Source Inspection vs. Right of Access clause in a Purchase Order - Differences

P

Pete741

Hi

What is the difference between source inspection clause & Right of access clause in a Purchase order?

Thx
Pete
 
D

DrM2u

What is the difference between source inspection clause & Right of access clause in a Purchase order?
Like dsanabria said, more details are necessary for a better answer. In general 'source inspection' is a contractual clause that addresses the right or requirement to use a 3rd party for part inspection in the case of containment, product certification, 100% inspection, etc. 'Right of access' is usually a contractual clause that grants the customer (and sometimes its representatives) access to supplier's production facilities for reasons of audit, certification, inspection, process validation, etc. The two are sometimes used together if the customer want a 3rd party to inspect or sort parts within supplier's facilities. I hope this helps a little.
 

Sidney Vianna

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What is the difference between source inspection clause & Right of access clause in a Purchase order?
Source inspection is the event of performing (as the term implies) an inspection of the product BEFORE the item ships to the customer. If you are going to exercise the source inspection option, not only you should invoke the right in the PO, but also detail what practical arrangements would be in place for the inspection to take place. For example, are you going to use the supplier's gages and devices, or will you bring your own?

Right of access is a requirement, which typically provides you, your customer and regulatory agency representatives ingress to the APPROPRIATE places at the supplier premises. Not limited to inspection purposes, but could also include process audits, record reviews, equipment checks, work environment, etc...Right of access is something that, not only should be in the PO's you send to your suppliers, but you want to ensure THEY flow it down to THEIR suppliers, as appropriate.
 
P

Pete741

I thank both of you for the postings

our Company, presently 9001:2008 certified. Our mgt decided to go for AS9100 as some of our products can be marketed to AS industry. I have reviewed the std. Under Purchasing looks we should have a process for Source inspection & also Right of access, so that we can use this clause whenever we need that. Also it appears this need to be captured part of PO. I am not clear what is the difference between the 2 clauses (Source inspection & Right of access)

If any additional details needed please let me know
Pete
 

dsanabria

Quite Involved in Discussions
I thank both of you for the postings

our Company, presently 9001:2008 certified. Our mgt decided to go for AS9100 as some of our products can be marketed to AS industry. I have reviewed the std. Under Purchasing looks we should have a process for Source inspection & also Right of access, so that we can use this clause whenever we need that. Also it appears this need to be captured part of PO. I am not clear what is the difference between the 2 clauses (Source inspection & Right of access)

If any additional details needed please let me know
Pete

I think we are getting closer to what you are looking for..

Think of 'source inspector as someone you would hire to perform an activity at a facility for you. (a rough example - I am sure there are better ones)

and

Think of "right of access" as the ability to enter another facility in limited fashion - if permitted. The other company has the right to protect proprietary / sensitive information and your visit could be limited to the lobby.

Note: This last one occurs when you need to audit your product or your customer wants to go to the other facility to review or insure that his products are being handled according to requirements.

Note: Don't hesitate to give us better examples or scenario of what you intent to do - this could give everyone in sharing experiences and examples.:bigwave:
 

Sidney Vianna

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Think of "right of access" as the ability to enter another facility in limited fashion - if permitted. The other company has the right to protect proprietary / sensitive information and your visit could be limited to the lobby.
A visit that is limited to the lobby means that the supplier has not awarded the customer (or other stakeholder) representative the right of access. While concern exists over unrestricted access by customer reps to areas where competitor technologies might be displayed, the supplier that bars the customer from access to the lines where their product is being assembled, in practical terms, is failing to comply with the "right of access" requirement. That's why the verbiage in Revision C of AS9100 was improved to say:
right of access by the organization, their customer and regulatory authorities to the applicable areas of all facilities, at any level of the supply chain, involved in the order and to all applicable records.
 

dsanabria

Quite Involved in Discussions
A visit that is limited to the lobby means that the supplier has not awarded the customer (or other stakeholder) representative the right of access. While concern exists over unrestricted access by customer reps to areas where competitor technologies might be displayed, the supplier that bars the customer from access to the lines where their product is being assembled, in practical terms, is failing to comply with the "right of access" requirement. That's why the verbiage in Revision C of AS9100 was improved to say:

I shall forward this info to SANDIA and the guard with the M-16.

but... (it still happens)
 

Sidney Vianna

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Admin
I shall forward this info to SANDIA and the guard with the M-16.
Could you be confusing "right of access" with "security clearance"?

A simple clause in a PO requiring the right of access will not supersede/trounce the need for the customer representative to have the proper clearance(s) when visiting sites that handle classified information. It is incumbent on the customer to make sure the people being assigned to the supplier has the proper approvals. Just like in the case of ITAR compliance, not everyone will have access to sensitive information.
 
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J

Joy

If you try to understand the needs for these two situations,it would be clearer for you.

Think about a situation where you are purchasing a big part or component or some hazardous material from your supplier.Think about the consequences if the product is failed during the incoming inspection at your end.You have to put lot of effort to dispose that or send back to your supplier.So, in such type of purchases you plan source inspection to complete inspection activities at supplier premises.Don't ask me what happens during transportation,please.If you have that question in my mind you may consider another round of inspection after receiving at your premises.For critical components this is practiced.

Right of access- do you remember in recent times there were issues about working conditions in supplier premises for the supplier of a well known mobile company.The mobile company had some obligations to meet.If right of access is not contractually imposed,suppliers can deny access to their premises.They may accept customer due to business requirements but they are not bound to give access to other parties.

One point is to be kept in mind about clause 7.4.2 requirement-"at any level of supply chain".So, do you need to ensure that your supplier put this requirement for their suppliers?In this regard I would draw your attention to "Where appropriate" and this is key for deciding what system is to be established.
 
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