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Process Input Material - Part purchase from supplier


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 this 7 essential areas in supplier quality management can be found in this website :-

http://www.7esupplierquality.com/




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 .

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