What a PPAP, and a Re-PPAP After a Process Change, Really Costs a Tier-2 Supplier (₹)
What does a re-PPAP cost after you change a process? In our worked example for a three-CNC cell moved to a new shed, the tests, studies and paperwork come to about ₹82,500, using lab rates published by CSIR-CMERI and an MSME testing station (checked 20 Oct 2026). Each week the approval slips costs about ₹3.5 lakh in idle machine hours.
Last checked: 20 Oct 2026
By the Mama Editorial Team, for owners of Tier-2 and Tier-3 machine shops, press shops and forging units supplying Indian Tier-1s and OEMs. Customer documents published by their owners and public lab rates only; your customer's manual decides. Part of the auto-component cost guide.
Key takeaways
- The paperwork is the small number. In the worked example, the dimensional layout, lab tests, gauge studies, run-at-rate and document updates add up to about ₹82,500 (assumptions labelled below).
- The calendar is the big number. If the line cannot ship until approval, three idle CNCs on two shifts cost about ₹3.5 lakh a week at an assumed ₹1,200 machine-hour rate.
- A two-week slip costs about eight times the re-PPAP itself. That is the case for booking labs and building a bank of parts before you move anything.
- Process changes trigger a new submission. Ford's PPAP customer-specific requirements (effective 6 Feb 2025) require one for any change in the manufacturing process after approval, new or modified tooling or equipment, and a change in operating pattern.
- Sub-tier changes need approval first. Ford requires approval through its SREA process before any change initiated by the supplier or its sub-tier, which is how the rule reaches a Tier-2.
PPAP in one paragraph: 18 elements, 5 levels
PPAP, the Production Part Approval Process, is the method published by the US Automotive Industry Action Group (AIAG). The current manual is the 4th edition, sold on the AIAG store at $60 for members and $177 for non-members (checked 20 Oct 2026). We did not buy or read the manual; the element and level wording below comes from customer documents that quote it.
TI Fluid Systems' public PPAP work instruction (document CW-8-ALL-500, revision B, 7 Oct 2020) numbers the 18 elements by PPAP clause 2.2.1 to 2.2.18. In order, they are: design record, engineering change documents, engineering approval, design FMEA, process flow diagram, process FMEA, control plan, measurement system analysis (MSA), dimensional results, material and performance test results, initial process studies, qualified laboratory documentation, appearance approval report, sample production parts, master sample, checking aids, customer-specific requirements, and the Part Submission Warrant (PSW).
The level decides how much you send, not how much you must have. TI Fluid Systems defines the five levels as follows.
| Level | What goes to the customer | Typical use (per the documents cited) |
|---|---|---|
| 1 | Warrant (PSW) only | Customer decides |
| 2 | Warrant with product samples and limited supporting data | Customer decides |
| 3 | Warrant and complete supporting data | Default at TI Fluid Systems, exceptions need written authorisation |
| 4 | Warrant and other requirements defined by the customer | Customer decides |
| 5 | Warrant, product samples and complete data reviewed at the supplier's plant | Customer reviews on your floor |
Ford's PPAP customer-specific requirements (effective 6 Feb 2025) add that for Level 3, Level 5 and priority parts, Ford product development engineering should review the submission before Ford's site engineer. The document itself names the IATF website as one place copies are available. Regardless of level, TI Fluid Systems requires PPAP records to be kept for the life of the part plus service, plus one calendar year.
What triggers a re-PPAP
A re-PPAP is a new submission for a part that is already approved. The trigger list is set by your customer. Ford's public list shows what a Tier-2 in a Ford supply chain should expect.
| Change at your shop | Ford PPAP CSR (eff. 6 Feb 2025) | What it means for a Tier-2 (our reading) |
|---|---|---|
| New tooled part | Submission required | Full PPAP |
| Design change, including running changes | Submission required | New drawing level, new layout |
| Any change in the manufacturing process after approval | Submission required | Moving a cell or changing a route is a process change; confirm in writing |
| Additional or modified production tooling or equipment | Submission required | A new fixture or replacement CNC counts |
| Change in operating pattern | Submission required | Adding a shift or a working day counts |
| Customer needs more capacity than you verified | Submission required | A weak run-at-rate can come back as a second PPAP |
| Change initiated by you or your sub-tier | Ford SREA approval before the change | A new bar or casting supplier needs approval first |
| Production restart after a long gap, or packaging change | Not listed by name in the CSR (checked 20 Oct 2026) | Ask your customer; its own manual may list it |
Source: Ford PPAP CSR, Introduction (Applicability) and section 3.1.
