Transforming Quality Control through Value Managed Relationships PPT

This PPT slide, part of the 80-slide Value Managed Relationships Analysis PowerPoint presentation, presents a case study on Value Managed Relationships (VMR) focusing on systems costs. It illustrates the transformation in quality control processes before and after implementing VMR between a supplier and a customer. Initially, 5 full-time equivalents (FTEs) were dedicated to quality control, with separate roles for the supplier and customer. This setup resulted in redundancy and inefficiencies in the quality inspection process.

Post-VMR implementation, the number of quality control FTEs was reduced to three, indicating a significant improvement in efficiency. The diagram highlights a shift to a joint quality control approach, which streamlines the process. The supplier and customer now collaborate more closely, allowing for direct feedback to the vendor and reducing the need for multiple inspections. This change not only cuts down on personnel costs, but also enhances the overall quality assurance process.

The slide emphasizes a 40% reduction in quality control costs, showcasing the financial benefits of adopting VMR principles. The visual representation effectively conveys the operational shift and the resulting efficiencies gained through collaboration. This example serves as a compelling argument for organizations considering VMR as a strategy to optimize their supply chain and reduce operational costs. The clear before-and-after comparison provides a straightforward understanding of the impact of VMR on systems costs, making it a valuable insight for decision-makers looking to enhance their operational frameworks.

This slide is part of the Value Managed Relationships Analysis PowerPoint presentation.

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