Supplier Partnership Management Handbook
Engineering GREAT Solutions
IMI Precision Engineering
IMI Precision Engineering intends to build a partnership with our supplier base that benefits both suppliers and IMI in terms of quality, cost and delivery. It is our commitment to drive a customer focused zero defect culture that targets the elimination of waste in all facets of our business. IMI Precision Engineering businesses will follow the IMI Precision Engineering Factory Floor Quality System as our common approach to quality. This embraces the IMI Advanced Product Quality Planning process while striving for a lean culture both internally and externally within our supply chain. Our senior management are 100% committed to this philosophy. Our goal is to reduce variation and exceed our customers’ expectations in all areas of the business. Our suppliers are the key to ensuring satisfied customers and to enable us to deliver products on time from a competitive cost base. To this end, we as IMI Precision Engineering are looking to partner with our supplier base to bring about a cultural change. The Supplier Partnership Program is designed to guide us and our suppliers through this shift from compliance to commitment. Through controlled standard operating procedures from supplier selection to product approval and in to serial production, it will provide both IMI and suppliers with a base to achieve all our objectives. This handbook is a guide to how each of our processes fit together, supporting the company’s long term philosophy from today while building our vision for the future.
Massimo Grassi, Divisional Managing Director, IMI Precision Engineering
2
Supplier Partnership Management Handbook
Index 04
Supplier Quality Policy
06
Supplier Partnership Management
08
Module 1. Supplier Sourcing & Selection
10
Module 2. Supplier Part Approval
12
Module 3. Serial Production
16
Module 4. Supplier Monitoring
18
Module 5. Supplier Development
20
Module 6. Supplier Escalation & Exit
22
Supplier Partnership Management Overview
26
Program Implementation Assessment
27
Glossary
Documentation This Handbook serves as reference and provides an overview for the Supplier Partnership Management Program. It enables all IMI Precision Engineering employees to understand how we improve our supplier quality performance by: • The emphasis on leadership • A consistent approach across supplier management systems • The focus on risk prevention and continuous improvement Each site will incorporate these standard operating procedures and associated forms into its individual Quality Management System. This handbook and all related documentation will be controlled at the global level and accessible via the IMI Precision Engineering Intranet: https://intranet.imi-precision.com
3
IMI Precision Engineering
Supplier Quality Policy Reactive to Proactive Over the years, our customer base has continued to adopt more stringent requirements related to quality, delivery and cost. We acknowledge that having a supply base that is capable of performing at high levels of excellence will be critical to meeting these ever increasing demands, ultimately resulting in success for both parties. Therefore, IMI Precision Engineering is committed to partnering with our supply base to achieve the highest standards in Quality, Delivery and Cost.
Engineering APQP
Advanced Product Quality Planning
Operations FFQS
Quality Systems
Factory Floor Quality System
Procurement SPM
Supplier Partnership Management Program
The Supplier Partnership Program is an integral part of the drive to create a culture needed to be successful in an increasingly competitive environment. It complements the lean journey of continuous improvement that IMI Precision Engineering is on and integrates the Factory Floor Quality System and the Engineering APQP Process at the centre of it. IMI Precision Engineering will act to create better partnerships with our Suppliers and extend the continuous improvement culture to our Suppliers as per the Quality principles set out below, with the objective of shifting from a Reactive to Proactive process.
4
Supplier Partnership Management Handbook
Four Quality Principles of IMI Precision Engineering Zero Defect acceptance culture to deliver world class quality levels across all business processes. Engaged Leadership style with a “go see” culture driving our disciplined approached to problem solving. Responsibility for Quality by all, recognizing our collective strength in meeting our customers’ expectations. One Solution for standard work practices and use of common tools in all that we do driving a continuous improvement culture.
5
IMI Precision Engineering
Supplier Partnership Management This Handbook serves as reference and provides a framework for the Supplier Partnership Management program and its standard operating procedures and associated tools. To ensure a consistent approach, each site will incorporate this into its individual Quality Management System. We need everybody’s engagement, from supplier, to IMI management to plant level, in order to create a real culture change from Reactive to Proactive.
