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Date: | Tue, 02 Jul 96 11:02:00 PDT |
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Text item:
Norm,
What you say is logical, but what should the PPM(defect) reduction program look
like? What are the obligations of supplier and customer?
Steve
While this position of "buy back" sounds like "that's the way it should
be", in the real world of process yields and missed communications this
business position will ultimately result in supplier switching, higher
pricing and poor supplier relationships.
No one can run an on going business selling an item for $10 that has
process yields of 78% to 98% and a "buy back" liability on each one of $100
or more for any found "defective". We aren't buying labels and hardware
here.
Norm Dill
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Date: Tue, 02 Jul 96 12:55:00 DST
Subject: FW: Liability
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