M
MikeSeymourAtl
I'm trying to interpret how the requirements for "purchased goods" have changed from 2008 to 2015.
We purchase raw materials / commodities to manufacture our finished product. I get it that what were "purchased goods" are now "external processes", and there is a nuance there that should not be overlooked. BUT, in practical terms, what needs to be changed in our purchasing, receiving, and supplier management function?
My take? We pretty much need to have a good ole control plan ( a la the automotive model) for our purchasing, receiving, and supplier management process. Key sentence here: " ..should define both the controls that it intends to apply to an external provider and those it intends to apply to the resulting output. " Which is to say, we (the purchaser) don't necessarily need to crawl inside the vendor's equipment - unless our risk analysis, and the ensuing control plan, dictates that level of granularity. More likely, we will have a document that lists out what we need to monitor, how and who, and what the metrics are.
What do you think?
We purchase raw materials / commodities to manufacture our finished product. I get it that what were "purchased goods" are now "external processes", and there is a nuance there that should not be overlooked. BUT, in practical terms, what needs to be changed in our purchasing, receiving, and supplier management function?
My take? We pretty much need to have a good ole control plan ( a la the automotive model) for our purchasing, receiving, and supplier management process. Key sentence here: " ..should define both the controls that it intends to apply to an external provider and those it intends to apply to the resulting output. " Which is to say, we (the purchaser) don't necessarily need to crawl inside the vendor's equipment - unless our risk analysis, and the ensuing control plan, dictates that level of granularity. More likely, we will have a document that lists out what we need to monitor, how and who, and what the metrics are.
What do you think?