1. ISO/TS 16949:2002

2. Expiration of QS-9000
ISO (Geneva, Switzerland) has stated that QS-9000 has been extended by 3 years, and will expire on 14 December, 2006
ISO has indicated that there is virtually no chance of additional extensions, nominally, the ISO 9000:1994 standard embedded within QS-9000 will expire 15 December, 2003.

3. Two Key Organizations International Automotive Task Force
International Automotive Oversight Bureau

4. Purpose of the IATF
Develop consensus for international quality system requirements (automotive)
Develop policy & procedure for registration
Provide appropriate training
Serve as formal liaison

5. IATF Members Authoring Organization of ISO/TS 16949 includes:
Vehicle manufacturers: BMW, DaimlerChrysler, FIAT, Ford Motor, GM, PSA, Renault, Volkswagen
Industry trade organizations: AIAG, ANFIA, FIEV, SMMT, VDA
Guest members: JAMA
Here’s the main players of IATF! IATF has 13 voting members. OEM car makers include: BMW, DaimlerChrysler, FIAT, Ford Motor, General Motors, Renault, PSA(PeugeotCitroen), Volkswagen….
National Trade assoc. include: AIAG (North America), ANFIA(ITALY), FIEV(FRANCE), SMMT(UK), and VDA(GER).

6. IATF Oversight ANFIA, IAOB, IATF-France, SMMT, VDA-QMC
Implementation of IATF registration scheme and rules via a common process
Witness audits
Auditor qualification training and exam
Monitor CB/auditor performance
Apply and implement IATF policy and decisions
Coordinate special projects and work teams
Develop sanctioned interpretations and recommendations for improvement
Database management
Oversight – 5 regional offices covering the global automotive scheme. READ MAIN Bullets.
-Oversight through a common process approach has operations management and implementation responsibility of ISO/TS

7. Purpose of IAOB Implement and manage 16949 registrations
Manage and coordinate with IATF Europe
Support further global consistency
Develop and maintain central database

8. Which Car Manufacturers Will Accept ISO / TS 16949?
The users of -
QS US Big 3
VDA German
AVSQ - Italian
EAQF - French

9. Why Upgrade to TS? From the OEM subscriber’s view:
TS 2nd is based on the current ISO 9001:2000
Includes Customer Specifics to achieve conformity
Improved control of the auditing process
Reduced audit variation
Better control of certification and its value
From the OEM perspective. In addition to the revised req’ts doc., only certain CBs have been selected to participate in this program. And as mentioned earlier auditor qualification has been strengthened. As a result there is better control and audit variation should be reduced. /OEM's have customer-specific requirements, either written or in the purchase agreement, which, if applicable become part of the basis for the audit along with TS requirements. These Customer Specifics are as essential requirements as the standards catalog itself. In addition, some of the issues the IATF also needed to address included: poor-performing suppliers still certified, suppliers having on-going open findings existing over extended periods of time and still certified / lack of evidence of supplier organization improvement over time.

10. Why Upgrade to TS? From the supplier’s point of view:
Reciprocal recognition (one size fits all)
Vocabulary is consistent with ISO 9001:2000
Process audit is aligned with the way the automotive business is run
Continual improvement from earlier requirements documents (e.g., TS 1st, QS-9000, EAQF, AVSQ, VDA 6.1)
Closer oversight – greater value in certification
Organizations should understand that if they become certified, they could be acceptable suppliers to any OEM participating in the ISO/TS 16949, IATF recognized scheme. Organizations should understand that a special auditor qualification program exists, and they have every right to demand to see valid credentials. After all, it's their money.
Consistent with ISO 9001:2000, the documentation requirements are less prescriptive.
As mentioned previously in the discussion of “Scope”, organizations should also recognize that there are some QS-9000 certified companies who do not meet the scope definition of ISO/TS 16949, despite what a CB or auditors might tell them.

