--- title: Acronym Definitions for Manufacturers --- [Skip to content](https://www.thescrmconsortium.com/acronym-manufacturers#main-content) ![](https://www.thescrmconsortium.com/hs-fs/hubfs/scrm_redrawn%5B43%5D-2.png?width=158&height=50&name=scrm_redrawn%5B43%5D-2.png) - [Home](https://www.thescrmconsortium.com/) - [About SCRMC](https://www.thescrmconsortium.com/about-us) - [Events](https://www.thescrmconsortium.com/events) - [Education](https://www.thescrmconsortium.com/education) - [Partners](https://www.thescrmconsortium.com/partners) - Tools Show submenu for Tools - [Trust Acceleration Index (TAI™)](https://www.thescrmconsortium.com/tai) - [FREE SCRR Maturity Model](https://www.thescrmconsortium.com/free-scrr-maturity-model) - [FREE Tier-1 Supply Chain Maturity Assessment](https://www.thescrmconsortium.com/readiness) - [SCRR 90-Day Action Plan](https://www.thescrmconsortium.com/actionplan) - Resources Show submenu for Resources - [Resources](https://www.thescrmconsortium.com/resources) - [Blog](https://www.thescrmconsortium.com/news) - [Webinars](https://www.thescrmconsortium.com/webinars) - [Newsletters](https://www.thescrmconsortium.com/news-articles) - [SCRR Glossary of Terms](https://www.thescrmconsortium.com/scrr-terms) - [Subscribe](https://www.thescrmconsortium.com/contact) Open main navigation Close main navigation - [Home](https://www.thescrmconsortium.com/) - [About SCRMC](https://www.thescrmconsortium.com/about-us) - [Events](https://www.thescrmconsortium.com/events) - [Education](https://www.thescrmconsortium.com/education) - [Partners](https://www.thescrmconsortium.com/partners) - Tools Show submenu for Tools - [Trust Acceleration Index (TAI™)](https://www.thescrmconsortium.com/tai) - [FREE SCRR Maturity Model](https://www.thescrmconsortium.com/free-scrr-maturity-model) - [FREE Tier-1 Supply Chain Maturity Assessment](https://www.thescrmconsortium.com/readiness) - [SCRR 90-Day Action Plan](https://www.thescrmconsortium.com/actionplan) - Resources Show submenu for Resources - [Resources](https://www.thescrmconsortium.com/resources) - [Blog](https://www.thescrmconsortium.com/news) - [Webinars](https://www.thescrmconsortium.com/webinars) - [Newsletters](https://www.thescrmconsortium.com/news-articles) - [SCRR Glossary of Terms](https://www.thescrmconsortium.com/scrr-terms) - [Subscribe](https://www.thescrmconsortium.com/contact) ## Acronym Definitions for Manufacturers | TENET | QUESTION | 10-8 | 7-5 | 4-1 | DEFINITIONS | | --- | --- | --- | --- | --- | --- | | Leadership | Governance, Risk and Compliance |   |   | PMO   GRC | PMO - Program Management Office, folks who manage programs GRC - Governance, Risk and Compliance framework | | Balance Scorecard | Cash Conversion Cycle | EDI | EDI |   | EDI - Electronic Data Interchange, method to send purchase orders, shipments electronically under standard formats | | S&OP Processes | Structure, costs/ownership |   |   | S&OP   SC | Sales & Operations Planning, a process/forum to balance demand/supply for the company SC - Supply Chain | | S&OP Processes | Techniques & technology | ERP |   |       S&OP SC | ERP - Enterprise Resource Planning, a method and solution that ties all departments’ information in one repository and captures and manages every business transaction Sales & Operations Planning, a process/forum to balance demand/supply for the company SC - Supply Chain | | S&OP Processes | Process Optimization |   |   | S&OP | Sales & Operations Planning, a process/forum to balance demand/supply for the company | | S&OP Processes | Customer Collaboration |   |   | ATP     CTP | ATP - Available to Promise, a method/calculation looking at available finished goods inventory to satisfy a customer order CTP - Capable to Promise, ATP method, plus it looks at what is planned to be delivered from production, by