Supplier Quality Management
Supplier quality management (SQM) is a process that companies use to manage and improve the quality of their suppliers. It involves setting quality standards, auditing supplier performance, and working with suppliers to correct any issues. SQM is important because it can help reduce costs and improve product quality.
There are various definitions of supplier quality management (SQM). Some organizations view it as a subset of supply chain management, while others see it as a separate process. In general, SQM can be defined as a systematic approach to managing and improving the quality of suppliers.
The main objectives of SQM are to ensure that suppliers meet the company’s quality requirements and to continuously improve supplier performance. SQM programs typically involve setting quality standards, auditing supplier performance, and working with suppliers to correct any issues.
SQM is important because it can help reduce costs and improve product quality. Poorly managed suppliers can cause problems such as delivery delays, defective products, and high rework rates. By managing supplier quality effectively, companies can avoid these problems and realize significant cost savings.