Chapter One

Introduction & Framework Overview

The Challenge of International Quality Control

Sourcing CNC machined components from international suppliers offers significant cost advantages—typically 30-45% savings over domestic manufacturing. However, these savings can evaporate quickly if quality issues arise. A single batch of non-conforming parts can cost:

Real Cost of Quality Failures:

• Direct replacement costs: $15,000-$50,000 for manufacturing and expedited freight
• Production delays: $25,000-$100,000 in lost production time
• Customer penalties: 5-10% of order value for late delivery
• Reputation damage: Lost future business and referrals
• Total impact: $50,000-$200,000+ per incident

The good news: With proper quality control frameworks, international CNC partnerships can deliver both cost savings AND reliability. This guide provides a comprehensive system based on AS9100D principles and proven best practices from 15+ years of international manufacturing relationships.

Why International Quality Control is Different

Working with offshore suppliers introduces unique challenges not present with local manufacturers:

Time Zone Gaps

Issues discovered at 9 AM in Sydney won't get a response from India until afternoon. This 4.5-hour offset requires asynchronous communication protocols and clear escalation procedures.

Limited Physical Oversight

You can't walk the shop floor daily. Remote quality control requires robust documentation, photography protocols, and third-party verification systems.

Communication Barriers

Even with English-speaking teams, technical terminology and dimensional standards can be misinterpreted. Crystal-clear specifications and visual references are essential.

Distance & Lead Times

With 18-22 day sea freight, you can't quickly inspect and reject shipments. Quality must be verified BEFORE shipping, not after arrival in Australia.

The 5-Layer Quality Framework

This guide is built around a proven 5-layer quality framework that addresses quality at every stage of the partnership:

1

Pre-Qualification (Chapters 2-3)

Verify supplier capabilities BEFORE committing. Includes facility audits, certification verification, and capability assessments.

2

First Article Validation (Chapter 4)

Comprehensive inspection of initial production parts to verify the supplier can meet specifications before full production begins.

3

In-Process Controls (Chapter 5)

Statistical process control (SPC) and inspection checkpoints during production to catch issues early, not after completion.

4

Final Inspection & Documentation (Chapters 6-7)

100% dimensional inspection, material verification, and complete documentation package before shipment approval.

5

Continuous Improvement (Chapters 8-9)

Systematic root cause analysis, corrective actions, and performance monitoring to drive quality improvements over time.

Who This Guide Is For

This comprehensive guide is designed for:

Procurement Managers evaluating or managing international CNC suppliers
Quality Engineers establishing quality frameworks for offshore partnerships
Operations Directors balancing cost savings with quality requirements
Engineering Teams in aerospace, defence, oil & gas, or medical devices requiring AS9100D or ISO 13485 compliance
Small Manufacturers new to international sourcing and seeking proven frameworks

What You'll Learn

By the end of this guide, you'll have:

✓ A 7-point supplier qualification checklist
✓ Complete FAI (First Article Inspection) protocol
✓ SPC implementation templates for offshore suppliers
✓ Material traceability verification procedures
✓ Non-conformance management system
✓ Supplier scorecard methodology
✓ Risk mitigation strategies for critical components
✓ Digital quality management tool recommendations

2

Chapter Two

Pre-Qualification Quality Assessment

The most critical quality decision happens BEFORE you place your first order. A thorough pre-qualification process prevents 80% of quality issues.

The 7-Point Supplier Qualification Framework

Use this systematic framework to evaluate potential CNC suppliers. Each criterion includes verification methods and red flags to watch for.

1 Certification Verification

What to verify: AS9100D, ISO 9001, or industry-specific certifications (ISO 13485 for medical, IATF 16949 for automotive).

Verification Checklist:

□ Request current certificate copy (must be within validity period)
□ Verify certificate with issuing body (ANAB, UKAS, JAB, etc.)
□ Check scope of certification matches your requirements
□ Review last surveillance audit date (should be within 12 months)
□ Ask for certificate history (avoid recently certified suppliers for critical parts)

🚩 Red Flags:

• Unable to provide certificate or delayed response
• Certificate from unrecognized accreditation body
• Scope excludes your component type (e.g., certified for sheet metal but you need machining)
• Recently downgraded or lost certification

2 Technical Capability Assessment

What to verify: Equipment, tolerances, material experience, and size range.

Equipment Verification:

Your Requirement	What to Verify
3-axis machining	Machine make/model, year, table size, spindle power
4/5-axis machining	Rotary axis capabilities, tool library, CAM software
Tight tolerances (±0.01mm)	Climate control, machine calibration records
Complex geometry	Similar part examples, programmer experience

Technical Interview Questions:

Q: "What's the tightest tolerance you've held on [your material] parts?"
Q: "How do you maintain tolerances across production runs?"
Q: "What's your process for complex setups requiring multiple operations?"
Q: "How do you handle thermal expansion in precision work?"

🚩 Red Flags:

• Vague or evasive answers about equipment
• No similar parts in portfolio
• Overconfidence without supporting evidence
• Unwillingness to provide machine calibration records

3 Client Reference Verification

What to verify: Track record with similar customers, especially other Australian aerospace/defence companies.

15-Question Reference Interview Script:

Quality & Delivery:

1. What was your first-pass yield (parts passing inspection first time)?
2. How often did they miss delivery commitments?
3. Describe a quality issue and how they handled it.
4. How accurate were their lead time estimates?

Communication & Responsiveness:

5. How quickly did they respond to technical questions?
6. Were language barriers ever an issue?
7. How proactive were they with progress updates?
8. Did they raise concerns early or hide problems?

Technical Capability:

9. Did they offer design improvement suggestions?
10. How did they handle engineering changes?
11. Were they capable of interpreting GD&T correctly?

