Course : MLSCC 183 (Strategic Sourcing and Procurement Management)

Facilitator : Dr. Ma. Teodora Gutierrez

Group Work : Discussion_Access Industries Case Study
Group Members : Mr. Juharel Alba
Ms. Evelyn Eviota
Mr. Emelito R. Navarro Jr.
Mr. Alvin Pugoy
Ms. Jelliane Reyes
Mr. Wesley Tambong
Mr. Nicole Gerald Figuracion

Background of the Case:

Accent Industries is a US-based consumer goods company whose strategy is to

provide their customers with excellent service by being the leader in price, service
and convenience. To implement this strategy successfully, the company has
developed organizational objectives including being a low-cost producer, providing
the highest quality products to its customers, and offering the best customer
service, delivery and responsiveness in the industry. Accomplishments of these
objectives need a lot of collaboration and cooperation from the company’s
suppliers, and ensure that their internal processes are stable, coupled with
incorporating continuous improvement across the organization. The short case
discussed mostly the strategies of Accent Industries related to supplier
management.

After consolidating all the inputs of the group members, listed below are our key
takeaways on this case:

1. Comprehensive and Collaborative Supplier Measurement Process

Accent Industries has developed and implemented a purchasing and supply

chain measurement system to assess/measure the performance of their
suppliers. This measurement system is composed of 7 steps to include:

1.1 The establishment of measures, objectives and targets

1.2 Formalize the objectives in the form of policies and procedures
1.3 Communicate objectives to the supply base
1.4 Get suppliers feedbacks on the objectives
1.5 Modify the measures and objectives as needed
1.6 Disseminate and implement the measures and objectives
1.7 Collect and maintain performance data

It should be noted that the company does not only end with the
collection of performance data, but instead continue to collaborate and
work with their suppliers for areas of of improvement as shown on the
performance data collected.
 2. Focus on Comprehensive Performance Measures/Metrics

The company has developed and used a comprehensive set of

performance measures that are aligned with the organization’s objectives.
By evaluating suppliers across multiple dimensions such as quality, cost,
delivery, service, and inventory, the company can gain a detailed
understanding of their performance and identify specific areas for
improvement.

The insight gained is that employing a wide range of performance

measures enables a detailed evaluation of suppliers, considering different
aspects within the supply chain.

3. Supplier Relationship Management

Building strong relationships with suppliers is critical. Access

Industries may emphasize the importance of effective communication,
collaboration, and mutual understanding. The company can learn about
supplier capabilities, challenges, and innovations through regular meetings,
feedback sessions, and joint initiatives. This approach fosters a
collaborative environment in which both parties work together for mutual
success.

Supplier collaboration is a critical part of SRM. Aligning supplier goals

with the company’s organizational objectives ensure that expectations are
explicit and achievable. By fostering collaborative relationships and working
towards shared goals, the company can drive continuous improvement and
achieve overall excellence in the supply chain.

In all the three (3) key takeaways discussed above, it should be noted that
Accent Industries should implement continuous improvement programs within its
supply chain. This involves encouraging suppliers to identify and implement
efficiency gains, cost reductions, and quality improvements over time. By fostering
a culture of continuous improvement, the company and its suppliers can
collectively enhance processes and deliver better value to end customers. One
such area of continuous improvement is the company’s plan of employing the
“Total Cost of Ownership” model in their supplier evaluation and selection
process. This is to emphasize that the company should really adapt to ongoing
changes in the environment (both internal and internal) through continuous
improvement.