Example for procedure of Customers / External Providers’ Property

1.0 PURPOSE

To document the methodology followed at XXX for identification, verification, safeguarding, preservation, maintenance and control of Customer / External providers’ property.

The procedure includes requirements for reporting to the customer/external provider any loss, damage, or unsuitability for use of customer supplied property. The intent of this procedure is to provide guidance and determine responsibility for the management of customer / external providers’ product.

2.0 SCOPE

This procedure is applicable to all the following systems and standards

• ISO 9001: 2015/ API Spec Q1, 9th edition
• API Spec ….
• API Spec ….
• API Spec ….
• API Spec ….
• API Spec …..

Applies to all processes which has an influence on product quality. This procedure applies to every department and every person who comes into contact with customer/external providers’ product.

3.0 RESPONSIBILITY

1. Management representative/ Design & QA Manager
2. All concerned process heads.
3. All concerned personnel

4.0 INPUT:

Customer property, external provider property

5.0 RESOURCES:

 Competent Manpower, Tagging, Departmental procedures.

6.0 PROCEDURE

1. Customer / External providers’ products are understood by XXX are the property or assets owned by customers or other interested parties supplied to XXX as “Free Issue Supplies” under the control of XXX. Such properties or products includes but not be limited to:
2. ingredients or components supplied for inclusion in product,
3. product supplied for repair, maintenance, remanufacturing or upgrading,
4. packaging material supplied by the customer
5. customer materials received for storage or preservation
6. Services supplied on behalf of the customer, such as transport of customer property to a third party, and
7. Customer intellectual property, including specifications, drawings and proprietary information.
8. All customer supplied materials are subject to the same inspection and verification in accordance with the L2 – 09 Control of externally provided products/services.
9. No such properties are received from the External providers.

6.1 IDENTIFICATION VERIFICATION AND INSPECTION OF CUSTOMER MATERIAL

1. Upon receipt of customer / external providers’ material, the store keeper verifies the same with the customer / external providers’ documents (delivery details, shipment note, or other relevant documentation) and if found, the material conforming to the customer document is recorded in the Store Receipt Voucher.
2. All customer/external providers’ material are identified with SRV No/Job No and the SRV should clearly state that the item is customer/external provider supplied and if the material is received for any particular job/contract the SRV should have the Job/Contract No for identification.
3. All customer/external providers’ materials are subjected to Q.C. Inspection and it is the responsibility of Storekeeper to inform the Q.C. Engineer for any such inspection.
4. All such material are properly identified and provided with adequate storage facility in order to prevent them from loss or the risk of damage.
5. In order to have the same control on the customer/external providers’ material (free issue material) similar to the purchased material, the free issue items are booked in to the store receipt system through SRV as mentioned above. The SRV identifies the Description of Material, Quantity supplied, Customer Name, Works Order Number and the inspection status.
6. The Q.C. Engineer inspects the item visually and physically in order to confirm that there are no physical damage, lost parts/items or any physical changes.
7. After the Q.C. verification or the verification by the store personnel (e.g. Storekeeper) if any material found not conforming to the requirement (Non-conforming material) the store personnel then distinguish between non-conforming products and conforming ones and inform to the Concerned Manager/ Superintendent who in turn informs the relevant customer in writing with the attached inspection report/picture of the damaged or defective material.
8. All non-conforming material (customer/external providers’ material) should also have the NCR filled same like any other nonconforming material.
9. Heavy materials are received at the same location where the material is to be stored and inspected at the same location. Rejected materials are identified and segregated immediately.
10. As described above all customer/external providers’ material received by XXX for any product manufacturing, project execution or services the manager or the superintendent responsible for that particular project is responsible for the control of customer/external providers’ product liaise with the concerned department (Design, QA/QC, Stores, Workshop etc.) within XXX.
11. Operating equipment/item are checked operationally at the time of receipt and delivery. This is not applicable for item received from the customer for repair. In any case the functional test is performed only after confirmation of the visual and physical inspection.

