What HEPCO is basically codified for is to maximize value added for its beneficiaries, one important group of whom are suppliers of parts and raw materials, the long term and strong business with whom will certainly contribute to receive more and more qualified products and service.
From 1990 when HEPCO created "Supply Chain Management"(SCM), the company has simultaneously appointed professional engineering teams in supply and production segments to set and keep strategic cooperation with well-known brands around the world.
This "SCM" has resulted in an advantageous competition and qualified products that are delivered to the market on time. Here, HEPCO proceeding can be outline as below:
1. To identify suppliers (at least 5 ones for each product)
2. To evaluate the suppliers based on the standard indicators and defined qualifications
3. To supply necessary items from foreign brands through business with more than 60 main suppliers and OEM and also more than 100 suppliers by case. To supply items from the local market through business with more than 70 manufacturers and more than 400 suppliers by case.
4. To have technical cooperation with main foreign and local suppliers to maximize compatibility between orders and items received in HEPCO.
5. To set a system for registering parts ordering due time and capacity of the supplier are taken into account based on MRP and JIT approach.
6. To run a Change Management System in the orders with the main foreign and local suppliers.
7. To improve quality of products through multilateral cooperation between HEPCO – supplier and supplier – supplier.
8. To reject wrong items and secure shortages.
9. To strengthen mutual cooperation through individual meetings in which the ways to plan productions, to remove malfunctions, and resolve wrong orders are discussed.