quality standards update - … standards update... · quality standards update . ... systemic...
TRANSCRIPT
Mrs. Cherie Reiche Mr. Fred Czubak
International Automotive Oversight Bureau (IAOB)
Fiat Chrysler Automobiles (FCA US LLC)
[email protected] [email protected]
+1 248-358-9793 +1 248-576-6637
Speakers
IATF Structure
• The IATF (International Automotive Task Force) is the recognizing body for ISO/TS 16949 accreditation worldwide – Global Oversight is accountable to the IATF
– Currently, 44 Certification Bodies contract with the 5 IATF Global Oversight Offices
– Global Oversight monitors Certification Body activities (witness audits conducted and maintenance of auditor credentials)
• Listing of the IATF-recognized CBs is available at: http://www.iatfglobaloversight.org/certBodies.aspx
• Only certificates issued by an IATF-recognized CB are valid ISO/TS 16949 certificates
© 2016 - International Automotive Oversight Bureau Confidential – Please do not distribute or copy any of the materials without written permission
IATF Scheme Management Structure
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Global Certificate Distribution by Region
0.8%
65.5%
18.4% 2.7%
10.0%
2.5%
Africa AsiaPacific
Europe MiddleEast
NorthAmerica
SouthAmerica
Valid Certificates per Region [%]
© 2016 - International Automotive Oversight Bureau Confidential – Please do not distribute or copy any of the materials without written permission
ASIA PACIFIC
41,199 sites
65.45% of worldwide total
CHINA (#1/40%) 25,498
REPUBLIC OF KOREA (#2) 5,089
INDIA (#3) 4,992
JAPAN 1,482
THAILAND 1,468
TAIWAN/ROC 1,323
MALAYSIA 529
AFRICA
505 sites
0.8% of
worldwide total
SOUTH AND
CENTRAL AMERICA
1,595 sites
2.53% of worldwide total
BRAZIL 1,229
NORTH AMERICA
6,322 sites
10.04% of worldwide total
USA (#4) 4,345
MEXICO 1,441
CANADA 530
EUROPE
11,590 sites 18.41% of worldwide total
GERMANY (#5) 3,473
ITALY 1,345
FRANCE 1,012
SPAIN 952
CZECH REPUBLIC 737
UNITED KINGDOM 629
POLAND 621
(only countries listed with more than 500 ISO/TS16949 certified sites)
December 2015 data
MIDDLE
EAST
1,726 sites
2.74% of
worldwide total
TURKEY 906
IRAN 769
Distribution of the 62,942 ISO/TS 16949 certified sites
Since 12/31/2008:
• 59% Global Growth
• 105% Growth in Asia Pacific
© 2016 - International Automotive Oversight Bureau Confidential – Please
do not distribute or copy any of the materials without written permission
Oversight CBs & Certificates
Oversight Office
Certification Bodies
Certificate Count
Percent of Total
ANFIA (Italy)
2 1,751 2.8%
IAOB (USA)
20 20,345 32.3%
IATF France (France)
3 1,999 3.2%
SMMT (England)
6 12,259 19.5%
VDA QMC (Germany)
13 26,588 42.2%
Total 44 62,942 100%
© 2016 - International Automotive Oversight Bureau Confidential – Please do not distribute or copy any of the materials without written permission
IATF Strategies & Concerns
Continue strengthening the value and credibility of TS 16949 certification
– Improve alignment between supplier performance and TS certification
– Emphasize Performance Feedback from Customers (OEMs and Upper Tier Suppliers) during audits, veto power reviews, and certificate decisions
– During CB Office Assessments, the IATF is:
• Looking for evidence of soft auditing (pattern of little to no nonconformities issued) and soft scoring (pattern of issuing minors and no majors) over time
• Watching for differences in the number and type of nonconformities between non-witnessed and witnessed audits
– Certificate decisions must ultimately be based on merit, not “everyone gets one”
• If performance is weak or lacking, the organization can lose their certification
© 2016 - International Automotive Oversight Bureau Confidential – Please do not distribute or copy any of the materials without written permission
Value & Credibility
• IATF OEMs and Global Oversight members look at the linkage between ISO/TS 16949 Certification and Supplier/Client
quality performance
– Increased focus on operational performance and customer feedback (customer scorecards/metrics)
– The IATF is giving support to Certification Bodies to make the right decisions (the “tough calls”)
• Major vs. minor non-conformity
• Certificate suspension or withdrawal
© 2016 - International Automotive Oversight Bureau Confidential – Please do not distribute or copy any of the materials without written permission
Value & Credibility
• OEMs are raising the bar regarding expectations for audits to reflect systemic weaknesses that affect supplier/client performance
• OEMs support increased observation audits and special audits where there is a perceived mismatch between supplier performance and supplier certification status (or increased risk)
Goal = Prevent problems before they occur
© 2016 - International Automotive Oversight Bureau Confidential – Please do not distribute or copy any of the materials without written permission
Value & Credibility
• The Automotive Supply Base has changed dramatically – Suppliers have responded to global competition and significant
economic challenges
– The global footprint reflects the dynamic changes
– TS certificate growth has been largely in Asia Pacific
• In response, Key Stakeholders expect more from TS 16949 – Compliance to the standard is a requirement – It has become the price
of entry
– Expectations are that poor performing suppliers should not be TS Certified
So let’s take a look at our areas of weakness ….