quantity, by date, to further provide a customer delivery date | | S&OP Processes | New Product Introduction |   | S&OP |     NPI | Sales & Operations Planning, a process/forum to balance demand/supply for the company NPI - New Product Introduction, term used to describe the process of introducing new products into the portfolio | | S&OP Processes | Metrics of Success |   |   | VaR   TtR | VaR - Value at Risk, metric used to turn risk assessments into $$. Includes Annual Revenue\*TtR\*Probability of occurrence TtR - Time to Recover, metric used in VaR calculation. Means—How long will it take to get back to normal operations, hours, days, weeks or months. | | Info Systems | System Architecture | ERP | ERP |   | ERP - Enterprise Resource Planning, a method and solution that ties all departments’ information in one repository and captures and manages every business transaction | | Info Systems | Business Systems |   | ERP | ERP | ERP - Enterprise Resource Planning, a method and solution that ties all departments’ information in one repository and captures and manages every business transaction | | Info Systems | Process Automation | QA |   | MES     QA | MES - Manufacturing Execution Systems, computer systems that capture data from the plant floor machines such as heat, temperature, speeds, etc QA - Quality Analysis Techniques | | Info Systems | ERP & MES Communication |   | ERP |       MDM | ERP - Enterprise Resource Planning, a method and solution that ties all departments’ information in one repository and captures and manages every business transaction MDM - Master Data Management, a methodology supported by computer software to evaluate part numbers and all their specifications in an orderly manner to provide consistency in manufacturing | | Info Systems | Data Standards |   | XML | XML       SCADA     | XML - Extensible Markup Language (XML) is a markup language and file format for storing, transmitting, and reconstructing arbitrary data. It defines a set of rules for encoding documents in a format that is both human-readable and machine-readable. SCADA - **SCADA** (**Supervisory control and data acquisition**) is a [control system](https://en.wikipedia.org/wiki/Control_system) architecture comprising [computers](https://en.wikipedia.org/wiki/Computer), networked data communications and [graphical user interfaces](https://en.wikipedia.org/wiki/Graphical_user_interface) for [high-level](https://en.wikipedia.org/wiki/High-level) supervision of machines and processes. It also covers sensors and other devices, such as [programmable logic controllers](https://en.wikipedia.org/wiki/Programmable_logic_controller), which interface with process plant or machinery. | | Integrated Supply Chain | Internal Integration |   | ERP |   | ERP - Enterprise Resource Planning, a method and solution that ties all departments’ information in one repository and captures and manages every business transaction | | Demand Management | Customer Focus |   |   | Profit Velocity     RONA | Profit Velocity - [Profit velocity is a concept used to decide which of several alternative products to manufacture. It is defined as the **profit generated per minute of production time for a product**](https://www.bing.com/ck/a?!&&p=0508a35cc911183eJmltdHM9MTcwNzc4MjQwMCZpZ3VpZD0wNjM4MWI4YS1iODM5LTYwY2ItMjQxNi0wODQ3YjkxMDYxOTEmaW5zaWQ9NTcyMA&ptn=3&ver=2&hsh=3&fclid=06381b8a-b839-60cb-2416-0847b9106191&psq=profit+velocity+definition&u=a1aHR0cHM6Ly93d3cuYWNjb3VudGluZ3Rvb2xzLmNvbS9hcnRpY2xlcy9wcm9maXQtdmVsb2NpdHktYW5hbHlzaXM&ntb=1)[**1**](https://www.bing.com/ck/a?!&&p=9f8352a239ec38bdJmltdHM9MTcwNzc4MjQwMCZpZ3VpZD0wNjM4MWI4YS1iODM5LTYwY2ItMjQxNi0wODQ3YjkxMDYxOTEmaW5zaWQ9NTcyMQ&ptn=3&ver=2&hsh=3&fclid=06381b8a-b839-60cb-2416-0847b9106191&psq=profit+velocity+definition&u=a1aHR0cHM6Ly93d3cuYWNjb3VudGluZ3Rvb2xzLmNvbS9hcnRpY2xlcy9wcm9maXQtdmVsb2NpdHktYW5hbHlzaXM&ntb=1).  