11. ISO/TS 16949:2002 Addresses Significant QS-9000 issues
The Oversight process
Tighter registrar control than with QS-9000 Accreditation Body method, and higher quality auditors
International recognition of ISO/TS 16949:2002
The Multinational OEM authoring group reduces the number of certification requirements in Europe, and therefore cost
ISO/TS 16949:2002 is based on and includes ISO 9001:2000
ISO 9001:2000 includes strengthened management reporting, continuous improvement and customer satisfaction metrics (aligned with Q1 2002)
Are there implementation strategies?
What is the strategic direction of the IATF and OEM’s who subscribe to this document and participate in recognition?
These are some of the general issues we will also address.
Note we will use the term “supplier” in generic terms not in the strict definition of ISO 9001:2000, (i.e.“organization”, which is the site seeking compliance or certification)

12. Eight Principles Customer focus Leadership Involvement of people
Process approach
System approach to management
Continual Improvement
Factual approach to decision making
Mutually beneficial supplier relationships

13. Introduction The goal of this Technical Specification:
development of a quality management system
provide for continuous improvement
emphasize defect prevention
reduction of variation and waste in the supply chain

14. Through industry standards - ISO9001:2000 & ISO/TS16949:2002.
“The intent of this international standard is to encourage the adoption of the process approach to manage an organization.”
Process approach - “for organizations to function effectively, they have to identify and manage numerous interrelated and interacting processes. The systematic identification and management of the processes employed within an organization and particularly between such processes is referred to as process management.

15. How Will the Audit Change?
Process audit approach
Automotive application
Line of sight from the organization to the customer
Audit plan
Identification of key processes impacting the customer
Based on the processes as defined by the organization
Performance
Linked to common metrics for
Organization
Supplier
Oversight
Adherence to the “Rules” and Common Global Process
The process approach means an audit focusing on the
Customer-Oriented-Processes within the organization, and also on the support processes that feed them, whether on-site or not. Process inputs and outputs should be defined by the organization, as part of their system description. /Without this information, an audit cannot be planned properly. /The automotive business is about product realization and market distribution. ISO/TS is focused on quality system capability for achieving product realization goals with the customer - Performance is critical!!!!
Organizations should also understand that they have every right (as a matter of fact, it's their job) to ensure that the auditors have a plan and present clear, well written findings. If they don't, the organization should challenge the audit team, and if not resolved advise OVERSIGHT!

16. Continual Improvement Cycle
Management
Responsibility R E Q U I M N T S S A T I F C O N C U S T O M E R C U S T O M E R
Resource
Management
Measurement,
Analysis
& Improvement
C.I.
Product
Realization
Inputs
Outputs
Product

17. Scope and Applicability
ISO / TS 16949
Scope and Applicability
Applicable to production and service part supplier sites that are providing:
Parts or materials
Heat treating, painting, plating, other finishing services
Other customer specific products
May also be applied throughout supply chain

18. What’s New (and Different)
Based on ISO 9001:2000 not ISO 9001:1994
Greater focus on the customer and customer satisfaction
New focus on the “Process” approach vs. the “elemental” approach
Clarification of requirements for continual improvement

19. New and Different (Cont.)
Greater emphasis upon the role of top management
Measurable quality objectives
Reduced emphasis on documented procedures

20. New and Diff. (Cont.) Modification in the purpose of internal audits
Use the “Deming Cycle” of Plan, Do, Check, and Act as a basic methodology
Process Conrol and improvement is expanded from product to include all activities of the organization.

21. ISO 9001 Supply Chain Terms Was Subcontractor in QS-9000
Was Supplier in QS-9000

22. Automotive Specific Terminology
Adds sector terminology
Control plan
Design responsible org.
Error proofing
Laboratory
Laboratory scope
Outsourcing
Predictive maintenance
Premium freight
Remote location & “site”
Special characteristics
Modifies ISO terms
Continual improvement
Manufacturing

23. 4.0 Quality Management System
ISO 9001 Core Sections
4.0 Quality Management System
5.0 Management Responsibility
6.0 Resource Management
7.0 Product Realization
8.0 Measurement, Analysis & Improvement

24. Permissible Exclusions
ISO / TS 16949
Permissible Exclusions
The only permitted exclusions may be in 7.3
Where the organization is not responsible for product design and development
Permitted exclusions do NOT include manufacturing process design
Justified with details in the quality manual
Conformity should not be claimed otherwise
Only IATF will prescribe authorized exclusions for vehicle assembly plants