© 2016 - International Automotive Oversight Bureau Confidential – Please do not distribute or copy any of the materials without written permission
Top 10 Nonconformities (by ISO/TS clause – global)
Corrective Action
Monitoring/Meas
Internal Audit
Cntrl Prod/Servicing
Monit/Meas Equip
Control Plan
Mfg Proc Design
Meas Sys Analys
Mon/Meas Mfg
Prev/Predict Main
Cntrl Prod/Servicing
Control Plan
Prev/Predict Main
Mfg Proc Design
Monit/Meas Equip
Special Charact
Corrective Action
Monitoring/Meas
Work Instructions
Meas Sys Analys
Nonconformities in BLUE appear in both Top 10 lists
© 2016 - International Automotive Oversight Bureau Confidential – Please do not distribute or copy any of the materials without written permission
IATF Strategies & Concerns
• Revise TS 16949 based on ISO 9001:2015 structure and boxed text
• Develop common audit report template including follow-up audits and upload into the IATF database
• Continue focus on rapidly growing TS certification in Asia Pacific, primarily China
• Utilize OEM Directed Witness Audits to enhance supplier performance, new processes, new supplier, and launch readiness
© 2016 - International Automotive Oversight Bureau Confidential – Please do not distribute or copy any of the materials without written permission
ISO/TS 16949 Revision Process
• IATF launched a survey (via the National Associations) early June 2015 soliciting feedback from over 2,000 key stakeholders: – OEMs
– Suppliers (all Tiers)
– Certification Bodies
– Witness Auditors
– Subject Matter Experts
– Oversight Offices
• Over 1,700 comments were received for consideration of updates to ISO/TS 16949
• Timing for release of draft materials to be determined
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PAGE 15
Survey respondents
63%
17%
9%
8% 2% 1%
Suppliers
Certification Bodies
OEM
Witness Auditors
Oversight Offices
Subject Matter Experts
ISO/TS 16949 Revision Process
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PAGE 16
8.5%
3.6% 5.4%
9.4% 9.4% 12.1%
49.3%
0%
10%
20%
30%
40%
50%
60%
1 2 3 4 5 6 7
Prioritization 1 = lowest / 7 = highest
Harmonization of CSR & Inclusion in the standard
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PAGE 17
Harmonization of Core Tools
6.0% 5.0% 6.9%
16.1% 16.1%
21.1%
27.5%
0%
10%
20%
30%
40%
50%
60%
1 2 3 4 5 6 7
Prioritization 1 = lowest / 7 = highest
Harmonization of Core Tools
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PAGE 18
Prioritization 1 = lowest / 7 = highest
12.1%
7.6% 9.4%
16.1%
11.2%
19.6%
23.7%
0%
10%
20%
30%
40%
50%
60%
1 2 3 4 5 6 7
Harmonization of internal audit
process methodologies
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PAGE 19
Prioritization 1 = lowest / 7 = highest
12.4% 12.8%
8.3%
15.1% 12.4%
17.4% 18.3%
0%
10%
20%
30%
40%
50%
60%
1 2 3 4 5 6 7
Specific requirements for
sub-tier suppliers
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PAGE 20
Prioritization 1 = lowest / 7 = highest
11.3% 8.0%
9.9% 10.8%
20.8%
17.0% 20.3%
0%
10%
20%
30%
40%
50%
60%
1 2 3 4 5 6 7
Improve correlation between audit results
and lack of performance
© 2016 - International Automotive Oversight Bureau Confidential – Please do not distribute or copy any of the materials without written permission
PAGE 21
Prioritization 1 = lowest / 7 = highest
4.7%
8.4% 9.8% 12.6%
19.1%
15.3%
26.0%
0%
10%
20%
30%
40%
50%
60%
1 2 3 4 5 6 7
Improvement of IATF Rules
© 2016 - International Automotive Oversight Bureau Confidential – Please do not distribute or copy any of the materials without written permission
