complex tooling or on-site
presentations.
B. Tooling lead time
●
Supplier will quote lead time of tooling at time of RFQ submittal, and will be held accountable for
achieving it.
C. Tooling modification
●
Modification or rework of DTNA-owned tooling is to be done only under the direction of the DTNA
Tooling Operation Group.
D. Launch support
●
Supplier is to provide factory support at time of preseries and production start-up if required.
E. Supplier-originated changes
●
Supplier of supplier designed parts and assemblies shall give DTNA a minimum of six months
notice (more for major projects) of design change, model introduction or modification, or any change
requiring DTNA to accommodate with option or design changes.
●
Supplier will notify their Purchasing Agent who will communicate to Launch and Change
Management. Requests will be reviewed and scheduled by the Changeover Review Board.
Implications of not meeting requirements:
Supplier who fails to comply any of the above mentioned requirements will be rated accordingly in their
supplier evaluation and may be removed from future quote opportunities.
5.3 Material Supply Planning
It is the responsibility of all suppliers to manage their supply chains to prevent late delivery of material to
Daimler Trucks North America.
A. Communications: DTNA expects supplier contacts to answer phone calls, e-mails, and alert DTNA of
issues and shortages within two hours of a problem arising. Planners have multiple options in solving many
13
part shortages; however, they must be notified in a timely manner in order to utilize those alternatives which
may include contacting another plant or sourcing from the aftermarket. E-mail is the preferred method of
communication on most matters.
B. Pro-Active: DTNA expects suppliers to use their respective material releases (EDI 830 Planning Schedule
with Release, EDI 862 Shipping Schedule or 866 Line Sequence Ship Schedule) daily checking for late, moveup or drop-in orders and to contact the planner. The planner should not have to call or e-mail to find out when
something will ship on past due orders. It is the responsibility of the supplier to call and advise a planner
when a shipment will be late. Planners expect such a phone call several days in advance of the due date or
ship date, so they can work on an alternative and communicate the information to the plant. If an expedited
air shipment from plant to plant is required and the parts are late from the supplier, DTNA will debit back the
airfreight charges to the supplier. If a call is made far enough in advance and a non-expedited mode of
transportation is used, freight charges will not be debited back to the supplier.
Those suppliers on the 862 Shipping Schedule are expected to advise planners on all late parts by 9:00 AM in
the time zone of the FOB point. The planner should never have to call on any part that is being shipped late by
the supplier.
C. ASN’s: DTNA expects on-time and accurate ASNs (Advance Shipment Notice). An ASN must be sent
within 30 minutes after a shipment leaves a Supplier's dock. The ASN allows both the planner and the plant
to see material in transit. ASN’s update DTNA’s MRP system and are reflected on the next EDI report the
following day (862 or 866 Shipping Schedule) or week (830 Planning Schedule). When ASNs are not received
or are received late, they pose many problems and can cause delayed payment to the supplier.
For the 862: If the supplier sends an on-time and accurate ASN yet the requirements are still on the 862 the
following day, one of three things may have taken place. First, is a possible timing issue where the ASN is
received in DTNA’s system but does not update the 862 (ASN was received after MRP ran). Second, the ASN
may have been rejected or did not come through at all. Finally, the ASN may have come through and may
have updated the 862, however an adjustment could have been made and the parts still needed. Any of these
situations would require the supplier to contact the planner to verify the issues.
DTNA may, at our option, complete the ASN for the supplier and issue a debit to charge the supplier for costs
associated with loading the ASN and possible damages caused by the lack of visibility. DTNA will notify the
supplier prior to such debit action.
5.3.1 EDI Communication Expectations
DTNA expects all suppliers to communicate all orders, shipments, invoicing, etc. using EDI (Electronic Data
Interchange)
• DTNA’s format is the Automotive Industry Action Group (AIAG) and Truck Advisory Group (TAG)
approved American National Standards Institute (ANSI) X12 standard.
• Advanced Ship Notices (ASN’s) are to be communicated within 30 minutes of shipping.
• Accurate shipment visibility is required for the DTNA manufacturing plants and for material planning.
• Accurate material releases to supplier are dependent on accurate and timely ASN’s.
• Timely supplier payment is dependent on accurate ASN’s and invoices.
• To be eligible for the Masters of Quality Supplier Award, suppliers are expected to fully communicate
via EDI with DTNA and to be fully integrated with core business systems.
• Two alternatives are available for suppliers to use EDI with DTNA and are as follows:
- EDICs (T-Systems)-for all suppliers, full-EDI enabled; and for suppliers using the 866.
- GXS Tradeweb (starting 5/08)- for suppliers using all transactions but 866
14
• All suppliers are required to set up a mailbox on EDICs, regardless of transmission source used ─
EDICs or GXS Tradeweb. For more information regarding the online EDI program through GXS
Tradeweb, please email [email protected].
Current EDI Transactions:
• 110 – Air freight invoice
• 210 – Motor carrier invoice
• 214 – Motor shipment status
• 810 – Supplier invoice
• 820 – Payment/Remittance advice
• EFT - Electronic Funds Transfer
• 824 – Application advice for 856 or 810
• 830 – Planning schedule with release (6 months)
• 850DS & 850PDC aftermarket spot PO
• 855 – PO acknowledgement (Aftermarket)
• 856 – Advanced Shipment Notice (ASN)- must be sent within 30 minutes of truck departure
• 860 – PO change request (Aftermarket)
• 861 – Receiving advice
• 862 – Shipping schedule – line set (20 days)
• 866 – Line sequence schedule by truck number
• 997 – Functional acknowledgement
5.4 Manufacturing EDI Business Rules and Usage
Planning Schedule with Release Capability (830)
The Planning Schedule transaction contains approximately 6 months of requirements. The requirements for
the first 4 weeks will be firm orders (although the dates and quantities inside these 4 weeks can change). The
next 2 weeks will show the supplier committed orders and the rest of the data will be forecasted orders
(roughly 4 ½ months). Not all areas in this section apply to major components.
The 862 contains is the same data as the 830, except it is sorted by DTNA plant location and then by date.
The 830 is sorted by part number first, then location and date. The 862 shows the next 20 days horizon and
the 830 goes out six months in horizon.
All quantities/parts/dates on the 862 in the “firm commit range,” may be changed within these 20 days.
Each Planning Schedule contains a specific part number. When DTNA transmits a Planning Schedule it is a
complete refresh (for all locations). It replaces all existing requirements in a suppliers system for the part
number. Because a Planning Schedule can be sent any day of the week, suppliers must process transactions
on a daily basis to ensure updates are not missed.
In order for the Advanced Ship Notice (ASN) information to reflect on the Planning Schedule transaction,
DTNA needs to receive an ASN by 3:00 p.m. PST. Any ASN received after this time might not reflect on the
next Planning Schedule the Supplier receives (unless the Planning Schedule goes out a couple of days after
receiving an ASN).
THE SECTION BELOW DOES NOT APPLY TO MAJOR COMPONENT SUPPLIERS
DTNA does send Accum information on the Planning Schedule, but it is not intended to support Accum driven
systems. When DTNA performs a material transfer from one DTNA plant to another, this will be reflected in
the Accum information and will not truly reflect what the supplier has shipped nor will DTNA change its
information to match the supplier.
15
Requirements will continue to show on the Planning Schedule until DTNA has received the material and they
are reflected in the system. Until material is received into the plant, the material will show on the Planning
Schedule as in-transit. The supplier will need to subtract the in-transit quantities from the requirements to
find out what quantity and when it is due.
Planning Schedules are transmitted at 8:00 p.m. PST. Generally they are set up to be transmitted on Monday
night but can be set up to go out Monday through Friday. Once a week suppliers will receive Planning
Schedules for any parts with requirement in the next six months. If there are any changes during the week,
the supplier could receive another Planning Schedule before receiving the next cycle of weekly releases.
Shipping Schedule (862)
If a Shipping Schedule is received, Planning Schedules should be used to build material and the Shipping
Schedule should be used to ship against. The Planning Schedule and the Shipping Schedule are generated at
different times so there will be occasions when the two differ. In these instances, the Shipping Schedule
overrides the Planning Schedule. The Shipping Schedule is generally sent out every day of the week. It will
contain data for 20 production days. Unlike the Planning Schedule which shows the material as In-transit, the
shipping requirements will come off the Shipping Schedule when an ASN posts to the DTNA system.
There is no Accum information on the Shipping Schedule and there are no plans to include this information (or
last receipt, etc.). In order for the ASN to reflect on the next Shipping Schedule the Supplier receives, DTNA
needs to receive the ASN before 11:30 p.m. PST.
The 862 contains the same data as the 830, except it is sorted by DTNA plant location, then by date (the 830
is sorted by part number first). The 862 shows the next 20 days horizon and the 830 goes out six months in
horizon.
All quantities/parts/dates on the 862 are in the “firm commit range,” even though there may be changes
within these 20 days as DTNA’s schedule and order board are still somewhat unstable. Shipping Schedules
are transmitted once a day at approximately 2:15 a.m. PST (Monday through Friday).
Line Sequence (866)
Similar to the 862, the 866 overrides 830 data for each part number that is set up as Line Sequence. The 866
usually shows 20 days of production requirements. This EDI data is transmitted daily, Monday through Friday.
On the 866, the Truck Number associated with the material is referenced in order for the Truck Number to be
passed back on the ASN for the specific material. As long as the Truck Number is on the ASN, the
requirements are reduced on the 866. If the Truck number is not on the ASN the data will continue to show
the same requirements for the 866 until the Truck Number is on the Production Line. In order for the 866 to
be updated and reflect the change in requirements, the ASN must be received by 11 pm, PST.
Functional Acknowledgement (997)
DTNA transmits Functional Acknowledgements from the DTNA manufacturing system to suppliers upon
receiving an ASN. This transaction is used to confirm the receipt of the Advanced Ship Notices sent by the
supplier. DTNA returns a Functional Acknowledgement to confirm the number of ASNs received in the
system. The supplier should verify these totals on every transmission to ensure the ASNs are being received.
The receipt of a 997 from DTNA to a supplier does not mean the ASN has been posted to the DTNA system, or
that the ASN contains correct information. It only signifies the ASN was received in the EDI mailbox.
DTNA transmits Functional Acknowledgement transactions every 30 minutes daily (Monday through Friday).
Receiving Advice (861)
DTNA will transmit a Receiving Advice to supplier if there is a discrepancy in the quantity between what DTNA
physically receives and what the ASN indicates. Because it is a manual process to send the Receiving Advice,
there will be times when there could be a discrepancy and a Receiving Advice is not sent. If a Receiving
Advice is received, the supplier should contact the associated DTNA Material Planner to determine what needs
16
to be done. The planner might choose to have the supplier ship more material immediately or determine to
hold off until the next shipment and increase the quantity.
Receiving Advice’s go out once a day at 3:15 a.m. PST (Monday through Friday).
Application Advice (824)
The Application Advice is sent to the supplier if there is a data error with the ASN (e.g., incorrect part number,
line item number, purchase order number, etc.). If the supplier is unable to determine the cause of a problem,
they should contact the DTNA EDI Coordinator (or Material Planner). If for some reason the Application Advice
is not addressed until the following day, the supplier should contact the Material Planner to determine if the
ASN still needs to be resent. If the ASN has a format error (non-compliant EDI data) such as missing
segments, CTT count missing etc., an Application Advice will not be sent. This is because once the testing has
been completed the format should not change; only the data inside the format should change.
It is the supplier responsibility to monitor the EDI 824 Application Advice error reporting daily and to make
corrections. The 824 serves as the most accurate and current indication of an ASN acceptance or failure.
Application Advice’s are sent out every 30 minutes, at 15 and 45 minutes past each hour.
Advanced Ship Notice (856) (Manufacturing)
The Advanced Ship Notice (ASN) is sent by the supplier to DTNA to document a shipment of material. The
ASN provides DTNA shipment details, as well as the parts and quantities in the related shipment. DTNA
expects an ASN to be sent within 30 minutes of the shipment leaving the shipping dock. DTNA cannot
validate the carrier information, it is up to the supplier to provide accurate information. The carrier
information is used for shipment tracking issues and if this information is incorrect, DTNA will go back to the
supplier for the correct information (consider all fields mandatory on the ASN).
The Shipment Identification (SID) number plays a vital role in DTNA’s systems. In order for proper processing
by DTNA, the SID must be on the ASN, Invoice and Packing Slip. If the SID number is not an exact match on
all related documents, is missing or is not clearly marked, it disrupts the flow which ultimately delays supplier
payment. The ASN and Invoice have specific fields where the SID is located. The supplier’s Packing Slip
needs to have a field in the upper right-hand corner labeled “SID Number: ###“, so that DTNA’s Receiving
Department can identify the number to receive the material under. DTNA expects the SID Number to be
machine printed.
