Solutions:

Liability and Flexibility

Built on the Fogbreak Agreement Management foundation, Fogbreak’s Liability and Flexibility solution manages the financial performance of cross-enterprise obligations to minimize contract liability and maximize flexibility. By uniquely combining codified agreements with transactional ERP data, this risk management solution delivers the visibility and predictability needed to manage and control today’s complex supply chains.

Liability and Flexibility is composed of 3 separate applications: Liability Risk Manager, Flexibility Risk Manager and Product Transition Risk Manager.

• Liability Risk Manager reduces contract liability associated with inventory and material acquisition, and increases productivity required to respond to changes in the supply chain.
• Flexibility Risk Manager provides reporting and analysis to determine best-case scenarios for alternative flexibility options.
• Product Transition Risk Manager assesses and reports the impact of engineering change orders and product transitions.

Bottom-Line Benefits

Fogbreak Liability and Flexibility prioritizes supply chain activities, resulting in measurable improvement to the bottom line:

• Reduced material acquisition costs
• Reduced scrap liability settlement payments
• Reduced excess and obsolete inventory
• Increased productivity (see insight sidebar)
• Increased visibility into impact of change orders

Capabilities

• Prioritizes MRP action report
• Ensures immediate contract price compliance
• Justifies outstanding E&O inventory issues
• Tracks cancellation and reschedule privileges
• Evaluates cut-in date of Engineering Change Orders
• Analyzes last-time-buys at end-of-life based on purchase commitments
• Evaluates new product introductions
• Tracks and justifies contract liability payment settlements
• Provides an audit trail of all transactions, supply chain events, and actions
• Manages supply chain events with alerts and notifications
• “Good Faith” reporting estimates current supply chain position
• Assesses buffer stock and vendor-managed inventory (VMI) liability
• Measures and manages off-balance sheet liability
• Generates demand and supply waterfall reports