The Dominguez Hills Manufacturing Company is performing an annual evaluation of one of its suppliers, the Carson

Question:

The Dominguez Hills Manufacturing Company is performing an annual evaluation of one of its suppliers, the Carson Company. Bo, purchasing manager of the Dominguez Hills Manufacturing Company, has collected the following information on the Carson Company.

Performance Criteria Continuous improvement Weight Score 90 0.10 0.20 Cost 85 Delivery Quality Responsive Sustainability

A score based on a scale of 0 (unsatisfactory) to 100 (excellent) has been assigned for each performance category considered critical in assessing the supplier. A weight is assigned to each of the performance criteria based on its relative importance. Vendors are classified based on their overall scores as follows:

  • Unacceptable (less than 50)€”supplier dropped from further business
  • Conditional (between 50 and 70)€”supplier needs development work to improve performance but may be dropped if performance continues to lag
  • Certified (between 70 and 90)€”supplier meets intended purpose or performance
  • Preferred (greater than 90)€”supplier will be considered for involvement in new product development and opportunities for more business

How would you evaluate the Carson Company€™s performance as a supplier?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Principles of Supply Chain Management A Balanced Approach

ISBN: 978-1337406499

5th edition

Authors: Joel D. Wisner, Keah Choon Tan, G. Keong Leong

Question Posted: