system audit requirement

VENDOR UPGRADATION MEET

LET’S MAKE THE THING HAPPEN

WELCOME FOR QUALITY UPGRADATION MEET



Purpose of Vendor Up gradation

Better understanding Customer specific requirements.

Positive approach towards enhancing Quality management system.

Surviving in Competitive market for better quality & Competitive Cost.

LOYAL SUPPLIER- CUSTOMER RELATIONSHIP.



Impacts of Vendor audit system rating Assessment audit score impact over all Vendor rating calculated by Supply chain

Good vendors got more opportunities in Increasing in share & new business.

Vendors can be given recognition for Best Vendor performance award.

Reduction in Vendor rating may impact the Current share & new Business. Even may lead to exclusion based on performance.

Re- audit will be done on chargable bases by MACE



Customer Voice



Voice of Customer MSIL Vendors to achieve minimum 70% of the score in system audit rating.

Vendors to meet QCDD requirements as per the Customer requirement.

Focus on processes, NPD & component revalidation..

More Emphases on (Quality is produced not inspected)

Vendor should comply the requirement of Customer complaints, Defects (QPCR), PPMS , On time delivery & Warranty returns as per the Customer needs & requirement



The new vendor audit system is Benchmarked with Suzuki & our Auditors are trained by Suzuki Audit Experts.

Suzuki started the new system in 2003 MARUTI started the same audit through MACE in 2004.

System audit check sheet contains Total 22 main items & 115 Sub items.

Total Marks – 209 & There is no partial marking allowed. (Marks can be given either full or zero)

Salient features of Vendor system audit.



Each item has either got 1 marks or 3 marks ( 3 for more important)

Total 4 man days are involved in System Audit.

Requirement check sheet sent in advance Two weeks before for Self assessment

MSIL Target to score minimum 70% for each supplier as most of our suppliers are certified to ISO/TS 16949.

Continued.



DETAILED DESCRIPTION OF CLAUSES.

Clause :- 01 Production Preparation (New parts, design change parts, new technology parts, factory transfer etc.)

Procedure: Production preparation addressing new part, change part development from receipt inspection to mass production stage.APQP activities matrix to used to prepare development plan. Review & main activity to be identified and monitored through Micro level Timing chartList of problems with countermeasures in PDCA format. Effectiveness of C/M to be checked.Guide line for FMEA. Cut off for RPN, occurrence and detection. Review frequency and event.Specs. meeting requirements to be added in development plan.



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Prodn. Preparation Phase (1)

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Change Points

1) Process Parameter Change ( e.g feed/ angle/ press./ temp etc)

2) Tool/ Die/ Machine/ Equipment change 4)Relocated Plant

3) Layout change 5) Supplier Change

6) Operator Change

Process Change

Prod. Preparation



Clause No.02- Initial Supply control. (Special control until the quality is stabilized after the start of mass prod's)

Initial supplies after sample approval ( up to 03 Month’s for New Parts / lots /quantities)

Additional (control) checking and preventive actions. (Follow up of Pre launch Control plan/PCS during Initial supply Control)

Objective : To overcome teething problems (to stream line supplies in terms of quality and quantity)

Display of process and sub vendors Initial supply control Tags



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I/C (2) I/C (2) I/C (2)

Period of I/C (Usually 3 months)

Extra Controls

Few e.g. of extra controls during I/C -Increased inspection itemsIncreased frequencyA combination of above twoFrequent Process capability (Cpk) evaluationsSupplier AuditsReaffirmation of operator skillsAdded roles & responsibilities of managers & supervisorsReduced cycles times for problem solving

Initial Supply Control



1) Cpk > 1.67

2) All problems occurring before SOP are resolved & a recheck done to confirm that they remain solved

3) Any new problem arising in I/C is also resolved

TERMINATION CONDITIONS

Initial Supply Control



Clause No.03- Initial product control. Control of new parts, design change parts, Process change parts, trial parts.

Definition of Initial product.

Identification of I/P

Inspection of I/P and retention

Tolerance standard for non given tol.

NC dealing procedure for I/P.

Check sheet to ensure availability of inspection report, FPP card etc.



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Defn of Initial Product (I/P):- The first piece/ part or lot or samplesfrom the first lot produced during prodn trial, mass prodn trial, after SOP of a new part or a change point.

Initial Products

(3) (3)

(3) (3) (3)

Initial Product Control



Clause No.04- Corrective & Preventive measure of defects.

