1. Production Preparation Process The SMS Technologies Quality Management System includes: ISO 9001, AS9100, ISO 13485, and ISO/TS 16949  They All Include Product Realization Advanced Product Quality Planning Production Preparation Process Production Part Approval process

2. APQP, Flow Charting, Process FMEA, Control Plan, 3-P & PPAP  APQP = Advanced Product Quality Planning Build 1st-time Quality into the Production Process  FMEA = Failure Mode Effects Analysis Minimize Risk (DFM, DFT & Mistake-Proofing)  3-P = Production Preparation Process Build to Customer Demand Beginning at Launch  PPAP = Production Part Approval Process

4. PRODUCT QUALITY PLANNING TIMING CHART CONCEPT INITIATION/ APPROVAL PROGRAM APPROVAL PROTOTYPE PILOT LAUNCH PLANNING PRODUCTION Production INPUTS | Production OUTPUTS Planning INPUTS | Planning OUTPUTS Product Design & Dev. INPUTS | Product Design & Dev. OUTPUTS Process Design & Dev. INPUTS | Process Design & Dev. OUTPUTS Product & Process Validation INPUTS | Product & Process Validation OUTPUTS PLANNING PRODUCT DESIGN AND DEV. PROCESS DESIGN AND DEVELOPMENT PRODUCT & PROCESS VALIDATION FEEDBACK ASSESSMENT AND CORRECTIVE ACTION

5. SEI Process Flow Diagram

6. Process Failure Mode Effects Analysis

7. Proto-type, Pre-launch & Production Control Plans

8. Operator Work Instructions Work Instructions with applicable drawings, etc. are developed for each material transformation:

9. Process Flow Chart FMEAs Control Plans Operator Instructions PPAP Core Tools Applications The Key Linkages for Customer Special Characteristics

10. Defining & Balancing The Cell

11. Calculating Takt Time Total Shift Hours = 8 X 60 min. X 60 sec. = 28,800 seconds -2 - 15-minute breaks X 30 min. X 60 sec. = 1,800 seconds -Start-up & Shut-down = 15 min. X 60 sec. = 900 seconds Available Work Time = 26,100 seconds Takt Time = Available Work Time / Customer Demand (units) TAKT TIME = 26,100 Seconds / 50 Units = 522 Seconds TAKT TIME = 522 Seconds / 60 = 8.7 Minutes Build a cell that will produce one unit every 8.7 minutes!

12. Defining & Balancing The Cell

13. Until learning curves been achieved, work portions are allowed to vary slightly around the takt time until conducting further studies:

14. Preliminary SEI Cell Floor Layout

15. Varying The Cell Volume Scaling Volume by Adding Shifts