International Aerospace Quality Group (IAQG)

Transcription

1 International Aerospace Quality Group (IAQG) Alain Bonnard EAQG Operations Manager ULG - October 3 rd, 2014

2 Quality, What is it all about? Customer satisfaction Page 2

3 Customer? Eveybody has a customer No Customer No business! Page 3

4 Different types of Customers External Customers: The real ones! They are allowing you to have a job! Internal Customers: The ones you provide them with your work! For Products or/and Services Page 4

5 The Circles of Quality Customer expectations 1.What are your Customer expectations? Page 5

6 The Circles of Quality 2. From Customer expectations to the Specifications (which will allow to deliver Product/Services) Specifications What I understand of the Customer expectations Page 6

7 The Circles of Quality 3. From the Specifications to Product/Services delivery Page 7 What I deliver from the Specifications Product / Services

8 The Circles of Quality Matching the 3 circles: Customer expectations Specifications Product/Services delivered is Quality Page 8

9 The Circles of Quality Main difficulty: All Circles are moving They may change! Page 9

10 The Circles of Quality Customer expectations Specifications Circles matching Areas: 1. No Customer expectations 2. Expectations not met 3. Only area meeting Customer expectations Page 10

11 The Circles of Quality Customer expectations Specifications Circles matching 4 Areas: Delivered Product/Services 4. Only area of Quality: Product/Services meeting: Specifications & Customer expectations Page 11

12 Quality, Need to focus on: Process approach Page 12

13 Process Approach ISO Guidance on the Concept and Use of the Process Approach for management systems To be used as reference Suppliers Input Requirements Specified (Includes resources) Interrelated or interacting activities and control methods You Customers Output Requirements Satisfied (Result of a process) Monitoring and Measuring Page 13

14 Process Approach Processes Interlinks The outputs from one process may be inputs to other processes and interlinked into the overall network or system Outputs from other processes Outputs from other processes Inputs to A PROCESS A Outputs from A Inputs to B PROCESS B Outputs from B Inputs to D PROCESS D Outputs from D Inputs to C PROCESS C Outputs from C Page 14

15 Process Approach A process A map of processes A form per activity Activity title Affected process Activity description Coordinator Involved parties List of tasks Process upstream Data Activity Process downstream Process Input data Indicator Output data Page 15

16 PROCESS SHEET Performance Metrics Goal : Process Approach Pilots : Provide customers with new products conforming to customer specifications within agreed schedule and at forescated costs John Adams (Manufacturing) Peter Fall (Quality) Angela Storm (Manufacturing Engineering) Risks & Means control Non Conformity rate of delivered products - (=> Conformance) Punctuality rate of deliveries (On Time Delivery) - (=> Punctuality) Manufacturing cost (Manufacturing cost / forecasted cost) (=> Cost) Missing parts in storehouse Causes analysis (Suppliers delay, scraps, technical change, planning hazard, ) and actions Work load / capability adequacy People flexibility, subcontracting, temporary work, Inputs Optimisation goal of resources and manufacturing means Manufacturing schedule, Orders Manufacturing process sheets, product configuration Orders from OEM customers Spare parts orders Manufacturing processes Industrial dossier, Industrial means Parts (Non finished parts, Subcomponents, Finished products) purchased or subcontracted articles Produce Outputs Manufacturing programme Manufacturing & Distribution orders Parts for work station, Store preparation Product job sheets, Test reports Release documents, Form 1 Invoices Shipping records Conforming parts in store Delivered parts Resources Means : Manufacturing means (Machines, tools, cells) IT tools : Databases (PLM, ERP) Players / Competency : Logistics, Assembly technics, measurement Page and inspection, packing, authorized people to sign off Documents General procedures : List of documents Procedures per organization : List of procedures

17 Process Approach Quality problems Are NOT due to people But due to inadequate process (One of the problem might be to have people not understanding the process, not trained, ) Page 17

18 International Aerospace Quality Group (IAQG) A journey within Quality Aerospace & Defense Industry Page 18

19 - 1 - General Information Page 19

20 General Information International Aerospace Quality Group (IAQG) is an International organization regrouping as Members the leading Aerospace & Defense companies worldwide Main goal is to improve the performance of the Aerospace & Defense Industry Supply Chain Page 20

21 General Information Created in 1998 under the umbrella of SAE (Society of Automotive Engineers) US organization Became end of 2013 an independent International Not for Profit Association (INPA) under the Belgium Law based in Brussels Page 21

22 - 2 - Membership Page 22

23 Membership Page 23 IAQG Membership policy Companies who carry out the design, development, manufacture and support of original equipment at system or subsystem level for: Aviation and Space products (including platforms and systems) and services Land and Sea based systems for defense applications Trade Associations, and their related bodies created by those aerospace companies, may be Members at Large IAQG Members are only Companies