Would You Recommend?:

12. On a scale of 1-10, how would you rate them overall?
13. Would you use them again for critical components?
14. What should we be cautious about?
15. Is there anything else we should know?

⚠️ Warning Signs in References:

• Hesitation or lukewarm recommendation
• Vague answers that don't address your questions
• Only provides references from non-aerospace/non-critical industries
• References are all very recent (no long-term clients)

✓ Positive Indicators:

• Enthusiastic recommendation without prompting
• Specific examples of problem-solving
• Long-term relationships (3+ years)
• Client actively ordering from them currently

4 Paid Sample Testing

Critical step: Always order paid sample parts before committing to production orders. This is your proof of capability.

Sample Testing Protocol:

Step 1: Select Test Parts (1-2 weeks)

• Choose parts representing 70% of your typical requirements
• Include your tightest tolerances
• Test your most challenging material/finish combinations
• Order 3-5 pieces minimum (allows for in-house testing)

Step 2: Provide Complete Documentation

• Detailed technical drawings with GD&T
• Material specification and required certification
• Surface finish and coating requirements
• Inspection requirements (dimensional report, material certs)

Step 3: Evaluation Criteria (What to Inspect)

✓ Dimensional accuracy (CMM or manual inspection)
✓ Surface finish quality and consistency
✓ Material certification matches specification
✓ Documentation completeness and clarity
✓ Packaging and part protection
✓ Lead time accuracy (promised vs actual)

💡 Sample Testing Best Practices:

• Pay market rate for samples (free samples often lower priority)
• Allow reasonable lead time (2-3 weeks for machining + freight)
• Document everything (photos, measurements, communications)
• Have samples inspected by your quality team, not just engineering
• Test functional fit if parts mate with existing assemblies

5 Financial Stability Check

Why it matters: A supplier's financial troubles can lead to quality shortcuts, delayed deliveries, or even business closure mid-project.

Financial Verification Checklist:

□ Request last 2 years of financial statements (or public records if available)
□ Check company registration and good standing status
□ Review payment terms (red flag if requiring 100% upfront for established suppliers)
□ Ask about ownership changes, recent layoffs, or facility closures
□ Verify they're current on utilities (check with industry contacts)

🚩 Financial Red Flags:

• Declining revenue over 2+ years
• High debt-to-equity ratio
• Payment terms become more stringent (e.g., suddenly requiring larger deposits)
• Frequent changes in banking relationships
• Difficulty paying subcontractors (check with coating/heat treat vendors)

6 IP Protection Verification

Critical for: Proprietary designs, defence components, or any parts where reverse engineering would be harmful.

IP Protection Assessment:

Document Control Verification:

• How are technical drawings stored and accessed?
• Who has access to customer files?
• Are files encrypted and backed up securely?
• What happens to files after project completion?

Non-Disclosure Agreement (NDA):

• Always have a signed NDA before sharing technical data
• Ensure NDA includes specific provisions for technical drawings
• Specify that drawings must be returned or destroyed after project
• Include penalties for unauthorized disclosure

Physical Security:

• Are work areas segregated from visitors?
• How are finished parts protected from photography?
• What employee screening processes are in place?

⚠️ IP Risk Mitigation Strategies:

• Split complex assemblies across multiple suppliers
• Provide only necessary views (not full 3D models when 2D suffices)
• Watermark drawings with unique identifiers
• Conduct final assembly in-house if IP is highly sensitive
• Consider periodic audits of document control practices

7 Facility Audit (Physical or Virtual)

Ideal: Physical site visit. Alternative: Comprehensive virtual audit via video call.

Facility Audit Checklist (Physical or Virtual):

Equipment & Infrastructure:

□ Observe machines in operation (not just idle)
□ Check machine maintenance records
□ Verify climate control in precision areas
□ Inspect inspection equipment (CMM, optical, etc.)
□ Review equipment calibration certificates

Organization & Housekeeping (5S Assessment):

□ Is the facility clean and organized?
□ Are tools properly stored and maintained?
□ Is WIP clearly identified and segregated?
□ Are inspection holds visible and controlled?
□ Do you see evidence of continuous improvement?

Quality Systems:

□ Review actual inspection records (not templates)
□ Observe incoming material inspection
□ Check non-conformance log and CAPA records
□ Verify traceability system (follow a part from raw material to shipping)
□ Review internal audit schedule and results

Staff Competency:

□ Ask operators to explain their work instructions
□ Verify inspector training and certification
□ Check programmer qualifications for complex parts
□ Assess management's understanding of AS9100D requirements

💡 Virtual Audit Best Practices:

• Schedule 2-3 hours for comprehensive virtual tour
• Request live video walk-through (not pre-recorded)
• Ask to see specific machines and inspection equipment
• Request document reviews via screen share
• Follow up with photos of specific areas if needed

✓ What Excellence Looks Like:

• Visual management boards showing KPIs and improvement projects
• Well-maintained equipment with scheduled PM adherence >95%
• Active CAPA process with root cause analysis visible
• Operators can articulate quality requirements for their work
• Management speaks confidently about quality metrics and trends

Supplier Qualification Scorecard

Use this weighted scoring system to objectively compare suppliers:

Criterion	Weight	Max Score	Passing
1. Certification Verification	25%	25	20+
2. Technical Capability	20%	20	16+
3. Client References	15%	15	12+
4. Sample Testing	20%	20	16+
5. Financial Stability	5%	5	3+
6. IP Protection	5%	5	3+
7. Facility Audit	10%	10	7+
TOTAL	100%	100	80+

Scoring Guide: 90-100 = Excellent (approved for critical parts) | 80-89 = Good (approved with monitoring) | 70-79 = Marginal (approved only for non-critical) | <70 = Do not approve

Pre-Qualification Timeline

Allow adequate time for thorough supplier qualification:

Week 1-2: Initial screening, certification verification, technical capability review
Week 3: Client reference checks and financial review
Week 4-6: Sample parts order and evaluation
Week 7: Facility audit (physical or virtual)
Week 8: IP protection review and NDA execution
Week 9: Final scoring and approval decision
Total: 8-10 weeks for comprehensive qualification

Note: This timeline assumes cooperative supplier. Plan for 12+ weeks if dealing with delays or requiring re-tests.