There should only be one SID number per shipment, per location. The only time the supplier should have
multiple SID Numbers per location on the same day is if they are shipping material via two different methods:
one by air, one by ground; or one by next day and one by 2nd day. In these cases, DTNA expects multiple SID
Numbers because the material will theoretically arrive at different times. Advanced Shipment Notices (ASNs)
are processed every 30 minutes by the DTNA system. If there is a data error, DTNA will return an Application
Advice within 30 to 45 minutes of receiving the ASN. This means within 90-120 minutes of an ASN being
sent, suppliers should check to see if an Application Advice (824) was received. If one was received, correct
the problem and resend the ASN and then check back to see if another Application Advice was sent. If an
Application Advice is not received, assume the ASN posted correctly to DTNA’s system or contact the Material
Planner.
Please note for manufacturing purchase orders, DTNA requires suppliers to send a sum total for each part
number. Duplicate part numbers will be rejected within the same ASN.
17
Packaging List Details
1. The SID number is clearly
listed as “SID Number.”
2. The part numbers are to be
listed in Alpha/Numeric
order.
3. Each unique part number
should only be listed once,
with total quantity.
4. SCAC code is the carrier
ID, from Covisint Reference document routing letter.
5. Pro No is the unique
identifier assigned by the
carrier or the same as the
bill of lading.
6. One ASN per shipment is
required.
7. ASN should be sent within
30 minutes after departure
from Supplier's dock.
Figure 4: SID (Shipment Identification)
18
Figure 5: DTNA Assembly and Manufacturing Locations
Note: For further details, please refer to the Logistics section of this guide.
19
5.5 EDI Trading Partner Registration and Set Up
The first step to get set up on EDI as a Trading Partner with DTNA is to contact the EDI Coordinator at Daimler
for Manufacturing at [email protected] once you have been assigned a supplier ID. There is no
cost to connect to the Daimler EDI gateway, EDICs, but your VAN or EDI provider may charge for the
connection service.
5.5.1 EDICS (T-Systems)
DTNA is migrating all of the EDI traffic to the EDICs network. Daimler uses an EDI switch, EDICs, for all EDI
data. Suppliers can connect to EDICs through any VAN or as a direct connect using the following options:
SFTP, AS2, or OFTP. Please allow a minimum of 10 (ten) business days for EDI set up.
It is the responsibility of the Supplier to coordinate the EDI testing and set up with Daimler. The supplier
should include their VAN/IT in all correspondence regarding the EDI testing. Daimler can not contact or set
up a supplier with a specific VAN, this must be initiated by a Supplier to the VAN of their choice.
Manufacturing uses these transactions: 824, 830,856,861,862,866,997. Your supplier number may not be
set up for all of these transactions types.
OEM/Manufacturing EDI transaction versions:
●
●
●
●
●
●
●
824 v4010
830 v2000
856 v4010
861 v3050
862 v3020
866 v3010
997 v4010
Manufacturing ISA and GS send/receive ID’s:
●
●
zz:ftl^^mfg (^=1 space)
zz:abcd^mfg
The DTNA ISA and GS send/receive ID’s for Accounting/Finance:
●
●
For the invoices ZZ:FTL^FIAC (^ signifies 1 space)
Supplier ID ZZ:ABCD
For Aftermarket the ISA/GS send/receive IDs are:
●
zz:FTL PDCPO (2 spaces - PDC Identifier)
ISA/GS send/receive IDs are:
●
zz:ABCD
20
The test data sent for the OEM part of EDI testing will only validate transmission. The part numbers and other
information will not be production information. The test data is a generic file to ensure transmission is
working. It does not contain functional data.
Once the 856 is successfully tested and in production, the 810 can be tested with the Finance/Accounting
Department at DTNA.
21
5.5.2 Covisint Set Up
Covisint is the automotive website that hosts the DTNA/Freightliner Routing instructions for all shipments to
all DTNA/Freightliner truck plants. The setup, access, and use are free.
Covisint is used to post several DTNA applications, and supplier reference documents, including the following:
1. Purchase Contract
2. Web RFQ
3. eDocs (please refer to Purchasing, section 2)
4. Service ProSupplier
5. Supplier Quality & Delivery Reports
6. Items to Count
7. Routing Letters
8. Assembly Search
There is a multi-step process for registering with Covisint. First, the Supplier is set up in the grid. Contact the
Manufacturing/Materials EDI Coordinator at [email protected] for additional information on how
to register on Covisint. Once Supplier data is loaded, Covisint will send an email with instructions on how to
register. You will need your Supplier ID (the Supplier Code given to you by DTNA). You will then be able to
begin registering as a user. Go to www.covisint.com, click the Automotive logon and then you can set up an
account. You will be contacted by Covisint in approximately two working days from the day the above
information with registration information is submitted to Covisint.
Suppliers need to log on and submit a request for the applications wanted. Individuals can be approved for
only those applications which their organization already owns (any other requests will be automatically
rejected). Each organization now owns three applications: ServicePro Supplier, Blanket PO and Supplier
Quality and Delivery Report. If you need one of the other applications, please have your CSA (Corporate
Security Administrator) add them to the organization's profile first.
22
Figure 6: Covisint Directions
Routing Letters on Covisint and Secure. Freightliner
If your Covisint account is active, you will still be able to find the “ROUTING LETTER” application using the
supplier portal. To bypass the Covisint website and access the “ROUTING LETTER” application go directly at
the following URL:
https://secure.freightliner.com/Supplieronline/webapps/suplapps/suplmain.asp
This link will direct you to the DTNA login page for Routing Letters. Please save this URL in your Internet
Explorer “Favorites” or create a shortcut to the address on your desktop for future use.
Login using your SupplierOnline (DTNA) user ID and password. If you are currently a Covisint user, this is the
second login and password. If you are a new supplier or a returning supplier that has not accessed any DTNA
applications in the last 60 days, you will need to contact the DTNA Help Desk at (503) 745-8220, or
[email protected] to set up an account.
Once suppliers have a working SupplierOnline account we strongly suggest you log in to the SupplierOnline
address above on a monthly basis to keep your account active and to check for any changes to the routing
instructions. The locations list will show you, at a glance, when a location was last updated.
Thank you for your continued patience as we work through the challenges with the current supplier portal.
23
Questions or concerns on accessing the SupplierOnline site may be directed to the DTNA Help Desk at (503)
745-8220 or via e-mail at [email protected].
The DTNA helpdesk will need the following information from the supplier when addressing questions or
concerns:
●
●
●
●
●
●
●
●
●
Company Name
Company Supplier Code
Company Address
Company City, State, Zip
Company Phone Number
Covisint ID
Contact Name
Contact Phone Number
Contact Email Address
24
6.0 Engineering
6.1 DTNA Engineering’s Commitment to Suppliers
Daimler Trucks North America (DTNA) Engineering is committed to the following:
•
DTNA Engineering will treat supplier representatives with respect at all times, fostering open and
constructive communication between DTNA Engineering and the supplier.
•
DTNA Engineering will provide comprehensive design specifications, in writing, when possible and with
back-up materials (charts, drawings, etc) when feasible.
•
DTNA Engineering will respond to questions in a timely manner and foster an environment where
suppliers feel comfortable asking questions, thereby ensuring clarity of our needs, targets and
expected outcomes.
•
DTNA Engineering will provide opportunities for the supplier’s representatives to meet with our
engineers throughout development in order to ensure our needs and expectations have been
understood thoroughly.
•
Meetings initiated by DTNA Engineering will be coordinated in advance to ensure that supplier
representatives can provide the level of support and time necessary to fulfill the meeting purpose and
objectives. This includes the following:
•
•
DTNA will finalize the meeting date at least two week in advance, when possible.
•
DTNA will distribute an agreed upon agenda to attendees at least one week in advance, when
possible.
DTNA Engineering will be involved upfront with supplier selection efforts.
6.2 General Expectations of Suppliers
In exchange for DTNA commitments listed in section 6.1, DTNA Engineering holds the following expectations
of our suppliers:
•
Supplier representatives will treat DTNA Engineers and representatives with respect at all times.
•
During spec development, the supplier will take steps to ensure that their company understands
DTNA’s needs and requests. This will include mocking up specs for DTNA Engineering to review and
initiating meetings/conference calls to clarify points, as needed. The supplier will develop and test all
products to ensure that DTNA requirements such as performance, quality and cost targets are met.
•
Visits initiated by suppliers will be coordinated in advance to ensure that DTNA Engineers and
Management can provide the level of support and time necessary to fulfill the meeting purpose and
objectives. This includes the following:
•
Suppliers will finalize the meeting date at least two weeks in advance, when possible.
25
•
Suppliers will distribute an agreed upon agenda to attendees at least one week in advance, when
possible.
•
Request for Quote responses will be delivered on time and will utilize DTNA’s standard forms and
processes 100 percent of the time.
•
Supplier will provide program and product launch support by the appropriate individuals.
•
Supplier will provide engineering support for product feasibility, product design and tooling
design/approval, as appropriate, for a particular program as well as Value Analysis & Value
Engineering support.
•
Supplier will manage 8D and response process effectively for potential Quality, Safety or Delivery
issues.
•
Supplier will take action quickly in order to resolve issues identified by DTNA.
•
Supplier will establish a contact list for all functions, maintain the list on a regular basis, and ensure
that the list is easily accessible to all applicable parties in DTNA Engineering.
•
Supplier will provide quotes that are in complete conformance to engineering specifications.
Exceptions must be clearly indicated at the time of the quote.
•
Supplier will be expected to adhere to DTNA Engineering’s 49-00051 Parts Permanent Identification
requirements.
(http://viewcad.freightliner.com/Scripts/ftlDraw.dll?cgiSearchOrder=2&cgiTifRev=2&cgiDRAWID=49
-00051+&cgiCgmRev=0)
6.2.1 Quality Expectations of Pre-production parts and 8D Problem Solving
DTNA expects supplied parts to be of a high quality with regard to design and production. If we determine
during inspection, use or testing that the supplier’s parts do not meet DTNA standards, the supplier may be
required to provide an "8D Report." This report will help identify and resolve issues through problem solving
and will increase our understanding of the entire situation, address our concerns and prevent reoccurrence of
the quality issue.
If an 8D report is requested, you must address all disciplines contained therein and attach supporting
documentation providing observable evidence of corrective action.
The following disciplines considered when addressing the 8D report are as follows:
•
•
•
•
•
•
•
•
•
D0 – Symptoms & Emergency Response Action
D1 – Team
D2 – Describe the Problem
D3 – Develop Interim Containment Actions
D4 – Define and Verify Root Cause and Escape Point
D5 – Define and Verify Permanent Corrective Actions
D6 – Implement and Validate Permanent Corrective Actions
D7 – Prevent Recurrence
D8 – Recognize Team and Individual Contributions
26
Each supplier is responsible for both the appropriate and timely application of the 8D Analysis and Report and
for their organization’s problem solving knowledge and skill level.
6.2.2 Supplier Containment of Quality Issues
Suppliers are expected to deploy additional controls in the supplier’s manufacturing process, as needed, to
identify known and potential non-conformance to engineering specifications and to prevent these nonconforming parts from being shipped to DTNA.
Additional controls can include, but are not limited to inspection audits, dimensional measurements, SPC
requirements, appearance checks, part functionality checks, label verification systems, check fixtures and
gages and poka yokes.
The goal of containment is to protect DTNA from defective material escapes throughout the development
process, including the pre-production/prototype phase.
6.3 Safety Defect Investigations and Remedy
•
•
•
•
The supplier must notify DTNA Design Engineering and Compliance and Regulatory Affairs
Departments immediately when initiating any noncompliance or safety defect investigation on any
component they supply to DTNA.
The supplier is expected to provide regular progress updates and reports regarding noncompliance or
safety defect investigations to appropriate contacts in DTNA Design Engineering, Compliance and
Purchasing.
The supplier is expected to cooperate fully with any related DTNA investigation.
The supplier must meet DTNA and government timelines in providing a field remedy to any
noncompliance or safety defect detected by supplier representatives or DTNA representatives.
6.4 Parts Development Expectations (prototype/test)
•
Suppliers are expected to provide inspection reports of prototype parts and initial production runs to
DTNA Engineering for test purposes. Reports should contain DTNA Engineering specifications
including key characteristics as specified by DTNA Engineering.
•
In the event that a supplied test part fails due to supplier-responsible design or part quality issue(s),
the supplier is expected to pay for all replacement parts and resulting damage to DTNA property.
•
Suppliers are expected to respond to prototype material requests within two business days. If the
specific deliverable requested cannot be provided within that time period, the reason for delay and
anticipated delivery date of materials must be communicated within the above time period.
•
The cost of development will be clearly defined upfront. DTNA will charge the supplier for DTNA
resources used to develop product for the supplier in the event that the product, derivative of the
product or related technology can be sold by the supplier for a profit.