24 Membership IAQG organized in 3 sectors IAQG: A Global Team International Aerospace Quality Group IAQG General Assemblyl AAQG (Americas) 65 Major OEMs worldwide 19 AAQG members EAQG (Europe) APAQG (Asia & Pacific) Americas 33 EAQG members 13 APAQG members Page 24 IAQG President: Xavier Sahut d Izarn SAFRAN Europe Asia / Pacific

25 Membership American Sector AAQG Leader: William Schmiege Parker Aerospace COMPANY Aerojet ATK Ball Aerospace Boeing Bombardier Aerospace Embraer GE Aviation General Dynamics - Gulfstream Honeywell Lockheed Martin COMPANY Moog Northrop Grumman Parker Aerospace Raytheon Rockwell Collins Spirit AeroSystems Textron - Cessna United Technologies Corp Triumph Group Page 25 Total: 19 Members IAQG Voting Member

26 Membership Asian / Pacific Sector APAQG Leader: Hiroyuki Jikei MHI COMPANY AIDC AVIC COMAC DSO EGAT FHI Iae COMPANY IHI KAI KAL-ASD KHI MHI Shin Maywa Total: 13 Members IAQG Voting Member Page 26

27 Membership COMPANY AEC (Advanced Electronics Company) Augusta Westland Airbus Airbus Defence & Space Airbus Helicopters Alenia Aermacchi Avio Aero BAe Systems Dassault Aviation Elbit Systems Page 27 COMPANY FACC Fokker Aerospace GKN Aerospace Engine Systems Hegan (ITP) IAI MBDA Meggitt Messier Bugatti Dowty MTU Aero Engines PFW RAFAEL Rolls Royce European Sector EAQG Leader: Antonio Padin Airbus Military Total: 33 Members COMPANY Russian Helicopters SAAB SAFRAN SAGEM Selex ES SNECMA SONACA THALES Turbomeca United Aircraft Corporation Zodiac Aerospace IAQG Voting Member

28 Membership Some specificities Voting Members: Companies elected by their sector to represent them at the General assembly and voting IAQG resolutions (10 for AAQG & 10 for EAQG, 6 for APAQG) European sector: Covering Europe «at large»: Europe, Russia, Middle East & Africa Page 28

29 Membership Page 29 Some specificities (Cont d) Competition: Most of the IAQG Company Members are competitors in their respective segments, i.e.: Airframers: Boeing, Airbus, Bombardier, Embraer, UAC, COMAC, Mitsubishi, Helicopter Manufacturers: Bell, Sikorski, Eurocopter, AgustaWestland, Russian Helicopters, Engine Manufacturers: GE, Pratt & Whitney, SAFRAN, Rolls-Royce,

30 Membership Some specificities (Cont d) Competition (Cont d): Despite this group of Company Members competing each others IAQG is probably the only organization where direct competitors are working together to achieve some common goals for the benefit of the Industry Page 30

31 Membership Some specificities (Cont d) Membership Limitation Membership number limited per Sector (i.e.: Limit of 35 Company Members for EAQG European Sector) Page 31

32 - 3 - Mission & Vision Page 32

33 Definitions Page 33 Mission Vision Why we are here A future state to which we aspire Strategic objective A goal to be achieved in the next 3-5 years Tactical objective A goal to be achieved in this annual cycle Team action Actions managed at the team level to accomplish the objectives

34 Page 34 Mission The mission of the IAQG is to implement quality initiatives that make improvements throughout the value stream of products and services. For that purpose, the IAQG: Promotes Quality culture Establishes and maintains Quality Management System standards and certification system, recognized by international normalization bodies and regulatory and governmental agencies Collects and offers best practices and processes Promotes cooperation between international aviation, space and defense companies Maintains relationships with regulatory and governmental agencies and other industry stakeholders.

35 Vision IAQG is recognized and valued as the world s leading authority for Aviation, Space, and Defense Industry quality. Page 35

36 - 4 - Organization Page 36

37 Strategic Focus Relationship Growth Strategy Civil Authorities - Production Space Defense Maintenance, Repair & Overhaul Trade Associations Improvement Strategy Requirements People Capability Product & Supply Chain Improvement Performance IAQG Other Party Management Team IAQG Strategic Page 37 Focus 3 Axes Aligned to Address Challenges

38 General Organization General Assembly Voting Members from each Sector Executive Committee President Sector Leaders of American Sector (AAQG), European Sector (EAQG) & Asian Pacific Sector (APAQG) Strategy Working Group SWG Leader, President, Sector Leaders, Leaders from each Stream / Teams and Secretary Communication Operating Management System Page 38 Finance Other Party Management Relationship Growth Strategy Civil Authorities Production Space Defense Maintenance, Repair & Overhaul Trade Associations Improvement Strategy Requirements Product and Supply Chain People Capability Performance

