Material are among the most challenging process input to manage where many
companies success are dictated by quality of material they received. The ultimate objective of every company is to
ensure supplier are able to delivery
consistent good quality materials at the best price. Unfortunately many companies are haunted by
poor quality material which had cause them hidden cost which potentially lead
lost of business.
With this in mind, I had design a
systematic approach on how to manage supplier in 7 essential areas. More about 7 essential areas in supplier quality management can be found in this
course :-
https://bit.ly/Udemy7ESQM
We must put equally important emphasis on process input, material that is
purchased from a supplier from another manufacturing entity. This material will be transformed through a
series of process to become a finished good according to customer requirement.
In the modern world, raw material
will be transformed into component, sub assembly, final assembly and end
item to be delivered to consumer. All
transformation will take place in several entity which form a supply
chain. Therefore almost all
manufacturing entity will be heavily rely on supply parts from external
supplier. Incoming parts could dictate a
company production and delivery schedule to customer, final part quality and
overall manufacturing costs.
Most organizations would assume supplier are able to supply consistent
good parts to feed their production line requirement for raw material. In most cases this is a myth and the reality
is there are many organizations are being haunted poor incoming part quality
which causes late delivery to customer and whole the production schedule are
being dictated by incoming material. It
is an organization nightmare to live with supplier decommitment of the delivery
schedule and poor incoming material quality.
As material is from external plane
many companies had either
neglected in putting resources to manage purchased part quality or putting
resources that had very little knowledge to manage supplier quality. All pain points related supplier incoming
material problem can be addressed a systematic approach to manage supplier
quality. Supplier quality management
(SQM) is a crucial activity for any business that relies on suppliers to
provide their goods and services. It involves managing supplier's to deliver
product which fulfill customer's needs on time consistently to the agreed
quality specification .