1. technology and computing

SUPPLIER MANUAL
Key Technology, Inc.
150 Avery Street
Walla Walla, WA 99362
+1 (509) 529-2161
Key Technology Supplier Manual 1.3
Revised: October 14, 2013
Key Technology Supplier Manual
1. Introduction
1.1 Scope
1.2 Exceptions
1.3 Required References
2. Key Technology Guiding Principles
3. Supplier/Customer Partnership
3.1 Preferred Suppliers
3.2 Supplier Code of Conduct
3.3 Supplier Selection
3.4 Product Design
3.5 Key Technology Assets/Property
3.6 End Of Life Issues
3.7 Supplier Chargeback Guidelines
3.8 Nonconformance Found at Key Technology and Corrective Action
3.9 Returned Nonconforming Product
4. Quality and Delivery Requirements
4.1 Quality Requirements
4.2 Delivery Requirements
4.3 Sub-Supplier Management
4.4 Workmanship
5. Supplier Performance Rating
5.1 Supplier Report Card
5.2 Unacceptable Status
5.3 Unplanned Supplier Business Review Meetings
5.4 Supplier Development
6. Identification, Packaging, and Traceability
6.1 Identification
6.2 Packaging
6.3 Traceability
6.4 Country of Origin
6.5 United States Free Trade Agreements
6.6 International Suppliers
6.7 Safety, Environment, and Hazardous Materials
6.8 Conflict Minerals
7. Nonconformance and Deviation
8. Continuous Improvement/Cost Reduction
9. First Article Requirements and Notification
9.1 First Article Sample Submission
9.2 First Article Documentation Requirements
9.3 Notification Requirements
9.4 Submission Requirements
9.5 Advanced Quality Planning
10. Confidentiality
11. Revision History
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Appendix A: Supplier Request for Approval (SRA) – Revised October 14, 2013
Appendix B: Part Submission Approval (PSA) – Revised October 14, 2013
Appendix C: Corrective Action Report (CAR) – Revised October 14, 2013
Appendix D: Workmanship Requirements – Revised October 14, 2013
Appendix E: Traceability Requirements – Revised October 14, 2013
Appendix F: Supplier Code of Conduct – Revised October 14, 2013
Appendix G: Supplier Quality Management System Audit – Revised October 14, 2013
Appendix H: EICC-GeSI Conflict Minerals Reporting Template – Released October 14, 2013
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1. Introduction
This manual outlines Key Technology’s expectations for products and services purchased from suppliers.
Additional requirements outside of this standard would include Engineering drawings, Key Technology
procedures, and Purchase Order Terms and Conditions.
By conducting business with Key Technology, you are acknowledging that you have reviewed and
accepted the conditions stated in this manual.
All commitments for products and services are communicated to suppliers through Purchase Orders,
which include by reference Key Technology Purchase Order Terms and Conditions.
1.1 Scope
This Supplier Manual applies to suppliers to Key Technology supplying materials, components, or
services that become a part of the finished product, and are manufactured to Key Technology prints or
specifications.
The manual excludes MRO suppliers and suppliers of off-the-shelf components, unless specifically
indicated on the PO that compliance is required.
1.2 Exceptions
Conformance with these requirements may only be waived in writing through Key Technology
Purchasing and Quality Assurance Management using the Supplier Request for Approval (SRA) form
(Appendix A).
1.3 Required References
At times Key Technology may reference industrial or International references that are required. These
could be specifications, procedures, etc. that may have to be purchased by the supplier from third party
document sources.
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2. Key Technology Guiding Principles
Vision
To be the ULTIMATE partner of choice.
Mission
We are one team committed to adding value to our customers’ business by delivering the most
innovative and trusted process improvement solutions in the world.
WE ARE COMMITTED TO:
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conducting business with integrity and respect
focusing on food and other select markets
continuously improving the yield, quality, safety, and affordability of our customers’ products
collaborating with our customers to solve their complex challenges
providing and environment for our employees to grow, develop and win
achieving sustained profitability and shareholder value
Core Values
Integrity
· Transparency
· Courage to express
convictions
· Accountability
· Consistency
Trust
· Empowerment
· Respect/Courtesy
· Honesty/Loyalty
· Confront reality/Talk straight
· Authenticity
Speed and Agility
· Decisiveness/Execution
· Effective decision-making
· Sense of urgency
· Discipline/Focus
· Risking to win
Collaboration
· Teamwork
· Listening/understanding
facts/purpose
· Winning spirit/Resilience
· Needs to goals to
commitments to results
· Voice of the Customer
Innovation
· Creativity
· Value-add/Differentiation
· Embrace change
· Market needs to customer
solutions
· Disruptive/Industry changing
Fulfillment
· Recognition
· Employee growth/
Development
· Winning (Employees/
Customers/Shareholders)
· Key Pride
· Fun
Quality Policy
Commitment to Quality Improvement is Our Promise to Key’s Customers.
Key Technology Purchasing Philosophy
Quality, Delivery, Service, Value, and Responsiveness are the criteria by which we measure our suppliers
as we strive to fulfill our customers’ expectations.
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Key Technology actively seeks out competitive suppliers to enhance our ability to manufacture, have a
global footprint, and help us to provide timely solutions to our customers.
The Key Technology Purchasing department manages all aspects of the supply chain. The choice of
suppliers may be the result of investigation and deliberation amongst various departments within Key
Technology.
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3. Supplier/Customer Partnership
3.1 Preferred Suppliers
In an effort to establish a basis for these relationships, Key Technology will seek suppliers that strive to
achieve the following:
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Continual improvement and zero nonconformances in all aspects of the business.
Take full responsibility for problems if they occur as a result of defective product being shipped
to Key Technology.
Ship product 100% on time and defect free.
Work with and fully support Key Technology in our customer relationships.
Comply with the requirements set forth herein and other appropriate specifications.
React with a sense of urgency when these expectations are not met. Take immediate steps to
resolve deficiencies to prevent their recurrence within the time allocated by Key Technology.
Proactively communicate with Key Technology, especially regarding all changes including but
not limited to schedules and services.
Request approval in writing from Key Technology prior to any material substitutions, process,
and/or product changes.
Act in an open and ethical manner, and treat Key Technology with trust through all
communications.
Maintain confidentiality of all communication and information exchanges, including but not
limited to prints, specifications, samples, applications, and software.
Apply world-class manufacturing processes like Lean Manufacturing or TPS.
Support cost reduction requests from Key Technology. Provide cost effective solutions.
Provide expert knowledge of product and manufacturing processes.
3.2 Supplier Code of Conduct
At Key Technology, we have always set high standards for the way we conduct business - in areas from
corporate and social responsibility to sound business ethics, including compliance with all applicable
laws and regulations. In turn, we expect the same commitment from our suppliers. All Suppliers are
required to comply with the Key Technology Supplier Code of Conduct (Appendix F).
3.3 Supplier Selection
Key Technology determines the methods for assessment and how additions are made to the supplier
base. An assessment can be performed by one or more of the following:
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Submission of an ISO 9001 or similar Quality Management System certification.
Completion of a Key Technology quality survey – Appendix G.
An onsite audit of a supplier’s QMS by a Key Technology representative.
Grandfathered based on past history (prior to 5/23/11).
To become an approved supplier, the supplier must first exhibit evidence of a functioning Quality
Management System (QMS) that gives the assurance of a commitment to quality and to continuing
improvement. The supplier’s current policies and procedures shall be available for Key Technology to
review upon request.
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3.4 Product Design
When suppliers are designated as design responsible, initial designs and design changes shall have Key
Technology’s written approval prior to introduction into the manufacturing process. Supplier shall
request approval using the Supplier Request for Approval (SRA).
