Supplier Selection & Management: What You Need To Know

18 Mar 2016 | Supplier Management Supplier Selection & Management: What You Need To Know Contact Us Our latest quarterly newsletter Feature Article discussed strategic supplier selection. Due to the response we’ve had, we wanted to follow-up on our blog. We were surprised to discover many of our newsletter subscribers didn’t know a variety of options existed for gaining additional assurances when going through the supplier selection process. Determining which option you leverage involves the level of risk you’re willing to take in the process. What are the options? Legal Verification The most basic information that you will want to have verified by an external source includes legal verification. Is the supplier legally able to partner and produce products for you? It becomes less clear how to do that when you’re looking at potential suppliers abroad. Using a 3rd party with local access is often preferred due to the cost and time required to execute internally. Credit Standing Another indicator of performance is generally an organization’s credit rating. Supplier Verification Does the supplier exist, and are they observably consistent with the information they provided. For example: How many employees work there? How many years have they been in business? Who are their top three customers and what percent of sales do they make up? Do they have any certifications? What does the factory look like? What equipment is available on-site? How many production lines are there? Do they subcontract anything to other suppliers? What is their product capacity? Supplier Audit This on-site evaluation is performed by a quality professional that specializes in evaluating quality management systems. The idea is to gain assurances on a number of applicable topics through objective evidence. In general, the auditor looks at the following and provides a comparative analysis of conformances and non-conformances: Management Engineering QC & Assurance Incoming Receiving Inspection Manufacturing Packaging Non-Conforming Materials Corrective Action Inspection & Test Equipment Specialized Audits Depending on your industry or other factors, specialized audits may be required. For example, many stakeholders now demand organizations support their social responsibility claims with on-site audits. SA8000 or social-based audits specialize in topics related specifically to the workforce and human rights issues. Other examples include: Automotive ISO/TS 16949 Medical Devices ISO 13485 Environmental ISO 14001 GMP Combination Audits It’s often possible to create a combination audit to address certain components of multiple areas. For example, due to cost considerations, a company may prefer to combine the social accountability components with a more general QMS review. Contact us for more information! Share with us how you select suppliers… Tags: factorymanufacturingoutsourcingqcqualitysupplier You May Also Like What Happens After a Failed Pre-Shipment Inspection? Pro QC Holds Special Seminar on Welding Inspection Standards in China to Strengthen Technical Expertise Pre-Shipment Inspection for Textile Workwear in Honduras Click Below to Improve Product Quality with Pro QC Contact us Get a Quote or Book a Service We will be happy to give you more information about our quality solutions. Please fill in this form to contact us. We will respond as soon as possible. If you would like to submit your CV, please click here. Contact Us by Email Contact Us by Phone North America +1 206 397 1145 Mexico +52 55 9990 7885 Colombia +57 601 9190355 United Kingdom +44 330 094 5589 France +33 9 7303 6784 Germany +49 15630 810151 Australia +61 2 8252 7691 India & South Asia +91 227 189 7407 Asia & Asia Pacific +886 2 2832 2990 We use cookies to improve your experience. By continuing to browse, you agree to their use. Customize settings Accept all Decline all Privacy policy Cookie policy × Cookie settings Please select the categories of cookies you would like to allow. Essential cookies are always enabled.