3

Chapter Three

Quality Framework Setup

Once you've qualified a supplier, establish clear quality expectations through contracts, quality agreements, and communication protocols. This prevents 90% of misunderstandings.

Essential Contract Quality Clauses

Your purchase order or master supply agreement must include specific quality requirements. Vague language like "industry standard quality" is not enforceable.

10 Mandatory Contract Quality Clauses:

1. Quality Standard Compliance

"Supplier shall manufacture components in accordance with AS9100D requirements and maintain current certification throughout the contract period."

2. Drawing & Specification Precedence

"In case of conflict, the order of precedence shall be: (1) Customer drawings, (2) Referenced standards (e.g., AS/NZS), (3) Supplier work instructions."

3. Material Traceability Requirements

"All materials shall be traceable to EN 10204 3.1 mill test reports. Heat numbers shall be marked on parts or packaging and cross-referenced to material certificates."

4. Inspection & Testing Requirements

"Supplier shall conduct 100% dimensional inspection on first article and first piece of each production run. Final inspection reports shall accompany each shipment."

5. Non-Conformance Notification

"Supplier shall notify Customer within 24 hours of discovering any non-conformance that may affect form, fit, function, or delivery. Shipment of non-conforming product without Customer approval is prohibited."

6. Right to Inspect

"Customer reserves the right to inspect work-in-progress and finished goods at Supplier's facility with 48 hours notice. Supplier shall provide reasonable access and cooperation."

7. Counterfeit Part Prevention

"Supplier shall source materials only from authorized distributors or original manufacturers. Supplier is responsible for verifying material authenticity and shall maintain procurement records for 10 years."

8. Change Control Process

"Supplier shall not implement changes to materials, processes, facilities, or subcontractors without prior written approval from Customer. Minimum 30 days notice required for proposed changes."

9. Record Retention

"Supplier shall retain quality records (inspection reports, test results, material certificates, NC reports) for minimum 10 years or as specified by applicable regulations."

10. Cost of Quality Failures

"Supplier is responsible for costs of replacement parts, expedited freight, and Customer's inspection/rework labor for non-conforming products caused by Supplier's manufacturing defects."

Quality Agreement Template

In addition to contract clauses, create a detailed Quality Agreement that specifies operational quality requirements:

QUALITY AGREEMENT STRUCTURE

Section 1: Scope & Applicability

• Parts/families covered by this agreement
• Industries and compliance requirements (aerospace, defence, medical, etc.)
• Effective date and review schedule (annual minimum)

Section 2: Quality System Requirements

• Certification maintenance (AS9100D, ISO 9001)
• Internal audit frequency and reporting
• Management review participation
• Quality metrics and KPI targets

Section 3: First Article Inspection (FAI)

• FAI requirements (AS9102 or equivalent)
• Balloon drawings and dimension reporting
• Customer approval required before production
• Re-FAI triggers (tooling change, 2+ year gap, facility move)

Section 4: In-Process Quality Controls

• Process control plans for critical characteristics
• SPC requirements and control chart types
• Inspection frequency (first piece, periodic, final)
• Inspection hold points requiring customer witness

Section 5: Material Control & Traceability

• Approved material sources and specifications
• Material certificate requirements (EN 10204 3.1 vs 3.2)
• Material marking and heat number traceability
• Material segregation and lot control procedures

Section 6: Documentation Requirements

• Inspection report format and content
• Certificate of Conformance (C of C) requirements
• Photographs of completed parts (if applicable)
• Document submission timeline (with shipment vs advance)

Section 7: Non-Conformance Management

• NC notification requirements and timeline
• Containment action expectations
• Root cause analysis methodology (5 Why, 8D, etc.)
• Corrective action verification and effectiveness checks

Section 8: Communication & Reporting

• Quality contact persons and escalation paths
• Progress update frequency for complex orders
• Monthly quality review meetings (if ongoing relationship)
• Quarterly scorecards and KPI reporting

Communication Protocol Setup

Time zone differences and physical distance require structured communication protocols:

Assign Dedicated Contacts

Customer Side:

• Primary Quality Engineer
• Procurement Manager (commercial)
• Technical Lead (engineering questions)

Supplier Side:

• Quality Manager (quality issues)
• Account Manager (scheduling, delivery)
• Technical Lead (manufacturing questions)

Document names, emails, phone numbers, and responsibilities in a contact matrix.

Response Time Commitments

Issue Type	Response Time
Critical NC	4 hours
Major NC	24 hours
Minor NC	48 hours
Technical Q	48 hours
General Inquiry	3 business days

Define escalation if commitments not met (e.g., escalate to supplier management after 2x response time).

