Quality Control and Inspection System Standards

In Canadian government procurement, quality control and inspection system standards are the standards used to specify and evaluate a contractor's quality-control and inspection system. The purpose of that system is to assure that the supplies or services delivered conform to the requirements of the contract. The phrase appears in the Government of Canada Supply Manual under the heading "Designation of quality control and inspection system standards."

The term sits inside the wider field of government quality assurance (GQA). In Canadian procurement, GQA covers quality assurance, quality control and quality inspection. The standards named in a solicitation tell a supplier what kind of system it must run and how it must show that its goods or services meet the technical requirements. The Supply Manual is the source for this heading and for the rule that clients state their GQA requirements.

How the Supply Manual treats quality standards

The Supply Manual says clients are responsible for stating their GQA requirements in the requisition or in the attached technical documentation. It also directs that recognized Canadian standards or specifications be used for goods and services, unless the volume or specific nature of the procurement warrants an exception. Where a suitable Canadian standard is not available, recognized Canadian, U.S. or international standards may be used.

Quality control and inspection as defined terms

NATO procurement guidance gives working definitions for the two core ideas. Quality control means the actions a contractor takes to control the performance of services or works so that they meet the statement of work. Inspection means examining or testing a product or service to determine whether it conforms to contract requirements. The same guidance describes the acceptable quality limit (AQL) as the maximum percentage of defects that may be considered acceptable during sampling inspections. These definitions are set out in the NATO procurement manual.

The Department of National Defence role

CanadaBuys states that the Department of National Defence (DND) develops contractor quality-system standards and specifications suitable for contract applications. DND also evaluates the acceptability of suppliers' quality-control and inspection systems, commercial testing laboratories and calibration facilities. The CanadaBuys page on DND agreements lists the quality requirements that can apply to defence materiel contracts:

• standards and specifications for purchased or supplied materiel
• in-process and final inspections and tests
• sampling procedures
• control of non-conforming materiel
• inspection status
• handling, storage and packing

What a solicitation can specify

Canadian procurement guidance says a GQA requirement can name the applicable quality standard, state whether the contractor must establish and maintain a quality-assurance system, and set out how conformity must be demonstrated. The client documentation should also designate the inspection authority and the point of inspection, which may be at the source or at destination depending on the contract. Offerors or contractors may be required to take part in an acceptable recognized program, such as ISO 9001:2015, ISO 9001:2015 plus AQAP-2110, or an equivalent program that provides adequate audits and controls. AQAP-2110 is a NATO quality-assurance standard. The CanadaBuys guidance on standards and quality assurance sets out these options.

What this means for a supplier bidding on Canadian public contracts

Read the quality clauses and technical documentation in each solicitation closely, because the specific obligation depends on the contract. Depending on the requirement, a supplier may need to:

• establish and maintain a quality-assurance or quality-control system
• demonstrate conformity with the specified technical requirements
• permit government quality-assurance activities, audits, inspections or tests
• conduct in-process and final inspections and tests
• control and document non-conforming materiel
• keep inspection-status records and follow the required handling, storage and packing controls
• hold ISO 9001, ISO 9001 plus AQAP-2110, or an equivalent qualification when the solicitation requires it

Confirm the named standard, the inspection authority and the point of inspection before you price, since each affects your cost and delivery plan.