1.

Statement: The Company X has rejected first lot of values supplied by Company A and has cancelled its entire huge order quoting use of inferior quality material and poor craftsmanship. Courses of Action: I. The Company A needs to investigate functioning of its purchase, production and quality control departments. II. The Company A should inspect all the valves rejected by Company X. III. The Company A should inform Company X that steps have been taken for improvement and renegotiate schedule of supply

Answer»

Statement: The Company X has rejected first lot of values supplied by Company A and has cancelled its entire huge order quoting use of inferior quality material and poor craftsmanship.

Courses of Action:

I. The Company A needs to investigate functioning of its purchase, production and quality control departments.

II. The Company A should inspect all the valves rejected by Company X.

III. The Company A should inform Company X that steps have been taken for improvement and renegotiate schedule of supply




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