Certified Maintenance & Reliability Professional (CMRP) Practice Exam

What approach does Deming recommend regarding suppliers?

1. Award contracts based on lowest price

2. Use multiple suppliers for better variety

3. Move towards a single supplier for each item

4. Rotate suppliers frequently to encourage competition

The correct answer is: Move towards a single supplier for each item

Deming advocates for cultivating a strong, collaborative relationship with a single supplier for each item, as this approach fosters trust and allows for better communication, quality control, and continuous improvement. By working closely with one supplier, organizations can ensure a more reliable supply chain, reduce variability in product quality, and benefit from the supplier's expertise and understanding of the organization's specific needs. Moving towards a single supplier enables the establishment of long-term partnerships, which can lead to improved efficiency and innovation. Suppliers who are engaged in a committed relationship are more likely to invest in quality enhancements and process improvements, streamlining operations and ultimately lowering costs in the long run. This approach stands in contrast to strategies like selecting suppliers based solely on the lowest price, which may compromise quality, or frequently rotating suppliers, which can disrupt consistency and hinder the development of strong relationships.