Supplier Selection Flashcards
What is a supplier?
A supplier is a person or organization that receives a request and provides an input to a process. Examples of inputs include components, materials, products, and services.
What are the two types of suppliers?
Internal and external.
What separates internal and external suppliers?
Organizational boundaries.
How can suppliers impact an organization?
Suppliers can have a direct impact on the processes used to build a product or service as well as on the product or service itself.
What should organizations do when selecting suppliers?
Organizations should always select suppliers that meet rigorous, documented selection criteria.
What are some typical criteria for supplier selection?
•Typical criteria include total cost
•Previous experience
•Capability to meet requirements
•Quality management system
•Culture of continual improvement
•Progress capability
•Financial stability
What are some methods to evaluate potential suppliers?
• Requesting a formal quote
• Onsite pre-award visit
• Sending a supplier quality assurance survey to complete
• Supplier financial statements
• Their quality manual and certification
• Discuss the supplier with other organizations that use them
What happens once a supplier is approved?
They may be placed into an initial performance rating level like Approved for Use, Preferred for Use, or Certified for Use.
What is the first step after establishing supplier selection criteria?
Evaluate how well each potential supplier meets those criteria.
What are some common methods to evaluate suppliers?
There are many different methods, but the text does not specify them.
