2013 IACBA Workshop Auditing OEM Customer Specific Requirements under ISO/TS 16949 2013 IACBA Workshop • Ford, GM and Chrysler sent representatives to this years IACBA workshop. • Each representative provided a presentation on the approach their OEM wants to see from Certification Body auditors when performing Customer Specific Requirement audit under ISO/TS 16949. • It did not appear that the OEM representatives were going to allow copies of their presentation to be distributed, so I am sending out these notes from the presentations for our ISO/TS auditors. 2013 IACBA Workshop Ford Motor Company – Russ Hopkins • The Ford Customer Specific Requirements (CSR) were updated in June, 2013. They can be accessed through the AIAG or IAOB web sites. • The highlighted changes or focus items from this presentation deal with: – CSR Changes – Focus on Supplier Metrics 2013 IACBA Workshop Ford CSR – PPAP • Sub-Tier supplier management now includes obtaining PPAP submission from sub-tiers in support of a Tier One supplier submission. • PPAP requirements have been extended to include Ford Service (FCSD) parts. • Two new forms have been added or updated: • APQP Evidence Workbook • Special Characteristics Approval 2013 IACBA Workshop • Safety Characteristics – Approval requirements have been added to PPAP that control these special characteristics regardless of the tier at which they are manufactured. • Items have been added to PPAP to define certain specific considerations for: – – – – Electrical Component Design Records Service Part Details Branding Requirements Heat Treating 2013 IACBA Workshop • Updated requirements for Gage R&R for attribute gages have been added to PPAP • Initial process capability and Final process capability are now required to be expressed in PpK. • Process capability results are to be recorded on the Evidence Workbook. 2013 IACBA Workshop • In addition to the changes noted, there will be additional sub-tier requirements which will be issued through Ford CSR. • These will cover the areas of: – APQP Approval for sub-tier submissions – Tracking of sub-tier performance to timing for PPAP submission – Tracking of sub-tier changes – Reporting requirements for these items 2013 IACBA Workshop Ford CSR – ISO/TS 16949 All Ford suppliers should be aware of these updates and changes and should have incorporated them into their Ford requirement system. • Supplier access to the Ford Team Center has been authorized. All suppliers can now access engineering specifications. • A report change has been made to re-define capacity calculations. • Proto-type tooling disposition requirements have been added. 2013 IACBA Workshop • Tier One PPAP submission must now include evidence that all sub-tier PPAP submissions have been approved. • The rules for suspension of a certificate have been clarified. • Requirements for special process assessments (may use the AIAG CQI forms) have been added. 2013 IACBA Workshop • The direction for auditors when performing ISO/TS 16949 audits with ASR clients who are part of the Ford supply chain would include: NOTE: SIM system information should be part of every ISO/TS 16949 audit as it represents Ford communication with its suppliers. (ISO/TS 16949 7.2.3 & 220.127.116.11) – Review the process for APQP and PPAP submission to ensure that all sub-tier suppliers are submitting PPAP documentation and that evidence of approval of sub-tier PPAP exists. – Review the Ford service requirements with the client and determine if the FCSD parts have PPAP documentation and approval. – Review the client’s records for any of the following and determine if they have identified all Ford requirements: • Electrical Component Design Records • Service Part Details • Branding Requirements • Heat Treating 2013 IACBA Workshop – Review audit records to determine if special process audits are being performed as required. – Review gage R&R records to determine if there are any attribute gages in use. If there are, do results meet all Ford requirements. – Review process capability records and verify that: • Initial capability has been recorded • Final capability has been recorded • Both capability measures are at or above Ford requirements • Both capability measures are recorded in PpK Are all Ford CSR being addressed in the client’s QMS? 2013 IACBA Workshop GM – Joe Bransky • There is a planned update to the CSR for GM later this year. • Currently, GM is asking that the Certification Bodies to help them bring about the kind of improvements that ISO/TS 16949 was supposed to obtain. • The guiding principles for GM in this effort are: – ISO/TS 16949 is a robust Quality Standard. – Customer specifics should be kept to a minimum. – Requirements (CSR and ISO/TS) should be cascaded throughout the supply chain. – When CSR are issued, the GM template should be consistently applied. 2013 IACBA Workshop GM CSR – CB Notification • The important requirements of quality concerns issued by GM should be understood by auditors. They are: – CS I, part specific actions including containment and internal inspection. Formal corrective action may or may not be required. – CS II, part specific actions including containment and 2nd party inspection. Formal corrective action is required. – New Business Hold (NBH), issued after the identification of unacceptable risk with a supplier. Requires an approved action plan and regular updates with the GM SQA. 2013 IACBA Workshop • When GM has notified a certification body that one of their clients has be issued a CS II or NBH there is an anticipation by GM that certain actions will be taken by the CB. – Begin the suspension process for the ISO/TS 16949 certification – Require an on-site verification audit to determine if exit criteria have been met – Evaluate corrective actions taken to verify effectiveness 2013 IACBA Workshop GM CSR – 6 Panel Reporting • All GM suppliers have access to 6 Panel Reports that are specific to their quality and delivery metrics. • The 6 Panel contains data, pulled directly from the GM Global Database, on: – – – – – – Part Rejection Report (PRR) activity Current PPM levels Discrepant Part Disposition GM Plant Disruptions Stock-out / Downtime Sub-Tier PRR activity 2013 IACBA Workshop • It is important to remember that all suppliers to GM will have direct access to the 6 Panel Report through the GM Supplier Portal. • The only exception to this rule would be a supplier that has not been issued a PRR in the last 12 months. These suppliers do not have a 6 Panel Report. • Auditors cannot access the portal, but all GM suppliers can. 2013 IACBA Workshop • One key to the whole improvement piece, in GM’s view, is the application of the same type of data collected and communicated to the Tier One suppliers throughout the supply chain. • The first step in encouraging this is the addition of sub-tier PRR reporting to the 6 Panel. • Tier One suppliers are expected to take an active role with their sub-tier suppliers in addressing PRR and other GM concerns. 