Change Management
Supplier Sourcing & Selection Supplier Escalation &/Or Exit
Supplier Part Approval
Serial Production
Supplier Development
Supplier Monitoring
6
Receiving Inspection & Ship to Stock
Nonconformity Management
Supplier Partnership Management Handbook
Supplier Sourcing & Selection • Preferred Supplier List • Supplier Sourcing and Selection • Supplier Statement of Work • Letter of Nomination
Supplier Part Approval • Supplier Product Approval • Supplier Process Sign Off
Serial Production • Receiving Inspection & Ship to Stock • Change Management • Non-Conformity Management
Supplier Monitoring • Supplier Scorecards • Supplier Assessment Survey • Supplier Risk Analysis • Supplier Performance Manual • Supplier Tooling Management
Supplier Development • Supplier Development • Supplier Workshop • Training Tools
Supplier Escalation & Exit • Supplier Escalation Process • Supplier Exit Management
Legend SOP
Standard Operating Procedure Supplier Involved
FFQS
Factory Floor Quality System
T
Tool Available
T
Tool Available upload
7
IMI Precision Engineering
1
Supplier Sourcing & Selection
8
Supplier Partnership Management Handbook
This module is intended to define and inform how we select suppliers for each sourcing decision. Procedures are designed to ensure that as an organisation we are developing strategic suppliers and limit our number of active suppliers. Module Supplier Sourcing & Selection T1
Sourcing approval for direct material and tooling detected START
T5
T2
Is Supplier on Preferred Supplier List?
SOP 2
YES
SOP IPE-P10-002
Sourcing and Selection
SOP IPE-P10-001
SOP 8
1
T9 T8
Module Supplier Part Approval
Module Supplier Monitoring
• Identify potential suppliers (priority for Preferred Suppliers) • Communicate requirements • Evaluate Supply Chain Risk • Perform Supplier Assessment Survey • Select & Approve supplier
SOP
Preferred Supplier List
Developed to ensure that as an organisation we are prioritising preferred suppliers and limit our number of active suppliers. The list provides names and information of suppliers by category, to guide any procurement decisions for both new and resourcing activities.
SOP
Supplier Sourcing and Selection
Process to be adopted for approval of all sourcing decisions. This works together with the Preferred Supplier List, to ensure we source the right suppliers for the parts taking into account all requirements and ensure that the suppliers meet all of IMI Precision Engineering’s expectations.
• Communicate feasibility of parts • Allow and support risk analysis and assessment surveys • Improvement plan if required
Supplier
Main Responsibilities
Supplier Statement of Work This document clarifies all the upfront requirements of the products as well as roles and responsibilities surrounding commercial, technical, functional, quality and logistics. It provides the supplier with the correct information to achieve cost and quality objectives over the product life. It enables transparency between the supplier and IMI, ensures a complete understanding of the requirements and allows the nomination of the supplier. Letter of Nomination Letter to inform the supplier they have been nominated as the non-exclusive production source for a set of parts/project. It does not constitute an order for goods/ services or investment for production, and does not mean a guarantee of volumes or future business. 9
IMI Precision Engineering
2
Supplier Part Approval
10
Supplier Partnership Management Handbook
This module is designed to put in place a supplier parts’ advanced quality plan, which will support the development of a product to enable customer satisfaction. Module Change Management Module Supplier Part Approval
A
YES
NO
A
T10
Module Supplier Sourcing & Selection
Supplier Product Approval
Need to change supplier? NO
SOP 10 T11
IPE-P10-006
T13
Final IMI / Customer Validations
Fully Approved?
YES
Notify Approval to Supplier
Supplier Serial Production Release
Module: Supplier Monitoring
• Ensure Product Approval workbook for project is up to date • Perform Audit for Supplier Process Sign Off
SOP
Supplier Product Approval
A planning and communication tool for project stakeholders from both IMI and Supplier, to ensure that all required steps for Part Approval are completed on time, and according to APQP timeline. All major product and process changes within the supplier base will be managed through this process and controlled using the Product Approval Workbook.
