Terms & Conditions




Alignment with Elbit Systems of America's values of providing high-quality, innovative products and services at competitive prices, as well as adherence to a high standard of business ethics and code of conduct.


All suppliers will be considered against current requirements for all of Elbit Systems of America, not just one site. If a need exists, the supplier will be contacted with application instructions to begin the evaluation process. The evaluation of your business as qualified to do business with Elbit Systems of America includes a risk assessment of your financial viability and compliance with Environmental Health and Safety regulations (ethical, legal, security, political regulations and past performance).

Procured material and services used in Elbit Systems of America deliverables to customers must be sourced to suppliers that hold 3rd party quality management system certification. Suppliers of components must be the OEM (original equipment manufacturer), OCM (Original Component Manufacturer), franchised or authorized distributor. Suppliers of assemblies using components must have a SAE AS5553 and AS6174 counterfeit risk mitigation process assuring traceability to OEM, franchised or authorized distributor.


We look for suppliers that are subject matter experts in what they provide, including technical expertise. Suppliers that are innovative provide an additional level of competitive edge to their customers. Collaborative engineering, design and development will yield superior products.



The ability to meet and maintain a high level of accuracy to commit dates and quality standards is critical to our business. The following chart shows the quality expectations based on parts accepted and the tolerances and scores based on part counts delivered.

Quality Chart


Elbit Systems of America (ESA), LLC is committed to safeguarding its technology products, enterprise computer systems, and data from unintended or unauthorized access, change, or destruction. It is mission critical that ESA suppliers understand the importance of cybersecurity and are able to effectively protect and/or mitigate risks to cover defense information as well as defense related products or services. A supplier’s risk rating is a critical component of the overall decision criteria that will be used when selecting suppliers.

Adhering to DoD Cybersecurity Requirements:

In October 2016, the Department of Defense (DoD) issued an updated rule that increased the compliance obligations of defense contractors and subcontractors with regards to the protection of unclassified Covered Defense Information (CDI) and the reporting of cyber incidents on unclassified information systems that contain CDI. Additionally, the updated rule implemented cybersecurity requirements for contractors that intend on using external cloud service providers to store, process, or transmit CDI in performance of a U.S. Government contract.

Suppliers can report a cyber incident to Elbit Systems of America through ESA’s Computer Incident Response Team (CIRT) at CIRT@elbitsystems-us.com.


Covered Defense Information Assessment - NIST SP 800-171



  • Contractors are required to implement NIST SP 800-171, as soon as practical, but not later than December 31, 2017.


  • Contractors that use cloud service providers to store, process, or transmit CDI  shall require and ensure that the cloud service provider meets security requirements equivalent to those established by the U.S. Government for the Federal Risk and Authorization Management Program (FedRAMP) Moderate baseline (https://www.fedramp.gov/) and that the cloud service provider complies with the requirements in paragraph (c) through (g) of DFARS Clause 252.204-7012.


  • For all contracts awarded prior to October 1, 2017 the contractor shall notify the DoD Chief Information Officer (CIO), via email at osd.dibcsia@mail.mil within 30 days contract award, of any security requirements specified by NIST SP 800-171 not implemented at the time of contract award.



  • DFARS Clause 252.204-7012 must be included in all subcontracts for operationally critical support, or for which subcontract performance will involve covered defense information. 


Depending on the type of component, product, system or service you provide, you may also fall into a classification governed by NIST SP 800-161 Supply Chain Risk Management Practices for Federal Information Systems and Organizations. This document relates to cybersecurity product assurance. Certain ESA products may be identified as critical or strategic to our customer which requires the identification of components, subsystems, systems, software, firmware, development systems, test equipment and services that could potentially pose cybersecurity threats to our products and add risks to our customers using our products. If what you provide has been identified as one of these "items", then additional audits, screening and agreements may be necessary to ensure the protections required to safeguard our customer and products.



