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Supplier Performance Below Your Expectations

Suppliers may have a different approach to measuring performance, especially where changes are made by either party to specifications/designs, supplier schedules, purchase order dates and quantities etc.​ Poor communication of planning methodology, planning parameters (lead times, lot sizes, delivery frequency, etc) and other changes​ can cause significant problems in supply chain performance. Solutions include formal, clear and concise policies and processes to communicate changes throughout the supply chain for all types of changes​.

​You can tell if Supplier Performance is below your Expectations as you will regularly see:

• Supplier delivers late, early, wrong quantity, etc

• Supplier agrees to unrealistic lead time to secure order

• Supplier errors in material documentation, compliance certificates, etc

• Supplier agrees to changes to your schedule of delivery but fails to deliver on time

• Product / component / material / packaging specification changes not communicated on a timely basis or not implemented correctly

• Your supplier’s Customer service performance measurement method is not a “mirror image” of how you measure their Supplier performance

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