SUPPLIER DEVELOPMENT

Locating and training suppliers is a time consuming and financially draining project, so what do you need to do before placing the request for an audit? 
  • If the supplier is the right factor and they do not clear the audits, they need to be reviewed and educated so they can be audited again

  • A review of the suppliers' true capabilities needs to be done, this will ensure that your company and the supplier are not needlessly spending additional money which inevitably causes costs to increase

Locating and training suppliers is a time consuming and financially draining project, so what do you need to do before placing the request for an audit? 
  • A review of the suppliers' true capabilities needs to be done, this will ensure that your company and the supplier are not needlessly spending additional money which inevitably causes costs to increase.

You found the right factory. They passed the audit, now what?
  • Suppliers need to be educated on your company requirements such as shipping requirements, packing requirements, classification for customs, and documentation your company requires. 

SUPPLIER MANAGEMENT

The supplier claims they did not get or understand the last message on the new freight requirements, what do we do?
  • Systems should be put in place to see that the supplier receives and acknowledges new requirements of quality, compliance, and logistics on a continual basis. 

The supplier does not understand our new cost requirements what do we do? 
  • Suppliers need to receive regular education from the retailer on all requirements, in some cases, this will require the merchant in charge do the education. 

  • Train the supplier. Give them the opportunity to discuss pricing and then make sure they understand this is not the time, nor the place to request an increase.