6.5 Failure Mode and Effects Analysis (FMEA)
The supplier and DTNA Engineering must jointly develop and administer a system FMEA for the product and
27
process for the system and components which are to be developed/supplied within good time using suitable
software (IQ-FMEA or SAE J1739 forms).
The analysis contents and limits of the FMEA must be coordinated with the responsible DTNA department in
advance, with the DTNA departments specifying the evaluation of the significance of fault sequences.
The documentation scope listed in Section 2.1 will be reviewed by DTNA Engineering and the conclusions
drawn from the FMEA must be documented. In some cases, DTNA may define additional requirements to be
fulfilled by the supplier.
FMEA will not be considered completed until DTNA Engineering is satisfied with the content and outcome.
Suppliers are expected to maintain FMEA documentation and DTNA Engineering will have access to these
documents upon request.
6.5.1 FMEA Documentation Requirements
•
•
•
•
•
•
•
Full system overview (e.g. system structure, block diagram, installation/attachment/assembly
drawings, process flow chart)
Functional overview (e.g. function network, function tree, effects diagram)
Full fault network (faults with all causes and consequences)
Evaluation tables
The FMEA manager (e.g. project manager) must be defined and documented
FMEA participants
FMEA form must be completed in full including the following:
- Comprehensible evaluations
- Preventive measures, discovery measures
- A processing status given for each measure. In the event that a measure is aborted, the
reason must be documented accordingly
- A responsible person and a deadline specified for each measure
- Additional requirements as specified by DTNA
6.6 CAD Information and Other Data Exchange
DTNA usually develops component parts, systems/modules and complete functions together with the
supplier. Close communication and validation on the basis of a digital product description is required to
structure the development process in an efficient, reliable and binding manner. To achieve this, it is necessary
to undergo continuous, regulated communication via tools including but not limited to Computer Aided Design
(CAD), Engineering Data Management (EDM) and electronic data interchange (EDI).
Supplier representatives will provide 3D CAD data for all parts and 2D drawings, as required, to DTNA during
project preparation as well as part exchange, generation, testing and installation. CAD data must be in CATIA
V5 format.
For more information about the DTNA CAD/EDM/EDI environment, please visit the following website:
https://swan.freightliner.com/cgi-bin/supplier.cgi.
All of the following are affected:
•
New, process-relevant CAD data or Electrical/Electronic data which are to be created and as well as
28
•
•
any modifications to them.
Parts integrated from defined predecessor projects plus standard parts and parts similar to standard
parts, but with reduced data structure and data quality requirements.
All data for spare parts which have been defined in mutual coordination by the aftersales and
development departments and the supplier.
In the event that supplied data does not meet its specified contractual obligations as agreed by DTNA
Engineering and the supplier, one of the following will take place upon consultation:
•
•
The supplier, or a service provider commissioned by the supplier, will generate the missing content or
rework CAD data at the expense of the supplier.
The Supplier, or a service provider commissioned by DTNA, will generate the missing content or
rework CAD data at the expense of the supplier.
If DTNA incurs damages due to the fact that the supplier failed to meet its specified contractual obligations, or
failed to do so within good time, the supplier is liable to DTNA for these resulting damages.
6.7 Supplier Changes
Suppliers may not change the design, manufacturing process or manufacturing location of a component
unless the change has been submitted and approved, in advance, by both the appropriate DTNA Engineering
and Purchasing groups. Timing of change must also be agreed upon by the appropriate DTNA Engineering
representative.
Engineering deviations to supplied parts must be coordinated through DTNA Quality Assurance Managers,
Production Managers, the corporate Purchasing Department, or Engineering Management and will be handled
in accordance to ISO standard 09ENG-WI015 (Engineering Deviation).
6.7.1 Supplier Change Timeline
DTNA Engineering expects that all changes made to supplied parts are documented in a supplier timeline. The
timeline should comply with the following:
•
The timeline should begin from the time the part goes into production and a history is to be
maintained for 5 years (or since the start of production, whichever is shorter).
•
Each timeline can be for all part numbers in a family of parts (if the parts are similar) or for each
individual part number.
•
The timeline is to include a table listing the following:
-
Date of change and starting date code on part
-
A simple description of the change (more detailed descriptions can be kept with the supplier)
-
One of the following types of change:

Design change
Tooling change (or future expected tooling change)
Material change
Manufacturing process change
29

-
Quality inspection or EOL testing change
Sub-supplier change
Whether this change is at the supplier tier-1 level or the tier-2, tier-3 or tier-4 level
•
Updated timeline is to be submitted to DTNA Engineering annually (or at a specified interval) for our
review. In the event that there is a suspected issue, the timeline is expected to be submitted to DTNA
Engineering within 24 hours of the time DTNA requested it from the supplier.
•
An example timeline is provided in Figure 8.
Figure 7: Supplier Part Change Time
6.7.2 Engineering Changes
Changes to Engineering designs or project scope will be coordinated via the Electronic Change Form (ECF).
No changes will be made or approved without adherence to the ECF Process. Suppliers are expected to
provide drawings or specifications to support the content of the ECF as required.
Information required from the supplier to support the ECF process is as follows:
•
•
•
•
Impact of the proposed change on cost, schedule, or other relevant factors
Proposed alternate change (if applicable)
Number of parts currently in process or as finished parts in inventory which are not able to be
changed
Date on which supplier will submit sample parts to DTNA including initial sample inspection report
(PPAP)
30
•
•
Revised quote detailing any part or tooling changes (if applicable)
Revised schedule (if applicable)
This information will be routed to the appropriate DTNA representatives for review and decision. Engineering
change(s) are expected to be implemented as quickly as possible after approval by DTNA.
Figure 8: DTNA Change Form
6.8 Consequences of Chronic Issues
A supplier with a pattern of chronic issues (especially with recent trend deterioration) may be invited to an
Engineering Management Review Meeting. The intent of the meeting is to bring additional focus to the top
issues facing the organization in order to bring about necessary improvements.
The appropriate representative from the supplier is expected to attend a Review Meeting and be prepared to:
•
Explain the described deficiencies in the following areas:
-
Quality, safety, or delivery of parts
31
•
Responsiveness to identified issues
Quality and timeliness of FMEA and related documentation
Quality and timeliness of data exchange,
Quality and timeliness of change requests and related documentation
Present an 8D that addresses supplier’s efforts to improve the systems contributing to deficiencies in
the above categories
These meetings are not brainstorming sessions. Supporting materials are expected to be complete and
submitted to the appropriate DTNA representative no less than 72 hours prior to the meeting.
6.9 Supplier Innovation
DTNA encourages innovation from employees, contractors and suppliers. The following summarizes the
expectations and processes for supplier innovation.
DTNA expects that innovation activities on the part of our suppliers are well-coordinated with DTNA
representatives, and requests that changes impacting parts are discussed in a timely manner. The
communication may take place in a variety of ways including:
•
•
•
•
Informal discussions and contacts
Supplier forums and showcases
Contacting the Commodity Buyer to engage New Product Strategy or Engineering Leadership
Special reviews with DTNA Engineering Management
DTNA encourages ideas which generate results such as:
Clear value for the supplier, DTNA and the end-customers
Mutually beneficial cost savings
Unique features meeting a consumer need
Differentiating technology
These ideas must meet the following pre-requisites:
Business case has been assessed
Technical requirements have been well understood
Technical issues have been considered and analyzed
A plan containing next steps has been prepared
Innovations developed in the context of DTNA projects are the property of DTNA.
32
7.0 DTNA Production Parts Packaging, Labeling, and Shipping Guidelines
09IE-E01 (03/10/09)
7.1 Introduction
The following packaging and shipping guidelines are required for all production materials entering DTNA
Trucks North America (DTNA) OE facilities. This revision is effective March 10, 2009 and supersedes the prior
February 1, 2009 publication.
Developed in conjunction with AIAG standards, the packaging guidelines detailed below are specific to DTNA
and may be directly applied to the AIAG standards. For further information contact one of the appropriate
DTNA groups following:
Packaging: DTNA Corporate Manufacturing Engineering Department - (503) 745-7759
Shipping: DTNA Corporate Traffic Department - (503) 745-6688
Labeling: DTNA Corporate Material Planning Department - (503)745-8775
7.1.1 Compliance
Compliance to these guidelines is mandatory and will be continuously monitored. Non-compliance is subject
to rejection by DTNA receiving locations with charges for repackaging, disposal, or return shipment billed back
to the shipping location. Recurring violations will be referred to the appropriate DTNA buyer for corrective
action.
Exceptions to the guidelines may be permitted in limited situations with prior written request to the receiving
location. Revisions to current packaging must be tested and evaluated in cooperation with DTNA Corporate
Manufacturing Engineering. Supplier initiated packaging or cost improvements are encouraged, but must be
reviewed and approved by DTNA Corporate Manufacturing Engineering.
DTNA Corporate Manufacturing Engineering and the receiving location (including DTNA approved logistics
providers) have the option, when necessary, of accepting or rejecting a supplier’s selection of packaging
materials, design, and sources.
7.1.2 AIAG Guidelines
DTNA supports compliance to the following Automotive Industry Action Group (AIAG) packaging standards for
all production parts to DTNA manufacturing locations. Copies of the following publications may be obtained
by contacting the Automotive Industry Action Group (AIAG) at (248) 358-3003 or through their website
www.aiag.org.
RC-7: Solid Waste Management Packaging Material Guideline, 12/92
RC-8: Single and Multi-Use Container System Guidelines, 9/95
B-10: Trading Partners Labels Implementation Guideline, 6/04
7.2 Packaging and Shipping Data
Upon acceptance of your quotation by DTNA Corporate Purchasing, a Production Parts Expendable Packaging
Data Sheet must be submitted with your packaging proposals for review by DTNA Corporate Manufacturing
Engineering prior to regular production volumes. A sample Production Parts Expendable Packaging Data
Sheet is located in Section 7.11. Suppliers must furnish the actual material cost to package each purchased
part for inclusion in the purchase order. A completed copy of the Test Packaging Label must be adhered to
initial shipments for review of acceptability upon receipt at DTNA. A sample Test Packaging Label is located in
Section 7.11.
33
7.3 Primary Container Requirements
The package design is the supplier’s responsibility, and the supplier must ensure that the parts and all
packaging shipments are received in acceptable (damage free) condition. The primary container will carry the
part from shipping to assembly where it is presented to the operator. It must maintain part quality through
transit and multiple handlings.
• The compression strength of the container(s) must support contents triple stacked up to 100” in
height for maximum trailer density and storage. Containers labeled “Do Not Stack” or “Top Load
Only” will not be accepted. Suppliers are encouraged to investigate the benefits of specifying
corrugated based on ECT Edge Crush Test (see AIAG RC-7, Section 3.1) and fiber-based corner posts
(see AIAG RC-7, Section 3.3) for additional strength. (Do not adhere wood corner posts to container.)
• Container(s) should be modular to the DTNA standard 48”x40” pallet footprint, with overhang no more
than 2” less than the pallet footprint on any one side.
Unacceptable Pallet Overhang
•
•
•
•
•
•
No more than one part number per container (i.e. no kitting) will be accepted.
Container(s) must be completely filled and may require redesign to eliminate void space, part shifting,
and container crushing.
Small, manually-handled totes must not exceed 40 lbs. and should contain at least 10 parts unless
otherwise agreed upon.
No individual or aftermarket packaging is permitted for production parts.
The unsupported bottom of the manually-handled container must hold the weight of its contents.
Large, mechanically-handled bulk containers should be used for large, heavy parts with typically high
release quantities. The container must be designed with adequate compression strength to prevent
sidewall crushing or bulging and incorporate a ‘break-away’ feature (see AIAG RC-7, Section 3.4) with
minimal staple usage if it will be adhered to the pallet for unitization.
To ensure that all packages and shipments will reach their intended point of use in good condition and without
damage to parts, all packages must be tested under simulated real-life conditions. Initial shipments of new
packaging to DTNA production facilities must be accompanied by a completed Test Package Label and noted
on the ASN. A sample Test Package Label is located in Section 11.0. DTNA Corporate Manufacturing
Engineering will provide feedback to suppliers regarding the results of the Test Package shipment and the
acceptability of the package design.
7.3.1 Selection of a Primary Container
The appropriate size, strength and type of primary container must be chosen to support the mode of
transportation, government and carrier regulations, part protection, transfer points and distance of travel. The
determination must be made to pack the parts in a small, manually-handled tote or a large, mechanicallyhandled bulk container. Factors to consider in determining the primary container size include piece part
weight, shipping/release quantities and presentation to the operator.
7.3.1a Carton Selection
Apply the finished piece part weight (lbs.) and the estimated shipping/release quantity to the matrix to
determine classification into manually-handled tote or a mechanically-handled bulk container. (Do not use this
matrix for determining packaging for fasteners.)
34
Piece Part
Weight
< 2 lbs.
2 - 4 lbs.
>4 lbs.
