1. By Matthew Pavelek Boise State University
ISO/TS 16949:2002
This presentation is on the new automotive standard ISO/TS 16949:2002
By Matthew Pavelek
Boise State University

2. What will be covered Definition Brainstorming Exercise Explanation
The purpose and benefits
Example
Summary

3. Definition
ISO/TS 16949:2002 is the newest automotive quality standard which was developed to be aligned with the ISO 9001:2002 standard
It is a worldwide accepted standard for suppliers of automobile manufacturers
ISO/TS 16949:2002 was released in March, 2002, and will replace the ISO/TS 16949:1999 standard which was cancelled with the release of of the 2002 standard.

4. Brainstorming Exercise
Brainstorm on how a new quality standard can benefit your company
Brainstorm on the type of quality improvements that can be made in your company
Have people brainstorm and write or say what they think of

5. Developers of ISO/TS 16949:2002
The ISO/TS 16949:2002 standard was developed by an ad hoc group of automotive manufacturers and their respected trade associations
The goal was to develop a universally accepted set of quality management standards for the automotive industry
The goal of the ISO/TS standard was to develop a universally accepted set of standards that would replace the need to have multiple certifications to serve Europe, the U.S., and Asia

6. Developers of ISO/TS 16949:2002
The partnership that developed the ISO/TS standard was comprised of the following groups
International Automotive Task Force (IATF)
Japan Automobile Manufacturers Association (JAMA)
With the support of the ISO technical committee ISO/TC 176
The IATF included the BMW Group, DaimelChrysler, Fiat Auto, Ford Motor Company, General Motors Corporation, PSA Peugeot-Citroen, Renault SA and Volkswagen, plus national trade associations, AIAG (America), VDA (Germany), SMMT (UK), ANFIA (Italy) and FIEV (France). Japanese vehicle manufacturers association, JAMA, have been involved in the development of ISO/TS16949:2002, and are expected to join IATF as full members in due course.

7. Development of ISO/TS 16949:2002
ISO/TS 16949:2002 is the international equivalent and combination of the following standards
QS-9000 (USA)
EAQF (France)
VDA6 (Germany)
AVSQ (Italy)
It is the equivalent of QS 9000 when coupled with customer specific requirements. It was developed rather than continue with another revision of QS-9000
The ISO/TS standard was developed by the IATF, with Asian manufacturer input, and combined the main requirements of existing automotive quality standards

8. Development of ISO/TS 16949:2002
ISO/TS 16949:2002 was developed to be aligned with the new ISO 9001:2000
ISO/TS 16949:2002 was implemented in March 2002 to replace ISO/TS 16949:1999
The revision of the ISO/TS documentation was necessary to align itself with the ISO 9001:2000 text.

9. Development of ISO/TS 16949:2002
BSI Management Systems-available at emea.bsi-global.com

10. Purpose of IATF in ISO/TS 16949 Development
To develop a consensus regarding international quality requirements
Develop policies and procedures to ensure worldwide consistency
Provide training to support ISO/TS 16949
Establish formal liaisons to support objectives
The goal of the quality requirements consensus pertained to the participating companies’ direct suppliers of materials, parts, or finishing services.

11. Reasons for ISO/TS 16949:2002 implementation
Recognized internationally
There are no plans to update QS-9000, VDA6.1, EAGF, or AVSQ
Suppliers are either required or encouraged to upgrade to ISO/TS:16949
Provides a set of quality standards and requirements that is recognized internationally
Vehicle manufacturers are either requiring suppliers to upgrade to ISO/TS or encouraging suppliers to upgrade with future requirements likely

12. Reasons for ISO/TS 16949:2002
Eliminates the need for multiple registrations
Technical specifications compliment current quality improvement methodologies
Avoids requirement of VDA6.1, EAQF, AVSQ, & QS-9000
It complements improvement philosophies such as Six Sigma, PPAP, and FMEA

