SUPPLIER EVALUATION AND PERFORMANCE APPRAISALS OF CUTTING TOOLS

MCAIR (McDonnell Aircraft Company) insists upon buying tools to specifications whenever possible. Reasons for this are discussed. The Supplier Evaluation system varies depending on the type of tools purchased and depending on the effect of the tools on over-all cost. A Quality Index is maintained which compares suppliers' performance based on quantity and severity of rejections. A method for allowing premium prices to be paid for premium tools is being used at MCAIR. A Relative Performance Factor is used by purchasing to factor bid prices proportionate to performance. Suppliers which lead to acceptance or rejection of items which they manufacture.