Estimated Shipping/Release Quantity
0 - 250 parts
250 - 500 parts
500+ parts
Tote
Tote
Tote
Tote
Tote/Bulk*
Bulk
Bulk
Bulk
Bulk
*Part characteristics (size, volume, handling, etc.) to dictate container
7.3.1b Container Sizes
Acceptable primary container sizes will be modular to the standard 48”x40” pallet footprint. If it is necessary
to deviate from the given primary container sizes, contact DTNA Corporate Manufacturing Engineering for
approval. In general, the following matrix can be used to determine an appropriate primary container size for
quotation.
Length
Width
48”
x
40”
x
24”
x
x
12”
x
10” or 20”
10”, 20” or
40”
Height
10”, 15” or
30”
10” or 15”
x
10”
Containers must be properly palletized in level layers to allow for stacking and proper utilization of
transportation. If your standard order quantity does not equate to a level layer on the pallet, contact your
DTNA Material Planner and/or Corporate Manufacturing Engineering.
When shipping volumes warrant palletization, containers must be loaded on a pallet and shipped as a unit
load, secured to a pallet.
7.3.1c Container Sealing
Acceptable methods of sealing manually-handled totes are strippable reinforced tape or spot gluing.
Alternative methods may only be acceptable with prior approval from the receiving plant locations.
7.4 Internal Part Protection Requirements
Parts must be secured and protected in the primary container and be free of damage upon delivery. Internal
dunnage must not restrict part presentation to the operator. The following part protection requirements must
also be adhered to:
• Whenever possible, paper-based dunnage must be used.
• Whenever possible, recycled content materials should be used.
• For part surfaces requiring plastic packaging materials, the material must be designed for recyclability
and ease of segregation. All plastic packaging must be identified by resin type according to the
symbology established by the Society of Plastics Industry (SPI). (See AIAG RC-7, Appendix 4.)
• No foreign materials may be adhered to corrugated board or wood.
7.5 Pallet Requirements
The pallet design is a critical element to assure overall package system performance and part quality. The
following pallet requirements must be adhered to:
• All pallets must maintain sufficient construction and meet performance requirements. Contact the
National Wood Pallet and Container Association (NWPCA) at (703) 519-6104 or at www.NWPCA.com
for information regarding their Uniform Voluntary Standard for Wood Pallets, Specialized Pallets
35
•
Engineered for Quality (SPEQTM) Assurance Program, and Pallet Data System (PDS) detailing the
specifications and durability of a pallet to ensure adequate performance at the best possible price.
Effective September 16, 2005, the governments of the U.S., Canada and Mexico will implement Wood
Packaging Material (WPM) regulations per the ISPM No. 15 of the North American Plant Protection
Organization (NAPPO). The purpose of the regulation is to protect North American forests against
foreign pest infestation.
This regulation requires ALL WPM used in international trade including pallets, crates, boxes and
dunnage, going to or from the United States, Mexico, and Canada, to be kiln dried or heat treated to
minimum specifications and stamped with the internationally recognized WPM Mark. Shipments not
meeting these requirements will be stopped at the border and re-exported. Treatment or destruction
within North America will not be permitted. All three governments strongly encourage shippers to
plan ahead for this policy change to avoid shipment delay and additional expense.
WPM between Canada and U.S. Exempt
U.S. Animal Plant Health Inspection Service (APHIS) and the Canadian Food Inspection Agency (CFIA)
Plant Health Division cite that WPM of U.S. and Canadian origin are exempt from the WPM regulation
and therefore do not require the international mark. WPM from a Canadian or U.S. origin is still
subject to inspection for pests.
Mexico
All WPM originating in Canada or the U.S. destined for Mexico must be treated and stamped. All WPM
originating in Mexico and destined for Canada or the U.S. must be treated and stamped.
See APHIS guideline at http://www.aphis.usda.gov/ppq/swp/guidelines.pdf
See CFIA Policy Directive D-98-08 at
http://www.inspection.gc.ca/english/plaveg/for/cwpc/wdpkge.shtml
Terminals and customers should ensure they understand the new regulations. For more information
contact APHIS at 301-734-5057 or CFIA at 613-225-2342.
•
•
•
•
•
•
The DTNA standard pallet is a 48” x 40” wood pallet. If a unique size pallet is required, the pallet
length should be sized to accommodate the part length while maintaining the 48” pallet dimension for
proper trailer utilization.
Pallets should be stamped on at least one side with the pallet’s overall footprint dimension.
Pallets must not be smaller in length and width than the load it carries.
All pallets must be of 4-way entry, double face, non-reversible, wood construction.
All pallets must be able to support a 2,800lb. load while triple stacked.
Pallets must be new. The use of corrugated, salvage, and other pallet alternatives are prohibited
unless investigated in cooperation with DTNA Corporate Manufacturing Engineering.
7.6 Unitization and Palletization Requirements
Pallet load containment must provide damage protection and optimum load performance with minimal
environmental impact. Part damage and load shifts due to packaging failures are subject to rejection upon
receipt at all DTNA locations. The following utilization and palletization requirements must be adhered to:
• Unitization and/or palletization is required for all parts and should be designed to stabilize and
complement the primary containers to prevent movement throughout the handling cycle.
• The unit load must be modular to the pallet and remain stable for material handling and storage after
initial part access and removal.
• All containers must be properly palletized and secured to the pallet.
• Palletized cartons should be uniform in size to maintain load stability.
36
•
•
Maximum overall height per unit load is 40”. Contact DTNA Manufacturing Engineering for load
heights greater than 40”.
Containers must be palletized in individual level layers on the pallet. No “pyramid” unit loads are
allowed. If material release quantities do not permit shipment of individual level layers of containers,
explore alternative methods of containerization and/or contact DTNA Corporate Material Planning or
Manufacturing Engineering for assistance.
Properly Palletized Cartons (Level Layer)
Unacceptable Unit Loads (Pyramid)
•
Palletize by like part numbers. Mixed unit loads is discouraged. (See Section 7.0 of this document.)
Mixing right and left hand parts on the same pallet is discouraged.
7.6.1 Containment
The preferred method of containment is either plastic, heat sealed strapping of green polyester or stretch film.
Plastic strapping and stretch film should secure the entire palletized load including the pallet. The use of
unitizing adhesives for individual cartons is encouraged.
7.7 Returnable Container Programs
The use of returnable containers for shipping parts to DTNA locations must be negotiated as part of the
agreement to supply parts to DTNA. Contact DTNA Corporate Manufacturing Engineering or Purchasing Agent
for consideration.
7.7.1 Expendable Packaging Backup
Suppliers involved in a returnable container program must maintain a sufficient supply of suitable expendable
packaging to be used for expedited shipments, production pilot programs, returnable container shortages,
and/or plants not participating in returnable container programs for that part. Whenever possible, the backup
expendable packaging should be identical in dimension and density to the returnable container.
7.7.2 Combination Returnable and Expendable Packaging
Complex logistics and/or economics may require the use of a returnable container with expendable internal
dunnage. DTNA will supply the returnable containers for the program. The supplier is responsible for the
design, testing, and replacement of the expendable internal dunnage. The dunnage costs will be included in
the piece price on the Purchase Order. An Expendable Packaging Data Sheet must be completed for the
expendable internal dunnage. A copy of the Production Parts Expendable Packaging Data Sheet is located in
Section 11.0.
37
7.7.3 Returnable Container Shortages
DTNA provides containers to support a lean manufacturing system. Returnable container overages or
shortages must be brought to the attention of DTNA Corporate Manufacturing Engineering for resolution as
well as any anticipated changes in volume that may impact an existing returnable container pool.
7.7.4 Returnable Container Repair and Maintenance
Suppliers are responsible to ensure that all returnable containers are in good working order and repaired when
required. Contact DTNA Corporate Manufacturing Engineering for the proper procedure for repair and
maintenance. It is the supplier’s responsibility to inspect all returnable containers prior to loading to ensure
that damaged equipment is not used. The cost of damaged parts resulting from a supplier’s inability to
properly secure parts in returnable containers for shipping will be charged back to the supplier. Report any
signs of repetitive returnable ‘abuse’ to DTNA Corporate Manufacturing Engineering.
Effective March 2009, DTNA OE facilities have implemented the use of a shipping rack repair tag for
placement on racks which are clearly in need of repair. The OE facilities have been trained to complete the
tag in its entirety and to wire tie it to the rack which needs repair. Upon return of racks to supplier locations,
any racks found with the tag must be set aside by the supplier for shipment to the DTNA Manufacturing
Engineering designated repair location. The tags are yellow and made of Tyvek material which is water and
weatherproof. For questions call DTNA Manufacturing Engineering.
7.7.5 Segregation and Control of Returnable Containers
DTNA-owned containers must be segregated from other containers and must be used for DTNA parts only.
DTNA-owned containers are supplied for containerization and shipping of specific, finished parts to DTNA
locations. Transport, storage, or shipment of non-finished parts is strictly prohibited and may result in
container loss or shortage.
7.7.6 Returnable Container Specifications
Each returnable container/rack shall be stenciled with identification and sequence number, “Property of
DTNA” and a vendor return label such as “Return to XYZ, City, State”. For additional specifications including
rack drawings, stenciling, and design, contact DTNA Corporate Manufacturing Engineering.
7.8 Identification and Labeling Requirements
The following labeling instructions apply for proper addressing of parts and materials shipped or delivered to
DTNA locations. Suppliers must insure that all parts and material are correctly labeled and that the labels are
properly attached.
7.8.1 AIAG Labeling Guideline
The AIAG Trading Partners Labels Implementation Guideline (B-10) provides instructions for printing and
applying shipping/parts identification labels to improve productivity and controls at suppliers and DTNA
locations.
7.8.2 Label Certification Process
Each supplier will submit a label for approval. It will be sent to DTNA or their agent for certification. The label
will be reviewed and tested for compliance. It must receive a grade of “C” or better on a verifier. If any
corrections are needed, the supplier will be notified of a problem and required to resubmit a revised label.
Once the label passes all reviews and tests, the supplier will be notified of their compliance. No special
characters will be permitted such as /, $, +, %.
38
7.8.3 Label Specifications
•
•
•
•
•
•
•
•
•
•
•
All labels must by 4” x 6” with bold black ink.
The label paper shall be white with bold, black printing. No colored labels or colored inks will be
allowed.
Adhesive labels can be pressure sensitive or dry gummed as long as adherence to the container is
assured, application is wrinkle free and only used for expendable packaging.
All bar codes will be Code 128 symbology and .5” high or better.
Bar codes will be a minimum of 5 mil to a maximum of 30 mil or .01 to .017 inches for the narrowest
element.
For bar code symbology, requirements and specifications refer to AIAG B-10.
Human readable fonts should be simple and there must be a clear distinction between the letter “O”
and number “0”.
A quiet zone of no less than .25 inches is required in front of and behind all bar codes.
All font heights will be defined in LPBs (lines per block). See Section 7.8.4 LPB Character Parameters
Table below.
Borders around the labels will not be required, even though they are shown in all of the label examples
in this document.
Sample labels are located in Section 7.11.0.
7.8.4 Suggested LPB Character Parameters Table
Lines
per
block
Max
char
per
line
Point
Inches
mm
1 LPB
08
64
0.90
22.0
2 LPB
18
32
0.40
11.0
3 LPB
28
20
0.25
7.0
4 LPB
34
16
0.20
5.0
5 LPB
42
12
0.15
4.0
6 LPB
48
10
0.12
3.0
7 LPB
59
08
0.10
2.0
8 LPB
68
06
0.08
1.5
NOTE: Based on 4” x 6” label.
7.8.5 Labeling on Stretch Film
When a unit load is stretch wrapped, a Master Label or a Mixed Load Label shall be adhered to the outside of
the stretch film, visible to operators and readable for barcode scanning. This label is required for all stretch
wrapped unit loads of single or multiple packs. This label may be removed with the stretch film making
individual container labeling necessary as described in Section 8.3. See Section 8.8 for Mixed Load Labeling.
7.8.6 Container Label
Identical labels should be located on two adjacent sides of each container. The upper edge of the label should
be as high as possible on the container. A sample container label is location in Section 7.11. For multiple
containers on a pallet, a Master Label (see Section 7.11) or a Mixed Load label (see Section 7.11) should be
visible.
Pallet-box and Individual Carton Label Locations
39
7.8.6a Odd size shipping
Shipments of other kinds may require different forms of labeling or hang tags with adhesive labels.
Drums, Barrels or Cylinder Containers – Identical package labels shall be located on
the top and near the center of the side.
Bale – Identical package labels shall be located on the upper corner of an end and an
adjacent side.
Rack – Place label on Kennedy placard adhesive sticker/card or label plate provided on
rack or open metal bin.
Open Metal Bin or Tub – Place label on Kennedy placard adhesive sticker/card or label
plate provided on rack or open metal bin.
Single Coil or Roll – Attach package label with wire metal hang tag to both inside and
outside of coil.
