Welcome to Supplier Conference · Slogan here Your Slogan ... Zero Accident NG PPM Score = 40 points ... your Process aim to “Zero defect flow out” 3.Supplier does not submit

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Welcome to Supplier Conference Welcome to Supplier Conference

1414thth Supplier ConferenceSupplier ConferenceMay 20May 20thth,2011,2011

Meeting NoticeMeeting Notice

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AgendaMay 20th ,2011

13:00 Registration at ESIE Meeting Hall All13:30 Opening Speech Mr.Tanaka13:40 Presentation

• Marketing Mr.Cherdpan• Production Control & WH Mr.Prajob• Quality Assurance Mr.Amorn• Technical Mr.Vathit

14:20 Break(10 minutes) All14:30 Presentation

• Safety Health and Environment Ms.Samorn• QCC Activity and TLS Ms.Sirichaiy• Purchasing Ms.Kingdaw• Question & Answer All

15:10 Awards & Certificate Mr.Tanaka & Mr.Ito15.20 Closing Speech Mr.Ito

1414thth Supplier Conference Supplier Conference

Opening Speechby

Mr.Kyoji TanakaManaging Director

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PurchasingPurchasing

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Presentation Outlines

11 2010 Overview Supplier Performance 2010 Overview Supplier Performance 22 2011 Purchasing Policy2011 Purchasing Policy33 Cost Reduction PolicyCost Reduction Policy44 Supplier Development ActivitiesSupplier Development Activities55 Information Information 66 Request to SuppliersRequest to Suppliers

PURPURCHASINGCHASINGKingdaw NgooyaiSupervisor

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4

100 100 100 100 100 100 100 99 99 99 99 96 96 96 95 95 95 95 95 95 95 94 93 92 92 92 92 92 90 88 86 86 85 84

757980

100 100

0

20

40

60

80

100

E-M

IX

EPT

LORD

N

BTN

MTH SC

TSG

MTC

CTO

GO

BEW

NBM

TTA

ISEI

TMC

LEK

TZA

PTU

CC

ASH TIM

SNP

ATC

NIP

PO

TSA

TTTC

VC

STA

KEI

AH

TD

NT

HER

PRW YR

NTM TK

IA

EIPR

CSN

N

MIT

CH

WPL

TTA

C

93 9496

93

70

80

90

100

2007 2008 2009 2010Monthly Evaluation

1. 2010 Overview Supplier Performance

Trend of Supplier Evaluation ResultsTrend of Supplier Evaluation ResultsPoint

16 suppliers who have < 95 should be Improved

OverviewOverview

61%27 Suppliersachieved to

target

39%16 Suppliers

not achieved to target

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Metal GroupPoints


100 100 99 99 95 95 95 94 92 92 9085 84 80

75

0

20

40

60

80

100

Audit 20 20 20 20 20 20 20 15 20 20 10 10 10 10 0Delivery 40 40 39 40 40 40 39 39 40 35 40 39 38 36 39Quality 40 40 40 39 35 35 36 40 32 37 40 36 36 34 36Total 100 100 99 99 95 95 95 94 92 92 90 85 84 80 75

SGM TST BEW NBMT TIM CASH SNP VCS AHT YR NTM SNN MIT CHW TAC

47% was achieved the target

Should improve to achieve the target4/25

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Rubber & Plastic & Chemical Group

57% was achieved target

Should improve to achieve the target

Points


100 100 100 100 99 96 96 95 95 93 92 92 92 86 86 79

020406080

100

Audit 20 20 20 20 20 20 20 15 15 15 15 15 15 10 10 20Delivery 40 40 40 40 40 38 36 40 40 40 40 40 39 40 39 27Quality 40 40 40 40 39 38 40 40 40 38 37 37 38 36 37 32Total 100 100 100 100 99 96 96 95 95 93 92 92 92 86 86 79

