The following analysis breaks down the strength and weaknesses of Metalcraft’s on the basis of the different business functions that utilize the scorecard.
* Buyers come from many functional background including purchasing, engineering, quality and planning. This ensures that different team members consider various elements when buying products to ensure overall high standards Weaknesses:
* Buyers are compensated on the price reduction they can negotiate with suppliers. Selecting the lowest cost supplier is not a good incentive because buyers may then compromise on quality of products or even reliability of suppliers * There is a high turnover of buyers making it hard to build supplier relationships * There is high variation of quality within suppliers’ facilities making it hard to track supplier quality * Constantly changing standards over time “constricted the supplier base too much” (p. 7)
Plant Quality Engineers
* Plant Quality Engineers were responsible for making sure that Metalcraft received high quality and defect free parts. This is important to ensure that Metalcraft is providing the automotive suppliers with the zero-defect parts they require Weaknesses:
* Metalcraft received one million parts daily from 200 suppliers. The high volume could lead to quality engineers only using small sample sizes for different types of parts causing them to miss more faults * Quality problems due to supplier’s production process or during transit were discovered only on arrival for many parts. This causes more logistical and delivery problems since it is quite a late stage for problem detection * “Did not have detailed data and query functions that would be useful in evaluating and selecting suppliers” (p. 7) * Engineers could not contact suppliers’ management team fast and directly in case of a problem
Supplier Development Engineers
* Since SD...