• Maintain Product Approval workbook (supplier section) • Allow and support audit for process sign off • Implement improvement program if required
Supplier
Main Responsibilities
Supplier Process Sign Off It verifies the effective implementation of quality systems and evaluates suppliers’ manufacturing readiness. It is a Product Process Approval Audit to ensure that product expectations are fully complied with. It is mandatory before releasing serial production. This document is also part of Supplier Monitoring Module.
11
2
IMI Precision Engineering
3
Serial Production
12
Supplier Partnership Management Handbook
Receiving Goods Factory Floor Quality System Non-Conformance Management Module Receiving Goods NO
SOP 17
Supplier Serial Production Release
Receiving Inspection
SOP IPE-P10-011
Conforming material?
YES
IMI Standard Production
3
• Identify parts eligible for Part Certification & manage process • Follow up with Suppliers to regain certification status after a change or non conformity.
SOP
Receiving Inspection & Ship to Stock
Defines a process by which the suitability of incoming material will be evaluated for conformance to requirements prior to being accepted into inventory and enable eligibility for ship to stock receipts.
• Support IMI Receiving Inspection process & documentation • Ship goods in full conformance to requirements
Supplier
Main Responsibilities
Part Certification process Part of Receiving Inspection SOP, it defines criteria and process for parts with consistently good receiving inspection results to be subject to lighter inspection procedures. Parts will be decertified if a defect is found downstream or a new drawing revision level is released.
13
IMI Precision Engineering
Change Management Module Change Management
VAVE, Engineering, Process, or Tooling change at current supplier START
T15
IMI Change Request and Notification
Supplier submits Change Request Form
FFQS T15
SOP IPE-E2-002
Initial approval?
3
NO
Reject Change END
YES
Module Supplier Part Approval
• Initial evaluation of change request coming from Suppliers • Initiate IMI internal Change Request process • Communicate final decision
Supplier Change Request Form All change requests to a product or process proposed by the supplier will be managed and communicated through this document. This should interface with Internal IMI Change Request process defined in the Factory Floor Quality System.
14
• Submit requests for Change to IMI, in order to get approval
FFQS
Supplier
Main Responsibilities
IMI Change Request Form
Once the Supplier Change Request Form is received from the Supplier, then internal IMI Change Request process should be triggered, as defined in the Factory Floor Quality System. All change requests to a product or process, and the resulting notifications, will be managed and controlled through this procedure.
Supplier Partnership Management Handbook
Non-Conformance Management Factory Floor Quality System Non-Conformance Management FFQS
Supplier Non-Conformity Detected (Line/Customer) START
Control of Nonconforming Product
FFQS
T14
Need Deviation Authorisation?
SOP IPE-Q13-005
NO
Corrective and Preventive Actions
T14
SOP IPE-Q13-001
YES
Module Supplier Escalation & Exit
FFQS
Deviation Authorisation
T16
SOP IPE-E2-004
Execute Disposition & Save Record
3
Module Serial Production
• Quarantine non-conforming products. • Run Return to Vendor action • Communicate and manage nonconformances with Suppliers until resolution. • Control concerns using 3C/8D or other applicable tool
FFQS
Control of Non-Conforming Product
This procedure outlines the method for the identification, segregation, and disposition of nonconforming material. Disposition is determined by a cross-functional material review board.
• Fast replacement of parts and containment action plan • Root cause analysis, corrective and preventive action plan within IMI timings and expectations • Share Cost of Poor Quality • Communicate any non-conformances found at suppliers’ and impact to deliveries/quality
Supplier
Main Responsibilities
The 8D methodology will be used for all confirmed supplier rejects for which the root cause is unknown and the appropriate corrective actions are not evident. Procedure coming from the Factory Floor Quality System.
Procedure coming from the Factory Floor Quality System.
FFQS
FFQS
This procedure defines the steps required to request and authorise the deviation of a product or process compared to its specification.