Tubing and Bars/Bundles – Attach package label with wire metal hang tag to
each end.
40
7.8.7 Master Label
A Master Label shall be used to identify the total contents of a multiple single pack load of the same part
number. The label shall be placed on the unit load in such a manner that when the unit load is broken apart
the label is discarded (ex. attach to outside of stretch wrap). See AIAG B-10 for further information. A sample
Master Label is located in Section 7.11.0.
Master Label Location
7.8.8 Mixed Load Label
Mixing of part numbers on a pallet is discouraged but may be unavoidable due to low order quantities and/or
shipping/handling expense. In these limited circumstances, a Mixed Load Label shall be used to identify a
load of multiple single packs of different part numbers. Note: Mixed loads are required to have a Master Label
of each individual part number on the unit load. The labels shall be placed on the unit load in such a manner
that when the unit load is broken apart the label is discarded (ex. attach to outside of stretch wrap). See AIAG
B-10 for further information. A sample Mixed Load label is located in Section 7.11.0.
Mixed Load Label Location
7.8.9 Destination Label
Each unit load must be identified with a properly addressed Destination Label directing the unit load to the
exact shipping address of the receiving plant location. The Destination Label must be placed on the unit load
where it can be easily seen and read. A sample Destination Label is located in Section 11.0.
7.9 Trailer Loading and Transportation Requirements
Packaging design and specifications such as size, weight, and stackability drastically impact the cost of
transportation. The DTNA Corporate Traffic Department will designate the most economical mode of
transportation consistent with the nature and the volume of the parts. Supplier specific Routing Instructions
must be obtained from the DTNA Corporate Traffic Department. The transportation mode may influence the
type and size of the packaging selected. It is the supplier’s responsibility to efficiently and economically pack
the material for the method of transportation and type of handling planned for the final destination and its
intended point of use. The following loading and transportation requirements must be adhered to:
•
•
Unit loads must be properly loaded, blocked, and braced for shipment.
Void space must be filled to prevent load shifting in transit.
41
7.9.1 Packing Slips and Bills of Lading
Packing slips and bills of lading, whether direct shipments or shipments moving through a consolidation point,
must be submitted with every shipment.
7.9.1a Direct Shipments
Direct shipments moving from a shipping plant to a destination plant must include packing slips prepared in
duplicate. One copy of the packing slip is to be firmly attached to the outside of one of the containers in
shipment. The second copy should be tendered to the carrier along with two copies of the bill of lading.
7.9.1b Consolidated Shipments
Partial loads moving from a shipping plant through a consolidation point for delivery to a destination plant
must include packing slips prepared in sets of four. One copy of the packing slip should be firmly attached to
the outside of one of the containers in shipment. The other three copies should be tendered to the carrier
along with two copies of the bill of lading. The bill of lading should indicate that the packing slips are to be
delivered to the consolidator at the time of delivery.
7.9.1c Customs Papers
All U.S. shipments destined outside of the U.S. must have a customs invoice provided by the supplier and
included with other shipping documentation. See your Routing Instructions provided by the DTNA Corporate
Traffic Department.
7.9.1d Third Party Consignment
When making a third party consignment shipment, the bill of lading must include the following:
Consigned to:
Daimler Trucks North America
c/o (Third Party, ex. Acme Parts Supplier)
7.9.2 Packing Slips
All packing slips must include the following information:
Supplier Information —
1. Supplier Name and Address (Ship point not billing office)
2. Vendor Code
3. Packing slip number
4. Date Shipped
Shipping Information ―
1. Ship to: DTNA plant, DTNA location code, address
2. Bill to: DTNA plant, DTNA location code, address
3. Gross, tare, and net (material) weight
4. Shipped Via (routing as instructed by DTNA Corp Traffic Dept)
5. Bill of lading number
6. Freight terms (F.O.B. point, collect prepaid)
7. Transportation mode (rail, truck, etc.)
8. LTL shipments include PRO Number
9. AIR shipments include AirWay Bill Number
10. Full Truck Load or Intermodal shipments include Trailer Number or Container Number, and Carrier
11. Shipment Identification (SID) Number (SID # - this is the same number included on the Advanced
Shipping Notice and Invoice)
42
Packaging Information ―
1. Number of unit loads: pallets, containers, cartons, etc.
2. Pieces per unit load
3. Unit of measure (if other than pieces per unit load)
Item Information —
1. Purchase Order (PO) number
2. PO Line number
3. DTNA Part Number
4. Ship Quantity (Unit of measure if other than each - ie. ft., lbs., etc.)
Note: The SID number should be clearly marked as "SID Number." The part numbers are to be listed in
Alpha/Numeric order. Each unique part number should only be listed once, with total quantity.
REFERENCE
7.10 Glossary
Alphanumeric – a character set that contains alphabetic characters (A-Z), numeric digits (0-9), and some
punctuation marks such as hyphen (-), period (.) and space.
ANSI – American National Standards Institute
Bar Code Symbol – an array of rectangular bars and spaces which are arranged in a predetermined pattern
following specific rules to represent elements of data that are referred to as characters. A linear bar code
symbol typically contains a leading quiet zone, start character, data character(s), stop character, and a trailing
quiet zone
Character – any value of one or more numbers, letters, punctuation marks, or other information
Code 128 – for the purposes of this document, Code 128 is a bar code symbology as specified by AIM
Uniform Symbology Specification Code 128
Container – receptacle or a flexible covering for shipment of goods such as a box, bag, package or pallet (also
see transport container and unit load)
Data Identifier – a specified character string which defines the specific data that immediately follows as
defined by ANS MH10.8.2, Data Identifier Guideline
ID – abbreviation for identification.
Line on Label – horizontal divider line(s) placed above and/or below building block or blocks. Highlighting
lines are easily distinguished from the horizontal separator lines used to separate other building blocks. This
visual difference may be the result of using a thicker line chosen by the labeler
Label – card (tag), strip of paper (with or without adhesive backing), etc. marked and attached to an object to
convey information
LPB (Lines Per Block) – unit of measure defining the height of text characters
Master Label – label used to identify and summarize the contents of a master pack
Mixed Load Label – label used to identify and summarize the contents of a mixed item pack
Numeric – a character set of any combination of 0-9 or consisting of any numbers only
Quantity – indicates the number of parts, items or other units and assumed to be each unless otherwise
designated
Quiet Zone – for this document, it is a blank space of at least 0.5 inches in front of and behind a bar code
that is free of any lines or other characters
Ship From – on a transport label, the address of the location from which the package or pallet was shipped
and where the carrier will return the shipment if the container is undeliverable
Ship To – address of the location where a carrier will deliver the freight
Supplier – in a transaction, the party that produces, provides or furnishes a product or service.
Supplier ID – the numeric or alphanumeric data used to identify the supplier as set by DTNA
Tag – label (card) that is attached to a shipping container/pack
43
Unit Load – one or more transport containers or other items held together by means such as strapping,
interlocking, glue, shrink wrap or net wrap making them suitable for transport, stacking, and storage as a
package
Unit of Measure (UM) – Designation of quantity of shipment when other than each
7.11 Forms and Samples
The following pages include forms and samples that suppliers can reproduce to conform to the requirements
of this manual.
44
Daimler Trucks North America Production Parts Expendable Packaging Data
Supplier:
Supplier Code:
Supplier Contact:
Phone:
Daimler Trucks North America Part#(s):
Current Date:
This Data Sheet Reflects:
Current Packaging Proposed Packaging
Effective Date:
Packaging Materials and Related Costs
(A) General Information:
Cost Per Part
# Parts Pe r Contain er =
# Pallets p er 53' Trailer =
Pa rts P er 5 3' Trailer =
0
# Co nta iners P er Layer =
# Layers P er Pallet =
# Containers Per Pallet =
0
(B) Primary Container Information:
x
x
Length
Width
Tare Weight
Height
Wall Construction
Style of Container
Edge Crush (ECT)
Burst Strength
/
0
=
(B)
# Parts Per Container
Cost of Container
Container Cost Per Part
(C) Dunnage Information:
Describe internal part protection (include style and type of materials) in the primary container.
/
Cost of Dunnage
(D) Pallet Information:
x
Length
=
(C)
Dunnage Cost Per Part
x
Width
Tare Weight
0
SPEQTM Certification Code
Height
Describe maximum load and durability per Pallet Data System (PDS) Report.
/ (
Cost of Pallet
x
0
0
# Containers Per Layer
x
# Layers Per Pallet
0
)
=
(D)
Pallet Cost Per Part
(E) Unitization Information:
Describe method of securing container (banding, stretchwrap, etc.) to pallet.
/
Cost of Unitization
(F) Labeling Information:
0
/
# Containers Per Pallet
0
=
(E)
Unitization Cost Per Part
Follow AIAG Shipping/Parts Identification Label Standard (B-3 03.00 7/93)
2
Labels per container
(G) Total Packaging Cost Per Part:
/
x
Cost Per Label
0
Sum of figures in (B) through (F)
Please sign and date the completed form.
=
(F)
Label Cost Per Part
=
$
-
(G)
Submit Data Sheet by mail or fax to:
AND
Corporate Purchasing, C1A-PUR
P.O. Box 3849
Portland, Oregon 97208-3849
Fax Number: (503)745-7328
Signature
Corporate Packaging, C1E-ME
P.O. Box 3849
Portland, Oregon 97208-3849
Fax Number: (503)745-7327
Date
Figure 9: DTNA Production Parts Expendable Packaging Data
45
Figure 10: DTNA Test Packaging Identifier
46
Figure 11: DTNA Packaging and Shipping Label Detailed Outline
47
Figure 12: DTNA Master Label Detailed Outline
48
Figure 13: DTNA Mixed Load Label Detailed Outline
49
Figure 14: DTNA Destination Label Detailed Outline
50
8.0 Logistics
8.1 Terms
Daimler Trucks North America’s standard terms for delivery of production material are FCA Supplier Dock
Incoterms 2000, freight collect. DTNA will provide supplier with instructions for transportation routing from
standard shipments and for varying shipment sizes and classes of service. DTNA has standard routes with
pre-determined pick up days and time windows. These are set up with assistance from Ryder Logistics.
Detailed routes are established on conference phone calls with suppliers where applicable. DTNA expects
suppliers to communicate specific transportation orders directly with designated carriers shown in routing
instructions. Please call (503) 745-7537 with questions on DTNA routing instructions.
8.2 Routings
Specific routings for each supplier and shipping point are available on DTNA’s supplier website at
http://supplieronline.freightliner.com/.
Contact DTNA’s Help Desk at (503) 745-8208 to obtain a login and password for the website. Please have
your vendor code ready when you call. If routings are not shown or if there are questions on the routings, call
DTNA Traffic at (503) 745-7537.
See Figure 16 for an example of routings from the supplier website. Please note that the top section shows
ship day information regarding days of the week for shipping, predominant transportation mode expected and
planned transit time. Special instruction notes are located at the bottom of the routings.
51
Figure 15: Routing Instructions Example
52
8.3 Compliance with Routing Instructions
Excess premium freight charges as well as a $100 administrative processing fee (per shipment) may be
debited to suppliers who, after communication from DTNA, continue to fail to follow DTNA routing
instructions.
8.4 SID Numbers
The Shipment Identification Number (SID) on your ASN must also be clearly identified on your bill of lading.
For FedEx, BAX and UPS shipments, the SID number must be contained in the reference field of the airway bill.
8.5 Premium Freight Authorization
All shipments moving with additional costs to be paid by DTNA, such as air freight or ground expedite freight,
must have a Premium Freight Authorization number (PFA). The PFA can be obtained by the material planner
assigned to the supplier. The PFA must be shown on the Bill of Lading or on the shipper’s reference area of the
airbill (in addition to the SID).
8.6 ASNs
ASNs must be sent within 30 minutes of the freight departing from your facility.
8.7 Cooperation with Ryder Integrated Logistics
DTNA employs the services of a third party logistics provider, Ryder Integrated Logistics, to assist DTNA.
Please cooperate with Ryder representatives as you would with DTNA employees. In particular, please provide
Ryder with all packaging and shipping information requested. This information is necessary for Ryder to
perform DTNA supply chain optimization.
8.8 Regional Integrated Logistics Centers (RILC’s) Shipping Instructions
VENDOR INSTRUCTIONS for SHIPPING THROUGH RILC’s:
1. In general, unless specified elsewhere in a vendor’s specific routing instructions, breakpoints for
shipment optimization are provided for all routes.
2. Pack material according to DTNA’s Packaging Guidelines (see paragraph 7).
3. Segregate freight for each destination. Do not combine material for multiple destinations on the same
pallet.
4. Multiple part numbers can be combined on the same pallet if identified as a “mixed load”.
5. Mark the final destination on every piece in the shipment.
6. Use bar code labels configured per instructions in DTNA’s Packaging Guidelines (available on
Covisint).
