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  11. Qualifying suppliers

Qualifying suppliers

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The following describes the process of qualifying (approving) the supplier who is to deliver the goods. The qualification rules are based on the requirements stated in the ISO9002 standard.

ISO9002 standard

The ISO9002-standard states that sub-contractors (suppliers) shall be selected on the basis of their ability to meet contracted requirements, including quality requirements by means of the following:

  • records of acceptable sub-contractors (suppliers) should be established and maintained
  • a mechanism should be in place by which suppliers, who are qualified to provide goods and services, are identified

Qualification

You control the qualification of a supplier on two levels. An overall level where you indicate whether the supplier is approved or not and a specific level where you can use a rating figure as a measurement for quality.

Requirements

You indicate your overall and item specific requirements for suppliers being qualified to supply you with goods, in two places:

Panel To do
on system level on the second DIS control file maintenance panel. Specify the Min overall supp rte (Minimum overall supplier rating) that you require to accept a supplier as being generally approved. See Specify minimum overall supplier rating.
on item level on the second Item file maintenance/Basic data panel.

Supplier’s current status

You indicate the current status and current rating of suppliers in two places:

Panel To do
Business partner file maintenance/ISO9000 Quality assurance information Specify:

  • the overall current status for the supplier in the Approved supplier field (i.e. approved or not approved)
  • the overall current rating for the suppliers’ ability to supply goods in the Overall qual rating % field. See Indicate supplier’s current overall status.
Item file maintenance/Supplier information Specify:

  • the current status for the supplier specifically for this item in the Approved field (i.e. approved or not approved).
  • the current rating for the supplier’s ability to supply goods specifically for this item in the Curr quality rate field. See Indicate supplier’s current status for a specific item.

Ordering of goods

When you work with Purchase orders, BtB sales orders and Supplier agreements the system checks for every entered order line or agreement that the supplier is qualified to be used for purchase against the criteria below in the following order:

  1. The item requires that only approved suppliers are being used for purchase

    2. Note: The following steps are bypassed if an approved supplier is not required.

  2. The supplier must be overall approved
    • the Approved supplier field on the Business partner file maintenance, ISO9000 Quality assurance information panel must be set to YES
  3. The supplier must be specifically approved for the item
    • the Approved field on the Item file maintenance, Supplier information panel must be set to YES
  4. The current rating of the supplier for the item must be higher than the minimum required quality rating for the item
    • the Curr quality rate on the Item file maintenance, Supplier information panel must be higher than Min supp quality rte on the Item file maintenance, Basic data panel

    Note: If Min supp quality rte is left blank the system will not perform any check against the supplier’s quality rating.

Inspection of goods

Your company defines what procedures for inspection and testing you should use to verify incoming goods. Examples are:

  • You may decide not to inspect goods from approved suppliers, or
  • You do not require a quality control check against all purchase orders because a supplier always attains an acceptable standard.

If such is the case, the QC always field on the Item file maintenance, Supplier information panel can be set to NO. This still allows orders to be placed against an approved supplier, but without a quality control check each time goods are received. However, if any subsequent defects are later found then this field can be re-set to YES to allow quality control to be performed.

Note: Quality control of goods does not require any relation to approved/not approved supplier.

Rating of supplier

There are no routines available for automatic calculation of suppliers’ rating. The following is a suggestion of information that could be considered when a manual rating is performed:

  • the number of approved items received vs rejected over a defined period
  • the number of deliveries received on time vs late deliveries
  • the quality and content of documentation provided by the supplier
  • the technical support provided by the supplier
  • the price relative to other suppliers

Enquiries

  • DIS control file enquiry
  • Business partner file enquiry
  • Item file enquiry

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