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Supply Chains: Three Levels of Oversight

Managing the weak links for a successful quality system

Calin Moldovean
Wed, 11/12/2014 - 16:59
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T

he modern supply chain is becoming more complex, and many different levels of skill and oversight are found among suppliers and purchasing companies. Some suppliers do an excellent job of implementing lessons learned and maintaining a high level of quality, production, and safety. Other suppliers must be guided through all levels of quality, design, production, and safety.

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No matter the maturity level of suppliers, most have to be constantly monitored to ensure they haven’t drifted from good practices that are likely to have direct effects on their performance as well as product quality and safety. These factors, along with risk management, compliance, and increased regulations, are driving the need for better supply-chain information management and transparency.

Quality management of a supply chain must consider three discrete levels of oversight: basic, moderate, and thorough. This article explores better ways to support global organizations to minimize risks and knowledge gaps in supplier performance visibility. The phrase “customer” used throughout this article represents the stakeholder receiving products or services from suppliers.

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