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Supplier management when you belong to a business group

supplier assesment business group

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#1 Esther

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Posted 17 April 2018 - 09:37 PM

Hello

 

I wonder if you could help me with this supplier/customer situation.

 

The company I am working in these days is a medium factory that belongs to a bigger company located 1200 km far away. Sometimes we bottle the liquid ( spirit beverage ready to be bottled) manufactured and sent by the big company.

The factory where I am working is implementing IFS requirements for a future certification.

 

Regarding the supplier management and assessment procedure  I am not sure about how to manage this situation.

Shall I consider the medium company as a provider in which case I expect the big company ask me for food safety documents or shall I act as a client in which case I should ask the big company for food safety documents about the spirit beverage manufacturing?

 

Thank you in advance for your comments.

Sincerely

Esther

 

 



#2 Tony-C

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Posted 18 April 2018 - 04:21 AM

Hi Esther, 

 

 

This can be covered off by compliance with:
4 Planning and Production Process
4.1 Contract agreement
4.2 Specifications and formulas
 
You should have an appropriate agreement & product specification for this arrangement including the necessary controls and monitoring.
 
Some things to consider, Is this a similar product to the one you are packing? Is it likely to introduce new hazards into your process?
 
Kind regards,
 
Tony

 



#3 Esther

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Posted 22 April 2018 - 11:16 AM

Thank you so much Tony-C for your comments. It has been of great help.

 

In response to your question the final product that this big company is sending us is a different from the ones we manufacture.

 

I was re- reading my original message and I think I missed a detail that could make a difference. The business group (= big company) my company belongs to is an IFS certified company with high level of comformity.

 

I think the easiest and sensible way to deal with this issue is to consider the  IFS certified big company as a supplier and then

  • In case the IFS certified company is sending us final product  ready to be bottled I will ask for the IFS certification and an agreement about the specifications
  • In case the IFS certified company is sending us packaging material from its approved suppliers I will automatically consider those suppliers as approved suppliers for our factory

 

But now the tricky issue comes with other clients who are sending us packaging material just and only to be used for their private label final products. My question is how to deal with this new situation. I was thinking in three scenarios

  1. Does it make sense to leave out of our future IFS certification all those private label final products when the packaging material are supplied by a non IFS certified client? Is it possible  under IFS certification conditions any way?
  2. Shall I ask the client  to allow us to contact directly with his supplier and treat such supplier as a supplier chosen by us
  3. Shall both ( the client and us) sign an agreement by which any future food safety or quality problem related to the packaging material is under the responsibility of the client?

Any one familiar with this situation?

 

Regards

Estehr



#4 Tony-C

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Posted 23 April 2018 - 04:14 AM

Hi Esther,
 
Your contract agreement with the owner of the private label should define the responsibilities for supplier assurance and for ensuring that the packaging meets specification (food safety & quality). 
 
Any necessary food safety and quality information related to the packaging should be available to you such that as well as controlling this product you can ensure that it does not affect your other products.
 
Kind regards,
 
Tony

 







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