Tag: sourcing

Avoiding Product Recalls

downloadOver the years, we’ve had our share of inquiries related to organizations seeking to resolve a recall situation.  While many of these calls are reactive, a proactive approach is recommended to avoid the cost and overall impact to stakeholders.

How can you avoid product recalls? 

Know Product Safety Requirements –  Avoiding recalls generally starts with product design and specification development. Due diligence is required to determine if any applicable testing is required depending on the market in which it will be sold. Contacting a testing lab for a general inquiry is worth the time and effort. Researching ANSI and ASTM standards is also advised.  A third party’s expertise can also be leveraged here and specifications development/testing can be outsourced.

Know Your Suppliers – Supplier selection is a critical component in the quality process. Verifying suppliers and performing an on-site evaluation adds an additional level of assurance. Considerations include:

Quality: It’s What’s Driving the Global Automotive Industry

A report issued by McKinsey & Company predicting trends up through 2020 in the global automotive industry identifies four challenges that will affect the industry’s growth.  With these four challenges in mind, we offer quality solutions that effectively hedge or otherwise prepare those working within the industry.

  • Complexity and cost pressure
  • Diverging markets
  • Digital demands
  • Shifting industry landscape

“To capture future growth and find profit from these challenges – and to mitigate their risks – OEMs cannot simply turn to their traditional toolbox. They need to review and adjust their strategic priorities, deploy the appropriate investments and resources, and develop new skills to execute these strategic objectives.”

The automotive aftermarket faces it’s own challenges as well, discussed in detail within the Aftermarket Outlook 2020 report.  According to the report, challenges include:

Challenges_Aftermarket

World Trade Month Wrap-Up

World Trade Month is observed each year in May.  The objective of this recognition is to create awareness, identify trends and drive market opportunities.

World Integrated Trade Solutions offers extensive data related to world trade.  The same site offers interesting visualization options such as the word cloud referenced below.

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In a 2015 ranking of the top 20 export countries worldwide via Statista, China ranked first in exports with an export value of about 2.28 trillion US dollars.

Verifying Suppliers… What You Want To Know

Verify-SuppliersAs a follow-up to an an article we posted in March, we wanted to go into more specifics regarding on-site supplier verification.

As noted, it’s not always cost effective to do a comprehensive ISO based or general QMS audit for each supplier you’re considering working with. But, there are basic questions looming that you need to make the right decisions…

One option for supplier verification is a basic on-site check.

What you find out:

  • Factory information
    • Type of ownership, address & contact information
  • Production Capacity (Annual Basis)
    • Category, total capacity, units shipped & % capacity
  • Export Markets
    • U.S., EU, South America, etc. & % volume
  • Key Clients (Past Year)