Whirlpool Corporation acknowledges our role as an ethical, responsible business in the community and world at large. We operate our business according to the values that help make us successful in the marketplace and respected as one of the top enterprises in the world.
Whirlpool Corporation’s global quality program is directed by the company’s senior management and blends existing North American and European standards with those for the Malcolm Baldrige National Quality Award.
Six Sigma
Whirlpool has had a robust Six Sigma program since 1996. More than 1,500 Whirlpool employees have undergone Six Sigma training, including training them to use lean and six sigma techniques to improve quality and efficiency of manufacturing, technology and business processes and products. More than 70 employees have achieved Master Black Belt status.
All of its facilities around the global are held accountable to comply with and are audited against the Whirlpool Product Quality System requirement. Based upon the ISO 9001 standards, the Whirlpool Product Quality System requirement is more customized to the appliance industry and broader than the ISO 9001 requirements. The ISO is an international standards organization, and the 9000 certification series addresses quality management issues.
All Whirlpool facilities worldwide meet the Whirlpool Product Quality System requirements, which exceed the ISO 9001 requirements. However it is up to the individual plants to decide if they want to pursue certification. Approximately 60 percent of Whirlpool manufacturing facilities have achieved ISO 9001 certification.
Whirlpool Corporation’s leadership position in the appliance industry is built on its ability to offer consumers in every part of the world strong brands supported by innovative and competitive products and services. In order to do this, the company must successfully design, develop, manufacture and distribute products and services throughout the world.
The company’s Global Operating Platform strategy addresses its manufacturing and distribution challenges through a global manufacturing plan for each major product group. Whirlpool operates from a belief that each and every one of our facilities must be the best cost and best quality producers for the products and markets they serve and the company is constantly evaluating all aspects of its global operating platform.
The appliance industry is dynamic and competitive. Without a disciplined approach toward its global operating platform and in every aspect of its business, Whirlpool would not be able to succeed in the marketplace.
As part of the Whirlpool Corporation supply chain strategy, the company requires all major suppliers and service providers to comply with a series of performance guidelines and standards.
All Whirlpool suppliers must pass the Whirlpool Supplier Quality System Audit, the requirements of which are derived from international standards, including ISO 9000 and QS 9000, and Whirlpool-specific requirements.*
Suppliers also must agree to participate in external audits conducted by the Whirlpool quality group and abide by the company’s Supplier Code of Conduct.
*The ISO is an international standards organization, and the 9000 certification series addresses quality management issues. QS 9000 is a quality standard similar to the ISO 9000 that was developed by Ford, General Motors, and DaimlerChrysler. The QS standards take into consideration customer-specific procedures not covered in the ISO standard.
Whirlpool Corporation has long been committed to supporting women- and minority-owned businesses and ensuring that those businesses are part of the company’s competitive bidding process. In fiscal year 2007, nearly 3 percent of our total North American procurement spend was awarded to women- and minority-owned businesses.
Whirlpool Corporation is working to further embed an inclusive sourcing policy and guidelines into our purchasing procedures as part of the supplier diversity strategy for our North American Region. This includes additional employee communication and training, as well as an emphasis on helping to identify additional sourcing opportunities for diverse supplier participation.
We also are addressing barriers for these businesses in doing business with Whirlpool. For example, we found that while diverse suppliers tend to have lower overhead costs, the Whirlpool payment terms sometimes made it more difficult for them to do business with us. In 2007, Whirlpool launched a new payment process that allows suppliers to more easily meet its extended payment term requirements by providing them with the ability to sell their Whirlpool receivables at the company’s interest rate as early as 15 days from the receipt of goods and services. In most cases, this interest rate is lower than what they may have access to on their own and provides a cost-effective means for suppliers to meet their cash flow requirements and the Whirlpool payment terms. We expect this process will provide small and diverse suppliers with more opportunities to better compete for our business.