Regular Check-In Schedule

For Active Orders:

• Daily: Critical orders with tight deadlines
• Weekly: Standard production orders
• Milestone-based: Complex/long-lead orders

For Ongoing Relationships:

• Monthly: Quality review meetings (metrics, issues, improvements)
• Quarterly: Business review (capacity, new capabilities, strategic planning)
• Annually: Quality agreement review and updates

Documentation Standards

All Communications Must Include:

• Subject: [PO Number] - [Topic]
• Clear action items with responsible parties
• Due dates for actions
• Reference previous communication if applicable

File Naming Convention:

• Format: PO_PartNum_DocType_Date
• Example: PO12345_BRK-001_FAI_2026-01-15

Incoming Material Quality Requirements

Specify how the supplier should receive, inspect, and control raw materials:

Material Receipt & Inspection Protocol:

Step 1: Receipt Verification

□ Verify material specification matches PO (grade, form, dimensions)
□ Check material certificate against material marking
□ Inspect for shipping damage, corrosion, or contamination
□ Verify quantity and lot numbers

Step 2: Material Testing (Critical Materials)

□ Chemical composition verification (PMI gun for critical alloys)
□ Hardness testing (if specified)
□ Dimensional verification (thickness, diameter tolerances)
□ Surface finish inspection

Step 3: Material Segregation & Storage

□ Separate by material grade and heat number
□ Maintain traceability labeling throughout storage
□ Protect from contamination, corrosion, and damage
□ FIFO (First In, First Out) inventory management

Step 4: Non-Conforming Material Control

□ Immediately quarantine any non-conforming material
□ Tag with "HOLD - DO NOT USE" labels
□ Notify customer if material affects delivery or cost
□ Obtain disposition from material supplier (return, concession, scrap)

4

Chapter Four

First Article Inspection (FAI)

First Article Inspection is your most critical quality gate. It verifies the supplier can meet your specifications BEFORE full production begins.

Why FAI Is Non-Negotiable:

Manufacturing 500 parts with a systematic error costs $45,000+ in replacement parts, expedited freight, and delays. FAI catches these errors on part #1, not part #500.

Industry data: 85% of production non-conformances could have been caught during proper FAI. Never skip this step.

AS9102 FAI Protocol

For aerospace/defence, follow AS9102 standard. For other industries, adapt the same rigorous approach:

Step 1: FAI Planning (Before Manufacturing)

Define FAI Requirements in PO:

• Number of articles required (typically 1-3 parts minimum)
• Inspection method: Supplier self-inspection, third-party, or customer witness
• Documentation format: AS9102 forms or equivalent
• Approval authority: Who signs off (customer quality engineer)

Supplier Creates Balloon Drawing:

• Number every dimension, tolerance, and callout on drawing
• Include GD&T characteristics (position, perpendicularity, etc.)
• Add surface finish requirements and material specifications
• Identify critical characteristics (usually 10-30% of total dimensions)

Step 2: Manufacturing & Inspection

First Production Run:

• Manufacture 3-5 pieces using production tooling, processes, and materials
• Use production environment (not special prototype setup)
• Document all manufacturing parameters (speeds, feeds, tool offsets)

100% Dimensional Inspection:

• Measure EVERY dimension on balloon drawing
• Use calibrated equipment (CMM, optical comparator, precision tools)
• Record actual measurements, not just pass/fail
• Calculate process capability (Cpk) for critical characteristics

Visual & Functional Checks:

• Surface finish (Ra measurement if specified)
• Cosmetic appearance (burrs, scratches, marks)
• Functional testing if applicable (fit check, torque test, etc.)

Step 3: Documentation Package

AS9102 Form 1: Part Number Accountability

• Part number, revision, quantity inspected
• Manufacturer info and inspection date
• Drawing references and revision levels

AS9102 Form 2: Product Accountability (Characteristic Accountability)

• Line-by-line listing of every characteristic from balloon drawing
• Actual measurements for each dimension
• Inspection method and equipment used
• Results (pass/fail/non-conforming)

AS9102 Form 3: Process Verification

• Manufacturing process steps documented
• Heat treatment, coating, or special process verification
• Material certificate cross-reference

Supporting Documentation:

• Material test report (EN 10204 3.1)
• Functional test results (if applicable)
• Photographs of completed parts (3-5 angles)
• Nonconformance reports (if any discrepancies)

Step 4: Review & Approval

Customer Review Process:

• Verify all dimensions are within tolerance
• Check material certificate matches specification
• Review critical characteristics have adequate process capability (Cpk ≥1.33)
• Verify special processes meet requirements
• Check for completeness and accuracy of documentation

Disposition Options:

APPROVED: Part meets all requirements, authorize production
APPROVED WITH COMMENTS: Minor issues noted but acceptable, corrective action for production
DISAPPROVED: Major non-conformances, require re-FAI after corrections

Typical Review Timeline:

• Simple parts (10-20 dimensions): 2-3 business days
• Complex parts (50+ dimensions): 5-7 business days
• Allow extra time if cross-functional review needed (engineering, manufacturing)

When to Require New FAI

Re-FAI Triggers (Mandatory New Inspection):

• Drawing/Design Changes: Any revision to dimensions, tolerances, materials, or processes
• Tooling Changes: New cutting tools, fixtures, or molds that could affect dimensions
• Process Changes: Different machines, methods, or sequence of operations
• Material Changes: Different supplier, grade, or heat treatment
• Facility Relocation: Move to different building or production area
• Extended Time Gap: More than 2 years since last production run
• Quality Issues: Systemic non-conformances in previous production
• Change in Production Volume: Significant scale-up (10x volume) requiring different processes

Common FAI Mistakes to Avoid

❌ Using Prototype Setup

Manufacturing FAI parts with special attention or tooling not used in production. FAI must represent actual production conditions.

❌ Incomplete Inspection

Measuring only "critical" dimensions. ALL dimensions must be inspected during FAI, even if they seem easy to hold.

❌ Missing Material Certs

Submitting FAI without proper material certificates. Material traceability is equally important as dimensional compliance.

❌ Inadequate Sample Size

Inspecting only 1 piece. Minimum 3 pieces recommended to verify process repeatability.

