February 14, 2020 Articles As the complexity of automotive projects has increased exponentially over the last 20 years, we’ve witnessed a seismic shift from the once emphasis on mechanical challenges to those born from mechanical parts being required to work in harmony under the influence of increasingly complex software systems. A single modern luxury vehicle now can integrate as many as 150 Electronic Control Units (ECUs). Not only that, but there is a growing customer focus and expectation of comfort, safety and infotainment systems; all of which are factors that force the automobile industry to change its development process and focus. In response to this shift, an internationally accepted process model, Automotive SPICE®, was developed by experts. The standard defines the processes and best practices for software and software based system development, specifically for the automotive industry. The model provides a well defined guideline for how to organise project work and how to make sure those projects are manageable. It enables companies to improve processes either for themselves or for their suppliers. Automotive SPICE® is used by many OEMs and suppliers as a means of qualifying their suppliers, as well as assessing the risks associated with those suppliers. Often, they are required to achieve a certain capability level in selected processes, even before winning a contract. Reaching the level is checked through performing assessments. If you want to, or already deal with customers organised within the VDA, you should understand, implement, and follow Automotive SPICE® as the standard process model. Industry Forum is the only Training provider in the UK to run open courses, so if you would like to know more about Automotive SPICE® and how the standard can be successfully implemented in your organisation, why not book on one of our upcoming courses? Who should attend? This course is best suited to personnel wanting to understand the Automotive SPICE® assessment process, personnel in process groups, process and project managers responsible for complying with Automotive SPICE® processes. It’s suitable for professionals and executives in engineering and IT, process managers, project managers, system and software engineers, consultants, and quality managers from companies of all sizes. Find out more and Book Now!
December 16, 2019 Articles Do you ever feel like you could achieve more, if you had the right leadership skills? According to renowned management expert John Maxell, “The single biggest way to impact an organisation is to focus on leadership development. There is almost no limit to the potential of an organisation that recruits good people, raises them up as leaders and continually develops them.” Industry Forum knows that effective leadership is crucial to achieving your business goals. Our Leadership Development Programme (LDP) is a carefully tailored training package designed to unleash the potential of managers at all levels to tackle problems and improve results. The LDP is designed to help you identify and nurture the future leaders in your organisation, then empower them to significantly and continuously improve manufacturing operations, customer satisfaction, employee retention and your bottom line. Uniquely effective, blended approach Based around the specific challenges you want to tackle in your company right now, the Industry Forum Leadership Development Programme uses a powerful, immersive, blended curriculum to embed and practice learning. It is a deliberately intense training experience, incorporating a structured system of individual study, group workshops, one-to-one coaching, practical implementation and timely feedback. Participants are supported to apply their new skills straight away to solve identified business issues. This proven approach brings tangible, measurable and sustained improvements to working practices, resulting in a rapid and demonstrable return on your investment. Three tiers The LDP is structured to meet the training needs of leaders at every level of manufacturing organisations: Team Leader Essentials (TLE) cements the bedrock of effective leadership behaviours for supervisors, including daily management practices, lean foundation principles and interpersonal skills. This seven-day course consists of: online learning modules; a three-day workshop including classroom study, team activities and practical shop-floor exercises; a day to plan and agree improvement projects; and three follow-up days spread over several weeks to monitor progress and provide feedback. Manufacturing Manager Training (MMT) is aimed at those with responsibility for creating and leading operational plans and managing and supporting team leaders. It helps them to make effective use of the lean toolbox, blend great leadership with financial acumen, establish sustainability, ensure adherence to processes and policies and create a culture for change and continuous improvement. Over four days of teaching and three of mentoring and feedback, participants complete a suite of in-depth teaching modules including an audit of current processes, interactive discussions, shop-floor activities, role plays and situational coaching. Senior Leadership Training (SLT) looks at developing and enhancing the skills, knowledge and attitude needed to cascade business strategy throughout an organisation, deal constructively with different types of conflict, rapidly build high-performance teams and deliver sustainable change. The programme is designed to be 8 days (based on 6 delegates). This highly tailored programme combines a mix of activities; including psychometric assessments, ,classroom interactive learning and discussions to build on individuals’ strengths and address areas for development. Leadership Development Programme success stories Seven-figure savings at automotive manufacturer A leading manufacturer of high-quality trims for the automotive sector found that quality issues and long cycle times were affecting its internal and external customer relationships. Problems were going unresolved and staff felt they were not listened to when they proposed solutions. Furthermore, there were significant differences in output across shifts and roles and responsibilities were poorly defined and understood. 