ISO 22000: How to Write an ISO 22000 Supplier Selections and Evaluation Procedure?

What is  ISO 22000 Supplier Evaluation Process?

ISO 22000 is developed based on ISO 9001 management system elements where quality comes first. On the other hand good manufacturing practices as well as HACCP systems all depend of the material quality of supply. Thus it is mandatory to have a proper supplier evaluations and selection system which is also a major concern for ISO 22000 food safety management system too. Even in the FSSC 22000 it has became more concerned where it is basically a prerequisite program, but it can also be considered as a food safety procedure due to the importance of the ISO 22000 FSMS. In addition, Supplier evaluation is not only a requirement of ISO 22000  compliance, but it also guarantees the food safety and traceability throughout the food chain. The given procedure is based on ISO 22000 FSMS requirements which is not comprehensive but you can customize it in to your requirements by addition and removal of specific supplier compliance process.

 ISO 22000 - FOOD SAFETY PROCEDURE

FSP 11 – Supplier Evaluation and Selection 

Distribution:

1.         Director/General Manager

2.         Administration Manager

3.         Purchasing Manager

4.         Factory Manager

5.         Stores Manager

6.         Stores Executive

7.         Consultant – FSMS

1.0       Objective

To provide a transparent methodology with uniform consistency for the purchase of products or services, which shall ensure the fulfillment of relevant food safety/quality assurance requirements while establishing appropriate control measures to eliminate food safety hazards through incoming materials or services.

2.0       Scope

This procedure applies to all material purchases and services including sourcing, supplier selection and evaluations, maintaining purchasing up-to-date, development of alternative sources of purchasing while establishing, maintaining and upgrading the purchasing system.

3.0       Responsibility

3.1       General Manager           – Guidance and compliance with requirements

3.2       Purchasing Manager     – Selection & evaluation of new suppliers

                                                      – Periodical review of existing suppliers

                                                      – Inventory control, procurement planning & follow-ups  

3.3       Factory Manager            – Identification of materials & Service requirements

3.4       Consultant                       – Compliance with FSMS

3.5       Stores Manager               – Maintaining & updating inventory controls

                                                       – Receiving, inspection & documentation of correct items

                                                       – Storage & issue of materials according to FIFO principles

                                                       – Supervision of inventory and record keeping

Stores Executive                          – Collection of samples, supervision of material storing

                                                        – Record keeping and issuing of materials   

4.0       Activities

4.1       Supplier Evaluation & Selection

4.1.1   The material and service requirements shall be planned according to the production planning.  The forecasted raw material requirements shall be categorized and listed while calling suppliers based on company registered list of suppliers or by tendering.  

4.1.2  The suppliers shall provide all the relevant details including but not limited to; material safety data sheets, product descriptions, specific certifications (ISO 22000, ISO 9001, GMP, etc.) samples and other relevant data which may be specified by the production team time to time.  

4.1.3  The factory visits or external audits shall be performed as to the criticality of the materials where supplier shall responsible for third party audits if required while letting the purchasing team to make observations on their production facilities as well as up to the primary raw material receiving of any specific product manufactured by a given supplier.

4.1.4  Suppliers shall be selected based on previous ratings, capacity and quality of the materials supplied and the cost.

4.1.5  The each item shall be furnished with best suppliers or when material scarcity or cost is too high, alternative suppliers and temporary suppliers shall be contacted according to the list of suppliers.

4.2       Purchasing of Materials 

4.2.1  After selection and evaluation, the new suppliers shall be given with trial orders and their performances are evaluated, the second and further continuation of their service shall be based on the performance of the given orders.

4.2.2  Each such suppliers are evaluated after some time till sufficient information shall be collected before them become regular suppliers.

4.2.3  Each supplier shall be rated according to their performance and the status of the supplier ( priority, secondary, alternative or temporary) shall be offered according to the ratings.

4.3       Approved Supplier List  

4.3.1  The approved supplier list shall be maintained and updated continuously for each item and service required.

4.3.2  Each item shall be listed with relevant specific requirements to be fulfilled by the supplier and the relevant chemical, microbiological and physical hazards associated with and their maximum levels and testing reports to be attached.

