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Quantitative Analysis of Supplier Quality Surveillance Practices in EPC Projects
AbstractThis study was funded by the Construction Industry Institute (CII) to investigate effective supplier quality practices that can reduce rework associated with supplied components in engineering-procure-construct (EPC) projects. The motivation was to analyze how the level and amplitude of inspection in different stages of a supply chain (from fabrication to mechanical completion) affect the resulting quality of products as measured by the number of nonconformances (NCs) found in its different stages. Quantitative data were collected using an instrument used by CII member organizations to submit data on actual purchase orders and analyzed using the Mann-Whitney (M-W) test on the nonparametric set of data obtained. Following the statistical analysis, interviews with subject matter experts, face-to-face presentations, and sharing of reports with the research team were used to clarify questions, interpret the data, and validate conclusions. The results provide insights regarding where inspection is most needed and indicate that some of the following supplier quality surveillance (SQS) practices are correlated with improved supplier quality: observation and inspection in the supplier’s facility; development and use of a quality control or inspection and testing (QC/IT) plan; planning in concert with suppliers; increased communication before and during execution; and postproject completion assessments (PPCAs) of supplier performance. Results also showed that registered or certified suppliers do not show a statistically significant relationship to improved quality. Finally, the study contributes to explaining how process inspections are directly linked to the number of resulting product nonconformances, identifying which practices used by suppliers and owners/contractors are more effective in reducing the number of nonconformances in a product, and identifying potential indicators that can be collected during the execution of purchase orders and associated with the final quality of products.
Quantitative Analysis of Supplier Quality Surveillance Practices in EPC Projects
AbstractThis study was funded by the Construction Industry Institute (CII) to investigate effective supplier quality practices that can reduce rework associated with supplied components in engineering-procure-construct (EPC) projects. The motivation was to analyze how the level and amplitude of inspection in different stages of a supply chain (from fabrication to mechanical completion) affect the resulting quality of products as measured by the number of nonconformances (NCs) found in its different stages. Quantitative data were collected using an instrument used by CII member organizations to submit data on actual purchase orders and analyzed using the Mann-Whitney (M-W) test on the nonparametric set of data obtained. Following the statistical analysis, interviews with subject matter experts, face-to-face presentations, and sharing of reports with the research team were used to clarify questions, interpret the data, and validate conclusions. The results provide insights regarding where inspection is most needed and indicate that some of the following supplier quality surveillance (SQS) practices are correlated with improved supplier quality: observation and inspection in the supplier’s facility; development and use of a quality control or inspection and testing (QC/IT) plan; planning in concert with suppliers; increased communication before and during execution; and postproject completion assessments (PPCAs) of supplier performance. Results also showed that registered or certified suppliers do not show a statistically significant relationship to improved quality. Finally, the study contributes to explaining how process inspections are directly linked to the number of resulting product nonconformances, identifying which practices used by suppliers and owners/contractors are more effective in reducing the number of nonconformances in a product, and identifying potential indicators that can be collected during the execution of purchase orders and associated with the final quality of products.
Quantitative Analysis of Supplier Quality Surveillance Practices in EPC Projects
Neuman, Yoshua (Autor:in) / Needy, Kim LaScola / Walsh, Kenneth D / Alves, Thaís da C. L
2015
Aufsatz (Zeitschrift)
Englisch
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