39 Improvement Strategy Requirements Establish, Develop, and Maintain Industry Quality requirements to improve product and process integrity People Capability Develop the competency of, and support for, those engaged in Supply Chain processes, in all functions, to deliver continual improvements in On Time On Quality Delivery (OTOQD) Product & Supply Chain Improvement Deployment of Global Supply Chain Process standards and guidelines to ensure continually improving OTOQD internally and externally Performance Provide objective data demonstrating the excellence performance and continual improvement of the whole Aviation, Space and Defense Supply Chain Page 39

40 Relationship Growth Strategy Civil Authorities - Production Working together with the international airworthiness authorities to enable local design, production and certification with global acceptance International Space Forum Working together to achieve standards and a certification scheme that can be effectively and efficiently used by space organizations Defense Relationship Coordination with NATO and defense organizations to adopt simpler, common standards Maintenance, Repair & Overhaul (MRO) Working together with industry towards recognition of IAQG standards and effective industry use, application, and certification to improve aviation safety, product quality, and efficiency of the MRO industry Trade Associations Relationship* Establish relationships with other aviation industry Trade Associations whose purpose and objectives overlap those of the IAQG Page 40 *: Activities at Sector level only

41 Others Other Party Management Establish, Develop, and Maintain the Industry Control Other Party scheme (Certification of organizations Compliance to IAQG Quality Management System [QMS] requirements) Communication Manage IAQG communication (Internal & External) Operating Management System Establish, Develop, and Maintain the IAQG set of documents defining and controlling IAQG activities Finance Page 41 Manage IAQG Finance

42 - 5 - Working Principles Page 42

43 Working Principles Company Member representation Each IAQG Company Member nominating 1 official Representative within IAQG Decision making Made by IAQG Voting Members 10 representing AAQG, 10 EAQG and 6 for APAQG (Total of 26 Voting Members), Voting Members designated by their own Sector Decisions taken through resolutions voted by the 26 IAQG Voting Members during IAQG General Assembly (Twice a year) or through electronic votes in between IAQG meetings Decision making policy based on a tentatively consensus approach rather than majority of votes, when not possible resolution adopted with 17 minimum votes accepting the resolution Page 43

44 Working Principles IAQG Resources to develop IAQG initiatives Each IAQG Company Member providing IAQG with Quality experts nominated as some dedicated IAQG Working Groups as mandatory Membership commitments (No minimum level of resources = No IAQG activity) IAQG Deliverables 1. Standards (Requirements, Recommended Practices, Guidelines) published locally by Standardisation Bodies 2. Other IAQG tools developed through the IAQG Supply Chain Management Handbook (SCMH) Page 44

45 Working Principles Working Groups 1 dedicated Working Group (WG) for each IAQG initiative decided by IAQG community WG led by an IAQG Leader and 3 Sector Leaders + WG Members from the 3 Sectors WG Members specific to 1 WG WG task: Develop, Produce & Maintain its deliverable Working Groups reporting to the Strategy Working Group (SWG) WGs meetings during IAQG meetings (Generally April & October) or more often or through Teleconferences, working frequency managed directly by each WG Page 45

46 - 6 - IAQG Deliverables Page 46

47 Deliverables IAQG Deliverables All initiative aiming to improve the performance of the Aerospace & Defense Supply Chain (Supply Chain: OEMs and All Suppliers) in order to achieve the IAQG Mission Deliverables harmonized by IAQG Company Members based on their specific existing practices for developing a unique practice recognized at the state of the art for the Industry and used at the largest extent possible within the Supply Chain Page 47

48 Deliverables Use of IAQG Deliverables Decision to use IAQG deliverables within IAQG Companies only made by each IAQG Company Member Subsequently decision to mandate some of the IAQG documents to their suppliers is an IAQG Company Member decision Page 48

49 - 7 - Harmonization benefits Page 49

50 Harmonization benefits Example of a set of Requirements: i.e. Quality Management System (QMS) Before harmonization of QMS requirements 1 set of Requirements per OEM OEM # 1 OEM # 2 OEM # 3 OEM # 4 OEM # 5 QMS # 1 QMS # 2 QMS # 3 QMS # 4 QMS # 5 Page 50 Supplier Supplier QMS Supplier QMS needing to be compliant with each specific OEMs set of Requirements

51 Harmonization benefits Example of a set of Requirements: i.e. Quality Management System (QMS) [Cont d] After harmonization of QMS requirements 1 common set of requirements for all OEMs OEM # 1 OEM # 2 OEM # 3 OEM # 4 OEM # 5 All OEMs with common set of Requirements Supplier Supplier QMS Supplier QMS compliant with all OEMs common Requirements Page 51

52 Harmonization benefits Example of compliance audit to a set of Requirements: i.e. QMS Before ICOP* scheme implementation 1 Audit per OEM OEM # 1 OEM # 2 OEM # 3 OEM # 4 OEM # 5 Audit # 1 Audit # 2 Audit # 3 Audit # 4 Audit # 5 *: Industry Control Other Party Supplier Supplier audited 5 times, once per each OEM Page 52

