Supplier Management. Between Deming’s principles and those of the European Union

Undoubtedly, all of you will know the famous American statistician William Edwards Deming, a strong advocate of the need to transform American industry in the last third of the 20th century and who, at the same time, would develop a prosperous and relevant professional career during the reconstruction of post-WWII Japan.

In all likelihood, most of you will be familiar with Deming’s “14 Principles of Total Quality,” the fourth principle of which states that:

Don’t award business based on price; minimize total cost by having single suppliers on long-term relationships of loyalty and trust

In other words, something like: “end the practice of doing business based on price; instead, minimize total cost through a few suppliers based on long-term relationships built on loyalty and trust.”

Naturally, a principle is a fundamental idea that should govern a thought or behavior … which does not mean that it is possible to put it into practice at all times and under all circumstances!

Source: Melián Abogados
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Business Continuity Plan: before and after COVID-19

The current pandemic situation caused by the infamous COVID-19 (or Coronavirus) is impacting all areas of society: the first and most important, that of public health and the individual’s inherent primary survival instinct. Probably, the second concern is the economic impact that, as a worker or as an entrepreneur, the epidemic is causing in the operations and forecasts of companies and corporations of any sector and nature.

But the world does not stop … and organizations cannot afford to stop their business operations either!

Ilustración 1: Fuente Ejército de Tierra

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