Supplier Quality Management

Supplier Quality Management, Some people describe quality as I know it when I see it. But when it comes to delivering quality products and services to

What is quality? Some people describe quality as I know it when I see it. But when it comes to delivering quality products and services to your customer, I think you'll agree that you should be more specific than that. You should recognize and be able to measure quality in your suppliers. The most important thing to remember is that supplier quality should focus on the customer. Now, to the supplier, you are the customer, but you need your suppliers to look beyond that. You need them to also look to your customer.

A really good supplier is one that meets the end customer's expectations in areas that are often referred to as critical to quality. Why should you be concerned about supplier quality? Here's some things to consider. For U.S. manufacturing companies today, more than half of the cost of goods sold comes from suppliers. For some companies, it can be close to 100%. For example, computer companies and car companies really don't make anything. They buy parts, components and sub-assemblies from their suppliers and assemble them into a final product. They're actually assembly companies. And, of course, some companies hire a supplier to make the entire product for them.

This means that quite often, a defective product is actually caused by a quality problem with a key supplier. For example, the automobile industry has had some pretty serious quality problems recently, and all have been attributed to a faulty component from a supplier. To ensure high quality levels are maintained, you want each of your suppliers to be continuously improving just as you are a continuous improvement company. This is a very important aspect of total quality management, or TQM. An effective TQM program demands that every employee practice quality behavior in every aspect of their daily work. It is actually more of a quality culture than a quality program.

TQM strives for zero defects by making each individual responsible for quality in everything that they do. They are no inspections to find defects because the focus is on preventing defects. That's where you, as the buyer, come in. It's your responsibility to drive your suppliers in the right direction for quality performance, a direction that supports your company's efforts to satisfy your customer. Here are some things that you can do. You can award contracts to companies that have achieved high quality levels and earned certifications. During your visit to suppliers, look for high quality processes. You should also consider that part of your responsibility as a buyer is to be a good customer.

Don't request unnecessary design changes once the supplier has begun production. Write clear and detailed specifications. Give your supplier reasonable delivery dates, and don't change those dates at the last minute, creating a rush order situation. These incidents increase your supplier's cost, and create opportunities for defects in workmanship. Finally, be a good partner. When problems are discovered, collaborate with your partner to find a solution. Accept supplier issues as problems to be solved together. For smaller suppliers, this can be very important because they may not have the resources to determine the cause and to solve the problem quickly.

Always remember that your company's goal is to deliver quality products and services that meet or exceed your customer's expectations. As a buyer for your company, you want to work closely with your suppliers to make sure that happens. Today more than ever, you depend on supplier quality to give you an advantage over the competition.