© 2023 AGROSTROJ®. All rights reserved. | GDPR | Terms and Conditions
Content
1. Introduction ....................................................................................................................2
2. Definition of Relevant Standards………………………..............................................................2
3. Contract Review .........................................................................................2
4. Quality Planning ................................................................................................3
5. Manufacturing Process and Product Release ..............................................................……….3
6. Process Eligibility...........................................................................….……………...4
7. Purchasing from Subcontractors .......................................................................…………….4
8. Evaluation of Supply Quality...............................................................…………………….4
9. Complaints Procedure................................................................................................5
10. Environment ..............................................................................................6
11. Storage and Transport of Material………............................................................…... 6
12. APE Specific Requirements……....................................................................………. .6
13. GDPR ………………...........................................................................................…. 7
14. Person Responsible for Product Safety (PSB)…………….................…………………... .7
15. Non-disclosure Agreement ……………………................................................................... 7
16. Objectives for suppliers………………….................................................................………...7
17. Escalation Policy ……………………........................................….………………………………... 8
The quality of supplies from AGROSTROJ Pelhřimov, a.s. suppliers has a direct impact on the quality of the products manufactured. The minimum requirements described in these conditions for AGROSTROJ Pelhřimov, a.s. suppliers are based on this assumption. The Supplier is responsible for the quality of his or her deliveries. This agreement is intended to contribute to joint quality planning as well as to establish the relations between supplier and customer. This agreement is an integral part of the contractual relations between AGROSTROJ Pelhřimov a.s. and the supplier.
This Directive applies to all suppliers of AGROSTROJ Pelhřimov a.s. and its affiliated companies, e.g. Humpolecké strojírny Humpolec a.s. and Agrostroj Internacional, s.r.o., hereinafter referred to as "APE".
APE requires its suppliers to have in place one of the QM systems recognised in the automotive industry (ISO/TS 16949 / IATF 16949 or ISO 9001). All manufacturing material suppliers must be certified to at least ISO 9001 + for automotive use suppliers with ISO/TS 16949 / IATF 16949 certification (min. ISO 9001). Accreditation certificate must be provided to the purchasing department. The goal must be that the suppliers' QM systems are in compliance with ISO/TS 16949 requirements. Supplier shall allow APE to conduct an audit to determine whether QM requirements are met.
APE orders must be verified upon receipt by the supplier, including attached documents. If the Supplier considers this documentation to be insufficient, the Supplier shall contact the APE Purchasing Department.
The Supplier is solely obliged to procure the necessary standards and guidelines (DIN, EN, ISO, VDA) that APE refers to in the order. He also undertakes to check the validity of the documents at regular intervals and to take account of their current status. Before submitting any offer, the Supplier shall conduct a manufacturability study with due regard to its technical capacity and capacity limits. The Supplier shall comply with all the requirements contained in the contract documents. The Supplier is required to contact the Purchasing Department to obtain the necessary information for the manufacture of the product. The Purchasing Department shall be in contact with the Supplier to coordinate all questions and answers.
Suggestions for technical, quality, or other improvements or suggestions for resolving potential problems shall be offered in writing. For supplier selection, constructive suggestions will be evaluated positively.
The quality of the desired products is decisively determined during development. The Customer undertakes to provide the Supplier with important specifications, drawings, or data in a timely, complete and undisputed manner.The Purchaser requires that the Supplier has effective preventive methods to ensure quality at the development stage. These methods shall include in particular the following elements:
Manufacturability analysis - examining whether the requested and required product can be delivered in the required quality, time and quantity. It is the Supplier's responsibility to discuss unclear and specifying requirements with the Customer's purchasing department to ensure that they have sufficient information to verify manufacturability. For automotive suppliers, we require sending a revised P-FMEA as part of sampling and in the event of claims and audit findings.
Control Plan - it is necessary to define the scope of testing (features, frequency, scope, testing, when and where, by what, records, etc.). The supplier must have the required means for testing and a system for controlling these means, or be able to provide them.
Critical product characteristics - for critical and functional characteristics the supplier shall demonstrate achievement of the specified capability values (Cm, Cmk - capability of machinery and equipment ≥ 1,67, Cp, Cpk - capability of process ≥ 1,33).
Planning of processes and means of operation - manufacturing processes and means of operation shall be planned by the Supplier to the required quality and capacity. The capability of the means of operation shall be demonstrated by the Supplier.
Packaging planning - Packaging must ensure that damage to products/goods in transit and storage is prevented. The Supplier shall also ensure that environmental requirements are in accordance with the relevant standards when planning packaging.
In the course of a collaborative partnership, both parties commit to providing comprehensive information about the product, the manufacturing process and any changes made. The evaluation of the manufacturing processes and the inspection of the first samples form the basis to be submitted for the release of samples. If documents are missing or incomplete, APE may (at its discretion) reject the samples.
