supplier management webinar 2016
TRANSCRIPT
SUPPLIER M
ANAGEMENT
O P T I MI S I N G S U S T A I N A B L E S U P P L I E R M
A N A G E ME N T
Robert OakleyCommercial Director
Mike BendallServices Director
OBJECTIVES
1. Pro-Actively Manage Your Suppliers
2. Drive Continuous Quality Improvements
3. Improve Supplier Performance Visibility
4. Eliminate Recurring Supplier Issues
5. Additional Information and Resources
AGENDA
1. Supplier Quality Assurance 5 Minutes• A Definition• Why Supplier Quality is Critical To Your Business.
2. ISO 9001:2015 and Beyond 15 Minutes• The New Requirements of ISO 9001: 2015• Record Keeping – Compliance and a Basis for Effective Management
3. Best Practices: 25 Minutes• Supplier Assessment.• Addressing Supplier Issues.• Supplier Performance Management.• Collaboration
4. Questions. 15 Minutes
SUPPLIER QUALIT
Y ASSURANCE
What Does it
Mean to
your Busin
ess ?
SUPPLIER QUALITY ASSURANCE
Juran’s definition of the processes…
1. Definition of the product’s quality requirements.
2. Evaluation of alternative suppliers.
3. Selection of the most appropriate supplier.
4. Conduction of joint quality planning.
5. Co-operation during relationship period.
6. Validation of conformance to requirements.
7. Certification of qualified suppliers.
8. Conduction of quality improvement plans.
9. Creation and use of supplier ratings.
Joseph M Juran: 1904 - 2008
WHY IS SUPPLIER QUALITY CRITICAL?
• Increasing global competition
• Global purchasing
• Longer supply chains
• Lean inventory and ‘just-in-time’ supply
• Performance
• Regulatory and standards compliance
• Buyer access to and demand for information
ISO 9001:2015
The implica
tions for y
our Processe
s.
ISO 9001: 20158.4 Control of externally provided processes, products and services
8.4.1 General
• Processes, Products and Services that conform to requirements.
• Products and Services incorporated into own Products and Services.
• Products and Services provided by external providers on our behalf.
• Processes or part-processes provided by external providers as a result of our decision.
• Determine and apply criteria:• Evaluation• Selection• Monitoring• Re-evaluation
ISO 9001:20158.4 Control of externally provided processes, products and
services
• 8.4.2 Type and extent of Control
• Controls to ensure no adverse impact to our products and services• Controlled by QMS • Controls for external provider and the output• Consider regulatory compliance and external provider controls
effectiveness
• Verification activities
ISO 9001:20158.4 Control of externally provided processes, products and
services
• 8.4.3 Information for External Providers
• Adequacy requirements prior to communication
• Processes, products or service requirements
• Approval of products/services, methods/processes/equipment, release
• Competence
• Interaction
• Control and monitoring of performance
• Verification or validation at external provider’s premises
SURVEY RESULTS
Pre-Webinar S
urvey of Particip
ants
SURVEY RESULTS – YOUR PROCESSES
Based on feedback from 93 participants: Supplier Management Pre-Webinar Survey 2016
Do you have a defined process for supplier evaluation?
Do you follow a defined process for supplier selection?
Do you follow a defined process for supplier monitoring?
Do you follow a defined process for supplier re-evaluation?
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Yes No
TOOLS TO MANAGE SUPPLIERS?
Issues:
• Speed
• Analysis
• Decisions
Based on feedback from 93 participants: Supplier Management Pre-Webinar Survey 2016
HOW DO SENIOR MANAGEMENT VIEW SUPPLIER PERFORMANCE REPORTS?
No Reports are Produced Writes Reports for regular meetings Monthly Spreadsheet ReportingReal Time Reporting
Issues:
• Performance Analysis?
• Risk Analysis?
• Cost of Poor Quality?
