Supplier Quality, Development & Audits worked example

Supplier On-Time Quality Score with delivery and quality failure severity of 15 score: a worked example

Push delivery and quality failure severity up to 15 score and the picture changes. This example computes every intermediate figure at that operating point. Use it when supplier on-time quality in supplier quality, development and audits needs a defensible ranking against other supplier quality, development and audits risks for the next review.

The inputs for this scenario

  • Delivery/quality failure severity (impact if a late or defective lot ships): 15 score (raised for this scenario; the documented default is 6)
  • Failure occurrence likelihood (how often this supplier misses OTD or quality): 4 score (unchanged)
  • Detection capability (chance you catch it before it hits the line): 3 score (unchanged)

Working through the calculation

  • Applying the documented formula (Supplier on-time quality risk score = supplier on-time quality severity score × supplier on-time quality occurrence score × supplier on-time quality detection score) to the inputs above produces each figure below.
  • At this operating point the engine returns 8.15 score for supplier on-time quality risk score, the number this scenario is built around.
  • At this operating point the engine returns 15 score for supplier on-time quality severity score.
  • At this operating point the engine returns 4 score for supplier on-time quality occurrence score.
  • At this operating point the engine returns 3 score for supplier on-time quality detection score.

How this compares with the baseline

  • Against the tool's baseline example, where delivery and quality failure severity sits at 6 score and the headline result is 4.55 score, this scenario comes in 79.12% above the baseline at 8.15 score.
  • It computes a multiplicative supplier risk score from severity, occurrence and detection ratings for combined on-time-delivery and quality failure modes. The value of this scenario is the size of the gap it exposes: that gap, priced out over a year, is the budget you can justify spending to close it.

Results at a glance

  • Supplier on-time quality risk score: 8.15 score (headline result)
  • Supplier on-time quality severity score: 15 score
  • Supplier on-time quality occurrence score: 4 score
  • Supplier on-time quality detection score: 3 score

Run it with your numbers

  • Every input above is editable in the live Supplier On-Time Quality Score calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.