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Process Oriented Supplier Development: Building the Capability for Change
Author(s) -
Hartley Janet L.,
Jones Gwen E.
Publication year - 1997
Publication title -
international journal of purchasing and materials management
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 3.75
H-Index - 92
eISSN - 1745-493X
pISSN - 1055-6001
DOI - 10.1111/j.1745-493x.1997.tb00028.x
Subject(s) - supplier relationship management , purchasing , process management , process (computing) , business , work (physics) , quality (philosophy) , operations management , computer science , risk analysis (engineering) , engineering management , supply chain management , supply chain , marketing , engineering , mechanical engineering , philosophy , epistemology , operating system
IN BRIEF Many companies have achieved impressive improvements in quality, delivery, and costs using results‐oriented supplier development. With this approach, a team led by purchasing professionals makes technical changes such as simplifying work flows, standardizing work processes, and reducing set‐up times in a supplier's operations. However, after such supplier development efforts, suppliers often return to “business as usual,” failing to make further improvements on their own. This article first describes the benefits and shortcomings of results‐oriented supplier development. Next, building upon successful cases of supplier development and research in change management, this article describes process‐oriented supplier development practices which are more effective in building a supplier's capability for improvement. Finally, this article discusses the commitment of resources necessary for this approach to supplier development.