Organization shall establish , the procedure of Handling of Customer complaints &In-house rejects addresses the communication of same to the operator immediately. How the Serious problems & Customer complaints informed to the Top Management. Organization shall establish, maintain & Implement procedure for handling of the problem analysis & countermeasure reported during Customer Claims, In-house defects & Supplier defects. Effectiveness of counter measure is being monitored & relevant docs revise as per the counter action raised.



Clause No.04- Corrective & Preventive measure of defects.

Horizontal deployment of the same action on similar process & is documented into the Countermeasure reports. Organization shall establish & display of actual quality results & how they are reducing the Defects. The Organization has maintained control register of Customer complaints , In-house Defect & supplier defects & effectiveness of the counter measure monitored Organization shall calculate Cost of poor quality ( Company wise as well as Department wise).



Clause No.05- Training & Education

Consider all level of people in organization (including the contractual workers,etc.) in training plan and monitor.

Training Plan vs. Actual ( Staff & Manager Level)

Link in Skill Matrix & training plan

Orientation / on the job training

Maintain training history ( Individual)

Training records (attendance, F/back)



Clause No.06- Quality Audit

Top management carry out the audit according to the procedure

Perform the Internal audit based on the annual audit plan

Quality policy and deploy it company wide

Decide the yearly quality target of company and each department and follow up the actual results numerically (money loss for defect ,number of cases and defect rate etc.)

Documented evidence of Internal quality audit ( NCR Report, Audit Audit Report, Audit Schedule )



Clause No.07- Supplier Control

Documented Procedures to instruct and educate the sub vendors Record the number of defect cases and contents etc. for every sub vendor. Compile the defect information Sub vendor-wise and perform the audit & training for the worst ranking sub vendors Supplier audit check sheet decided for Supplier audit when A parts, and functional parts/ processes are out source/ sub-vendor changed, do you inform Maruti Supplier Evaluation based on the selection standard? Prepare and exchange the inspection standard with your sub-vendor ?. Incase of the sub vendors with chronic defects and where no improvement has been observed despite repeated instructions, do you take action to reduce the supplies to achieve desired quality of parts



Clause No.08- Control of Drawing & Stds.

Controlling section for control of drawings/ engineering changes clearly defined in the procedure

Are the new, revised and old drawings clarified through a control register and do you control the latest one

Control the revision of related standards based on the changes to drawings

Collection of the old drawing copies or ensure that the old drawing copies is destroyed



Clause No.09 &10 -Control of Inspection standard & Process control standard & Operation Std.

Documented procedure for the the creations of Inspection std & authority of approvaldefinedcheck the records of any change in the process resulting in change of relevant procedure(Evidence related to customer complaints, ECN Change & Process change). Are their any boundary samples / Limit samples displayed on station for visualidentification Supplier has approved MIS-P (For MARU'A' Parts)

Control register for (Inspection standard & PCS) with revision number & date along withreason of change.Establish Linkages between the PCS, Inspection standards with the relevants documents.

Retention period of the old documents as per Maruti Guidence Manual.



ROUTE MAP OF QUALITY :

Quality of the Prod.

Machine

Jig

Fixtures

Tool

Material Method/ Process

Man/ Operator

Health of Operator

Skill of Operator

Morale of Operator

Maintenance

Incoming /Receipt Insp.

Insp. Stds, Control Plans

???

Observance (Implementation) of Operation Standards



Clause No.11- Observance ( Implementation) of operation standard

Is the operation carried out as per the standard Audit of operator by supervisor as per plan using check sheet

Is there any check on the operations/ activities carried out by the operator/ way of working etc. by the supervisor .

Is the quality check for the observance of operation standard carried out as decided and recorded.

( Similar activities has been carried out by MSIL named as MOS-K)



Clause No.12- Role of manager, supervisor

Roles & responsibilities of each manager & supervisor defined in normal & abnormal situation.

Responsibilities & Authority of each Supervisor & manager to be defined for production preparation, Initial supply control & Initial product control.

DWM shall be carried out for each individual ( Level from Supervisor & Manager)



A few of the daily responsibilities of the supervisor :Holding morning meetings Red Bin Analysis.Operator Change/ New Operator- TrainingCarrying out quality inspections of the product / process on a sampling basisEnsuring Operator is checking all the parametersWhile starting the work, check if the operator is checking machines, tools, poka yoke etc.Are there unwanted / suspect products lying on the ground Daily Plan vs. Actual

* Participation in new comp. Briefings & making Plans* Participation in evaluation meetings/ trials/ chekkai* Making plans for Mass Prodn.

