Budweiser beer cartons procurement experience (2)

Budweiser Corrugated Cartons Purchasing Features

The purchase of corrugated cartons is the second largest purchase of bulk materials in beer packaging after beer bottles and cans. So it is also the point of management concern.

Purchasing of Budweiser Corrugated Boxes is divided into the following steps: selection of suitable suppliers, preliminary price negotiations, certification of potential suppliers of corrugated boxes, becoming qualified suppliers, suppliers participating in annual tenders, and suppliers Signed a formal contract, issued an official order, regular quality review. In the process of selecting suppliers, the most distinctive features are PSe (POtential Supplier evaluation) and PMQ (packaging material qualification packaging material certification):

The potential supplier certification mainly includes the following 12 aspects:

1, production capacity

The main assessment is whether the supplier has the necessary technology to meet the requirements of goods and services. Whether the production process is flexible enough to adapt to changes in orders, whether the supplier can provide the agreed quantity of goods and services within the specified lead time, and whether the supplier has an acceptable new product development certification process.

2 Personnel mainly assesses whether the supplier's staff has experience and competency, and what business functions the supplier supports resources (such as engineering, technology, design, marketing, quality, customer service, etc.), how the labor relations are concerned, and whether there is a trade union organization. Whether or not there is a strained labor-capital relationship has caused the plant to stop production, whether there are "natural work teams" and "cross-functional teams".

3Education and training mainly assess whether the supplier has training strategies on safety, quality and job performance improvement, plans for employee training arrangements (including off-season, seasonal and on-the-job forms, etc.), whether there are records of annual training programs, examinations Results, qualifications (re)certification, and reclassification of work based on training results, whether or not there are off-site training programs, and whether or not employees' training needs and strategies are systematically considered.

4 Customer feedback and communication mainly assess whether the supplier has a systematic method to identify customer needs, whether there is a procedure established between the customer and organization management to communicate customer needs and complaints (feedback), whether the mission and goal of the supplier organization are reflected Emphasis on customer feedback and needs, daily management activities are linked with customer feedback and needs. Whether or not to conduct a detailed analysis of the reasons for customer returns. Whether customer feedback and communication can be supported through the certification and provision of rectification plans.

5 Continuous improvement mainly assesses whether suppliers are good at seizing opportunities for continuous improvement. Is there a continuous improvement plan in the administrative process and other non-production areas. Is there a strict continuous improvement method in production quality and production efficiency as well as environmental protection?

6 Storage and Receipt of Warehousing/Raw Materials and Finished Products
It mainly evaluates suppliers' methods for keeping raw materials and finished products, procedures for receiving and dispatching materials, and procedures for handling finished products found in the production process that do not meet specifications and quality defects.

7 Quality
The main assessment is whether the supplier has a quality manual for the entire organization. Whether the SOP (standard operating procedure) is announced to the public and sent to the relevant personnel. Whether to update the quality standard frequently; to carry out comprehensive quality management work and the hygiene system.

8 Statistics It is mainly to assess whether the supplier has effective procedures for the calibration, testing and maintenance of measuring and testing equipment, whether the testing procedures are based on statistical techniques, and the stability, capability and acceptability of the testing procedures. Whether to develop and implement quality control strategies and methods to reduce quality discrepancies and eliminate end-product non-compliance with design specifications.

9 Quality of purchased goods/services The main assessment is whether the supplier has a systematic approach to dealing with quality defects in purchased materials and whether its raw material suppliers use a rigorous system approach for continuous quality improvement.

10 E-Commerce The primary assessment is whether suppliers use electronic materials such as Shipping Schedules, bar codes, production and inventory information, as well as voicemail, e-mail, and electronic calling.

11 Transportation

It mainly assesses how the supplier solves the problem of on-site service in transportation and the current receiving location. Select the transporter's procedures, on-time delivery, the number of transporters, and the existing transporter. The procedures for selecting transporters and performance evaluation for transporters. Types of agreements used for long-distance transport, age of transport fleets to be used, fleet size, vehicles using vehicles, and degree of emergency services

12 maintenance

The main assessment is whether the supplier's factory has preventive maintenance plans such as lubrication, vibration, oiling, and inspection, as well as equipment overhaul plans, whether the plant has maintenance training plans and maintenance SOPs, how to manage spare parts inventory to prevent shortage of parts, and how factories Maintain equipment files and related reliability data files.
Budweiser has to conduct a potential supplier certification process for new suppliers, and only certified qualified suppliers will be able to move to the next link, PMQ. PMQ's leadership is the company's Quality Assurance. The corrugated box PMQ program is the raw material for the first record of the product, such as base paper, printing ink, printing machinery, printing process and printing method, and then apply to the relevant departments of the US headquarters for the PMQ number. The supplier provides a small amount of samples for testing. After this step, the test is passed. , Suppliers provide regular products for a large number of online testing and shipping trials, for all qualified suppliers through the above tests can be officially supplied. The raw materials, processing equipment, and processing technology used for products that are certified as qualified will be filed. If there is a change in the future, the change must be re-certified.

(to be continued)