Supplier Workshop

PT. Sumiati Ekspor Internasional has begun a program to introduce all our suppliers to variety of ideas on how to improve their business in a variety of ways. Our first step in this process was to enlist the help of Professor Manuaba and his team from the Medicine Department of Physiology at Udayana University. Working together with his team PT. Sumiati set out to survey a variety of our suppliers and begin the study how we could work together to improve their business. In this survey we hoped to learn some of the areas where we could work with our suppliers to improve their overall situation. After completing survey of 15 suppliers making a variety of items including photo albums, wood carvings, mosaics, ceramics, etc. We decided our first step would be to hold a workshop with all 112 suppliers we presently buy from.

On January 14, 2007 we held the workshop concentrating on main areas, such as:

1. Health and Safety
Our presentation were covering basic aspects of health and safety and suppliers responsibility to their staff in this regard. This included such important issues as fire safety, proper storage of chemicals, clean comfortable work place, proper ventilation, and introduction to personal protective devices such as protective masks, eye wear, and safety shoes, etc.

2. Production Issues
In this presentation we went over the production process and our production team went over a variety of important issues in the production process. Including:

  • Ensuring from receipt of order that all is clear.
  • Planning process.
  • Following up and overseeing sub contractors.
  • Storage of goods during production.
  • Moisture and mold issues.
  • Packaging.
  • On-time delivery.

3. Quality Control
During this presentation we went over the importance of ensuring they are shipping a quality product and how important that is to ensuring reorders are received. Concentrated on how important it is that they oversee and ensure quality from their craftsman. Went over some problems in coloring, sizing, and balancing that we have been experiencing. Big emphasis on how good quality translates into more orders.

4. Product Development
Although PT. Sumiati puts a high value and invests heavily in product development we felt it is important that our suppliers also develop products as well for their own businesses. We went over how important it is for them to quickly and carefully make samples for us when requested. We also gave them ideas on how they could develop products on their own. One aspect highlighted was the importance of learning how to research items on the internet. It was interesting to learn that not one of our suppliers had any experience in using internet.

5. Suppliers Responsibility to Staff.
Professor Manuaba from the Medicine Department of Physiology at the university of Udayana went over how it is employers obligation to staff to provide a living wage (fair compensation), to ensure a comfortable and safe work environment, keep working hours within limits set by government of Indonesia, ensure children are only employed as per regulations set by government. At PT. Sumiati we consider this a priority and hope through education we can help our suppliers to understand their obligation in regards to this important aspect of running a business fairly.


Summary

To summarize we feel our meeting with our suppliers was a success and we reached our goal of introducing our suppliers to what we know are important issues for them, ourselves, and for our customers. This small but important step will be followed up with two projects to be funded and implemented by PT. Sumiati. during workshop we offered suppliers a chance to register interest for these two projects.

To summarize we feel our meeting with our suppliers was a success and we reached our goal of introducing our suppliers to what we know are important issues for them, ourselves, and for our customers. This small but important step will be followed up with two projects to be funded and implemented by PT. Sumiati. during workshop we offered suppliers a chance to register interest for these two projects.

Pilot Project 1
PT. Sumiati will choose a small number of suppliers and go into their workplace review their organization and make a plan to implement all aspects that were covered in workshop. interest, in this was limited but 7 suppliers registered and it is a good start.

Pilot Project 2 – Internet Education program.
PT. Sumiati will set up a training course to teach suppliers about how to set up and use email as well as how to search the internet for new ideas and inspiration for new products and designs. There was a great response to this with over 30 suppliers signing up.

We will continue with our project to improve our suppliers businesses.