ISO/TS 16949 SECOFI International Quality Congress for Micro, Small and Medium Organizations Mexico City June 2000 The objective of this presentation is to convey an overview about the development of the ISO/TS 16949 automotive standard and to convey some of the current developments.

ISO/TS 16949 AIAG QS-9000 ANFIA AVSQ CCFA/FIEV EAQF VDA VDA 6.1 This slide is meant to convey that the ISO/TS is an international standard with its development anchored to four national automotive standards which have contributed to its formation. The four groups and the national standards/requirements to which each is affiliated are: AIAG = Automotive Industry Action Group, USA, QS-9000 Requirements Third Edition and Reference Manuals ANFIA = Associazione Nazionale Fra Industrie Automobillistiche, Italy, AVSQ ‘94 and support docuemtns CCFA = Comite des Contructeurs Francais d’Automibiles and FIEV Federation des Industries Aptitude Qualite Fournissieur (EQQF ‘94) and support documents VDA = Verband der Automobilindustrie, Germany, VDA 6.1 and support documents Though not a contributing with a standard/requirement, the UK had a part in the development of ISO/TS. The UK was represented by SMMT and IQA AIAG QS-9000 ANFIA AVSQ CCFA/FIEV EAQF VDA VDA 6.1 1 1 1

Harmonizing Automotive Catalogs Who Existing Catalogues New Global Automotive Standard ANFIA Fiat Auto IVECO AVSQ Suppliers (16) + 85 Suppliers PSA Peugeot Citroën Renault EAQF FIEV FIEV/ (4) Suppl . + 300 Suppliers VDA Adam Opel *) AUDI BMW Daimler Benz VDA 6.1 Ford Werke *) This slides depicts the the “path” taken by the international automotive community in moving to an international standard. The first column illustrates the Who Second column conveys the existing catalogues Third column is a picture of the standard prior to its delivery to the four national delivery points and publishing agencies. ISO/TS grew from the authorization received at the International Organization for Standardization (ISO) meeting in Rio in 1997. International Standards are drafted in accordance with the rules given in the ISO/IEC Directives, Part 3. The drafting of an international standard is generally the task of a Technical Committee, which leads to a vote for approval (75% of all member bodies). In the circumstance where there is an urgent market requirement for an international Standard, a technical committee may decide to publish other types of normative documents: ISO/PAS or ISO/TS VW Suppliers (18) + 500 Suppliers Chrysler Ford QS-9000 General Motors *) Adam Opel AG and Ford Werke AG both Suppliers (40) require QS-9000 compliance. Both companies have participated in the development of VDA 6 first edition 1991

Expected Benefits improved product and process quality, provide additional confidence for global sourcing, reassignment of supplier resources to quality improvement, common quality system approach in the supply chain for supplier/subcontractor development and consistency, reduction of variation and increased efficiency, reduction in 2nd party system audits, reduction in multiple 3rd party registrations, common language to improve understanding of quality requirements. These are the expected benefits. Very similar to the expectations for any ISO standard. Will they come true? Some of the facts are in regarding ISO 9000 and QS-9000 and the facts tend to support many of the benefits.

Progression of Quality System Documentation Defines INTERNATIONAL STANDARD international ISO 9001 / ISO 9002 quality system requirements SECTOR REQUIREMENTS International automotive ISO/TS 16949 quality system requirements Part and Process Approval Procedures Customer- related Company-specific requirements quality system requirements Level 1 Customer supporting Customer supporting Defines approach and reference manuals on: reference manuals on: Quality responsibility including (see bibliography) (see bibliography) manual assurance of customer needs Advanced Product Advanced Level 2 This is a graphic that is probably very familiar to anyone who has reviewed the ISO 9000 standards. Very similar, with the main exceptions being the customer specific requirements along with the customer supporting reference manuals. Quality Planning and Quality Planning Defines Procedures Control Plan who, what, when Control Plan Failure Mode and Tools and Level 3 Effects Analysis Techniques Job instructions Answers how Level 4 Prompts recording Other documentation of information such as forms, tags, labels 7 7

Value Add for Automotive Industry European Catalogue (AVSQ, EAQF VDA6.1) Automotive Industry Global Quality System Language Global Recognition of Certificates Competitive advantage Advantages for upgrading QM-System Advantages for global sourcing Add compared to combined certificates European + QS-9000 ISO/TS 16949 Less compared to combined certificates European + QS-9000 QS-9000 The main point of this slide is to show that ISO/TS 16949 attempts to capture the vast majority of all four standards to which it owes its origin. A focus is drawn to the small box which notes: “Add compared to combined certificates European + QS-9000.” That box illustrates the really new material.

Quality Management Systems, QS-9000 Core Tools, and ISO/TS APQP (Product Realization) FMEA PPAP (Product Approval Process) SPC MSA This graphic lays the development process from 1997 to the present.

