ims case study annex

THE INTEGRATED USE OF MANAGEMENT SYSTEM STANDARDS CASE STUDY ANNEXThese case studies are reproduced as supplied by the organizations.

The case studies that support and shape the content of this book are drawn from organizations that are: Profit and not-for-profit Large, medium or small From a number of continents Of various maturities In service, manufacturing, construction and other industries Local, regional and global At different stages in the integrated use of management system standards. Individually, each case study offers an insight into the integration process. Collectively, the case studies provide a practical support for the central message of this book, namely that there is no unique formula for success in the integrative application of management system standards. As the case studies so clearly demonstrate, the drivers for action, objectives established to achieve, starting points, routes taken, tools used, impediments encountered, lessons learned, and benefits derived are diverse as the organizations themselves. To facilitate their use, each case study has been summarized and described using a common format.Source Industry Size Region / Country MSS Used

Aleris Recycling

Aluminium Recycling and Manufacturer Chemical

Medium

Germany/ Europe North America / Canada Europe / Spain South America / Chile Worldwide Europe / Spain

TS 16949, ISO 9001, ISO 14001, OHSAS 18001 and EMAS II ISO 9001 ISO 14001 ISO 9001 ISO 14001 ISO 14001 ISO 9001 ISO TS 16949 ISO 14001 ISO 9001 ISO 14001

Brenntag

Large

CETIB (non-profit)

Service

Small

Codelco

Engineering

Medium

CPAC Ferrovial

Automotive Construction

Large Large

The integrated use of management system standards - Case study annex

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Source

Industry

Size

Region / Country

MSS Used

Formulaciones Qumicas S.A.

Chemical

Medium

Central America / Costa Rica Worldwide

ISO 9001 ISO 14001 QS-9000 ISO TS 16949 ISO 14001 ISO TS 16949 ISO 14001 OHSAS 18001 ISO 9001 ISO 14001 ISO 22000 ISO 9001 ISO 14001 ISO TS 16949 ISO 13485 ISO 9001 ISO 14001 OHSAS 18001 ISO 9001 ISO 14001 OHSAS 18001 ISO 9001 ISO 14001 OHSAS 18001 AS9100 ISO 90003 ISO 9001 ISO 14001 EN 9100

General Motors Corp. Organizational Unit

Automotive

Large

GKN Driveline

Automotive

Large

Europe / UK Europe / Spain

Hijos de Rivera

Beverages

Small

IBM

Information Technology Hotel / Service Chemical

Large

Worldwide

Mandarin Oriental Hotel

Medium

Asia Pacific / Malaysia Europe / France Middle East / Israel Europe / Spain

MLPC INTERNATIONAL

Small

Rafael

Defense

Medium

SENER

Engineering

Small


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Aleris RecyclingIntroduction Who are we, market, business content Leading aluminium/magnesium recycler and manufacturer of aluminium cast and wrought alloys in Europe Headquarters: Grevenbroich Employees: 450 Turnover: 260 Mill. Capacity: 170.000 t cast alloys ; 100.000 t wrought alloys Facilities: Erftwerk, Grevenbroich Innwerk, Toeging Neckarwerk, Deizisau Aleris Recycling (UK) Ltd., Swansea Aleris Recycling B.V., Delfzijl Certification: TS 16949, ISO 9001, ISO 14001, OHSAS 18001 and EMAS II

Customer/stake holder requirements (what were the drivers for action)

As a supplier to the automotive industry it is required to have a quality and a environmental management system. Customers demand products which live up to requirements and which are derived from secure, validated processes. Legislators and authorities set out standard values, conditions and other guidelines for products and production. All this means numerous and sometimes contradictory requirements that call for organizational as well as technical measures. Until now individual management systems (e.g. for quality assurance or environmentally sound practice) that provide information on a companys organization and operational procedures, in documented, and usually certified form, have been implemented to meet these requirements. However, because of the high volume of work created by legal and normative policies, and because of limited manpower resources, setting up and maintaining several parallel systems is just too taxing, especially for medium-sized companies.

Getting started and further steps in the development of an integration plan including milestones what was the project plan? (What, when and how including background)

Following the decision to introduce an integrated management system (IMS), a new position was created for a person responsible for the central management system, whose principle task would initially be to develop and implement the IMS. To get the ball rolling with the project a situation review for an integrated process management system was made, with external support from the consulting firm Conex. Building on the outcomes of this concept and the process model it describes (Figure 1), a management system called ProMys (Process-integrated management-System) was to ensue, which would meet the following requirements: Integrating the available management systems for quality and environment together with the continuous improvement process and health & safety. Achieving the conditions necessary for further growth by means of process standardization. Capitalizing on synergy effects when maintaining and updating the system. Tightening up operational procedures and structures. Creating a user-friendly IT solution.


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Cutting down the effort required for certification.

Figure 1: Process Model ProMys The management team consisted of the person responsible for the management system, who acted as project leader, the external consultant who acted as a protagonist for professional input and persons responsible for environment, work safety and quality assurance. Main steps of implementation

The team drew up drafts for a company handbook, system descriptions and guidelines. In this way the documentation available for both production locations, including location-specific particularities (e.g. dictated by different production facilities) were unified, and where possible summarized. This preliminary work meant valuable time could be saved in the workshops that followed for employees affected by the respective processes being developed. In workshops the submissions compiled by the project team were honed and checked for accuracy and completeness. In doing this, procedures were reduced to their essential steps and interface problems which occurred were eliminated. This often entailed organizational changes too. Manuals and related documentation were revised, and where necessary replaced with new documents. The new Company Handbook created in this process essentially consists of company policy and higher-level objectives, a description of the organizational structure and a fundamental description of the ProMys management system based on the process models described. In this way a tailor-made structure and layout could be chosen for the Company Handbook, taking into consideration the normative requirements stipulated for its contents. (Figure 2)


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Figure 2: Main Steps The implementation was based entirely on standard software such as the Microsoft Office applications and Acrobat Writer. Building on pre-existing IT-supported document templates for processes, guidelines, operating instructions and brief instructions as well as forms, a uniform documentation was developed which is binding for all production locations, and which can be transferred to new locations in the future. The finished documents were approved by the person responsible for the process in question, then made available to all staff over the intranet. This IT solution offers sufficient possibilities to link documents with each other and to safeguard against manipulation or accidental changes. Process sequences were created with Visio, a graphics programme that among other things offers the possibility of analyzing and optimizing the process. Then, using Acrobat Writer, the documents created with the Office applications were converted into a form which could be read at all workstations with Acrobat Reader, and linked to each other with the link function. Besides that, all documents were write protected by a password on Acrobat Writer, and had a digital signature for clear identification. To round off the management system, going beyond the system documentation, the company was provided with a uniform recordkeeping and overall documentation system InfoDok. (Figure 3)

Figure 3: IT Solution


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Assessment, review and addressing obstacles

While working on existing documents it often became apparent that the regulations which had been formed over the years were not coordinated and often appeared as a redundancy in several different documents. In addition, a direct relation to operational processes was often lacking a consequence of the element-based structural orientation which had been pursued up until 2000. The challenge was to find the least costly IT solution, which at the same time wouldnt require special training. With the IT solution and the integration of the management systems which had until now been separate, a development which was very well received by employees, the expectations for this exercise were, to a great extent, already achieved (Figure 4) Fast access company-wide to management system regulations and guidelines Decrease in volume of documentation by about 20% Reduction of work instructions from 269 to 115 Facilitation of certification process through co-ordinated audits Identification of management and staff with documented processes Employees understanding of the reciprocal effects of processes Figure 4. Benefits A further aspect was the on-site implementation. Management and employees were already as deeply involved as possible with the drawing up and fine-tuning of system documents. Additional training specific to the workplace supplied knowledge of the objective, structure and proper handling of ProMys. Training and information was provided by qualified in-house staff, so that questions could continue to be answered or problems with the application solved even after the training sessions. Involving the senior staff in these communications measures contributed to establishing ProMys even more securely.

