The need for a fully qualified and robust supply chain is critical to BEL Valves if demanding project requirements are to be met.
The classic ‘Quality-Cost-Delivery’ (QCD) model is only the basic requirement for a supply chain that must also be flexible, adaptable and safety conscience to meet the high levels of service required by BEL Valves.
The major elements of our supply chain are to;
The major elements of our supply chain are to;
- Select and engage with suppliers who demonstrate a strong Health and Safety culture
- Select and engage with the optimum suppliers based upon technical and production capability
- Manage the supply chain by measuring performance on QCD and service criteria
- Pro-actively implement improvement by ‘Continuous Improvement’
Supplier Selection – Health, Safety and Environmental requirements
Supplier commitment to HSE is critical to our supply chain management. All key suppliers are required to provide HSE accident data on request and commitment to achieving ISO 14001 and OHSAS 18001 is recognised in the ‘Vendor Rating System’ (VRS) used to measure supplier performance.
Supplier Selection for Component Supply
All potential new suppliers are fully evaluated before they can be added to the ‘Approved Supplier List’ (ASL).
The evaluation process consists of a ‘Supplier Self Assessment’ Questionnaire which is completed by the potential new supplier and which collects information regarding existing capabilities.
Suppliers are scored using a weighted system which also takes account of criticality of supply.
A pre-requisite for suppliers of critical components is ISO 9001 accreditation with a UKAS approved authority. The self assessment is also re-issued to suppliers on a regular basis.
If the decision is made to progress further with the supplier, then a full system and/or process audit may be carried out.
The first components supplied by the new supplier will be automatically added to the BEL Valves ‘Goods-In Inspection’ (GII) process and the level of certification required from the supplier will be reviewed.
The content of the certification required is defined by the criticality of the component being supplied.
Supply Chain Management
We are committed to meeting our customer quality assurance requirements. This means that if material must originate from certain geographic sources, such as Western Europe as specified by several Oil and Gas end-users, then the BEL Valves’ supply chain will be structured to meet this requirement. Critical material is fully traceable and critical production stages are witnessed .
The Purchasing Team at BEL Valves is divided into two sections – one controlling the purchase of raw material (for example, castings, forgings, bar and plate) and another controlling ‘bought-out-complete’ items (for example, gear boxes, seals, fasteners and hydraulic fittings). All components are purchased to meet the needs of the business using an advanced ERP system.
Regular meetings are held with key suppliers to review current and forecast orders. One of the main philosophies is to identify and work with a selected group of ‘Key Suppliers’ so that the close working relationship can be maintained. Supply Agreements are in place with certain key suppliers to mitigate supply chain risk.
All key suppliers are assessed using a comprehensive ‘Vendor Rating System’ (VRS) to constantly measure supplier’s performance over a range of criteria including HSE, Quality, Commercial, Delivery and Service. The VRS and all supplier related quality assurance is managed by a dedicated team in the Purchasing Department. Each supplier receives an individual performance record as shown below.
View Supplier Performance Report
A supplier development process is used to manage the improvement of suppliers. This process consists of regular ‘Supplier Rating and Review Meetings’ which use such tools as the VRS to identify improvement activities which are implemented using the ‘Plan-Do-Check-Act’ (PDCA) process. All improvement activities that are identified are assigned targets and are monitored using the PDCA process.
A regular systems audit schedule for key suppliers is maintained. Systems and/or process audits are also carried out if required.
Major supplier QA issues are raised using the ‘Supplier Quality Concern’ (SQC) process which is used to notify a supplier of an issue and for the supplier to investigate the root cause of the issue and implement a permanent resolution. The key objective is to prevent the repetition of the issue.
View Supplier Selection, Evaluation and Performance
The Supplier selection, evaluation and performance process is mapped and forms an integral part of the BEL Valves business processes.