Corrective and Preventive Actions
When products and services do not meet expected requirements, actions will be taken to correct the non-conformance with a goal of preventing its recurrence.
Deviation Authorisation
Procedure coming from the Factory Floor Quality System.
15
IMI Precision Engineering
4
Supplier Monitoring
16
Supplier Partnership Management Handbook
This module outlines the monitoring standards, to ensure that suppliers meet IMI Precision Engineering’s requirements and targets at all key areas of business. Module Supplier Sourcing & Selection
IMI Standard Production
Module Supplier Part Approval
Module Supplier Monitoring T6
T3
Supply Chain Risk Analysis
T4
SOP 3
SOP IPE-P10-003
T6
Supplier AssessmentSOP 19 Survey (SAS), from
IPE-P10-008-F001
Module Supplier Monitoring
Supplier Performance Manual IPE-P10-005
T7
T12
Supplier Loan Tooling Management
SOP 18 T18
SOP IPE-P10-007
Supplier Process Sign Off (SPSO)
T13 SOP 19
IPE-P10-008-F002
T20
Supplier Performance Monitoring
T13
SOP 19
SOP IPE-P10-008
Module Supplier Development Module Supplier Escalation & Exit
Procedures to be Regularly updated
• Circulate Supplier Scorecards • Regular risk evaluations • Regular Supplier Assessments • Maintain Loan Tooling database • Apply Supplier Performance Manual & Tooling contracts
SOP
Supplier Performance Monitoring
Defines the minimum standards and means for IMI to monitor suppliers’ performance. The different tools associated enable promotion of supplier-led improvements through performance information feedback and establish a baseline for supplier development and corrective actions.
• React to received Scorecards • Allow and support risk analysis and assessment surveys • Plan & run improvement actions • Acknowledge receipt of Supplier Performance Manual
SOP
Supplier Assessment Survey Audit of the Supplier Quality Systems. Suitable for all IMI Suppliers, to support sourcing decisions and continuous improvement as it reviews all aspects of a supplier including systems and its application, to enable a gap analysis within the business. This absorbs the responsible business and IMI code of conduct audits.
4
Supply Chain Risk Analysis
All suppliers pose some level of risk to IMI. This provides a tool to evaluate and monitor risks, considering various factors such as past performance and key company financials. Each supplier is plotted on a matrix of probability against impact. A Risk Mitigation action plan should be created and followed when high risks are identified.
Supplier Scorecards Visual tool to measure, monitor and communicate the supplier’s performance and its evolution. This dashboard displays a rating according to the different indicators defined on the Supplier Performance Manual, including quality, delivery and cost aspects. It allows easy identification of high performing and low performing suppliers.
Supplier
Main Responsibilities
Supplier Performance Manual The purpose of this manual is to clearly define expectations regarding supplier performance. The objectives are for IMI Precision Engineering and its suppliers to mutually benefit from adopting the principles within this manual and provide the foundation for continuous improvement within the supply chain.
SOP
Supplier Tooling Management
Developed to ensure all stakeholders, including the supplier, understand their roles and responsibilities when dealing with tooling. Supplier Tooling Management Database allows monitoring of Loan Agreements, assets tags, tool conditions and tool life expectancy, also highlights risks to the business so to take appropriate actions. 17
IMI Precision Engineering
5
Supplier Development
18
Supplier Partnership Management Handbook
Development of tools to support continuous improvement and training at the supplier, also allowing a more structured report with better management review process.
Module Supplier Development Module Supplier Monitoring
T21 SOP 21
Supplier Development
SOP IPE-P10-010
Module Supplier Escalation & Exit
• Support Zero defects policy internally and externally • Lead Supplier Development Strategy • Lead Supplier Development workshops • Maintain Supplier Development Board
SOP
Supplier Development
Outlines critical steps to implement site based Supplier Development Groups, a standard methodology to improve supplier performance and develop strategic partnerships. Following identification and site alignment, a development plan shall be completed for the selected suppliers. Supplier Development Visual Board Regroups key information from strategy definition to performance monitoring of the Key Suppliers. It displays contents such as: Top Performing and Under Performing Suppliers, Current Year Goals and Objectives, Supplier KPIs and Scorecard results, Non-conforming material dispositions, etc.
