2.14 Supplier Development & Escalation

When a supplier fails, the immediate goal is correction, not termination. This section defines the "Path to Green" for underperforming vendors and the triggers for disqualification.

2.14.1 The SCAR (Supplier Corrective Action Request)

• Trigger: Repeat quality defects or a critical line-down delivery failure.
• Requirement: Supplier must submit an 8D report detailing:
  1. Root Cause.
  2. Containment Action (within 24h).
  3. Permanent Corrective Action.

2.14.2 The Penalty Box (Disqualification) 

Suppliers remaining in "Grade C" for two consecutive quarters or failing to respond to SCARs are placed on "No New Business" hold. Continued failure leads to removal from the AVL.

Final Checklist