The supplier diversity program is a robust platform committed to supporting the goals and objectives of Elbit Systems of America and the customers we serve.  Our goal is to provide maximum opportunities for small business participation through subcontracting and teaming opportunities. “Small Business” includes small disadvantaged businesses (SDB), woman-owned small businesses (WOSB), historically underutilized business zone (HubZone), service disabled veteran owned small business (SDVOSB), veteran owned small business (VOSB), and historically black colleges and universities.  This program is led by our Small Business Professionals that create an environment that is open to challenging ideas, responsive to diverse voices, and responsible to the communities we serve. 

The success of our small business program can be directly attributed to our continued efforts to promote open dialogue with both private industry and government personnel. This is being done in several ways, most notably through our outreach and conferences that provide training to our small business liaison officers.

 Register your company to do business with Prime Contractors and the U.S. government directly from System for Award Management (SAM).

Outreach Programs


We participate and collaborate with federal and state agencies such as SBA, DCMA, State PTAC’s and the DoD Northeast Regional Council on numerous small business opportunities such as Fairs, Training and Matchmaking Events.

Small Business Innovation Research (SBIR)

The SBIR & STTR program's purpose is to strengthen the role of innovative small business concerns in Federally funded research or research and development (R/R&D).


Elbit Systems of America is an active supporter of the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs. These are Federal programs designed to fund small businesses to conduct research and develop emerging technology. Whether working as a subcontractor or a technology mentor, Elbit Systems of America seeks to provides small businesses with various assistance during different phases of their SBIR/STTR projects; including supporting technology requirements, evaluation, co-development, and insertion into larger systems.

Our unwavering commitment to operate according to ethical standards is an important factor to grow and meet the demands of today’s competitive marketplace. A reliable and ethical supply chain is critical for our ability to support our and our customers’ goals. Integrity, safety, and quality are hallmarks of Elbit Systems of America's performance, and we foster collaborative environments with our supply chain in these areas. Our customers rely on us to work with suppliers, subcontractors and other business partners who share these fundamental values. To support business integrity across our projects, we require that members of our supply chain endorse our values relating to the range of areas set forth in our Supplier Code of Business Ethics and Conduct. The principles embodied in our code represent a fundamental part of our mutual commitment on how we do business and are integral to every relationship.

A message from Raanan Horowitz, President & CEO.


At Elbit Systems of America we are committed to providing safe, quality products and services. It is our goal to work collaboratively with our suppliers to exceed our customers’ increasing expectations, achieving outstanding performance through best in class products, services and processes. We expect our suppliers to conduct their operations in a socially and environmentally responsible manner, aligning with Elbit Systems of Americas values and ethics policy.

Our supply base is critical to winning in our businesses, in our products and, in delivering to our end customers.

Every purchase order contains a list of quality clauses along with directions on where to download the reference document that details the requirements of each individual quality clause. It is the responsibility of the supplier to review these quality clauses before submitting a quote for any purchase order request. The quality clauses found in a purchase order originate from many sources including our internal requirements, customer requirements, DFARS and end user requirements. All quality clauses are equally important and failure to comply with an applicable quality cause will result in a non-conformance against an Elbit Systems of America supplier.

QA Codes for existing PO’s prior to 2023 will continue to use the older files per site.  For new PO’s issued after January 16th, 2023 the new QA codes are used.  

Note:  the numbering system between the new and old files are different.

Corrective Action 
A Corrective Action Request (CAR) is a formal notification from a Supplier Quality Management (SQM) source, requesting the cause of nonconformities of a product, process, or service be eliminated, with the objective of preventing recurrence.

Typically, a supplier will be notified of a (CAR) via email from a SQM source to the suppliers contracting office and quality representative. The notification will include details on the non-conformance as well as dates when responses are requested.