• Support Zero defects initiative • Input and implement Supplier Development plan • Support Development and Productivity workshops
Supplier
Main Responsibilities
5
Supplier Productivity Workshops Collaborative multiple day workshops held at the Supplier’s manufacturing facility. These deep dive workshops identify opportunities in efficiency, defect detection and prevention, process, tool design, APQP and error proofing. Workshops can be utilized to drive cost downs or mitigate cost increases through quality and productivity improvements.
Supplier Training Tools Different set of trainings are available, to either support workshop or run separate trainings if gaps are detected during any stage of supplier monitoring and development. Examples: Zero defect, 8D, Poka-yoke, etc.
19
IMI Precision Engineering
6
Supplier Escalation & Exit
20
Supplier Partnership Management Handbook
Module Supplier Sourcing & Selection
Module Supplier Escalation & Exit
T23
Supplier Exit Process YES
NO
Module Supplier Development Module Supplier Monitoring
NO SOP 22
Supplier Escalation
IPE-P10-009
New business hold required?
Successful?
Supplier Exit Potential?
YES
NO
Factory Floor Quality System Non-Conformance Management
• Inform supplier of escalation process and ramifications • Implement appropriate level of Supplier Management Review • Evaluate Supplier for new business hold • Establish Exit Management Governance & Transition plan
• Provide a documented improvement plan (SMR1) • Daily/ weekly updates to plant manager as required (SMR2) • Support Exit Management Governance
Supplier
Main Responsibilities
6 SOP
Supplier Escalation Process
Defines a Supplier Management Review process (SMR), a process for escalation of supplier’s issues affecting IMI Precision Engineering if normal controls are failing to achieve acceptable performance with the final step resulting in potential de-sourcing of the supplier. This involves both IMI Precision Engineering and the Supplier at various management levels.
Supplier Exit Process The multiple stages of escalation process can ultimately result in exiting a supplier if improvement and alignment of targets is not achieved. This document provides guidelines to support Supplier Exit process and ensure correct management.
21
IMI Precision Engineering
Supplier Partnership Management Overview Supplier Partnership Management Full Flowchart Overview LEGEND T
SOP
Tool Available
FFQS
SOP Available
SOP From Factory Floor Quality System Procedures to be Regularly updated
3
Module Change Management T15
VAVE, Engineering, Process, or Tooling change at current supplier START
IMI Change Request and Notification
Supplier submits Change Request Form
FFQS T15
SOP IPE-E2-002
Initial approval?
NO
Reject Change END
YES
2
Module Supplier Part Approval
A
1
Module Supplier Sourcing & Selection
YES
NO
Sourcing approval for direct material and tooling detected START
A
T1 T5
T2
Is Supplier on Preferred Supplier List?
SOP 2
SOP IPE-P10-002
T9
SOP 8
Sourcing and Selection
YES
T11
Supplier Product Approval
SOP IPE-P10-001
NO
SOP 10
T10
T8
Need to change supplier?
IPE-P10-006
Final IMI / Customer Validations
T13
Fully Approved?
YES
NO T3
Supply Chain Risk Analysis
SOP IPE-P10-003
Module Supplier Monitoring
22
T4
SOP 3
T6
Supplier Assessmen tSOP 19 Survey (SAS)
IPE-P10-008-F001
T7
Supplier Performance Manual IPE-P10-005
T12
Supplier Loan Tooling Management
SOP IPE-P10-007
SOP 18 T18
Supplier Process Sign Off (SPSO)
T13 SOP 19
SOP IPE-P10-008-F002
Supplier Partnership Management Handbook
6
Module Supplier Escalation & Exit
A
Supplier Exit Process
T23
YES
NO
New business hold required?
NO SOP 22
Supplier Escalation
B
Factory Floor Quality System Non-Conformance Management
Control of Non conform ing Product
NO
Need Escalation?
