Quality control includes every stage of manufacturing including the purchase of raw material. Supplier quality engineering is used to evaluate supplier capability, help suppliers develop process control, resolve quality issues with suppliers, and certify that suppliers qualify for JIT production. Receiving inspection provides an inspection service for purchasing. On time delivery, frequency of delivery, and receiving and stocking the material are three major aspects of purchasing quality. On-time material delivery means that the workstations receive the material just before it is required.
Costs associated with material shipping include packaging and handling costs.
Packaging costs mainly include material handling, shipping damage, and the cost of packaging materials. Handling costs include receiving, unpacking, counting, repacking, stocking, kitting and moving the material to the production area. Reusable packaging material, packing containers that can be used on the production line, and standardized containers that eliminate counting are ways to reduce costs and damage in transporting. These cost reducing methods are then reviewed with the supplier to determine how the supplier can best meet these needs. The process is complicated by periodic changes in product mix and volume requirement and continual introduction of new products.