Quality Objectives. The Buyer has committed to a zero-defect target in regard to its customers. In the same way, the Supplier commits to a zero-defect target in regard to the Buyer, and shall communicate this target internally and to its subsuppliers. Where faultless deliveries cannot be guaranteed, the Supplier shall agree interim targets with the Buyer (time-limited upper threshold for defect rates). The Supplier shall introduce continuous improvement measures, as well as measures to achieve the zero-defect target. Interim targets, defined as upper thresholds, are documented, e.g. as ppm or BBK agreements. Underrunning agreed upper thresholds releases the Supplier neither from its obligation to process all complaints nor from its liability for defective shipments. In case of overrunning the agreed upper thresholds, the Supplier shall, on its own account, introduce effective improvements on short notice and shall keep the Buyer continuously notified of progress. The Supplier’s liability for defective shipments remains unaffected by the agreement of upper limits. Quality meetings on prioritised issues, e.g. preventive quality assurance, assessment of the shared quality data, defect discussions, discussion of current issues, etc., shall take place on the insistence of a contracting partner. In cases of escalation, the Supplier undertakes to participate in talks at management level.
Appears in 4 contracts
Samples: Quality Assurance Agreement, Quality Assurance Agreement, Quality Assurance Agreement