42 line leads and supervisors took part in Industry Forum’s Team Leader Essentials course. The delegates were split into six groups and the three workshop days were separated out to ensure each group progressed through the programme at the same rate. Each participant reported back on the application of their learning before progressing to the next instalment. This provided an impartial perspective on the level of their engagement and interest, helping senior managers to identify emerging leaders who had the potential to become future departmental managers. At the end of the three workshop days, each team leader pinpointed improvement projects within their own area of responsibility that would measurably impact quality, cost, delivery or safety. Where no monitoring and evaluation systems were in place, new ones were established to assess progress. During the six-month TLE programme, delegates identified over 50 projects that impacted quality, cost, delivery or safety. Numerous projects were completed by the end of the course, resulting in savings of over £20,000. Many others were in progress, promising to generate further savings of £1.2 million through changes such as: better inventory control; streamlining of ergonomics and reduction in distances employees needed to walk to complete tasks; cutting reworking by 20%; and improving health and safety, resulting in less time lost due to illness or injury. Supervisors were far more confident and effective at managing teams, resolving conflict, capturing and analysing performance data and solving problems at their roots. Customers that visited the site began to comment on how much progress had been made with 5S, Visual Management and the general morale of the entire organisation. The company now has a continuous improvement culture that is sustainable and supported by line leads, department managers and senior management. Standardising excellence in plastics Food and chemical sector customers of AST Plastic Containers UK appreciate the company’s high standards of quality and technical expertise gleaned over several decades of producing state-of-the-art plastics. The organisation wanted to develop the skills of the supervisors at its Wrexham site in order to instil and embed standardised shift management processes, ensuring the same level of excellence across every shift. It also wanted to enhance general leadership and management skills, improve safety and reduce costs. It was important that the skills learnt on the training translated into immediate, tangible impacts in shift output. Over the course of seven days of training and coaching, team leaders developed and implemented individual action plans, as well as working with an Industry Forum consultant to create and embed a standardised approach to shift management. The new technique involves a proactive approach to problem solving as well as visual management boards with daily and weekly targets. In parallel to the Team Leaders Essentials course, senior managers and departmental leaders took part in a Manufacturing Manager Training course. This enabled them to contextualise the importance of shift leaders managing teams effectively and support them to achieve business goals. Departmental leaders defined short-, medium- and long-term actions that encapsulated team leaders’ training objectives and aligned them with the organisation’s strategic vision. As a result of the training, team leaders and managers are equipped with in-depth knowledge of key lean manufacturing concepts such as 5S, Visual Management, Standard Work, Line Balancing and Problem Solving. Shift leaders no longer have to ‘jump on the line’ to reactively firefight problems, and departmental managers now play an active role in ensuring that the newly developed systems and culture are successful. Production output and staff retention have improved and the Wrexam plant has become a flagship for the rest of the company, leading the way in lean manufacture. Could you benefit from the Leadership Development Programme? Not sure where to start? Why not take our Talent Management & Skills Self-Assessment, aimed at Operational and HR professionals and receive a written feedback and the option of free Facetime feedback session with an Industry Forum expert to get recommendations that will help you to realise your leadership potential
July 9, 2019 Articles Every year, SMMT QMD – a division of Industry Forum shines a spotlight on the automotive quality management profession by hosting the world’s only Automotive Quality Management Systems (AQMS) Conference. At AQMS 2019, leaders and managers of automotive quality from around the world will come together to share their insights and strategies, and offer a glimpse of what is in store for the profession. To ensure your organisation doesn’t miss out, here are a few advantages you’ll want to share with your boss: Help Your Company Win From inspiring keynotes to networking with pioneers, AQMS 2019 is the place to interact with the best minds in the automotive quality profession today! You’ll come home with vital information, a stronger network, and a deep understanding of the tools that can help you improve quality at your organisation. Learn from Your Peers The inspirational agenda covers everything from intricate technical issues to big-picture business strategies. A unique three-track workshop agenda on day two means you’ll have access to an expansive range of content that’s right for you. You can customise your experience to ensure you gain the knowledge and insights that will make a real difference for your organisation. Experts in One Place Experts and strategists will be on hand to give you an exclusive preview of the latest updates, plus spokespeople from the IATF, VDA and ISO TC176 will give valuable updates with regards to their respective long-term vision and plans for the future. We hope that your time at AQMS will be just the beginning of your reimagination, and we look forward to seeing what you accomplish. We’ve got many big ideas to bring to the table, and we can’t wait to share them with you. There’s so much to share, learn, and discuss – and AQMS 2019 is the place to do it. To ensure you don’t miss out, we’ve developed a letter you can customise and share with your company. Just download the Word document below. Download Letter Download Event Flyer Book Now!