• ISO 9001:2015 compliance
Based on feedback from 93 participants: Supplier Management Pre-Webinar Survey 2016
HOW EFFECTIVE IS YOUR MANAGEMENT OF…
Supplier R
ecords
New Supplier A
ssessm
ent
Supplier A
pproval
Supplier M
onitorin
g
Supplier R
eassessm
ent
Supplier In
cidents
/ Erro
rs0
10
20
30
40
50
60
70
80
90
100
Highly Effective Effective Average Ineffective Completely Ineffective
Is average good enough?
47% highly effective or effective at dealing with errors but…
35% ineffective or completely ineffective at supplier reassessment
Based on feedback from 93 participants: Supplier Management Pre-Webinar Survey 2016
REACTIVE, COSTLY AND SILOED
“There are several different managers who use different systems to purchase supplies and often do not follow procedure as they need to act fast in response to an urgent request.” Energy and utilities company with 20-100 employees
“Consistency across all suppliers.” Technology company with 10-19 employees
Your main challenges:
“Strictly supplier and customer relationships, no true and open partnerships.” - Manufacturer with 100-499 employees
“Supplier’s don’t have adequate competency to achieve what they have previously promised, resulting in a number of issues for us.” – Professional services company with 10-20 employees
“Ensuring supplier’s have an understanding of Quality and OTD requirements.” – Small manufacturing company
“Establishing metrics for monitoring.” Professional services company with over 1,000 employees
“Escalate issues before they become major problems.” – Professional services company with 100-499 employees
“Forced to use a client approved vendor list.” – Professional Services Company with 5,000 to 9,999 employees
“Keeping records.”- Manufacturer with over 1,000 employees
POLL 1
Do you believe your existing Supplier Management processes satisfy the requirements of ISO 9001: 2015?
POLL 2
Do you believe your existing Supplier Management processes satisfy the requirements of your business?
RECORD KEEPING
For E
ffective Supplie
r Management a
nd Compliance
PRO-ACTIVE SUPPLIER MANAGEMENTRecord Keeping
• Contract
• Specifications
• Warranties
• Evaluation Criteria
• Assessment Record
• Re-evaluation Criteria
• Regular Audit Records
• Expenditure
• Cost of Poor Quality
• Realtime Dashboard and Reporting
• Record retention
RECORD KEEPING
PRO-ACTIVE SUPPLIER MANAGEMENTSupplier Assessment
• Planning
• Design• Customer Input, Design Goals, Standards, Quality Goals, Feasibility, Pricing• Drawings, Specifications, BOM, Process Flowcharts, Control Plans, Work
Instructions• Design Verification, Management Review
• Risk Analysis• Design• Process
PRO-ACTIVE SUPPLIER MANAGEMENTSupplier Assessment
• Supplier Evaluation• Financial Viability• Capability / Capacity• EHS• Social Responsibility• Process Control• Sub Contractor Control• Change Control
PRO-ACTIVE SUPPLIER MANAGEMENTSupplier Assessment
• Supplier Selection• ITT (Including Specifications and Standards) and Supplier Response• Contract Agreement• Volumes & Pricing• Delivery (JIT)• Change Control• Production Part approval• Traceability• Competency• Supplier In Process Monitoring, Self Audit• Non Conformance Management• Monitoring, Score Card, Cost Recovery, Bonus• Low Performance / Termination Process
PRO-ACTIVE SUPPLIER MANAGEMENTSupplier Monitoring• Accounting Aware• Warranty, Recall and Complaints• Scrap and Rework• Inspection Failures
• Hidden• Additional Quality Administration, Inspection, Invoicing• Additional stock/inventory• Delays and Overload• Lost Sales• Additional Transport and Logistics
PRO-ACTIVE SUPPLIER MANAGEMENTClosed Loop processing• Monitoring Processes• Complaints, Warranty, Recall• Inspections• Non-conformances, Deviations, OOS• Operational Delays and Additional Costs
