The objective of the Supplier System Assessment is to identify potential suppliers who have systems which are compatible and complimentary to Dana, finding the best-fit suppliers for out-sourced goods and services.

The overall systems assessment is conducted by a multi-disciplinary team led locally by Supplier Development resources using the Supplier Systems Assessment (SSA), named the Sourcing Team. Note: The basic quality requirements for Dana are stated in the Supplier Quality and Development Manual.

The purpose of the overall business assessment is to identify risk factors that may add waste or create potential performance or supply risk to Dana and its customers. The key factors of the Supplier Systems Assessment (SSA) include:

• Business Conduct and Social Responsibility

• Business System

• Capability

• Capacity

• Commercial

• Continuous Improvement

• Design and Reliability

• Documentation

• Facilities

• Financial

• Handling

• Inventory Management

• Operations

• Performance

• Project Management

• Measurement Systems

• Shipping

• Specifications

• Tooling

• Training

• Technical Assessment

Not all elements of the SSA may be required by the Buyer or Supplier Development and it is designed to be applied by module to your organization. As modules are added, the compliment of the assessment team grows accordingly to include the subject matter experts for the specific modules.

The Supplier System Assessment Process:

Identification of Commodity and Assessment Criteria and Supplier Communication

The overall Supplier Systems Assessment may be broken into its modules to allow specific issues to be addressed with your organization. Supplier Development is responsible for the assembly of the Supplier Systems Assessment.

Supplier Development is responsible for sending the Supplier Systems Assessment to your organization.

Supplier Pre-Assessment
Your organization is responsible to complete the pre-assessment and return it to Supplier Development in timely manner with any supporting documentation. If not specified by Supplier Development, a timely manner shall be considered to be five (5) business days.

If your organization has any questions in relation to the pre-assessment, questions shall be made to Supplier Development for clarification.

Pre-Assessment Desk Audit
Supplier Development is responsible for reviewing the pre-assessment and any supporting documentation to determine if the minimum requirements establish by the Sourcing Team have been met.

Where items are found to be medium or high risk, the Sourcing Team shall make a decision based on the risk factors. Supplier Development will communicate the decision of the Sourcing Team to your organization. In cases where risk factors were found to be acceptable, Supplier Development will inform your organization of the findings and request any updates to the pre-assessment, or reject your organization.

On Site Review Requirement
In response to risk factors in the Pre-Assessment (or in place of a Pre-assessment) the Sourcing Team may request an On-Site review of your organization. In cases where an on-site review is not requested and the self-assessment is acceptable, your organization will be approved for conducting business with Dana (i.e. clears your organization to be able to be sent requests for quotation for potential business with Dana).


On-Site Audit Plan
In cases where an on site review is requested, Supplier Development will prepare and audit plan and communicate the audit plan with your organization. Any changes requested of the audit plan, may be made through Supplier Development. If changes are made to the audit plan, Supplier Development will keep your organization informed.

On-Site Audit
A Supplier Development led audit team will execute the audit plan at your organization’s location. Supplier System Assessment audits will be conducted using ISO-19011:2002 Guidelines for quality and/or environmental management systems auditing, as a guideline.

Audit Results
A Supplier Development led audit team will evaluate the findings of the audit and complete the Supplier Systems Assessment (SSA). Note: If findings are made out side of the scope of the audit plan, the auditor (or audit team) may include those findings in the SSA Report to ensure all potential risks are captured.

Risk Mitigation Plans
If your organization meets or exceeds the minimum criteria established by the Sourcing Team, your organization becomes eligible to conduct business with Dana. Where risks exist, the Sourcing Team may request a Risk Mitigation Plan from your organization to show how specific areas of your organization’s business processes may be improved. Supplier Development is responsible for communicating the specific areas for improvement required by your organization.

Your organization is responsible for preparing a Risk Mitigation Plan and sending it to Supplier Development within ten (10) business days. If the Risk Mitigation Plan is unacceptable your organization may be rejected or asked to resubmit an improved Risk Mitigation Plan.

The output of this process is the risk status of your organization to conduct business with Dana.

Risk Status
Approved status is used where there are no significant risks found in the SSA, and no formal Risk Mitigation Plans are required. Approved suppliers can be send Market Test (Requests for Estimates), Requests for Quote, Purchase Orders, engage in Supplier Advance Product Quality Planning, and submit Product Part Approval Process documentation to Dana.


Risk Mitigation Plan status is used where there are findings during the SSA that the Sourcing Team has determined may impact the Supplier's ability to achieve forecasted value to Dana. The risks found, in the opinion of the Sourcing Team, can be overcome during the launch process with additional attention to specific elements of Supplier APQP and the submittal of an approved Risk Mitigation Plan. All Risk Mitigation Plans must be closed before a Supplier may be issued a Purchase Order or complete PPAP to Dana Operations.

Once all activities within Risk Mitigation Plans are complete and approved by Supplier Development and the Sourcing Team, your organization will be switched to Approved Status.

Supplier Development Plan status is used where there are findings during the SSA that the Sourcing Team has determined will impact the Supplier's ability to achieve forecasted value to Dana or may impact the ability of the Supplier to effectively quote on new business (e.g. poor production planning and realization processes). The risks found, in the opinion of the Sourcing Team, cannot be overcome during the launch process, and must be addressed before the Supplier can be asked to quote on new business. The resource investment of Dana to develop this Supplier to acceptable levels does have an acceptable return. The only difference between this status and the Rejected status is the continuing efforts from Dana to develop this potential resource into a value-added supplier.

Once all activities within Risk Mitigation Plans are complete and approved by Supplier Development and the Sourcing Team, your organization will be switched to Approved Status.


Rejected status is used where there are findings during the SSA that the Sourcing Team has determined will greatly impact the Supplier's ability to add value to Dana or impair the ability of the Supplier to effectively quote on business. The risks found, in the opinion of the Sourcing Team, cannot be overcome during the launch process and the resource investment of Dana to develop this Supplier to acceptable levels does not have acceptable return. Rejected status suppliers will remain at that status for a minimum of one calendar year. NOTE: Suppliers who do not participate or cooperate with the development and deployment of Risk Mitigation Plans may have their status changed to Rejected by the Sourcing Team.

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