The implementation of quality planning shall be supported by documents and records in accordance with the specified level of verification for the first process samples to be released. The basis for this is the VDA Volume 2 or PPAP. Unless otherwise specified in the order, the number of first samples shall be at least 5. The documentation shall be submitted with the samples, the scope being defined by the level of verification. If not otherwise specified in the order, level 2 (according to VDA 2 or PPAP) is considered the standard.
Exception: level 3 is required for parts with critical functions.
Product/ process change
The Supplier undertakes to inform APE (Purchasing and Quality Department) prior to making any change to the product, process or control procedure or equipment, including a change of subcontractor, and to agree on the required scope of release. Changes can only be made after they have been released by APE.
Certain product characteristics are essential to their function/properties, these characteristics are indicated on the drawings and it is essential that they are observed. Work processes and production equipment must be designed so that these characteristics can be produced. The process is eligible if the minimum Cpk ≥1.33 is met, for automotive this is according to the customer's requirement.
The Supplier shall adequately demonstrate the suitability of the process using appropriate procedures. Eligibility shall be continuously monitored by the Supplier. Documentary evidence shall be made available to the APE upon request.
For non-eligible processes, 100 % check of the specified features must be carried out, only for an interim period until the process eligibility is restored.
If the Supplier procures products or services from subcontractors, the Supplier shall disseminate the contents of this Directive to subcontractors and shall be responsible for its implementation by its subcontractors. The Supplier is responsible for the subcontractors, their products and services. The subcontractor must have a certified quality management system in accordance with ISO 9001, for automotive the subcontractor must have a minimum of ISO 9001. If there is a quality issue (non-conformance), the subcontractor must allow an APE audit at any time with appropriate advance notice.
APE performs inspections of incoming material. We significantly reduce our own inspections after receiving the material. Quantity, material identification and packaging integrity are always checked. The rest is checked according to the inspection plans.
Deliveries or parts of deliveries that cannot be accepted by APE due to defects will be included in the quality assessment. Logistics performance (deadline, quantity, etc.) and service are also evaluated. The Supplier shall be informed of the results of the evaluation once a year if his evaluation changes. If quality or logistics problems are identified, the supplier shall be informed immediately and shall ensure that corrective action is taken immediately.
APE undertakes to inform the Supplier in a timely manner of all cases of non-conformities detected in his supplies.
The Supplier shall have 15 working days from the date of delivery of the Non-conformance Report (8D-Report) to prove that he is not responsible for the alleged shortcomings and to request the cancellation of the claim accordingly. After 15 working days from the date of notification, in the event of failure to deliver formal and probable causes, the reasons which caused the relevant material to be considered non-conforming shall be deemed to have been tacitly accepted by the Supplier.
APE shall inform the Supplier of the occurrence of such non-conformities by issuing a Complaint Report describing the non-conformity. The Purchaser's prescribed form for resolving non-conformities within the scope of supplies is the 8D-Report. The response time for occurring non-conformities of deliveries claimed by the Purchaser is set at 48 hours, with a 7-day response time for sending the 8D-Report to D5 by completing the 8D-Report; if necessary, ISHIKAWA and 5 WHY will also be required.
The Supplier shall inform the Purchaser within 2 working days of receipt of the Complaint Report how the retained material is to be disposed of (it will be scrapped at APE's premises at the Supplier's expense or returned to the Supplier at the Supplier's expense). This statement is requested by the Purchaser in writing (e.g. by email); in the event of non-compliance with the deadline or failure to respond, the material will be scrapped at the Supplier's expense.
Penalties
APE has a deadline of 15 working days from receipt of the claim for the supplier to complete the 8D-Report in full.
In the event that the supplier exceeds this time limit, the Supplier will be charged an additional cost of 0.05% of the quantity of material claimed for each day of delay.In the event of a legitimate complaint, a one-time handling fee of EUR 50 per complaint shall be invoiced by the Customer.Costs incurred by AGROSTROJ Pelhřimov a.s.
The costs associated with the non-conforming delivery will be recovered from the Supplier. The main items that generally contribute to the determination of the total costs incurred by APE can be broken down as follows:
It is assumed that corrective interventions are always performed by the Supplier, AGROSTROJ Pelhřimov a.s. intervenes only when these materials are urgently needed.
APE performs all its activities in accordance with applicable legislation and has implemented an environmental management system in accordance with ČSNEN ISO 14001. One of the APE's objectives is to minimize the harmful effects of its activities on people and the environment. To achieve this, the supplier must make a significant contribution.
The Supplier undertakes to obtain all necessary legal and administrative permits for the manufacture of APE products and to comply with the requirements arising from these permits in all circumstances.
