Company Confidential Registration Management Committee (RMC) Report on Oasis Data for Primary focus on 12 month roll starting in November 2009 to December 2010 (For Open Meeting) San Diego, CA January 18 – 19, 2011 R. Darrell Taylor Raytheon

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 2 Executive Summary Setting a Baseline for the future Statistically Based Analysis Two-fold Analysis of data –Trends for the total population –Trends for the individual CB’s

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 3 Agenda OASIS Entries – Audits OASIS Nonconformities AS9100 Elements – Quick Overview no change Feedback Monitoring Model

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 4 Comparison of Entries Entries: –2007 – 5114 –2008 – 5972 ^14% –2009 – 6969 ^17% –2010 – 5987 »As of 12/2010 Consistent with Record Entry Delays Projecting a flat to a slight increase compared to 2009 year

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 5 Comparison of Types SUR=Surveillance REC = Recertification INT = Initial NOTE : 2010 is still not complete, consistent with previous years

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 6 Standards Entered Into Database 2 AS9100C audits now in the database

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 7 Summary of OASIS Data MAJORS MINORS Average number of Non Conformities per audit slightly over 3 Average number of minors 2.4 per audit On average a major is written every 5 th audit Minors – 15,814 Majors

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 8 AS9100 Nonconformities Top 10 Top Ten 2010 same as 2009 & 2008 Will monitor as we transition to AS9100C and determine if there are any industry related trends

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 9 Feedback Analysis 2009 average 112 per month, none in December 2008 – average 110 per month as of August

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 10 ANAB Audit Summary 2010 –6.07 Minors per audit,.4 Majors per audit Other Categories monitored: –Escalated N/CCustomer Complaints –Negative ShiftSuspensions (2 Yrs) –Additional Audits –N/C from outside assessments

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 11 Certification Body Statistical Assessment Model ANAB Audits - 6 Criteria OASIS Results - 3 Criteria Feedback - 2 Criteria General - 1 Criteria + 1 Added Old Feedback “OPEN” as separate criteria ANAB Performance Customer Complaints Suspensions C/A’s outside of Audits Extra Audits

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 12 Threshold Violations RMC & ANAB need to research –>6 ANAB to report to RMC –4-5 ANAB to investigate –2-3 No Action –<2

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 13 Quantity of CB’s & Threshold Violations 11/2009 – 11/2010

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 14 Non - Statistical Driven Metrics Feedback (Only 9 CB’s did not have a hit) –Closed > average 30 Days –Open > average 30 Days –OPEN over one year Escalated N/C’s (9 CB’s had escalated N/C’s)

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 15 Questions

Company Confidential Registration Management Committee (RMC) 16 Back Up

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 17 ANAB Audits - Minors Normal Distribution Identify those CB’s in the top 5 % receiving Minors from ANAB audits

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 18 ANAB Audits - Majors NOT Normal Distribution Identify those CB’s in the top 5 % receiving Majors from ANAB audits

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 19 ANAB Audits – Majors (cont.) Poisson Distribution supports the use of > 2 as threshold

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 20 ANAB Audits – Ratio Total Normal Distribution Identify those CB’s in the top 5 % receiving Nonconformities as a ratio to audits performed from ANAB audits

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 21 ANAB Audits – Ratio Minors Normal Distribution Identify those CB’s in the top 5 % receiving Minors as a ratio to audits performed from ANAB audits

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 22 ANAB Audits – Ratio Majors NOT Normal Distribution Identify those CB’s in the top 5 % receiving Majors as a ratio to audits performed from ANAB audits

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 23 ANAB Audits – Ratio Majors (cont.) Poisson Distribution supports the use of >1

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 24 ANAB Score Negative Shift Formula TY Ratio of Total – LY Ratio of Total –Trigger count if decrease is > than 1 SD (TY) Based on a one standard deviation shift in the negative direction, may be an indicator of a potential issue TY= This Year LY = Last Year SD= Standard Deviation Identify those CB’s with a greater than one standard deviation shift in performance in the negative direction

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 25 FEEDBACK Rule of Thumb threshold > 30 days based on “Closed” Rule of Thumb threshold > 30 days based on “Currently OPEN” Rule of Thumb any violation of older “OPEN” feedback Identify CB’s with outstanding feedback responses >30 days

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 26 ANAB DATA – CB Performance Additional ANAB Audits >0 Escalated Nonconformities > 0 Customer Complaints > 2 over two years Corrective Actions issued outside of Assessment Minors >1, Majors >0 Suspensions in past 2 years >0 Outside Assessment Influence

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 27 OASIS Ratio of Total Findings Modified Modified criteria excluding outlier

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 28 Ratio Majors/Entries On average, one Major is written every fifth audit – NOTE: Average down to.21 per audit for 2010 (1/5 audits) Totals 2010 – 1117 YTD –

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 29 OASIS Ratio of Majors NOT Normal Distribution Identify CB’s in the bottom 5% writing majors

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 30 OASIS Ratio of Majors - Modified Normal Distribution after a transformation

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 31 Ratio Minors/Entries On average, 2.8 Minors are written every audit, down to 2.47 minors per audit Totals 2010 – 15,814 YTD , , –14,087

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 32 OASIS Ratio of Minors Normal Distribution Identify CB’s in the bottom 5% writing minors

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 33 AS9100 Nonconformities Quantities NO CHANGE

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 34 AS9100 Nonconformities Quantities (cont.) NO CHANGE

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 35 Time – Line, Data Presentation JAN MAR JUL SEP First 6 Months Summary Previous Year Summary RULE VIOLATORS

San Diego, CA January 18-19, 2011 Registration Management Committee (RMC) 36