53 Harmonization benefits Example of compliance audit to a set of Requirements: i.e. QMS (Cont d) After ICOP scheme implementation 1 audit made by a Certification Body OEM # 1 OEM # 2 OEM # 3 OEM # 4 OEM # 5 All OEMs relying on the Certification Body audit Page 53 Certification Body audit Supplier Supplier audit only once Certification recognized by all OEMs

54 Harmonization benefits Financial Benefit Cost estimate Reduction of duplicate auditing costs for OEM s & for suppliers Transfer of auditing & accreditation costs downstream to suppliers Released previous auditing resources to higher value tasks Page 54

55 Harmonization benefits Financial Benefit Cost estimate (Cont d) Assumptions Page 55 Audits: 2 audit days, 2 auditors / 2 auditees per audit 1 audit every 3 years, $ 500 per person & per day Travel expense: $ 1000 per person OEM: $ 4000 per audit Supplier: $ 2000 per audit OEMs: 600 active suppliers on average (66 % of suppliers ICOP certified = 40%) Suppliers: 10 Customers on average

56 Harmonization benefits Financial Benefit Cost estimate (Cont d) OEMs figures Cost savings: Use of Other Party system instead of 2 nd Party K$ 1600 every 3 years (K$ 533 per year) [Deletion of 1 audit/supplier every 3 years] (600 audits of 66 % major suppliers = Deletion of 400 audits every 3 years) Expenses: OEM contribution for ICOP K$ 40 per year (Equivalent to 80 man*days at $ 500) OEM contribution to IAQG working groups K$ 100 per year (1 man*year) Page 56 K$ 393 per year / OEM

57 Harmonization benefits Financial Benefit Cost estimate (Cont d) Suppliers figures Cost savings: Requirements harmonization worldwide K$ 18 every 3 years (K$ 6 per year) [Reduction of 9 audits / approvals every 3 years] Reduction of customer audits K$ 18 every 3 years (K$ 6 per year) [Only 1 audit shared by the 10 customers] Expenses: Supplier cost to be OASIS certified $ 500 per year Page 57 K$ 11,5 per year / Supplier

58 Harmonization benefits Financial Benefit Cost estimate (Cont d) OEM s: Net saving (of 69 IAQG members): K$ 393 per year * 69 = M$ 27 per year Suppliers: Net saving (of 9100 suppliers currently OASIS certified): K$ 11,5 per year * = M$ 184 per year Total Industry benefit: + or - M$ 207 / year Page 58

59 - 8 - Strategic Planning Page 59

60 Alignment Mission Why Vision Strategic Objectives Tactical Objectives Aspiration 5 year timeframe SWG 2014 Team Reports Detailed Actions Team 2014 Page 60

61 Strategic Planning Process Assess Vision Strategy/Implement Measure Industry trends SWOT Mission Vision Strategic elements Annual objectives Process improvements Tactical objectives status Sector inputs October Year N-1 January Year N February Year N December Year N Page 61

62 2014 Strategy Cycle 2013 Montreal Overall assessment Issues and opportunities Changes in 2014: Align with the budgeting process for January West Palm Beach Strategic cycle April Brussels General Assembly Industry perspective Process improvement July Brussels October Long Beach General Assembly 2015 objectives & budget estimate Page 62

63 - 9 - IAQG Documents as Deliverables Page 63

64 IAQG Documents IAQG Standards Standards which are either: Requirements Or Recommended Practices Or Guidelines Or Best practices sharing reports Implementation support material Developed by IAQG (Intellectual Property) Published and marketed by Standardisation Bodies Fully worldwide harmonized Page 64

65 IAQG Documents Process Flow Phase 0 Study a) Check the idea is in line with IAQG strategy b) Gain support for developing the idea into IAQG initiative c) Agree the value gained from implementing the initiative d) Plan How and by Whom the idea will be developed and deployed Any Member Phase 1 Design/Develop Design, Develop and Test the initiative in line with the agreed Plan Initiative Team Report progress Phase 2 Sector Review Issue the initiative deliverables for Sector review/ballot and introduce agreed changes Standards Management Leader Phase 3 Publication Prepare, approve and publish Sector versions Standards Management Leader Sectors publish initiatives deliverables Support deliverables added to IAQG website Initiative team offer implementatio n support Page 65 Gate 0 Review the proposal and either accept/reject the proposal or request further work IAQG General assembly Gate 1 Confirm the IAQG deliverables arte sufficiently mature for them to be sent for Sector review/ballot Initiative Team 1 ½ to 3 years Gate 2 Confirm that all comments have been adequaly addressed Standards Management Leader Gate 3 Published editions received Standards Management Leader

