supplier quality manual sample

8/6/2019 Supplier Quality Manual Sample

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Issuing Department Supplier Manual

Purchasing No.: FMISQM - 01 Rev.: 1 Rev. Date Nov 19,2007

Page: 1/16

Description: Supplier Management Guidelines Date of Issue: Mar 29, 2007

Approval Approval

Bill Sutton Darren Omstead

Purchasing Manager Corporate Quality Manager

Mar 29, 2007

SUPPLIERQUALITYMANUAL


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Issuing Department Supplier Quality Manual

Purchasing No.: FMISQM - 01 Rev.: 1

Description: Supplier Management Guidelines Page: 2/16

Confidential. All rights reserved. No part of this document may be transmitted or reproduced without theprior written permission of Fleetwood Metal Industries.

Print Date:

19.11.2007

Revisions

Revision State Short Description Name Department Date

Rev.00 First Edition J. Zmuda QAMar. 29,

2007

Rev 1Added Bar code label

requirementsJ. Zmuda QA

Nov. 19,

2007


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Supplier Quality Manual

Between Fleetwood Metal Industries (hereafter referred to as FMI)

and its suppliers

( hereafter referred to as supplier)

FMIIntroduction

This Supplier Quality Manual (SQM) is provided to assist you, the Supplier, inunderstanding your responsibilities to FMI as part of the contractual agreementbetween FMI and its suppliers (for both products and services).

Suppliers are responsible for the Quality and Delivery of their Products and Services.

Our Suppliers are expected to provide Products or Services with:

Zero Quality defects,

100 % on time Delivery performance with zero disruptions and

on time responsiveness to issues.

This Supplier Quality Manual is based on ISO 9001 and the Automotive IndustryAction Group specifications (AIAG). FMI expects its suppliers to fully implement theprocesses and methods set forth in the Supplier Quality Manual, as well as fullcompliance with the requirements described within.

FMI expects its Suppliers to develop and maintain a registered Quality System thatmeets the requirements of ISO 9001:2000 with a goal of achieving ISO/TS16949:2002.

Acceptance of FMIs Purchase Order or First shipment of product, constitutesacceptance of the Requirements set forth in this manual as well as Terms and

Conditions set forth in the Purchase Order.

Bill Sutton Darren Omstead

Purchasing Manager Corporate Quality Manager


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Table of Contents

1 Purpose .............................................................................................. 52 Scope of application ......................................................................... 53 Distribution ........................................................................................ 64 Documents and Documentation ...................................................... 65 Supplier InitiatedProcess Changes................................................. 76 Supplier Evaluation........................................................................... 7

6.1 Auditing of Suppliers.76.2 Supplier Audits8

6.3

Supplier Evaluation: Performance Measureables ................................... 8

6.4 Management of Sub-suppliers ................................................................... 97 PPAP Requirements.......................................................................... 9

7.1 Quality Planning........................................................................................ 107.2 Test Planning (Product/Process)............................................................. 107.3 Measurement and Test Equipment.......................................................... 11

8 Production Process Control........................................................... 118.1 Reference Parts/Samples ......................................................................... 128.2 Storage/Transport ..................................................................................... 12

9 Non-Conforming ( Discrepant ) Product.129.1 Handling of Discrepant Product .............................................................. 129.2 Processing of Supplier Complaints......................................................... 139.3 Cost Recovery Process 139.4 Poor Supplier Performance..149.5 Escalation Process.14

10Environmental Protection and Hazardous Materials.................... 1511Validity period of this Supplier Manual ......................................... 1512 Supplier Acknowledgement ..16


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1 Purpose

This Supplier Quality Manual describes the basic Supplier Management guidelinesbetween the Supplier and FMI regarding product and process related quality data,proper corrective measures and change management.

2 Scope of application

This Manual applies to all current and new suppliers who provide raw materials,purchased parts / components and sub-contracted services incorporated into the finalproduct at FMI. These Suppliers are listed on FMIs Supplier A-List.

The responsibility to deliver quality purchased parts and services on time lies with theSupplier.

Equally, the supplier is obliged to assure adherence to the requirements stated in theSQM by its own sub-suppliers.


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3 Distribution

A copy of this manual and related supplier forms is available and readily accessiblethrough the Fleetwood Metal Industries homepage at : www.fleetwoodmetal.com

4 Documents, Documentation and Records

FMI is obliged to provide the supplier with the latest version of specifications and/orhas to inform the supplier of any changes. Upon receiving any documents (e.g.product specifications, specifications, drawings, parts lists, CAD data), required for

development and planning, the supplier is to check them for completeness, possiblecontradictions in general, and in regards to their application. Concerns have to becommunicated to FMI immediately for clarification.

The supplier is responsible for the active procurement of missing documents.