E-MIX EPT NMT

H TCC TAISEI ZAP TUC NIPP

O TSA TAKEI DNT HER PRW AEI PRC PLT

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Bolt & Nut Group9599

020406080

100

Audit 20 15Delivery 40 40Quality 39 40Total 99 95

TMCL ATC

100 100 95

020406080

100

Audit 20 20 15Delivery 40 40 40Quality 40 40 40Total 100 100 95

LORD SCT TTTC

Trading Group Points Points

Good corporation, all suppliers achieved Quality and Delivery target


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6

100 96 88

020406080

100

Audit 20 20 15Delivery 40 40 37Quality 40 36 36Total 100 96 88

NBT EKT TKI

Aluminium Group Points


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67% was achieved target

Should improve to achieve the target

2010 2009 2008

Quality AHT, PLT(2 suppliers)

CHW, MIT, TAC, ZAP, TPT(TAKEI), PRC,CASH, PLT

( 8 suppliers)

TAC, PRC, CASH, CHW, MIT

( 5 suppliers)

Delivery TUC, YR, TKI, MIT, CHW, PLT(6 suppliers)

CHW, MIT, TAC, ZAP(4 suppliers)

TAC, PRC, CASH, CHW, MIT, TRHK

(6 suppliers)

ResultYear

Low score performance suppliers

Please improve Quality and Delivery performance


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Achieve 76%(40 suppliers)

50% from total(26 suppliers)

ISO14001: 2004

Achieve 67%(35 suppliers)

50% from total(26 suppliers)

ISO/TS16949:2009

ResultResult2010 target2010 targetStandardStandard

Total suppliers are 52 There is 1 supplier dose not gain any standard, Please provide us the

achievement Plan

The achievement of International standard

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2011Purchasing Policy Purchasing Policy

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1.Cost 1.Cost To reduce cost of material 4% for this year (The market price

should reduce timely, set up VA/VE and Localization)2.Quality 2.Quality

To strengthen of quality performance of suppliers3.Delivery3.Delivery

To maintain supplier 100% on time of delivery performance and develop delivery issues

4.Safety4.SafetyTo enhance suppliers has safety working environment

5.Management5.ManagementKeeps closely communicate in material stock management Continue improvement Supplier to achieved ISO/TS16949 and

ISO14001

2. 2011 Purchasing Policy

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3. Cost Reduction Policy3. Cost Reduction Policy2010 Cost Reduction results

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Tot

al A

ccum

ulat

ed (%

)

-0.8

1.16

0.010.4 0.7 0.21

0.810.29

-4

-3.5

-3

-2.5

-2

-1.5

-1

-0.5

0

0.5

1

1.5

2

2.5

3

3.5

4

LORD ZAP TIM SCT SNP MIT MEIRA TAC TTTC Y.R.

0.59 0.57

Target -2%

2010 CR target was -2%Result was up 0.082%

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Y2011, We ask corporation From Supplier to reduce the cost 4% by1.VA/VE activities and Localization2.Material sourcing change on equal

specifications.

Cost Reduction Announcement

2011 Cost Reduction Policy

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3. Cost Reduction Policy3. Cost Reduction Policy

4. 2011 Supplier Development Activities2011 Supplier Development ActivitiesTo develop suppliers for both manufacturer and trader

in term of Quality, Delivery and management.

Number of Suppliers.

SupplierType

37• Supplier who gained < “B” in 2010 and/or 2009• Supplier who self audited in 2010• New suppliers

Audit at site

15• Oversea suppliers• Traders• Supplier who achieved “A” in 2010

Self Audit

Audit criteria

Start from June – Dec 2011

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1. NMTH 8.DTR2. NBT 9.TRT3. TCC 10.TRI(S)4. TRI 11.TRHK5. TRP 12.NBMT6. SANYO 13.LORD7. JEBCO 14.TTTC

15.SCT

4. 2011 Supplier Development Activities2011 Supplier Development Activities

1.ATC 2.AEI 3.DNT 4.PRC 5.AHT 6.BEW 7.EKT 8.NIPPO 9.SNP 10.TMCL

11.TUC 12.YR 13.E-MIX14.SNN 15.TPT(TAKEI)16.LASER 17.CHW 18.PLT 19.TSA 20.TAC

21.VCS 22.HER 23.MIT 24.TIM 25.ZAP 26.TKI 27.SGM 28.PRW 29.TST 30.NTM

31.EPT, 32.TPT(TAISEI) 33.SC 34.NOK 35.SM 36.CLPI37.C.A.S.H38.NIFCO

Audit at site

Self audit

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80% achieve or more 2 suppliers