Perceived v. actual benefits

Continual improvement, lessons learned, the way forward or future direction

Integration of Risk Management and administrative Management Processes Participation on national and international Competitions Implementing of ProMys in all existing and new plants


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Brenntag Canada Inc.Introduction Who are we, market, business content Brenntag Canada, a member of the Brenntag group of Companies, is a leading distributor of specialty and commodity chemicals, plastics, processing aids and raw materials to major Canadian resource and manufacturing industries. We are a major formulator of specialty chemicals for oil and gas producers and refiners, and a producer of colour concentrates for thermoplastics processing industry. We operate from nineteen warehousing and packaging facilities located in key business centres from coast to coast, utilizing selected logistics partners and representing the foremost chemical and plastics producers from around the world. We are uniquely positioned to provide our customers with superior service on a broad range of quality products, and unique value-added supply chain management solutions. In 2000 Brenntag AG purchased Holland Chemical International to become the worlds largest chemical distributor. Brenntag is now the market leader in Central, Eastern and Northern Europe, the market leader in South and Latin America and holds a strong number three position in North America. Brenntag brings world class competencies in e-commerce, information technology, global procurement, international logistics and single sourcing services to our already extensive Canadian service capabilities. A CENTURY OF PARTNERSHIP WITH CANADIAN INDUSTRY Brenntag Canada was incorporated in June 1897 as Standard Chemical Ltd. to exploit owner Arthur Peuchens discovery of a method to extract acetic acid, acetone and wood alcohol from scrap hardwood. Peuchen was one of the few survivors on the White Star Lines doomed ship the RMS Titanic. Through its rich history Brenntag Canada has changed ownership several times reflecting Arthur Peuchens instinct for survival and entrepreneur leadership. Over the years, several owners have been consumers of chemicals, including Domtar, one of the worlds leading producers of pulp and paper products, while others, including PPG and ICI, were chemical manufacturers. In 1990 Stanchem, as it became known, was acquired by Holland Chemical International, and ended up where it should be and is today, and in doing so has become an essential link between industrial chemical consumers and chemical manufacturers. With Brenntag's acquisition of Holland Chemical International in 2000, we became a member of the worlds largest chemical distribution company. Many of the key industry and specialty market areas which have been served in the Canadian marketplace over the years, include; INDUSTRIAL CHEMICALS Proudly representing the worlds leading chemical producers, Brenntag Canada offers a broad range of chemicals and services to all markets coast to coast. With packaged goods warehouses and bulk storage facilities strategically located across the country we offer next day delivery. Our regional blending and packaging plants ensure that we deliver the exact amount you require in the most economical package. We have products for end uses from aerosol packaging through chemical processing, pulp and paper to water treatment. For a list of our major


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markets click on Markets Served. The services we offer include custom blending and packaging, remote tank monitoring systems, inventory management and just in time deliveries. OIL & GAS Brenntag Canada has provided exceptional technology, products and service to the Canadian Oil and Gas Industry for over 40 years. Our close relationship to sister Brenntag companies in the U.S.A, South America and Europe enables us to provide a broad range of chemical products and technical support to meet our customer needs. Brenntag Canada provides chemical technology and service from the customers well through the gathering system to the processing facilities. We also provide products and technical support services to oil refineries and petro-chemical plants. At Brenntag Canada, we work with our customers to reduce total life cycle production costs. We focus on customer product cost, performance chemistry, lab analysis programs, logistics and administrative expenses. Optimizing the customers chemical program reduces the volume of chemicals required, increases production and reduces maintenance and repair costs associated with a nonoptimized chemical program. Additional savings and efficiencies can be gained through Brenntag Canada's streamlined transportation and distribution network. Our world-class business system offers all the benefits and opportunities of eCommerce. PLASTICS & COLOUR CONCENTRATES Plastics and colour concentrates is one of the youngest businesses within Brenntag Canada, but also one of the most dynamic and fastest growing areas within our organization.

Customer/stake holder requirements (what were the drivers for action)

MARKETS SERVED Brenntag Canada serves all industrial major chemical and related markets in Canada. We offer the complete range of high-quality chemicals. Brenntag supplies complete product lines of industrial and specialty chemicals within the framework of our core business. In addition to this, the company also maintains and operates efficient distribution centers to ensure that your orders are delivered promptly, as well as offering advice on application technology. The markets served include; Food and Beverage Pulp and Paper Coatings, Adhesives & Sealants Water Treatment Textiles Pharmaceuticals Detergents and Cleaners Packaging Transportation Mining Personal Care Graphic Arts Chemical Processing Metal Treating & Fabrication


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Agriculture Commitment to ISO Standards & Codes of Practice Brenntag Canada Inc. is totally committed to providing quality products and superior service to our Customers; we are also committed to the protection of the environment, as well as assuring the health and safety of our employees, suppliers, contractors, and the community in which we all live and work. In a proactive effort to better manage the various aspects of our business, to demonstrate our corporate values, our commitment to quality and continual improvement, and our dedication to care for our environment, we are dedicated to the following initiatives: ISO 9001:2000 Quality Management System (QMS). ISO 14001:2004 Environmental Management System (EMS). Canadian Association of Chemical Distributors Responsible Distribution Code of Practices. Situational Analysis - Evolution of Management Systems Although the organization had been committed to both ISO standards and the Responsible Distribution Code of Practice for close to 15 years - something was missing. In 1999, the documented systems of the day, to support registrations and verifications were manual, cumbersome, outdated and ineffective. Technologies had advanced in many areas, and the organization was either not adopting them, or under-utilizing these advances. Efficiently and effectiveness were lacking in many areas. The organization seemed very internally-focused. Management recognized there was a need to change, and refocusing and aligning the organization to the following Mission and guiding Principles, was the starting point. The system and executive managements position (leadership response)

Our Mission We will be the quality provider of chemicals, plastics and value added services to customers in our chosen markets and be the preferred partner for our suppliers. Guiding Principles We will: create superior value through in-depth market knowledge, outstanding customer service and the innovative application of technology; maintain a working environment for our employees that recognizes individual contribution and provides opportunities for personal growth; pursue continuous improvement in all aspects of our business; operate in a safe, clean and environmentally responsible manner; increase value for our shareholders by growing the company on a sound financial basis; conduct our affairs with integrity. In 2000, with the above mission in mind, Brenntag embarked on planning the change initiative. By providing our customers with superior value, we will grow our customer base and as a result, attract and retain high quality suppliers, and customers. By increasing our sales revenue and enhancing our operating efficiencies, we can continually improve our profitability. In early 2001, with this as our vision, the Canadian management group determined how they could become the clearly superior, customer focused, continually improving, efficient and profitable organization in the view of our shareholders, suppliers, customers and work associates.