3.5 Key Technology Assets/Property
When Key Technology assets/property are furnished to the supplier, supplier shall establish and
maintain controls to ensure that the assets/property are inspected, properly maintained, uniquely
identified, safeguarded, and that damage and/or discrepancies are reported to Key Technology
immediately upon finding.
Note: Key Technology assets/property can include intellectual property and personal data.
3.6 End Of Life Issues
The supplier is expected to notify Key Technology promptly when they become aware of products that
may be reaching the end of their availability and that could affect ongoing supply to Key Technology.
3.7 Supplier Chargeback Guidelines
Receipt of nonconforming material/product at Key Technology may result in a chargeback to the
supplier on a fair and equitable basis.
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The supplier will be notified in advance of any potential charges and will be provided the
opportunity to replace, sort, or rework their material/product to address the nonconformance.
If time is a factor, Key Technology may need to sort or rework to avoid missing a customer
shipment. In either case, any charges will be negotiated and agreed to by the supplier prior to
costs being incurred.
Note: Examples of what may constitute a chargeback typically include, but are not limited
to, reworking product at the customer’s location, rework/sorting at Key Technology,
rework/sorting via a third party, scrap, and shipping/handling fees (including premium
shipment).
3.8 Nonconformance Found at Key Technology and Corrective Action
If a nonconformance is detected at Key Technology, product will be quarantined and dispositioned. If
the product is determined by Key Technology to not be usable, it may be dispositioned to return to the
supplier. Key Technology will notify the supplier of the nonconformance and request return material
authorization (RMA). The supplier is responsible for responding to the RMA request within 5 working
days. Appropriate responses include issuing an RMA, disputing the nonconformance, or making other
arrangements for disposition.
After disposition of the product, a formal Corrective Action Request (CAR – Appendix C) may be issued
through the Key Technology Quality Assurance department.
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Upon receipt of the CAR the supplier is responsible for formally responding to Key Technology.
o A response through D3 – Implement and Verify Interim (Containment) Actions is
required within 3 days, and
o A completed CAR is required within a 14 day period unless otherwise agreed by the Key
Technology issuing Quality Assurance department.
In all situations where there are deficiencies and/or defects the supplier is to implement
immediate corrective action to contain and permanently correct the problem.
Suppliers to Key Technology are expected to implement and support a system of structured problem
solving. Suppliers are welcome to use their systems or the Key Technology system as long as a crossfunctional team is able to identify the root cause of a problem and implement permanent corrective
actions.
Root cause analysis and corrective actions shall address both the process failure (why made) and the
detection failure (why shipped). Suppliers should evaluate the effectiveness of the corrective actions for
long-term system support within their company.
3.9 Returned Nonconforming Product
The supplier shall have a system for review and analysis of returned nonconforming product. The system
shall allow for documentation of the findings including root cause, corrective action, and verification,
and shall be made available to Key Technology when requested.
Nonconforming material includes all products that fail to meet all agreed requirements, whether found
at incoming inspection, during production at Key Technology, or at Key Technology’s customer, and
includes those items that fail prematurely in use.
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4. Quality and Delivery Requirements
4.1 Quality Requirements
Suppliers are expected to provide products, processes, and services that meet Key Technology’s
requirements and are defect free. Key Technology’s requirements are specified in Purchase Orders,
product specifications, engineering drawings, referenced documents, etc. It is expected that all
requirements (e.g., dimensions on prints, material properties, functional properties, performance) will
be in conformance on every item.
In addition:
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A quality representative shall be assigned by the supplier to interface with Key Technology to
resolve quality-related issues.
Supplier shall review item requirements prior to production and submit a Supplier Request for
Approval (SRA) to the Key Technology Buyer if any specifications cannot be met.
Have a documentation control process that ensures items are built to the revision specified on
the Key Technology Purchase Order.
Suppliers who manufacture material for Key Technology to our drawings and/or purchase specification
for sale to our customers must comply with additional requirements:
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In all cases, the supplier will complete inspection using an agreed final quality checksheet.
In some cases, Key Technology Quality Assurance will travel to the supplier site to verify the
supplier inspection.
If Key Technology inspects the product at its facility, the supplier will include the original final
quality checksheet with the shipment of the product.
If the supplier is authorized to ship direct to Key Technology’s customers, the supplier will
provide an electronic copy of the completed final quality checksheet to Key Technology Quality
Assurance prior to shipment.
Note: Authorization to ship direct to Key Technology’s customers must be in writing from
Key Technology.
4.2 Delivery Requirements
It is extremely important that the supplier adhere to the required delivery schedule to allow Key
Technology to provide finished product to our customers by the scheduled due date.
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100% on time delivery is defined as 0 days late and up to 2 weeks early.
For shipments received too early without prior approval the shipment may be received but
payment to the supplier may be delayed.
The Key Technology Purchasing department is to be notified as far in advance as possible if
there is the potential of a late delivery.
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4.3 Sub-Supplier Management
Each Key Technology supplier is also responsible for the control and continuous improvement efforts of
its suppliers. Sub-suppliers that furnish production goods and services are expected to implement and
document appropriate controls. On a periodic basis, the supplier should review sub-supplier controls,
quality management systems, and improvement plans.
Key Technology reserves the right to visit sub-suppliers in conjunction and agreement with the supplier.
4.4 Workmanship
All finished surfaces shall be protected against foreign material and damage during manufacture and
storage prior to delivery. Material shall not be treated or touched up in any manner to conceal defects
and shall be free from defects which adversely affect the safety, function, performance, serviceability,
interchangeability, appearance or longevity of the item. Unless otherwise allowed per the drawing,
finished items shall not have the following conditions: delaminations, cracks, voids, extraneous material,
visible irregularities, sharp edges and corners. Evidence of poor workmanship include the following:
scratches in excess of drawing and specification requirements, burrs, nicks, corrosion and non-specified
oxidation (rust), tool scores, gouges, deformations, missing operations, improper assembly, missing
units, stains, knife edges, extraneous material, and missing or damaged protective finish.
Protective finish and/or coating shall be visually examined for completeness, uniformity in appearance
and color, and for freedom from pits, corrosion, scratches, and worn or bare spots. Touch up may be
used with the approval of Key Technology, in lieu of refinishing with the original finish, for restoration of
small areas of finish as long as form, fit, and function are not affected.
Workmanship requirements for specific items are contained in Appendix D.
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5. Supplier Performance Rating
Based on the level of business with Key Technology suppliers may be selected for evaluation. The
evaluation will address quality, delivery performance, and service. The Supplier Performance evaluation
will be scheduled in advance.
5.1 Supplier Report Card
Suppliers are evaluated in multiple categories, including on-time delivery, order accuracy, service and
support, product quality, and price, and the individual category scores are weighted and summed to
calculate the supplier’s score. The overall supplier rating is based on the final score, with suppliers rated
as Good Standing, Issues to Resolve, or Unacceptable.
5.2 Unacceptable Status
Suppliers with an unacceptable status will need to show quarter over quarter improvement and provide
a formal agreed upon improvement plan.
If by the next scheduled performance evaluation sufficient improvements have not been made, Key
Technology may stop placing new orders, place existing orders on hold, or both.
5.3 Unplanned Supplier Business Review Meetings
Suppliers not given routine evaluations may still be asked to meet with individuals from Key Technology
if there are continual issues that are impeding shipments to our customers. The goal will be to address
the issue to provide effective closure. The unsatisfactory performance may involve:
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Overall Quality Performance
Delivery Performance
Poor Responsiveness
Corrective Action analysis/response
Recurring Issues
Rejected/Late First Article Submissions
5.4 Supplier Development
Key Technology will be afforded the right to assist the supplier in development of their systems and/or
processes when:
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The performance level of the supplier falls below an expected level
The supplier requests assistance in the development of systems
Key Technology requirements are not being met
Whenever Key Technology deems it necessary to develop a supplier, an action plan is initiated by Key
Technology and is communicated to the supplier. The supplier is responsible for providing the necessary
resources for successful completion of the action plan.
