Approving Suppliers - Approving Marketing Companies

[texkb]

During our last ISO audit the auditor found several holes in our approved supplier process. Since then we have initiated multiple steps in order to ensure the approval of supplier and purchasing only from approved suppliers. However, there are still several grey areas that we are unsure of in terms of if we are required to approve them. For example we are going to begin selling our product over in Germany around the start of the New Year. In the mean time we need to contact several marketing firms over in Germany in order to help us with the launch of the product. While these firms will be affecting how we sell and market our product over there they are not directly linked to our product. But because they will be affecting how we sell our product over there are we required to approve the marketing firms as approved suppliers and show why we chose them?

Thanks

 

[Golfman25]

No, I don't think so. I wouldn't. These firms have nothing to do with the product itself. They are not vendors who supply materials for you product. They are simply sales advisors. No different than your telephone vendor, printer, accountant, etc. Good luck.

 

[harry]

................................In the mean time we need to contact several marketing firms over in Germany in order to help us with the launch of the product. While these firms will be affecting how we sell and market our product over there they are not directly linked to our product. But because they will be affecting how we sell our product over there are we required to approve the marketing firms as approved suppliers and show why we chose them? ..................

From the business perspective, I would look at things from a wider angle. You are purchasing a marketing service - it needs to be evaluated and approved. What's commonly done at the start is to pre-qualify them based on criteria such as past record, experience in your line of business, testimonials and perhaps recommendations.

Only after having engaged them and satisfied with their service do you put them on your approved list. By the way, how do you approve new suppliers?

 

[somashekar]

From the business perspective, I would look at things from a wider angle. You are purchasing a marketing service - it needs to be evaluated and approved. What's commonly done at the start is to pre-qualify them based on criteria such as past record, experience in your line of business, testimonials and perhaps recommendations.

Only after having engaged them and satisfied with their service do you put them on your approved list. By the way, how do you approve new suppliers?

Also note that you are talking about a purchasing process, but this may not have anything to do with the purchasing department.
One or few of the several marketing firms over in Germany will have a direct effect over how you sell and market your product over there. So they are directly linked to your product, to reach them to your customers.
It would be most likely your marketing department who will determine which marketing firm they will work with and what controls they will exercise over the selected marketing firm.
All that your marketing department does to evaluate and select the marketing firm(s) and all that they will do to exercise control over them such that your core marketing process meets customer requirements will be the answer.
If you have trained your marketing department human resource well in these requirements and the requirement of records of evaluation, selection and ongoing controls, you are through.

there are still several grey areas that we are unsure of in terms of if we are required to approve them.

What I said above must clear you of marketing companies approval area.
Do come back if you have doubts on more specific areas.
Determination of processes outsourced and its controls does need a lot of finer attention, and specific to the outsourced process.

 

[texkb]

We currently approve suppliers by just a Supplier Selection Form. The form has 12 different areas for selection a supplier; sole source, corporate mandate, price/availability, promised delivery, certifications, samples, survey, references, terms and conditions, audit, location/convenience, and other. Then for whatever criteria is selected we require justifying documentation to be attached. Anyone in the company can fill out this form and request supplier approval but the Quality Manager must approve the addition to our approved suppliers list.

 

[Sidney Vianna]

While these firms will be affecting how we sell and market our product over there they are not directly linked to our product. But because they will be affecting how we sell our product over there are we required to approve the marketing firms as approved suppliers and show why we chose them?

I think the Internal Audit - Non conformity not easily fixable (Sales and Contracts) thread clearly shows how the management of customer expectations needs to be payed attention to. Many times, customer dissatisfaction happens because they were misled by "less than truthful" marketing and sales people and brochures. So, WITHOUT A QUESTION, marketing and sales can have a significant impact on customer satisfaction. Therefore your company should think seriously about outsourcing those processes!
But if your supplier screening/selection process is a non-nonsensical fill-out-these-forms-and-we-get-you-approved process, why bother? :mg:

Sometimes, not having a process is better than having a facade one. At least, no one has a false sense of security.

 

[Golfman25]

We currently approve suppliers by just a Supplier Selection Form. The form has 12 different areas for selection a supplier; sole source, corporate mandate, price/availability, promised delivery, certifications, samples, survey, references, terms and conditions, audit, location/convenience, and other. Then for whatever criteria is selected we require justifying documentation to be attached. Anyone in the company can fill out this form and request supplier approval but the Quality Manager must approve the addition to our approved suppliers list.

So does your Quality Manager "approve" who handles your phone service, or copy machines, computers, insurance, electric utilities, and cleaning bathrooms? It would seem to me that as a manufacturer of a product, procurement of marketing services is outside the scope of your system.

 

[Al Dyer]

texkb, Welcome

As to the first line of your post:

What were the holes in your approved process?


Al...

 

[texkb]

Our auditor initially made it sound as if we would have to approve those types of individuals. But we ultimately pushed back saying those services do not directly effect the product. He was somewhat reluctant on this but ultimately agreed. So no we do not approve suppliers for those types of items. It ultimately turned out by looking deeper into the companies we were looking at in Germany they were providing additional information/benefits besides just marketing that would effect how our product would be distributed in Germany so they would of needed to be approved anyways.

 

[texkb]

Before the audit our approval process was pretty much non existent. Any vendor that was going to be working with our product or providing us with parts for our product would go through an approval process but it was not governed by ISO documentation. Also even though some other items just as test equipment suppliers were not being approved even though it is pretty obvious they should of been. Since they audit though we have obviously corrected these issues and if there is even a question if the item is tied to the quality of the product we approve the vendor.