Q1 RULES REFERENCE CARD

December 2014

CONTENTS

Q1 RULES REFERENCE CARD

Introduction
This document is intended to serve as an aid in the understanding of
the Q1 Requirements and Q1 Scoring rules as applied in Supplier
Improvement Metrics (SIM).

Introduction
Q1 Eligibility
Q1 Requirements

Q1 Eligibility

Q1 Scoring

Q1 Scoring General Information

Capable Systems
On-going Performance
Q1 Manufacturing Site Assessment (Q1MSA)

Customer Endorsements

Note: Q1 metrics managed outside of SIM and approved by STA Strategy

may be used on an exception basis to represent the Q1 required
performance metrics.

Q1 Achievement/Q1 Reinstatement
Q1 Application

Q1 Revocation
Q1 Status Code Diagram
Q1 Status Code Descriptions
Directed Tier 2 Responsibilities
Frequently Asked Questions
Updating Information/Contacts
Web Sites for Additional Information

Supplier Improvement Metrics (SIM)

Quality System and Supplier Documents

"The information contained herein is FORD PROPRIETARY information
and may include FORD CONFIDENTIAL information as defined in Ford's
Global Information Standard II. Reproduction of this document, disclosure
of the information, and use for any purpose other than the conduct of
business with Ford is expressly prohibited"

Non-manufacturing facilities are not eligible for Q1 status.

Examples of non-manufacturing facilities include, but are not limited
to: warehouses, In-Line Vehicle Sequencing Centers (ILVS), P.O.
Boxes, accounting offices, sales offices, prototype design facilities,
repair facilities, rework shops, distributors and ship points.
Manufacturing locations which cannot generate all Q1 metrics,
including quality and delivery performance, are not eligible for Q1.

Supplier Site must show at least one performance rating 6 months

old (production and/or Service metrics) and have at least 3 months
of metrics (delivery metrics may include the immature month).
Lead STA Site Engineer: Production STA Site Engineer, unless the
Supplier Site is Service unique or delegated by Production, then the
Service STA is the Site Engineer.
Supplier Sites must be STA active in GSDB/SIM with an assigned
STA site engineer and STA Organization.

Q1 Requirements
Capable Systems
Certifications and Assessments
On-going Performance metrics
PPM Production and/or Service
QR rate (for bulk material suppliers only, as appropriate)
Delivery Production and/or Service
Field Service Actions
Stop Shipment(s)
Violation of Trust
Q1 Manufacturing Site Assessment
Customer Endorsements
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December 2014

Q1 SCORING
Q1 Score includes: Capable Systems + On-going Performance +
Q1 Manufacturing Site Assessment

Q1 Scoring General Information

Q1 RULES REFERENCE CARD

3rd Party Certificate uses Expiry date from GSDB Online

Blank expiry date, expired over 31 days, blank or 'TBD' certificate

number results in -250 point adjustment
Expired between 7 and 31 days results in a -100 point adjustment
For Bulk Materials only: brokers may be certified to ISO 9001

Q1 Score baseline is 1000

Scoring adjustments are based on: Capable Systems, On-going
Performance and Q1 Manufacturing Site Assessment.
Q1 score must be at least 800 points to maintain Q1. A Q1
Supplier Site with a score below 800 points will be recommended
for Q1 Revocation.
If a -250 point score occurs for any metric, positive points are not
applied to any other metric.
A Supplier Site that is either Production or Service STA active and
missing corresponding PPM data or delivery data for the last 7
months will have the Incomplete Icon displayed next to impacted
Site and Metric Q1 scores.
An Incomplete Q1 score indicates that a normal metric expected for
Q1 is not reported. It does not imply poor performance. The Site
Engineer and supplier should understand the reason for any
missing metric and take action if it is not expected.
Q1 Scoring is updated every weekend based on the most current
metrics available in SIM.

Material Management System Requirements MMOG/LE

- Global Materials Management Operations Guide/Logistics
Evaluation

Self Assessment [annually between 1st May and 31st July]

Self Assessment: MMOG/LE Tier 1 suppliers are required to meet

requirements for Level A.
Translated requirements are available through AIAG,
http://www.aiag.org or through Odette http://www.odette.org.

