What are the scorecard points received by this supplier for the PPM defect rate in this quarter?
An automotive manufacturer procures an important engine part. The tool that the manufacturer uses to monitor the part supplier is a supplier scorecard. With respect to part quality, two primary performance metrics monitored are parts per million (PPM) defects and percent PPM improvement. The following measures are used for the scoring criteria:
Data collected on the supplied part over the present quarter indicated 15 defects with 325,000 parts received. The PPM defect rate in the prior quarter was 73.
A) 0
B) 10
C) 20
D) 30
D) 30
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