❌ Starting Production Early

Beginning full production before FAI approval. This creates major rework risk if FAI reveals issues.

❌ Poor Documentation

Handwritten notes or incomplete forms. Professional documentation reflects quality mindset and creates enforceable records.

FAI Success Checklist

Before Manufacturing:

□ FAI requirements defined in PO
□ Balloon drawing created and reviewed
□ Critical characteristics identified
□ Inspection equipment calibrated

During Inspection:

□ 3+ pieces manufactured and inspected
□ 100% dimensional verification complete
□ Material certificates match parts
□ Photographs taken (multiple angles)

Documentation:

□ AS9102 Forms 1-3 complete
□ All actual measurements recorded
□ Material certs attached
□ Special process verification included

Approval:

□ Customer review completed
□ Any discrepancies dispositioned
□ Written approval received
□ Production authorized to begin

5

Chapter Five

In-Process Quality Controls

Don't wait until final inspection to discover problems. In-process controls catch issues during manufacturing when they're easier and cheaper to fix.

The 3-Stage Inspection Strategy

1 First Piece Inspection (Every Setup)

Purpose: Verify machine setup is correct before running production batch.

What to Inspect:

• All critical dimensions (from control plan)
• General dimensional accuracy (sampling of other features)
• Surface finish and appearance
• Part orientation and setup correctness

Hold Point:

Do not proceed with production until first piece is approved by operator or inspector. Typical approval time: 15-30 minutes.

2 Periodic In-Process Inspection

Purpose: Monitor process stability and catch tool wear or drift before many parts are affected.

Inspection Frequency:

Batch Size	Inspection Frequency
1-25 parts	Every 10 parts or 50% through
26-100 parts	Every 25 parts
101-500 parts	Every 50 parts or every 2 hours
500+ parts	Every 100 parts or every shift

What to Check:

• Critical dimensions (full measurement)
• Trending dimensions (record for SPC charts)
• Visual quality (burrs, finish, marks)

3 Final Inspection (100% or Sampling)

Purpose: Verify all parts meet specifications before shipping to customer.

100% Inspection Required For:

• First production order (until process capability proven)
• Critical safety components
• Low-volume orders (< 25 pieces)
• After any process changes or issues

Sampling Inspection Acceptable For:

• Established processes with Cpk ≥ 1.67
• Non-critical characteristics
• High-volume production with proven stability
• Use AQL sampling plans (MIL-STD-105E or equivalent)

Statistical Process Control (SPC) Implementation

For ongoing production, implement SPC to monitor process capability and stability:

When to Require SPC from Supplier:

• Critical Characteristics: Dimensions affecting safety, fit, or function
• Tight Tolerances: When tolerance range is less than 0.15mm (±0.075mm)
• High Volume: Production runs > 100 pieces
• Repeat Orders: Components ordered multiple times per year
• Process Challenges: Features prone to tool wear or thermal effects

SPC Control Chart Setup Guide:

Step 1: Select Characteristics for SPC

• Identify 3-5 critical dimensions per part
• Prioritize dimensions with tight tolerances or quality history
• Consider characteristics prone to process drift

Step 2: Establish Control Limits

• Collect baseline data: 25-30 measurements during stable production
• Calculate control limits (typically ±3 sigma from mean)
• Verify process capability: Cpk ≥ 1.33 minimum (1.67 preferred)

Step 3: Ongoing Monitoring

• Plot measurements on X-bar and R charts
• Check for out-of-control conditions (points beyond limits, trends, runs)
• Investigate and correct special causes immediately
• Review charts weekly and update control limits if process improves

Step 4: Reaction Plan

• Define what actions to take when out-of-control detected
• Example: "If 1 point beyond control limit → stop production, inspect last 10 parts, investigate cause"
• Document corrective actions and verify effectiveness

Process Control Plan Template

Require supplier to create process control plans for complex or critical parts:

Process Step	Characteristic	Specification	Method	Frequency	Control
1. Material Receipt	Material Grade	SS 316L	PMI Test	Each lot	Hold if fail
2. Setup	OD Critical Dim	50.0 ±0.05mm	Micrometer	First piece	Adjust before production
3. Turning Op	OD Critical Dim	50.0 ±0.05mm	Micrometer	Every 25 pcs	SPC chart, adjust if trending
4. Deburring	Edge Condition	No burrs >0.1mm	Visual + Feel	100%	Rework if found
5. Final Inspection	All Dimensions	Per Drawing	CMM/Mic	100%	Quarantine if nonconforming

In-Process Control Best Practices

• Empower Operators: Train operators to measure critical dimensions themselves, don't rely only on inspectors
• Visual Management: Post control charts at each machine so trends are visible to everyone
• Stop Authority: Operators must have authority to stop production if measurements go out of tolerance
• Fast Feedback: Results of periodic inspections should be communicated within 15 minutes
• Tool Change Triggers: Establish clear criteria for when to change cutting tools (dimensional trending, surface finish degradation)
• Process Parameters: Lock critical machine parameters (speeds, feeds) to prevent unauthorized adjustments

6

Chapter Six

Material Traceability & Documentation

7

Chapter Seven

Inspection & Testing Protocols

Proper inspection methods and calibrated equipment ensure measurements are accurate and repeatable. Here's what to require from suppliers.

Inspection Equipment Requirements

Minimum Equipment Based on Tolerance Requirements:

Tolerance Range	Required Equipment	Resolution
±0.25mm or looser	Calipers, Height gage	0.01mm
±0.05mm to ±0.25mm	Micrometers, Bore gages	0.001mm (1 micron)
±0.01mm to ±0.05mm	Optical Comparator, CMM	0.001mm or better
Tighter than ±0.01mm	CMM, Laser scanner, Specialized	0.0001mm (0.1 micron)

10:1 Rule: Measurement equipment should have resolution at least 10x finer than the tolerance being verified.

