option of repeating the and incorporating additional “Do” “Check” phases, improvements until you get the desired result Act: You can implement your solution. However, if you are using the PDCA as part of a continuous improvement initiative, you need to loop back to the Plan Phase (Step 1), and seek out further areas for improvement. Change impact reports Before any change request can be properly considered, the customer and the supplier must understand the implications of the proposed change. To facilitate this, the change management process may require the service provider (who will normally be in the best position to assess the likely impact of a change) to prepare an impact report. Ideally, the impact report will present a full description of the change, including how the change is to be implemented and, to the extent relevant, detail: the feasibility of the change; the likely effect of the change on the ability of the supplierr to meet its obligations under the contract; any cost implications of the change; any consequential impact of the change; where appropriate, acceptance testing procedures and acceptance criteria for the proposed change; and any other information likely to be of relevance. Pricing principles It is useful for the change management process to specify how any costs associated with the change will be allocated between the customer and the supplier. Ordinarily, the customer should be required to pay for a change only to the extent that the change cannot reasonably be considered as within the scope of the existing agreement. Where a change falls outside the scope of the existing agreement, the change management process may detail the principles that will determine the price to be paid by the customer. For example, the change management process may stipulate that the price for any change should be: reasonable; competitive; and no higher than the price at which a customer would be able to procure similar products or services from another supplier. The change management process may enable the customer to request the supplier to provide an auditor's certificate, confirming that the pricing of any change complies with the pricing principles. Supplier's obligation to undertake the change
option of repeating the “Do” and “Check” phases, incorporating additional improvements until you get the desired result Act: You can implement your solution. However, if you are using the PDCA as part of a continuous improvement initiative, you need to loop back to the Plan Phase (Step 1), and seek out further areas for improvement. Change impact reports Before any change request can be properly considered, the customer and the supplier must understand the implications of the proposed change. To facilitate this, the change management process may require the service provider (who will normally be in the best position to assess the likely impact of a change) to prepare an impact report. Ideally, the impact report will present a full description of the change, including how the change is to be implemented and, to the extent relevant, detail: the feasibility of the change; the likely effect of the change on the ability of the supplierr to meet its obligations under the contract; any cost implications of the change; any consequential impact of the change; where appropriate, acceptance testing procedures and acceptance criteria for the proposed change; and any other information likely to be of relevance. Pricing principles It is useful for the change management process to specify how any costs associated with the change will be allocated between the customer and the supplier. Ordinarily, the customer should be required to pay for a change only to the extent that the change cannot reasonably be considered as within the scope of the existing agreement. Where a change falls outside the scope of the existing agreement, the change management process may detail the principles that will determine the price to be paid by the customer. For example, the change management process may stipulate that the price for any change should be: reasonable; competitive; and no higher than the price at which a customer would be able to procure similar products or services from another supplier. The change management process may enable the customer to request the supplier to provide an auditor's certificate, confirming that the pricing of any change complies with the pricing principles. Supplier's obligation to undertake the change
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