NO
SOP IPE-Q13-005
YES
YES
FFQS
Supplier Non-Conformity Detected (Line/Cus omer) START
Successful?
IPE-P10-009
3
Supplier Exit Potential?
FFQS
T14
Need Deviation Authorisation?
NO
Corrective and Preventive Actions
NO
T14
YES
Issue solved?
SOP IPE-Q13-001
YES
FFQS
Deviation Authorisation
SOP IPE-E2-004
T16
YES
Execute Disposition & Save Record
3
Notify Approval to Supplier
Module Incoming Goods
Concern Resolved END NO
Supplier Serial Production Release
SOP 17
Receiving Inspection
SOP IPE-P10-011
Conforming material?
YES
IMI Standard Production
4
5
Module Supplier Monitoring T6 T20
Supplier Performance Monitoring
Module Supplier Development
T13
T21 SOP 21
SOP 19
Supplier Development
SOP IPE-P10-010
SOP IPE-P10-008
B
Procedures to be Regularly updated
23
IMI Precision Engineering
Overview of Tools & SOP TY P E
R ES P
0 Supplier Partnership Management Handbook
ACTIVITY / TOOL
-
Al l
Ongoing
1 Non-Disclosure Agreement (NDA)
T ool
Buyer
Every Supplier Change
2 Preferred Suppliers
SOP + Tool
Buyer
Ongoing
3 Supply Chain Risk Management
SOP + Tool
Buyer
Update Annually (min.)
4 Supply Chain Risk Mitigation
SOP + Tool
Buyer
5 Supplier Statement of Work (SSOW)
Tool
Buyer
TG1
TG2
TG3
TG4
TG5
TG6
TG7 PR ODU CTION / S E R I AL CON DITION S
Update Every 3 months (min.) R
R
R
Every Engineering or Supplier Change
6 Supplier Assessment Survey (SAS)
T ool
SD/SQ
Update Every 3 years (min.)
7 Supplier Performance Manual
T ool
Buyer
Ongoing
8 Supplier Sourcing and Selection
SOP + Tool
Bu y e r
Every Engineering or Supplier Change
9 Letter of Nomination (LON)
Tool
Buyer
SOP + Tool
SD/SQ
10 Supplier Product Approval
Every Change at supplier, or Supplier Change
11 Other Supplier Agreements
T ool
Buyer
Ongoing
12 Supplier Loan Tool Agreement
T ool
Buyer
Ongoing
13 Supplier Process Sign Off (SPSO)
Tool
SD/SQ
Every Change at supplier, or Supplier Change + Process Inactivity >1year
14 Non Conformance Management (NCM)
SOP + Tool
SD/SQ
Ongoing
15 Change Management
SOP + Tool
SD/SQ
Every Change at supplier, or Supplier Change
16 Deviation Request
SOP + Tool
SD/SQ
Every Change at supplier
17 Receiving Inspection
SOP
Quality
Ongoing
18 Supplier Loan Tooling Management
SOP + Tool
Buyer
Update Annually (min.)
