I’m developing a process so as to meet the clause 7.4 (Purchase) of ISO 9001:2008 and I would like your opinion if this process (minimalist) attend the clause in a certification audit. As we are a design, development and production company in the ETO (Engineer – to Order) model, there is always a need for new materials and new suppliers. Following is our process
1. There is a need for a material or service;
2 . Sets up the quantities and specifications of this material or service;
3 . Find possible manufacturers (materials) based on catalogs, datasheets etc. or service providers based on their scope of supply. There is not a list of qualified suppliers, only blocked (disqualified) suppliers.
4 . Carried out quotations with potential suppliers ;
5 . Select one of the quotations evaluating price / term / previous experiences etc. ;
6 . Emits purchase order with a description of the materials and services requirements ;
7 . Await the arrival of the material ;
8 . When the material arrives verify it the material corresponds to the purchase order;
9. If the material appears on a list of critical materials , the item passes through a receiving inspection by quality control personnel, following the criteria established for this material and generating records ;
10 . If there is a non-compliance detected on receipt or at a later stage , return it , rework it or accept as is ; Emits an RNC ;
11 . At the management review meeting show statistics from the last period with respect to suppliers who owned non-conformities ;
12 . Based on the review of these statistics decides whether or not suppliers are listed in the list of disqualified suppliers ( blocked ) . Join this in the minutes of the meeting of management review meeting ;
In short, we need to know is if we can make the management of suppliers based on the exception, ie , can buy from any supplier, provided that this is not in the list of disqualified suppliers ( blocked ) and, therefore , need not to qualify suppliers or maintain a list of qualified suppliers.
When I said that I was developing the purchasing process, in fact I was trying to say that I was adapting the existing process in order to meet the ISO 9001 requirements.
I just described a summary of our entire purchasing process just for you to understand, but what I am more concerned is about the selection, evaluation and re-evaluations of suppliers.
As I have said before, our products may have some similarities, but most of them are “one(s) of a kind” products, designed to meet the customer needs, so each product may need a complete set of new materials and suppliers. To make specific approval and specific evaluation processes (using forms, surveys, technical visits, audits etc) of every new supplier would be very difficult for us to implement considering our size and some times importance for our suppliers.
Most of our materials have the part numbers and suppliers defined by engineers on bill of materials during detailed design phase based maily on datasheets, just leaving to the buyer the responsibility for choosing the distributor with best price, delivery date etc.
Of course there are some materials that are “generic” like resistors, capacitors, o-rings, screws, washers, raw materials, but the main characteristics are defined by engineers on bill of materials. In these cases the buyer choose the distributor with best price, delivery date etc. and the distributor may choose the manufacturer he works with.
When we purchase services, such as machining, welding, painting etc, we base our selection on previous experiences and the capability of the supplier of meeting our specifications.
In any case above, when there are needs for certificates, the need is described on the quotation and purchasing orders, together with drawings, technical specifications, procedures etc.
About evaluation and re-evaluation of suppliers, what I propose to do is to summarize the performance of the suppliers (base on NCRs) on every management review meeting and decide on these meeting if the suppliers go or not to the “black list”. This is enough?
From Fabricio Damico Quality Manager at NAVCON Navegação e Controle
Comments from above questions:
I have two concerns with the process you outlined and clause 7.4.
Firstly, step 5 of the process suggests some criteria are used to evaluate suppliers but I would ensure that these criteria are very firm and rigorous.
Secondly, the process does not seem to include any re-evaluation of suppliers against the selection criteria. Review of non-conformances is good, but unless it is one of your selection criteria, you are evaluating suppliers against a criterion that initially wasn’t applied in the selection decision.
Your process could for example include expected fault rates for supplied products in the selection criteria. Then you could choose suppliers with less likely occurrences of non-conformances.
I will comment your statement from a totally different perspective.
When I read “I am developing a process (for purchasing to meet requirements of ISO)”, I get very concerned.
Many people believe they have to drastically change the processes they used before they seeked certification in order to comply with ISO requirements. This is not true.
I try as much as I can to picture the road towards certification using objective evaluation of an existing situation and using requirements to improve towards customer satisfaction.
Every organization has a purchasing process. For most organizations, ISO implementation will introduce a formal supplier evaluation. Many organization I worked with did not have to change anything else.
Nik makes some good points.
Yes, you can evaluate based on exception – it’s a sensible way to do it.
But I too have some concerns about the lack of criteria for selecting suppliers – your process there sounds fuzzy. If it’s bog standard goods, this may be fine, but surely with critical materials you’d have some important criteria? You see, you talk of evaluating quotes against criteria (price, terms, previous experience etc) so include it in your process of supplier choice.
You do not have to have an ‘approved supplier list’ (that’s a myth) but you do have to manage the process.
Waiting until suppliers produce NCs and then blocking them is corrective action – good planning/preventive action not to mention risk management is to be more proactive in choosing them. Which is what the standard wants.