March 11, 2019 Articles With increasing pressures from consumers on short delivery times, track and trace functionality and a solid returns process, the pressure on logistics and distribution has never been so great. Reports from manufacturing groups indicate that Logistics and Distribution costs typically range between 5 – 15% of the cost of sales. Recent reports around additional costs for e-commerce suggest that this can be more than double for a purely e-commerce operation compared with the traditional models of supply. Pair that with the current political uncertainty and ever increasing demands to drive down costs, we ask whether the current logistics and distribution arena is at breaking point? Customer expectations have evolved rapidly in recent years; many calling this ‘The Amazon Effect’. Demand for responsive, high performing logistics solutions is being recognised across all sectors and all sizes of companies. We believe that a fresh approach to logistics and distribution strategy and management is essential to yield significant improvements in both service and cost reduction. Over the past couple of decades we’ve seen huge developments in logistics service providers. The majority of companies look to outsource these services where possible, often finding that there are both cost and service advantages to doing this. It’s true to say, that the initial move away in-house logistics and distribution to a seasoned 3rd party provider is often the time that the biggest benefits and cost reductions are achieved for many companies. But what about the years to come? With pressures to continually reduce costs often noted by industry professionals in logistics and supply chain operations roles, the practicalities of delivering consistent and worthwhile improvements can be extremely challenging. Part of the problem lies within the heavily structured RFQ and re-tendering process that many companies find themselves trapped within. With a process so rigid, there is almost no room for innovation and re-tendering inevitably becomes a penny pinching exercise. This causes frustration for all involved, and, doesn’t achieve the improvements that are desired by many. The process of re-tendering is often complex, requiring forecast volumes and movements to be provided based on unreliable information and an upfront commitment to these forming the basis of any future contract. This uncertainty leaves all parties feeling exposed and at risk of incurring substantial losses if forecasted volumes, networks or customer demands change. At Industry Forum, we take a fresh approach to logistics and distribution. By evaluating your current performance, the performance of any existing contracts, taking time to model your future requirements and understand the service expectations of your customers and the business, we provide you with a solid basis for negotiating significant improvements for your entire logistics and distribution operation. We talked to Richard Perriman, Vice-President of Supply Chain Development for Horizon International Cargo, to understand how this approach has benefited a number of his clients. Richard said “As one of the UK’s leading privately owned logistics organisations, we often receive unsolicited invitations to participate in RFQ processes. In many cases, the invitations are received with a broad, top line scope of requirements and an accompanying rate spreadsheet for completion. This practice only allows a bidder to respond with a “like-for-like” price for providing precisely the same solution as the incumbent provider – and gives little or no opportunity to add value or explore potential advantages for the client. Ultimately, this means that the client may, at best, achieve minimal cost savings, but miss out on realising significant improvements to their supply chain processes – which has the potential to reduce both direct and indirect costs by a considerable margin; far greater than any minimal rate saving.” But for some clients, a fresh approach to tendering for third party logistics services has allowed them to realised unprecedented benefits. Richard shared with us the details of one such particular case. “In a recent case, a prospect, who is now a client, agreed reluctantly to meet with us at the 11th hour of a protracted RFQ process. Within 30 minutes of our first meeting, we were able to identify cost savings in excess of £300,000 year-on-year, simply by applying a slightly tweaked process that the client had been unaware of. Our eggs-for-eggs pricing per FCL container was on a par with our competitors, so had we not engaged in that meeting the client would be paying £300,000 more p.a. than they are now. Obviously, it is not always possible to achieve such significant savings, however to simply award business to the lowest bidder, without exploring potential areas for improvement certainly reduces the scope for significant “wins”.” In return for a small investment of time, and openness to a different approach, you could achieve savings you never thought possible. If you want to make a change, but you’re not sure what to do, contact us today to arrange a confidential chat with one of our consultants. Our services around network remodelling, data and cost benefit analysis could also provide a useful insight as to potential improvement opportunities in your operation. We can support you through the end to end tender, negotiation and contract process to ensure you get the best deal possible. We can support you through project management of any transfer of goods and services as required. Make the most of your logistics and distribution operation by innovating with Industry Forum.