Unless additional requirements have been set forth by FMI and the supplier,specifications and supporting Quality records have to be retained and stored for atleast one year after service requirements terminate. Upon request, FMI has the rightto review supplier documents and records at the suppliers site.

The suppliers documents are to include at a minimum: Lot traceability information specific to raw material and purchased parts

heats or lots

Test results for products and services

Test equipment calibration records

Training records for personnel to show qualification.

Process and product change records.

.


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5 Supplier Initiated Process Changes

Suppliers shall not make any type of change without prior written notification andapproval from FMI.

FMI must be informed immediately when the supplier does not comply with thespecifications agreed upon (e.g. test procedures, test equipment, process sequence,deadlines, quantities, packaging, drawings and agreements pertaining to product andprocess quality). In addition, a written approval by FMI Quality Management isrequired for any changes.

The Supplier shall inform the Purchasing and Quality Departments of FMIimmediately prior to:

making changes to the production/manufacturing process,

making changes to materials or vendor parts,

the use of a new/changed tool,

moving manufacturing locations,

a change of test equipment and test procedures,

changing sub-suppliers and suppliers of primary and interim products,

packaging or labeling changes.

This will allow FMI to examine the impacts to FMI and its customers prior to changesbeing implemented. Appropriate measures may be taken (e.g. renewed sampling,auditing of new/changed processes/manufacturing locations). In addition., PPAPsubmission and approval is required .

6 Supplier Evaluation

6.1 Quality System RequirementsThe supplier has to provide proof of a certified Quality Management System that meetsor exceeds the requirements set forth in ISO 9001:2000. FMI has a goal to develop itssuppliers to meet the requirements of ISO/TS 16949:2002


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6.2 Supplier Audits

FMI reserves the right to perform an onsite process / system audit at any time whenselecting a supplier or to verify effectiveness regarding corrective and preventiveactions. Advanced notice will be given prior to such a visit.

FMI may forgo audits in the following cases;

Proof of a current 3rd-party certificate (by an accredited certificationauthority).

Proof of an effective implementation of measures specified during aprevious auditing process and/or proof of an actively pursuedimplementation plan.

Suppliers shall inform FMI about intended changes (re-certification, higher qualifica-tions, expiration of certificates or loss of certification, and must do so in a timely fash-ion).

In addition, Suppliers shall inform FMI of special status conditions such as NewBusiness Hold, Quality Needs Improvement status or Q1 revocation by the BigThree ( Ford, GM or Daimler Chrysler )

FMI may schedule process/product or QMS audits where ;

supplier performance for quality or delivery does not meet FMIsexpectations.

new or changed processes are being implemented.

Significant change in the suppliers management, or mergers oraffiliations have taken place.

6.3 Supplier Evaluation: Performance Measureables

FMI measures the suppliers performance as follows:

Product Quality.

Delivery Schedule Performance ( including incidents of premium freight ),

Quarterly reports are issued to all Suppliers detailing Quality and DeliveryPerformance

Suppliers are required to maintain a 100% Quality and Delivery rating. Suppliersfalling below 90% will be asked to provide a documented corrective action plan.


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FMI also tracks Supplier issues pertaining to:

Customer Disruptions and Field returns,

Special Status Customer notifications incurred by the supplieri.e. ( GM CS1 or CS2 )

Failure to implement effective corrective action with supporting performanceimprovements may lead to the supplier being removed from the FMI ApprovedSupplier A-List

6.4 Management of Sub-suppliers

Unless otherwise stated, it is the sole responsibility of the Supplier to choose its sub-suppliers. The supplier is responsible for any tasks related to the management of sub-suppliers.The supplier ensures early involvement of the sub-suppliers in any requiredactivities.

7 General PPAP Requirements

The purpose of PPAP ( Production Part Approval Process) submission is to ensurethat all part requirements are understood by the supplier and that the suppliers proc-ess has the potential to produce compliant product consistently .

FMIs Purchasing Department initiates a Purchase Order to the supplier when new orrevised product is ordered. The Purchase Order will list PPAP as a requirement.

Suppliers are responsible for preparing and submitting PPAP packages to FMI priorto shipping production-intent product

Suppliers are also responsible for managing their sub-supplier part approval processensuring that they conform to AIAG requirements.

All Suppliers of new or changed products or processes must meet all requirements ofAIAGs PPAP manual.

FMI Quality Engineer communicates and documents specific requirements to the

supplier for PPAP for each part on a PPAP Checklist.PPAP submissions shall be to AIAG Level 3 requirements, unless otherwise speci-fied. Initial Sample Parts must be from Production tooling and environment utilizing allproduction materials or services.

Full dimensional verification of 5 parts per tool or cavity taken from a 300piece production run.


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A sample Bar Code label meeting the requirements in Paragraph 8.2.

