How To Evaluate Gear Reducer Factories, Speed Reducer Suppliers, Gear Box Manufacturers, Distributors?
Supplier evaluation and selection
Supplier audit is a means to improve supplier quality capabilities, stabilize supplier relationships, and reduce procurement risks and costs. With the continuous development of production socialization, the division of business activities of enterprises has become more and more detailed, and the degree of specialization has become stronger and stronger. How to do well in supplier management has always been the focus of the company’s quality management.
1. price
The price here refers to the price level of the supply. The price level of the assessment supplier can be compared with the average price and the lowest price of the same grade products in the market, which are expressed by the market average price ratio and the market lowest price ratio respectively.
Average price ratio = (supplier’s supply price-market average price) / market average price * 100%
Lowest price ratio = (supplier’s supply price-lowest market price) / lowest market price * 100%
2. product quality
Product quality is the most important factor in supplier evaluation. In the initial stage of the company’s development, the internal management system of the supplier’s own product quality is mainly used as a measure of the quality of purchased products. After the company has a stable supplier, the supplier’s product quality evaluation mainly evaluates the supplier’s product quality based on the work records of the on-site construction team. The following is a product quality evaluation form designed according to AB’s situation.
3. Delivery date
Delivery time is also a very important evaluation indicator. The inspection of the delivery date is mainly to inspect the supplier’s delivery conditions, delivery period, compensation for overdue delivery, etc.
4. Service Level
The performance of assessing suppliers in terms of support, cooperation and service is usually qualitative assessment. Related indicators include: communication means, time for feedback information, performance of cooperation attitude, participation in the company’s improvement and development projects, after-sales service, etc. The following is the designed supplier service level scoring table.
5. Creditworthiness
Creditability mainly assesses the degree to which suppliers fulfill their promises, treat others with sincerity, and do not deliberately delay or owe accounts. The credit rating can be described by the following formula:
Credibility = Number of untrustworthy times during the delivery period / Total number of exchanges during the delivery period * 100%
Good cooperation is built on solid trust. Therefore, it is recommended that your company focus on supplier credit, blacklist suppliers who have failed three times, and do not consider cooperation in the future.
6. Degree of cooperation
In the process of getting along with suppliers, often due to changes in the environment or changes in specific conditions, work tasks need to be adjusted and changed. This kind of change may lead to changes in the way suppliers work, and even lead to a little sacrifice. Based on this, the extent to which suppliers actively cooperate in these aspects can be examined. In addition, if there are difficulties or problems in the work, sometimes the cooperation of suppliers is needed to solve them. At these times, the degree of cooperation of suppliers can be seen.
Eight evaluation standards for reducer suppliers
1. Quality
The first is the quality from the most basic product level.
In addition to measuring the unqualified incoming materials, procurement should also care about the following eight elements:
Performance, characteristics, compliance, life, reliability, serviceability, aesthetics, perceived quality
the quality of the production line on site
Without a good process, it is impossible to produce high-quality products.
Process quality is an important guarantee for product quality. The quality of the production line includes: process, data, customers, continuous improvement
use the quality of management to measure
The fourth level of quality inspection of reducer suppliers is TQM (Total Quality Management).
The highest level is the Baldrige Quality Award standard.
Contains 7 elements: leadership, strategy, resources, customers and markets, process management, measurement, analysis and improvement, and business results.
These five levels can implement in-depth and comprehensive evaluation of the quality of the reducer supplier.
2. cost
For cost considerations, there can be the following dimensions:
(1) The total cost of ownership is minimized. In addition to price, the total cost of ownership includes orders, processing, logistics, inspection, inventory, quality costs, and so on.
(2) Minimize the total cost of the life cycle, which includes the value of the product, but also includes the use efficiency, material consumption, power, water and electricity, labor and recycling, etc.
(3) Transparent cost breakdown, sharing cost composition information and price control activities with purchasers.
(4) Plan and implement the cost reduction model, willing to work together with the purchaser to reduce costs.
(5) Continuously review cost reduction activities, systematic guarantee, continuous continuous improvement, continuous cost reduction.
3. Delivery
Delivery time, some companies only measure the on-time delivery rate of reducer suppliers, which is not comprehensive, it includes:
a. Delivery on time;
b. timely delivery;
c. Packaging compliance (labels, documents, packaging, orders, damage, shortages, etc.);
d. Production and effective JIT projects as required;
e. There is a system/personnel early warning that may affect the delivery or quantity of customer orders;
f. Effective disaster emergency plan.
4. Technology
Technical considerations are much more complicated.
First consider whether our company is a technology-based company. If it is not, there is no need to assess the technology of the reducer supplier. Not all companies require a high level of technical capabilities.
Further consider who provides the technology, is it the reducer supplier or our company? Whether the technology we need is advanced. Advanced technology is conducive to the company’s products to occupy more market shares and achieve customer satisfaction. However, the uncertainty of advanced technology will also bring high risks.
5. Responsiveness/flexibility
As a reducer supplier management, procurement needs to clearly understand the company’s strategy and extend the company’s strategy to reducer supplier management.
Responsiveness and flexibility include:
Confirm the order as soon as possible, respond to normal requests as early as possible, submit a problem-solving report as early as possible, respond to emergency requests as soon as possible, support for special parts and raw materials, maintain an appropriate amount of inventory level, notify potential shortages in time, and contingency plans to cope with shortages or quality Problem, single channel communication to deal with all needs, sufficient capacity
6. Financial management and operation
Management and finance include the following elements: financial health, reasonable profit, financial statement review, the use of activity-based costing, the use of zero-based budgeting, the commitment and participation of senior leaders, the stability of the company’s organization and personnel management, production planning, strategic management, etc. Wait
7. Sustainability
Sustainability is also a clause that has been continuously improved in recent years. It contains the following elements: law-abiding, environmental protection, safety, labor protection, charity, anti-discrimination, mental pressure
8. services
The key to providing high-quality services is to exceed user expectations. The quality of service depends on the degree of difference between what the user perceives and the expected service level. The perceived attributes of service quality can be divided into five levels: tangibility, reliability, responsiveness, security, and pleasantness
How to tailor a suitable evaluation system for the company’s reducer supplier evaluation?
In addition to considering the company’s product requirements, the most important thing is that the reducer supplier evaluation indicators formulated by the purchasing department must conform to the company’s overall strategy. This is one of the most important reasons why various companies have different standards and different weights.
The core of the reducer supplier management is the standard for the selection and evaluation of reducer suppliers. The materials purchased by enterprises are very different, and the quality delivery time and cost requirements corresponding to different products are inconsistent. It is obvious that different products supply reducer The evaluation criteria of suppliers should also be different. One standard covers all commodities. This rough management method is contrary to the principle of fine management. The compromise solution is to classify the purchased commodities and to Each type of commodity has its own standard system.
Enterprises should formulate their own standards for the selection and evaluation of reducer suppliers based on the capabilities of their purchasing organizations, the company’s environment and management level, and market competition. It is important for companies to formulate a set of reducer supplier selection evaluation criteria adapted to the corporate strategy according to their own market product strategy, instead of copying a set of system standards from other companies and imposing them on the reducer supplier management One of the important tasks of procurement is to formulate the selection and evaluation criteria of reducer suppliers.
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sales@gear-worm-reducer.com
https://www.gear-worm-reducer.com