13. QS-9000 Current plans are not to eliminate No current plans to update
Has reached the end of its development life
Is no longer supported by manufacturers or suppliers
Will expire on December 15, 2003
Though there are no current plans to eliminate the QS-9000 standard but there are no plans to update the latest QS-9000 standard
Many vehicle manufacturers and their suppliers feel that the Qs-9000 standard has reached the end of its development life
certification to QS-9000 will have until 14th December 2006 to upgrade to ISO/TS16949:2002.New certification to QS-9000 will be possible until 14th December 2006, but all QS-9000 certificates will become obsolete from 15th December 2003

14. Problems with QS-9000
Problem suppliers are able to maintain registration
Does not utilize the process approach to quality management
Falling credibility of certification process
Is not a universally accepted certification
Problem suppliers have been able to maintain QS-9000 certification and bureaucracy has made change or further development difficult. QS-9000 has not been updated to the current business thinking of process utilization in the approach to quality management QS-9000 suppliers would need to obtain VDA6.1, EAQF, and AVSQ certifications for Europe and Asia

15. ISO/TS 16949:2002 Implementation
Is not at this time an overall replacement for QS-9000
Renault and PSA strongly recommend upgrading to ISO/TS 16949
Ford, GM, and DaimlerChrysler currently recognize ISO/TS 16949:2002
Ford, GM, and DaimlerChrysler will replace QS-9000 with ISO/TS 16949
Ford, GM, and DaimelChrysler will require ISO/TS instead of QS-9000 after December 14,2006

16. ISO/TS 16949:2002 VS QS-9000 More demanding than QS-9000 by requiring
Senior management involvement
Product realization
Analysis and improvement
Supplier development
Organizational performance
It is more demanding because it has strengthened key areas that will benefit the manufacturers and customers
Requires senior managers to communicate and set quality objectives
Requires product realization throughout the process from planning all the way to after sales service
Analysis and improvement is used continually to improve product quality and processes
Organizations must commit to improving their own supply base
Organizational performance must focus on quality, delivery, and customer performance

17. Goals of ISO/TS:16949 Continual improvement Defect prevention
Reduction of variation
Reduction of waste in the supply chain

18. ISO/TS 16949:2002 Requirements A focus on continual improvement
Customer satisfaction requirements
Preventative action process
Improved employee training requirements
The ISO/TS system has gone beyond QS-9000 with an incresed focus on continual improvement, requirements to monitor customer satisfaction, and an emphasis on employee training and education

19. ISO/TS 16949:2002 Requirements
Required communication with suppliers and customers to assure quality
Improved employee quality responsibilities
Employees are more responsible for quality, and quality assurance employees have enhanced requirements for availability

20. ISO/TS 16949:2002 Requirements
Includes detailed, sector specific requirements for
Employee competence
Awareness and training
Design and development
Production and service provisions
Control of monitoring and measuring devices
Measurement, analysis, and improvement
Employee competence is required through education and quality responsibility

21. Benefits of ISO/TS 16949:2002 Improved supplier product
Improved process quality
Improved global sourcing confidence
Common, consistent quality systems approach
The ISO/TS certification has increased supplier product and process quality requirements. It also provides global sourcing confidence sue to the alignment of certification requirements.

22. Example Wescast Industries earned ISO/TS 16949 certification
Certified for all five of its Ontario manufacturing facilities
Recognizes commitment to quality and customer requirements
Significant to customers
Will increase global presence
Wescast’s five Ontario manufacturing facilities obtained the certification in CEO of Wescast Industries stated that they were “proud to receive this internationally recognized standard of quality.” he further stated that “this certification is significant to our current and future customers and will increase our global presence”.

23. Summary ISO/TS 16949 is clearly the superior certification due to
Worldwide acceptance
Only one necessary certification
Support from both suppliers and manufacturers

24. Summary Cont.
Compatibility with current quality improvement philosophies
Improved focus on senior management development, employee involvement, and customer significance
Enhanced certification requirements
Focus on processes

25. References
International Organization for Standards: Ref.:818, March21,2002
BSI Management Systems-available at emea.bsi-global.com
International Automotive Oversight Bureau-available at
Supplier letter from DaimelChrysler, GM,and Ford. Dated August 2002

26. References Eagle Group USA, INC-available at www.eaglegroupusa.com
Future of APQP and PPAP in doubt. Quality; Troy: Jan2002; Roderick A Munro
Wescast Earns ISO/TS Certification. Business Wire; July 2, 2002