Master Sample part is to be provided to FMI,

Performance test results on one part for coatings; 5 parts for welddestructs on spot welds or fasteners.

Process Capability from sampling of 100 individual pieces from 300 pieceproduction run. PpK or CpK of 1.33 minimum is required.

Additional Tier 1 Customer Specific requirements will be communicated tothe supplier by the responsible FMI Quality Engineer.

7.1 Quality Planning and Change Control

In order to meet the quality requirements set forth by FMI, comprehensive and timelyquality planning is required in cooperation with the Supplier.

The implementation of activities at the Suppliers location is to follow the AIAGAdvanced Product Quality Planning Handbook (APQP) if no comparablespecifications and regulations for a quality management plan are in place. The APQPHandbook describes the minimum requirements.

The supplier is responsible to create and assemble all documentation on the PPAPchecklist and submit the PPAP package to FMI Quality department by the agreed

upon date for evaluation.

7.1.1 Initial Shipment of Parts

The FMI Quality Engineer will communicate the labeling requirements for sampleparts for all event builds. The FMI Quality Department labels the parts with FMI Engi-neering Materials tag, QA-110, on receipt.

Once the PPAP Approval has been granted, the initial shipment of new or changedparts to each of FMIs manufacturing locations must be identified with a brightcolored 8 x 11 label stating 1st Shipment of New Parts

or

1st Shipment of Revised Parts.

7.2 Test Planning (Product/Process)

The Supplier coordinates the production and test requirements, as well as any checkfixture concept with FMI. This applies to prototype, pre-production and production parts.In addition, the Supplier is to provide proof of compliance with test specifications. The


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test planning is to be based on the technical requirements. The tests are documented

in production process control plans or other agreed upon format with FMI.Control Plans contain important characteristics pertaining to product and process. Inaddition to the specifications set forth by FMI, they include the suppliers own inputsand requirements.

Within the scope of the approval process (AIAG PPAP Manual), the results have tobe reviewed by the responsible FMI Quality Engineer.

If visual, boundary or limit samples are required to make quality check decisions, thenthe Supplier is to submit those samples to the FMI Quality Engineer for approval.

7.3 Measurement and Test Equipment

When selecting the test equipment for the respective measuring purposes/processes,the Supplier is to comply with the specifications set forth in the AIAG MeasurementSystems Analysis Manual.

The Supplier is required to prove reliability and accuracy of the measuring and testequipment used.

In addition, the Supplier is to show that the test process is suitable for the respectivetest purpose.

Unauthorized changes to the test equipment (by the supplier) are not permitted.

The test equipment has to be included in the Suppliers test equipment monitoringand calibration process.

8 Product Inspection and Process Control

Records of ongoing process and product control must be available to FMI on request.The Supplier must immediately analyze possible causes, take corrective measuresand prove effectiveness of such measures in case of failure.

Suppliers shall allow FMI, its customers or customer representatives the right to verifyat the Suppliers premises that the purchased product or service meets specified

requirements.The Supplier is obliged to have a system in place that covers tool management forregular and preventive maintenance/repair for equipment and tools. Toolmanagement and tool changes are expected to be documented.


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8.1 Reference Parts/Samples

Upon completion of a production lot, one Last-off piece is to be retained as a referencesample. The quality of the last production parts is to be compared to the quality set forthin the specifications and Control Plans.

Upon detection of defects, the supplier must determine the affected quantity, containthe parts and rework and/or scrap them. Rework procedures must be available at theRework station. A test of the parts, equivalent to the one carried out during the normalproduction process, is done after the rework to ensure acceptable quality level.

Where there is the possibility that defective product has been shipped to FMI, theSupplier is expected to notify the using location(s) and provide containment.

8.2 Handling/Storage/Packaging and Delivery

The Supplier is obliged to use appropriate means and methods of handling , storage,packaging and delivery methods so as to avoid adverse affects on product quality.

Unless otherwise specified, packaging is the responsibility of the Supplier.

All product shipped to FMI requires an AIAG approved , legible barcode labelcontaining at a minimum;

Part Number

FMI Item Number

Engineering LevelManufacturing / Ship Date

Lot Number / Heat Number

Quantity

Note: The Bill of Lading will contain the above information including Quantitiesper Lot number for traceability purposes.

9 Non-Conforming ( Discrepant ) Product

9.1 Managing Discrepant Product

Non-conforming or discrepant product is defined as a deviation from drawing orpurchase order requirements such as quality, appearance, packaging, material,labeling, quantity, handling, shipping, delivery, cleanliness ,dimensional orperformance issues.


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Products, which have been deemed defective at the suppliers facility (incl. those

caused by a sub-supplier), must be managed appropriately to protect FMI fromreceiving discrepant material.