• Review and Improvement• Real Time Reporting• Regular Management Review• Supplier Response• Joint Improvement Projects• Supplier Re-Assessment, Re-Audit
COLLABORATION
Supplier InformationCompany Name Qualsys LtdAddress Line 1 Aizlewood’s MillAddress Line 2 Nursery StreetCity SheffieldPost Code S3 8GGCountry UKCompany Registration Number 3022323
Date of Incorporation March 1995VAT Registration Number 646512047 D-U-N-S® number: 77-774-7601VAT Certificate Qualsys VAT CertificatePublic Liability Insurance CertificateProfessional Indemnity Insurance Certificate
ISO 9001
Qualsys ISO 9001 Certificate
ISOQAR Audit Report – Qualsys Ltd 2016
ISO 27001 Cloud Hosting Option (if applicable) Node 4 Datacentre, Derby, UK
Node 4 Public Information Security PolicyNode 4 Accreditations
Payment Currency £GBP
Key Contact InformationName Michael Ord
Title New Business & Marketing Director
Telephone Number 0114 282 3338
Mobile Number 07720 678 141
Email Address [email protected]
Website http://www.eqms.co.uk
Blog http://quality.eqms.co.uk/blog
Accounts Payable Contact Information
Name Sarah Bentley
Title Office Manager
Telephone Number 0114 282 3338
Email Address [email protected]
Remittance Email Address
Qualsys Ltd, Aizlewood’s Mill, Nursery Street, Sheffield, United Kingdom, S3 8GG
Bank DetailsBank Name: Barclays Bank PLCAddress: South Yorkshire Corporate Banking
CentrePO Box 1385, 2 Arena CourtSheffield, S9 2WU
Account Name: Qualsys LtdAccount Number: 20-76-89 / 60583332Swift Code: BARCGB22IBAN Number: GB68BARC 2076 8960 5833 32
Qualsys Ltd PoliciesQuality Policy Policy
Environmental Policy Policy
Health and Safety Policy Policy
Information Security Policy Policy
Risk Management Policy Policy
Equal Opportunities Policy Policy
Ethical Statement Statement
Standard Terms & ConditionsEQMS Software Licence - Perpetual EQMS Software Licence - PerpetualEQMS Subscription Agreement - Annual EQMS Subscription Agreement - AnnualSupport & Maintenance Agreement Support & Maintenance Agreement
Payment Terms
Software Licences - In advance of installation, on receipt of Qualsys’ invoice Support and Maintenance Services - Annually in advance, on receipt of Qualsys’
invoice Subscription and Hosting Services - Monthly in advance, on receipt of Qualsys’
invoice Software Development Services - 50% in advance, 50% on delivery All other services - 14 days from receipt of Qualsys’ invoice (professional services
will be invoiced weekly, all services must be called off within 12 months of the date of order.)
IT – Technical RequirementsServer & Technical Requirements Customer Site Survey FormBuying Tools – including Datasheets, Buy vs Build etc. EQMS Buying Toolkit
Signed for and on behalf of Qualsys Ltd
Signature
Print Name Michael Ord
Date 15/02/16 Position New Business & Marketing Director
SUMMARY• Suppliers are an extension of your
business.• Senior management must understand
supplier risk. • Reassessment is just as important as
supplier on-boarding.• Transparency, visibility and
traceability are essential.
Quality
Culture
Enablers
Supporting Systems
•Tr
ust
•Co
mm
unica
tion
•Pa
rticip
ation
Hierarchy for a Robust and Intuitive Supplier Management System
QMS Processes Technology Tools
CompetencyCommitment
Understanding
Values
QUESTIONS?
FURTHER INFORMATION
• EQMS Datasheets for • Supplier Manager• Audit & Inspection Manager• Issue Manager• Document Manager• Risk Manager
• Qualsys Supplier Information Form• Survey Results Analysis.• Replay Webinar.• Supplier Buying Form• Library of Articles on Supplier Performance Management.
FURTHER HELP & SUPPORTQualsys Limited
Aizlewoods Mill,
Nursery Street,
Sheffield,
S3 8GG
+44 (0)114 282 3338
+44 (0)7919 005538
+44 (0)7770 866268