Common use of Quality Goals Clause in Contracts

Quality Goals. SELCOM GROUP and Supplier’s goal is to achieve and maintain a zero-defect level. Where the zero-fault objective cannot be achieved in the short term, SELCOM GROUP may define temporary upper limits with the Supplier for failure rates as intermediate targets (e.g. separate product tailored “ppm agreement”). If the Supplier realizes that the defined targets will not be achieved, he is obliged to submit concrete action plans to SELCOM GROUP. Obtaining levels lower than the agreed upper limits do not release the Supplier from his obligation to deal with all complaints and to continue with the process of continuous improvement.

Quality Goals. SELCOM GROUP SELCOM_GROUP and Supplier’s goal is to achieve and maintain a zero-defect level. Where the zero-fault objective cannot be achieved in the short term, SELCOM GROUP SELCOM_GROUP may define temporary upper limits with the Supplier for failure rates as intermediate targets (e.g. separate product tailored “ppm agreement”). If the Supplier realizes that the defined targets will not be achieved, he is obliged to submit concrete action plans to SELCOM GROUPSELCOM_GROUP. Obtaining levels lower than the agreed upper limits do not release the Supplier from his obligation to deal with all complaints and to continue with the process of continuous improvement.