2013 IACBA Workshop GM CSR – Special Processes • Special Process auditing requirements have been flowed down to all GM suppliers as of June, 2013. • The audit forms/reports applicable to these audits are: – CQI 9 Heat Treating – CQI 11 Plating – CQI 12 Coating 2013 IACBA Workshop • All suppliers should be performing Special Process audits, as required. • These Special Process audit requirements apply to sub-tier suppliers as well. • This includes those sub-tiers that provide a service involving one or more of these Special Processes to the Tier One and those sub-tiers that provide parts that have been subjected to a Special Process. 2013 IACBA Workshop • The Special Process audits do not currently apply to Soldering (CQI 17) and Welding (CQI 15). • However, an auditor should ask about these two Special Processes because GM Supplier Quality can request that they be audited as part of the purchase agreement. 2013 IACBA Workshop • The direction for auditors when performing ISO/TS 16949 audits with ASR clients who are part of the GM supply chain would include: – Review of the actual 6 Panel report on the GM portal to confirm that the client has the capability to access the report. – Review of the 6 Panel data to evaluate any activity or spikes. – Review of the sub-tier PRR section of the 6 Panel to evaluate actions taken where sub-tier PRR activity has been reported. 2013 IACBA Workshop – Review of the audit records to establish that the client is performing all required special process audits. – Review of audit records from sub-tier suppliers to establish that all required special process audits are being performed. – Review purchasing documents from GM to determine if Soldering or Welding special process audits have been required by GM Supplier Quality. Are all GM CSR being addressed in the client’s QMS? 2013 IACBA Workshop Chrysler – James Bruin • There have not been any changes to the Chrysler CSR. • There may be an update in 2014 when Chrysler has completed some of the project work they are doing with Fiat to merge their two systems. 2013 IACBA Workshop Chrysler CSR – External Balanced Scorecard • The External Balanced Scorecard is the communication tool Chrysler uses with the supply chain. • The evaluation criteria that appears on the Balanced Scorecard is drawn from several sources within Chrysler. • Sourcing decisions are made on the basis of the Scorecard and several other criteria. 2013 IACBA Workshop • Esupplierconnect has replaced Covisint as the portal through which suppliers are accessing the Scorecard and other Chrysler information. • The Scorecard defines supplier performance using 5 Value Drivers: – – – – – Quality Delivery Warranty Cost Partnership 2013 IACBA Workshop Chrysler CSR – Supplier Bid List • The Supplier Bid List draws data directly from the Chrysler system and summarizes in in categories. • The Bid List will show the current data related to supplier performance for the passed month. • The scores noted will adjust over a six month rolling average and may reflect a status that is related to an issue that has been resolved. • Supplier performance is indicated as scores and will also be highlighted as Green-Yellow-Red to indicate the status of the supplier against Chrysler required score targets. 2013 IACBA Workshop • The Bid List is sent to any Certification Body who is indicated as the CB of record for a Chrysler supplier. • The anticipation is that the CB will take action to investigate any supplier that shows a Yellow or Red status on the list. • Actions might include: – Investigation with the client to determine what actions are being taken. – Contact with the Chrysler SQE to determine the current status of actions. – A special visit audit to confirm effectiveness of supplier actions 2013 IACBA Workshop NOTE: • ASR receives the Bid List from Chrysler monthly. • The ASR Quality Manager reviews the list and identifies any of the ASR clients that are in a Yellow or Red status. • The ASR Quality Manager will contact these clients and determine the nature and extent of the issue(s) driving the status. • In those cases where (1) there will be an open issue(s) at the time of the next scheduled ASR audit, (2) there has been a clear escalation of the issue(s) or (3) the extent or nature of the issue(s) remains severe; the ASR Quality Manager will contact the assigned auditor and will provide information on the client’s issue(s) and status as input to the audit planning. • When warranted by the nature of the client’s issue(s) or status a Special Audit may be scheduled by the ASR Quality Manager. 2013 IACBA Workshop • The direction for auditors when performing ISO/TS 16949 audits with clients who are part of the Chrysler supply chain would include: – Ensure that the client regularly accesses the Chrysler portal and is aware of their status on the External Balanced Score Card. – Where a Quality or Delivery issue is identified on the Score Card confirm that corrective action has been initiated and is effective. – When notified by ASR Corporate of a Yellow or Red status for a client you are about to audit, investigate the reason for the status and all actions that have been initiated. Are all Chrysler CSR being addressed in the client’s QMS?