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6. Identification, Packaging, and Traceability
6.1 Identification
Each individual skid (or package on a mixed pallet) is to be clearly identified. Labels should be used that
clearly identify the product and include at a minimum the following information in a legible condition:
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Supplier Name
Purchase Order Number
Manufacturing location (if multiple
locations exist)
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Part Number
Part Name or Description
Manufacturing Date or Lot Number
Quantity
6.2 Packaging
The packaging must be of adequate strength for the weight of the product and protect it from damage
during transit and storage while maintaining the integrity of the product. Packaging shall protect from:
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Moisture
Contamination
Warp
Crushing
Scratching, marring, or other visual defects
ESD Protection (where applicable)
6.3 Traceability
Where required, suppliers shall establish and maintain a system to provide traceability and identification
for their final product, as well as through all stages of their production and delivery. Where required by
Key Technology engineering specifications or purchase orders, individual units must be serialized and
traceable per Appendix E.
6.4 Country of Origin
Every article of foreign origin entering the United States must be legibly marked with the English name
of the country of origin unless an exception from marking is provided for by law.
6.5 United States Free Trade Agreements
Trade agreements are a tool for promoting fair competition and encouraging foreign governments to
adopt open and transparent rulemaking procedures as well as non-discriminatory laws and regulations.
The United States is party to many bi-lateral and multi-lateral trade agreements. Countries with which
the U.S. has active bi-lateral trade agreements include: Australia, Bahrain, Chile, Israel, Jordan, Morocco,
Peru, Oman, and Singapore. The active multi-lateral trade agreements that the U.S. has signed include
the North American Free-Trade Agreement and the Central America-Dominican Republic Free Trade
Agreement (CAFTA-DR). The U.S. is also party to the General Agreement on Tariffs and Trade (GATT,
overseen by the WTO) along with 152 other countries. U.S. trade agreements with Panama, Korea, and
Colombia are pending congressional approval.
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6.6 International Suppliers
The following are the minimum requirements for international shipments:
1. The Packing Slip shall contain, at a minimum, the following:
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Key Technology purchase order number
Part number
Description
Quantity per line item
What box number each line item is in
Total number of boxes in shipment
Dimensions of shipment
Final delivery address
The packing slip shall be put inside the crate and the crate marked on the outside saying packing
slip enclosed.
2. The Commercial Invoice shall contain, at a minimum, the following:
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Key Technology purchase order number
Part number
Description
Quantity per line item
Unit price and extended price on each line
Total value of shipment
Country of origin
HTSUS to the 8th or 10th digit 1
Terms of Sale
3. Is shipment from a GSP eligible country?
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Yes
No
4. Is shipment GSP Eligible?
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Will merchandise be shipped directly from the supplier in the GSP eligible country to the
United States?
Is merchandise manufactured completely of materials from such GSP eligible country?
If third country components are used, is at least 35% value added in the GSP eligible
country?
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HTSUS = Harmonized Tariff System United States. See US trade commission web-site for assistance in obtaining or verifying
any tariff code for any commodity to be imported to US customs territory. The items listed in 1 and 2 above must be obtained
or release of shipments could be delayed by Customs and possibly rejected. Reference http://hts.usitc.gov/
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6.7 Safety, Environment, and Hazardous Materials
Key Technology suppliers should ensure that all production and manufacturing processes are carried out
in conditions that have proper and adequate considerations for the health and safety of those involved.
Key Technology will not do business with any supplier that provides an unhealthy or hazardous
environment, or which utilizes mental or physical disciplinary practices.
Suppliers are to ensure that all materials and products being supplied to Key Technology satisfy current
government and safety constraints on restricted, toxic, environmental, and hazardous materials. Any
special requirements will be defined in the Key Technology purchase order or contract documentation.
Material Safety Data Sheets (MSDS) must accompany all initial shipments of any materials which contain
toxic and/or hazardous materials and are to be routinely updated. All containers of hazardous products
must be clearly labeled.
Hazardous chemicals are defined as any element, chemical compound, or mixture of elements and/or
compounds that may pose a health or physical hazard.
6.8 Conflict Minerals
In 2010, the U.S. Dodd-Frank Act was passed concerning “Conflict Minerals” originating from the
Democratic Republic of the Congo (DRC) or adjoining countries. The SEC has published final rules
associated with the disclosure of the source of Conflict Minerals by U.S. publicly traded companies (see
the rules at http://www.sec.gov/rules/final/2012/34-67716.pdf). The rules reference the OECD Due
Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk
Areas, (http://www.oecd.org/dataoecd/62/30/46740847.pdf), which guides suppliers to establish
policies, due diligence frameworks, and management systems.
Suppliers doing business with Key Technology will be required to comply with these requirements and
provide complete compliance documentation on parts or commodities utilizing the template in
Appendix H.
This EICC-GeSI Conflict Minerals Reporting Template (Appendix H) was created by the Electronic Industry
Citizenship Coalition® (EICC®) and the Global e-Sustainability Initiative (GeSI) as a common means for
the collection of sourcing information related to “Conflict Minerals”. Key Technology has chosen to
adopt this Template as an element of our due diligence program to verify the responsible sourcing of
materials and to support compliance to new legislation. This Template is consistent with EICC and GeSI’s
related activities including the Conflict Free Smelter (CFS) Program.
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7. Nonconformance and Deviation
When a nonconformance is detected at the supplier’s location, the supplier must determine the extent
of the problem and take prompt action to correct the condition while preventing shipment of any
nonconforming product to Key Technology.
The supplier must immediately notify Key Technology of any suspected quality problems in transit or
already received at a Key Technology facility.
In the event that the supplier believes that the deviation from stated requirements will not affect form,
fit, or function at Key Technology or Key Technology’s customer, the supplier may submit a written
request for temporary deviation before the product is shipped. The Supplier Request for Approval (SRA)
is to be submitted to the Key Technology Buyer issuing the purchase order for approval.
Note: The supplier should include a copy of their internal nonconformance documentation
when submitting the SRA.
If Key Technology Engineering and Quality Assurance determine the product is usable and required for
immediate delivery, Key Technology will provide written approval of the temporary deviation. If
approval is not granted, the supplier must initiate their internal nonconformance procedures to ensure
that the product is not released.
Note: The supplier may be required to provide formal corrective action outlining the steps
that have been taken to prevent a reoccurrence of the problem.
Upon receipt of an approved deviation, all containers of deviated product must be clearly labeled with
the deviation number, stated on the approved SRA form.
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8. Continuous Improvement/Cost Reduction
Key Technology will work proactively with its supply base to support cost reduction implementation, but
expects its suppliers to take the initiative in establishing projects that will generate cost savings.
Suppliers will be expected to participate in formal cost reduction reviews as required by Key Technology.
Areas for cost reduction may include, but are not limited to:
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Manufacturing costs
Quality costs
Delivery costs
Purchasing costs
Overhead costs
Note: Supplier cost reduction goals may be established through the Key Technology
Purchasing department on an annual basis.
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9. First Article Requirements and Notification
9.1 First Article Sample Submission
Sample submissions, if required, will be requested through a purchase order.
The purpose of first article samples is to confirm that all drawing and specification requirements are
met, and that the processes are capable of producing the product to specification. The first article
samples must be approved in writing prior to volume shipments of production products.
When sample submission is required, the supplier will be required to submit representative samples
from production with a first article documentation package.
NOTE: When a sample submission is required on an assembly that incorporates a Key Technology part
numbered sub-assembly, a separate sample approval is required for the sub-assembly prior to
submission of the upper level assembly.