66 IAQG Documents Documents Publication Page 66 Made by Standardisation Bodies in the different area of the world in local languages (i.e.: in Europe by ASD-STAN Ballot coordinated with CEN the European Standardization Organization and becoming an EN [European Standard] standard) Native document in American English After publication in all 3 Sectors in the different languages the document is exactly the same in the different versions IAQG documents sold by the Standardization Bodies (i.e.: 80 per document by ASD-STAN)

67 91xx Series IAQG Quality Management System (QMS) 91xx Standard series First set of documents developed by IAQG: 91xx Series: 9100 QMS Requirements for Aviation, Space and Defense organizations 9110 QMS Requirements for Aviation Mantenance, Repair & Overhaul organizations 9120 QMS Requirements for Aviation, Space and Defense distributors Page 67

68 91xx Series IAQG Quality Management System (QMS) 91xx Standard series (Cont d) 91xx documents having as baseline the ISO 9001 (QMS Requirements) and its structure each 9001 revision leading to 91xx revisions 91xx standards adding specific requirements for the Aviation, Space & Defense industry ISO 9001 Addition of Aviation, Space & Defense specific requirements 9100 Page 68 Last revision: January 2009 (Revision D) Next revision: 2016 (following revision of 9001:2015)

69 91xx Series 9100 Content Page 69

70 IAQG Supply Chain Management Handbook as Deliverable Page 70

71 SCMH SCMH Introduction SCMH provides guidance materials to continuously improve On Time, On Quality Delivery (OTOQD) throughout the entire value stream SCMH objective is to help the Supply Chain improve their Quality performance through better understanding of Aviation, Space and Defense industry Quality Management System requirements and expectations SCMH was initially released in October, 2008 and is progressively updated as changes/improvements are identified and new material is developed by IAQG member company subject matter experts SCMH is provided at no cost to organizations at all levels throughout the Supply Chain, including customers Page 71

72 SCMH SCMH webpage Page 72

73 SCMH SCMH Goal SCMH objective is to help the Supply Chain improve their performance through better understanding of Aviation, Space and Defense industry Quality Management System requirements and expectations How SCMH can improve Supply Chain performance? By identifying the Supply Chain Key Processes Page 73 For each Key Process by providing industry with tools (Best practices) having demonstrated their efficiency (Major OEMs sharing of experience)

74 SCMH Content 1 Market & Sell 3 Make (incl. Assemble & test) 6 Customer Support C U S T O M E R 7 2 Design & Develop 4 Buy Plan & Manage 5 Deliver C C UU S S T T O O M E E R R 8 Stakeholders relationship and communication Page 74

75 Industry Controlled Other Party (ICOP) as Deliverable Page 75

76 ICOP What is ICOP? A process for accredited certification of an organisation s Aerospace Quality Management System (AQMS) Industry Controlled: The IAQG through each Sector provides direct oversight of all AQMS certification activities Other Party: Certifications are completed by accredited certification bodies (other parties) that are recognised through the ICOP process ICOP is defined and controlled by the IAQG Page 76

77 ICOP What is ICOP (Cont d)? Benefits: Globally harmonised and accredited certification scheme that is recognised by major Aviation, Space and Defence companies Supports supplier approval activities with a recognised quality management system Uses the process approach to conformance assessment Focuses on meeting customer expectations Risks: Does not prevent procurement from poor performing suppliers It is not certification of product Page 77

78 ICOP The traditional scheme 3rd party Certification for ISO 9001 Accreditation Bodies 2 nd party audits Industry The ICOP scheme Accreditation Bodies Approval and Oversight Industry Certification Bodies accreditation certification Suppliers Certification Bodies Auditors OEM controlled (2 nd party) surveillance of supplier(s) based on risk analysis and product audit Page 78 Suppliers Suppliers Other Party Certification for 9100/9110/9120

79 ICOP IAQG OPMT Oversight of SMS Europe, Asia/Pacific, Americas IAQG Member Company Representatives SMS* AB, CB, and Auditor Approval Shared Oversight Oversight International Accreditation Forum (IAF) Peer Review Oversight ICOP Accreditation Body (AB) (9100, 9110, 9120) ICOP Oversight Scheme IAQG (Supplier Surveillance, Product/Process Audit) Certification Recognition Page 79 Product/Process ICOP Certification Body (CB) (9100, 9110, 9120) Conformance Supplier (CB Client) ICOP Certification Conformance DATA On-line Aerospace Supplier Information System (OASIS) *: Sector Management Stucture IAQG & SMS Oversight

80 ICOP ICOP is: A method of oversight supporting recognition of external (Other) party Quality Management System certifications The aerospace industry managed and globally harmonised process of 91xx-series Quality Management System certification A cost effective method of supplier approval and surveillance Standardised and continual improvement driven Endorsed and supported by Government/Regulatory agencies (EASA, CAA, etc.) Risk mitigation to producers and consumers Page 80