Lack of a valid supplier MMOG/LE Self-Assessment meeting

Level A may result in a loss of MP&L Endorsement.

Q1 Scoring
o Valid Supplier Self Assessment must be entered into GSDB or
GSDB Online with the level and assessment date identified. A
blank level (MMOG/LE) or a TBD date is not acceptable.
o A Supplier Site is not required to submit a Self Assessment
directly to MP&L unless requested.
o A blank Self-Assessment in GSDB, Failure to achieve Level A,
or failure to update the assessment by the end of the annual
update period results in -250 points.

Capable Systems: (0, -100 or -250 points)

On-going Performance: Scoring Thresholds

Current certification/assessment information is maintained in GSDB

Online by suppliers. Satisfying all required certificates/assessments
noted below results in 0 point adjustment.

Q1 uses key metrics of quality performance in determining a supplier's

Q1 Score:
Overall Site PPM
PPM Commodity Performance - Production and /or Service
Delivery Performance - Production and/or Service
Field Service Actions
Stop Shipment(s)
Violation of Trust

ISO 14001- Environmental Management System

3rd Party Certificate uses Expiry date from GSDB Online

Blank Expiry date, expired over 31 days, blank or 'TBD' certificate

number results in -250 point adjustment

Expired between 7 and 31 days results in a -100 point adjustment

ISO/TS 16949 - Supplier Quality System

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Q1 RULES REFERENCE CARD

PPM Low Commodity Scoring Rules

Overall Site PPM - Production and/or Service (0 to +100

Points)
The 6 mature months of receipts/rejects are used for PPM.
Production and service points are calculated separately
Site PPM does not result in negative points for either Production or
Service
Positive points are not allowed if the Supplier Site has fewer than 2
months of production receipts in the last 6 mature months for either
Production or Service.
The Supplier Site does not qualify for Q1 if it has fewer than 3
months of receipts for production and / or service.

6 Month Overall Site PPM Adjustments:

(Determined separately for Production and Service)

PPM Score
0 PPM
1 PPM to 60 PPM
61 PPM and above

Points
+100 points
+50 points
0 points

PPM Low Commodity Comparison Production and/or

Service (+100 to -250 points)
PPM Commodity General Rules:
Score and Commodity determined separately for Production and
Service, based on data from the last 6 mature calendar months.
Each Commodity is scored, with the lowest scoring commodity
chosen to determine the site commodity score.
Industry is defined as all external supplier shipments (reported in
SIM) of part numbers with the same Low Commodity Code.
Industry Commodity PPM level is updated annually in March based
on the prior 12 months Industry PPM for each Low Commodity for
both Production and Service.
No positive points are allowed if the Supplier Site has fewer than 2
months of production/service receipts in the last 6 mature months.
The lowest possible score for a commodity may be limited and
phased in based on several metrics including Site and Commodity
PPM, receipt % of site volume and total rejected parts.

BASE Score: A Suppliers score in each commodity is initially

determined from the commodity scoring table based on the
performance vs. the Q1 industry commodity PPM level for the
lowest scoring commodity. The result of this is shown as the Base
Score.
Applied Score (on commodity detail): The Base score may be
adjusted due to phase in limits or other scoring limits and is
reported as the Applied Score. (See Phase in table on next page)
Q1 Scoring Detail Page Base and Applied Score: The Base
Score shown on the Q1 Scoring Detail page is from the lowest
scoring commodity. The Applied Score is the Base Score modified
by the adjustments caused (limited) by other site metrics.
How to determine -150 vs. -250 point penalty: When a site
commodity PPM exceeds 2 times its Q1 Industry commodity PPM it
is evaluated for a -250 penalty based on the count of individual
months of the site commodity PPM exceeding twice its Q1 Industry
Commodity PPM and scored as shown below:
6-Month PPM Low Commodity Q1 Base Score:
Performance vs. Industry
Points
Commodity PPM
100%
+100 points
75% to 99%
+75 points
50% to 74%
+50 points
25% to 49%
+20 points
11% to 24%
+10 points
0% to 10%
0 points
-1% to -24%
-25 points
-25% to -49%
-50 points
-50% to -74%
-100 points
-75% to -99%
-125 points
> -100%
See Below
-250 Point criteria Count of months within the 6 mature
months that exceed 2x Q1 Industry Commodity PPM
Level:
Fewer than 3 months
-150
3 months or more
-250
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Commodity PPM phase in Applied Score limit table.
These scores are used to limit the negative commodity PPM score on
each commodity if the range applies and if the associated Lowest
Score Allowed is higher than the Base Score calculated for the
commodity.
The Applied Q1 Score is the highest score value comparing the Q1
Base Score with all the applicable Lowest Scores Allowed.
Limits are only applied to the Q1 Base Score if the Phase In Metric
value for the commodity / site are within the stated ranges. If no limit
is applicable, the Applied Q1 Score is the same as the Base Q1 Score
If the Lowest Score Allowed indicates not used for Q1, that
commodity will not be used to determine the site Q1 score.

