About Compliance Definitions

Compliance is determined according to:

• A set of thresholds defined for specific substances or substance classifications
• A set of exemptions that exclude a component substance from being used to determine compliance

The types of compliance definitions used by areMaterials Compliance Management based on the thresholds defined:

Compliance for parts, components, and materials is designated from worst to best: "Out of Scope", "No", "Insufficient", "Contains Insufficient", "Unreported", "Contains Unreported", "Yes with Exemptions", "Yes".

There are several uses of compliance definitions in Materials Compliance Management:

• If marked for rollup, causes a calculated compliance to be computed for materials and parts.
• If selected for certain reports such as the Scorecard and Substance Threshold report, determines the compliance of materials and parts.
• If selected on the Export form, filters the substances that will be exported.

When created, a compliance definition is assigned a policy of Enterprise (capable of rollup) or User (does not roll up).

In addition to threshold values, a compliance definition includes the scope for specific scope applications. The scope can be defined as one of these options:

• All
• Component Level - In Scope Applications
• Product Level - In Scope Applications
• Component Level - Out of Scope Applications
• Product Level - Out of Scope Applications

Whether the threshold for a part (component) or product is evaluated for compliance is based on the compliance definition. For example, if a part is assigned a specific scope application and the compliance definition specifies that scope application with the scope is defined as Component Level - In Scope Applications, the threshold is evaluated. For more examples, see Example Compliance Calculations.

When calculating part compliance using component level thresholds, the calculation depends on whether the part is a first article.

A first article is defined as follows:

• Leaf parts in a BOM structure are always treated as first articles for component level compliance calculations. The BOM structure includes enterprise parts, equivalent MEPs, and Subtier Parts. It is common for an MEP or Subtier Part to be the leaf part and therefore be a first article.
• A higher level part in a BOM structure is treated as a first article, if:
  • Is Article = Yes for the part
  • Lower level parts in the BOM structure do not have Is Article = Yes.

When evaluating compliance for Compliance Definitions that contain Component Level Thresholds:

• Component Level Thresholds are evaluated against the Articles using its Calculated Substances/Calculated Substance Classification amounts.
• For items that are not first articles, the compliance is inherited from its components.

The chemSHERPA v2.00 tool now allows suppliers to choose one or more exemptions for a compliance type such as EU RoHS in the Composition section.

Materials Compliance Management allows more than one exemption to be chosen for a substance in a material. The chooser allows you to select multiple exemptions, and the import and export functions properly import or export the multiple exemptions.

The chemSHERPA v2.00 tool supports new RoHS exemption codes.

Materials Compliance Management maps the 2.x exemption code to a single application, and a 1.x import code could be mapped to the same application. For export, some 1.x codes are not supported in 2.x, and the export function maps the old application to a specific 2.x code already used by another application. This mapping can result in 2 or more applications in Materials Compliance Management mapping to the same 2.x code in the export.

To handle this situation, Materials Compliance Management adds use="2x-export" or use="2x" to the alias file. 2x-export means that alias can only be used for export, and 2x means that alias can be used for import or export.

If a compliance definition is marked for process, Materials Compliance Management calculates part process compliance.

Each compliance process has its own rollup information and compliance value. When calculating the compliance for a compliance process Materials Compliance Management uses the same method as used for a leaf part. The calculated substances and substance classifications are defined as unknown. Calculated weight does not apply to processes.

If a compliance definition is marked for component level, Materials Compliance Management calculates parts that are marked as IsArticle = Yes and the by default, marked as IsArticle = Yes.

Earlier component level compliance calculation is calculated for the parts that are marked as IsArticle = Yes and the by default, marked as IsArticle = Yes. But now it is calculated according only to the first article.

The parts that are above the first article level inherits compliance from the child parts below them. Though the part is marked as IsArticle = Yes, and the first article is below to it, the part compliance is inherited.

The Owner or Compliance Administrator should review compliance definitions that are used. The Materials Compliance Management setup allows you to choose the type of data management to use.

These data management options can co-exist or stand alone.

These examples show how compliance is determined based on the compliance definitions.