7. Bills of Lading:
a) Prepare a separate bill of lading for each destination.
b) Maximum character length is 18.
c) The bill of lading number cannot be used as the SID number if more than 10 characters.
8. SID number maximum character length is 10.
53
9. Follow the add/cancel process per your assigned RILC – LINC (pg.3), Exel Toledo (pg.7), Exel Portage
(pg.11), Exel Charlotte (pg.15).
10. Provide the RILC with the following information:
a) Vendor name and vendor code
b) Destination plant name(s) and location number(s)
c) Number of pallets and racks in the shipment for each plant
d) Weight of the shipment for each plant
11. Notify RILC of any significant changes in the shipment pieces or weight.
12. Follow the recovery process per your assigned RILC should your shipping requirements exceed
allotted space on Collection Routes – LINC, Exel Toledo. Exel Portage. Exel Charlotte, Exel Laredo.
13. Staple one (1) copy of the packing slip(s) and customs invoice if shipping to Canada or Mexico, to the
bill of lading and hand it to the driver.
14. Place one copy of the customs invoice in a separate envelope on the freight.
15. ASN’s:
a) Use only one (1) ASN per shipment to each destination.
b) Do not list the same part number more than once on the same ASN.
c) Transmit your ASN within 30 minutes of the driver departing your facility.
d) Use the following carrier SCAC code regardless of which carrier picks up your RILC shipment:
XEXT for Toledo
- XEXP for Portage
- XEXC for Charlotte
- XEXL for Laredo
NOTE: RILC drivers have been instructed not to pick up freight for Locs 013, 030, 058 and 065 if customs
invoices are not provided as stated above in items 12 and 13. It will be the vendor's responsibility to ship the
material to RILC docks at their own expense.
8.9 DTNA- RILC Communication Procedures - General
A. General Communication and Shipping guidelines:
1. This document is intended to give guidance to suppliers shipping material through the RILC network.
Due to the complex nature of the routing process, all outlined policies have been established so that
material and issues are handled correctly and in a timely manner. It is important that suppliers e-mail
all indicated parties in order for the timely resolution.
2. Aftermarket material, also known as PDC freight, can be recovered up to 48 hours after scheduled
pick-up if a cube out occurs. Therefore, PDC material should be the last material placed on a trailer
unless otherwise directed by Exel or DTNA when determining which freight should be loaded on a
cubed out route.
3. RILC is not responsible for arranging premium freight handling outside of normal RILC process.
B. Deviation of allocated footprint (including no freight):
54
Communication to RILC should be via e-mail to designated contacts hours in advance of a scheduled pick-up.
C. Route Cube Out or Carrier Failure:
After trailer arrives, if supplier cannot load all requirements onto trailer due to lack of space or weight capacity
or trailer not arriving as scheduled, the published communication process must be followed.
D. On-Call Supplier Requiring Pickup:
Suppliers located in the network with low or infrequent shipping volume will be provided special shipping
instructions using either collection route transport, LTL Transport, or parcel transport.
E. Move up or Drop in Orders:
In cases where DTNA schedule changes result in the need to ship earlier than the next scheduled supplier
pick-up date, RILC must be contacted for special pick up arrangements.
F. Supplier Failure:
Collection route truck arrives and material is not ready at designated pick-up day and window time can result
in shipping delays and parts shortages at DTNA plants. Pick time windows are enforced with carriers and
suppliers.
1. The collection route carrier must contact RILC if freight is not ready to ship during scheduled window
time. The driver will be authorized to leave the supplier’s location after the window time expires.
2. Supplier notifies RILC that a supplier failure has occurred. With DTNA traffic guidance, supplier will
arrange to move material at their expense to the cross dock. Supplier needs to communicate to RILC
when the material will arrive and by which carrier.
G. Other Situations:
After pick-up at supplier origin, if it is determined that shipment cannot meet plant need date, normal RILC
processing communication procedures must be followed as noted below. This could occur due to supplier
error or DTNA schedule change.
1.
Supplier or DTNA discover that RILC collection route truck has picked up shipment and RILC normal
processing time will not allow shipment to arrive at plant on need date.
2.
Supplier or DTNA Material Planner calls RILC dispatch and notifies of timing issue and inquires if
shipment can meet plant need date by placing a higher priority on the urgent material.
3.
If RILC advises that urgent handling can result in on-time delivery, the shipment is left in the RILC
system utilizing urgent handling methods.
4.
If RILC advises that urgent handling within RILC system cannot result in on-time delivery, supplier or
Material Planner calls DTNA Corporate Traffic (See Appendix B) and requests routing instructions.
DTNA Corporate Traffic and Exel operations will work together to meet customer needs and
expectations.
H. Route Planning Issues:
If supplier requirements consistently do not match anticipated trailer utilization by Exel or general route
concerns or questions, supplier must contact the RILC routing analyst for new shipment plan.
55
8.10 Shipping Requirements
Shipments for Portland addresses other than Location 01
Contact Daimler Trucks North America Traffic (503) 745-6688.
Multiple Shipments on the Same Day to the Same Destination
All shipments from the same address, to the same destination, on the same day, must be combined on one bill
of lading or air bill.
Carton Markings and Packing Slips
Mark every carton with final destination and the number of cartons (i.e. Duluth 1 of 1, Memphis 2 of 3, etc.)
and attach packing slips securely to the freight, in an envelope.
Packaging and Labeling
Packaging must be compliant with DTNA’s packaging guideline – see section 7 of this guide.
Wood requirements for International Shipments
International shipments must have the wood for pallets, or other wood uses, meet the WPM (Wood Packaging
Materials) standard consistent with the U.S. Customs and Border Protection "Wood Packaging Materials"
which can be found at http://www.customs.ustreas.gov/xp/cgov/import/commercial_enforcement/wpm/.
Trailer Seal Requirements
Truckload shipments must have a seal securing the trailers and the seal number must be recorded on the bill
of loading consistent with the U.S. Customs and Border Protection "Seal Requirements for Manufacturers"
which can be found at
http://www.cbp.gov/xp/cgov/import/commercial_enforcement/ctpat/fast/us_mexico/mexico_manuf/ma
nuf_seal_requirements.xml.
Breakpoints for Less-than-Truckload (LTL) and Truckload (TL) Shipments
If there is a LTL/TL breakpoint specified on the routing page, use it. Otherwise, use the guideline of shipments
over 20,000 pounds or 20 foot in a trailer, stacked normally, should move as a truckload rather than as LTL.
3rd Party Shipments (from one vendor to another, or to non-DTNA receiving locations)
DTNA's purchase order number and/or the name of the DTNA employee authorizing the 3rd party shipments
must be shown on your bills of lading and airbills. Freight bills without the required information will be paid to
the carrier and debited back to your company. Call DTNA Traffic at (503) 745-6688 for the carriers to be used
when 3rd party shipments are authorized.
The following billing information must show on your bill of lading for all authorized 3rd party shipments:
Prepaid with 3rd party billing to:
P.O.Box 3499
Portland, OR, 97208
Carrier Assistance Contacts
If the routing instructions specify using one of the following carriers, you should contact them for assistance
on how to fill out their forms or use their automations systems. Contact information is as follows:
BAX Global (any weight) 888-378-5467 for DTNA team
FedEx Express (Packages less than 150 lbs) 1-800-463-3339
FedEx Express Heavyweight (over 150 lbs) 1-800-332-0807
UPS SCS (over 150 lbs) 800-443-6379
Truckload shipments to DTNA locations. If no carrier is specified, please call 503-745-7537.
56
Special Instructions for shipments to DTNA Parts Distribution Centers
Consolidate all parcel and less than truckload shipments to each designated PDC and ship as one shipment
once a week, unless otherwise instructed. Failure to consolidate will result in a minimum $200 debit memo
per occurrence, subject to an increasing amount for continued non-compliance.
DTNA Aftermarket Drop Ship Vendors
Routing will come on each "Emergency Purchase Order" noting which carrier to use and whether payment will
be collect or 3rd party billing. If this information is not provided or if a carrier change is necessary, please
contact the DTNA planner at (503) 745-6060. When the shipment weight exceeds 19,000 pounds or the
shipment takes more than 19 foot in a trailer, call DTNA Traffic (503 745-7350) for truckload carrier routing.
Failure to follow this routing may result in a debit for the cost difference incurred.
International Shipments from Canada to the US or from US to Canada:
Ground shipments, whether UPS or LTL, should show DHL Global Forwarding as the customs broker.
Air shipments via UPS or FedEx should show applicable carrier's name as the customs broker to ensure
speedy delivery to the dealer.
For the customs documentation, DTNA should be shown as the buyer or purchaser and the dealer shown as
the consignee or ship to location.
All drop shipments originating in Mexico ship via a truckload carrier to Laredo. Expedite from Laredo.
8.11 Shipments into NAFTA (Mexico/Canada)
Shipments to Mexico (Santiago and Saltillo)
Vendor must complete a typed Mexican Customs Invoice. Links are available for sample and blank customs
invoices on the routing page. A copy of the invoice must be attached to both the bill of lading and the freight
itself. A packing list must be attached to the freight. All freight must be labeled with the ultimate destination.
All airfreight must be consigned to the plant address. Airfreight cannot be consigned to Laredo, TX.
Transportation Charges are billed “3rd Party” and Duty and Taxes are “Bill Recipient”. Daimler Vehiculos
Comerciales Mexico S.A de CV ID # is DCV-910102-P75. This number may be required on the FedEx
airway bill. For airfreight only, Shippers Export Declarations are required for commodities whose values
exceed $2,500. Shipper Export Declarations are not required for any ground shipments, regardless of the
value.
In order to ensure prompt delivery for shipments that require airfreight into Loc. 065, vendors must ship via
FedEx regardless of who is paying the bill. The FedEx service level is International Priority or International
Priority Freight (depending on the size of the shipment). Vendors cannot select their own carrier when
shipping prepaid airfreight into Mexico because of the following reasons:
FedEx provides next day door-to-door service. Vendors may use freight forwarders to save money but
the transit time can stretch into a week.
For location 065, FedEx flies into Toluca. The freight is within a 1/2 hour of the plant. Almost all other
carriers fly into Mexico City. The transit time from Mexico City to the plant is 3-4 hours.
DCVC clears customs under a fiscal deposit provision. This means that DCVC pays no duty upon
importation and the customs clearance process is highly specialized. Only a few brokers can clear
customs on behalf of Loc. 065. FedEx has people onsite in Toluca who perform this process day in
and day out. With other carriers, they need to identify a broker authorized by Loc. 065, physically hand
over the documents/freight and then wait for clearance. This is a very time consuming process.
57
FedEx provides up to the minute tracking. With unknown carriers, there may be no Internet tracking,
no phone number and/or the information may not be current.
If a vendor needs to ship air prepaid to Loc. 065, the vendor must still use FedEx. It is the fastest,
most reliable way to expedite the freight into Loc. 065.
Shipments from Canadian Origins to U.S. Manufacturing Plants
Customs Invoice Requirements for Canadian Vendors Shipping to the United States: Please refer to the
customs portion of this guide (section 10) or contact the International Trade Compliance office at DTNA.
Figure 16: Custom Clearance Requirements for Canadian Vendors Shipping Into the U.S.
In addition, one copy of a properly completed Customs Invoice must be stapled to the bill of lading or airbill
handed to the driver. One copy must also be included in a separate pouch attached to the freight. A $100
customs document preparation fee will be debited for inaccurate, improperly completed, or missing customs
invoices in addition to attendance at a customs documentation seminar.
58
INVOICE FOR U.S. CUSTOMS
CUSTOMER REFERENCE NUMBER
Page # of #
Enter Bill of Lading or SID Number
EXPORTER / SELLER (name and address)
PRODUCER OF GOODS (if different than exporter)
SHIPPER INFORMATION
CONSIGNEE / SHIPPED TO (name and address)
BUYER (if different than consignee)
DAIMLER TRUCKS NORTH AMERICA LLC
4747 NORTH CHANNEL AVE.
DAIMLER PLANT DELIVERYADDRESS
I.R.S. NUMBER (MANDATORY) 93-0790608
COUNTRY OF FINAL
DESTINATION
PARTIES TO THIS
TRANSACTION ARE:
(if other than United
States)
RELATED
NOT RELATED
PORTLAND, OR 97208-3820
I.R.S. NUMBER (MANDATORY) 93-0790608
INVOICE DATE:
DATE OF SALE:
INVOICE #:
DISOUNTS:
CURRENCY OF SALE:
U.S.
CANADIAN
OTHER
MARKS AND NUMBERS
NO. AND KIND OF PKGS
NUMBER OF PACKAGES
SKIDS, BOXES, ETC.
SHIPPING
WEIGHT
FREIGHT AMT INCL.
FREIGHT AMT TO BORDER
YES / NO
NONE
SHOW LBS.