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In 2000, prior to embarking on the integration initiative, core management representation from across the Brenntag Canadian organization was brought together for two-(2) day Management Clinic and Transition Workshop sessions. These sessions focused on management principles, Brenntag business values, alignment of the ISO 9001 standard with the management approach, teambuilding, problem solving, and process-based improvement strategies. During these sessions, a number of brainstorming activities were performed to define the current, as-is situation within each level of our organization. The results of which are summarized in the points below. Issues & Opportunities Identified Corporate were identified as follows: Distributed Approach: Common Processes Lacking. No National Standards or Consistency; Corporate Functions Not Part of Quality/Environmental System: Lack of Involvement, Knowledge and Awareness. Communication Weaknesses. Delegation to the Regions (mostly ISO). Plant & Operations Focused. No Corporate Quality Review Process. Internally Focused Approach rather than a Customer Focused Approach. Issues & Opportunities Identified - Region were identified as follows: Common Processes between Regions: No Standards or Consistency. Disjointed Lack of Common Culture. Inconsistent Complaint or NC/CA Resolution & Improvement Process. Procedure Driven Not Process Driven: Documentation Overkill Complex, Bureaucratic, Inflexible. Best Practices Not Shared or Communicated. Perception of Benefit or Value-Added Lacking. Inconsistent Documentation of Customer Requirements. Customer Satisfaction Processes No Means of Determining or Measuring. Customer Dissatisfaction is the Only Measure and Focus. Reactive: Corrective Rather than Preventive. Weak Problem Solving. Supplier Focus Inconsistent or Weak. Campaign Driven For the Certificate on the Wall: Doing Things to Satisfy the Auditor. Getting started and further steps in the development of an integration plan including milestones what was the project plan? (What, when and how Transition Planning Upon concluding the workshop sessions, planning and implementation activities were initiated, including the following steps and activities; Enhance the Brenntag culture through the introduction and use of Management Systems Principles, aimed at continually improving the organizations performance over the long term by focusing on Customers while addressing the needs of all Management System Principle(s) to become the comprehensive and fundamental role and belief for leading and operating our organization, including:


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including background) GRAPHICS

Customer Focused Organization. Leadership. Involvement of People. Process Approach. Systems Approach to Management. Continual Improvement. Factual Approach to Decision Making. Mutually Beneficial Supplier Relationships.

Integration of Commonality Through the Organization The key steps in the transition and integration approach included: Confirm Management Principles for Brenntag. Establish Common Language. Define the Scope & Inter-relationship between Processes for ALL Brenntag Develop the Road Map. Specify / Establish High-Level Objectives: Customer Focus. Consistent Processes. Consistent Practices/Procedures/Tools based on Best Practices. Support of Functional Teams to Develop Commonality. Corporate Roles and Responsibilities were identified to guide the transition and integration approach including: Provide Leadership: Create Our Corporate Vision. Set Our Direction. Establish the Communication Plan. Support & Champion the Process. Willing to Change & Act as Agents of Change. Provide Resources: People, Money, Sponsorship. Facilitation, Forum for Arbitration (if needed). Set Milestones: Objectives / Time-Lines. Review, Analyze & Improve. Helping the Regions With Transition; key steps were identified to advance the transition and integration initiative including: Foster Concept of National Consistency and Best Practices. Develop a Customer Satisfaction Process: Approach, Methods, Questions, Evaluation Criteria, and Tools. Provide Toolkit to Enhance Commonality: System Platform (QSi System 9000); Training. Facilitation: Act as Agents of Change. Standards & Document Transition In order to achieve an approach where our organization was able to integrate many of the requirements of various ISO standards and Industry Codes of Practice, the organization undertook a parallel exercise to map out the various standards and practices as a means of understanding both the common elements and the critical gaps. Information was available to Brenntag to assist with some of these activities, i.e., ISO 14001 and ISO 9001 clause mapping included in various


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reference and essentials documents assisted with the basics. Much of the mapping exercise was largely a manual exercise, undertaking to ensure that the direction taken was based on a sound concept and design. A significant component of the initiative was to dis-assemble the existing ISO documentation and update and build the document environment to be more customer-focused and responsive to the organizations needs. Main steps of implementation GRAPHICS Planning & Implementation of the Integration The Strategies, Initiatives & Activities step was achieved through the following steps: Creation of National Functional Teams: Operations. Commercial & Sales. Supply Management. Project & Implementation Plan: Corporate & Local Plans. Local Working Groups. Initiation is Imminent (management was highly committed to getting this initiative started). Communication: Timelines established. Process Mapping & Procedure Review: Deadlines established. Documentation Revisions: Deadlines established. Completion: Timelines established. Upgrade Registration to ISO 9001-2000 QMS using business processes. Fully integrated audits with existing ISO 14001 EMS. Development of Process-Approach for Integration of Business Activities The Brenntag organization developed a team-based approach to identify, map, and improve core business processes across the entire organization. This initiative was called Customers First and was developed as a strategy to assist the Brenntag organization to take a more integrated, process-based approach to business, as part of transitioning to the ISO 9001:2000 standard. The crossfunctional teams focused on core business areas such as Sales, Supply, Commercial activities and Operations, and mapped their processes based on best shared practices from across the organization.

The resulting roadmap document provided an overview of the inter-relationships of key processes, activities, and responsibilities across the Brenntag organization.


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Streamlining of Procedures The Integration of Commonality Through the Organization step was achieved through the following steps: Identify Common Processes at National Level & at Regional Level. Establish Functional Teams or Task Forces. Review Current Situation: Review Processes and Procedures. Identify and Eliminate Weaknesses. Build on the Strengths. Communicate. Develop Draft Process Diagrams: Map Processes: Define Inputs & Outputs. Define Customers & Suppliers. Align Work Process to Incorporate a Customer Focused Approach. Identify Controls and Measures of Performance. Develop Draft Procedures: Strip Away District/Local Work Instructions from old ISO Manual. Address any New ISO Requirements. Revise Procedures based on Process Map. The Roles & Expectations of Corporate Leadership During Transition step was achieved through the following steps: Provide the Leadership: Commitment. Strategies and Direction. Common Perspective Customer Focus. Employing Concepts of Quality Policy within the Business. Identify Common Processes at National & Regional Level. Establishing / Incorporating Corporate Policies. National Plan. Provide the Resources. Training. Supportive Management Tools. A System Platform (QSI System 9000). Communication with the Regions. The Helping Brenntag Make the Transition step was achieved through the following steps: Commitment: People Resources. Competence. Energy. Extensive Knowledge of Processes, Procedures and Quality Programs: Local Knowledge of Customer Base. Previous ISO Experience. Information (Data, Procedures). Training


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Integration of Documentation and Management System Requirements An electronic document management system was also used to both migrate existing paper-based documentation, as well as provide a platform for improved integration of documentation. This approach further allowed the integration and deployment of various management system functions, within the Brenntag organization, i.e., corrective and preventive action, management review, environmental risk assessment, legal requirements, internal assessment, etc.


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The diagram illustrated below, outlines several of the key documentation and activities associated with the electronic integration of the business management system requirements, and how they were deployed within the Brenntag organization.


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This electronic compliance system provided for essential functionality where both local document management requirements were needed, as well as where corporate and national management systems requirements were needed. This functionality was designed based on the following criteria and requirements; Site-specific Information Catalogue databases enable settings for Approvers, Document Number Prefixes, etc., to be developed based on local record and document requirements, while maintaining keyword information that is standard across the organization as used in various forms. Unique Databases use Document number prefixes specific to the identified site, as required, i.e., NCMRs Customer Complaints, SOPs, etc. Shared Databases, such as Released Documents, Corrective Action, Supplier Management, will allow sites to view the consolidated records of the Brenntag organization, while maintaining an ability to differentiate and view individual records specific to each site. Shared Databases, such as Released Documents, Corrective Action, Supplier Management, will allow assignment of activities to persons at other locations within the organization. Assessment, review and addressing obstacles Integration Approach to Process-based Assessment Since the organization was moving to an integrated, process-based approach, the decision was made that assessments should align as well to a processbased approach. Many of Brenntags internal assessors were skilled in traditional internal auditing, based specifically on the ISO standards, a clause-by-clause, procedural-based approach to assessing, not fully reviewing or recognizing the activities or businessprocesses of the organization. As part of the transition, process-based assessor training and workshops were conducted to help transition our audit approach to an integrated, process-based methodology. This was accomplished by incorporating actual internal assessments within the training workshops, whereby first-hand experience with the process tools and approaches was learned within the workplace. The assessors were observed and evaluated by both the instructors and lead auditors to share the learning and identify areas of improvement with the approach. Minor obstacles were encountered during actual internal assessments. Some of the audit tools used were stand alone, (i.e., specific to either, quality, environment, or Responsible Distribution), and did not always lend themselves well to the integrated approach. Although integration of selected quality, environmental and health and safety elements was not always possible, they were completed, where possible. The electronic compliance system platform did provide for significant improvement and efficiency in documenting and follow-up of assessment findings. Continual Improvement Approach Brenntag employs a system of Nonconformance, Corrective Action and Preventive Action processes to address problems, complaints, improvement opportunities, supplier and product performance issues, and process and management systems gaps, including those determined during assessments or audits.


