Supplier quality development: A review of literature and industry practices

Noshad, Khosrow; Awasthi, Anjali

doi:10.1080/00207543.2014.954679

Cited by 43 publications

(29 citation statements)

References 113 publications

(43 reference statements)

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“…According to this definition, manufacturing companies typically initiate, design, and administrate supplier development activities. Noshad and Awasthi presented a review of supplier development in academic literature and practice [28]. In this study, they highlight that, in 2013, almost 70% of manufacturers across the automotive, aerospace, and electronics industry applied supplier development.…”

Section: Supplier Developmentmentioning

confidence: 95%

“…erefore, it provides a valuable tool to establish strategic and competitive advantages for the entire supply chain [30]. e literature presents four main classes of supplier development strategies: supplier relationship management, supplier reward programs, training, and implementation support, and finally, the commitment of resources (e.g., [28]). As can be seen from this list, supplier development always requires investments from the manufacturer into its supplier and often involves the transfer of expertise between both partners.…”

Section: Supplier Developmentmentioning

confidence: 99%

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Optimization of Supplier Development under Market Dynamics

Dastyar

Rippel

Freitag

2020

Mathematical Problems in Engineering

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Over the last decades, supplier development has become an increasingly important concept to remain competitive in today’s markets. Therefore, manufacturers invest resources in their suppliers to increase their abilities and, ultimately, to reduce their product prices. Thereby, most approaches found in the literature focus on long-term supplier development programs. Nevertheless, today’s volatile and dynamic markets require flexible approaches to deal with this complexity. We apply Model Predictive Control to optimize the number of supplier development projects in order to achieve flexibility while maintaining a certain level of security for all parties. Thereby, the article focusses on a multimanufacturer scenario, where two manufacturers aim to develop the same supplier. These manufacturers can establish different levels of horizontal collaboration. While previous results already show the benefits of applying this approach to a static scenario, this article extends this formulation by introducing market dynamics in the numerical simulations as well as into the optimization approach. Thus, the article proposes to derive regression models using real-world data. The article evaluates the effects of real-world market dynamics on two use cases: an automotive use case and a use case from the mobile phone sector. The results show that assuming market dynamics during the optimization leads to increased or at least close-to-equal revenues across the involved partners. The average increase ranges from approximately 1% to 5% depending on the type and magnitude of the dynamics. Thereby, the results differ depending on the selected collaboration scheme. While a full-cooperative collaboration scheme benefits the least from regarding dynamics in the optimization, it results in the highest overall revenue across all partners.

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Section: Supplier Developmentmentioning

confidence: 95%

Section: Supplier Developmentmentioning

confidence: 99%

Optimization of Supplier Development under Market Dynamics

Dastyar

Rippel

Freitag

2020

Mathematical Problems in Engineering

View full text Add to dashboard Cite

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“…When the firms' supplier base is not competitive or capable of meeting expectations or requirement, firms have different alternatives, including supplier switching, if there are capable suppliers and switching costs are not excessive; vertical integration, which may be in contradiction with the firm's intention to focus on their core competences; and supplier development (Wagner, 2006). Supply quality development (SQD) is an initial step in the supplier programmes (Noshad and Awasthi, 2015). Also historically it has been the case: after the first article, by (Leenders, 1966), a "first wave" of supplier development research was initiated in the late 80's by researchers on the quality management field (Wagner, 2006).…”

Section: Supplier Quality Developmentmentioning

confidence: 99%

“…Also historically it has been the case: after the first article, by (Leenders, 1966), a "first wave" of supplier development research was initiated in the late 80's by researchers on the quality management field (Wagner, 2006). Basically, supply quality development involves two main processes: quality measurement, assessing the current situation and spotting opportunities of improvement; and quality development, implementing the activities leading to a better quality performance (Noshad and Awasthi, 2015). Due to its lack of immediate return and the risk that the relationship with the supplier be unsuccessful, many companies are reluctant to invest in supplier development (Talluri, Narasimhan and Chung, 2010).…”

Section: Supplier Quality Developmentmentioning

confidence: 99%

Socially Responsible Supplier Development. Practices of Automotive Industry

Hąbek

Villahoz

2020

Multidisciplinary Aspects of Production Engineering

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A socially responsible company should take responsibility for its impact but also take care of the impact throughout its supply chain. Its perspective must be wider than only its own practices. Supplier development process can be used to spread socially and environmentally responsible practices across the supply chain. The aim of the paper is to identify and classify the socially responsible activities practised by the car producers and dedicated to their suppliers. In the paper sustainability reports of seven automakers were analysed. The authors used the technique of content analysis. The socially responsible practices dedicated to suppliers was classified into three dimensions and four categories. All of the automakers disclose information in their sustainability reports on socially responsible practices focused on their suppliers. However, the practices differ in terms of dimension and the area of CSR applied.

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“…Supplier quality management initiatives with a process focused approach have for long been applied, meaning that the internal quality standards have been extended to the supplier network (Morgan and Dewhurst, 2007). Measurement of supplier quality can be carried out using various tools and techniques, such as scorecards, audits, certifications, site inspection, statistical process control, and costs of poor quality (Noshad and Awasthi, 2015). There have also been studies identifying Balanced Scorecard (BSC) as a potential basis for supplier performance measurement (e.g.…”

Section: Performance Measurement Supporting Psmmentioning

confidence: 99%

Comparison of performance measurement in different purchasing and supply management practices

Jääskeläinen

2018

IJPPM

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Purpose-This study compares the characteristics of performance measurement in cross-functional and supplier-oriented purchasing and supply management (PSM) practices. It clarifies the purposes and content of performance measurement in three PSM practices. Design/methodology/approach-A multiple case study approach is utilized in this study. Each of the cases is related to a contemporary performance measurement development project during the period 2015-2016. Interviews are conducted to obtain a pre-understanding of the research questions at hand. The case studies continue as an action research including measurement development workshops. Findings-Identification of causalities between measurement objects and the measurement value benefits are contemporary issues of performance measurement development in the PSM context. The findings indicate that the measurement of outputs and outcomes instead of inputs and measurement supporting supplier relationship management are increasingly important in the service context. Measurement purpose affects the characteristics of PSM performance measurement. This study identifies that more informal control and non-standard measures are needed in interactive PSM practices such as cross-functional practices. Research implications-The study provides practical examples of performance measurement in service purchasing, classifies the characteristics of performance measurement and highlights the need to extend the scope of measurement in the PSM context. The findings of the case studies reported support practitioners in developing performance measurement that satisfies contemporary managerial needs. Originality/value-Earlier studies are often not explicit with the purpose of performance measurement. This study contributes to the existing literature by linking performance measurement characteristics to the understanding of PSM practices and providing a wider overview of the varying characteristics of performance measurement supporting strategic purchasing of services.

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Supplier quality development: A review of literature and industry practices

Cited by 43 publications

References 113 publications

Optimization of Supplier Development under Market Dynamics

Optimization of Supplier Development under Market Dynamics

Socially Responsible Supplier Development. Practices of Automotive Industry

Comparison of performance measurement in different purchasing and supply management practices

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