If storage of material on the Supplier's premises is agreed between APE and the Supplier, the Supplier shall store all material intended for APE in such a way as to prevent deterioration of the stored material. In particular, deterioration of the material may occur due to moisture - corrosion of the material (only dry lumber must be used for the storage of metallurgical material) and improper storage (in particular, sheet metal and rod material must be stored on a flat floor using equally high stacks, which must be placed in overhangs above each other so that the internal stress does not cause deterioration of the parts during processing of the material).
The material to be transported must be secured against displacement. Damp, rusty and otherwise degraded supplies and supplies without documents will not be deposited in APE. For smooth stacking of metallurgical material, the supplier shall use a minimum of 8x8 cm spacers during transportation. Vehicles transporting metallurgical material shall be capable of unloading from the side and from above (by crane).
Metallurgical material - semi-finished metal products such as sheets, tubes, hollow profiles, solid profiles of various cross-sections must comply with the prescribed standards:
1) Residual magnetism shall not exceed 10 Gauss
2) For sheets rolled to EN 10051, EN 10029 and EN 10131, a maximum of 1⁄4 flatness tolerance permitted by the standard is allowed
3) The surface of the sheets shall be of such quality that no defect is visible on the surface from a distance of 1 m after painting (without the use of sealants) with a cataphoretic coating and subsequent application of powder or wet paint.
4) The silicon content for grades S235JR, S235J2, S355J2, S315MC - S550MC shall be within 0.03 %.
5) Agreed prices are NETTO and in case of application of conversion the coefficient of 7850 kg/m3 is used (hollow steel semi-finished products), transport parity is DAP Pelhřimov, Humpolec or Počátky
6) For deliveries of sheets with lengths over 3.5 m, it is necessary to use such packaging that allows the sheet metal bundles to be folded without damage by the handling truck (fork spacing 1.3 m)
7) The surface of the sheets must not be damaged by mechanical marking by engraving or unpaintable paint.
8) The bar material must be marked with paint before delivery in accordance with AGROSTROJ standard No AVN00 0066
In connection with the introduction of the GDPR, the Supplier grants consent to the processing of his personal data by APE and its subsidiaries.
The supplier has a designated person responsible for product safety (PSB). The Supplier shall notify APE of the name of this person.
The Supplier undertakes that all documents received from APE will be subject to a confidentiality regime and will not be disclosed to any third party (drawings, contracts, etc.).
Supplier assessments are performed annually and monitoring of automotive suppliers' performance against targets is performed monthly. The following criteria are evaluated: PPM - 5000, unless otherwise stipulated in the contract
Number of complaints - 4 / year
Meeting delivery dates - min. 80%If targets are not met, information will be sent in the form of an escalation letter.
a) monthly PPM
b) number of complaints
c) compliance with deadlines (min. 80%)
1/ Evaluation is done monthly
2/ The purchasing department is responsible for the evaluation
Reasons for classification
a) one of the monthly targets is not met (PMM, number of complaints) - only the first occurrence
b) lack of communication
Notification rules
Sending information to the supplier
Requirements
No specific requirements
Responsibility
Purchasing Department
Requirements for escalation reduction
-
Reasons for classification
a) 2 monthly targets are exceeded simultaneously in one month
b) 2 consecutive months without meeting the target
c) Repeated occurrence of the defect
d) Lack of communication
e) VDA 6.3 rating - grade "C"
Notification rules
Sending an escalation letter to the management
Requirements
a) CSL 1 (100% inspection by APE personnel paid for by the contractor)
b) Conduct of a process audit (as per VDA 6.3)
c) Preparation of measures in the form of PDCA and presentation to APE
Responsibility
- Purchasing Department
- Supplier's QM
Requirements for escalation reduction
Meeting the target and requirements in the following period – 1-month period
Reasons for classification
a) 3 consecutive months of failure to meet the target
b) Lack of communication
Notification rules
Sending an escalation letter to management
Requirements
a) CSL 2 (100% inspection by APE staff paid by contractor + resident at APE) - depending on the severity of the problem
b) Conduct of a system audit
c) Development of measures in the form of a PDCA and presentation to APE
Responsibility
- Purchasing Department + Purchasing Manager
- QM Supplier QM
- PM Supplier
Requirements for escalation reduction
Meeting the target and requirements in the following period - 2-month period
Reasons for classification
a) 4 consecutive months of not meeting the target - with an upward trend
Notification rules
Sending an escalation letter to management
Requirements
a) Blocking of new orders
b) CSL 2 + resident at APE
c) Escalation to owner level
d) Development of a production transfer program
Responsibility
- Purchasing Department + Purchasing Manager
- QM Supplier
- PM Supplier
Requirements for escalation reduction
Meeting the target and requirements in the following period - 30 - 90-day period (depending on the effectiveness of the corrective actions implemented)
© 2023 AGROSTROJ®. All rights reserved. | GDPR | Terms and Conditions