Study On The Supplier Management Strategy Of DE Company Aiming At Improving Product Quality

With the rapid development of automobile manufacturing industry, china has become the largest countries in the world to produce and consume cars, while the competitions in automobiles also grows sharply. Nearly80%of parts, which quality stand in the key position in car’s, come from suppliers in car factories, as a consequence, parts suppliers are regards to be an important component in core competition of automotive company. At present, China is a huge producing country in scales rather than in quality. As for the management of manufacture, there still lays a big gap between China and developed countries. And many supplies fail to meet the OEM requirements in quality management. This paper takes DE, a joint ventures as an example, which mainly produces automotive engine assembly, delivers a new theory in quality management. Facing the truth that the costs of car raw material rising up, the quality level customers pursuing become higher and higher, the DE company is also facing the pressures of rising costs, quality challenges and fierce competitions from the market. Thus, to construct a low-cost and high-quality supply chain will be an important and strategic progress for DE company’s future development.Using relevant theories of supplier management, this paper focus on upgrading the quality of products in DE factory, in order to develop a thorough channel for the investigations and analysis on existing problems that come from suppliers, and based on the theory of "considering the quality as a whole", I propose a system about supplier quality managements, choice&guidance, and global parts procurement. And that quality management strategy will eventually come to be a win-win game for both suppliers and their OEM. The results of this research can provide useful reference in quality management for automotive assembly host plants and manufacturer’s parts suppliers in secondary specification in China.