SC21 (Supply Chains for the 21st Century) is a cornerstone continuous improvement program designed to accelerate the competitiveness of the aerospace and defence sectors. Launched in 2006, it has helped over a thousand companies enhance their performance. SC21 offers a simple, scalable framework for businesses of all sizes, from SMEs to large OEMs, to benchmark their operations using free diagnostic tools like the Baseline Assessment Tool (BAT). By focusing on competitiveness, sustainability, innovation, and digitalisation, SC21 guides companies through a structured improvement journey, culminating in nationally recognised Bronze, Silver, or Gold Performance Standard Awards, boosting efficiency, quality, and delivery for future growth.
The SC21 Program
The SC21 programme, which stands for Supply Chains for the 21st Century, is a continuous improvement initiative launched in 2006 to enhance the performance and accelerate the competitiveness of businesses within the aerospace and defence industries, specifically their supply chains. Over 18 years, it has assisted more than a thousand companies in improving their performance.
Key Aspects of the SC21 Programme:
- Purpose and Design:
- SC21 is a simple improvement program designed to help businesses enhance their performance.
- It is scalable and tailored to individual companies, usable by small or large organisations, including SMEs and large OEMs.
- SC21 serves as the cornerstone of the Supply Chain Solutions (SCS) Framework, which aims to raise the supply chain capability of UK SMEs, thereby boosting growth, quality, and delivery performance.
- The program provides a standard improvement framework that defines performance goals and standardises approaches and tools for continuous, sustainable improvement.
- It is managed by ADS and endorsed by major UK aerospace and defence companies.
- The program is described as a "national strategy executed regionally".
- How it Works (Four Phases):
- Engagement: Companies register for the program, either as a self-starter, customer-sponsored, or regionally led. This phase requires commitment at the CEO or equivalent level within the organisation.
- Assessment: Participants benchmark their current position using a free-to-use online diagnostic tool called the Baseline Assessment Tool (BAT). This tool, designed by industry experts, provides an initial holistic report of performance in areas like competitiveness, operations, quality, sustainability, and innovation, along with recommendations for improvement. It can be used for self-assessment or with qualified SC21 Practitioners. An ESG Assessment Tool is also available.
- Improvement: Based on the assessment, companies deploy an individually focused Continuous Sustainable Improvement Plan (CSIP). This phase utilises a comprehensive library of over 110 improvement modules.
- Recognition: Companies that achieve and maintain agreed performance criteria in delivery, quality, sustainable improvement, and associated improvement frameworks (business, manufacturing, and relationship excellence) receive national recognition in the form of Bronze, Silver, or Gold Performance Standard Awards. These awards are based on verified data, not merely a 'fashion show', requiring substantiation with numbers.
- Evolution and Pillars:
- While competitiveness has been the bedrock of the program since 2006, SC21 has evolved to incorporate the increasing demands of sustainability, ESG (Environmental, Social, and Governance), Innovation, and Digitalisation.
- These four elements—Sustainability/ESG, Innovation, Digitalisation, and Competitiveness—are considered the four pillars of the SCS Framework that ADS is deploying.
- SC21 also aligns with Aero Excellence™ International, a global partnership aimed at standardising continuous improvement across the aerospace, defence, and space sectors.
- Related Programs: SC21 is part of a ladder of improvement programmes including SC21 Lite, SC21 Operational Excellence, and SC21 Competitiveness & Growth, which offer different levels of support and focus for companies at various stages of their improvement journey
Benefits for Adopting SC21
For members of the Farnborough Aerospace Consortium (FAC), which supports the strategic growth of the aerospace and defence sector in the South East of the UK, participating in the SC21 program offers numerous advantages:
- Improved Business Performance & Competitiveness:
- It provides a clear and practical framework for achieving greater efficiency and productivity, leading to increased competitiveness regionally, nationally, and internationally.
- It helps businesses accelerate their competitiveness by raising supply chain performance.
- Participating companies often see dramatic improvements in performance to customers, resulting in more efficient business operations and increased turnover.
- The program optimises customer-supplier relationships for mutual benefit and in the best interests of the UK’s national prosperity.
- Operational and Financial Improvements:
- Members can achieve improved delivery performance (On-Time, In-Full - OTIF), lead time reduction, and better cash flow.
- It leads to reduced inventory, labour, and set-up time reduction, and increased return on capital employed.
- There is a significant reduction in quality costs, including scrap, rework, and re-delivery expenses.
- Other benefits include greater focus on "fit for purpose" equipment, consistent forecasting, accurate planned vs. actual labour cost, and improved floor space utilisation.
- Strategic Growth and Knowledge:
- SC21 offers tailored support to improve competitiveness and provides access to specialist insight and knowledge from industry partners.
- The program helps businesses understand how the industry will change in the future and keeps them aware of sector developments.
- It facilitates cross-company team working, better contract management, and long-term planning between customers and suppliers.
- FAC members can leverage the broader SCS Framework for opportunities to invest in innovation and digitalisation, and guidance on progressing towards their ESG goals. This includes access to various innovation funding schemes like the Aerospace Technology Institute (ATI) program (strategic and SME focused), the now-closed National Aerospace Technology Exploitation Program (NATEP), the Space Technology Exploitation Program (STEP), and the Defence Technology Exploitation Program (DTEP).
- Financial support avenues are also accessible, such as the ADS Finance Forum, Santander Navigator, LG Energy (Energy Bills Discount Scheme), and various British Business Bank initiatives (Future Fund - Breakthrough, Angel Cofund, Enable Program, Enterprise Finance Guarantee, Regional Program, Start Up Loans, National Security Strategic Investment Fund).
- Additionally, business development support like Sharing in Growth and the National Business Support Helpline can be utilised.
- The program also supports the development of a highly skilled future workforce through STEM engagement, a free-to-use Talent Recruitment Portal, Security Vetting Services, Diversity & Inclusion initiatives, and the New Professionals Forum.
- Recognition and Visibility:
- Achieving Bronze, Silver, or Gold Performance Standard Awards provides recognised achievement and brand exposure in relevant markets.
- Direct Support for FAC Members:
- FAC is an established aerospace and defence association that actively promotes SC21 as an industry change program.
- For further information regarding SC21 and funding criteria, members can contact kim.yeomans@fac.org.uk.
