Vendor Rating or Quality Index QIS API KSM

Vendor Rating / Quality Index Score (QIS) :

Trend analysis data shall be compiled on annual basis for all the Key starting material and critical raw material. Assessment of trend analysis shall determine the performance of the supplier to remain in the ‘Approved”.

The performance rating (trending) of the supplier in the “Approved ” shall be done by assigning scores as follows:

 Assign a score of “100” for every approved supply in year.

Assign a score of “0” for every rejected supply in year.
Assign a score of “50” for every approved supply but an adverse remark such as damage in packing, improper labels etc.

The vendor shall remain “Approved” for next year if the QI Score achieved More than 70.

The vendor rating is calculated based on following formula and example:

 Example: 

A vendor supplied total 15 batches through out the year, among of them 10 batches are approved, 2 batches are approved with adverse remark and remaining 3 batches are rejected. The QI Score is calculating as follow:

QI Score / Vendor Rating: [(n x 100) + (n1 x 50) + (n2 x 0)] / total nos. of batches supplied in year

Where,

n = Nos. of approved batches supplied in year

n1 = Nos. of approved batches supplied in year with adverse remark
n2 = Nos. of batches rejected in year

                        (10 x 100) + (2 x 50) + (3 x 0)

QI Score: -------------------------------------------------   = 73.33

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QI Score is more then 70, hence vendor shall remain as approved for next year.