Any samples being submitted are to be packaged in the production packaging unless written
authorization is received from the Key Technology Purchasing department, and are to be clearly
identified with the following information, in addition to that information required of all product by
section 7.1:
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“FIRST ARTICLE PRODUCT”
Name of sample recipient
9.2 First Article Documentation Requirements
When required to submit for first article approval, the supplier shall provide, as appropriate and agreed
upon:
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Design record. Where the design record is in electronic format, the supplier shall produce a hard
copy to identify measurements taken.
Authorized Engineering Change documents. When applicable, changes that have been
incorporated into the product but not yet recorded in the design record (e.g., red-lined prints).
Process Flow Diagram(s). The supplier shall provide a process flow diagram, or diagrams, that
clearly describes the production process steps and sequence, as appropriate.
Process Failure Mode and Effects Analysis (PFMEA). A PFMEA is not required unless specified
on the purchase order, but its use is encouraged to help prevent problems and to document the
collective knowledge of cross-functional teams.
Control Plan. The supplier shall provide a Control Plan that defines all methods used for process
control. Control Plan approval may be required for certain products. The Control Plan is a
written description of the systems used for controlling production parts and processes. The
Control Plan is a living document and should be updated to reflect the addition or deletion of
controls based on experience gained with production parts.
Dimensional Results. The supplier shall provide evidence that dimensional verifications required
by the design record and the Control Plan have been completed and results indicate compliance
with specified requirements.
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Records of Material /Performance Tests Results. Where material or performance tests are
required by the Design Record or Control Plan, the supplier shall perform tests and have
evidence of compliance for all parts and product materials.
• Part Submission Approval (PSA). Upon completion of all First Article requirements, the supplier
shall complete the Part Submission Approval (PSA – Appendix B).
9.3 Notification Requirements
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The supplier shall notify the Key Technology Buyer of any planned changes to the design, process, or
manufacturing site using the Supplier Request for Approval (SRA). Upon notification and approval of the
change by Key Technology, and after change implementation but in advance of first production
shipments, the supplier shall resubmit for first article approval as indicated on the SRA.
Examples of changes requiring notification:
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Item form, fit, or function
Engineering changes
Change in critical sub-supplier or material source
Site of Manufacturer
Manufacturing processes
Change in material or components
9.4 Submission Requirements
The submission level will be included on the purchase order or on the Supplier Request for Approval
(SRA). The supplier shall submit the items and/or records as specified below:
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Level 1: PSA only, or PSA and supporting data deemed necessary by Key Technology.
Level 3: PSA with product samples and complete supporting data submitted to Key Technology.
Level 5: PSA with product samples and complete supporting data reviewed at the supplier’s
manufacturing location.
Note: First article records, regardless of submission level, shall be maintained by the
supplier for a minimum of three (3) years.
9.5 Advanced Quality Planning
Suppliers are encouraged to use a cross-functional team approach when preparing for production of a
new product for Key Technology. This team approach should include:
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Development of Process Flow Diagrams
Development of Process FMEA’s
Development of Control Plans
Monitoring of Special Characteristics
Mistake Proofing
Actions to reduce the risk associated with potential failure modes
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10. Confidentiality
Suppliers shall not disclose to others or use for its own purposes any trade secrets, confidential
information, designs, data, skills, or any other information derived by doing business with Key
Technology. All communications, documents, and specifications from Key Technology are considered
confidential. The supplier shall be further bound by its non-disclosure agreement with Key Technology.
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11. Change History
Version
1.0
1.1
Release Date
05/23/11
12/30/11
1.2
06/01/12
1.3
10/14/13
Changes
Original Release
1. Added Supplier Code of Conduct. Created new section 3.2 and Appendix
F. Incorporated some of section 3.1 into Supplier Code of Conduct.
2. Revised section 2 with updated company Vision
3. Revised Appendix A instructions to clarify bullets 11 and 19.
4. Updated section 4.1 for suppliers producing finished items that could be
directly shipped to Key Technology customers.
1. Revised dating of Appendices to reflect release and revision dates
independent of Manual
2. Revised section 3.3 to allow for submission of an ISO 9001 certification
or similar certification
3. Revised section 2 to reflect updated Vision & Mission. Re-ordered Vision
before Mission. Added Core Values
4. Renamed section 3.8 and revised to specify supplier responses for
nonconformances found at Key Technology.
5. Added Appendix G: Supplier Quality Management System Audit
1. Revised the Key Technology brand image across all pages, cover sheets,
and appendices
2. Added section 6.8: Conflict Minerals and Appendix H: EICC-GeSI Conflict
Minerals Reporting Template
3. Revised Appendix G: Supplier Quality Management System Audit,
question 23, to improve its clarity
4. Revised section 9.1 to clarify requirement for Key Technology part
numbered sub-assembly submissions when incorporated into a higher
level assembly
Key Technology Supplier Manual 1.3
20
Revised: October 14, 2013
Appendix A – Completion of the Supplier Request for Approval (SRA)
Part Information
1.
2.
3.
4.
5.
6.
7.
8.
Key Part Name. Part name on engineering drawing or specification.
Part Number. Part number on engineering drawing or specification.
Revision Level. Revision level on engineering drawing or specification.
Shown on Drawing No. The design record that specifies the customer part number being
submitted.
Date of Request. Enter the current date.
Buyer. Enter the buyer’s name.
Requested by (Print). Printed name of the responsible supplier official
Requested by (Sign). Signature of the responsible supplier official.
Supplier Information
9.
10.
Supplier Name. Show the name assigned to the manufacturing site on the purchase order.
Street Address, City, Region, Postal Code, Country. Show the complete address of the location
where the product was manufactured. For “Region” enter state, county, province, etc.
Request Identification
11.
12.
13.
14.
15.
Type of Request. Check the appropriate box. If “Notice of Pending Change” is checked, also
complete “Pending Change Type”. Note that “Deviation Request” must be checked if the
supplier desires a one-time deviation to ship product that does not meet engineering
specifications. If the supplier desires a permanent change to those specifications (whether
requesting deviation or not), the “Engineering Change Request” box should be checked.
Pending Change Type. Check the appropriate box(es).
Cost Reduction. Check this box if the request will reduce cost. Include specifics in Justification.
Request Details. Describe in detail what is being requested (e.g., for a change of sub-supplier,
specific details of the new supplier). Attach additional sheets if needed. Provide sufficient
detail that a decision on the request can be taken without additional communications.
Justification. Provide detailed justification for the change (e.g., for a change of sub-supplier,
specific justification for the change – improved quality, better delivery, improved service,
lower cost, etc.) sufficient to convince Key Technology management to approve the request.
Key Technology Response
16.
17.
18.
19.
Disposition. Determination by Key Technology to approve or deny the request.
Tracking Number. Unique number applicable to the request.
Key Technology management signatures approving the request. Note that only Purchasing
signature is required if the requested is denied.
Comments/Conditions. Detailed direction related to the request, dependent on the nature of
the request. Examples include a requirement to submit a CAR to prevent recurrence,
requirement to submit for First Article Approval including what level of submission is required,
ECO Number if approving an Engineering Change Request, or the duration the deviation is
approved for.
Revised: October 14, 2013
Supplier Request for Approval
1
Key Part Name
5
Date of Request
2
Part Number
6
Buyer
3
Revision Level
4
Shown on Drawing No.
