Research On The Supplier Management Of H Automotive Parts Company

As of now, the automotive industry has developed to be the leading industry of thenational economy in a lot of countries including China. With the rapid development ofChinese economy and the growth of the citizen income, it is possible to be predicted thatthe Chinese automotive industry will still have a big progress in the coming years.The automotive part industry is the foundation of automotive industry which accountfor50-70%of the total automobile value. With the development of the supplier chainmanagement theory and the particularity of automotive industry, the supplier managementin automotive part industry is being more and more important. The promotion of suppliercapability is very critical for the final assembly companies to improve the quality, reducethe cost and increase the response speed and so on. Since the automotive parts have quite alot types, and the manufacturing processes are very different, and the suppliers are on thedifferent levels, the effective supplier management is quite complicated, what’s more, theChinese automotive part industry started too late and there was not enough capitalinvestment, some of our own automobile part company have the problems like the notstrong R&D ability, low level management etc which have been the bottlenecks for thefurther development. So, how to transform the relationship between the supplier and thecompany from the common business to the collaboration, then realize “win-win” is a taskneed to be studied currently.The famous Swedish H automotive part group, China branch (H company) is takenfor instance. Based on the researches of domestic and oversea scholars, the definition andthe importance of the supplier management are discussed. And the current situation of Hcompany in supplier relationship management, supplier quality management and supplierperformance management is analyzed with some problems have been discovered. Finally,the action plans are established. For example,(1) Optimize the supplier relationship withthe supply-position model;(2) Re-define the procedure for the new supplier introduction; (3) Implement APQP and VA/VE together;(4) Set up the supplier quality improvementteam, and conduct the layered process audit;(5) Revise the calculation method for theperformance assessment index etc. It is anticipated that the action plans will be useful andeffective, which will strengthen the competitive power of both H company and thesuppliers. Also, it is expected that these solutions will be helpful for some domesticautomobile part factories as the valuable reference.