Supplier Quality Improvement Process

Abstract

The Chevron Supplier Quality Improvement Process is described herein. It starts by recalling the history of major mechanical equipment failures in the oil business. These problems led Chevron to the development of a specification and inspection dependent response. Eventually, when this self defense reaction proved to be less effective than required, Chevron Engineering began to think about improving quality by improving the business relationships with our suppliers. An investigation of problems in newly constructed facilities was carried out. This confirmed the extensive financial losses to Chevron Corporation, cause by poor quality in a wide range of process plant hardware. To correct this problem, they set about learning how companies like Xerox and Ford had, over a period of years, made significant improvements in the quality of components and materials they bought to go into their products. And now we have started to apply these proven successful methods. The Chevron approach and the current status of our supplier quality improvement process will be outlined