7
Requested by (Print)
8
Requested by (Sign)
SUPPLIER MANUFACTURING INFORMATION
TYPE OF REQUEST
9
11
Notice of Pending Change
Supplier Name
10
Engineering Change Request
Street Address
Deviation Request
Region
City
Postal Code
Country
12
PENDING CHANGE TYPE
Engineering Change(s)
Tooling: Transfer, Replacement, Refurbishment, or additional
Change to Optional Construction or Material
Sub-Supplier or Material Source Change
Change in Part processing
Parts Produced at Alternate Location
13
COST REDUCTION
REQUEST DETAILS
14
JUSTIFICATION
15
FOR KEY TECHNOLOGY USE ONLY
DISPOSITION
16
DENIED
APPROVED
Tracking Number:
18
Purchasing
COMMENTS/
CONDITIONS
Quality
19
SRA - October 2013
Engineering
17
Supplier Request for Approval
Key Part Name
Date of Request
Part Number
Buyer
Revision Level
Requested by (Print)
Shown on Drawing No.
Requested by (Sign)
SUPPLIER MANUFACTURING INFORMATION
TYPE OF REQUEST
Notice of Pending Change
Supplier Name
Engineering Change Request
Street Address
Deviation Request
Region
City
Postal Code
Country
PENDING CHANGE TYPE
Engineering Change(s)
Tooling: Transfer, Replacement, Refurbishment, or additional
Change to Optional Construction or Material
Sub-Supplier or Material Source Change
Change in Part processing
Parts Produced at Alternate Location
COST REDUCTION
REQUEST DETAILS
JUSTIFICATION
FOR KEY TECHNOLOGY USE ONLY
DISPOSITION
Purchasing
COMMENTS/
CONDITIONS
SRA - October 2013
DENIED
APPROVED
Quality
Tracking Number:
Engineering
Appendix B – Completion of the Part Submission Approval (PSA)
Part Information
1.
2.
3.
4.
5.
6.
7.
Key Part Name. Part name on engineering drawing or specification.
Part Number. Part number on engineering drawing or specification.
Revision Level. Revision level on engineering drawing or specification.
Shown on Drawing No. The design record that specifies the customer part number being
submitted.
Purchase Order No. Enter this number as found on the Key Technology purchase order.
Buyer. Enter the buyer’s name.
SRA Number. Enter all Supplier Request for Approval (SRA) numbers applicable.
Supplier Information
8.
9.
Supplier Name. Show the name assigned to the manufacturing site on the purchase order.
Street Address, City, Region, Postal Code, Country. Show the complete address of the location
where the product was manufactured. For “Region” enter state, county, province, etc.
Reason for Submission
10.
Check the appropriate box(es). For bulk materials, in addition to checking the appropriate box,
check “Other” and write “Bulk Material” in the space provided.
Key Requested Submission Level
11.
Identify the submission level requested by Key Technology.
Supplier Submission Results
12.
13.
14.
Check the appropriate boxes for dimensional or material and functional tests
Check the appropriate box. If “no”, enter the explanation in “comments” below
Mold/Cavity/Production Process. If production parts will be produced from more than one
production process (e.g., line, cell, mold, or cavity in a multi-cavity tool) the supplier shall
complete a dimensional evaluation on one part from each.
Declaration
15.
16.
Explanation/Comments. Provide any explanatory comments on the Submission Results or any
deviations from the Declaration. Attach additional information as appropriate.
Supplier Authorized Signature. A responsible supplier official, after verifying that the results
show conformance to all requirements and that all required documentation is available, shall
sign and date the declaration and provide Title, Phone Number, Fax Number, and E-mail
address.
Revised: October 14, 2013
Part Submission Approval
Key Part Name
1
Purchase order No.
5
Part Number
2
Buyer
6
Revision Level
3
SRA Number
7
Shown on Drawing No.
4
SUPPLIER INFORMATION
8
Supplier Name
9
Street Address
Region
City
REASON FOR SUBMISSION (Check at least one)
Postal Code
Country
10
Initial Submission
Engineering Change(s) (ECO)#'s
Tooling: Transfer, Replacement, Refurbishment, or additional
Correction of Discrepancy
Other - please specify
KEY REQUESTED SUBMISSION LEVEL (Check one)
Change to Optional Construction or Material
Sub-Supplier or Material Source Change
Change in Part processing
Parts Produced at Alternate Location
11
Level 1
-
PSA and supporting data (deemed necessary by Key Technology)
Level 3
-
PSA with product samples and complete supporting data submitted to Key Technology
Level 5
-
PSA with product samples and complete supporting data reviewed at the supplier's manufacturing location
SUPPLIER SUBMISSION RESULTS
The results for
12
dimensional measurements
material and functional tests
These results meet all drawing and specification requirements:
Yes
No
(If "No" - Explanation Required)
13
14
Mold / Cavity / Production Process:
DECLARATION
I affirm that the samples represented by this PSA are representative of our parts and have been made to the applicable drawings and specifications.
I also certify that documented evidence of such compliance is on file and available for review. I have noted any deviations from this declaration below.
EXPLANATION/COMMENTS:
15
16
Supplier Authorized Signature
Print Name
Date
Phone No.
Title
Fax No.
E-mail
FOR KEY TECHNOLOGY USE ONLY
Part Approval Disposition:
Approved
Key Technology Name
Comments
PSA - October 2013
Rejected
Other
Key Technology Signature
Date
Part Submission Approval
Key Part Name
Purchase order No.
Part Number
Buyer
Revision Level
SRA Number
Shown on Drawing No.
SUPPLIER MANUFACTURING INFORMATION
Supplier Name
Street Address
Region
City
Postal Code
Country
REASON FOR SUBMISSION (Check at least one)
Initial Submission
Engineering Change(s) (ECO)#'s
Tooling: Transfer, Replacement, Refurbishment, or additional
Correction of Discrepancy
Other - please specify
Change to Optional Construction or Material
Sub-Supplier or Material Source Change
Change in Part processing
Parts Produced at Alternate Location
KEY REQUESTED SUBMISSION LEVEL (Check one)
Level 1
-
PSA and supporting data (deemed necessary by Key Technology)
Level 3
-
PSA with product samples and complete supporting data submitted to Key Technology
Level 5
-
PSA with product samples and complete supporting data reviewed at the supplier's manufacturing location
SUPPLIER SUBMISSION RESULTS
The results for
dimensional measurements
material and functional tests
These results meet all drawing and specification requirements:
Yes
No
(If "No" - Explanation Required)
Mold / Cavity / Production Process:
DECLARATION
I affirm that the samples represented by this PSA are representative of our parts and have been made to the applicable drawings and specifications.
I also certify that documented evidence of such compliance is on file and available for review. I have noted any deviations from this declaration below.
EXPLANATION/COMMENTS:
Supplier Authorized Signature
Date
Print Name
Phone No.
Title
Fax No.
E-mail
FOR KEY TECHNOLOGY USE ONLY
Part Approval Disposition:
Approved
Key Technology Name
Comments
PSA - October 2013
Rejected
Other
Key Technology Signature
Date
Appendix C – Completion of the Corrective Action Report (CAR)
CAR Identification (Completed by Key Technology)
1.
2.
3.
4.
5.
6.
7.
8.
9.
Date Opened. From Key Technology generated CAR.
CAR Title. From Key Technology generated CAR and will be short summary describing the
issue.
Key CAR #. From Key Technology generated CAR #, ignoring the leading zeroes.
Part Number. The part number, from the Key Technology generated CAR.
Part Name. Description of the item associated with the Part Number.
Supplier Name. Supplier entity assigned responsibility for the CAR.
Buyer. Key Technology Buyer responsible for purchase orders on the part number
QE. Key Technology Quality Engineer responsible for working with the supplier on this CAR
Problem Description. Key Technology findings of nonconformity.
D1 – Use Team Approach (When Appropriate)
10.
11.
12.
13.
14.
Team Leader. The leader ensures the group performs its duties and responsibilities. The
leader is the spokesperson for the team, the day to day authority, and is responsible for overall
coordination.