Roles during New Dev. / I/C

Role of manager, supervisor



Clause No.13- Quality improvement of process

System to develop the Projects for Process Improvement & Defect free parts e.g. Vendor CFT conduct the audit & check the imperfect setting, wrong parts, inverse assembly & missing parts can be discovered.

Documented evidence of Projects initiated by CFT with Roadmap of improvement of Process imprecision.

Is there any scope of pokayoke / lay out change / material handling



Clause No.14- Control of manufacturing machine, jig & die

Supplier has a system in place to ensure that the Inspection item, frequency & criteria ofeach equipment defined & do the supplier perform daily & periodical inspection ofMachine, Jig & Die. Is the life of the cutting /regrinding tools , redressing tools & electrode dressing toolsdefined, check the record of the same.Documented procedure to check & correct the jig/tools/equipments in case of anydefective part is produced during production stage.Preventive & prediction maintenance checksheet of machine & equipment, check therecords of repair history of the same.Is the results & history of the machine & equipment recorded in the history sheet.



Clause No.15- Control of inspection equipment, jig, gauge

Recording of daily & periodical inspection of instruments with frequency , method &criteria of inspection.

Daily Instrument & equipment results are recorded in the checksheet.Documented procedure to check & correct the jig/tools/equipments in case of anydefective part is produced during production stage. Measuring equipment history sheet & records of repair in the same sheet if applicable.

Check all the equipment used during intial development are used at the time of Massproduction ( Check the Intial inspection standards,Operation std & verify as per thecurrent situation)Documented procedure mentioning the responsible person of handling & control ofmeasuring equipment.Calibartion stickers are displayed on each instruments mentioning due date of calibartion



These are the AFI’S (Area for Improvements) to improve in the weak areas to achieve minimum requirement of 70% of Customer.

We have not received the Countermeasure action plan re-audit from most of the supplier’s, where a audit has been carried out.

( Only 05/ 21 Nos. of Suppliers submitted their Counter measure action plan which are present here)

FOCUS AREA



Clause no.16- Statistical method

Organization shall establish SPC manual and application of SPC.

Use SPC at the time of problem solving

Decide inspection plan based on the Cp / Cpk (Review all the sampling plan Review control limit as per SPC study



Clause No.17- Prevention of missing process, wrong assembly.

Mix up possibilities (RM/WIP/FG) identification

Temporary storage (Identification, Work instruction)

Fool proofing installation as per FMEA

Functional checking of Fool proofing

Horizontal deployment of Fool proofing



Clause No. 18- Control of non conforming product

Check whether the Non conforming & ok product are identified with tags.

Check whether the reason of Non conformance defined on the Non conforming parts.Is their documenetd procedure for the disposal of non conforming parts with the resposnibilityof approving & disposal of Non conforming products.Check any evidence of non conforming product found during production are traced back toWIP Product, Finished goods & at customer end. Is there is any documented history madeavaialble



Clause No. 19-Storage of product

Check whether handling of finished goods, WIP & BOP Parts protected from rain & preventsfrom Rust, dust & moisture.Any pacakaging standards defined along with customer & performed accordingly ( Check anypackaging standards with pacakaging conditon & transportation).Checck the condition of packaging, should be free from any contamination

Check is there is any chances of damage of packaging material during transportation.



Clause No. 20- FIFO FIFO to be practice for Raw material storage, WIP & Finished

parts.

Identification tags comprising of Part Name, Number, qty, Manufacturing date etc. specified on Material.

Old stocks (Expired) at location



Clause No. 21- History Management (MARU “A” parts)

Establish & maintain a batch codification system for product traceability & display of daily Batch code near the process station

Establish a system to trace & search the manufacturing date, manufactured parts quantity during field failures.

Maintain Repair history records of reworked items for future Reference.



Clause No. 22- Implementation of inspection

Check the records of inprocess inspection & Final inspection as per the Standards available.

Check the acceptance criteria of BOP Parts & recording of the same as per the Inspectioncriteria.Check whether the Inspection items, frequency , method of inspection aligned as per the MIS-P& relevant stanadards.

Check all the Mis-p requirement are covered in the PCS.



THANKS

system audit requirement

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