Our Approach
In general, we expect our suppliers to follow the "8D" approach when responding to a CAR. The "8D" approach includes: 

  • D0: Plan—Plan for solving the problem and determine the prerequisites.
  • D1: Use a team—Establish a team of people with product/process knowledge.
  • D2: Define and describe the problem—Specify the problem by identifying in quantifiable terms the who, what, where, when, why, how, and how many (5W2H) for the problem.
  • D3: Develop interim containment plan; implement and verify interim actions—Define and implement containment actions to isolate the problem from any customer.
  • D4: Determine, identify, and verify root causes and escape points—Identify all applicable causes that could explain why the problem occurred. Also identify why the problem was not noticed at the time it occurred. All causes shall be verified or proved, not determined by fuzzy brainstorming. One can use 5 Whys and cause and effect diagrams to map causes against the effect or problem identified.
  • D5: Choose and verify permanent corrections (PCs) for problem/nonconformity—Through preproduction programs, quantitatively confirm that the selected correction will resolve the problem for the customer.
  • D6: Implement and validate corrective actions—Define and implement the best corrective actions.
  • D7: Take preventive measures—Modify the management systems, operation systems, practices, and procedures to prevent recurrence of this and all similar problems.
  • D8: Congratulate your team—Recognize the collective efforts of the team. The team needs to be formally thanked by the organization.


Non-conforming goods which deviate from the requirements contained in the PO, drawings or  specifications must be documented by the  Supplier and submitted to  Elbit Systems of America Quality for approval.

Non-conforming products shall not be shipped until authorized by Elbit Systems of America Quality and must be marked with special nonconformance documentation when shipped.

At no point is the supplier authorized to send product to Elbit Systems of America which does not meet our Engineering  requirements  without  first  requesting  a  deviation.  If  supplier  finds  a discrepancy after an order is shipped, it is their responsibility to notify Elbit Systems of America Quality.

Form No. CA-0401, titled "Supplier Material Review Request (SMRR)" shall be used by the seller to submit any quality/drawing deviations to buyer for review and approval, prior to shipping any nonconforming product. If acceptable, an approved copy of the SMRR must accompany each shipment.

CA-0401 Supplier Material Review Request (SMRR) 


First Article Inspection

Suppliers are expected to complete First Article Inspection Reports (FAIR) as required by Elbit Systems of America site Quality Codes.  First Article Inspection requirements may be included in the contract or purchase order.  Supplier’s shall comply with First Article Inspection requirements in accordance with SAE AS9102.  The FAIR shall be completed on SAE AS9102 current revision forms.  The approved forms can be obtained on the SAE IAQG website at https://www.sae.org/iaqg/forms/index.htm


Source Inspection

Supplier’s products or services may be subject to source inspection by Elbit Systems of America, representatives of Elbit Systems of America or applicable government or regulatory agencies. Source inspection requirement will be included on the contract or purchase order and may apply to any and all operations performed by the Supplier or the Supplier’s sub-tier sources, including prior to delivery of products to Elbit Systems of America. The Supplier shall provide the necessary access, equipment and resources required to effectively accomplish the source inspection.



We uphold the upmost standards for ethical and sustainable business practices in every aspect of business conduct and performance.  Elbit Systems of America is committed to sustainable business practices by working within our supply chain to reduce adverse environmental impacts, promote human rights, health, safe environments, ethical behavior, and to promote responsible supplier growth. Our selection of suppliers with aligned interests in sustainability help contribute to continual growth and a better future.

For a sustainable supply chain, suppliers are expected to engage in efforts that protect the environment.  Some examples include, but not limited to: recycling programs, complying with federal/local environmental regulations (EPA), reducing energy consumption, water conservation, paper consumption, hazardous waste handling and compliance with ISO 14000.

We also expect suppliers to provide a safe work environment for employees. For more information, please see:

Additional areas that require compliance include:


Elbit Systems of America, LLC and its U.S. subsidiaries utilize the Terms and Conditions listed below  to conduct business with suppliers.  The Terms and Conditions incorporated by reference in our Purchase Orders and Subcontracts are applicable to the Purchase Order/Subcontract issued to you.





Elbit Systems of America Terms and Conditions 2022

Elbit Systems of America Terms and Conditions 2021

Elbit Systems of America Terms and Conditions 2017

Elbit Systems of America Terms and Conditions 2015

Elbit Systems of America Terms and Conditions 2014

Archived Site Versions of Terms and Conditions

EFW, Inc. (Fort Worth, TX)

Kollsman, Inc. (Merrimack, NH)

International Enterprises Industries, LLC  (Talladega, AL)

M7 Aerospace, LLC (San Antonio, TX)