ISO14001: 2004

75% achieve or more 4 suppliers

ISO/TS16949:2009

2011 targetStandard

Suppliers development TargetSuppliers development Target

Why suppliers should achieving?Why suppliers should achieving?+ Global Competitiveness+ Business reliability+ Well organizations

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4. 2011 Supplier Development Activities2011 Supplier Development Activities

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5. Purchasing Information

• Down load Monthly Evaluation score

• 10th Revision of Supplier Manual

• Changing Monthly Evaluation Criteria

• 2011 Awards Criteria

• Next Meeting

• Contact persons

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YourSlogan

here

YourYourSloganSlogan

herehere


Go to websitehttp://www.ter.co.th/supplier_manual/

Login and pass word

Welcome! Supplier: Tokai Eastern RubberClick OK

Down load

Down load Monthly Evaluation score

•Upload by 25th of month start from April 2011’s result18/25

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The 10th Revision of Supplier Manual can be up load from TER’s website from now on

Detail of changes Detail of changes <main points><main points>Asset assessment at supplier site such as Mold and measuring equipmentIntegration of Technical & SoC requirementThe latest Version of TLS:2010Changing point of Supplier evaluation criteria


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Year 2010

1.Quality score = 40

2.Delivery score = 40

3.Annual audit score = 20

Total score = 100Target = 95

Changing of Monthly Evaluation Criteria

Year 2011

1.Quality score = 45

2.Delivery score = 45

3.Annual audit score = 10

Total score = 100Target = 90

Old New

Effective from April 2011


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2010 Awards Criteria2010 Awards Criteria

2%

2%

Cost Reduction(C Award)

Safety and TLS(80:20)

Delivery(D Award)

Quality(Q Award)Business Type

Score>95 points +Zero Accident

Score = 40 points-Trader company


Score = 40 pointsNG PPM(Result = 0)

Manufacturer

The awards in 2010 are Quality, Delivery, Cost and Safety as above criteriaSafety and Thai Labor Standard ratio is 80:20 points and no fatal accidentIf supplier got fatal accident, will not allow to get any awards


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2011 Awards Criteria2011 Awards Criteria

4%

4%

Cost Reduction(C Award)

Safety and TLS(80:20)

Delivery(D Award)

Quality(Q Award)Business Type


Score = 45 points-Trader company


Score = 45 pointsNG PPM(Result = 0)

Manufacturer

The awards in 2011 are Quality, Delivery, Cost and Safety as above criteriaSafety and Thai Labor Standard ratio is 80:20 points and no fatal accidentIf supplier got fatal accident, will not allow to get any awards


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Next Half Year meeting will be held in November 2011November 2011

Attendants should be Thai who is the person in charge

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038-893557-61 Ext.210

[email protected]

Deputy Managing Director

Ms. Tatsuya Ito1

038-893557-61 [email protected]

Purchasing Staff

Ms. Somjit Nutteecharoen4


Asst.Sr.staffMs. Ploenjai Hompaya3


Purchasing Supervisor

Ms. Kingdaw Ngooyai2

PictureContact No.PositionNameNoContact persons for purchasing

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1.Supplier does not achieved Cost reduction target

•Strongly submit idea for VA/VE activities •Looking to Localization not only direct material but include indirect material•Apply Cost reduction activities to Sub-Supplier

2010 Troubles2010 Troubles RequestRequest to Suppliersto Suppliers7. Request to Suppliers

2.Low score performance suppliers

•Should control Quality and Delivery closely•Communicates with operators about customer’s claim• Please set up quality improvement activity to improve your Process aim to “Zero defect flow out”

3.Supplier does not submit Process ChangeNotice

• Supplier should inform source of Material that change• Supplier should following SPSW requirement

4.Unpredictable situation occurrence

•Keep closely contact with us and risk management reviewing•Make sure supplier has appropriate manage in Material and Finish

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CC hangehange! for good! for good FutureFuture

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QQuestionsuestions && AAnswersnswers

Closing Speechby

Mr.Tatsuya ItoDeputy Managing Director

Documents

Welcome to Supplier Conference · Slogan here Your Slogan ... Zero Accident NG PPM Score = 40 points ... your Process aim to “Zero defect flow out” 3.Supplier does not submit