COUNTRY OF
ORIGIN
DTNA PART NUMBER, DESCRIPTION, & PURCHASE ORDER NUMBER
INVOICE
UNIT
QTY
OF GOODS
PART DESCRIPTION INCLUDING DAIMLER PART #
MUST SHOW FOR
EACH PART LISTED
NUMBER
OF
PACKAG
ES
AND PURCHASE ORDER # AFFILIATED WITH EACH PART
.
SAMPLE DOCUMENT
UNIT
PRICE
XXXXXXX
INVOICE TOTAL
XXXXXXX
.
59
Staple one (1) copy to the Bill of Lading
Place one (1) copy in a separate envelope or pouch on the freight.
Mail, Email, or Fax one (1) copy to the Customs Broker – DHL Global
Forwarding
COMMERCIAL INVOICE MUST MEET ALL THESE REQUIREMENTS.
ONLY USE CUSTOMS INVOICE IF COMMERCIAL INVOICE IS
UNAVAILABLE AT TIME OF DELIVERY.
CUSTOMS BROKER:
ABOVE PRICES INCLUDE:
DUTY
BROKERAGE
FREIGHT
DHL GLOBAL FORWARDING
PRINT SELLER CONTACT NAME
ENTER CONTACT PHONE NUMBER
ENTER BILL OF LADING, SID, PACKING SHIP, PURCHASE ORDER, ETC.
SIGNATURE OF EXPORTER / SELLER
REFERENCE NUMBER(S) OF EXPORTER / SELLER
Figure 17: Sample U.S. Customs Invoice form
Non-NAFTA Suppliers
Suppliers from outside NAFTA will still have their routings available on Supplier Online. Significantly longer
lead times will be needed for ocean freight and additional customs requirements may be needed.
Insurance
Daimler Trucks North America is self-insured. Do not declare values for insurance because it results in
duplicate insurance premiums.
Hazardous Material
Shipments of hazardous materials must be communicated in advance to the DTNA Traffic Dept. Suppliers will
follow Haz Mat transportation rules as published by US DOT.
60
9.0 Accounts Payable
The supplier’s invoice should incorporate the exact information on DTNA’s Purchase Contract. For ERS
(Evaluated Receipts Settlement) transactions, the price should be agreed upon prior to shipment. For all other
invoices, DTNA’s standard method of invoice receipt is via EDI (Electronic Data Interchange). See Section 5.5
for EDI information.
9.1 Evaluated Receipts Settlement (ERS)
ERS (Evaluated Receipts Settlement) is a common practice in the automotive industry whereby the purchaser
authorizes payment to supplier based on Goods Receipt - without any invoice from supplier. This requires upfront agreement between purchaser (DTNA) and supplier; product pricing synchronization between purchaser
and supplier is critical. DTNA will begin migrating suppliers to ERS in 2010.
Suppliers, who meet rigorous certification requirements, may suppress the creation of invoices and instead
receive payment from DTNA based on Goods Receipt. The reference on the payment advice will be the
Shipment ID (SID). If shipments cross an international border, customs invoices will still be required to
accompany the shipment.
9.2 Payment Terms
Payment terms shall be as set forth in the Purchase Contract. Standard payment terms for inventory
purchases are Net 30th Prox. This means that parts invoiced in the current month are paid by the 30th of the
following month. Preference is given to suppliers who accept electronic payment via EFT (Electronic Funds
Transfer). Suppliers requiring paper check are paid on the first Friday on or after the 30th. DTNA is currently
piloting with selected suppliers Net 45 Days as a possible future standard.
Standard payment terms for other Non-Production Materials (NPM) purchases, such as Tooling, are Net 45
days.
9.3 Banking Instructions
DTNA’s standard payment method is EFT. To sign up to receive payment via EFT or make any changes to the
banking information, the supplier should contact the master records coordinator at:
[email protected]. For security purposes, a form will need to be completed prior to the actual
change.
Remittance advice to support an EFT payment can be either automatically faxed or e-mailed, as specified by
the supplier. Alternatively, an EDI 820 transaction can be provided.
9.4 Invoice Details
Multiple Invoice documents per one SID are not permitted and may result in payment delay. The relationship
between invoice and Shipment ID (SID) must always be one to one, which means only one Invoice per SID
and only one SID per Invoice. The invoice must include the exact number of line items as the SID and it may
reference multiple PO’s. One invoice may reference multiple PO/Line #’s (See Import Compliance Section 10
for Customs Invoice Requirements). For purchases not subject to ERS, invoices should be sent via EDI
(Electronic Data Interchange). Only extremely low volume of paper invoices may be sent to:
Attn: Accounts Payable
PO Box 5800
Troy, MI 48007-5800
61
Invoices, whether electronic or paper, must include the following:
Name and address of the supplier and the buyer
Ship-to location / plant #
FOB ship-from location
DTNA Purchase Order # and PO Line #
DTNA Part #
Quantity, Unit of Measure, Unit Price, Extended Amount
Total amount of invoice and any allowed discounts
Invoice # and invoice date
Shipment ID (SID) – must match exactly to SID on ASN/packing list
Core charge, if applicable must be stated separately
Freight should be billed in accordance with routing instructions. See Section 8 – Logistics.
9.5 Debit Memos
Suppliers may receive debit memos from DTNA for various reasons such as:
• Price invoiced exceeds DTNA PO price
• Quantity shipped less than quantity invoiced
• Routing instructions not followed, resulting in higher freight costs
• Packaging instructions not adhered to, resulting in excess handling or damaged goods
• Warranty claims (see Section 11 - Warranty)
Debit memos are posted to supplier’s account, auto-faxed to supplier, and immediately deducted from
payment. Debit memos contain specific information describing the discrepancy and what steps to follow if
there are subsequent questions.
9.6 Disputes
Disputes after payment should be directed as advised on Debit Memos, with pricing questions directed to the
purchasing department and quantity discrepancies directed to the receiving location. The Accounts Payable
analyst can assist in identifying appropriate contacts but generally will not be able to resolve these issues
without the involvement of others.
9.7 Supplier WebPortal
In 2010, DTNA will launch a supplier webportal that will allow our suppliers to look up invoice processing
status, download ERS settlement reports, obtain copies of debit memos and copies of remittance advices.
The site will also allow a supplier to log a dispute. Suppliers should receive direct communication regarding
this application. Or, for more information, an e-mail may be sent to: [email protected]
62
10.0 U.S. Import Compliance
This Shipper’s Guide to U.S. Customs Compliance serves as a general reference for the U.S. Customs
procedures to be followed during the development, manufacture, purchase, shipment, reception, storage and
withdrawal for sale in North America of products by Daimler Trucks North America LLC (DTNA). This Guide is
an educational tool. It includes general procedures and is intended to give all personnel who are responsible
for Customs-related functions, a clear understanding of how their responsibilities contribute to DTNA’s
compliance with customs laws, regulations and policies. It is our intention to communicate our requirements
and expectations to our suppliers, our dealers, our parts distribution centers, our manufacturing plants, and
any other entity that could be considered a shipper of cargo for which DTNA is ultimately responsible.
As an importer of merchandise, DTNA is aware of the need to establish a strong compliance posture in its
relationship with U.S. Customs & Border Protection. DTNA’s internally designed and managed Customs
Compliance program is aimed at meeting the goals set forth in the Customs Modernization Act, which
promotes a partnership between the importing community and United States Customs & Border Protection.
DTNA is the “importer of record” for all DTNA goods. All import compliance concerns are managed through
the Daimler International Trade Compliance Department.
This Guide documents DTNA’s internal operating procedures with respect to the importation of goods
produced abroad. It is not intended to operate as a substitute for the ongoing decisions or directives of
management. Questions with regard to any issue relating to international trade compliance should be referred
to the Senior Manager - International Trade Compliance, or designee, who is tasked with the primary
responsibility for interacting with United States Customs & Border Protection on behalf of the company.
Following is the Supplier’s Guide Table of Contents. Detailed information on each topic can be found at
https://daimler.portal.covisint.com/c/document_library/get_file?uuid=bf4c2601-7ec5-41d5-993669761f13ed20&groupId=124701
Supplier’s Guide Table of Contents
SECTION 01.000 BASIC INFORMATION
01.100 Which Products Does This Document Apply To?
01.101. Definitions
01.101.1 Importer of Record
01.101.2 Shipper
01.101.3 Seller
01.101.4 Country of Origin
01.101.5 Consignee
01.101.6 Buyer/Purchaser
01.101.7 DTNA Trade Compliance
01.200 COMMODITIES COVERED BY THESE PROCEDURES
01.201 Shipments
01.202 Customs Clearance of DTNA Goods
01.300 DOCUMENTATION
01.301 Customs And Shipping Documents
01.302 Mailing Address For Documents
63
SECTION 02.000 SHIPPING DOCUMENTS AND INSTRUCTIONS
02.100 Documentation Required For Shipment
02.101 Customs Invoice
02.102 Packing List
02.103 Air Waybill
02.104 Ocean Bill Of Lading
02.105 Truck Bill Of Lading
02.106 Free Trade Agreement Country of Origin Certificate, Buy America Certification, and Manufacturer’s
Affidavit of Origin
02.107 Importer Security Filing “10+2” Program Overview
02.108 Importer Security Filing “10+2” Responsibilities
02.200 SENDING THE DOCUMENTS
02.201 Air
02.202 Ocean
02.203 Truck
02.204 Corrections To Documents After Shipment
02.205 Missing Or Incorrect Documents
SECTION 03.000 SHIPMENT OF GOODS
03.100 Freight Forwarder
03.101 Forwarder Identification
03.102 Third Party Billing
03.103 Customs Brokerage
03.104 Hazardous Articles
03.200 PACKAGING SPECIFICATIONS
03.300 MARKING AND IDENTIFICATION
03.301 Bill of Lading
03.302 Country of Origin
03.303 Packing List
SECTION 04.000 VALUATION OF GOODS
04.100 VALUATION INSTRUCTIONS
04.101 "No Charge" Items
04.102 Currency Used For Billing
04.103 Supplemental Payments On Commercial Invoice
SECTION 05.000 SPECIAL REQUIREMENTS
05.100 SPECIAL DOCUMENTS
05.101 Returned American Goods
05.102 Returned American Goods Not Advanced In Value
05.103 Returned American Or Non-American Goods
05.104 Articles Returned After Repairs Or Alterations
05.105 Manufacturer’s Affidavit of Origin
05.106 Certificates Of Origin and Buy America Certification
05.107 Temporary Exports To The U.S.A. (TIB)
05.108 Hazardous Materials Certificate
05.109 Toxic Substance Control Act (TSCA)
05.110 Environmental Protection Agency (EPA)
05.111 Food and Drug Administration (FDA)
05.112 Federal Communications Commission (FCC)
64
05.113 Consumer Products Safety Commission (CPSC)
05.114 Department of Transportation (DOT)
05.115 Anti-Dumping/Countervailing Duty (ADD/CVD)
SECTION 06.000 SUPPLY CHAIN SECURITY
06.100 Customs Trade Partnership Against Terrorism (C-TPAT) Program
06.101 Overview of C-TPAT Program
06.102 General C-TPAT Program Security Criteria
06.103 DTNA Participation in C-TPAT Program
06.104 Security Procedure, Point of Origin
06.105 Security Procedure, Participation/Certification in Foreign Customs Administration Supply Chain
Security Programs
06.106 Security Procedure, Other internal criteria for selection
06.107 Container Security, General
06.108 Container Security, Container Inspection
06.109 Container Security, Container Seals
06.110 Container Security, Container Storage
06.111 Physical Access Controls, Employees
06.112 Physical Access Controls, Visitor Controls
06.113 Physical Access Controls, Deliveries (including mail)
06.114 Physical Access Controls, Challenging and Removing Unauthorized Persons
06.115 Personnel Security, Pre-Employment Verification
06.116 Personnel Security, Background checks / investigations
06.117 Personnel Security, Personnel Termination Procedures
06.118 Procedural Security, Documentation Processing
06.119 Procedural Security, Manifesting Procedures
06.120 Procedural Security, Shipping & Receiving
06.121 Procedural Security, Cargo Discrepancies
06.122 Security Training and Threat Awareness
65
11.0 Warranty
11.1 Introduction
The DTNA warranty process is designed to improve overall brand quality. Active supplier participation in the
process ensures the timely resolution of quality issues and increases both customer and dealer satisfaction.
11.2 Warranty Agreement
Suppliers are required to have a signed warranty agreement with DTNA. A copy of the standard warranty
agreement is included in Section 11.7.
11.3. Warranty Process
11.3.1 Dealer Claim Submittal
The warranty process begins when a customer takes their vehicle to a DTNA dealer for a repair. An authorized
DTNA dealer checks to see if the vehicle has warranty coverage, performs a repair, and submits the warranty
claim using a web-based warranty system called QuickClaim.
The QuickClaim system has up-front filters that will only allow a claim to be submitted if the vehicle has
warranty coverage for the repair performed. Coverage depends on the make and model of the vehicle, and
goes into effect on the vehicle’s in-service date. The date and mileage at the time of the failure must fall within
the time and mileage parameters of the coverage for the claim to be accepted.
