Supplier quality agreement (QAA): what it should contain

Why it matters

The supplier quality agreement (also quality assurance agreement, QAA or QSV in German) turns expectations into obligations. Without it, cost recovery, controlled shipping or a change approval are only requests. Keep it short and specific; refer to standards instead of copying them.

Checklist of contents

• Scope: parts, sites and the order of precedence of documents.
• Standards: ISO 9001 / IATF 16949 certification, customer-specific requirements passed down, product safety and conformity.
• Quality targets: PPM, on-time delivery, 8D response times.
• Part approval: PPAP level or PPF, requalification (annual layout and functional test).
• Change management: no change of process, material, sub-supplier or location without written approval.
• Special characteristics: marking, capability targets (Cpk ≥ 1.33, initial Ppk ≥ 1.67), control methods.
• Traceability and record retention periods.
• Nonconforming product: notification duty, containment within 24 h, 8D report format and deadlines.
• Cost recovery: sorting, rework, freight, line stops, administration fee per complaint.
• Escalation levels: improvement plan, controlled shipping CS1 / CS2, new business hold.
• Right to audit the supplier and its sub-suppliers.
• Sub-supplier management and flow-down of requirements.

Typical mistakes

• Copying the customer’s 80-page manual without adapting it.
• Targets without definitions (what counts as a reject, what is on time).
• No administration fee, so small complaints are never charged.
• Agreement signed once and never reviewed after organisational changes.