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The following diagram illustrates the inter-relationship and flow of these activities, processes and actions within the Brenntag organization.

Improvement is what management systems are all about, and as such, improvement is a prerequisite of Brenntags management system approach, well founded within the requirements of ISO 9001, ISO 14001 and Responsible Distribution. Numerous sources of information for corrective and preventive action improvement are available to the Brenntag organization as opportunities.


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These include customer complaints, product quality failures, process nonconformances, inadequacies identified during housekeeping / safety inspections, equipment failures, emergency response simulation deficiencies, environmental complaints, internal assessment and external audit findings, and so forth. Tools within the electronic compliance system assist the organization with documentation, workflow, facilitation, and processing of these improvement initiatives. Follow-up on, and the closure of any identified management system gaps, including the effectiveness of the Corrective / Preventive Action implementation, is typically determined and evaluated based on the following criteria: verification that the action has been taken; documentation of the actions taken; ensuring additional "ripple-effects" have been assessed including ensure new problems have not been created as a result of the actions taken; ensuring the action is permanent and the problem is solved and will not reoccur; determine the effectiveness, success or "measure of completion" of the action: cost, complexity, resource requirements, time requirements, and, resolution date; and, assessment of the level of satisfaction of the Customer, and/or initiator of the corrective action. Management Review Completing integrated management review functions posed more of an obstacle, often due to the nature of the varied requirements that needed to be reviewed, and the specific audience (management representation) required for the review function (i.e., quality topics required different management, commercial, and site representation than environmental topics). Where practical, critical and related elements were reviewed in an integrated manner.


Some of the perceived versus actual benefits were often communicated informally across the Brenntag organization. More often than not, the benefits were hard to comprehend through the cloud of non value-added or negative aspects of our previous management systems. Some of these ore outlined below, representing the collective experience; + Process-based approach to business and work activities was well received, and viewed as an improvement over the procedural-based approaches used in the past. + Customers First generated many other improvement initiatives including, product quality management, inventory management, quality control related to supplier document management, sales-process and customer relationship management. + Significant internal cost savings / return-on-investment benefit by moving to an integrated electronic document management system (from paper-based systems) - internal costs savings and productivity improvements determined at $96k. + Improved workflow, and better access to information, procedures, documents,


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+ + + + + + -

complaints, non-conformances, CARs, related to the Management System from the electronic compliance system. More focused, performance-based reviews of environment, quality, health and safety data and information within the Management Review process. Enhanced, fact-based decisions based on improved availability, reporting, and presentation of system data and information (from electronic compliance system). Internal assessments became more beneficial and effective, and seemed less like audits, bringing more internal value to the organization, electronic tools were a significant enhancement to the assessment process Significant cost savings realized by converting to an integrated approach where an audit sampling plan was introduced with our third-party registrar Multi-site registrations were evolved into corporate single-certificate registrations, resulting in cost savings of third-party registration costs (2530%). External Auditor competence, practices and experience generally found to be quite good and always professional. General perception that external auditing services provides a negative effect on the Brenntag organization. Brenntag perception is we are doing things for the auditor and ISO, and not for our organization. Identified external audit and auditor performance issues often not resolved in a timely fashion, or in an effective manner. General lack of attentiveness and responsiveness to Brenntags needs and requirements by our registrar, inflexibility in adapting to our process-based business approach. Limited communication on the part of registrar, especially to align business approach with our organizations changing markets and needs Perceived lack of a value-added contribution to the business, even though the external costs were reduced. Many hidden costs associated with increased time and effort to deal with administrative activities and follow-up activities and related issues, as a result of performance-related issues by third-party registrar.

-


One of the key concepts and approaches to Brenntag successfully achieving an integrated management system within the organization was that we needed to ensure our organization was doing the right activities for the right reasons, such as; Management commitment must be steadfast throughout the entire process. Develop a culture based on leadership values and attributes such as the Management System Elements: Customer Focus. Leadership. Involvement of People. Systematic Approach. Continual Improvement. Fact Based Decision Making. Mutually Beneficial Supplier Relationships. We want to understand our customers' requirements and be focused on meeting their needs, committed to continuously improving the aspects of what we do, and regularly monitoring our performance. We will do this efficiently by eliminating work that does not add value for our


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customers and suppliers and by utilizing best national practices. Our personnel will be well trained, properly directed and intensely customer focused. Process-based approach was taken in order to make Brenntag a better, more effective organization. All processes must be customer-focused, and contribute value to the organization. Break down barriers and identity of the old system to ISO. We were not doing this just for ISO this is Brenntags business management system. We no longer were doing this for our auditors. There are no more ISO procedures, no more excuses that we cant do things because of ISO. Clearly communicate to third-party registrar that the management system they are auditing is Brenntags Management System, which coincidently meet the requirements of ISO standards. Developed a better process to formally document the needs of our customers. Measure our ability to meet these needs every time. Develop a process to monitor customers' perceptions of our performance. Simplified and standardized our work procedures using best practices. Focused our procedures on meeting customer's requirements. Adopted common language, measurements and efficiency-enhancing tools. Recognition - Celebrate the successes, even the small ones. In the words of our President, Nobody said it would be easy. With the successful transition of the Brenntag organization, we have continued to differentiate ourselves from our competition by providing superior products and services, and at the same time improving productivity and, performance contribution from our most important resource, our people. Customers First ...the way we do business!

Authored by: Brenntag Canada Inc., Bernard C. Cook, Manager, Quality & Environmental Systems


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CETIB (Collegi dEnginyers Tcnics Industrials de Barcelona)Introduction Who are we, market, business content CETIB (College of Industrial Engineering Technologists of Barcelona) is a professional, non-profit association that has as its main objectives the representation of the general interests of the industrial engineering technology profession, as well as the provision of professional and other services of interest to its members. The territorial coverage of CETIB includes six administrative regions in and around Barcelona. The mission of CETIB is to regulate and monitor professional practice, represent the general interests of the profession, defend the professional interest of its members, assure that the practice of the profession is suitable for public interest, assure the ethical conduct of the profession in the manner in which citizens rights are respected, exercise its disciplinary jurisdiction in professional and membership matters, guarantee that the professional practice is conducted in the environment of free competition and the law regarding the application of professional fees. The association offers a number of services to its members, such as discounts and benefits with collaborating entities, job referral services, library and documentation, professional assessment, project accreditation, a member directory, services related to professional adjudication, rental of measuring equipment and insurance. Customer/stake holder requirements (what were the drivers for action)

The first management system standard implemented by CETIB was ISO 14001: 1996 for environmental management. Although the initial objective also included the implementation of the ISO 9001: 2000 standard for quality management, it was considered more appropriate for the association to start the process of establishing a standardized management system with ISO 14001. This was due to the opinion that an environmental management system was less demanding and more familiar to the engineering business culture, and therefore it would have been easier to involve the whole organization in this system. At the same time, the environmental management system could help CETIB in learning how to manage these types of systems in general. It was also considered favourable to start the process of environmental management system implementation in this manner since CETIB is very much involved in environmental topics. For example, CETIB has won the City of Barcelona Agenda 21 sustainability award, and the association itself gives awards to its student members for the best sustainable development project. Furthermore, with its registration to the ISO 14001: 1996 standard, CETIB would become (and eventually became) the first professional association in Spain to obtain this certificate. As for the ISO 14001: 1996 environmental management system, CETIB decided to implement ISO 9001: 2000 on its own accord, i.e. without the explicit pressures or demands from its customers or external stakeholders. Namely, a quality management system was established due to a decision of the executive management of CETIB to address the overall societal requirements for improved quality.

