Two kinds of resource are acquired from suppliers: "Reusable" and "Consumable"

Reusable Resources participate in producing the product (or service), but after an instance of product is produced they are released to produce another instance. When Reusable Resources are acquired from suppliers, they are disbursed to various business functions by way of periodic planning by their responsible organization units. There is usually no direct linkage between an instance of product and the acquisition of a reusable resource.

Consumable Resources become a permanent part of a product that the customer receives, and once consumed are no longer available for other uses. In contrast to reusable resources, Consumable Resources are acquired from suppliers specifically to produce certain instances of the product. There is usually a direct linkage between this resource acquisition and product production.

With the advent of just-in-time planning, acquisition and delivery of consumable resources, there is often a "lockstep" linkage between the product framework core processes and the resource framework core processes. They behave as if there is one common set of core processes that extends across both the product system and the resource system.
©1995-2012 Ackley Associates   Last revised: 12/10/10