11.3.2 Claim Processing
Warranty claims are processed manually by the warranty processing group or automatically by the warranty
mainframe system. Warranty claims containing parts and labor that meet the criteria for auto processing are
accepted into the warranty system and submitted to the supplier. Warranty claims that do not meet the
system requirements are processed manually. The manually processed claims are reviewed by a claim
processor to validate that the parts and labor included in the claim are correct. A claim can be accepted,
denied, or adjusted during the manual process.
Dealers are paid for the claim once it has been accepted by processing.
11.3.3 Supplier Response
Warranty claims are downloaded into an Excel file and emailed weekly to the supplier. The email includes a
“new claims” file and an “open claims” file. The “new claims” file contains all of the new claims that were
approved by processing the previous week. The open claims file contains all of the claims that are open to the
supplier. Claims are left open to the supplier until a vendor recovery analyst closes the claims based on the
response from the supplier. The DTNA warranty recovery department requires timely responses within the
time frames outlined by the warranty agreement which are 30 days for claims with no part return and 45 days
from the final ship date when parts are being returned for analysis. Claims not responded to within these
timelines are subject to debit.
11.3.4 Warranty Recovery
Suppliers send claim responses to the warranty recovery department. The warranty recovery analyst reviews
the response from the supplier and adjudicates the claims accordingly. Claims that are paid in full by the
supplier are closed using a supplier credit memo number or a DTNA generated debit number. Claims that are
denied, or short paid by the supplier, will be reviewed by the warranty recovery analyst. The warranty recovery
analyst will work with the supplier to come to an agreed upon resolution for supplier rejected claims.
66
11.4 Failed Parts Return
The default part disposition is set for "Scrap." Suppliers are encouraged to work with DTNA on behalf of the
end-customers to reduce failed part returns as much as possible. Reduction in part returns is achieved by
responding to warranty claims based on the claim’s failure description, whenever possible, or setting up a
sampling, or percentage request for returns. Suppliers requesting parts to be returned are responsible for all
freight cost associated with returning the part, regardless of the warrantability of the part.
11.4.1 Scrap Claims
Warranty claims that do not require the dealer to return the failed part are called scrap claims. Scrap claims
require a valid response from the supplier within 30 days of the “submit to supplier” date. The warrantability of
the claim is determined by the dealer’s explanation of the failure in the warranty claim story.
11.4.2 Return Claims
Warranty claims that require the dealer to return the failed part are called return claims. Return claims require
a valid response from the supplier within 45 days of the “ship to supplier” date. The ship to supplier date
begins when the tracking information for the failed part is entered into the QuickClaim system by the dealer.
Post inspection part disposition must be performed in accordance with the "Warranty Tag" procedures
outlined in the warranty agreement. Dealers have the option to request the return of failed parts that have
been determined to be non-warrantable. Dealers make this request by marking a return parts checkbox on the
warranty tag included with the failed parts. If the dealer does not check the return part check box, the supplier
must retain a copy of the unmarked warranty tag for one year.
11.5 Warranty Certification Program
The Warranty Certification Program is a program that rewards dealers for warranty excellence. Dealers can
achieve the status of bronze, silver, or gold. The benefits to dealers are based on a certification level that is
reassessed and adjusted quarterly. One of the benefits for dealers who participate in the program is that
dealers certified at the silver and gold levels do not have to return parts to the suppliers who have agreed to
participate in the program. The benefits to suppliers who participate in the program are an improved Masters
of Quality Rating and a reduction in freight, inspection, administrative, and material management costs.
11.6 Warranty Rating Criteria
For the warranty ratings criteria and detailed descriptions, please refer to the “Masters of Quality” section of
the Supplier Quality Manual located at
https://daimler.portal.covisint.com/c/document_library/get_file?folderId=128435&name=DLFE-107228.pdf.
67
11.7 Warranty Agreement (Example form)
68
Figure 18: Warranty Agreement Example Form
69
12.0 Customer Support/Aftermarket
12.1 Purchasing
Products currently used in production or placed into production and sold by suppliers to DTNA for the repair or
replacement market will be priced to DTNA at the same price specified for the production parts plus any
incremental costs associated with packaging. DTNA will, as needed, validate packaging costs and may work
with supplier to ensure that packaging costs are appropriate.
Parts phased out of production are to be offered on a continuing basis to the DTNA repair or replacement
market at the original production price level for at least three years after the date of last use in production.
Any subsequent price changes will be negotiated with annual price negotiations, taking into consideration the
cost of manufacturing and providing product on an "as needed" basis with no minimum purchase quantity or
price breaks. Suppliers will be expected to enter into a long term agreement (LTA) for post-production parts
and service only parts that will provide a commitment to competitive pricing and delivery performance for the
term of the agreement. Any agreed upon prices will take effect with a minimum 90 day delay from the date of
final agreement. Price reductions are permitted with no notification to adjust to changing market conditions.
Suppliers are required to provide post-production parts availability as outlined in the DTNA standard terms and
conditions.
12.2 Delivery and Availability
DTNA and its suppliers must always put the customer first. We respect the mutual relationship shared with our
dealers, fleets and vehicle owners; therefore it is imperative that suppliers fulfill our orders as placed.
It is the responsibility of the suppliers to accurately manage and provide ordered materials. DTNA expects ontime delivery with flexibility to meet the fluctuating demand of our customers and expects suppliers to be
proactive in managing inventories and supplying material in a timely and accurate manner.
The Customer Support Excellence Team requires the cooperation of all suppliers in complying with the
following:
A. Parts Distribution Center (PDC) planning requirements information to include US and
Canadian lead times, supplier ship-from location(s), order placement location(s) and
contact(s).
B. Lead times that are consistent with the movement volume of the part, i.e. 7 to 14 days for
fastest moving items, 14 to 28 days for medium moving items, 28 to 30 days for slowest
moving items and stocking of non-stock items with immediate shipment.
C. Consistent shipping performance to meet PDC lead times, with order shipment in accordance
with supplier’s projected ship date at least 95% of the time and past due shipments no to
exceed a 2X multiple of the part lead time or 30 days, whichever is less.
D. Consolidated shipments to each PDC made once per week. When possible, expedite requests
from DTNA should include all other lines due that week for shipment, but exceptions will exist
when DTNA expedites one line for air freight, or by other expedited carriers.
Deviation from this requirement will result in a charge back for additional freight incurred.
Vehicle Off Road (critical) shipments are an exception to this guideline.
E. DTNA will notify supplier of receiving part number and quantity discrepancies at the time they
are realized. It is the supplier’s responsibility to reconcile the discrepancy within one
business day.
70
F. Ability to move out PO line due date without penalty. This can occur when our customer
demand drops below anticipated levels. (In this situation, DTNA does not want to cancel and
place a new order at lead time.)
G. Flexible order requirements to allow for no minimum PDC purchase order restrictions (per
part number, per purchase order).
H. Obsolescence protection for all-makes parts. DTNA to be notified of the decision to make a
part obsolete and to be given a 12-monh window in which to recall and return the entire
obsolete product free of penalty and without impacting return allowance.
I. DTNA specific inventory return agreements must be established. These should be based on
annual purchase volumes and should be consistent with agreement offered by DTNA to its
customers:
a. At least 8% allowance of previous year’s purchases
b. Handling charge not to exceed 10%
J. Provide field inspection of perishable return items with approval to return if not damaged.
K. Provide field representation to each PDC to resolve product return request issues.
L. Provide marketing program exit strategies.
M. Provide marketing program exit strategies. When new programs are introduced through DTNA
Sales and Marketing, there must be an upfront program that will allow for return of unsold
product at no penalty. This will include an exit strategy to cover the full supply chain, including
the dealer level if necessary.
N. Identify service parts breakdowns and repair kits for component and assembly type parts. To
include source, cost, proprietary aspects, weight, dimensions and other part attributes for
each service part.
O. Regular and advanced notification on all product changes and procedures. Changes in form,
fit, or function require a change in part number.
a. Modifications to DTNA-owned tooling require prior approval by DTNA tooling group.
Backwards compatibility is of primary concern.
DTNA-owned tooling will be tracked and records will be available for review at any time.
P. Provide recommended stocking levels for dealer distribution network.
Q. Vehicle Off Road (VOR) support to include critical order process procedures, VOR premium
charge definition, 24 hour / 7 days a week product support, ship direct capability to DTNA
dealers (U.S. & Canada) within 72 hours, and notification of status of order shipment within
24 hours.
R. Suppliers are expected to have full and accurate EDI capability, including the following EDI
transactions:
Purchase Order Change Control Loop
850 – Purchase Order; for PDC Stock and Direct Ship order types (upon verification by
supplier, DTNA can also transmit PDC Emergency Orders via EDI).
855 – Purchase Order Acknowledgement; used by Supplier to acknowledge acceptance or
rejection of a DTNA purchase order at the line item level. Can also be used by supplier to
transmit requested revisions to the purchase order line items (e.g. quantity, acknowledge ship
dates, etc).
860 – Purchase Order Change Request (New); used by DTNA to confirm acceptance of a
purchase order change initiated by the supplier, or a change made by mutual agreement of
the two parties. It can also be used by DTNA to request a change to a previously submitted
purchase order.
865 – Purchase Order Change Request Acknowledgement* (New); used to acknowledge
the receipt of a DTNA Purchase Order Change Request. It is used by the supplier to confirm
acceptance or rejection of a purchase order change initiated by a Purchase Order Change
Request. It can also be used by the supplier to transmit requested revisions to the purchase
order line items.
71
*The 865 – PO Change Request Acknowledgement is being rolled out separately from the PO
Acknowledgement and PO Change Request.
Receiving
856 – Advanced Ship Notice; used by the supplier to relay the content of the shipment,
packaging details, marking, physical characteristics, and carrier information.
861 – Receiving Advice; used to convey receiving errors noted on PDC Shipments; e.g., line
item overages and shortages.
S.
T.
U.
V.
W.
X.
Y.
Forecasting
830 – Planning Advice (New); provides the supplier with DTNA forecasting information.
Provide weight and package dimensions of individual parts prior to receipt of inventory at
DTNA PDCs.
Provide Material Safety Data sheets for all hazardous materials.
Provide country of origin for all parts.
Information for field support, such as special tools, dies, templates, assembly instructions,
etc.
Suppliers will be held responsible for expediting charges should orders be past due. A
response to customer service inquiries such as expediting or receiving issues is required
within 24 hours.
Any emergency drop ship order must receive a waiver of part quantity and dollar minimum,
have a ship date within 24 hours and be shipped within 72 hours.
Variance beyond these levels will result in a charge back to cover added handling cost
incurred and compensation for lost sales.
12.3 Aftermarket Parts Packaging, Shipping and Documentation
Suppliers are responsible for unit packaging and labeling aftermarket parts so that they arrive, at Daimler
Trucks North America's Parts Distribution Centers and/or the point-of-use, in damage free condition, with
appropriate documentation. In addition, packaging must be economical with minimum impact on the
environment and labeling must be in accordance with industry standards.
Compliance with aftermarket packaging requirements as outlined in the “Daimler Trucks North America –
Packaging & Labeling Requirements for Aftermarket Parts” guide. Bar coding capability is required. A link to
the packaging guidelines is provided here:
https://daimler.portal.covisint.com/c/document_library/get_file?uuid=4760ec97-fc35-4b50-a01514468701ba24&groupId=124701
Suppliers are to adhere to DTNA’s traffic routing instructions, using the carriers and guidelines provided by the
DTNA Traffic Department.
12.4 Marketing Programs
Supplier is to provide promotional merchandising and marketing programs to strengthen Customer Support
distribution and address end user needs including but not limited to financial participation in price discounts,
incentives, training and cooperative funding of marketing programs.
Supplier is to support Parts Marketing with market pricing intelligence to assist in profit and price
competitiveness for DTNA and dealers.
72
DTNA expects that supplier provides a dedicated account representative with authority to address Customer
Support requirements throughout North America.
Supplier must give advance notification of all new product development and/or changes in the marketplace.
12.5 Sales Support
DTNA requests supplier support via a field organization that is dedicated to the Aftermarket distribution (OE
dealers).
Supplier is required to provide continuous product/sales support to DTNA dealers to assure competitive
position in the marketplace.
Onsite dealer training and end-user seminars will further improve the knowledge and customer service
capabilities.
12.6 Technical Support
DTNA expects suppliers to bring new technology, both product and process, to DTNA in order to ensure
DTNA’s continued competitive position in the market place.
DTNA parts technical support departments require that suppliers provide detailed service part breakdowns
including adequate documentation such as pictorially accurate exploded views (preferred) or line art, matched
with service part numbers.
A technical service hot-line as well as dedicated technical contact(s) is needed to resolve customer inquiries
and/or problems.
73