Past performance in supplier certification program : a study of current certification and incentive practices in certified supplier programs

Abstract

Since the mid l98Os both Government and private sector buying organizations have used certified supplier programs to improve the quality of their supplier base. Certified supplier programs improve a company's suppliers by requiring and recognizing excellent quality practices and by eliminating poor quality suppliers. This study examines current commercial and Government certified supplier programs, including the Army Contractor Performance Certification Program CP(2), in order to find successful certification techniques and recommend improvements to CP(2). Some of the better practices currently in use are: requiring a high level of past quality performance for certification, giving certified contractors more future business as an incentive for participation, and using ISO 9001 as the common standard for quality management processes. By adopting these techniques, the Army can improve CP(2) and make it an even more valuable program