Unless it can be ruled out that defective parts have been delivered to FMI, the FMIquality department at all using locations, must be informed immediately to determinesuitable measures and containment.

This also applies to defects detected at a later date. Instructions by the FMI qualitydepartments concerning containment and repair are to be followed. To allowtraceability, the supplier must submit supporting data to FMI.

The FMI Engineering and Quality Department may approve deviations fromspecifications, where adverse effects for function, durability, or safety are not to be

expected. These special releases are only valid for a limited delivery period orquantity and must be documented properly between the supplier and FMI.

9.2 Processing of Supplier Complaints

Upon detection of defective purchased parts (or service) at FMI, a SupplierComplaint, Form QA-101 is initiated and e-mailed to the Supplier. Phone contact ismade with the Supplier and decision is made in cooperation with the Supplier (and ifnecessary with the sub-supplier) regarding the handling and containment of suchparts. An RMA number is requested at this time.

This decision may entail;

the immediate return of the entire shipment to the Supplier (if necessaryin cooperation with a FMI Quality Manager). Replacement certified stockis expected in a timely manner so as not to cause disruption toProduction.

sorting by a third party provider. (Rework requires FMI Quality approval )Use of 3rd Party to sort/rework defective product does not relieve theSupplier of their responsibility for the Quality or Delivery of product.

sorting measures at FMI and possible rework by the Supplier at FMI (with

FMI Quality concurrence). Costs incurred by FMI will be recovered fromthe supplier.

Corrective measures for any detected issues must be communicated to FMI usingthe FMI Supplier Complaint Form, QA-101.

When processing a Supplier Complaint form, the Supplier must communicate with theissuing FMI location:


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Interim containment measures within 24 hours of receipt of the complaint.

Permanent corrective measures within 15 days of receipt of the SupplierComplaint., unless otherwise agreed upon by the issuing location.

Until the corrective measures take effect, FMI may request additional measures (e.g.increased test frequency). The Supplier is responsible for any additional expensesresulting from these measures.

9.3 Cost Recovery Process

FMI will identify any Costs associated with the complaint using FMIs Supplier Cost

Recovery Form QA-224. FMI Purchasing will review and approve the CostRecovery and debit the Supplier for the appropriate costs incurred.

9.4 Poor Supplier Performance

In case of non-compliance with the goals set forth, the Supplier must establish a planfor improvement and submit the plan to FMI Purchasing. Failure to implementeffective corrective actions for Quality or Delivery performance will lead to removalfrom the FMI A-List as an approved Supplier.

9.5 Escalation Process

9.5.1 Chronic Supplier Issues at FMI Plants

For severe/critical failures (Criteria: repeated occurrence and/or risk of productionshutdown and/or customer complaint). FMI reserves the right to place the supplier onLevel 1 or Level 2 containment as noted below:

Level 1: 100% inspection of outgoing goods at the supplier for a minimumof 20 days (or a minimum of 3 consecutive shipments) withoutdefect. Supplier is to maintain inspection records and provide

those records to FMI

Level 2: 100% inspection of outgoing goods at suppliers facility utilizing asupplier funded certified Third party for a minimum of 20 days (or aminimum of 3 consecutive shipments) without defect. Supplier isto maintain inspection records and provide those records to FMI.


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10 Environmental Protection and Hazardous Materials

The Suppliers must meet or exceed the legal and regulatory requirements whenoperating their facilities.

It is the Suppliers responsibility to determine and effectively implement appropriatemeasures that are required to abide by national and locally applicable laws andregulations and to do so in an effective and timely manner.

Records of Compliance to applicable legal and regulatory requirements are to beprovided to FMI on request.

11 Validity period of this Supplier Quality Manual

This Supplier Quality Manual is valid and in effect for the duration of the awardedbusiness between the Supplier and FMI.

Revisions to the SQM will be forwarded to suppliers as they become available.


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12 Supplier Acknowledgement

Dear Supplier,

Fleetwood Metal Industries has developed this Supplier Quality Manual in an effort tocommunicate, clarify and document our requirements to all current and futuresuppliers. A revised copy of this Supplier Quality manual will be provided to you when

revisions have been made.

The current copy of the Supplier Quality Manual is attached. Please review and retainand distribute reference copies as appropriate. Refer any questions or concerns tothe FMI Purchasing Department.

It is requested that Supplier representatives sign and date this acknowledgement andfax a copy to the attention of:

Purchasing Department; Fax; 519-737-1723

We have received the FMI Supplier Quality Manual and understand and agree to the

contents and conditions specified therein.

Supplier Name:_____________________________ Location:_____________

Quality Manager:____________________________ Date: _______________

Print Name:____________________________

Plant Manager :_____________________________ Date:________________

Print Name: _____________________________