SAMPLE COMPANY                                        Page 1 of 2
SOP # 07-1  Revision: 0                Prepared by:             _
Effective Date:                        Approved by:             _


Title:         CUSTOMER SUPPLIED PRODUCT

Policy:   The company will ensure the quality of products that
          include materials and/or components supplied by the
          customer through including these items within the
          company's quality assurance system where applicable.

Purpose:  To list the procedures to be followed for the
          receiving, inspecting and handling of components and/or
          materials provided to us for use in productions of the
          customer's finished products.

Scope:    This procedure applies only to components and/or
          materials supplied to us by one of our customers.


Procedures:

1.0  Receipt, Inspecting and Stocking of Customer Supplied Items

1.1  Components and/or materials provided by a customer to be
     used in the production of their finished products will be
     received, inspected and marked according to the same
     procedures for other inventory items.

1.2  After these items have passed the appropriate inspection
     criteria satisfactorily, the items will be additionally
     tagged with customer identification and segregated in
     storage until required in production.


2.0  Unsuitable or Missing Items

2.1  In the event of any damage, deterioration of unsuitability
     of customer supplied items, the procedures for Receiving and
     Inspection or Control of Nonconforming Product will be
     followed and a Material Return Notice (Exhibit I) will be
     prepared with the applicable information and returned to the
     customer.

2.2  If for any reason there is a shortage or loss of items that
     is discovered after the original receiving report was
     prepared, the inventory control manager will issue a written
     report and forward to the production supervisor for follow-
     up.