Calibration Requirements

What to Verify:

□ All inspection equipment must be calibrated: Micrometers, calipers, CMMs, optical comparators, bore gages, thread gages, etc.
□ Calibration frequency: Minimum annually, or more frequent if required by manufacturer or your specification
□ Traceable to national standards: NIST (USA), NATA (Australia), UKAS (UK), or equivalent
□ Calibration stickers/labels: Each tool must have visible sticker showing calibration date and due date
□ Calibration certificates: Available on request showing "as found" and "as left" readings
□ Out-of-calibration procedure: What happens if tool found out of tolerance during calibration? (Part recall analysis)

Measurement Repeatability & Reproducibility (Gage R&R)

For critical characteristics, verify the measurement system itself is capable:

When to Require Gage R&R Study:

• Critical safety characteristics
• Tight tolerances (< ±0.05mm)
• Dimensions with history of measurement disputes
• New inspection methods or equipment
• SPC characteristics (measurement variation affects control charts)

Acceptance Criteria:

• Gage R&R < 10% = Excellent measurement system
• Gage R&R 10-30% = Acceptable (may need improvement)
• Gage R&R > 30% = Unacceptable (measurement system must be improved)

Non-Destructive Testing (NDT) Requirements

Certain components require NDT to detect internal defects not visible during dimensional inspection:

Liquid Penetrant Testing (PT)

Purpose: Detect surface-breaking cracks, porosity, laps

When Required:

• Critical aerospace components
• Welds and heat-affected zones
• Castings and forgings
• After rework or repairs

Standard: ASTM E1417, ISO 3452

Magnetic Particle Testing (MT)

Purpose: Detect surface and slightly subsurface defects in ferromagnetic materials

When Required:

• Steel and iron components
• High-stress areas (gears, shafts)
• Forgings and heavy sections
• Per customer or code requirements

Standard: ASTM E1444, ISO 9934

Ultrasonic Testing (UT)

Purpose: Detect internal flaws, voids, inclusions

When Required:

• Thick sections > 25mm
• Critical structural components
• Pressure vessel and piping
• Material quality verification

Standard: ASTM E114, ISO 16810

Radiographic Testing (RT)

Purpose: Detect internal defects via X-ray imaging

When Required:

• Critical welds (ASME, AWS codes)
• Castings for internal soundness
• Aerospace/defence requirements
• Nuclear and pressure vessel

Standard: ASTM E1742, ISO 17636

NDT Technician Qualification:

NDT must be performed by certified technicians. Verify supplier's NDT personnel hold current certifications:

• Level II minimum for production inspection
• Certified per ASNT SNT-TC-1A, ISO 9712, or equivalent
• Certification must be current and for specific method (PT, MT, UT, RT)
• Request copies of certifications with each NDT report

8

Chapter Eight

Non-Conformance Management

Quality issues will occur. What matters is how quickly and effectively they're resolved. Establish clear non-conformance procedures.

The 8D Problem-Solving Process

For significant quality issues, require suppliers to follow the 8 Disciplines (8D) methodology:

D1: Form a Team

Assemble cross-functional team with knowledge of the process (quality, manufacturing, engineering). Assign roles and establish meeting schedule.

D2: Describe the Problem

Use "Is / Is Not" analysis to precisely define the problem:

• What IS the defect? What IS NOT affected?
• Where IS it occurring? Where IS it NOT?
• When WAS it first detected? When WAS it NOT present?
• How many parts ARE affected? How many are NOT?

D3: Implement Containment Actions

Immediate actions to prevent more defective parts from reaching customer:

• Stop production and quarantine suspect inventory
• 100% sort in-process and finished goods
• Inspect parts already shipped to customer if possible
• Implement temporary inspection checkpoints

D4: Identify Root Cause

Use systematic analysis to find the true cause (not just symptoms):

• 5 Whys: Ask "why" 5 times to drill down to root cause
• Fishbone Diagram: Analyze Man, Machine, Material, Method, Measurement, Environment
• Verify with data: Confirm root cause actually explains the problem

D5: Choose Permanent Corrective Actions

Select actions that eliminate root cause and prevent recurrence:

• Ideal: Error-proof the process (poka-yoke) so defect cannot occur
• Good: Process changes, training, new equipment/tooling
• Weak: More inspection, more supervision (doesn't prevent the defect)

D6: Implement & Validate Corrective Actions

Put corrective actions in place and verify they work:

• Define implementation plan with responsibilities and dates
• Verify actions eliminate root cause (run trials, collect data)
• Monitor process for several production runs to confirm stability

D7: Prevent Recurrence

Update systems to prevent similar problems in the future:

• Update work instructions, control plans, FMEAs
• Apply learnings to similar processes/parts
• Add inspection checkpoints or poka-yoke devices
• Training for all affected personnel

D8: Congratulate the Team

Recognize team's efforts and close out the 8D:

• Document lessons learned and share with organization
• Celebrate success and recognize contributors
• Archive 8D report for future reference

Non-Conformance Response Timeline

Required Response Times:

Issue Severity	Initial Response	Containment	8D Complete
Critical (Safety, Fit/Function)	4 hours	24 hours	5 business days
Major (Out of tolerance)	24 hours	3 days	10 business days
Minor (Cosmetic, Documentation)	48 hours	5 days	15 business days

Supplier Scorecard Metrics

Track supplier performance with quantitative metrics:

Quarterly Supplier Scorecard Template:

Metric	Weight	Target	Actual	Score
Quality (PPM defects)	40%	<500 PPM	250 PPM	40/40
On-Time Delivery	30%	>95%	92%	25/30
Documentation Complete	15%	100%	100%	15/15
Responsiveness	15%	<24hr response	18hr avg	15/15
TOTAL SCORE	100%	-		95/100

Scoring Guide: 90-100 = Excellent (preferred supplier) | 80-89 = Good (approved) | 70-79 = Improvement needed | <70 = Probation or removal

9

Chapter Nine

Continuous Improvement Systems

Quality partnerships improve over time. Build systematic improvement processes into your supplier relationships.