Q1 RULES REFERENCE CARD

Delivery Rating Production and/or Service (+100 to -250

Points)
Delivery Rating General Rules
Determined separately for Production and Service
Requires at least two months of delivery ratings to gain points
Delivery ratings are issued to Ship Points
A unique ship point is determined by ship point GSDB code
Production Sites uniquely supplying bulk material, "As Required"
parts/product may be exempt from Delivery requirements including
MMOG/LE IF they are marked as waived in SIM by an MP&L
analyst.
Delivery Ratings Considered in Q1
All delivery ratings assigned directly to a manufacturing Supplier
Site are considered (where Mfg Site code = ship point Site code)
Delivery ratings for ship points associated with a manufacturing
Supplier Site are only considered when receipts exist through the
ship point within the last 7 months (including the immature month).
When no receipts exist in the last 7 months, the message "Not used
in Q1 score, zero receipts in last 7 months" will appear by these
ratings.
Determining Worst Ship Point
For all considered ship points (and the directly shipping
manufacturing site as appropriate), the Supplier Site receives a
-250 point adjustment if the 6 month weighted average AND the last
three available delivery ratings within the last 7 calendar months all
fall below 81.
If no ship point meets the -250 point adjustment criteria above, then the
ship point with the worst 6 month weighted average is used to
determine the Q1 points based on the following scoring table:
Delivery Adjustments where no ship point meets the -250
point adjustment criteria:
6 Month Weighted Average
100
97 to 99
Below 96

Points
+100 points
+50 points
0 points
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December 2014

Warranty Spikes (No Longer Scored for Q1)

Warranty Spikes are no longer scored in Q1, and are not reported to
SIM. Placeholders in SIM may be visible but no score is generated.

Field Service Actions (0 or -250 Points)

Field Service Actions impacting Q1 are those actions approved by
Ford, with any supplier responsibility, which involve notification of
dealers and/or vehicle owners, regarding inspection and/or correction
of a potential production vehicle concern. For questions relating to
Fields Service Actions responsibility or Q1 implications, contact your
Ford STA Site Engineer.
Field Service Actions Adjustments:
Field Service Actions Frequency
Points
0 in 6 months

1 or more in 6 months

0 points

-250 points

Date of the Field Service Action reflects the date the Field Service
Action was approved.
Field Service Action Waiver (Production Only)
Q1 impact of a Field Service Action may be waived if the responsibility
for the Field Service Action has been reassigned away from the
Supplier Site, as agreed by a STA Regional Director. For additional
information, please contact your Ford STA Site Engineer
Stop Shipment(s) (0, -100 or -250 Points)
A Stop Shipment impacting Q1 is the containment of all affected
vehicles with a potential production vehicle concern, with any supplier
responsibility, already released by the plant but not yet in the hands of
dealers or customers.

Q1 RULES REFERENCE CARD

manner with certified stock, as agreed by a STA Regional Director. For
additional information, please contact your Ford STA Site Engineer.
Violation of Trust (0 to -250 Points)
If Ford Supplier Technical Assistance (STA) determines that the
supplier has committed a Violation of Trust, it will lose 250 points. One
example of a Violation of Trust occurs when a Supplier Site fails to
notify STA and obtain approval through the Supplier Request for
Engineering Approval (SREA) process for supplier initiated:
Manufacturing or equipment process change (including tooling)
Component or material change or substitution
Subcontractor or vendor change
Other examples of Violation of Trust may include:
Launch ramp-up or rate of climb which adversely impacts plant
build schedule versus the agreed timing
Self-certified PSW is incomplete or inaccurate
PSW supporting data lacks integrity
Other trust issues which severely impact the On-going business
relationship with Ford
Supplier initiated Supplier Site location change without notifying
Ford.
The STA Site Supervisor can register a Violation of Trust issue into the
system by using the Maintain Site Management view in SIM. The
Violation of Trust will remain in SIM until the STA Site Supervisor
removes it.