Ford's CSR treats the "organization" as the Tier-1 site, and it requires approval through its SREA (Supplier Request for Engineering Approval) process before any organization-initiated or sub-tier-initiated change. Your Tier-1 therefore needs your change request early enough to get its own approval.
In practice, moving a CNC cell, changing your casting or bar supplier, or adding a fixture all reach your customer's desk. Ask your Tier-1 in writing whether it wants a submission and at which level before you start.
What each piece of the work involves
Dimensional results. Ford's CSR asks for at least 5 parts measured on every Ford-specified dimension, from every cavity or tool. TI Fluid Systems also asks for a minimum of 5 samples per cavity. On a two-fixture CNC part, that is 10 full layouts.
Measurement system analysis. TI Fluid Systems specifies variable gauge studies with 10 samples, 3 operators and 3 trials by the ANOVA method, which is 90 readings per gauge, with acceptance at 0 to 20% and at least 5 distinct categories. Ford's CSR accepts gauge R&R below 10% of tolerance, refers 10 to 30% to its site engineer, and rejects above 30%.
Initial process study. Ford's CSR requires at least 25 subgroups of at least 5, a minimum of 125 measurements, drawn evenly from a population of at least 300 parts. Until capability is shown, Ford requires 100% inspection or mistake-proofing in the process. TI Fluid Systems sets a default of Cpk above 1.33 or Ppk above 1.67 for new or revised processes.
Qualified laboratory documentation. TI Fluid Systems asks for calibration certificates for all inspection and test equipment used, plus the scope of each accredited laboratory. In India, NABL is the accreditation body for testing and calibration laboratories.
Run-at-rate. Ford's CSR lists "revised Ford required capacity exceeding verified supplier capacity" as a submission trigger, so the rate you demonstrate becomes the ceiling you are held to. The run length is set by your customer; the 8-hour run in the example below is our assumption.
A worked ₹ example: moving a three-CNC cell to a new shed
Assume a Tier-2 machine shop near Chakan makes one machined housing for a Tier-1 on three CNCs with two fixtures. The owner moves the cell into a new shed. Under a Ford-style rule, that is a change in the manufacturing process after approval. Assume the Tier-1 asks for Level 3.
Lab rates are published ones. CSIR-CMERI's rate chart (PDF dated January 2021, checked 20 Oct 2026) lists its coordinate measuring machine at ₹1,850 per hour and its atomic emission spectrometer for chemical composition at ₹2,600 per hour. The MSME Testing Station, Kolhapur lists ₹3,100 for mechanical parameters of IS 2062 steel and ₹900 for a Rockwell hardness test (HRB, IS 1586), excluding taxes (BIS LIMS, checked 20 Oct 2026).
| Work item | Basis (assumptions labelled) | Cost (₹) |
|---|---|---|
| Update process flow, PFMEA, control plan, PSW | Assume 40 engineer-hours at ₹550/h | 22,000 |
| Dimensional results, 5 parts × 2 fixtures | Assume 6 CMM hours at ₹1,850/h (CSIR-CMERI) | 11,100 |
| Material and hardness tests | ₹3,100 mechanical + ₹900 hardness (MSME-TS Kolhapur) + 1 h spectrometer ₹2,600 (CSIR-CMERI) | 6,600 |
| MSA on 4 gauges, 90 readings each | Assume 48 person-hours at ₹250/h | 12,000 |
| Run-at-rate and initial process study | Assume 8 h on 3 CNCs at ₹1,200 per machine-hour (₹28,800), plus 8 inspector-hours at ₹250/h (₹2,000) | 30,800 |
| Direct cost of the re-PPAP | 82,500 |
The engineer and inspector hourly rates are our assumptions for a loaded cost, not wage-order figures. The machine-hour rate is the biggest assumption here; work out yours with the machine-hour rate calculator before you trust any line that uses it.
