2. Quality Objectives How Do We Measure Them? This training aid gives you an overview of how the VSE Quality Objectives are currently measured. To advance each slide, wait until the advance button appears and then left mouse click once.

3. BackGround Key Performance Measures (KPMs) are used to monitor how well various processes and procedures are performing. These KPMs included measures such as Total Revenue, No Cost Overruns, Rating our Venders, Generating Quality Records, etc. KPMs are documented in the current year Audit Plan.

4. BackGround Each KPM is directly related to one of the two corporate quality objectives. These performance goals are used to measure how well our Quality System is doing, by first measuring how well we accomplish our quality objectives. The following slides indicate how this process is used to support our basic company goal of CUSTOMER SATISFACTION.

5. Customer Satisfaction … Is the ultimate goal of any business. … What is needed to accomplish this goal? … A Quality Policy.

6. VSE Quality Policy VSE Corporation, through the effective use of our continuously improving Quality Management System, is committed to provide quality products and services that meet the needs, expectations and requirements of all of our customers at a fair price.

7. Quality Policy Customer Satisfaction … How do you know you have accomplished the Policy? … Through the attainment of several measurable objectives.

8. VSE Quality Objectives Continuously improve the Quality Management System through employee involvement and process improvement. Provide quality products and services that meet all of our customer requirements, needs, and expectations at a fair price.

9. Quality Policy Quality Objectives Customer Satisfaction … How do you know you have met these objectives? … Through periodic internal audits.

10. Internal Audits Internal audits are conducted throughout the year. These audits are used to document each business unit’s ability to directly support and meet the quality objectives. These audits are conducted in accordance with corporate procedure QMP-107. Records are retained by the VPQ.

11. Quality Policy Quality Objectives Performance Goals Customer Satisfaction … How are the Business Units Supported? … By the Staff Support Offices.

12. Staff Support Offices The Staff Support Offices (i.e. HR, Purchasing, Accounting, etc.) indirectly support the quality objectives by directly supporting the business units in their daily operations. Each Staff Support Office provides valuable assistance with Purchasing of material, Cost Accounting and Payroll, Hiring of new Employees, and other issues that are required to achieve our external customer contract requirements. Each Staff Support Office is evaluated annually in accordance with corporate procedure QMP-105.

13. You have now seen how the Business Units DIRECTLY support the quality objectives, while the Staff Support Offices DIRECTLY support the Business Units. Through this mutual support system overall objectives are accomplished as a TEAM … working together to carry the load of customer satisfaction … Let’s review the support cycle from the top to the bottom.

14. Quality Policy Quality Objectives Business Unit Performance Review Customer Satisfaction Staff Support Office

15. RECAP: Business Units directly accomplish the quality objectives by providing products and services to our external customers. These units are measured through internal audit results (QMP-107). Staff Support Offices indirectly support the quality objectives through direct support of the Business Units. Support includes hiring new employees, procuring materials, paying bills, modifying contracts, arranging for office space, and preparing proposals. Staff Support Offices are evaluated on an annual basis (QMP-105).

16. VSE Quality Objective Measurement Hope this Training was Helpful. … In the words of the Jedi Master, Yoda … “Pass on What You Have Learned.”