19 Supplier Performance Monitoring
SOP
SD/SQ
Ongoing
20 Supplier Scorecards
T ool
SD/SQ
Update Monthly
21 Supplier Development Tools
SOP + Tool
SD/SQ
Ongoing
22 Supplier Escalation Process
SOP
SD/SQ
Ongoing
23 Supplier Exit Management
Guidelines
Buyer
Ongoing
24 SDE/SQE Taining Matrix
T ool
SD/SQ
Ongoing
25 Preferred Supplier (List maintenance)
-
IMI Central
Update Monthly
26 Supplier Performance Manual (Maintenance)
-
IMI Central
Update Annually
27 Supply Chain Risk Management (Maintenance)
-
IMI Central
Update Annually
24
Pr efe r St red ra Su te p Co gic plie mm Su rs p Ne erc plie w i a rs Ne Su p l Su w p li pp Ne Prod er liers w uc Ne Prod ti on w uc S Ne Prod t - i te w u Pl a Mo To o c t - tf or di f li ng Mi m P no ro Mo i ca r P je c d t io ro t Mo i fi ca n j ec di f t ion Pri t Mo i ca - m a di f t ion S e ry P c i r Pr ca - on oc oc t i Pr d a es es on od ry s s I na - To uc t Pr oc es c t i o li n s vi t g y( > 1 Ye ar )
Supplier Partnership Management Handbook
Supplier Type
Project Type
SCOPE OF APPLICATION (as minimum)
R elat ed Files
Module
O
O
O
Supplier Partnership Management Handbook
-
M
M
M
Non-disclosure Agreement – User Notes
1
O
a) IPE-P10-002 Preferred Suppliers SOP b) IMI Precision Preferred Suppliers List d) IPE-P10-003 Supply Chain Risk Questionnaire Template a) IPE-P10-003 Supply Chain Risk Management SOP b) IPE-P10-003 Supply Chain RiskManagement Guidelines e) IPE-P10-003 Supply Chain Risk Management Letter Template c) IPE-P10-003 Supply Chain Risk Management Tool a) IPE-P10-003 Supply Chain Risk Management SOP b) IPE-P10-003 Supply Chain Risk Mitigation Actions Template
M
1 4
M
M
M
M
O
M
M
M
IPE-P10-001-F002 Supplier Statement Of Work (SSOW) Template
1
M
M
O
IPE-P10-008-F001 Supplier Assessment Survey (SAS) Template
4
4
M
M
IPE-P10-005 Supplier Performance Manual
4
M
M
a) IPE-P10-001 Supplier Sourcing and Selection SOP b) IPE-P10-001-F001 Sourcing Recommendation Form (SRF) Template
1
O
O
O
IPE-P10-001-F003 Letter of Nomination (LON) Template
1
O
O
O
a) IPE-P10-006 Supplier Product Approval SOP b) IPE-P10-006-F001 Supplier Product Approval Workbook Template
2
O
O
O
-
-
O
O
O
IMI Supplier Tooling Agreement
-
O
O
O
IPE-PE-008-F002 Supplier Process Sign Off (SPSO) Template
2
M
M
M
3
M
M
M
M
M
M
a) IPE-Q13-005 Control of Non-conforming Product c) IPE-Q13-004 8 Discipline (8D) Problem Solving b) IPE-Q13-001 Corrective Action and Preventive Action d) IPE-M3-005 3C Problem Solving a) IPE-E2-002 Change Request and Notification b) IPE-E2-002-F001 Change Request and Notification Form c) Suppler Change Request Form a) IPE-E2-004 Deviation Authorisation b) IPE-E2-004-F001 Deviation Authorisation Form
M
3 3
M
M
M
I PE-P10-011 Receiving Inspection SOP
3
M
M
M
a) IPE-P10-007 Supplier Loan Tooling Management SOP b) IPE-P10-007-F001 Supplier Tooling Management Database
4 4
M
M
M
IPE-P10-008 Supplier Performance monitoring
M
M
O
-
4
O
M
O
a) IPE-P10-010 Supplier Development SOP c) IPE-P10-010-F001 Supplier Development Board Template b) IPE-P10-010-F002 Supplier Development Workshop Planning Tool d) Other training tools
5
M
M
M
a) IPE-P10-009 Supplier Escalation SOP b) IPE-P10-009 F001 Supplier Escalation - SMR Notification letter
6
M
M
M
Supplier Exit Management Guidelines
6
Training Matrix SDE /SQE
-
IPE-P10-002 Preferred Suppliers List Precision
-
IPE-P10-005 IMI PE Supplier Performance Manual
-
IPE-P10-003 Supply Chain Risk Management Tool
-
LEGEND Document should be finished Document in progress or planned R Document review / New revision signed M Mandatory O Optional. Applicable depending on Project Type criteria (columns P-Y) Tool/SOP to be applied on given circumstance (project type) 25
IMI Precision Engineering
Program Implementation Assessment The Procurement Audit has been developed to enable IMI Purchasing teams to review the implementation of all new SOPs launched with the Supplier Partnership Program and ensure they have the support required. The audit will also cover the main drivers and metrics for the department, detail the supporting documentation and suggest standard improvement actions for each section of the audit. The Audits will be carried out regularly with sites auditing each other’s processes, sharing the learnings and best practices across the IMI Precision procurement community.
