Supplier Quality during Industrialization: a case study at an electronics manufacturer in Sweden

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As a result of globalization the demands on electronic manufacturing services have risen, as they should be able to compete with the low manufacturing costs that exist in the former Soviet states and in China. The customer gradually demands increased price cuts on products that already exist in volume production and, furthermore, the production of new products is increasingly committed to countries with cheap labour costs. To compete in this globalized market the electronic manufacturing service, which will be referred to as the Company, identified their prototyping and industrialization process as a future order winner. Even if this segment is a small part of the Company's revenue, the Company has recognized that the process is a means of gaining entry to future production orders. This study has had the purpose of identifying areas of improvement in the Company's industrialization process. Beyond this identification, the study should also present tangible and viable recommendations to improve the process. The study has been performed as a case study and several means of gathering information have been used in this study i.e. literature studies, interviews, observations, the 7 management tools and questionnaires. In the study, eight problem areas were identified. These ranged from the fact that the preseries was not produced in the desired way due to exchanges of suppliers after or during the industrialization project, to faults in the steering of materials and production resources. Through the analysis, the authors managed to identify the deficient steering of materials in the industrialization process as the problem that the company considered most severe. To solve this problem the study has resulted in two tangible suggestions that should enable the Company to lessen the occurrence of this problem. The first of these suggestions was the introduction of a scrap-factor during purchasing in the industrialization process. This factor should create a buffer that would deal with the component losses that occur in the different production cycles due to process faults, kitting faults, handling faults and so on. The second suggestion represents an identification, classification and inventory of the components that are critical to the project. Through this method one should be able to increase awareness amongst the production personnel of how important some of the components are. Furthermore, the ERP- system, and thereby the industrialization project, would be up to date if an inventory of these critical components was performed after each produ...

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Inactive member [2007-01-01]   Supplier Quality during Industrialization: a case study at an electronics manufacturer in Sweden
Mimers Brunn [Online]. https://mimersbrunn.se/article?id=51498 [2020-06-06]

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