managing quality integrating the supply chain - 4th edition - csus

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall. 9- 1

Chapter 9

Managing Supplier Quality in the Supply Chain


Strategic Quality PlanningDesigning Quality Service Chapter 9

The value chain Supplier partneringApplying the contingency perspective to supplier partneringA supplier development programAcceptance sampling and statistical sampling techniques


Strategic Quality PlanningDesigning Quality Service The Value Chain

The value chain consists of a network of value chainsValue chain activities … are the tasks that add value for the customersNon-Value chain activities typically have costs but no effect on customers



The chain of customers

If you work at workstation 4 in a process … you will make sure that the work you do is impeccable before you release it to … workstation 5



Managing the supply chain

… The linkage between a series of suppliers and customers.


Strategic Quality PlanningDesigning Quality Service Supplier Partnering

There is a trend towards developing closer relationships with fewer suppliersInspired by JIT supplier-partner relationships have emergedSingle sourcing



Dual sourcingSupplier evaluationSole-source filters

BaldridgeISO 9000:2008



Electronic Data Interchange (EDI)Vendor Managed Inventory (VMI)



Supplier Development1. Identify critical products and services2. Identify critical suppliers3. Meet with supplier top-management4. Form cross-function teams5. Identify key projects6. Define details of agreement7. Monitor status and modify strategies



Supplier Relationship Management Systems (SRMS)

Much like CRMS Spend analytics Sourcing execution Procurement execution Payment Supplier score-carding Performance monitoring


Strategic Quality PlanningDesigning Quality Service Applying the Contingency Perspective to Supplier Partnering

One variable which affects what customers want from their suppliers is … position in the supply chain

Suppliers are only marginally more interested in relationships than customers


Strategic Quality PlanningDesigning Quality Service A Supplier Development Program: ISO/TS 16949

The ISO/TS 16949 standard applies only to automotive companies

Developed by the International Automotive Task Force (IAFT). Members include:

FordGMDaimler Chrysler


Strategic Quality PlanningDesigning Quality Service A Supplier Development Program: ISO/TS 16949

ISO/TS 16949 Includes: Quality management systemManagement responsibilityResource managementProduct realizationMeasurement, analysis and improvement


Strategic Quality PlanningDesigning Quality Service Acceptance Sampling and Statistical Sampling Techniques

Acceptance sampling is controversial.



Acceptance sampling might be needed when:Dealing with unproven suppliersDuring start-ups and when building new productsWhen products can be damaged during shipmentWhen problems with a certain supplier have been noticed



Operating characteristic (OC) Curves

Assessment of the probabilities of acceptance given the existing quality of the shipmentIdentifies the consumers risk



More complex sampling plans:Double standard plansMultiple sampling plansAcceptance sampling in continuous production


Strategic Quality PlanningDesigning Quality Service Summary

If you purchase components or supplies from another firm, to insure high quality, you need a process for making sure that that you can believe in the products and services you are receiving.

9- 19Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall.

All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying,

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managing quality integrating the supply chain - 4th edition - csus

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