Title. Role of the Team Leader within the supplier’s organization
Phone. Phone number of the Team Leader, including country code.
Email. Email address of the Team Leader
Team Members. Cross-functional personnel assigned to resolve the problem.
D2 – Describe the Problem
15.
Describe the Problem. Specify the customer problem by identifying in quantifiable terms the
who, what, when, where, why, how, how many (5W2H) for the problem.
D3 – Implement Ongoing Containment
16.
Implement and Verify Interim (Containment) Actions. Define and implement containment
actions to isolate the effect of the problem from Key Technology until corrective action is
implemented. Verify the effectiveness of the containment action.
D4 – Define and Verify Root Causes
Note: D4, D5, and D6 recognize that two failures occurred that resulted in Key Technology receiving
defects. The first failure led to the defects being made at the supplier. The second failure led to the
defects escaping the supplier’s quality system and being shipped to Key Technology.
17.
Define and Verify Root Causes – Why Made (17a) and Why Shipped (17b). Identify all
potential root causes which could explain why the problem was made and why the problem
was shipped to Key Technology. Isolate and verify the root causes by testing each potential
cause against the problem description and test data.
Revised: October 14, 2013
D5 – Choose and Implement Corrective Actions
18.
Choose and Implement Corrective Actions – Why Made (18a) and Why Shipped (18b). Define
and implement the best permanent corrective actions for why the problem was made and
why the problem was shipped to Key Technology. Through preproduction tests quantitatively
verify that the selected corrective actions eliminate the root causes and will not cause
undesirable side-effects.
D6 – Validate the Effectiveness of the Corrective Actions
19.
Validate the Effectiveness of the Corrective Actions – Why Made (19a) and Why Shipped
(19b). Once in production, monitor the long-term effects and effectiveness of the corrective
actions.
D7 – Prevent Recurrence
20.
Prevent Recurrence. Modify the management systems, operating systems, practices, and
procedures to prevent recurrence of this and all similar problems.
D8 – Closure
21.
22.
23.
Team Leader. Sign and date.
Buyer. Key Technology Buyer sign and date.
QE. Key Technology Quality Engineer sign and date.
Revised: October 14, 2013
Corrective Action Report
1
Date Opened:
4
Part Number:
Problem
Description:
2
CAR Title (Description):
5
Part Name:
6
Supplier Name:
7
Buyer:
QE:
8
9
D1 - Use Team Approach
Team Leader:
10
Team Members:
14
Title:
11
Phone:
12
Email:
13
15
D2 - Describe the Problem
16
D3 - Implement and Verify
Interim (Containment)
Actions
D4 - Define and Verify Root Causes - Why Made
D4 - Define and Verify Root Causes - Why Shipped
17a
17b
D5 - Choose and Implement Corrective Actions - Why Made
D5 - Choose and Implement Corrective Actions - Why Shipped
18a
18b
D6 - Validate the Effectiveness of the Corrective Actions - Why Made
D6 - Validate the Effectiveness of the Corrective Actions - Why Shipped
19a
19b
20
D7 - Prevent Recurrence
D8 - Closure
3
Key CAR #:
Team
Leader
CAR - October 2013
21
Buyer
22
QE
23
Corrective Action Report
Date Opened:
CAR Title (Description):
Part Number:
Part Name:
Key CAR #:
Supplier Name:
Buyer:
QE:
Problem
Description:
D1 - Use Team Approach
Team Leader:
Title:
Phone:
Email:
Team Members:
D2 - Describe the Problem
D3 - Implement and Verify
Interim (Containment)
Actions
D4 - Define and Verify Root Causes - Why Made
D4 - Define and Verify Root Causes - Why Shipped
D5 - Choose and Implement Corrective Actions - Why Made
D5 - Choose and Implement Corrective Actions - Why Shipped
D6 - Validate the Effectiveness of the Corrective Actions - Why Made
D6 - Validate the Effectiveness of the Corrective Actions - Why Shipped
D7 - Prevent Recurrence
D8 - Closure
Team
Leader
CAR - October 2013
Buyer
QE
Appendix D – Workmanship Requirements
1. Welding
All welds shall comply with Key Technology Visual Weld Inspection Standard, 06-02. Where
designated by engineering drawings as being in the food contact zone, product shall also comply
with the appropriate Key Technology Enhanced Sanitation Fabrication Standard.
-
06-13: Enhanced Sanitation Fabrication Standard for Vegetable, Meat, & Poultry Equipment
06-53: Enhanced Fabrication Standard for Dairy & Dairy Related Equipment
06-71: Fabrication Standard for Snack Food and Related Equipment
06-95: Enhanced Sanitation Fabrication Standard
2. Electrical/Electronics
All electrical/electronics processes shall comply with Key Technology Electrical/Electronics Process
Standard 7-0004, which specifically includes IPC-600, IPC-A-610, BS EN 60204-1, and UL508A.
3. Plated and Painted Products
A. General - The criteria provided in this section relates to visual appearance of parts which have
been plated, painted, or both. Of major importance are those surfaces that will be highly visible
on critical surfaces; somewhat less stringent requirements are imposed in other areas.
Major Defect – The type of defect that:
• Is clearly visible in an un-highlighted condition
• Exposes bare metals or substrate surface
• Exceeds stated criteria or other specific requirements
• Is easily felt with a fingernail (dents or scratches)
• Would leave a greater flaw if removed or reworked (inclusion)
• Is non-uniform surface finish (shaded appearance)
• Would cause corrosion, rust, peeling, delamination, etc.
Minor Defect – The type of defect that:
• Is clearly not visible in an un-highlighted condition or when assembled into an assembly
• Barely felt with a fingernail
• Tends to fade out or blend in with surrounding surface
• Would be concealed during next process or assembly level
Normal Viewing Plane: The normal viewing plane is defined as the view obtained when
observing the assembled unit top, front, sides, and back exterior surfaces in a plane
perpendicular to these surfaces. The part will not be rotated except to eliminate any glare from
surrounding light that tends to produce a “highlighted” condition.
Revised: October 14, 2013
Light condition: 75 – 90 foot candles
Viewing distance: These are appropriate based on the part in an installed position.
Surface Class A: 18 inches
Surface Class B: 36 inches
Surface Class C: in excess of 36 inches not to exceed 72 inches
Viewing Time All surfaces 10 seconds maximum
B. Surface Classification - Surfaces are grouped into three categories for inspection purposes:
Class A – User's Primary Product Exterior:
Doors, chassis skins, cabinet tops, rack mount flanges, control panels, exposed areas of cabinet
frames; Any surface that is normally and immediately visible to the customer or end user while
the product is being used in its normal operating condition and visible to the user without
opening service doors.
These surfaces will be free of all major defects and reasonably free of any minor defects. Defects
on these surfaces are likely to be seen and associated with a perceived reduction in the overall
quality or appearance of the product.
Note: Slight imperfections characteristic of individual process capabilities may be visible on Class
A surfaces. Acceptance of these slight imperfections shall be judged on an individual basis.
Class B – User Access Interior:
Chassis skins, cabinet and enclosure tops, internal control panels, interior side of enclosure and
card cages, power distribution, front panels, interior items with user information / silkscreening; areas which are visible when the user access doors are open. Expected to appear
consistent, of good integrity, and with limited appearance of flaws.
These surfaces may have some minor defects but will be free of all major defects. Minor defects
on these surfaces are not likely to be seen or viewed as a perceived reduction in the overall
quality or appearance of this product.
Any surface that can be seen from the front (but not the front surface of the unit) with the unit
and/or cover plate removed. Any surface that is visible from the rear after installation, or the
rear surface of the individual removable option card. For example, rear panels, side panels, top
and bottom surfaces are commonly Class B surfaces
Class C – Structural Interior:
Areas not visible without disassembly. Coatings are for corrosion protection only.