January 14, 2019 Articles, Industry Forum Blog, Insights, Supply Chain Development Supply Chain Training We offer a range of courses from basic introductions to advanced certifications covering all aspects of Supply Chain Management. Whether it’s physical logistics, a broad understanding of Supply Chain theory of inventory management or professional globally recognised certification, we have a course to suit you. For more detail take a look at our Supply Chain training courses or contact us today to discuss your individual needs. Supply Chain Consulting Areas The Supply Chain is so vast, it can often feel overwhelming. Industry Forum’s expert consultants have experience in successful and profitable change projects. Remove the worry and deliver results to be proud of with the support and guidance of our team. We also understand that there are times when you simply need an extra pair of hands. Our consultants can support you in a flexible manner to meet the needs of your business without tying you into lengthy recruitment processes. Benchmarking How well does your business perform compared to your competitors or leaders in other sectors? Benchmarking areas in supply chain can include: Goods In/ Goods Out Processing Warehousing and Distribution Supply Chain Management Procurement/ Purchasing Cost to Serve Analysis We calculate the true cost of buying, handling, storing and moving the products as separate elements of your supply chain, rather than the traditional accounting method of the blanket distribution of costs. This allows you to understand the true costs of supplying your customers and identifies areas for improvement and profit enhancement. Physical Supply Chain Reviews – Warehousing and Distribution Process Improvement: We analyse your processes and workflows to identify strengths, weaknesses and gaps. Warehouse Layout: We review your current layout and process flows and develop and design more efficient warehouse layouts to increase productivity and improve your supply. Systems and IT: Are legacy systems holding you back? Are your team reliant on excel spreadsheets and paper based solutions? If you don’t think you’re getting the most from your current system, or feel the time has come to invest to support growth, one of our advisors can review its performance and help to negotiate and implement an improved offering from your provider. Network Design and Warehouse Moves: Our team can model your future requirements, support you through: Evaluation and remodelling of your current operation Design and build or sourcing new warehousing Negotiating leasing of existing warehousing Managing the exit from your current premises Logistics and Transport The cost of logistics and transport is too often overlooked as a ‘necessity’ without real understanding of the performance, effectiveness and structure behind the operation. Our experts can help you to identify and manage the elements of your logistics and transport operation in order to optimise your solution and improve both service and profit. One of our team will manage any tender and contracting process from beginning to end, ensuring a smooth transition and clarity throughout. Forecasting, Demand and Inventory Management Poor forecasts, poor inventory management, and unsuitable demand planning processes could be costing you significantly; tying up capital and eroding your bottom line profit. We can help you to understand the root causes of the issues within your planning function and identify ways to resolve them. Sales and Operations Planning (S&OP) Sales and Operations Planning brings together Sales, Operations, Finance and Senior Management to ensure the heart of the business is aligned to the strategic direction of the Board. A fully integrated S&OP that allows for collaboration within the business in a structured and controlled way can be difficult to achieve, but not impossible. Our wealth of experience will ensure your S&OP process is right for you. With a focus on a simple, achievable process which delivers instead of a regimented process drowning in theory that does nothing to enhance your performance. Good S&OP doesn’t need to be complicated. We can design, implement and restructure your S&OP process and deliver internal training to ensure your team continue to make it work. Product Lifecycle Management Our unique approach includes a combined process review and improvement project along with tailored training to your team to ensure all future new product launches run smoothly. Managing end of life product to maximise sales whilst minimise remaining obsolete stock within your business is all part of our lifecycle management review. Supply Chain Systems Implementation From design, selection, right through to installation and transfer from legacy systems the potential for failure is enormous. It’s unlikely that the business will regularly do a system change – so why not let us support you? We regularly support businesses through systems implementation in: WMS, Automation in the warehouse, Forecasting and Demand planning systems, ERP systems, EDI systems, Operational Planning System as well as end to end financial management systems. Let us manage the implementation project so that your people can focus on what you hired them to do. At the end of the project, we can train and support your staff to ease the transition.
