Purchasing Excellence

G PE 3.3 Supplier Quality Assurance Manual


At TitanX we work throughout the entire supplier chain to exceed our customers’ expectations in regards to quality, costs and delivery. That is why we work to develop a “best in class” supplier panel with suppliers who deliver and produce with a zero defects and zero non-quality tolerance.

Part of the development of the supplier panel is to help our suppliers improve. We do this by conducting workshops together with suppliers, supporting with lean manufacturing trainings and tools, among other examples. We also strive to integrate our preferred suppliers from the beginning of projects and expect them to bring their competence and development ideas prior to the application project integration.

To manage supplier selection and development process, at TitanX we have a set of tools which we strictly apply to secure quality, cost and delivery objectives. We believe that by building and developing a competent and competitive supplier panel we will continue to exceed our customers’ expectations.

Purchasing policy

This policy applies to and binds all directors, managers and employees of TitanX in any situation where they are involved in a purchasing process. The purchasing activities shall be run according to the Purchasing philosophy, procedures and strategy. The latter shall set the annual measurable objectives.


  • Act as trusted advisers to the stake holders and integrate risk management initiatives
    Minimize the Total Cost of Ownership for direct material, indirect materials and capital expenditures
  • Invest in collaboration, innovation and thereby maximize the value creation opportunities in the complete supply chain and all along the product life cycle
  • Provide fresh insights into external market data, including tracking of commodities and exchange rate volatility
  • Anchor the Zero defect culture and deploy systems for continuous improvement
  • Secure stability by managing and alleviating supply-chain risk
  • Improve the company cash position enabling the industrial development plan
  • Use global Purchasing footprint and work across plants
  • Empower “agile staffing” and develop talent with great respect for the company values
  • Integrate global sourcing in the commodity strategies
  • Integrate world-class suppliers with advanced QCD management and product/process innovation capabilities enabling them to meet TitanX expectations
  • Treat suppliers with great respect, develop trust and make them aware of company goals in order to rapidly detect opportunities and neutralize risks
  • Develop suppliers abiding by our Code of Conduct and Environmental Policy and certified according to recent automotive ISO/TS standards


  • All procedures are available in QNOVA (Group or Local)

Annual Objectives

  • Each Purchasing Director issues the annual objectives along the overall budget process using the standard objective deployment file (G_PE 1.1.1 Appendix 2)
  • The objectives support a strong deployment of the purchasing strategy (G_PE 1.1.1) aligning with the company’s business plan

What we expect from our suppliers

We forward all specifications and requirements when we send a RFQ for new business and projects to our suppliers. Suppliers must then review the forwarded information and return the required files with comments and appraisals as a part of their quote.


  • ”Zero defect” culture
  • Single digit PPM
  • To participate in design reviews from early design phase


  • Continuous cost reduction activities & annual productivity targets
  • Cost transparency
  • Standard payment terms 90 days, end of month on the 10th


  • Zero delivery-incidents
  • Support day-to-day deliveries / consignment stock, giving high flexibility and security


  • Product feasability assessment and project milestone respect
  • Target costing
  • Proactive in integration and development

Environment & Safety

  • Continuous improvement plans for environment and safety
  • Respects TitanX ”code of ethics” and conducts their business accordingly


At TitanX we work with a set of tools and procedures to support quality assurance and supplier development and integration. The following tools can be of assistance in understanding the way we work and in understanding what is expected of suppliers.