Now the second table, which is what a delay costs. Assume the cell stops for the move and cannot ship until the PSW is signed, with no bank of parts built ahead.
| Cost of each week the approval slips | Basis (assumptions labelled) | Cost (₹/week) |
|---|---|---|
| Three CNCs idle on two shifts | Assume 3 × 16 h × 6 days = 288 machine-hours at ₹1,200 per machine-hour | 3,45,600 |
| Per week of delay | about 3,46,000 |
So a two-week slip costs about ₹6.9 lakh, roughly eight times the re-PPAP itself. Any late-delivery charge in your customer's purchase terms comes on top of that; check your own contract.
Building a bank of parts before the move avoids the idle-line cost. The bank then ties up cash; the WIP cash calculator prices that trade.
What skipping the re-PPAP costs
Moving the machines quietly and shipping on has a price too. Ford's CSR requires SREA approval before the change is implemented, so a change found later is a nonconformity against the customer's rules, not a paperwork gap. If a part then goes wrong, the bill is sorting, line stops and controlled shipping; see what one customer PPM complaint costs.
The cost owners forget: the annual layout
Ford's CSR requires the annual dimensional layout to be written into the control plan.
Assume a shop with 40 active part numbers, one cavity each, at 1.5 CMM hours per part at the CSIR-CMERI rate of ₹1,850 per hour. That is about ₹1.11 lakh a year if the CMM work is outsourced. If each part also needs the ₹6,600 material set from the example, add about ₹2.64 lakh.
Measurement is also what auditors check. Clause 7.1.5.1.1, measurement systems analysis, sits fourth on the IATF's chart of major findings (data as of 23 Apr 2026), per our reading of the IATF top-10 nonconformity lists.
How to keep the bill near the small number
- Get the level in writing first. Level 3 versus Level 5, and whether the customer reviews on your floor, decide most of the cost.
- Book the lab before the move. CMM time and material tests should land the week the cell restarts.
- Prove the rate before the customer does. Check the rate with our order capacity check and the OEM RFQ capacity guide.
What cameras can and cannot tell you here
Cameras cannot do any part of a PPAP: no dimensions, gauge studies, material tests or warrants. Video replaces none of your records or lab certificates.
What a camera on the cell can show is time. It can show how many cycles the three CNCs completed during the run-at-rate, where the run stopped and for how long, and when the first post-change lot left the gate. Those numbers decide the delay table.
Where Mama fits
Mama reads the cameras a plant already has over RTSP/ONVIF, or a few added ones, and every morning sends the owner a short plain-language note on where machine hours went yesterday: which machines ran, which stood, and for how long. It watches machines, counts people only in aggregate, and never inspects parts. During a cell move or a run-at-rate, that note shows whether the line is really back at the quoted rate before your customer's engineer arrives. Mama can draw a camera plan for a CNC cell and its dispatch point. Leave an email or phone in the form below.
FAQ
What are the five PPAP levels?
Per TI Fluid Systems' work instruction: Level 1 is the warrant only; Level 2 adds samples and limited data; Level 3 is the warrant and complete supporting data; Level 4 is whatever the customer defines; Level 5 is complete data reviewed at your plant. Level 3 is its default.
When is a re-PPAP required?
Your customer's supplier manual decides. Ford's CSR (effective 6 Feb 2025) requires a submission for new tooled parts, design changes, any manufacturing-process change after approval, added or modified tooling or equipment, a change in operating pattern, and capacity above what was verified.
How much does a PPAP cost in India?
No Indian OEM or Tier-1 publishes a fee for a PPAP submission (checked 20 Oct 2026); the cost is your own hours and tests. In the worked example, a Level 3 re-PPAP for a three-CNC cell costs about ₹82,500 at published CSIR-CMERI and MSME Testing Station rates, and each week of delay about ₹3.5 lakh.
Does a PPAP lab test have to come from a NABL lab?
TI Fluid Systems requires current certificates from qualified, accredited laboratories for all PPAP test and inspection equipment, and copies of each lab's accreditation scope. In India, NABL accredits testing and calibration laboratories. Your customer's manual sets the exact rule.
How long must I keep PPAP records?
TI Fluid Systems' work instruction requires records to be kept for the life of the part plus service, plus one calendar year, whatever the submission level. Your customer's own requirements can extend that.