August 31, 2018 Articles, Resources IATF 16949, The Quality Management System for the Automotive Industry requires organisations to develop a way in which warranties will be managed. Before going any further it would be necessary to understand what the concept of warranty means. In a typical manufacturing environment we can distinguish three types of “bad feedback” sources regarding quality of the product: First – internal scrap / complaints – occur when the next process within the organisation detects non-conforming product. This type is the best source of data for making our processes better. Costs associated with this will mostly be confined within the organisation, without a need to hire external help. However it is essential that the organisation needs to address the causes and implement corrective actions. Second – so called “zero kilometre” complaints – this occurs when the direct customer (the organisation that uses your product to make parts) finds it’s not what it should be. Now there will be internal costs and external services to deal with, not to mention that our process of resolution needs to be fully in line with customer expectations which can vary between customers, adding to the complexity and cost of the entire process. Third is a field failure, actual warranty cases. It occurs when a problem is detected by the final customer (driver). Costs can rise easily to millions depending on how severe the case is, and if wider recall action becomes necessary. Recall action means that the organisation will replace all potentially faulty products in all cars already on the road. This is the main reason why organisations need to very carefully analyse all cases of failures to avoid warranty issues and if there is a warranty issue it needs to be very quickly identified, assessed, contained and removed before it escalates to recall action. A typical warranty case (even a single item) will already generate quite significant costs. Firstly, a dealership will charge the OEM (car maker) with labour and parts, then there are added logistics of bringing the faulty product to the OEM. The OEM will then perform their analysis (which, of course, is not free) and if a fault is recognised as originating from the supply chain, the same scenario will repeat down the supply chain with logistics, analysis, and so on, as presented in the graphic on the right1. To present the extent of this issue, in 2014 the global annual cost of warranty was in the range of 50 billion US dollars, which is a big increase compared to 30 billion in 2006. All of this means that organisations wanting to survive, and not lose their profits, must address the possibility of warranty cases in their Operational / Business Systems. This links to two clauses required by IATF 16949, which are located in section 10. “10.2.5 Warranty management systems When the organization is required to provide warranty for their product(s), the organization shall implement a warranty management process. The organization shall include in the process a method for warranty part analysis, including NTF (no trouble found). When specified by the customer, the organization shall implement the required warranty management process. 10.2.6 Customer complaints and field failure test analysis The organization shall perform analysis on customer complaints and field failures, including any returned parts, and shall initiate problem solving and corrective action to prevent recurrence. Where requested by the customer, this shall include analysis of the interaction of embedded software of the organization’s product within the system of the final customer’s product. The organization shall communicate the results of testing/analysis to the customer and also within the organization.”2 IATF 16949 presents the requirement but it’s down to the organisation to define the warranty process and how to analyse returned parts, bearing in mind that those parts are actually used, and may not be identical to products that are newly out of the production line. The answer has already been developed by VDA with input from OEMs and Suppliers, see graphic on the right1. It is called VDA Field Failure Analysis (VDA FFA). The objective of VDA FFA is to introduce a comprehensive concept for warranty returns analysis. This will consider processes and interactions involved, including analysis on various levels of depth and dealing with results. VDA FFA will also address how to approach cases when a defect is not discovered, which is referred to as a No Trouble Found (NTF) process. This standard might be an answer to managing your warranties in a value added way, not just to tick the box, and also will help the organisations to address IATF 16949 requirements. Industry Forum offers a two day course, developed by the German automotive industry Field Failure Analysis which defines a joint approach between the customer and supplier for the analysis of field returns including no fault found scenarios. Book now Purchase volume 1 Graphics used are part of VDA Field Failure Analysis training material 2 IATF 16949:2016 “Quality management system requirements for automotive production and relevant service parts organizations”
