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Continuous Improvement Overview

As customers focus on cutting costs, distributors increasingly are required to document a commitment to quality and continuous improvement.  Whether this documentation is part of a formal quality certification, such as ISO, or remains more informal, the ultimate goal is to reduce the customer’s total cost of ownership by:

  • Improving quality.
  • Eliminating unnecessary inspections.
  • Reducing product failure.
  • Continually improving internal processes.

Whether continuous improvement is required to meet customer quality certification demands or pursued to reduce total cost of ownership, it benefits the distributor by:

  • Reducing errors.
  • Improving efficiency.
  • Improving profitability.
  • Improving customer satisfaction.

While many elements of traditional quality certification are manufacturer specific, the following recommendations may be implemented by distributors or manufacturers.  When implementing a continuous improvement system, companies should focus on:

  • Management: A commitment to continuous improvement starts with management and funnels down throughout the distributor operation by way of quality policies, system audits, and document and records management. 
  • Inputs: Quality standards should be implemented for all processes related to purchasing, procurement and receiving. 
  • Internal Operations: Continuous improvement of internal operations should address all elements of handling, storage, picking, shipping and delivery. 
  • Outputs: Quality standards should be implemented to address after-sale servicing and overall customer satisfaction. 
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Continuous Improvement System Elements
Developing a Quality Manual
Continuous Improvement Case Study Image
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