RONA - Return on Net Assets, Return on net assets (RONA) is a measure of financial performance calculated as net profit divided by the sum of [fixed assets](https://www.investopedia.com/terms/f/fixedasset.asp) and net working capital. Net profit is also called [net income](https://www.investopedia.com/terms/n/netincome.asp). | | Demand Management | Demand Shaping |   |   | Profit Velocity     SC | Profit Velocity - [Profit velocity is a concept used to decide which of several alternative products to manufacture. It is defined as the **profit generated per minute of production time for a product**](https://www.bing.com/ck/a?!&&p=0508a35cc911183eJmltdHM9MTcwNzc4MjQwMCZpZ3VpZD0wNjM4MWI4YS1iODM5LTYwY2ItMjQxNi0wODQ3YjkxMDYxOTEmaW5zaWQ9NTcyMA&ptn=3&ver=2&hsh=3&fclid=06381b8a-b839-60cb-2416-0847b9106191&psq=profit+velocity+definition&u=a1aHR0cHM6Ly93d3cuYWNjb3VudGluZ3Rvb2xzLmNvbS9hcnRpY2xlcy9wcm9maXQtdmVsb2NpdHktYW5hbHlzaXM&ntb=1)[**1**](https://www.bing.com/ck/a?!&&p=9f8352a239ec38bdJmltdHM9MTcwNzc4MjQwMCZpZ3VpZD0wNjM4MWI4YS1iODM5LTYwY2ItMjQxNi0wODQ3YjkxMDYxOTEmaW5zaWQ9NTcyMQ&ptn=3&ver=2&hsh=3&fclid=06381b8a-b839-60cb-2416-0847b9106191&psq=profit+velocity+definition&u=a1aHR0cHM6Ly93d3cuYWNjb3VudGluZ3Rvb2xzLmNvbS9hcnRpY2xlcy9wcm9maXQtdmVsb2NpdHktYW5hbHlzaXM&ntb=1).  SC - Supply Chain | | Demand Management | Customer Communication/Collaboration |   |   | VMI | VMI - Vendor Managed Inventory, a method supported by computer software to actively evaluate a supplier’s material at a customer’s site and automatically replenish in an orderly fashion to minimize stock outs. | | Adaptive Manufacturing | Focus |   |   | RONA     Profit Velocity | RONA - Return on Net Assets, Return on net assets (RONA) is a measure of financial performance calculated as net profit divided by the sum of [fixed assets](https://www.investopedia.com/terms/f/fixedasset.asp) and net working capital. Net profit is also called [net income](https://www.investopedia.com/terms/n/netincome.asp). Profit Velocity - [Profit velocity is a concept used to decide which of several alternative products to manufacture. It is defined as the **profit generated per minute of production time for a product**](https://www.bing.com/ck/a?!&&p=0508a35cc911183eJmltdHM9MTcwNzc4MjQwMCZpZ3VpZD0wNjM4MWI4YS1iODM5LTYwY2ItMjQxNi0wODQ3YjkxMDYxOTEmaW5zaWQ9NTcyMA&ptn=3&ver=2&hsh=3&fclid=06381b8a-b839-60cb-2416-0847b9106191&psq=profit+velocity+definition&u=a1aHR0cHM6Ly93d3cuYWNjb3VudGluZ3Rvb2xzLmNvbS9hcnRpY2xlcy9wcm9maXQtdmVsb2NpdHktYW5hbHlzaXM&ntb=1)[**1**](https://www.bing.com/ck/a?!&&p=9f8352a239ec38bdJmltdHM9MTcwNzc4MjQwMCZpZ3VpZD0wNjM4MWI4YS1iODM5LTYwY2ItMjQxNi0wODQ3YjkxMDYxOTEmaW5zaWQ9NTcyMQ&ptn=3&ver=2&hsh=3&fclid=06381b8a-b839-60cb-2416-0847b9106191&psq=profit+velocity+definition&u=a1aHR0cHM6Ly93d3cuYWNjb3VudGluZ3Rvb2xzLmNvbS9hcnRpY2xlcy9wcm9maXQtdmVsb2NpdHktYW5hbHlzaXM&ntb=1).  | | Adaptive Manufacturing | Exception Management |   |   | CTP | CTP - Capable to Promise, ATP method, plus it looks at what is planned to be delivered from production, by quantity, by date, to further provide a customer delivery date | | Adaptive Manufacturing | Manufacturing Strategy |   |   | Profit Velocity | Profit Velocity - [Profit velocity is a concept used to decide which of several alternative products to manufacture. It is defined as the **profit generated per minute of production time for a product**](https://www.bing.com/ck/a?!&&p=0508a35cc911183eJmltdHM9MTcwNzc4MjQwMCZpZ3VpZD0wNjM4MWI4YS1iODM5LTYwY2ItMjQxNi0wODQ3YjkxMDYxOTEmaW5zaWQ9NTcyMA&ptn=3&ver=2&hsh=3&fclid=06381b8a-b839-60cb-2416-0847b9106191&psq=profit+velocity+definition&u=a1aHR0cHM6Ly93d3cuYWNjb3VudGluZ3Rvb2xzLmNvbS9hcnRpY2xlcy9wcm9maXQtdmVsb2NpdHktYW5hbHlzaXM&ntb=1)[**1**](https://www.bing.com/ck/a?!