1. Auditing OEM Customer Specific Requirements under ISO/TS 16949
2013 IACBA Workshop
Auditing OEM Customer Specific Requirements under ISO/TS 16949

2. 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
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.

3. 2013 IACBA Workshop Ford Motor Company – Russ Hopkins
The Ford Customer Specific Requirements (CSR) were updated in June, 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

4. 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

5. 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

6. 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.

7. 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

8. 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.

9. 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.

10. 2013 IACBA Workshop
The direction for auditors when performing ISO/TS 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 audit as it represents Ford communication with its suppliers. (ISO/TS & )
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

11. 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?

12. 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 was supposed to obtain.
The guiding principles for GM in this effort are:
ISO/TS 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.

13. 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.

14. 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 certification
Require an on-site verification audit to determine if exit criteria have been met
Evaluate corrective actions taken to verify effectiveness

15. 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

16. 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.

17. 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.

18. 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

19. 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.

20. 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.

21. 2013 IACBA Workshop
The direction for auditors when performing ISO/TS 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.

22. Are all GM CSR being addressed in the client’s QMS?
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?

23. 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.

24. 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.

25. 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

26. 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.

27. 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

28. 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.

29. 2013 IACBA Workshop
The direction for auditors when performing ISO/TS 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?