Stop Shipment(s) Adjustments:

Stop Shipment(s) Frequency
0 in 6 months
1 in 6 months
2 or more in 6 months

Points
0 points
-100 points
-250 points

Stop Shipment(s) Waiver (Production Only)

Q1 impact of a Stop Shipment may be waived if the supplier
demonstrates proactive intervention; the suspect component has not
been used in Ford production and has been replaced in a timely
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December 2014
Q1 Manufacturing Site Assessment: (0, -50, -150 or 250 pts)
Supplier Site must meet all Q1 manufacturing expectations or
implement an acceptable and effective corrective action plan. The
Supplier Site will use the latest assessment available on the Ford
Supplier Portal (FSP) at https://web.qpr.ford.com/sta/Q1.html Many
supplier performance aspects (such as launch performance,
continuous improvement, etc.), not specifically scored in SIM, can
affect the Q1 score through the Q1 Manufacturing Site Assessment
(Web Based Q1MSA or Excel Spreadsheet Q1MSA Checklist)
Q1 Manufacturing Site Assessment (Q1MSA) For Production and/or
Service):
Site assessment frequency is based on Quality Segmentation:

Segment I and II and Unsegmented Supplier Sites every 6

months

Segment III and IV Sites every 12 months

The STA Site Engineer enters the status of the Q1 Manufacturing Site
Assessment in eQ1MSA.
Note: Q1 Manufacturing Site Assessment frequency for service unique
Supplier Sites is typically every 12 months.
Scoring Impact on Q1: Two-Step scoring Process is based on the
status of the Q1 Manufacturing Site Assessment or of the Q1
Manufacturing Site Assessment Action Plan (if required).
Last Q1 Manufacturing Site Assessment Scoring:
Assessment performed and acceptable (0 points)
Assessment is late within the most recent 6 month period to the
required 6 or 12 month frequency
o Overdue automatic point deduction (-50 points)
o Delinquent, First Action (-150 points)
o Delinquent, Second Action (-250 points)
Corrective Action Plan (CAP) Required: scoring based on CAP
status as follows:
o Overdue automatic point deduction (-50 points)
o Submitted and acceptable (0 points)
o Delinquent, First Action (-150 points)
o Delinquent, Second Action (-250 points)
o Ineffective, First Action (-150 points)

Q1 RULES REFERENCE CARD

Ineffective, Second Action (-250 points)

Customer Endorsements
Each Supplier Site must obtain customer endorsements demonstrating
it consistently meets the needs of its Ford customers.
Once the Supplier Site has satisfied Q1 Requirements (Capable
Systems, On-going Performance and Q1MSA), the Supplier Site
will obtain customer endorsements from:
STA Site Engineer
Plant: Plant Mgr or designee for each Ford Plant
FCSD (for Service Parts): FCSD Quality Mgr or designee
MP&L: Delivery Performance Supervisor or designee
Note: where FCSD and MP&L endorsements include parts from
the supplier impacting multiple geographic regions, ensure that
all affected regions provide their input into the endorsement
Customer endorsements are valid for 6 months from date of issue
Customer endorsement is based on a Supplier Site's performance
during the prior six months on the following Q1 criteria, as
appropriate:
o All Q1 Requirements (endorsements require at least 3
months of receipts during the most recent 6 mature months)
o For Ford plants only: Six month QR trend shows
improvement or flat trend.
Removal of endorsement alone will not impact Q1 score.
Only those customers impacted by issues leading to a Q1
Revocation need to renew endorsements for Q1 Reinstatement.