The system and executive managements position

The implementation of both the ISO 14001 and ISO 9001 standards, and the subsequent application of an integrated management system at CETIB, were all driven by the associations executive management. From the very beginning and


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(leadership response)

throughout this process, integration has been fostered since the association did not believe that an effective and efficient implementation of the standards could have been done in any other way. This belief in a single management system is underscored, for example, by the decision to implement ISO 14001 first in order to more easily integrate ISO 9001 after, and supported, for instance, by the executive management wishes to have simplified and shorter annual reports, as well as not to draft and communicate separate quality and environmental policies. Another factor contributing to the decision to establish an integrated management system was the high level of importance given to actually using the system established according to a standard, rather than just leaving it documented, but not used. Furthermore, the objectives not to duplicate work and to minimize work interruptions by doing everything possible together (e.g. audits), resulting in higher efficiency (e.g. shorter meetings), also facilitated the integration.

Getting started and further steps in the development of an integration plan including milestones what was the project plan? (What, when and how including background) GRAPHICS

CETIB obtained the ISO 14001: 1996 certificate in 2001. Starting at that moment, the association had been working on the system for managing the quality of the most important processes in the organization. In 2004, CETIB received its ISO 9001: 2000 registration, together with a renewal of the ISO 14001: 1996 certificate. After a number of individual audits and annual reviews, the ISO 14001: 2004 standard was implemented in the whole organization, while ISO 9001: 2000 was applied to the most important services, such as the admission of new members, membership services, and the accreditation of projects and documents. However, currently CETIB has the objective to include the rest of the services it provides into the quality management system shortly. In addition, in May 2006, CETIBs registrar has, for the first time, carried out an integrated audit with a single audit plan for both ISO 9001 and ISO 14001 standards. A future challenge set out in CETIBs plans is the introduction of the EMAS environmental management scheme into the integrated management system. Different from the environmental and quality aspects, for which specific management system standards have been used, CETIB does not plan on establishing an occupational health and safety management system based on the OHSAS 18001 standard. This is because the association considers that, in this area, the related law is more rigorous than the standard and inspection for conformity to the law is carried out differently compared to certification. However, CETIB's Integrated Management System Manual covers not only quality and environmental management, but also the prevention of occupational risks, and includes, for example, an integrated policy for these three aspects. The same person in CETIB is responsible for managing quality, environment, as well as occupational health and safety.

Main steps of implementation GRAPHICS

The implementation of the whole management system was accomplished using only the internally-available resources, with a continuing objective to design a useful and dynamic system in accordance with CETIBs needs. Consequently, the employees designed their own procedures, having in mind the following executive management guideline: do something that will serve you, because the system will be yours.


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Following the creation of these procedures, an improvement phase was initiated and carried out through group-work and an analysis of all of the information resources that were used in regular work. In this manner, and with the objective of facilitating the understanding of the documentation, each procedure contained a diagram of the corresponding process. The management system was organized through a set of interrelated processes, with three specific types distinguished: Fundamental processes, i.e., member registration, membership services, professional orientation, accreditation services, industry services, technical services, and education. Strategic processes, i.e., institutional relations and professional representation, general coordination, information and communication, management of quality, environment and occupational health and safety, commissions, and professional conduct. Supporting processes, i.e., administration and accounting, infrastructure maintenance, information technologies, human resources, and secretarial support. Each process carried a unique code associated with it, with the letter indicating the type of the process (F for fundamental, E for strategic and S for supporting), and the subsequent number identifying the actual process. For example F.01 indicates the member registration process, while S.04 pertains to the human resource management process. Each process also contained one or more related procedures. In turn, each procedure was also identified by a specific number following the corresponding process number. For instance, S.02.10 refers to the cleaning procedure contained in the infrastructure maintenance process (S.02). The requirements of the ISO 14001 standard were then mapped against the corresponding processes undertaken at CETIB. The following table, adapted from the CETIBs Integrated Management System Manual (Table 9.4), provides a list of the selected requirements from the standard and the corresponding procedures used in the CETIB.ISO 14001: 2004 Requirement 4.4.2 Competence, training and awareness 4.4.3 Communication 4.4.4 Documentation 4.4.5 Control of documents Procedure S.04.10 Personnel training E.04.30 IMS Communication -E.04.20 Documentation management S.03.05 IMS maintenance and security E.04.45 Waste management S.02.05 Construction S.02.10 Cleaning S.02.15 Maintenance S.02.30 Administration S.02.36 Resource management: Electrical energy, water and atmospheric emissions S.02.40 Purchasing and storage S.02.10 Cleaning S.02.40 Purchasing and storage E.04.05 Management of complaints, suggestions and incidents E.04.15 Improvement actions E.04.25 Records management

4.4.6 Operational control

4.4.7 Emergency preparedness and response 4.5.3 Nonconformity, corrective and preventive action 4.5.4 Control of records

The implementation of the second standard, namely ISO 9001: 2000, was undertaken with the help of an analysis of common elements of the ISO 9001 and ISO 14001 standards, and using the same process maps that the association


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designed at the beginning, since these maps (and the processes they represent) did not change in the meantime. Following the study of the requirements given in ISO 9001: 2000, most of the work was done on meeting the section 7 Product Realization of the standard, since the other requirements were more or less already included in the ISO 14001: 1996 - compliant system.

The following table, adapted from the CETIBs Integrated Management System Manual (Table 9.2), illustrates the selected requirements of ISO 9001: 2000 mapped against the specific corresponding procedures of CETIB. Evidently, a number of procedures cover processes that are completely integrated, i.e. a single procedure meets the requirements of both ISO 9001 and ISO 14001 standards. This is the case, for example, in the personnel training procedure S.04.10 that covers sections 6.2.2 of ISO 9001: 2000 and 4.4.2 of ISO 14001: 2004 at the same time. Requirements for record control (4.5.4 of ISO 14001: 2004 and 4.2.4 of ISO 9001: 2000) of both standards are also covered by a single procedure (E.04.25 Records management). Requirements specific to quality or environmental management, such as environmental operational control (section 4.4.6 of ISO 14001: 2004) and control of production and service provision (section 7.5.1) are mapped against the corresponding, but distinct processes and procedures. ISO 9001: 2000 Requirement 4.2.3 Control of documents 4.2.4 Control of quality records 5.5.3 Internal communication 6.2.2 Competence, training and awareness 7.5.1 Control of production and service provision Procedure E.04.20 Documentation management S.03.05 IMS maintenance and security E.04.25 Records management E.04.30 IMS Communication S.04.10 Personnel training F.01.05 Member registration F.01.10 Modifications and monitoring of the registration data F.01.15 Member retirements F.02.10.05 Initiation of agreement services F.04.10 Accreditation in the association F.04.19 Internet accreditation S.01.05 Receipt management E.04.05 Management of complaints, suggestions and incidents E.04.15 Improvement actions E.04.15 Improvement actions E.04.15 Improvement actions

8.3 Control of nonconforming product 8.5.1 Continual improvement 8.5.2 Corrective action 8.5.3 Preventive action

With the objective of having a paperless environment, the integrated management system of CETIB is formalized in an internal computer network through the application of widely-used office applications. In this Intranet, all of the processes of CETIB are related to the specific legislative requirements and ordered in accordance with the corresponding impacts, as illustrated in the following tables.