August 2, 2018 Articles The VDA 6.x regulations are designed for organisations in the automotive supply chain to provide a holistic quality management approach and possibility for 3rd party certification. To the carmakers (OEMs), it delivers a consistent and comparable assessment of their suppliers, associated services and service establishments, in terms of their quality management systems, processes, products and services. These are developed and described by VDA QMC Quality Standards for the German automotive industry in the VDA 6.x Volumes. The full set contains the following publications: VDA 6.1 : 2016 – QM System Audit – Serial Production VDA 6.2 : 2017 – QM System Audit – Service VDA 6.3 : 2016 – Process Audit VDA 6.4 : 2017 – QM System Audit – Production Equipment VDA 6.5 : 2008 – Product Audit VDA 6.7 : 2012 – Process Audit – Production Equipment – Product Creation Process / Unit Production Overview of the VDA 6.x Volumes VDA 6.1 (volume 6 part 1) VDA 6.1 – QM System Audit – Serial Production The VDA 6.1 Quality Management System is an extension of ISO 9001 for the automotive industry, originated within the German automotive sector. Organisations can obtain 3rd party certification against this standard. This will be recognised by most German based customers as an alternative to IATF 16949. VDA 6.1 dates back to the time of QS 9000 and altogether with French and Italian standards, was used to create ISO/TS 16949 in 1999. Although QS 9000 and other national equivalents are now obsolete, VDA 6.1 remained an alternative to ISO/TS 16949 certification, mainly in Germany. The current standard is the 5th edition from 2016, with essential requirements of ISO 9001:2015. From the 1st January 2017, this 5th edition replaces the 4th edition from 2010. VDA 6.2 (volume 6 part 2) VDA 6.2 – QM System Audit – Service The VDA 6.2 is a Quality Management System designed for service providers in the automotive industry. Organisations can obtain 3rd party certification against this standard. It focuses on services that are not recognised by IATF as eligible for standalone IATF 16949 certification, such as engineering offices, traders, dealers, warehousing or logistics providers. VDA 6.2 incorporates Annex SL (10 chapter structure of ISO 9001:2015). The current standard is the 3rd edition from 2017. The requirements for ISO 9001:2015, as well as the revised requirements for the industry in 2016 are valid for VDA Volume 6, Part 2 “QM-System Audit Service”, also referred to as VDA 6.2. VDA 6.3 (volume 6 part 3) VDA 6.3 – Process Audit The Audit Standard VDA 6.3 is a standardised procedure for the conduct of process audits to assess organisational performance and capability for their product realisation processes. The standard is intended to complement and reinforce widely adopted standards, such as ISO 9001, IATF 16949 and other sector specific quality derivatives of ISO 9001, such as those for aerospace and medical equipment. Such audits are a vital element in determining whether an organisation/supplier has the capability to meet the needs of a purchaser. Getting this judgement right can make all the difference to the success of a project. Applying the VDA 6.3 audit will support organisations in meeting the IATF requirements regarding manufacturing process audit. Some customers mandate the use of VDA 6.3 The current standard is the 3rd edition from 2016. VDA 6.3 has been completely revised, making it more precise, adapting to changing requirements in the automotive industry. VDA 6.4 (volume 6 part 4) VDA 6.4 – QM System Audit – Production Equipment VDA 6.4 is a Quality Management System designed for production equipment makers in the automotive industry. Organisations can obtain 3rd party certification against this standard. VDA 6.4 focuses on specialised, often non serial production like tools, machinery, appliances and testing and measuring equipment. The main goals for this volume are to assess the quality of the means of production and tools, as well as the appropriate cooperation with the customer. The current standard is the 3rd edition from 2017. The renewal of VDA 6.4 regulations was initiated by the publication of ISO 9001:2015, as this specific set of rules is based on ISO 9001. VDA 6.5 (volume 6 part 5) VDA 6.5 – Product Audit VDA 6.5 defines a code of practice for the management of product audit programmes. The product audit is one of the oldest methods which give a statement on the quality of products prior to their delivery to the customer. It assesses the effectiveness of quality assurance through the examination of a small number of products and/or parts and confirms the quality capability of the production process based on the quality of a product. Some customers mandate the use of VDA 6.5. Applying the VDA 6.5 approach will support organisations in meeting the IATF requirements regarding product audit. VDA 6.5 is currently the only available standard that describes