Purchasing

Mary Walker

Product Recalls Emphasize Buyers’ Roles
August 20, 2007

Paul Teague’s recent Purchasing.com article on “How buyers are reacting to product recalls” is a timely issue as I was just discussing this through an email with one of my purchasing friends. I would like to present his comments. He actually reads some of my blogs and stated maybe I would comment on his viewpoint:

"Last night and today I heard the words ‘supply chain’ on public radio. I think this is the first time I’ve ever heard these words outside places like business magazines. Of course the context was a discussion of the problems with products being imported from China. Under U.S. law, the importer of the products is responsible for the quality and safety of the products. But, finally the world at large is beginning to understand that there is a role for supply chain managers—people like you and me! And you and I both know this isn’t a problem isolated to China. Products imported from Vietnam, India, Thailand, and other low cost countries should also be scrutinized for safety. And even the supply chain involving products made in the U.S. must be monitored. But it’s good to see that finally companies are beginning to understand the value that can be added by professional supply chain managers—if we are allowed to do our jobs.

And, it’s not just product safety that should be part of the equation. Nike has had problems in the past with their suppliers not paying workers a fair wage and I’d bet you that there will be more companies in the news when people find that the products they produce are made in slave labor conditions somewhere. Once again, effective supply chain management can protect companies’ bottom lines. As soon as it gets on the public radar you’ll see some action."

My friend's comments got me thinking. In the distribution business when you receive a recall notice from a supplier, it is a problem because distributors stock this merchandise and ship it all over the country. Now you must locate, contact the customer and get it back. Every manufacturer runs into quality issues. Overseas buys I have dealt with are mainly safety products, like gloves or MRO items. Nothing that would be a high safety issue to the customer. This quality problem should be caught before it ever leaves the warehouse to the customer. Once received by the customer, it becomes an issue.

Companies need to realize that a buyer just does not punch buttons on the computer all day and enter purchase orders. What is priority today in our fast paced workday, is it ordering, expediting, returning goods, price issues, quality issues and on and on. If we are to wear all these hats, we must have time to do them. Buyer’s roles are changing.

Posted by Mary Walker on August 20, 2007 | Comments (0)