Supplier Quality Management Software Overview
In today's dynamic business environment, suppliers play an important role in bringing products to market. Corporations need to ensure that the materials received from their suppliers are of the highest possible quality in order to keep their business processes running efficiently. In response to this need, EtQ developed this software composed of three key pieces to ensure the highest quality in products from suppliers—receiving and inspection and supplier rating modules, and the suppliers and materials utility.
EtQ recognizes that it is important for a business to maintain the highest level of quality from its suppliers. Too often, companies will track the cost of poor quality (COPQ) within their organization but fail to track the cost of poor supplier quality (COPSQ). EtQ has designed its supplier management software modules to track COPSQ - ultimately leading to increased visibility into supplier quality.
This software system is designed to set up scorecards that contain both qualitative and quantitative elements each with its own percentage weight. Using EtQ's integrated modules, the system is able to collect supplier-related data as materials are received, inspected, defects are found, and corrective actions are taken. The software automatically updates critical supplier metrics, including parts per million (PPM), on-time delivery, number of Corrective and Preventive Actions (CAPA), and correct quantity. EtQ also has the ability to integrate with external business systems to pull key supplier data into the rating, resulting in increased visibility into supplier performance throughout the quality system. The end result is a rating based on material, provided for all suppliers within the enterprise.
It is just one of the dozens of processes EtQ's quality management, Environmental, Health and Safety (EHS), and compliance management Software streamlines and simplifies. EtQ's Quality, EHS and compliance management software system lets you take full advantage of the familiarity that most of your users already have with a Web browser by providing an interface with which they are already comfortable and productive. Other modules include: employee training software, change management, Corrective Action (CAPA) software, and more!
The supplier rating module is used to rate suppliers and their consistent performance after receiving and inspecting the materials provided by suppliers. The module includes a Rating Report form, which is used to generate reports for suppliers categorized under different commodities and under different dates. The supplier rating module is used as a continuous management process, designed to measure, evaluate and improve supplier performance, enabling companies to make informed future sourcing decisions.
To ensure that companies fully understand the risk of quality events as well as derive supplier risk from daily quality activities, EtQ's risk assessment software is added to supplier rating process, allowing an organization to attribute supplier quality to events that happen after product release. The addition of risk assessment to EtQ's supplier quality management software results in a "risk portfolio," which provides the visibility into which suppliers incur the highest risk in quality events.
Additional capabilities of EtQ's supplier rting module include:
- Configurable criteria scales allow for up to five (5) dimensions of rating
- Percentage-based scoring profiles
- Ability to configure sub-criteria for more details rating scales
- Allows for both quantitative and qualitative ratings
- Quantitative scoring profiles are updated in real-time as inspection results are recorded
EtQ's Receiving and Inspection module integrates the process of receiving materials from suppliers, and sets up inspection schedules based on skip lot profiles driven by supplier rating performance. Using EtQ's automated and integrated inspection module, the quality of supplier goods is tracked and evaluated in real-time, reducing defects in finished products related to poor supplier quality. Each inspection automatically calculates the sample size and criteria using configured Acceptable Quality Level (AQL) tables. This module can be integrated seamlessly into existing business systems such as ERP/MRP and link quality management processes to the inspection process. Failed inspections can automatically trigger Nonconformance Management (NCMR) workflows. In addition, the module integrates with EtQ's deviation module, allowing for "use as is" dispositions. Once a deviation notice has been created, it will automatically be linked and displayed in future inspection records.
The capabilities of EtQ's receiving and inspection module include:
Supplier Quality Sampling Plans (AQL Tables)
- User-definable sampling plans based on multiple inspection levels and Acceptable Quality Levels (AQLs)
- Define sampling plans for different material commodities
- Configurable table lists sample size, lot size, acceptance and rejection criteria
- Supports "C = 0" accept/reject criteria
- Supports various sampling types (i.e., percentage/fixed/range)
Supplier Quality Skip Lot Profiles
- User-definable profiles to specify number of initial required passes, number of lots to be skipped, and number of lots to be inspected in case of failure
- Determines criteria for number of lots to skip per passed inspection
EtQ's suppliers and materials utility is the repository where information regarding suppliers and the materials they provide is stored. Material profiles are used to record information regarding a particular type of material and set its inspection criteria. Supplier profiles are used to record information pertaining to a specific supplier and to relate them to the materials they provide.
Material profiles are revision controlled and may be archived and renewed. Therefore, the suppliers and materials archive application is there to assist in storing the old revisions of a material and their change requests.
EtQ's supplier quality management software results in a robust integration layer that seamlessly pulls data from outside systems and links quality management to suppliers and updates supplier ratings, providing a centralized resource for collecting and measuring supplier quality across the enterprise.