how to prepare, plan and execute product audits. This standard can be used in any organisation regardless of production profile or industry. The current standard is the 2nd edition from 2008. VDA 6.7 (volume 6 part 7) VDA 6.7 Process Audit – Production Equipment – Product Creation Process / Unit Production The Process Audit Standard VDA 6.7 supports VDA 6.4 and is designed to audit a development and product realisation process for so-called unit or single production (very low volumes, one offs). Typical application is within an organisation that is producing tools, machinery, appliances and testing and measuring equipment. The current standard is the 2nd edition from 2012. If you need support regarding any of the above mentioned VDA volumes, please email [email protected]
July 27, 2018 Articles Common issues are holding back some automotive supply chain companies looking to gain the new IATF 16949 quality management before the deadline of September 2018. The new IATF 16949 standard is an internationally-recognised method of defining how an organisation can meet the requirements of its customers and other stakeholders. It promotes continual improvement, places an emphasis on defect prevention and aims to reduce variation and waste in the supply chain. By providing guidance and tools to ensure that products consistently meet customer requirements, the IATF 16949 certification process can help businesses identify potential efficiency gains and cost savings. Many holders of the ISO/TS 16949 quality management certificate looking to transition to the new IATF 16949 standard are struggling to achieve compliance. Global IATF 16949 audit result data reveals several hundred companies have faced major non-compliances in the areas of non-conformity and corrective action alone, with problem-solving, control planning and contingency planning also catching manufacturers out. There is a concern that many will fail to meet the transition deadline of September this year and face commercially damaging consequences where achieving the certificate is a customer requirement. Some are still yet to apply for the new standard. Industry Forum is the UK’s only IATF (International Automotive Task Force) accredited organisation. The deadline is fast approaching for the automotive supply chain to transition from the ISO/TS 16949 quality management certificate to the new IATF 16949 standard. Although transitions must be completed by September 2018, many holders of the old standard have yet to apply for the new one and many businesses currently applying for IATF 16949 certification are encountering difficulties. We at Industry Forum are seeing common issues among the companies we are brought in to support around the world. IATF 16949 audits are uncovering less rigorous risk management processes in departments supporting manufacturing, such as purchasing and HR. IATF 16949 also requires new ways of working in internal auditing and the documentation of corrective actions where non-compliance is uncovered. Interpreting the regulations is proving something of a challenge and that’s certainly something on which we at Industry Forum can provide clear guidance. To help businesses and organisations proactively anticipate these issues and more besides, Industry Forum runs a one-day Masterclass on the most common non-conformities, provides IATF Certified training to help with transition to IATF 16949, and offers expert consultancy, mentoring and advice for transition. Industry Forum is also able to offer standard training packages around Internal Auditor, Lead Auditor and Automotive Core Tools. The company develops bespoke solutions to help and support companies in their transition process and also in the closure of non-compliances identified during their transition audit. Find out more
July 10, 2018 Articles MMOG/LE is the global standard for supply chain management processes, providing industry best practices. A supplier self-assessment and continuous improvement tool, MMOG/LE facilitates improvements in materials management efficiency and accuracy, while reducing costs from errors and waste. The tool can be used by both suppliers and customers throughout the entire product life cycle, including early product development and pre-production phases, and the post-production aftermarket/service phases as an essential aid to continuous process improvement. Referenced in Annex B of the Automotive Quality Standard IATF16949, MMOG/LE is identified as a best practice approach to Supply Chain Management. In many cases, the use of the tool is mandated by major automotive OEMs to their global supply base for self-assessment and reporting of their logistics capability. The current version of Global MMOG/LE (Version 4) was first released in 2014 and now needs to be reviewed in order to ensure that it takes account of the constant evolutions in supply chain processes and technology. A team of supply chain experts from Odette and AIAG member companies has therefore been assembled to define the new requirements for Version 5 of the tool. The