Curious Cat Management Improvement Blog: Deming, lean thinking, innovation, customer focus, continual improvement, six sigma.
July 10, 2006
Supplier Development Article

Supplier development in a lean age by Rich Weissman

“We need to keep in mind why we are doing supplier development and relationship management, and profit needs to be the focus of our efforts. Profitable suppliers will tend to be happier suppliers, and happier suppliers will ultimately perform better.”

I get the impression from this and many other articles that people are scared to talk about any other aims than profit. Deming didn’t have such a problem. Toyota doesn’t have such a problem. Google doesn’t have such a problem.

Others need to learn that there are multiple aims for organizations not just profits but providing good jobs, serving customers, aiding community… Learn from the leaders - talking as though the only purpose of the organization is to make profit is counterproductive.

Supplier development is one of those areas that really seems to cause problems for those that try to adopt some lead ideas without understanding the system within which those ideas function. Without an deep understanding of long term thinking it is very difficult to truly partner with suppliers.

2 Responses to “Supplier Development Article”

  1. Curious Cat Management Improvement Blog » Toyota’s New Texas Plant Says:

    [...] Previous post on Toyota’s supplier development. The article includes some interesting information on how Toyota has been hiring, they: received more than 110,000 applications for 2,000 openings. … “Not one genius can build a car. It needs to be a group of good-willed people who want to work together to make good things for the customer.” … For one thing, [Toyota] put them on a line for a full day. … Groups of four to six people were brought into a conference room with a toy truck broken down into parts. They were asked to put the truck together. [...]

  2. Dr David J. Newlands Says:

    There is a huge difference between academic articles and what is happening in the real world. There are significant differences between academics as to how purchasing and quality should manage their activities. Most academics do not discuss how to deal with the people issues - getting commitment to start or agreements on objectives.
    There is even more variation in practice. Engineering consultants may provide training in specific tools, SPC and other quality approaches. Organisational development consultants by contrast focus on the people and organisational issues.
    One thing to be aware off, although employees are ‘invited’ to work on the shop floor, they usually are asked if they spot something that could be done better to offer their suggestions. I spent 3 weeks in a scandinavian phone producer’s factory. Two others and myself offered 168 suggestions in the first week. I was asked how long I had worked for the company. 3 weeks I replied. ‘You know nothing about our company’ was the reply. My suggestion to you is that a quality company is not the statistical capability of the processes and low variation. It is, however, their ability to accept suggestions that are made, be courtious and review the suggestion without ‘yes, but’ - ‘I like it but it isn’t possible because…’ I am happy to work with any company, brand owner, supplier, competitor, etc, until I hear ‘yes, but’. If my suggestions aren’t listened to and evaluated logically, because they are offended (feelings), then I find an exit strategy.

Leave a Reply



Curious Cat Management Improvement Blog © curiouscat.com 2005-2008 powered by WordPress

Internal Links

Author

John Hunter

Tags


Full tag could

Other

Search Blog

Web Search

Management Improvement web search

Recent Comments

  • Peg: So true about Ritz-Carlton. The most demanding customers in the world return again and again to Ritz-Carlton and...
  • Rob: I think the sentence, “Insisting on managing by the numbers even when the most important figures are...
  • azra: yeah i think risk factor is always associated with innovation either its breakthrough or incremental,process or...
  • annakat: After reading this site I linked to some of the articles on Demings and found the Demings Companies were,...
  • annakat: Fantastic, my son will run when I tell him this. As I’ve said in my previous comments being 60+ I need...
  • annakat: Ms. Rita sure used her loan of $150.00 to the best advantage by purchasing extra seed and fertilizer. With...
  • Jason Yip: http://www.kiva.org/lender/lis terofsmeg
  • Mark Stevenson: As I’m the person being quoted, I wanted to make sure the article wasn’t taken out of...

Archives

July 2006
M T W T F S S
« Jun   Aug »
 12
3456789
10111213141516
17181920212223
24252627282930
31