SCM416 Discussion Questions
SCM-416_Procurement and Supply Chain Integration
Discussion Questions
Session #15-Supplier Management - Supplier Total Quality Management
1. According to Monczka, what is the correlation between the amount of materials and components that a company outsources, and the relative impact that supplier quality has on the overall quality of that company’s final product?
According to Philip Crosby the external suppliers are estimated to be responsible for about half of a firm’s product-related quality problems. The more a firm purchases from external suppliers and only focuses on its own internal quality issues, the greater the chance the firm will fail to take appropriate action on the true underlying causes of many poor quality related problems. If a supplier is providing poor quality goods this reflects in the total quality of the firms finished goods and can undermine the firm’s efforts for total quality improvement.
According to Monczka, it all boils down to; the higher the level of outsourcing, the greater total impact (positive or negative) that those suppliers will have on the overall quality of the final product.
2. According to Monczka, how does Early Supplier Design Involvement (ESDI) affect quality and product design?
According to Monczka, allowing a supplier to apply its experience and expertise in a buyer’s new product development process often leads to better quality and product design because of the knowledge and experience applied by the supplier during the early development of the customer’s requirements, well before final specifications and ultimate cost structure are locked in. The supplier can provide suggestions about how to simplify a product or process, anticipate and begin preproduction work, and collaborate with the buyer’s design engineers to establish reasonable tolerances that more closely match the supplier’s capabilities while meeting customer requirements and improving product quality and
Discussion Questions
Session #15-Supplier Management - Supplier Total Quality Management
1. According to Monczka, what is the correlation between the amount of materials and components that a company outsources, and the relative impact that supplier quality has on the overall quality of that company’s final product?
According to Philip Crosby the external suppliers are estimated to be responsible for about half of a firm’s product-related quality problems. The more a firm purchases from external suppliers and only focuses on its own internal quality issues, the greater the chance the firm will fail to take appropriate action on the true underlying causes of many poor quality related problems. If a supplier is providing poor quality goods this reflects in the total quality of the firms finished goods and can undermine the firm’s efforts for total quality improvement.
According to Monczka, it all boils down to; the higher the level of outsourcing, the greater total impact (positive or negative) that those suppliers will have on the overall quality of the final product.
2. According to Monczka, how does Early Supplier Design Involvement (ESDI) affect quality and product design?
According to Monczka, allowing a supplier to apply its experience and expertise in a buyer’s new product development process often leads to better quality and product design because of the knowledge and experience applied by the supplier during the early development of the customer’s requirements, well before final specifications and ultimate cost structure are locked in. The supplier can provide suggestions about how to simplify a product or process, anticipate and begin preproduction work, and collaborate with the buyer’s design engineers to establish reasonable tolerances that more closely match the supplier’s capabilities while meeting customer requirements and improving product quality and