Monthly Quality Review Meetings

Establish regular cadence for reviewing performance and identifying improvement opportunities:

Standard Monthly Review Agenda (60 minutes):

1. Scorecard Review (10 minutes)

• Quality PPM trends (month-over-month, YTD)
• On-time delivery performance
• Documentation completeness
• Response time metrics

2. Open Non-Conformances (15 minutes)

• Status of all open 8Ds and CARs
• Effectiveness verification of previous corrective actions
• Roadblocks requiring escalation

3. Process Capability Updates (10 minutes)

• SPC chart reviews for critical characteristics
• Cpk improvements or degradations
• Tooling or equipment changes

4. Upcoming Orders & Challenges (10 minutes)

• New part introductions and FAI planning
• Volume changes requiring capacity discussion
• Material availability concerns

5. Improvement Initiatives (10 minutes)

• Cost reduction projects (DFM, process optimization)
• Lead time reduction opportunities
• Quality improvement projects

6. Action Items & Next Steps (5 minutes)

• Document agreed actions with owners and due dates
• Schedule next meeting

Cost Reduction Through Quality Improvement

Better quality often leads to lower costs. Work with suppliers on these improvement areas:

Scrap Reduction

Lower scrap = lower material costs passed to you

• Typical scrap rate: 5-10% on complex parts
• Goal: Reduce to <3% through process improvements
• Savings: 3-5% price reduction potential

Tooling Optimization

Better tooling = faster cycle times

• Invest in specialized tooling for repeat parts
• Reduce cycle time 20-40%
• Savings: 10-15% price reduction on volume orders

Design for Manufacturing (DFM)

Easier-to-make parts cost less

• Eliminate tight but non-functional tolerances
• Standardize hole sizes, thread pitches
• Savings: 15-25% on redesigned parts

Volume Consolidation

Larger batches = lower setup costs

• Combine 4 quarterly orders into 2 semi-annual
• Double order quantity if inventory manageable
• Savings: 8-12% through economies of scale

Supplier Development Programs

For strategic suppliers, invest in their capability improvement:

Supplier Development Activities:

SPC Training & Implementation

• Provide training on control charts and process capability
• Help establish control plans for critical characteristics
• Benefit: Improved process control, fewer non-conformances

Process Audits & Recommendations

• Conduct periodic process audits (annually)
• Identify improvement opportunities in layout, tooling, methods
• Benefit: Catch issues before they affect your parts

Equipment & Technology Sharing

• Share information about new technologies or equipment
• Connect supplier with equipment vendors you trust
• Benefit: Access to better capabilities for future projects

Joint Cost Reduction Projects

• Collaborate on DFM improvements (you redesign, they implement)
• Share savings 50/50 to incentivize participation
• Benefit: Win-win cost reductions

Recognition & Incentives

Positive reinforcement drives better performance:

Supplier Recognition Program Ideas:

• Quarterly Excellence Award: Recognize supplier with highest scorecard (share on LinkedIn, your website)
• Volume Increases: Give preferred status and more orders to top performers
• Early Payment: Pay top suppliers Net 15 instead of Net 30 as incentive
• Long-Term Commitments: Multi-year agreements with volume commitments for excellent suppliers
• New Part Opportunities: Give first shot at new projects to proven suppliers
• Joint Marketing: Feature supplier in your case studies, testimonials

10

Chapter Ten

Technology & Digital Quality Tools

Digital tools make international quality control more efficient and transparent. Here are the most valuable technologies.

Cloud-Based Quality Management Systems (QMS)

Replace email and spreadsheets with centralized quality management software:

QMS Platform Recommendations:

For Small-Medium Companies (<$50M revenue):

• ETQ Reliance: $200-500/user/month, AS9100D compliant, comprehensive
• Qualio: $150-300/user/month, modern interface, FDA/ISO compliant
• MasterControl: $300-600/user/month, life sciences focused, robust

For Enterprise (>$50M revenue):

• SAP Quality Management: Integrated with ERP, enterprise-grade
• Oracle Quality Management: Similar to SAP, full traceability
• Siemens Opcenter Quality: Manufacturing execution + quality

Key Features to Require:

✓ Supplier portal (supplier can upload docs directly)
✓ NC tracking with automated workflows
✓ CAPA management (8D, corrective actions)
✓ Document control (auto-versioning, approval workflows)
✓ Audit management (schedule, track findings)
✓ Dashboards & analytics (real-time quality metrics)

Digital Inspection Tools

Smart Inspection Apps

Replace paper inspection forms with tablet/phone apps:

Recommended Tools:

• InspectAR: AR overlay on parts for visual inspection
• SafetyCulture (iAuditor): $24/user/mo, customizable checklists
• 1Factory: Manufacturing-specific, photo documentation

Benefits:

✓ Real-time data collection (no transcription errors)
✓ Photo/video documentation automatically attached
✓ Instant notifications if out-of-spec detected

Digital Measurement Systems

Connect inspection equipment directly to software:

Technologies:

• Bluetooth calipers/micrometers: Transmit measurements to app
• CMM automation: Auto-report generation (PC-DMIS, Calypso)
• Optical scanners: Capture entire part geometry (GOM, Creaform)

