Opric
Oman is known for the quality of its products and services all around the
world. For the sake of checking that all the products from the side of
suppliers are compliant, this organization has used the strategy of audit and
compliance. Using this strategy helps to find a number of factors related to
their suppliers. This not only checks the quality in the services of the
suppliers but investigate the internal and external factors of the supplier
organization. This strategy includes a broader audit of all the procedures that
suppliers are using to provide their selected services to the Opric Oman. This
strategy is a bit costly, but for the sake of maintaining quality in the
procedures and services, this organization is required too management quality
in its suppliers. This audit has raised the level of trust and dependence
between Opric Oman and its suppliers. The organization has reached the level
where its suppliers are not supposed to compromise on the quality as a major
part of the supply chain is dependent on them. Opric Oman considers its
suppliers as the most important factors in the initiatives all around the
world. This strategy took huge time to be implemented but has helped the
organization to upgrade its suppliers so the decided quality can be met.
Setting KPIs for measuring the
quality performance of suppliers
of Opric, Oman
Opric
Oman has set different KPIs with which the quality in the procedures of its
suppliers is measured. First KPI is “Completion and delivery of the product”. As
Opric Oman is purchasing a number of services and products from different
suppliers all around the world, it is their need to keep the procedures done at
the right time. In the context of KPI, “Completion and delivery of the product”
suppliers are required to meet this KPI. Meeting this KPI assures that the
supplier is working properly to maintain the quality. On the contrary, it is
clear the if the supplier fails to deliver the products on time then the other
production procedures of the organization may get affected. Second KPI is the
percentage of the products that are sent back to suppliers because of the
defects of broken. All the suppliers are examined under this KPI (Soni, 2014). After getting the
results of the analysis, it becomes clear the supplier with the high
percentages of defected products is not maintaining the quality levels settled
by the organization. This is kind of a competition between all the suppliers of
this organization. This strategy is very old and Opric Oman is using this
strategy in almost all of its procedures related to supply chain.
References of Compliance and audit of Suppliers of Opric, Oman
Kim, H. J. & Son, J., 2017. Strategy for
Improving Efficiency of Supply Chain Quality Management in Buyer-Supplier
Dyads: The Suppliers’ Perspective.
Prajogo, D.,
2017. The strategic fit between innovation strategies and business
environment in delivering business performance.
Quigleya, J.
& LesleyWalls, 2017. Supplier quality improvement: The value of
information under uncertainty.
Smith, J.
L., 2011. Face of Quality: Five Key Strategies to Enhance Quality Culture.
[Online]
Available at: https://www.qualitymag.com/articles/88182-face-of-quality-five-key-strategies-to-enhance-quality-culture
Soni, G.,
2014. The strategic fit between “competitive strategy” and “supply chain
strategy” in Indian manufacturing industry: an empirical approach.