So, how did I answer?
I said that conducting surprise supplier audits are definitely a worthy idea. Too many times, we hear about manufacturers getting bad publicity because of problems in their overseas suppliers' factories and those problems would have been avoided if only there was a little physical oversight by the manufacturers' supply chain teams.
That being said, I consider it best when you specify in the contract that you have the right to conduct surprise supplier audits without notice. You actually want the supplier to expect to be surprised.
Because the ultimate goal is not to catch your supplier doing something wrong, but to persuade your supplier to do the right things...even when you're not watching!
Charles Dominick, SPSM, SPSM2
President & Chief Procurement Officer - Next Level Purchasing Association
Author - The Procurement Game Plan
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