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Supplier Improvement Program Update

Supplier Improvement Program Update. PIA Government Systems Meeting St. Louis, MO 26 August 2011. Background. Joint prime manufacturers team created to improve systemic supply base issues – August 2010 Team using data to drive decisions

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Supplier Improvement Program Update

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  1. Supplier Improvement Program Update PIA Government Systems Meeting St. Louis, MO 26 August 2011

  2. Background • Joint prime manufacturers team created to improve systemic supply base issues – August 2010 • Team using data to drive decisions • Data identified Paperwork as largest supply chain issue by frequency • Team jointly implementing Paperwork Improvement Program that has 4 phases

  3. Paperwork Improvement Phases Phase 4 Credit Withhold ($250) 4th Defect Each defective lot leads to the next step… Phase 3 Delivery Release 3rd Defect Phase 2 Corrective Actions 2nd Defect 5 consecutive acceptable lots Phase 1 Notification 1st Defect Starting point

  4. Current Status No suppliers ever made Phase 3 or 4

  5. Results Reductions in paperwork issues sustained

  6. Summary • Improvements seen early are being sustained • Spikes related to new supplier introductions • Opportunity to strengthen new supplier orientations • Going forward • Continue monitoring of performance • Identify any new/additional systemic supply chain issues • Consider renewing industry wide audits on Berry Amendment • Other topics/issues??? Current results have plateaued, reduction of ALL issues would require new/adjusted approach

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