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Supplier Quality Management (SQM)

The strategy and processes used to evaluate, monitor, and improve supplier performance.

Definition and context

Supplier Quality Management keeps multi-tier supply chains aligned with brand expectations and compliance obligations.

Metrics like defect rate tracking power supplier scorecards and business reviews.

Building an SQM program

It begins with risk-based supplier onboarding, capability assessments, and clear quality agreements.

Ongoing monitoring blends inspection data, delivery performance, and commercial feedback.

Driving continuous improvement

High-risk suppliers receive development plans, training, and frequent audits until performance stabilises.

Escalations may include SCARs for persistent issues.

Where this term fits in the workflow

Supplier Quality Management (SQM) is usually shown in the performance and improvement.

Terms tied to continuous improvement, supplier performance, line discipline, and long-term quality reporting.

What is KaizenQ?

KaizenQ helps factory teams record inspection results, defect photos, and notes in one report shared with the office.

Learn more
KaizenQ inspection report preview

Key takeaways

  • SQM balances risk, performance, and collaboration across suppliers.
  • Data-driven scorecards and SCARs encourage accountability.

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