4.3.3  Each such item supplies are closely monitored and relevant suppliers are educated according to the requirements and the understanding of the suppliers.

4.3.4  The check lists shall be maintained with verification for specific criteria for each item with food safety hazards, supplier control measures, product specifications and the communication on such parameters with suppliers. 

4.3.5  The key suppliers shall be selected based on their capacity to comply with specific requirements, on time delivery, material quality, effectiveness of service delivery, and specially food safety. 

4.4       Supplier Rating

4.4.1  The supplier evaluation and review shall comply with; in-terms of their production facilities, customer lists, capability of for on time delivery of specific product comply with procurement parameters. 

4.4.2  Trail order performance on given supplies and the evaluation of the product quality.

4.4.3  Market leadership, reputation and dealerships for safe and sound food product or raw materials supplies over sufficient period of time.

4.4.4  Any other parameters such as monopolistic suppliers who dominate the markets. 

4.4.5  All the suppliers and contractors who filtered through above selection criteria shall be given appropriate ratings and shall be included in the approved supplier list with adequate priority based on the ratings.

4.4.6  If a new supplier has to be appointed he shall come through the same procedure passing all the set parameters to be listed in approved supplier list. 

4.5       Purchasing Data

4.5.1  Raw material specification data sheets shall be prepared according to the ISO 22000 requirements. The same specifications shall be utilized for the purchasing requirements and provided to suppliers as a form of purchase order requirements. 

4.5.2  Following requirements shall incorporate in to the purchase orders according to the type of product or materials purchased.

• The product name, type, brand name,or any other specific product identification
• Material specification sheets, packaging, quantity, mode of dispatch
• The specifications documented for all raw materials and ingredients
• Requirements of the food grade materials, source of raw materials and food safety requirements specified. 
• Regulatory requirements where applicable
• Delivery requirements and costs where necessary 
• Product specifications for test reports, relevant certifications, method of product approvals  

4.5.3  The purchasing data shall document as described to ensure that all purchase data such as quantity, quality, food safety requirements, and delivery methods with dates. It is clearly documented and reviewed before approval of purchase order. If any guarantee certificate is required, the same requirement shall be communicated to the supplier.

4.6       Purchasing of Services 

4.6.1 Purchase of services such as calibration of equipment, instruments, maintenance equipment, pest control, fumigation, testing of products, shelf life, transportation, including air fright and marine, insurance, etc. shall be carried out through approved and accredited service providers. 

4.6.2  In such events, instead of issuing purchase orders, relevant heads of departments directly deal with relevant approved service provider, while purchasing manager shall maintain selection and evaluation with the help of relevant department heads for selection and evaluation of their services. 

4.7       Control of Suppliers

4.7.1   The type of the extent of control shall depend on the type of product or raw material purchased. The supplier's performance of the previous deliveries, impact of the products/materials being procured on the quality of the final product,  the quality  and food safety compliance records supplied with the delivery. 

4.7.2  The control measures shall be specified in the purchase order or in the contract.

4.7.3  All the raw materials/products/ingredients shall be tested at the factory after delivery according to the illustration given. If any material is rejected due to the failure of compliance to given specifications, the product shall be delivered to the supplier through his own cost of transportation. 

4.7.4  The external or internal laboratory test shall be conducted by the company as a main control measure for all chemicals, raw materials, ingredients etc.

4.7.5  All the necessary records related to purchasing and individual suppliers as well as service providers shall be prepared and maintained up to date.  

5.0       Reference 

5.1   Raw material Specifications  

6.0       Records  

6.1   Supplier Registration Form

6.2   Indent and Incoming Material Inspection Report 

6.3   Approved supplier/Contractor List

             1. Raw Materials & Ingredients 

             2. Services 

6.4  Supplier Performance Records

6.5  Supplier Ratings

6.6  Product Hygiene Records and Supplier Performance Check List