SPECIAL REPORT: How buyers are reacting to product recalls
by Paul Teague -- Purchasing, 8/24/2007 1:58:00 PM EDT
Buyers in industries of all kinds are intensifying their supplier-management efforts in the wake of recent product recalls by Mattel of toys made in China. From setting more rigorous supplier-selection criteria, to more frequent on-site inspections to demands for assurance that tier-two and tier-three suppliers are following stringent quality procedures, purchasing professionals are instituting new procedures and reviewing best practices to ensure that their global sourcing activities, whether in China or other low-cost countries, uncover potential problems before they occur.
It’s classic risk management. Quality problems are among the risks that cause supply chain disruptions, according to a major study by professors Kevin Hendricks, formerly of the University of Western Ontario, and Vinod R. Singhal, of the Georgia Institute of Technology. And, adds Dennie Norman, principal strategist for worldwide marketing at Cary, North Carolina-based SAS, Inc., those supply chain disruptions can damage a company’s brand image. “Companies need risk-management roadmaps,” Norman says.
Purchasing editors have interviewed several buyers and industry experts on the product-recall issue. Check out these stories and prepare your own roadmap for avoiding the supply chain problems that cause defective products—and damage to companies’ reputation.
Read these stories:
-
Quality control moves to the forefront in wake of product recalls
-
Quality, testing are key priorities in sourcing ingestible materials.
-
Cains Foods asking for safety, quality certifications from food-ingredients suppliers
Got a risk management success story, or a recall horror story, send it to pteague@reedbusiness.com
Now Playing: -
The recall problems are associated with not doing your homework up front when outsourcing...
Jim Witte - 8/20/2007 2:19:00 PM EDT -
Actually, the lead paint recalls clearly demonstrate problems specifically with low-quality...
A Mom - 8/17/2007 3:33:00 PM EDT
Agenda
06/11/2009How buyers are reacting to product recalls
09/13/2007The Personal Supply Chain
06/23/2009
