Common use of Supply Chain Risk Management Clause in Contracts

Supply Chain Risk Management. (SCRM) 1. Ensures within its processes that requirements for Genuine ICT are imposed upon its direct suppliers, whether the direct supplier is a systems integrator, reseller or OEM. The requirements for assurance and supporting evidences shall include: a. That the contractor performs reasonable steps to ensure their SCRM Plan will be performed for ICT in its delivered and installed configuration. b. That the equipment resellers from whom the contractor purchases ICT have valid licenses for OEM equipment and software. c. That the ICT OEM is exercising quality control to ensure that counterfeit or illegally modified hardware or software components are not incorporated into the OEM product. d. That the contractor ensures traceability of assurance and evidence of genuineness of ICT back to the licensed product and component OEMs. 2. Ensures that products and components are not repaired and shipped as new products and components provided to the Government. 3. Ensures that supply channels are monitored for counterfeit throughout the product life cycle to include maintenance and repair. 4. Ensures independent verification and validation of assurances and supporting evidence, as required. The government intends to modify the contract as National Institute for Science and Technology (NIST) SCRM guidelines and standards evolve, and the contractor shall update its SCRM Plan to include such modifications at no cost to the government.