Class C surfaces may have any or all minor defects and some major defects.
Revised: October 14, 2013
Defects on these surfaces, if seen by the customer, are not likely to be regarded as detracting
from the overall cosmetic or functional quality of the product.
Interior surfaces or areas to be covered by labels or other panels are examples of “C” surfaces.
C. Acceptance Criteria - Three acceptance designations are used in the following table to describe
the criteria.
None Allowed – No occurrences of the attribute are permissible. Items with this designation are
typically functional in nature, and will result in product degradation. These attributes are not
subject to the cursory inspection described below.
Not Apparent – Attribute is not discernible in the final application of the part. Attributes with
this designation are aesthetic in nature. Visual inspection for aesthetics is to be conducted in a
manner which best duplicates the end use of the part. The preferred viewing angle and distance
being that which would exist if the part was installed in its final location, and the inspector is
standing where the operator would stand while using or accessing the equipment. Minimum
viewing distance should be three feet. The intention of the aesthetic inspection is to avoid usage
of parts which detract from the appearance of the final product. Inspection time is limited to
that which is necessary to scan (cursory inspection) all areas of the part.
Acceptable – Aesthetic in nature; will have no effect on the function of the part and will not
detract from the appearance of aesthetic viewpoint. Some flaws may have acceptable as well as
not-acceptable attributes, e.g. a scratch which does not break the surface of the coating may be
acceptable (depending on the class of surface), whereas if the coating is broken, there is a
coverage void (Not Acceptable).
Characteristic
Scratches
Tooling Marks
Corrosion
Coverage Voids
Non-Adhesion
Blisters
Burns (Plating)
Color Variegation
Color Deviation
Rinse Stains
Finger Printing
Orange Peel
Paint Runs
Class A
None Allowed
None Allowed
None Allowed
None Allowed
None Allowed
None Allowed
None Allowed
None Allowed
Not Apparent
None Allowed
None Allowed
None Allowed
None Allowed
Class B
Not Apparent
Acceptable (Uniform)
None Allowed
None Allowed
None Allowed
None Allowed
None Allowed
Acceptable
Not Apparent
Not Apparent
Not Apparent
Not Apparent
Not Apparent
Class C
Acceptable*
Acceptable (Uniform)
None Allowed**
None Allowed**
None Allowed
None Allowed**
Acceptable
Acceptable
Acceptable
Acceptable
Acceptable
Acceptable
Acceptable
* Any apparent scratches after plating will not be allowed. For scratches that are not apparent
there cannot be removed metal and the scratches may not be detected by feel.
** Acceptable if repaired, providing that corrosion is removed prior to repair, area void of
coating is supplemented with paint, and that the defect is not merely a symptom of further
problems with the coating.
Revised: October 14, 2013
Appendix E – Traceability Requirements
Certain critical components have the potential to require field action to rework, repair, or remove from
service a subset of all production parts due to manufacturing or design defects. To ensure that Key
Technology is able to quickly locate suspect components and protect its customers from the effects, it is
necessary to establish traceability requirements for major assemblies and critical subcomponents.
A. Engineering will identify items that require identification and serialization on the engineering
print or specification. When required, the finished item shall be permanently identified with:
•
•
•
Part Number
Revision Level
Serial Number
The exact location and means of identification shall be defined in the engineering print or
specification.
B. The serialization format shall include traceability to the date of manufacture. The preferred
serialization method follows the following format:
SSS YY DDD nnn
SSS = Supplier Code – last three digits of the Key assigned supplier code
YY = Last 2 digits of the year
DDD = Day of year/Julian date
nnn = sequentially assigned within that day’s production
For example, the Serial Number 26511045003, would be read as:
265 – Computrol
11 – 2011
045 – February 14th
003 – Third unit made that day
C. When an assembly contains serialized components, the traceability information (Part Number,
Rev., and Serial Number) of the included serialized components shall be recorded at the time of
integration, and a searchable computer record maintained.
Revised: October 14, 2014
Appendix F
Key Technology Supplier Code of Conduct
At Key Technology, we have always set high standards for the way we conduct business - in areas from
corporate and social responsibility to sound business ethics, including compliance with all applicable
laws and regulations. In turn, we expect the same commitment from our suppliers.
While Key Technology recognizes that different cultural and legal systems exist in the countries in which
its suppliers operate, this code of conduct sets forth certain basic requirements that all suppliers to Key
Technology must satisfy as a condition of doing business with us.
Compliance with the Law. Suppliers will comply with all applicable laws and regulations in all locations
where they conduct business.
Health and Safety. Suppliers will provide their employees with a safe and healthy workplace in
compliance with all applicable laws and regulations. Consistent with these obligations, suppliers must
have and implement effective programs that encompass life safety, incident investigation, chemical
safety, ergonomics, etc., and provide the same standard of health and safety in any housing that is
provided for employees. Suppliers should strive to implement management systems to meet these
requirements.
Child Labor. Suppliers will not use child labor. The term ’child" refers to any person employed under the
age of 15 (or 14 where the law of the country permits), or under the age for completing compulsory
education, or under the minimum age for employment in the country, whichever is greatest. We
support the use of legitimate workplace apprenticeship programs which comply with all laws and
regulations applicable to such apprenticeship programs.
Forced Labor. Suppliers will not use forced or involuntary labor of any type (e.g., forced, bonded,
indentured or involuntary prison labor); employment is voluntary.
Harassment or Abuse. Suppliers will treat all employees with respect and will not use corporal
punishment, threats of violence or other forms of physical coercion or harassment.
Nondiscrimination. Suppliers will not discriminate in hiring and employment practices on grounds of
race, religion, age, nationality, social or ethnic origin, sexual orientation, gender, gender identity or
expression, marital status, pregnancy, political affiliation, or disability.
Working Hours. Except in extraordinary business circumstances, workers shall not be required to work
(inclusive of overtime) more than the legally prescribed limits or 60 hours, whichever is less, and one
day off in every seven day period shall be provided. Production facilities shall comply with applicable
laws that entitle workers to vacation time, leave periods and holidays.
Wages and Benefits. Wages are essential for meeting the basic needs of workers. Workers will be
compensated by wages, including overtime pay and benefits which satisfy all applicable laws and
regulations.
Revised: October 14, 2013
Appendix F
Freedom of Association. Suppliers shall respect the legal rights of employees to join or to refrain from
joining worker organizations, including trade unions. Suppliers have the right to establish favorable
employment conditions and to maintain effective employee communication programs as a means of
promoting positive employee relations that make employees view third-party representation as
unnecessary.
Protection of the Environment. Suppliers will operate in a manner that is protective of the
environment. At a minimum, suppliers must comply with all applicable environmental laws, regulations
and standards, such as requirements regarding chemical and waste management and disposal, recycling,
industrial wastewater treatment and discharge, air emissions controls, environmental permits and
environmental reporting. Suppliers must also comply with any additional environmental requirements
specific to the products or services being provided to Key Technology as called for in design and product
specifications, and contract documents. Suppliers should strive to implement management systems to
meet these requirements.
Conflict Materials. Suppliers shall exercise due diligence to ensure they do not source so-called “conflict
materials”.
Ethical Dealings. Key Technology expects it suppliers to conduct their business in accordance with the
highest ethical standards. Suppliers must strictly comply with all laws and regulations on bribery,
corruption and prohibited business practices.
