Tag Archives: metrics

Quality measurement challenge: when a supplier's performance is tied to your review

Recently a supplier quality manager asked me about a dilemma he was having with the way his manufacturing facility was measuring in-process supplier quality. If they found defects in supplier parts during the manufacturing process, each defective item was tallied …

Posted in Quality, supplier evaluation | Tagged , , | 1 Comment

Choosing good supplier performance metrics

I’ve discussed previously how supplier performance metrics work best when they are aligned with and support overall corporate goals and strategies and reasons why they can fail. But the challenge remains of how to tell whether you’ve come up …

Posted in supplier performance | Tagged , , | 3 Comments

Too Many KPIs: Rightsizing the Supplier Scorecard

You’ve heard of supplier rationalization and “rightsizing” the supply base. What about too many KPIs on the supplier scorecard? I’ve mentioned the problem of measuring too many KPIs in previous posts. In 11 Reasons Why Supplier Scorecards Fail, I …

Posted in supplier evaluation, supplier performance | Tagged , | Leave a comment

Common supplier certification: easier said than done

Recently I wrote about suppliers who charge their customers to conduct an on-site audit. The desire to charge stems from the fact that site visits are time-consuming and resource-intense for suppliers. Many suppliers have to host multiple site visits and

Posted in Business, Quality, supplier evaluation, supplier performance, Supply Management | Tagged , , , , | Leave a comment

Got scorecards? Now what?

My previous post about why supplier scorecards fail generated a lot of interest. So today I’m going to write about one of the biggest reasons for failed supplier scorecards: There is little or no action or follow through that results …

Posted in Business, General, Risk, supplier performance, Supply Management | Tagged , , , , , , | Leave a comment

Giant performance failure in a peanut supplier

The failures at Peanut Corporation of America are tragedy in every way. This supplier failed to meet both regulatory and customer requirements. Its customers failed either to uncover or report the failures, and people died as a result. Now a …

Posted in Business, General, Lean, Personal, Risk, supplier performance, Supply Management, Uncategorized | Tagged , , , , , , , , , | Leave a comment

Knowing the score

I was recently interviewed by Nick Zubko, Purchasing Editor at IndustryWeek magazine, for an article on supplier scorecards. The resulting article, “Who’s Keeping Score?”, summarizes the actions needed to ensure supplier scorecards that are meaningful and actionable and …

Posted in Business, supplier performance, Supply Management | Tagged , , , , , , , , | Leave a comment

Scorecard Statistics — do you get what you measure?

As the saying goes, statistics can be made to prove anything – even the truth.

Or, everything is vague to a degree you do not realize till you have tried to make it precise (Bertrand Russell).

The customer sends the …

Posted in Business, Risk, supplier performance, Supply Management | Tagged , , , , , , , , , | Leave a comment

Borrowing Supplier Scorecard Metrics

In the benchmarking world, one of the axioms is to “steal shamelessly” from other companies, meaning: don’t be afraid to borrow ideas from others (not steal proprietary information).  When it comes to supplier performance metrics, one of the first questions …

Posted in Business, supplier performance, Supply Management | Tagged , , , , , , , , , | Leave a comment

Supplier Scorecard Metrics — Easy vs. Meaningful

In my last post, I listed 11 reasons why supplier scorecards fail.

I’d like to write about the first reason – measuring what is easily measured instead of measuring what is meaningful or important. This assumes that you already …

Posted in Business, supplier performance, Supply Management | Tagged , , , , , , , , | Leave a comment