&&p=9f8352a239ec38bdJmltdHM9MTcwNzc4MjQwMCZpZ3VpZD0wNjM4MWI4YS1iODM5LTYwY2ItMjQxNi0wODQ3YjkxMDYxOTEmaW5zaWQ9NTcyMQ&ptn=3&ver=2&hsh=3&fclid=06381b8a-b839-60cb-2416-0847b9106191&psq=profit+velocity+definition&u=a1aHR0cHM6Ly93d3cuYWNjb3VudGluZ3Rvb2xzLmNvbS9hcnRpY2xlcy9wcm9maXQtdmVsb2NpdHktYW5hbHlzaXM&ntb=1).  | | Adaptive Manufacturing | Production Planning/Scheduling |   | MRP |       ERP     APS     MES | MRP - Material Requirements Planning, a method supported by computer software that calculates raw material requirements, just below the finished product, based on what you plan to produce ERP - Enterprise Resource Planning, a method and solution that ties all departments’ information in one repository and captures and manages every business transaction APS - Advanced Planning Systems, methodology supported by computer software to review orders, inventory, what’s in production and what’s coming from suppliers to calculate what to product in the future MES - Manufacturing Execution Systems, computer systems that capture data from the plant floor machines such as heat, temperature, speeds, etc | | Supply | Commodity/cost management |   |   | SRM | SRM - Supplier Resource Management is a business initiative that many companies undertake to build mutually beneficial relationships with suppliers. Well-designed SRM programs help companies to increase collaboration by identifying the right suppliers with whom to partner. Top business drivers for implementing SRM include cost optimization, risk mitigation, top-line growth from supplier innovation, operational process improvements and preferential treatment from suppliers as a customer of choice | | Supply | Supplier Integration |   | EDI |   | EDI - Electronic Data Interchange, method to send purchase orders, shipments electronically under standard formats | | Supply | Warehouse Replenishment |   | DC |   DRP | DC - Distribution Centres DRP - Distribution Requirements Planning, a systematic approach, much like MRP, that identifies stock levels at DC’s, and then replenishes those stock levels, automatically, with orders back to the manufacturer. | | Risk Mitigation Planning | Risk Mitigation Investment |   | ROI |   | ROI - Return on Investment – usually stated within years or months | | Risk Mitigation Planning | Integration of Tactical RMP with S&OP | S&OP | S&OP | S&OP | Sales & Operations Planning, a process/forum to balance demand/supply for the company | | Risk Mitigation Planning | Integration of RMP with Strategic Planning |   | SBU | SBU | SBU - Strategic Business Unit, normally a division of a larger enterprise | | Risk Mitigation Planning | Engagement of key stakeholders | RMP |   |   | RMP - Risk Management Planning | | Risk Mitigation Planning | RMP cycles of improvement |   |   | RMP | RMP - Risk Management Planning | --- [linkedin-in icon](https://www.linkedin.com/company/the-supply-chain-risk-management-consortium/?viewAsMember=true) [Twitter icon](https://twitter.com/SCRMConsortium) [Follow us on Facebook](https://www.youtube.com/channel/UCgT7mceXBvdVC2gMIMU4SOg) - [Home](https://www.thescrmconsortium.com) - [About SCRM](https://www.thescrmconsortium.com/about-us) - [SCR&R 90-Day Action Plan](https://www.thescrmconsortium.com/actionplan) - [SCM Readiness Assessment](https://www.thescrmconsortium.com/readiness) - [Events](https://www.thescrmconsortium.com/events) - [Education](https://www.thescrmconsortium.com/education) - [Partners](https://www.thescrmconsortium.com/partners) - [SCR&R Glossary of Terms](https://www.thescrmconsortium.com/scrr-terms) - [Resources](https://www.thescrmconsortium.com/resources) - [Contact Us](https://www.thescrmconsortium.com/contact) [![](https://www.thescrmconsortium.com/hs-fs/hubfs/scrm_redrawn%5B43%5D-2.png?width=158&height=50&name=scrm_redrawn%5B43%5D-2.png)](https://thescrmconsortium.com?hsLang=en)