Common use of Test Engineering Clause in Contracts

Test Engineering. For all test engineering activities related to System House activities, Flextronics will be responsible to develop, implement and maintain test engineering processes to meet Nortel Networks Product Specification and strategies; this will be successfully achieved through close interaction and co-operation by the Flextronics with both the R&D and the test/product Engineering community within Nortel Networks Supply Chain Operations as well as with the Tier 2 Suppliers. Nortel Networks shall approve all such strategies and processes. Flextronics will be responsible for the following key areas of test engineering related to System House activities: (a) Product defectivity budget analysis; (b) test equipment selection; (c) test platform evolution in conjunction with the appropriate design authority, if applicable; (d) implementation of new product test strategy; (e) initial new product test development implementation and adjustment; (f) new product performance and design centering, in conjunction with the appropriate design authority, if applicable; and (g) yield analysis for channel readiness. In addition Flextronics will have responsibility to manage the following day-to-day business activities with respect to test engineering services related to System House activities, (a) perform test capacity planning / test equipment maintenance and calibration and capability / test capability study and analysis/ operator availability / equipment availability associated with all aspects of testing Products and identify potential trouble spots by process family; (b) develop cost effective process alternatives to the process end-of-life issue; (c) recommend best course of action to Nortel Networks for decision/approval; (d) complete technical development, testing, necessary approvals, and phase in /out as per NPPI process, all within a managed project; (e) test software installation and commissioning; and (f) day-to-day business activities with respect to test engineering services. Further, Flextronics will have the responsibility to manage and support the following test engineering processes with respect to the Tier 2 Suppliers: (a) test capacity planning; (b) test process support and improvement; (c) proper maintenance and calibration of test sets; and (d) over-all effectiveness of the test processes.