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QE team decided to review supplier costs amongst 5 different suppliers and find which supplier(s) must be replaced. They applied for the Supplier Rating

QE team decided to review supplier costs amongst 5 different suppliers and find which supplier(s) must be replaced. They applied for the Supplier Rating Program by Quality Cost Performance Index (QCPI) formula. Hint: Review QEM2303 The results of the investigation are table below: All Costs are CAN $ Supplier Cost of Cost of Cost of Cost of processing Investigations Processing Defection incoming Rejection in Receiving Product Inspection after A B C D E 434 756 1944 1456 675 . Deliverables Based on the results, calculate: . 455 546 . 1876 1435 654 1230 2489 12897 1870 1250 Receiving Inspection 435 1080 1345 564 1546 Supplier Cost Purchased Costs 197654 6788 16000 49000 48000 QCPI Find which supplier(s) must be replaced and why? Strategy to replace supplier(s) and choose a new supplier

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