6.2 HANDLING OF CUSTOMER/EXTERNAL PROVIDERS’ INTELECTUAL PROPERTY

1. All drawings or other intellectual products supplied by the customer/external providers are controlled by the QA/QC Engineer or the Sevice center Manager, in case of projects/contracts.
2. All OEM (Original Equipment Manufacture’s) documents are issued to the company for any licensed work to be routed through the QA/QC department and the QA/QC department controls such document.
3. The QA/QC Engineer or the Sevice center Manager, upon receipt of any intellectual product from the customer, are logged in the Customer/Suppliers’ Property Record or the Job/Contract file and issue the same to the concerned department/personnel through Document Transmittal or written memo. For any revision or cancellation of such document the Commercial Officer/ QA/QC Engineer or the Sevice center Manager record the same in the log/file and issue the same to the original copy holder. If the document needs to be returned to the customer, it is collected from the copy holders and provided to the customer. Such instructions are clearly mentioned in the document transmittal/memo.
4. Where ever possible only the reproduced copies are issued to the production crew (working crew) to avoid any possible deterioration of the original document. When such copies are issued it is the responsibility of the concerned manager/superintendent to control such copies to avoid any possible misuse or control of any revision if applicable and the concerned manager/superintendent is responsible for safeguarding the customer/external providers’ documentation/ or product within their custody.
5. Upon completion of work all customer/external providers’ property received are returned to the customer/external provider or disposed as directed and to be mentioned in the Customer/Suppliers’ Property Record. It is the responsibility of the QA/QC Engineer/Commercial Officer or the concerned Manager/ Superintendent to maintain the confidentiality of any such documentation which is customer/external providers’ property and are not to be disclosed.
6. It is the responsibility of XXX to safeguard the customer representative (inspection personnel, technical advisor/specialists, supervisor or TPI) those who deployed to XXX from customer in order look after or assisting their work.
7. In case XXX is providing any service on behalf of customer (transport to a third party, loading or unloading of material, carrying out of any job to a third party on behalf of customer etc.) it is the responsibility of XXX to carry out the job with all necessary precautions and to the satisfaction of the end user. The concerned manager or the supervisor is responsible to carry out the same as mentioned above.

6.3 STORAGE, MAINTENANCE AND CONTROL OF CUSTOMER/EXTERNAL PROVIDERS’ PROPERTY

1. The Customer/External providers’ properties are identified as per 4.1 of this procedure and are stored in a designated storage area until it is taken up for the project/use.
2. Storage condition are adequate and suitable for the product/material and are verified and maintained accordingly. The Q.C. Engineer verifies such requirements during his routine check. In case storage of any such material found unsatisfactory, the Q.C. Engineer makes NCR and inform to the concerned department manager/superintendent or the store personnel for necessary corrective action.
3. It is the responsibility of the Storekeeper and the Sevice center Manager to conform there are NO UNAUTHORIZED USE OF CUSTOMER/EXTERNAL PROVIDERS’ PROPERTY.
4. Any periodic or routine maintenance required for the customer product, while it is with XXX custody is done by XXX or it is co-ordinated with the customer according to the terms and conditions of the contract.
5. Customer material received for any rectification, repair or re-manufacturing are also considered as customer supplied material and are treated accordingly. In such cases the request from the customer or the non-conformance reported by the customer are verified and any discrepancy are brought to the customer knowledge.
6. Customer/External providers’ product that is damaged, lost or, unsuitable for use of tagged, segregated and are recorded. Quality Department notifies the customer regarding the same.
7. Customer/external providers’ owned tooling & gauges are marked permanently, so that ownership is visibly apparent.
8. Safeguarding and maintenance of the Customer Equipment/Product are to be taken care by the Operations personnel.
9. The storage and maintenance of customer/external providers’ property is maintained by stores personnel and periodic assessment of stock is maintained.
10. If drawings are received from the customer, first the details of the drawings, customer name, and file number are entered in the Customer/Suppliers Property Record maintained by document controller, and then the drawings are filed in a manner to identify them easily.

7.0 OUTPUT:

SRV Number

8.0 KEY PERFORMANCE INDICATOR:

All customer & external provider property identified & protected

9.0 ASSOCIATED DOCUMENTS & RECORDS

DESCRIPTION	FORMAT NUMBER	RESPONSIBILITY
Store Receipt Voucher	XXX / STR / 01	Store Keeper
Customer/Supplier Property Record	XXX / PRD / 07	Store Keeper