Managing Supplier Quality: Integrated Devices

Read Case Study 3: Managing Supplier Quality: Integrated Devices on pp. 839-541, then answer the following questions/mandates:

1.  Calculate the Cp level? and Cpk of the process that produces the component purchased by Integrated Devices. Remember – process width = six times the standard deviation of the sample.

a.  Can the process at Trexler satisfy design requirements? 

b.  What should be a target Cpk?

2.  Why is it important to prove that a process is proven capable before developing statistical control limits (i.e., SPC charts)? 

3.  Is Integrated Devices being reactive or proactive when it comes to managing supplier quality? Why? 

4.  Discuss the possible advantages of negotiating quality requirements directly into supplier contracts. 

5.  What is the risk of relying on product samples when selecting suppliers? 

a.  What is the risk of relying too heavily on unit cost when making the selection decision? 

6.  Why was it so important for Bill to work with Plant No. 3 personnel before visiting Trexler? 

7.  The local buyer at Integrated Devices did not seem pleased that a corporate team selected the supplier that the local plants must use. 

a.  Why do firms use corporate commodity teams to select suppliers? 

b.  How can firms get support from plant personnel for company wide suppliers