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Commercial Subcontracting Program Objectives
  COMMERICIAL SUBCONTRACTING PROGRAM OBJECTIVES

1) Biannual Thomas Registrar Sourcing
Source for manufacturing suppliers and services that fit into our specialty product areas.

a) Sort list of potentially qualified supplier per commodity area, sub-qualify them into the government categories, if applicable.

b) Potential suppliers would fill out a Pre-Qualification Supplier Audit worksheet and return to Affymetrix Procurement office.

c) If supplier(s) fit and meet financial and quality pre-qualification standards, a site visit is scheduled. A quality audit will be conducted with out quality team.

d) If there is more than one supplier that meets our business and technical requirements and criteria, and one of those suppliers is a small, WO/MO/VO/D/VD business; the GSA compliant business meeting the SBA requirements will take precedence over the others.

2) Quarterly GSA Outreach
a) Due to the complex nature of our business there are very few suppliers in the world that can supply Affymetrix with its materials to manufacture our products. If a qualified supplier cannot be found, or a qualified supplier that does not fit into any of the government categories cannot be found Affymetrix will:

1) Contact the GSA office or source from their website to get a list of GSA certified suppliers that may be able to meet our qualifications.

2) If no supplier can sourced in the government categories, Affymetrix will run a search quarterly to see if any new suppliers meet our criteria.

3) If a qualified supplier is found, Affymetrix will send out an email or supplier profile letter requesting the company's information. We will proceed to determine if the supplier can meet our requirements for goods and services.

4) If the supplier does meet our initial requirements, Affymetrix will begin the Quality Audit and qualification process. Affymetrix will conduct a site visit and determine if the supplier has sufficient process and methodologies to supply materials to our manufacturing environment. Resources from Affymetrix Procurement, Engineering and Quality departments are needed to finalize the Acceptance of Supplier.

3) Advertisement
Affymetrix will be soliciting new suppliers' contracts through our Supplier Diversity Website. In addition, if we are falling short in our requirements, we may actively campaign through specialty publications that target WO/MO/VO/VD/D/HUB zone businesses. The goals for these publications are to reach the following categories that will include but not be limited to: women owned/minority owned/veteran owned/ veteran disabled/ disabled owned/ HUB zone.

4) Open Houses
Annually Affymetrix will host an open House to specialty suppliers that are targeted to attract WO/MO/VO/VD/D/HUB zone businesses.

5) Annual Records Update
Annually Affymetrix procurement will send out notices to our suppliers to update their supplier information. If the suppliers' status has changed, Affymetrix requests that they be notified immediately.

6) Commercial Plan % Goals
Affymetrix has Procurement direct and indirect spend of approximately 100 million U.S. dollars per year. The Commercial plan goals are split into the following categories for diversified spend:

SBA category: % Approx. Annual Spend (USD)
Small Business 12 $1.2 million

SDVOSB

2 $200K
VOSB 2 $100K
Hubz 1 $200K
SDB 2 $200K
WO 8 $800K

Method used to reach % Goals: There percentages are based upon our current supplier base and our outreach programs.

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