81 ICOP ICOP is not: The only method used in managing the supply base Prevention in buying from poor performing suppliers Certification of product and manufacturing processes A method that prevents human errors A traditional 3 rd party certification scheme Without risks Page 81

82 ICOP ICOP Oversight is: A process used to increase effectiveness and ensure conformance Detection of nonconformities and improvement opportunities in the certification scheme Supported by all IAQG Member Companies Risk and performance based Page 82

83 ICOP ICOP Benefits include: Shifting customer focus to product and processes Industry peers working together to improve Quality Decreased costs of multi-customer audits Validation and promotion of best practices Reduced variance in interpretation of requirements Availability of an On-line Supplier Information System (OASIS) database with publicly assessable supplier certification data Page 83

84 ICOP ICOP Certification Scheme Requirements documents: The QMS Certification Standards: 9100 Quality Management Systems Requirements for Aviation, Space and Defence Organisations 9110 Quality Management Systems Requirements for Aviation Maintenance Organisations 9120 Quality Management Systems Requirements for Aviation, Space and Defence Distributors Approach to consistent audit and reporting: 9101 Audit Requirements for Aviation, Space, and Page 84 Defense Organizations

85 ICOP ICOP Scheme Criteria Accreditation and Certification Scheme Requirements Sector Management Structure (SMS) Approved Accreditation Bodies (ABs) Accredited Certification Bodies (CBs) Authenticated Aerospace & Defense QMS Auditors Auditor Authentication Bodies (AABs) Training Provider Approval Bodies (TPABs) OASIS Database Management Page 85

86 ICOP ICOP Scheme Criteria (Cont d) Oversight Oversight and surveillance process to ensure conformance to established aerospace industry 91xx-series standard accreditation/certification requirements AQMS Auditor Authentication & Training A common process for aviation, space and defence auditor training and authentication to be utilised by all the IAQG sectors Page 86

87 ICOP ICOP Miscellaneous ISO 9001 & 91xx Certification Organization willing to be 91xx certified will be as well ISO 9001 certified Organization having to contact a Certification Body (CB) and contracting this CB to be certified Certification Audit duration Depend of Organization size and scope For large organizations several weeks needed with more than 1 auditor Page 87 (i.e.: organization of employees covering from Design to Support: 25 audit working daysxauditors for initial certif. ; 18 for re-certif.) (Audit duration table available as part of the ICOP scheme) Certification periodicity Every 3 years re-certication audit

88 ICOP OASIS: On-line Aerospace Supplier Information System Data base where all information related to AQMS certifications, auditors and audit results is stored General information is publically accessible about: Accreditation Bodies Certification Bodies Certified Suppliers Training Provider Approval Bodies Training Providers and Courses Auditor Authentication Bodies and Authenticated Auditors The Certified Supplier controls who can view their confidential audit data Summary data and reports available to IAQG Members Page 88 and other key stakeholders (ABs, CBs etc.)

89 ICOP OASIS: On-line Aerospace Supplier Information System Page 89

90 IAQG Strategy Evolution Page 90

91 IAQG Strategy Road-Map REQUIREMENTS Establish, Develop, and Maintain Industry Quality requirements to improve product and process integrity 91xx:2016 Revision 9104/2&/3 rewrite published Software QMS NATO QMS 91xx:2009 Revision 91xx Re-writing Page 91 Develop content of SCMH (11 Chapters) Collect Other Industry Best Practices Develop Process Architecture Development of QMS series (91xx) & ICOP scheme IAQG Strategy PRODUCT & SUPPLY CHAIN IMPROVEMENT Development of Global Supply Chain process standards and guidelines to ensure continually improving OTOQD internally and externally 11 Chapters completion 9101 rewrite published Root Cause analysis, Problem solving & Non-Conformity control 91xx Re-writing Contractual requirement review & Flowdown 9104/1 rewrite published Master scheduling and Sequencing Sub-tier supplier management Quality aspects in new program development Develop BoKs Develop Competency Management Process Develop IAQG Dictionary Civil Authorities Space Defense Trade Association BoKs MRO extension ICOP scheme robustness OPMT FMEA Improvement Strategy People ownership & commitment Human factors Performance Index Year 2012 Performance Index Year 2010 pathfinder Metrics definition 2010 Authenticated Auditors Sanctioned Training PEOPLE CAPABILITY Develop the competency of, and support for, those engaged in Supply Chain processes, in all functions, to deliver continual improvements in OTOQD Benchmark Performance Index Multi year trend User oriented Working together to develop a single voice IAQG smooth operation with Sustainable finance 5 Years IAQG Vision ( ) 20% Improvement/Year on Quality & Delivery 90% Supply Chain Certified Robust Processes throughout Supply-Chain Robust, Recognized and Valued Certification Scheme Current PERFORMANCE Provide objective data demonstrating the excellence Performance and continual improvement of the whole Aviation, Space and Defense Supply Chain ,2,3 Published All Organization transition to 9100/9110/9120:2009 Transition to Legal Entity Relationship Growth Strategy ASD Agencies accept 91xx and its certification scheme for mitigating surveillance Page 91 OPMT Robust, Recognized and Valued 91xx certification scheme (ICOP) IAQG Milestone