Revised: October 14, 2013
Appendix G
Supplier Quality Management System Audit
Supplier Profile
Company Name:
Address:
Primary Contact:
Type of Business:
Principle Personnel
Quality:
________________________ Phone: ___________________ Email: ___________________________
Gen. Mgmt.: ________________________ Phone: ___________________ Email: ___________________________
Operations: ________________________ Phone: ___________________ Email: ___________________________
Technical:
________________________ Phone: ___________________ Email: ___________________________
Other:
________________________ Phone: ___________________ Email: ___________________________
Other:
________________________ Phone: ___________________ Email: ___________________________
Quality Management System
Is Quality Management System compliant with an International/National Standard? Yes
If Yes, to what standard? ___________________________
Has the Quality Management System been certified to this standard? Yes
If Yes, please provide a copy of the Certificate.
No
No
Appendix G
Supplier Quality Management System Audit
Supplier/Location:
Date:
Audit Scoring and Requirements
There are 65 questions which are to be answered as follows:
Check
Yes
N/I
No
N/A
Description
System meets the requirement
System is in place but needs improvement to fully meet the requirement
System is not in place or needs major improvement to meet the requirement
System does not apply to this supplier
Score
2
1
0
2
There are 11 questions for which compliance is mandatory to receive full approval. These questions are in bold &
italics on the audit questionnaire.
As a result of the audit, a supplier’s Quality Management System will be ranked:
Status
Corrective Action
Criteria
Fully Approved
No corrective action is required.
Conditionally
Approved
A written corrective action plan is required.
All mandatory questions must be corrected
prior to production shipments.
A written action plan is required.
A re-audit is required
Score ≥ 125
All Mandatory Questions = 2
Score ≥ 110
Some Mandatory Questions = 1
No Mandatory Questions = 0
Score < 110
Any Mandatory Questions = 0
Not Approved
Audit Results
Comments:
Appendix G
Supplier Quality Management System Audit
Supplier/Location:
Overall Scoring
Result
Number
Yes
0
N/I
0
No
0
NA
0
0
Date:
Score
2
1
0
2
Total
Ext.
0
0
0
0
0
Mandatory Question Scoring
Result
Number
Score
Yes
0
2
N/I
0
1
No
0
0
NA
0
2
0
Total
Ext.
0
0
0
0
0
Conclusion:
Approvals: ___________________________________
Key Technology Quality Assurance
____________________________________
Key Technology Quality Manager
Appendix G
Supplier Quality Management System Audit
Supplier/Location: ____________________________________________________ Date:
1.
2.
3.
4.
5.
6.
7.
8.
9.
Quality Management
Does the supplier have written Quality Policies consistent with
Quality Management System Requirements and business/product
complexity?
Yes
N/I
No
N/A
Yes
N/I
No
N/A
Yes
N/I
No
N/A
Does the supplier have a documented procedure for review, update,
and approval of Quality Management System procedures?
Does the supplier have sufficient personnel to implement the stated
policies?
Does the supplier have a written procedure for the control,
retention, and retrieval of records to support the Quality
Management System?
Does the supplier maintain a QA personnel training program which is
consistent with product demands?
Does the supplier have a documented procedure defining its
internal quality audit system?
Does the supplier’s Quality organization clearly have the authority to
withhold items that have not met acceptable quality levels?
Quality Planning
Does Quality Assurance review drawings, specifications, test
procedures, etc. to assure compliance to contracts?
Does Quality Assurance review production planning to assure
completeness, sequence of operation and inspection call-outs?
10. Are supplier’s Quality forms identified and revision controlled?
11.
Does the supplier have procedures for the storage, maintenance,
inspection and test of Customer furnished material?
Analysis of Data / Metrics
Does the supplier measure the effectiveness of its Quality
12.
Management System?
Do these data/metrics measure customer satisfaction, conformity to
13.
requirements, and sub-suppliers?
Does the supplier identify performance targets for these
14. data/metrics and implement corrective actions when requirements
are not met?
Appendix G
Supplier Quality Management System Audit
Supplier/Location: ____________________________________________________ Date:
Corrective Action / Preventive Action
Does the supplier have a documented procedure for corrective
15.
action?
Does the supplier include in its root cause investigation both the root
16. cause for why the nonconformance was made and why it was
shipped to the customer?
Yes
N/I
No
N/A
Yes
N/I
No
N/A
Yes
N/I
No
N/A
17. Does the supplier verify the effectiveness of corrective actions?
Does the supplier validate over time the effectiveness of corrective
actions?
Does the supplier have a documented procedure for preventive
19.
action?
18.
Drawing and Change Control
Do the supplier’s change control procedures apply to all documents
20.
affecting the Quality Program?
Does Quality Assurance monitor changes for compliance to
21.
contractual requirements?
Is there a system in place to preclude the use of obsolete drawings or
22.
specifications?
23. If uncontrolled copies are allowed, are they marked as such?
24.
Do change notices specify effectivity and disposition of parts affected
by the change?
25. Does the supplier have a process to control “red-line” changes?
26. Does Quality Assurance verify changes incorporated and effectivities?
Does the supplier change the part number(s) when introducing
27. changes which affect the form, fit, function or interchangeability of
the product?
Control of Procured Material
Do supplier’s purchase orders incorporate Quality Management
28.
System requirements?
Does the supplier have a process for identifying approved sources
29.
for supply?
30. Are purchase orders placed only with approved sources?
31.
Does Incoming Quality use specifications, drawings, and purchase
documents?
Appendix G
Supplier Quality Management System Audit
Supplier/Location: ____________________________________________________ Date:
32. Are Incoming Quality facilities adequate for the material purchased?
33.
Are certifications/test reports furnished with raw material, as
appropriate?
Material Control
Yes
N/I
No
N/A
Yes
N/I
No
N/A
Yes
N/I
No
N/A
34. Does the supplier have a Production Control System?
35.
Does the supplier have an adequate system for the identification of
material; is in-process material identified as to inspection status?
36.
Are only accepted and clearly identified materials received into
stock?
37. Is customer furnished material segregated?
Does the supplier have a system to prevent the unauthorized reease
of material and parts?
Are storage facilities and material handling adequate to prevent
39.
damage to materials?
38.
Inspection Controls
Are Inspection/Test facilities well equipped, clean and properly
40.
lighted?
Are inspection points pre-determined within the manufacturing
41.
cycle?
Do inspection stations use up to date documents and provide for the
42.
removal of obsolete documents?
43. Are inspection/test procedures utilized?
44. Are workmanship standards maintained / implemented?
45.
Does Quality Assurance conduct and/or participate in product
testing?
Calibration
Does the supplier have a process governing the periodic
46.
recalibration of tools, test equipment and gages?
Are standards, equipment and environment consistent with
47.
calibration requirements?
48. Are standards traceable to the national or international standards?
Appendix G
Supplier Quality Management System Audit
Supplier/Location: ____________________________________________________ Date:
49. Are processes defined for calibration, certification and maintenance?
50. Is non-calibrated equipment identified?
51. Is equipment audited to prevent use beyond calibration dates?
52. Are employee-owned tools included in the calibration system?
53. Is production tooling calibrated or periodically inspected?
Non-conforming Material
54.
Yes
N/I
No
N/A
Yes
N/I
No
N/A
Does the supplier have a written procedure for the review of
material that deviates from drawing/specification requirements?
Is non-conforming material diverted to a controlled area and
properly identified?
Is reworked / repaired material routed back through inspection upon
56.
completion?
55.
57. Are records kept and traceable to the material?
58. Is there a system in place for the processing of customer rejects?
59. Is a Failure Analysis Program in effect?
60. Is scrap material permanently identified?
Process Control
Does the supplier use customer approved subcontractors when
61.
required?
62. Is there a system of process control in place?
63.
Is the system capable of segregating material processed during out-ofcontrol period?
64.
Does the supplier have processes that ensure that prior to shipment
all inspections, tests, and doc reviews have been performed?
65.
Does the supplier have documented procedures for the training of
all personnel performing activities affecting quality?
Appendix H – EICC-GeSI Conflict Minerals Reporting Template
Revised: October 14, 2013