Process Audits. When a systemic failure trend is observed in the piece part or assembly supplied, Applied will request Supplier to identify the processes which are causing the failure, and Applied may audit the suspected processes at Supplier's site. Any deficiencies or opportunities for improvements identified by the audit will be discussed with Supplier so that a mutually acceptable corrective action plan can be implemented. Supplier will initiate a closed loop corrective action, specifying the corrective action required with a specified timeline for implementation. Supplier shall work on the corrective action and provide closure to all deficiencies within the time period mutually agreed upon.
Appears in 2 contracts
Sources: Module Supplier Agreement (Suntron Corp), Module Supplier Agreement (Suntek Corp)