92 IAQG Achievement Page 92

93 Vision Goals IAQG Five Year Vision Product and Services Quality and Delivery will have improved 20% per year throughout the product lifecycle Robust processes achieved throughout the supply chain IAQG Quality Management System certification program is robust, recognized and valued 90% of the supply chain certified to IAQG Quality Management System Standards Page 93

94 IAQG Achievements IAQG Vision Goals Management Product and Services Quality and Delivery will have improved 20% per year throughout the product lifecycle Flow Down by IAQG Member Companies 4 th IAQG Strategy Improvement stream created with Performance Performance Index implemented within IAQG Supplier performance as seen by IAQG Member Companies (2010 & 2012 Performance level complete 2013 in process) Page 94 Indicators definition completed as part of SCMH (Supply Chain Management Handbook)

95 IAQG Achievements IAQG Vision Goals Management 20% Improvement (Cont d) 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% On Time Delivery (%) 233 data points OTD 2010 OTD 2012 ppm 1.E+06 1.E+05 1.E+04 1.E+03 1.E+02 1.E+01 1.E+00 Item Escape Rates (ppm) IER 2010 IER 2012 On Time Delivery Median Value dynamics : Year 2010 : 80% Year 2012 : 85% Range and standard deviation constant Item Escape Rate Median Value dynamics : Year 2010 : 4300 ppm Year 2012 : 4000 ppm Range and standard deviation constant Page 95

96 IAQG Achievements IAQG Vision Goals Management (Cont d) Robust processes achieved throughout the supply chain Flow Down by IAQG Member Companies SCMH providing Best Practices / Tools Dedicated SCMH tools to assess processes maturity Page 96

97 IAQG Achievements IAQG Vision Goals Management (Cont d) IAQG Quality Management System certification program is robust, recognized and valued ICOP (Industry Controlled Other Party) Certification Auditor accreditation reinforced: Harmonized Training & Examination materials controlled by IAQG Certification Audit duration revised: Minimum audit duration defined New requirements for auditing Management Systems with multiple QMS applicability Page 97 Civil Authorities recognition (i.e.: EASA)

98 IAQG Achievements IAQG Vision Goals Management ICOP (Cont d) Page 98

99 IAQG Achievements IAQG Vision Goals Management ICOP (Cont d) Page 99 Total Certificated Sites Date Quantity Growth 1-Jan-14 16, % 1-Oct-13 16, % 1-Apr-13 15, % 1-Oct-12 15, % 1-Apr-12 14, % 1-Oct-11 15, % 1-Apr-11 14, % Sector Standard Total Americas Other 49 Americas Total 9417 Asia / Pacific Asia / Pacific Total 818 Europe Europe Total 6528 All Other 49 Total 16763

100 IAQG Achievements IAQG Vision Goals Management (Cont d) 90% of the supply chain certified to IAQG Quality Management System Standards Flow Down by IAQG Member Companies Yearly IAQG Survey monitoring 9100 Certification with: IAQG Member companies certification rate IAQG Suppliers rate Page 100

101 IAQG Achievements IAQG Vision Goals Management 90% Certification (Cont d) IAQG Suppliers certification rate rates: Sector Suppliers AAQG 71,5 % 70,8 % 68,0 % 72,7 % APAQG 60,6 % 72,6 % 84,2 % 83,7 % EAQG 69,5 % 68,5 % 70,5 % 73,4 % Total IAQG 68,7 % 69,9 % 72,3 % 75,0 % Page 101 Biases: Effect of Member companies not mandating suppliers to be 9100 IAQG Members with only Defense and Space activities

102 IAQG Achievements IAQG Documents Publication Page 102 Number Title 9100 Quality Management Systems - Requirements for Aviation, Space and Defense Organizations 9101 Quality Management Systems Audit Requirements for Aviation, Space, and Defense Organizations 9102 Aerospace First Article Inspection Requirement 9103 Variation Management of Key Characteristics 9104 Requirements for Aerospace Quality Management System Certification/Registrations Programs 9104/2 Requirements for Oversight of Aerospace Quality Management System Registration/certification Programs 9104/3 Requirements for Aerospace Auditor Competency and Training Courses 9107 Direct Delivery Authorization Guidance for Aerospace Companies 9110 Quality Maintenance Systems Aerospace Requirements for Maintenance Organizations