preliminary vectors of change for Version 5 include: Risk management Cybersecurity Digitalisation Industry 4.0 Alignment with IATF 16949 The new Version 5, which is planned for release in Q1 2019, will quickly become the required standard for self-assessment by automotive suppliers and we expect customers to be announcing their V4 to V5 migration plans over the coming months to ensure that their suppliers have sufficient time to bring their logistics operations up to speed. MMOG/LE intends to improve the assessment process through use of increased technology The use of an Excel based assessment process has been in place for years and has supported MMOG/LE very well. However, with the ever increasing pace of change and improvement in communication technology Odette is working now on improving the current Excel methodology. A modern browser based application called MMOG.np, which is a new platform, has been developed with MMOG/LE users from both sides of the Atlantic involved in the development and testing to ensure that the platform meets not only the current needs but prepares for the future needs of customers and suppliers in the automotive supply chain. Based on a powerful underlying database MMOG.np will include the following key features: Comprehensive maintenance of data Dedicated functionalities for customers and suppliers Unlimited number of users with controlled access Multiple assessment sites, MMOG versions and Customer profiles Multi-language Use of previous assessments as templates Import/export of assessments from and to the current Excel based tool Functionalities expected from a state of the art IT tool audit trail user access management data security MMOG.np will be available from Odette from Q2 2018 to use with Version 4 of the MMOG/LE catalogue while MMOG/LE Version 5 to be published in Q1 2019 will only be available on the MMOG.np platform. Industry Forum is the UK official Odette Training Provider and are a leader in expertise and involvement in the MMOG/LE community. Not only that, but Industry Forum’s Mike Dickinson is chair for the European user group and is a member of the global group representing Odette. If you require help and support from the training group which is closest to the future development of MMOG/LE Get in touch
April 5, 2018 Articles Why is IATF 16949 a good idea for your organisation? The benefits of IATF 16949 cannot be over-stressed, companies large and small have gained great benefits from using the standard by discovering cost and efficiency savings. Some of the other benefits are listed below. Credibility and image IATF 16949 is an internationally recognised standard; it has become the basis for creating a Quality Management System (QMS) around the world and has replaced many previously published requirements. When a customer is looking for a supplier the requirement to have a QMS based on IATF 16949 is often a major consideration if you are competing for work in the automotive industry. Credibility to supply the automotive industry This can be one of the main drives for companies to become registered to IATF 16949. In order to get large customers from the automotive industry, organisations need to demonstrate their ability to provide quality products with no defects. Improvement One of the 7 quality management principles subscribed to by IATF 16949 is to improve customer satisfaction by planning for and striving to meet customer expectations. This can be achieved by improving customer satisfaction which will result in customer retention and repeat business. Happy and satisfied customers are the key to keeping customer loyal. Process approach Through looking at the process sequence and interactions using the process approach of IATF 16949 organisations will be able to identify improvements in efficiency and drive cost savings. Again, the elimination of waste throughout the supply chain that occurs is one of the fundamental goals of IATF 16949. Decision making Another quality management principle of IATF 16949 is the use of evidence-based decision making. By driving your decisions based on factual data, organisations will focus on placing resources in the areas that will give maximum improvement in efficiency and effectiveness. In addition monitoring the process organisations will be able to measure improvement based on actual data. Continual improvement Continual improvement is another quality management principle of IATF 16949. By improving your processes, organisational output efficiencies and cost savings, can be then a measurable benefit. By making continual improvements, year on year, companies can see continuing benefits. Employee motivation and empowerment If employees are involved in the improvements of the processes they become more engaged. Who is better placed than the people working within the processes to identify the areas of improvement. Engaged employees are more productive and will help the company improve and save, especially if they understand how the quality of the process depends on them and the impact it can have on the customer.