Q1 Achievement / Q1 Reinstatement Requirements

Supplier Site must show at least 6 months of performance history after
the Q1 Revocation date, and must meet all Q1 Requirements as listed
below:
Capable Systems
0 points in SIM, showing the Supplier Site has all required certifications
to ISO/TS 16949, ISO 14001 and self-assessment to MMOG/LE at
level A.
For Raw Material brokers ISO 9001 certification may be acceptable.
PPM Production and/or Service
No adjusted PPM commodity score of -50 or worse.
Raw Materials suppliers: 6% QR rate or less.
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December 2014

Delivery Performance Production and/or Service

3 most recent available delivery ratings in the last 7 calendar
months and 6 month weighted average all 81 points or higher
Receipts Production and/or Service
Receipts are required for at least 3 of the most recent 6 mature
months to be eligible for Q1 application
Warranty Spikes
Not applicable to Q1 achievement or Reinstatement
Field Service Actions
0 in most recent 6 months with any supplier responsibility
Stop Shipment(s)
0 in most recent 6 months with any supplier responsibility
Violation of Trust
No trust issue which severely impacts the On-going Ford supplier
business relationship.
Customer Endorsements
As outlined in the Customer Endorsements section.
Q1 Manufacturing Site Assessment (Q1MSA)
Acceptable last Q1 Manufacturing Site Assessment, or acceptable
Corrective Action Plan, which has been entered into eQ1MSA.

Q1 Application

STA Site Engineer reviews the Supplier Site data for conformance
with the Q1 Requirements as stated above and ensures all
endorsements are obtained, are not expired and are in SIM.
If the Supplier Site meets all Q1 Requirements the Q1 status is
updated in SIM and the Supplier Site is notified with a Q1 Letter
bearing the required STA and Purchasing signatures.
The Q1 Plaque and Flag are ordered and the STA engineer
delivers them to the Supplier Site as appropriate.

Q1 RULES REFERENCE CARD

Q1 Revocation
Supplier Site has violated any one of the Q1 Requirements: Capable
Systems, On-going Performance or Q1 Manufacturing Site
Assessment.

Q1 Revocation Thresholds (any occurrence results in -250 points)

Capable Systems
Certificate expired more than 31 days (including no date), blank or
'TBD' certificate number
PPM Production and/or Service
Low Commodity PPM Site's worst scoring PPM exceeds 200% of the
corresponding Industry Commodity PPM for the combined 6 mature
months and 3 or more of the individual 6 months in the Q1 scoring
window resulting in an Applied PPM score of -250.
Delivery: Production and/or Service
Delivery rating falls below 81 points for:
The weighted six-month average AND
The last 3 available ratings from the most recent 7 calendar months
Field Service Actions
One (1) or more field service actions in the most recent 6 months with
any supplier responsibility.
Stop Shipment(s)
Two (2) or more stop shipment(s) in the most recent 6 months with any
supplier responsibility.
Violation of Trust
A trust issue which severely impacts the On-going Ford supplier
business relationship.
Q1 Manufacturing Site Assessment (Second Step -250 points)
A delinquent Q1MSA, Delinquent Action Plan or Ineffective Action Plan

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Q1 STATUS CODE DIAGRAM

Q1 RULES REFERENCE CARD

"R" Q1 Revoked Supplier Site has lost Q1 due to performance or
customer satisfaction issue
"N" and "U" are codes only used in N.A. Bulk/Raw Materials
brokers (Not eligible for Q1 and Unacceptable respectively)
"Z" Non-Manufacturing Supplier Site e.g. warehouse, sequencers,
sales office, technical center, P.O. Box. Temporary indicator flag to
identify Supplier Site needs to be resourced.
"2" Tier 2 STA supported Supplier Site with no products shipped
directly to any Ford facilities. Triangular Sourced Directed Tier 2
with Multi-Party Agreement identifying STA responsibilities.
V Virtual Site Identifies Virtual contract manufacturing sites
manufacturing product on behalf of another parent. These sites
may represent a second GSDB site code at the supplier site, each
site code of a different supplier parent and associated quality
responsibility. The virtual site may be sourced as a responsible
manufacturing location.

Directed Tier 2 Responsibilities

Only if there is a Multi-Party Agreement in place between the Tier 1,
Tier 2 and Ford is there any assigned responsibility for STA in
managing the Tier 2.
For all other types of directed Tier 2 (Straight and Basket), the Tier 1
has full responsibility for the product from the directed Tier 2.