25. Mandatory Procedures ISO 9001:2000 ISO/TS 16949:2002
Control of Documents
Control of Records
Internal Audit
Control of Nonconforming Product
Corrective Action
Preventive Action
ISO/TS 16949:2002
Laboratory
Field Service (i.e. Warranty)
Training

26. Key Differences between QS-9000 & TS16949
TS16949 focuses on the business processes required to satisfy customer requirements (The “Process Approach”).
QS-9000 follows the 20 elements (The “Conformity Approach”)
Process audit (TS16949) vs. documentation audit (QS-9000)

27. Contrast between QS-9000 & TS-16949:2002
(Procedure Based)
TS-16949:2002
(Process Based)
Procedures Are:
Driven by task completion
Issued
May be completed by different departments with different objectives
Are segmented
Satisfy the standard
Define the sequence of steps to perform a task
Static
Processes Are:
Driven by desired output
Managed
May be completed by different departments with the same objectives
Flow to conclusion
Satisfy the stakeholders
Transform inputs into outputs
Dynamic

28. Management of Processes1 2 3 4
Functional Goals
Process 2 1 2 3 4
Process 1
Process 3
Process 4
Process goals
A FUNCTIONAL ORGANIZATION
WITH PROCESS OVERLAYS…

29. approach to management?
So what is the process
approach to management?
Recognizes:
All work is performed to achieve some objectives
The objective is achieved more efficiently when related resources and activities are managed as a process
Objectives of the organization which serve to meet its mission will be met more effectively when the organization is managed as a system of interrelated processes.

30. The Process Approach Purpose Objectives Risks Inputs Process Outputs
Stakeholder Wants & Needs
Specifications
Schedule/Timing
Market Data
Industry Trends
Economic Conditions
Products
Information
Results

31. Process Mapping

32. Process Mapping How do I get started mapping????
First map out our processes at your location at the macro level
Identify the process owner
Map out your processes at the micro level that support the processes at the macro level

33. Process Mapping You will need to identify The inputs to your processes
The outputs of your processes
And then map out the activities in between that define the processes
You might find sub processes
Identify metrics to measure the effectiveness of your processes (must tie to the process objective)

34. Process Mapping
Identify your customers and your process objectives/outputs (TS16949 section c)
Internal (other processes) and External customers
Show interactions between the various processes

35. Process Mapping
Identify your customers and your process outputs (TS16949 section c)
Physical products
Documents
Information
Services
Decisions
On time to schedule
Meet profit margins

36. Process Mapping
Identify suppliers to your process (internal and external) (TS section c)
What are their inputs to your process
Other processes
Labor
Material
Ideas
Information
Environment
Procedures, Forms, Documents, Records

37. Process Mapping
Identify support to your processes (TS16949 section c)
Human Resources
Training
Purchasing
Finance
Quality Assurance
Etc.

38. Process Mapping Establish a goal against which to measure your metrics
You will need to monitor your metrics and implement corrective actions if you don’t meet your goal
Look for opportunities of continual improvement to improve your processes

39. Process Mapping Identify risks to the process and the objectives
Compressed Timing
Failure to meet schedule timing
Incomplete customer requirements
Test/performance failures
Rejected approvals (appearance, PPAP)
Underestimated costs
Premium freight

40. Process Mapping Flow chart the process. Note:
Indicating forms/records to be filled out at each step of the process can eliminate or reduce the need for procedures to document activities at each step.
A well done flow chart can eliminate the need for a procedure to describe the process.

41. Questions to Help with Mapping
Purpose
Why does this process exist?
What is the purpose of this process?
What is the outcome?
Outputs
What product does this process make?
What are the outputs of this process?
At what point does this process end?
Customers
Who uses the products from this process?
Who are the customers of this process?
Inputs/Suppliers
Where does the information or material you work on come from? Who are your suppliers?
What do they supply?
Where do they affect the process flow?
What effect do they have on the process and on the outcome?
Process steps
What happens to each input?
What conversion activities take place?

45. What About the AIAG Reference Manuals?
The AIAG reference manuals (PPAP, FMEA, MSA, APQP & SPC are still viable documents.
References to these manuals will be included in DCX, Ford and GM’s respective customer specifics for TS16949.
Certification to TS16949 also includes the requirements defined in the AIAG reference manuals.

46. Questions?