http://www.iatfglobaloversight.org/content.aspx?page=IATF ISO/TS 16949 Revision Workgroup News
Please stay tuned to the IATF Global Oversight
website for updates
© 2016 - International Automotive Oversight Bureau Confidential – Please do not distribute or copy any of the materials without written permission
Problem prevention
• Stay focused on value and credibility of ISO/TS 16949
• ISO/TS 16949 revision process on-going – stay tuned to the Global Oversight website for updates
• Rapid growth of the automotive supply base in the Asia Pacific region is of key importance to the IATF
– Asia Pacific region Deep Dive Audits
– Increased Witness Audits
• Further strengthen the performance linkage among OEMs, Suppliers (all tiers), CBs, and Oversight Offices
Focus the Supply Base on more opportunities for systemic problem solving – preventing problems upfront.
© 2016 - International Automotive Oversight Bureau Confidential – Please do
not distribute or copy any of the materials without written permission
While I have your undivided attention…
Let’s talk about Warranty!
Confidential Information – ©2016 FCA US LLC
Why worry about Warranty?
Warranty reduction benefits both FCA US LLC and suppliers
• Provides short and long-term financial benefits – Reduces FCA US expense
– Minimizes supplier exposure
– Improves customer perceptions
• Accelerates continuous improvement (PDSA)
• Develops a more positive FCA US / supplier relationship
Confidential Information – ©2016 FCA US LLC
Why worry about Warranty?
Confidential Information – ©2016 FCA US LLC
It appears in ISO/TS 16949 and FCA US Customer-Specific Requirements
Why worry about Warranty?
It’s also a contractual requirement
8. GENERAL WARRANTY.
any warranties implied by law or otherwise made by Seller shall be determined in accordance with the Supplier Associated Warranty Reduction Program Policies and Procedures or any successor program or policies as published on the FCA US Supplier Portal
Confidential Information – ©2016 FCA US LLC
20%
20%
20%
20%
20%
Quality Delivery
Partnership
Cost Warranty
• 20% of the overall supplier score
• Aligned with the Supplier Associated Warranty Reduction Program (SAWRP)
Why worry about Warranty?
And it’s a performance metric
Confidential Information – ©2016 FCA US LLC
• Familiarize your company with the Supplier Associated Warranty Reduction Program (SAWRP)
• Implement a CQI-14 compliant warranty management process
• Review warranty data available from FCA US Warranty systems
• Visit the Parts Return Center regularly, obtain returned parts for analysis and respond to requests from QEC Warranty Specialists
Why worry about Warranty?
Confidential Information – ©2016 FCA US LLC
What’s expected of suppliers?
What is CQI-14?
• A guideline of industry best practices in automotive warranty management
• A development of a cross-functional task force (17 suppliers and 5 OEMs)
• The basis of FCA US’s associated warranty management requirements
Why worry about Warranty?
Confidential Information – ©2016 FCA US LLC
• https://www.aiag.org
• Customer service: (248) 358-3003
• International Customer Service: (877) 275-2424
Why worry about Warranty?
Where can I get a copy of CQI-14?
• eSupplierConnect: Supplier Warranty Management home page
• Direct e-mail: [email protected]
Where can I get more information on FCA
warranty requirements?
Confidential Information – ©2016 FCA US LLC