Frequently Asked Questions

Q1 Code Descriptions

"D" Disposition Required New Supplier Site requires a Q1

Manufacturing Site Assessment
"A" Working Toward Q1 Supplier Site is expected to achieve Q1
within 12 months of Production Established (PE) Date
"W" Q1 Waived Supplier Site must meet Q1 On-going
Performance requirements but it may use an alternate quality
system to satisfy the Q1 Manufacturing Site Assessment (Q1MSA)
expectations and capable systems requirements
"X" Q1 Approval Denied Supplier Site does not meet Q1
Requirements or non-Q1 Site does not meet the on-going
performance requirements of Q1.
"Y" Q1 Achieved Supplier Site has been awarded Q1

Correcting Data Issues

I see a production part number in SIM with an incorrect Low
Commodity Code or showing up under the wrong manufacturing
site code. How do I get it changed?
The Buyer and potentially PD engineer must update the commodity
code in WERS and WIPS to reflect the correct low commodity code,
etc. for the subject part number.
I see a supplier in SIM sourced to the wrong manufacturing site
code. How do I get it changed?
The Buyer must update the site code in the Purchase Order in WIPS to
reflect the correct site etc. for the subject part number.
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December 2014

I see an "Incomplete" Q1 Score in SIM. What causes this and how

do I resolve it?
Incomplete Q1 scores are informational indicators to show that a
site has one of two conditions:
A Production STA Engineer is assigned but the site is missing
Production PPM or Delivery data
A Service STA Engineer is assigned but the site is missing
Service PPM or Delivery data
The reason for the indicator is awareness of the lack of data. There
is frequently nothing that can be done because the supplier data is
not available to SIM (such as service shipments directly to dealers),
and the condition does not impact the suppliers eligibility for Q1

Q1 RULES REFERENCE CARD

Updating Information/Contacts
What
General questions about
SIM

Where

Who

SIM

siminfo@ford.com

Capable Systems

GSDB Online

Suppliers

Corporate Security
Administrator Update

Covisint Help
Desk

https://fsp.portal.covisint.com/
web/portal/home Covisint

Delivery Champion name,

phone, fax email

GSDB Online or
CMMS

Supplier Ford Delivery Analyst

displayed in SIM

Delivery Dispute

Super G

SMPG@ford.com

FSP Access Issues

Covisint Help
Desk

https://fsp.portal.covisint.com/
web/portal/home

Q1 Manufacturing Site
Assessment

eQ1MSA or SIM

Supplier or STA Site Engineer

Plant Manager name,

phone, fax, email

GSDB Online or
STA Engineer

Supplier through GSDB online

STA Site Engineer, POC

PPM Production Dispute

QR2, CMMS

Ford Plant IQ
and/or STA Resident

PPM Service Dispute

Covisint,
Applications,
FCSD Supplier
Quality
Discrepancy
Notice Site

Service STA Site Engineer as

listed in SIM
Note: must complete 3D before
disputing.

QC Manager name, phone,

fax, email

GSDB Online or
STA Site
Engineer

Supplier through GSDB online

STA Site Engineer, POC

SIM Access Issues

Covisint Help
Desk

https://fsp.portal.covisint.com/w
eb/portal/home

Supplier Site Name

GSDB Online
GSDB

Supplier gsdbol@ford.com
Buyer

Supplier CSA

Supplier.

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Q1 RULES REFERENCE CARD

Web Sites for Additional Information

Supplier Information Metrics (SIM)
Supplier: https://fsp.covisint.com
The following information is available
Weekly Updates
Parent Report Card (management reports)
Manufacturing Site Performance Metrics
Q1 Score

Daily Updates
QR Detail
Site Certifications and Q1 MSA status on the Site Status and Profile
page.

External through Ford Supplier Portal Quality System and

Supplier Site Documents - Q1
https://web.qpr.ford.com/sta/
Q1 Summary showing Q1 Requirements
Q1 Manufacturing Site Assessment Checklist
Web Based Q1 Manufacturing Site Assessment
Q1 Rules Reference Card
ISO/TS 16949 Information
GSDB On-line Information
Complete rewrite
Updated PPM Phase in table

Change Log
November 2013
December 2014

December 2014
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