Supplier Assessment

Suppliers are selected based on capability, quality assurance, delivery, customer service, total cost of ownership, design and development, manufacturing, strict adherence to ethics and legal compliance, and ongoing business management and communication.

Accordingly, potential or existing Suppliers may be required to submit to a risk-based assessment to be performed by Novelis staff. Suppliers are expected to facilitate any requested assessment. Potential reasons for an on-site assessment include:

• Repeated quality or delivery issues
• Annual audit for strategic Suppliers
• IATF/ISO/AS900 Compliance
• Continuous Improvement – Sharing of best practices

Supplier responsibilities during the three-step assessment process are as follows:

• Pre-assessment – Agree to timing and completing the self-assessment.
• During the assessment – Full support of the documentation review and facility tour
• Post-assessment – Upon receiving the completed assessment, design and implement any appropriate and necessary corrective actions to address issues found during the assessment.

Novelis provides three post-assessment Risk Ratings:

• Minimal or Low – No action required. It is suggested that the Supplier take notice of opportunities, but there is no requirement.
• Moderate Risk – Suppliers are expected to make improvements to the areas of opportunities highlighted in the assessment and provide Novelis with an improvement plan. Novelis will follow-up with the Supplier as needed to monitor improvements.
• Development Needed – Novelis and the Supplier will create an improvement plan and schedule regular meetings to track progress.

Failure to make improvements if rated “Moderate Risk” or “Development Needed”, could result in the loss of business or restricted access to additional Novelis business.