In-Depth Decoding: The Art and Practice of PCBA Supplier Management

Similar to the human brain, PCBA is one of the most critical core spare parts. It is particularly important to manage a PCBA supplier effectively and ensure it continuously provides reliable, qualified products for the company. So, how can we manage a PCBA supplier well? Invited by the editorial team of Gallop, I am honored to share my PCBA supplier management experience by using supplier Z as a typical example.

After official cooperation was established with supplier Z, its Suzhou factory—established in October 2021—faced numerous issues such as unclear process definitions, chaotic on-site management, and poor staff execution. Its initial quality performance was barely satisfactory, with an average of 4,500 PPM in the first quarter, causing great trouble to the factory.

First, strong willingness to cooperate and a high level of management capability of the supplier's leadership team are essential for sustained improvement. Therefore, my first step was to lead four key departments of supplier Z—Quality, Production, NPI, and Manufacturing Technology (MT)—to form an improvement team consisting of managers, engineers, and frontline foremen. The team optimized processes including first article inspection (FAI), bulk material management, AOI false alarm management, and defective product management, while providing guidance to the supplier's team to enhance their management level.

Second, process does not equate to result, but it exerts a direct impact on the result. Process control is an effective method to ensure product quality. Thus, I set out to identify key positions and assign dedicated personnel to each role. From the perspective of operation methods, I made sure every employee knew what to do and how to do it scientifically. For instance, regarding bulk material management in SMT, I formulated specifications for material loading, unloading, and in-production bulk material handling, covering the entire process from the source of bulk materials to process control. Specialized record forms were also developed to facilitate problem tracing and accountability. Human operations are inevitably prone to omissions, so I introduced error-proofing mechanisms to reduce the probability of human errors. For example, in post-reflow AOI testing of SMT, manual scanning was optimized to automatic scanning by AOI device, eliminating the risk of untested products flowing to the next process. The AOI testing device was used before reflow on the insertion line to enable automatic interception of defects such as reverse insertion and missing components. I also optimized the MES system to block the outflow of products that skipped ICT testing. The improvement team held regular weekly quality meetings to review defective products and on-site management issues in each process, confirm the progress and effectiveness of improvements, and drive continuous optimization.

As one of the five key elements in on-site management—Man, Machine, Material, Method, and Environment—employee execution takes top priority. On the basis of dedicated personnel for dedicated positions, we established corresponding performance management systems, combined with accountability tracing and video monitoring. The implementation status of established management specifications was shared in communication groups in real time for confirmation.

Through the above improvement measures, coupled with frequent supplier site visits to ensure the depth of improvements and adherence to the principle of "resolving today's matters today" to guarantee progress, the project achieved remarkable results. A total of 85 issues were reviewed and targeted for improvement: 72 issues successfully resolved and implemented and 13 issues under continuous improvement. In the second quarter of 2022, the average quality performance reached the company's target of 2,000 PPM, and further improved to an average of 1,000 PPM in the third and fourth quarters.