103 IAQG Achievements IAQG Documents Publication (Cont d) Number Title 9114 Direct Ship Guidance for Aerospace Companies 9115 Quality Management Systems - Requirements for Aviation, Space and Defense Organizations - Deliverable Software 9116 Notification of Change (NOC) Requirements 9120 Quality Management Systems Aerospace Requirements for Stockist Distributors 9131 Quality Systems Non-Conformance Documentations 9132 Data Matrix Quality Requirements for Parts Marking 9133 Qualification Procedure for Aerospace Standard Parts 9134 Supply Chain Risk Management Guidelines 9137 Guidance for the Application of AQAP 2110 within a 9100 Quality Management System 9162 Aerospace Operator Self-Verification Programs Page 103

104 SCMH C U S T O M E R 1 7 Market & Sell Master Schedulin g Material for Key Characteristics 9102 Material for First Article Inspection Counterfeit & Suspect Unapproved Parts Design & Develop Special Requirements & Critical Items Quality Aspects of New Product Development Notification of Change Software Guidance (9115) Make (incl. Assemble & test) Buy Supplier Selection and Capability Assessment Product Performance Detailed Assessment Checklists Supplier Quality Mgt Basics Sub-tier Supplier Control Management Control of non Statistical 9138 conformities Foreign Object Debris (FOD) Human Factors in new Manufacturing Plan & Manage Work Transfer Root Cause Analysis & Advanced Product Quality Planning (APQP) Problem Solving Risk Management Process Mapping (VSM Based) 5 Deliver 6 Customer Support TBD Delivery Metrics Definition Certificate of Conformance Delegated Product Release verification Appendices 9100 Rev C Deployment Support People Capability PCAP 001 Link to ICOP Overview 9100/SSCA/PPDAC Comparison IAQG dictionary Configuration management Capacity Management, Ordering and Logistics C C UU S S T T O O M E E R R 8 Stakeholders relationship and communication Requirements & Flow Down Templates Contractual Requirements Review & Management Guidance Sections in progress Future sections

105 IAQG Operating Management System Page 105

106 IAQG Operating Management System IAQG Operating Management System IAQG Belgian Articles of Association IAQG Rules of Procedure Policy 101 Conflict of Interest Policy 102 Export Compliance Policy 103 Antitrust Policy 104 Intellectual Property Policy 105 Issued Reports Policy 106 Financial Controls Policy 107 Meetings Policy 108 Strategy Policy 109 Membership Policy 110 Ethics Policy 111 OPMT Policy 112 Subsidiary Bodies IAQG Pro-105.1: Initiative Creation Process IAQG Pro-106.1: Budgeting and Financial Reporting IAQG Pro-107.1: Planning an IAQG Meeting IAQG Pro-108.1: Maintenance of the IAQG Strategy IAQG Pro-105.2: Maintenance of Standards IAQG Pro-106.2: Financial Control IAQG Pro-107.2: Performance Excel Market (PEM) IAQG Pro-105.3: Ballot and Publication Process IAQG Pro-106.3: Funding Oversight Activities IAQG Pro-105.4: Document Format / Style Guide IAQG Pro-106.4: Funding IAQG Contractors IAQG Pro-105.5: Guidance Material Management IAQG Pro-106.5: Funding IAQG Experts Travel IAQG Pro-105.6: IAQG Forms Management IAQG Pro-105.7: Competency Management Page 106 IAQG Pro-105.8: IAQG Procedures

107 IAQG Finance Page 107

108 IAQG Finance IAQG Finance IAQG Non for Profit Association IAQG goal not to make revenues But expenses having to be balanced by revenues in order to be a sustainable organization Financial figures Revenues through Certifications Fees (US$ 500 for initial certification 375 for re-certification) Revenues at + or US$ 2 Millions IAQG operational expenses (Administration, Accounting, ) and Contractors funded with such revenues level Page 108

109 Objectives Page 109

110 2014 Objectives Summary Page 110 Streamline the set of harmonized quality management system specifications Launch an industry FOD requirements initiative Improve credibility of the Other Party Management certification scheme as viewed by end customers Enhance quality management system auditor/assessor competency tools and requirements Complete the first full edition of the Supply Chain Management Handbook Strengthen prevention by publishing an advance quality planning standard Launch the competency model for quality skills Publish the supplier performance index Incorporate lessons learned and define the key performance parameters for implementation of 9100:2016 Operate as a legal entity

111 IAQG Communication Page 111

112 Communication IAQG Website Page 112

113 Communication IAQG Contact EAQG Operations Manager: Alain Bonnard Rue Montoyer, Brussels BELGIUM Phone: +32 (0) alain.bonnard@asd-europe.org Page 113

114 Food for Thoughts Page 114

115 Thoughts International Associations vs Companies International Environment Culture difference Language barrier Behavior Decision Made preferably by consensus May take time! (No decision maker) Pace Longer time needed (Resources not working full time for IAQG: Company Member employees having operational Page 115 activities)

116 Thanks for your attention Page 116

117 Questions Page 117