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Legislative Reference Official Provincial Bulletin (BOP) No. 13 of 11/05/2001 BOP of the Province Barcelona No. 275 16/11/2000 BOP of the Province Barcelona No. 275 16/11/2000 Impact Office waste entry into the environment Construction work waste entry into the environment of of of of

Title Municipal Ordinance of the Activities and Integral Intervention of the Environmental Administration Modification of Chapter VI of the 1st General Ordinance of the 26th of March 1999 Modification of Chapter VI of the 1st General Ordinance of the 26th of March 2000 No. 1 2 Process S.02.30 E.04.45 S.02.05 E.04.45

Affected Activity licences

I1

Office waste

I2

Work waste entry into the environment

Procedure Administration Waste management Construction work Waste management

Management system documentation is completely integrated, using single procedures and records wherever possible. For example, CETIB uses a single record for the initiation and follow-up of preventive and corrective actions, with the possibility to indicate a specific area of concern, i.e. quality, environment or occupational health and safety with a check mark on the form. CETIB uses an integrated annual plan as a key tool of its management system, incorporating not only the issues related to ISO 9001 and ISO 14001 registrations, but also the day-to-day tasks and possible improvements. This plan is revised monthly by the quality and environmental management committee, which consists of the top management representatives, the quality / environmental manager and process owners. Assessment, review and addressing obstacles

In virtually all cases where the requirements of the two standards implemented, i.e. ISO 9001 and ISO 14001, were different for a set process, CETIB has opted to apply the more comprehensive requirement. This is evident, for example, in the integrated policy of the association, as well as in the procedures for the communication of the management system and supplier evaluation. CETIBs internal audit team consists of nine auditors, with one lead auditor. Internal audits are looked at in a very motivating light, since it is possible to evaluate the functions and the responsibilities of ones colleagues at work. All CETIBs employees are trained as internal auditors. Internal audits against both standards are performed process-by-process, in an integrated manner, with single audit plans and reports.


CETIB encountered a number of benefits as a result of the implementation of the standards and the establishment of an integrated management system. Among those, particularly emphasized are the improvement of the overall organization

of CETIB, better employee awareness of the importance of their work as a contributor to the whole association, and, although to a much lesser extent, a certain prestige for the public recognition of the registration to both ISO 9001 and ISO 14001 standards. Internally, as a consequence of integration,


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a more agile system was created, with less redundancy and without bringing much more work each time a new standard is added.Continual improvement, lessons learned, the way forward or future direction

The perceived success factors necessary to undertake the integration were to start the implementation of the standard with less comprehensive requirements in order to involve the whole organization in the implementation, and to reach appropriate process ownership in the sense that each employee considers the procedure he or she is using as his or her own, for which he or she bears the responsibility and authority. Regarding the integrated management system, the main advantage is that integration helps to integrate more and creates a solid framework in which it will be much easier to add new management systems based on the standards, for example energy audits and complaint management.


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CodelcoIntroduction Who are we, market, business content Andina is one of the five operational divisions of Codelco mining company and is located in the Andes mountain range, 50 kilometres north-east of Santiago, Chile. Its mining operations are performed at an elevation of 3 500 to 4 200 metres above sea level, in the western side of the Rio Blanco quarry. Mining resources in total are more than 14 767 million tons of minerals with an average of 0.57 % copper content and 0.019% of molybdenum. Its exploitation is conducted in both open pit and underground mines. At present, the daily treatment capacity is 72 000 tons, which annually represents 245 000 tons of fine copper. To reach this production level, Andina is staffed with 1 100 company employees and 4 000 contract workers. Given the operating conditions and mineral reserves of this mine, Andina is currently analysing an expansion project which would imply multiplying by three the treatment capacity in 2012 and by four in 2022. Customer/stake holder requirements (what were the drivers for action) The system and executive managements position (leadership response) Getting started and further steps in the development of an integration plan including milestones what was the project plan? (What, when and how including background) Main steps of implementation The Integrated Management System (IMS) is represented by Codelcos Commercial Vice-Presidency (VCO), who maintains direct contact with end consumers, fulfilling their contractual specifications with the utmost accuracy.

The key to success has been the permanent and effective leadership of the director general and the highest level of administration in the development stage of the Integrated Management System (IMS). IMS is presently constructing and implementing the main directional and motivating settings for the management and process improvement in accordance with the mining business. Codelco Andina began its pioneering efforts towards the Integrated Management System (IMS) in 1996 when they were awarded certification to ISO 9003:1994 Inspection Certification and Final Product Testing. Later, in December 2001, Andinas Environmental Management System was certified to ISO 14001:1996 and additionally in 2003, its Quality Management System was certified to ISO 9001:2000 for all of its processes. Both systems were developed with an integrated criterion, in which structural procedures were defined and an IMS Manual was created in December 2005. Codelco received its OHSA 18001 certification and incorporated it within its IMS, occasionally renewing the certification of the environmental system to meet the 2004 version of ISO 14001. This way, the trilogy has been comprised within the same (IMS) system, a process which took nine arduous years to be completed.

In addition to the ISO 9003 and 14001 certifications, a process was initiated to put in place an Integrated Management System to develop further existing auditing systems, determining nonconformities in order to integrate them and in turn generate a plan of action to modify documentation. A manual on IMS policies and structural procedure systems was created, combined with strong leadership from top management and involving the leaders in the process. Internal systematic audits and management reviews were performed to adequately verify the efficiency of the IMS. Today, the IMS manual is the only tool used by Process Management in areas of Security, Occupational


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Health, Environment and Quality. Assessment, review and addressing obstacles The main obstacle that had to be overcome was for the organisation to have an integrated perspective of the standards and specifications when preparing its instructions and procedures, which was satisfactorily improved with adequate training and permanent team support. The second obstacle was to establish, at the beginning of the IMS, the appropriate dynamics for processes to manage improvement opportunities, an aspect that was reverted through the involvement of the process leaders and workers in the improvement of key indicators, something that helped in creating a continual improvement culture. On the other hand, top management, by means of systematic management reviews, provided the necessary resources to carry out improvements that required investment of certain level. Perceived v. actual benefits Among the main benefits of creating an Integrated Management System are the following: a) This integration generated synergies between the three systems, thus having the common elements to enable saving resources and avoiding duplication of efforts. b) A minimal auditing process can review the systems. c) These three systems are based on the methodology of continual improvement which creates and adds value to business processes. d) Control of integrated documentation is simplified in order to exist in a pertinent software market. e) The documentation is updated, paying special attention to critical activities, thus allowing the management of knowledge to assure the longevity from within the business. f) Ongoing training to increase employees capacity in each of the three disciplines is a common activity.

g) Integration optimises operational controls, simplifies work and reduces confusion. h) Considering the legal requirements as inputs, management was oriented in a common direction. i) Top management was compelled to assume a visible leadership role and perform periodic revisions that constitute an important directional and motivating circumstance. Lastly, this style of doing things requires an active commitment from workers, giving them certain roles and responsibilities.

j)


Andina division has been able to affirm that operating under the IMS has contributed to standardising activities, especially the critical ones, which materialised in correct decision making in every single process of this business. IMS has continually led to important improvements, avoiding accidents, illnesses, process delays, equipment damage and promoting a positive public image. IMS has definitely added value to our business.


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Cadillac Products Automotive Company (CPAC) Management System Development and Integration of Business, Quality and Environmental SystemsIntroduction Cadillac Products Automotive Company consists of four manufacturing sites and a Corporate office. The manufacturing sites Quality Management Systems have been registered to QS 9000 since 1996 and to the Environmental Management System (ISO 14001) since 2002. Our Corporate Office supports the plants in the areas of Quote/Contract Review, Purchasing and Design. A QS compliant system to control these functions was developed at our Corporate office. The plants worked independently to develop their systems due to the structure of the QS 9000 standards and the plant infrastructure. The resultant systems were very different from one another and became registered independent of one another.

IntroductionCPAC is a family-owned business with four manufacturing sites and corporate offices in Michigan with approximately 400 employees. Tier 1 and 2 supplier to DCX, Ford and GM, and larger tier 1 systems integrators. We are a vertically integrated manufacturer with many diverse manufacturing processes producing parts from plastic for automobile interiors. QS-9000 registration was first achieved in summer of 1996

Introduction, cont.LEAN manufacturing methods were implemented in 2000 throughout our manufacturing sites and corporate. TS 16949:2002 registration was achieved in June 2004 for corporate offices and Rogers City Plant. TS 16949:2002 and ISO 14001:2004 standards were integrated into a common process in May 2005 at the Rogers City plant. ISO 14001:2004 upgrade/registration audit was performed on the integrated system in June 2005.

