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| INSPECTION |
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| AUDIT |
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| SUPPLIER
MANAGEMENT |
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| PRODUCTS
& CLIENTS |
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| ABOUT
AMREP |
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When is a Supplier not the Supplier?
When the factory owner does not know that his factory management
owns other factories! This is a supplier that you have entered
into a production contract with. You will be puzzled by the
consistent poor quality defects and the unco-operative nature
of the factory management. You will not be aware that the components
and sub-assemblies are being produced elsewhere. AMREP had hard
disk drive customers whose supplier at Banyan Lapas, Penang,
Malaysia had a management team consisting of the VP Production,
VP Quality and VP. Manufacturing were making money from the
supplier and the customer. We only knew the reason for the resistance
to quality improvement when one of the managers boasted about
his cleverness to our rather attractive customer quality representative.
No wonder there was such strong resistance to our quality interference.
And there was the Singapore Company that bought television
sets from an established Chinese factory in Shenzhen. The
quality was bad and it looked bad. The reason for losing money
was because the Singapore Company was unaware that they had
opened a purchase order to the supplier’s manager who
owned an unlicensed factory somewhere else in Shenzhen.
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