Supplier Escala;on & Exit
Supplier Development
General 10 9 8 7 6 5 4 3 2 1 0
Supplier Monitoring
Procurement Objec;ves
Supplier Sourcing & Selec;on
Supplier Part Approval Serial Produc;on
A total score above 85% is considered “Fully integrated supplier Partnership program”, a score from 65% - 85% is considered “Supplier Partnership program adopted needs continuous improvement” and a score below 65% will be considered as a “Supplier Partnership program not operational”.
Sharing across sites As part of the drive towards collaboration and knowledge sharing, the Supplier Partnership program tools will be shared and maintained on Workspaces for all IMI Precision Engineering sites. This tool database should allow us all to work towards the same goal of shifting from a Reactive to a Proactive process and prevent any of the sites replicating any work already carried out with any suppliers. This will also allow a better overview of our suppliers, especially interesting for those which are shared across sites. The following tools (shown by the symbol ___ on the flow diagrams) once completed by the individual sites will be shared on Workspaces following the implementation of the program: · Supplier Assessment Survey · Supplier Product Approval & Supplier Process Sign Off · Supplier Workshops · Sourcing Recommendations · Supply Chain Risk Analysis · Tooling Database & Tooling Contracts 26
Supplier Partnership Management Handbook
Glossary Term
Definition
APQP
Advanced Product Quality Planning
PPAP
Production Part Approval Process. A standardized process that helps manufacturers and suppliers communicate and approve production designs and processes before, during, and after manufacture.
Preferred Supplier
A list of the selected preferred suppliers of each category where a site has significant activity, as defined on the Preferred Suppliers standard operating procedure. This list should help guide procurement decisions for both new and resourcing activities.
Return to Vendor (RTV)
Non-conforming material which is returned to vendor, according to IPE-Q13-005 Control of Non-conforming Product. The supplier is responsible for freight and taxes, sorting and any corresponding rework. Supplier is also responsible to expedite conforming replacement product as soon as possible at his own cost. This is the preferred option.
Strategic Supplier
A list of the selected Strategic Suppliers, result of a Kraljic or other supply positioning matrix used to segment suppliers by financial, supply and quality risk. It defines which suppliers we should focus and strengthen versus suppliers where we only monitor.
Supplier Development Engineer (SDE) / Proactive role*
Responsible for the proactive development of our preferred suppliers, critical and poor performing suppliers. Utilizing training modules and workshops, the SDE develops a strong relationship with the supplier and drives a zero defect and continuous improvement culture with the supply base and internally.
Supplier Management Review (SMR)
Supplier Management Review is a process for escalation of supplier’s issues affecting IMI Precision if normal controls are failing to achieve acceptable performance. This involves both IMI Precision and the Supplier at various management levels.
Supplier Quality Engineer (SQE) / Reactive role*
Responsible for driving supplier corrective actions (SCARS) utilizing the eight discipline (8D) process. Acts as a leader to support resolution of supplier quality issues. Conducts supplier audits and assessments.
Zero Defects
Zero Defects is a quality strategy and culture aimed at the reduction of defects through prevention. A single defect is one too many.
* SQE and SDE roles might be merged into one, depending on each local site needs
27
IMI Precision Engineering operates four global centres of technical excellence and a sales and service network in 75 countries, as well as manufacturing capability in the USA, Germany, China, UK, Switzerland, Czech Republic, Mexico and Brazil. For information on all IMI Precision Engineering companies visit www.imi-precision.com Supported by distributors worldwide.
Norgren, Buschjost, FAS, Herion and Maxseal are registered trademarks of IMI Precision Engineering companies. Due to our policy of continuous development, IMI Precision Engineering reserve the right to change specifications without prior notice. z8401MS en/12/17 Selected Images used under license from Shutterstock.com
Engineering GREAT Solutions