TS 16949 rollout to suppliers

The Corporate Quality Director, CPAC Plant and Quality Managers attended the AIAG rollout meeting for ISO/TS 16949 and noted the differences between the elemental approach the current (QS 9000) systems were developed around and the process approach ISO 9001 & TS 16949 contained. There was enough information given at this session to cause us to have more questions than answers when we looked at this challenge ahead and thus sought more training for the Management Representatives at each of our locations before proceeding. Prior to beginning the development work, the Corporate Quality Director made a presentation to the Corporate Executive staff and Plant Managers outlining the differences between the standards to communicate the work required and get their commitment to support and lead in this transition. Management saw the advantages in describing our operations with the process approach and committed resources and support to make this happen. The plans initially included conducting a gap assessment at each manufacturing site and at the corporate office to determine where we did not already comply with the current requirements (QS 9000 and Customer Specific Requirements). Our results told us that we were more than 95% compliant with the requirements though a method had yet to be defined to describe the sequence and interaction of our system processes. A meeting was held at our Corporate office including the Corporate Quality Director and the Plant Quality Managers (these positions are also the Management Reps for their respective facility). It was decided at this meeting that each location would:

Obtaining upper managements commitment

Develop a plan including milestones Gap Analysis


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develop a matrix to show where documents that were developed for QS were 1) required by TS and, 2) needed to describe activity for training and/or auditing purposes. identify their core and support processes; mapping the sequence and interactions; develop project timelines to meet projected dates (goals) established by Corporate; the transition would also focus on as much standardization as possible between the manufacturing sites which would require periodic reviews. Our first problemOur initial problem was finding a method that would best identify the sequence and interactions and provide a method to describe the process without rewriting the entire system. There was no value seen to rewriting procedures to describe processes that were already in place and may need only minor revisions to be compliant. The Corporate Management Rep reviewed the Quality Manual that he was responsible for at corporate and identified where our current system aligned with the TS requirements. The result was a matrix showing where in our current system we addressed the requirements of the TS 16949 standard and/or customer specific requirements. Once this was done it was then possible for the plants to understand the relationship their current documentation had to applying it in the process model that was to be developed. Pursuing the solutionSequence and interactions We had tried conventional flow chart software but, though it could show sequence, it didnt make it practical to describe the interactions and the processes (Who, What, How, Inputs, Outputs and measurables) effectively. We finished a Corporate and Plant model but they still were unclear and many interactions (links) were not readily apparent. At this point we trialed software (Terrapene Process Management Suite) at our corporate office that was advertised on the AIAG website and followed up with an onsite demonstration by the manufacturer (Plexus Corp., St. Paul, MN). The Corporate demonstration included our Quality Director, IT Director and the plant Quality Managers. The usefulness of this software in accomplishing what we were working on was readily apparent. The Executive Staff approved it. Corporate role applicable to all sites Corporate developed and owns the Level 1 Quality Manual and reviewed the TS and customer specific requirements to what we currently had documented. Policies were revised as necessary and the Table of Contents reformatted to cross reference where we addressed TS requirements in the existing system. This then became the guide for the plants in applying existing documentation to the new processes. The software was purchased by corporate, installed on a server that all locations had access to and the software supplier was brought in to train each locations implementation team. The plants were then told to begin mapping their processes including linking relevant documentation (procedures, work instructions and metrics) to each process. The plants were directed to not rewrite everything we had but to identify in the process diagrams (referred to as turtles in our Terrapene software) where the particular document was applicable and link it to that turtle. The document was then reviewed to ensure it was compliant with the requirements and matched the process it was linked to. Most changes to our documentation revolved around taking out references to the QS 9000 standard. Under corporate direction the plants were then directed to begin developing their individual systems and these were monitored from corporate on the server as they were developed.


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Corporate system development

A team was established made up of the heads of each department and the Management Rep to brainstorm and map the corporate core, management and support processes. Once this top level model was agreed to process owners were assigned that would be responsible for the development of the process that represented their area(s) of responsibility. The documentation (Policy, Procedures, work instructions and forms in electronic form) were moved into a shared folder on the main server to give access to all CPAC salaried employees so they could be linked where necessary to the project turtles in our Terrapene system. The corporate Management Rep set up the project and gave access to the Terrapene process owners to begin developing their processes. Process owners had been trained on the use of the Terrapene software and began filling in their turtles using input from other members of their department. The Management Rep at Corporate monitored work on the Terrapene projects at all sites and provided direction where problems were observed or reported. Each plant Management Rep was granted read rights to review work being done at the other locations to work to commonize/standardize as much as possible between all sites. This process took three months to complete once the software was in place and work was assigned to the process owners. No one worked full time on this effort but instead had worked when time was available. Internal audits were conducted next to validate the work and to verify we were compliant to TS 16949 and customer specific requirements. The system was adjusted where necessary through our normal corrective action process and areas of nonconformance were re-evaluated. Management review was conducted at Corporate and the system was approved.

Continual improvement

During the Corporate Management Review, the completed project was reviewed and the CEO saw the opportunity to track plant data through the Terrapene system and also to include our Corporate Management Reports that are reviewed in monthly business review meetings (both at the corporate office and at each manufacturing site). The plant managers were then directed to develop the Management Responsibility process at each facility to include the measurables that the plant reviews each month with the Executive Staff during plant level business review meetings. These are all linked using the Terrapene software so that the CEO can review these through the Corporate system whenever needed.


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Planning the transition-CorporateExecutive overviews were presented to key managers and the senior executive staff by a third party. Training (transition training for internal auditors and the new standard-clause by clause) was conducted on TS 16949 for the team that was to work on the transition to the ISO/TS 16949:2002 standard. A plan was then developed to begin work on the transition corporate-wide.

Managements Concerns Moving ForwardResources in light of right sizing initiatives to cut costs meant we would make the transition with fewer people available. The plants had developed their current systems independently and complaints about the amount of documentation they already had were voiced by both plant and corporate management. All CPAC manufacturing sites had developed different systems both in the way they executed the requirements and in staffing assignments for responsibilities identified in procedures.

Corporate Transition PlanInitial work identified where in our QS-9000 system we already addressed the requirements of the new standard. A gap assessment was done to determine the areas that had not been addressed in our current system. Work was assigned to department heads to eliminate this gap. The Corporate Quality Director would provide guidance to the plants for identifying the relationship of our current system QMS (Policies) to the new standard.

Rogers City Plant Planning the Implementation

The plant established a team that included the QS-9000 Element Owners whose designation soon changed to Process Owners. The team was trained on the TS 16949 standard and process approach; then worked to identify and close the gaps between the QS and TS standards. This team also identified the sequence and interaction of the plants core and management processes while the Internal audit team was being trained on the TS standard and process approach to auditing. After closing the gaps, internal audits were conducted to address any further compliance or process effectiveness issues. Management Review on the effectiveness of the processes and results of the internal audits ensured we were fully implemented and ready for registration.

Rogers City Plant Problems

As with the Corporate office, the plant experienced problems with how to document the sequence and interaction of the processes and did not want to rewrite the documented system that was already in place. The first attempt was to simply cross reference the procedure table of contents to the TS 16949 clause. This was useful for identifying documents related to TS, but did nothing to show the sequence and interactions. Next we tried using flowcharting software and ultimately utilized MSExcel to create a flow chart of the processes. Due to the amount of detail needed, this final product ended up confusing and did not really reflect the true interactions of the processes.