Benefits:

✓ Eliminate manual data entry errors
✓ Faster reporting (minutes vs hours)
✓ Automatic SPC chart updates

Video Collaboration Tools

Overcome distance with real-time visual communication:

Effective Use Cases for Video Calls:

Virtual Shop Floor Inspections

• Supplier uses phone/tablet to show parts being manufactured
• You observe setup, first piece inspection in real-time
• Record video for documentation
• Tool: Zoom, Microsoft Teams, dedicated inspection cameras

Issue Troubleshooting

• Show defects in real-time vs trying to describe via email
• Supplier can see what you're seeing and respond immediately
• Reduces back-and-forth from days to minutes

Training & Knowledge Transfer

• Train supplier's team on your specific quality requirements
• Demonstrate proper inspection techniques
• Share screen to review CAD models, drawings together

AI & Machine Learning Applications

Emerging technologies that show promise for quality control:

Computer Vision Inspection

AI analyzes photos to detect defects:

• Surface defects (scratches, dents)
• Assembly errors (missing components)
• Color/finish variations
• 90-98% accuracy with training

Predictive Quality Analytics

ML predicts quality issues before they occur:

• Analyzes SPC trends
• Predicts tool wear timing
• Suggests when to adjust process
• Reduces scrap by 20-40%

Automated Documentation

AI generates inspection reports:

• Auto-extract data from CMM files
• Generate formatted PDFs
• Cross-check with material certs
• Saves 2-4 hours per shipment

Blockchain for Traceability

Emerging technology for ultra-critical traceability (aerospace, medical, defence):

How Blockchain Enhances Traceability:

Traditional Traceability Challenge: Material certificates can be altered, lost, or questioned. No way to verify authenticity.

Blockchain Solution: Every transaction (mill cert, inspection, shipment) recorded on immutable blockchain. Cannot be altered retroactively.

Benefits:

• Counterfeit Prevention: Impossible to forge material certificates
• Instant Verification: Scan QR code on part → see complete history
• Audit Ready: All records in one place, immutable
• Recall Efficiency: Instantly identify all affected parts

Current Status: Still emerging, mainly used by tier-1 aerospace (Boeing, Airbus suppliers). Expect broader adoption 2026-2027.

Technology Implementation Roadmap

Don't try to implement everything at once. Follow this staged approach:

Phase 1 (Months 1-3): Foundation

□ Implement cloud-based document sharing (Google Drive, SharePoint)
□ Establish video call protocol for visual inspections
□ Digitize key forms (inspection checklists, 8D templates)

Phase 2 (Months 4-9): Process Automation

□ Pilot QMS software with 1-2 suppliers
□ Connect measurement equipment to digital systems
□ Implement smart inspection apps for in-process checks

Phase 3 (Months 10-18): Advanced Analytics

□ Implement AI visual inspection for high-volume parts
□ Deploy predictive quality analytics
□ Explore blockchain for ultra-critical parts

Quality Control for International CNC Partnerships

Introduction & Framework Overview

The Challenge of International Quality Control

Real Cost of Quality Failures:

Why International Quality Control is Different

Time Zone Gaps

Limited Physical Oversight

Communication Barriers

Distance & Lead Times

The 5-Layer Quality Framework

Pre-Qualification (Chapters 2-3)

First Article Validation (Chapter 4)

In-Process Controls (Chapter 5)

Final Inspection & Documentation (Chapters 6-7)

Continuous Improvement (Chapters 8-9)

Who This Guide Is For

What You'll Learn

Pre-Qualification Quality Assessment

The 7-Point Supplier Qualification Framework

1 Certification Verification

Verification Checklist:

🚩 Red Flags:

2 Technical Capability Assessment

Equipment Verification:

Technical Interview Questions:

🚩 Red Flags:

3 Client Reference Verification

15-Question Reference Interview Script:

⚠️ Warning Signs in References:

✓ Positive Indicators:

4 Paid Sample Testing

Sample Testing Protocol:

💡 Sample Testing Best Practices:

5 Financial Stability Check

Financial Verification Checklist:

🚩 Financial Red Flags:

6 IP Protection Verification

IP Protection Assessment:

⚠️ IP Risk Mitigation Strategies:

7 Facility Audit (Physical or Virtual)

Facility Audit Checklist (Physical or Virtual):

💡 Virtual Audit Best Practices:

✓ What Excellence Looks Like:

Supplier Qualification Scorecard

Pre-Qualification Timeline

Quality Framework Setup

Essential Contract Quality Clauses

10 Mandatory Contract Quality Clauses:

Quality Agreement Template

QUALITY AGREEMENT STRUCTURE

Communication Protocol Setup

Assign Dedicated Contacts

Response Time Commitments

Regular Check-In Schedule

Documentation Standards

Incoming Material Quality Requirements

Material Receipt & Inspection Protocol:

Quality Framework Setup Checklist

First Article Inspection (FAI)

Why FAI Is Non-Negotiable:

AS9102 FAI Protocol

Step 1: FAI Planning (Before Manufacturing)

Step 2: Manufacturing & Inspection

Step 3: Documentation Package

Step 4: Review & Approval

When to Require New FAI

Re-FAI Triggers (Mandatory New Inspection):

Common FAI Mistakes to Avoid

❌ Using Prototype Setup

❌ Incomplete Inspection

❌ Missing Material Certs

❌ Inadequate Sample Size

❌ Starting Production Early

❌ Poor Documentation

FAI Success Checklist

In-Process Quality Controls

The 3-Stage Inspection Strategy

1 First Piece Inspection (Every Setup)

2 Periodic In-Process Inspection

3 Final Inspection (100% or Sampling)