Reference Manuals/Core Tools and Customer Requirements ISO/TS 16949 and Reference Manuals/Core Tools and Customer Requirements No specific reference is made in ISO/TS 16949 is made to reference manual requirements (ISO/IEC 17025 is specified in 4.10.6 Laboratory requirements A process for Product Realization is required FMEAs are required Measurement Systems are required Control Plans are required Product Approval as specified by the customer is required Customer Requirements remain in place The linkages to the Reference Manuals from the ISO/TS Standard is less rigid than as required by QS-9000, for example. There is no one set of acceptable reference manuals. There are requirements for certain activities to take place, which are stated in the Standard. How they must be performed can come from one of several reference manuals, now available as part of a national standard/requirement. This is an area that will more than likely lead to some confusion. The intent here is not to be overly prescriptive, but to compel the supplier to provide the intended outcome.

Administration and Oversight SMMT QS-9000 VDA VDA 6.1 CCFA/FIEV EAQF ANFIA AVSQ AIAG QS-9000 Five Oversight Offices Worldwide - International Automotive Oversight Bodies (IAOB) AIAG - North America and Asia Pacific SMMT - United Kingdom VDA - Germany FIEV - France ANFIA - Italy This displays the unique administrative and oversight situation for ISO/TS. The Oversight Offices share the administration of ISO/TS. It is via these five offices that the certification bodies/registrars receive the contracts that allow them to conduct third-party audits of cooperating suppliers. It should be noted that the five agencies were given the authority to set up the Oversight Bodies. The Oversight Bodies themselves operate independent but in cooperation with the agency by which they commissioned and formed. At present “responsibilities for the rest of the world” reside with the five Oversight Bodies.

Administration and Oversight International Automotive Oversight Bodies (IAOB) Functions Oversight of Registrars Coordination of IATF Information Certification of Auditors Communication to Suppliers Recommendations to IATF These bullets spell out in general terms the functions of each Oversight Body and what they provide to the International Automotive Task Force (IATF).

Certification Bodies/Registrars General Criteria for Approval to include but not limited to: Presently support the registration auditing of at least two of the national automotive standards Have signed a contract with the IATF Have auditors who are eligible to enter the ISO/TS 16949 Auditor Certification program Are presently in good standing with national automotive standards 31 Certification Bodies/Registrars were selected. Others are being considered. These are general summary of the guidelines set out for the Certification Bodies. Obviously, the selection criteria, even in summary form, creates a limited list of Registrars who qualify. The registrars that qualify are then able to contract with Oversight Body/IATF for the right to conduct ISO/TS 16949 certification and surveilance audits.

Present Registrar Auditor Certification Programs Four Programs for ISO/TS 16949 Registrar Auditor Certification: QS-9000 Auditors to ISO/TS 16949 VDA 6.1 Auditors to ISO/TS 16949 AVSQ Auditors to ISO/TS 16949 EAQF Auditors to ISO/TS 16949 There is presently no program to certify auditors to ISO/TS 16949 who are not certified to one of the four automotive standards listed above. This slide overviews the four programs current available to certify ISO/TS auditors. At present the only path to ISO/TS registrar auditing is via an existing national standard/requirement auditor certification program. The intention in the future is to create paths that begin with non-auditor experiences and lead to ISO/TS auditor certification. That was not done at this time for a variety of reasons.

Recent Developments By the end of April over 250 auditor candidates were in the auditor certification program All auditor certification programs, including training materials, assessments, exams and certification processes have received final IATF approval Plexus Corporation has been given approval to begin a supplier auditor certification program for QS-9000/ISO/TS 16949. The program is ready to launch The process is under way. One big deal on this slide is the announcement about the Supplier Auditor training. Plexus has the authority to teach the Suppliers exactly what auditors are being taught about both QS and ISO/TS. In the past the supplier has been allowed to take these type of classes. No longer, they can now get the exact same training conducted by the exact same instructors. Plexus can deliver the training to them.

My Involvement with ISO/TS 16949 I was a member of ISO/TS 16949 Training Council which designed the present Registrar Auditor training I managed the launch of the ISO/TS 16949 Registrar Auditor training in all countries where QS-9000 certified auditors are seeking ISO/TS 16949 certification I am currently on the ISO/TS Exam Commission who writes and maintains the certification exams associated with ISO/TS 16949 Registrar Auditor Certification - our next meeting is in Frankfurt, Germany on June 29 Plexus Corporation is the official QS-9000 & ISO/TS 16949 Registrar Auditor training provider

Future Preliminary work has begun to bring ISO/TS 16949 into compliance with ISO 9001:2000 The Japanese Automakers are in talks with the IATF for their inclusion in ISO/TS 16949 Questions? The main question that people are asking - Will the present automotive standards cease to exist? Will QS-9000 go to a fourth edition, will VDA have a 6.2? There are no plans to rewrite and reissue the national automotive standards. Plans as they stand today, sees one international automotive standards for all auto makers world wide. Will that come to pass? Only time will tell.