Rogers City plant Solution

Again the software solution (Terrapene Process Management Suite, developed by Plexus Corp., St. Paul, MN) provided a template so that the sequence and interactions were visible. The software utilized the turtle diagram to describe a process which includes Input, Output, What, Who, How & Measure. Our current level 2 documentation did a decent job of explaining the What, Who and How and also included some Input and Output detail in sections we called Scope and Reason, but very little if anything in our procedures connected you to


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other processes or defined any measures and objectives. Dialing in on measures and objectives related to our processes has been a key component to the continual improvement in our processes. Completing this leg of the turtle diagram was enlightening to many process owners, management and auditors on how to evaluate whether or not the process is effective and reminds us of the reason we do things that we do or need to. System integration at the plant

The method we applied to converting our QS system to TS worked so well for us that we looked next at further adding the Environmental Management System (ISO 14001) that we were registered to as well. The plants are individually registered to ISO 14001 as they are to the TS standard but our Corporate office is not involved in this process (ISO 14001). The Rogers City Plant found it very easy to follow the same path they had followed for TS and combined areas that were similar (e.g., Records, Document Control, Management Review, Internal Auditing, etc.) as well as developing new process turtles in the TS model to address the ISO 14001 specific areas that needed to be detailed. In both of these efforts, very little work had to be done to our existing documentation (procedures) unless improvement was seen after the turtle was completed and then the procedure(s) were revised to agree with the model. There are now plans being made to integrate the ANSI/AIHA Z10-2005 American National Standard-Occupational Health and Safety Management System into the same system by December 31, 2006. This standard was chosen by our company over others (such as 18001) because OSHA has and said they would recognize this standard but has not committed to others. Our Terrapene models in place throughout CPAC have become a Business Model reflecting the way we manage our combined Business, Quality, Environmental and soon our Employee Health and Safety programs.Rogers City PlantPlanning the ImplementationEstablished a team to:Identify and close the gaps between QS and TS. Define the core processes (COPS) and their sequence and interactions. Conduct internal audits of core processes and identify compliance issues. Define management and support processes as appropriate.

Implementing the planA team was assembled that would become the Process Owners (referred to as Element Owners under QS System). This team had to review the TS requirements against their process to evaluate compliance to the standard.

When a noncompliance (e.g., gap) was discovered it was put onto a project form to track. The goal at this phase was to quickly identify where revisions, deletions or additions had been/or needed to be made, correct them and conduct a thorough/critical audit of the system.

Rethinking our approachCorporate was experiencing the same problems as the plant. We were getting closer to a customer mandated compliance deadline. Corporate began researching alternative methods to define and map our processes. Corporate and the plant continued to identify and resolve compliance differences between the two standards.


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Our solutionWe had tried to use methods we heard were being used by other suppliers but didnt see the results our senior management was looking for. We had been trained to look at process-based management systems as a Plan-Do-Check-Act model. This was further expanded to what is referred to as a turtle diagram. A software solution was discovered that would provide a template so that the sequence and interactions were visible.

Our solutionWe had tried to use methods we heard were being used by other suppliers but didnt see the results our senior management was looking for. We had been trained to look at process-based management systems as a Plan-Do-Check-Act model. This was further expanded to what is referred to as a turtle diagram. A software solution was discovered that would provide a template so that the sequence and interactions were visible.

Why we chose this modelWith this model we were able to describe the sequence and interactions, which helped in the following ways: We were able to map our top-level processes (COPs) and then show their sequence and interactions.Process inputs and outputs could be clearly described and linked as we identified the support processes to the COPs. The picture we were developing helped us visualize how our current system interacted and we were then able to relate current documentation to our processes.

Process Diagram-Example


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Rogers City plant COPs


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RCP Management Processes

How this approach helpedSeeing our processes in this way uncovered areas in our processes that didnt work as we thought. This model allowed us to rethink the way our processes were structured and rebuild them with confidence where we saw opportunities to add value. We were able to link supporting documentation (procedures, metrics, etc.) to describe how the process worked. Everyone working within a process had a much better understanding of both a process approach and how the processes worked including interactions.

How this approach helped, cont.Senior management could see the processes and took an active role in their redesign in some cases. Metrics for evaluating the processes performance were linked to the measurements block of the turtle allowing for objective measure of a processes performance. The system is much easier to audit and maintain than the elemental approach followed previously. We have been able to integrate the ISO 14001:2004 standard into most of our current processes and recognized where we needed to add new processes utilizing the same approach and tools.

Systems ManagementTurtle diagrams are reviewed during the internal audits to evaluate process effectiveness. The measurements are evaluated to assure the process performance is as it should be. Any documentation associated with the process is attached and can be reviewed (ours include performance indicators and corporate has business results attached to theirs). Process sequence and interactions can be reviewed and audit trails developed to verify the process.


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Systems ManagementProcess owners attach records of process performance to their turtle diagrams for use in monthly business review meetings conducted onsite. This review includes the corporate executive staff and plant department managers. The system is also reviewed as part of our management review process to assess areas for improvement while the staff is together and can review the processes they may not be familiar with. Documents of external origin (customer-specific requirements, relevant IAOB and IATF documents, regulatory documents, etc.) are linked where required.

Corporate Transition PlanInitial work identified where in our QS-9000 system we already addressed the requirements of the new standard. A gap assessment was done to determine the areas that had not been addressed in our current system. Work was assigned to department heads to eliminate this gap. The Corporate Quality Director would provide guidance to the plants for identifying the relationship of our current system QMS (Policies) to the new standard.

Benefits weve recognized throughout the company

Time to develop and implement was greatly reduced using this approach. Fewer people were involved resulting in a savings in man hours. Our systems (Business Operating System, Quality Management System, and Environmental Management) are much better understood by all levels of employees in the organization and make it easier to train new employees. We were able to use most of our documentation with little or no rewriting. We only brought into the system those documents we needed to explain the processes resulting in a reduction in paper work of approximately 40%. The models weve built were developed around the way we do business and are used for problem resolution. All important measurables for monitoring performance in each department are linked electronically to the process making them viewable to the Executive Staff and senior plant management whenever they choose to see it. Our registrar has had a much easier time auditing our processes with the sequence and interactions being visible as well as the links to documents. Being able to see our processes uncovered areas in processes that didnt work as we thought. We were able to link supporting documentation (procedures, metrics, etc.) to the turtle diagrams to describe how the process worked and is working. This saved a lot of time. We could see the way our processes connected which helped identify some disconnects. For the plant it was the first time we really thought about how our management processes interacted. We were able to attach the specific clauses of the standard to the turtle diagrams to ensure we had full clause coverage. Senior management (both at the Corporate and Plant level) could see the processes and took an active role in the redesign in some cases! The system is easier to audit and maintain than the elemental approach. We have been able to integrate the ISO 14001 standard into most of our current processes and recognized where we needed to add new processes utilizing the same approach and tools. The processes describe the way we do business. Process performance and effectiveness has improved with the additional metric identification and tracking. The system once built in this manner has allowed for the easy integration of not only the other standards we must comply with (TS, EMS, Safety & Health) but also been expanded to other areas not identified by a particular customer requirement (e.g., financial processes and metrics, facility processes, employee benefits).


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Benefits we have recognizedThe processes we defined are the way we do business. It is recognized as a business management tool.When questions arise, the documented processes drive decisions. The method we are using to map processes has and continues to be championed by our senior management which has begun to require other elements of our management processes (nonquality) to be mapped in a like manner. More metrics are continuing to be linked to the turtles as management uses the software during business reviews. The process approach made integrating the ISO 14001 EMS into the model almost seamless.

Benefits we have recognized, cont.Procedures and instructions that have not been used are being obsoleted and archived. The model developed around corporate and RCP has become the model applied to our other manufacturing sites resulting in a common system. Processes within the model are being evaluated and best practices identified. This will lead to additional commonizing/refinement of processes. New business was awarded this year that will result in a new plant for CPAC in Texas. This model will si