Controlled Shipping, also known as Restricted Shipping, is a process applied when a supplier has shipped nonconforming products to their customer. The standard for nonconforming parts is generally no more than 50 PPM (parts per million) that are nonconforming or deemed to have one or more defects. Some customers require no more than 15 PPM and some suppliers achieve 0 PPM on a regular basis.
When a customer detects non-conforming product or material shipped to their plant from a supplier, the customer will notify the supplier via a phone conversation that he is now in Controlled Shipping. A letter will follow documenting the specifics of this conversation.
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