Slide 1: Slides not contractual, for information purposes only
The following slides are not contractual in nature and are for information purposes only as of June 2015. 1 ©2015, Lockheed Martin Corporation. All Rights Reserved.
Slide 2: Corrective Action Webinar Topic 3: CAR Levels & Criteria
Corrective Action Webinar Topic 3: CAR Levels & Criteria ©2015, Lockheed Martin Corporation. All Rights Reserved.
Slide 3: Agenda
Agenda • Introduction – Webinars 1 & 2 Summaries – Webinar 3 Objectives • Start With the Basics – What Is a CAR? – When Is a CAR Used? • Command Media • CAR Levels • CAR Criteria: Response Times and Delinquencies • Supplier Quality Rating • Summary • Q&A 3
Slide 4: Webinar 1 Summary: Command Media Expectations
Webinar 1 Summary: Corrective Action: Command Media Expectations • Corrective Action Requests (CARs): – A vital part of continuous process improvement – Required by AS9100C in Aerospace QMS • Normative Documents – AS9100C, ISO 9000, ISO 9001 • QX: Flows quality requirements down to supplier POs • Su
Slide 5: Webinar 2 Summary: CA Internal Procedures and Expectations
Webinar 2 Summary: CA Internal Procedures and Expectations SQM Corrective Action Tools • Corrective Action Requests • Supplier Excellence Plans • Oversight Assessment Tool Heads Up Display (OAT HUD) • Supplier Disclosures • Supplier Quality Ratings • Supplier Performance Reports LM Aero Procedures,
Slide 6: Webinar 3 – CAR Levels & Criteria
Webinar 3 – CAR Levels & Criteria Provide training in CAR requirements, levels, and relevant criteria, including: 1. What a Corrective Action Request (CAR) is and when it is used 2. What determines the CAR level 3. How to determine appropriate Supplier response times and delinquencies 4. CAR impacts
Slide 7: The Basics: What is a CAR?
The Basics: What is a CAR? A Corrective Action Request (CAR) is a formal notification from a Supplier Quality Management (SQM) source, requesting the cause of nonconformities of a product, process, or service be eliminated, with the objective of preventing recurrence. A CAR is submitted to a Supplie
Slide 8: The Basics: When is a CAR used?
The Basics: When is a CAR used? LM Aero SQM initiates a CAR when: – A Supplier-responsible issue affects Safety of Flight – A Supplier non-conformance is repetitive, occurring more than once in a ninety day period – A CAR request has been made by the Customer, LM Aero Engineering or SQM Management –
Slide 9: Command Media
Command Media • AS9100C, Section 8.5.2, Corrective Action • Supplier Approval and Control procedure – Issuing a CAR and criteria for determining CAR levels – Analyzing Supplier CAR responses • Corrective Action Tasks For All LM Aeronautics Manufacturing Programs procedure – Authority, responsibility
Slide 10: CAR Levels
CAR Levels Select CAR level based on guidelines provided in Supplier Approval and Control procedure 10
Slide 11: CAR Levels (con't.) – Level 1
CAR Levels (con’t.) Supplier Approval and Control procedure provides the guidelines for selecting a CAR level A Level 1 CAR does not impact a Supplier’s Quality Rating! For a CAR to be Level 1, it must meet the following criteria: • No special or systemic correction is required • The issue can be co
Slide 12: Level 1 CAR Example, Page 1 of 2
Level 1 CAR Example, Page 1 of 2 12
Slide 13: Level 1 CAR Example, Page 2 of 2
Level 1 CAR Example, Page 2 of 2 Supplier Corrective Action: Effective Date: 11/13/2013 Follow-up Due Date: 12/12/2013 Note this textis part of the CAR CA FOLLOW-UP template and appears on all CARs Follow-up Acceptable: Yes —Enolloxx.up_Date-12/12.2012, 124122013 WA IMPORTANT =. A request for correc
Slide 14: CAR Levels (con't.) – Level 2
CAR Levels (con’t.) A Level 2 CAR impacts a Supplier’s Quality Rating by -2 pts. Level 2 Criteria: • Systemic issues* exist, adversely affecting Seller’s quality performance and supporting processes • Issue affects cost, schedule or performance • Issues are significant, repetitive or recurring (e.g.
Slide 15: Level 2 CAR Example, Page 1
Level 2 CAR Example, Page 1 of 2 Attn: ICA Request: Supplier QA Contact Ve ocument(s): equirem ent: =CORRECTIVE ACTION REQUEST=== ==== tem Num ber: Issue Date: Date Due: Part Number: um ber: ardw are iscrepancy Program: Defect Code: PSP: Initiating Site: # of Findings: 7 cpeapste evel 2 - Included i
Slide 16: Level 2 CAR Example, Page 2
Level 2 CAR Example, Page 2 of 2 Oe I eee ee eee ee eee ee eee es eee eees=====SU PPLIER RESPONSE <<<<=<=s08 5050505000005 ee0e055== orrective Action Acceptable: Yes ause Code: Dimensional Error Note supplier’s RCA &CA Response Summary: Root CauseAn 3 he setup was ecause the routing did not explicit
Slide 17: CAR Levels (con't.) – Level 3
CAR Levels (con’t.) A Level 3 CAR is initiated by SCM/SQM Senior Mgmt. • Before a Level 3 CAR occurs, an elevation process begins with you and your lead and proceeds through your manager and senior manager, to the director • Elevation process includes discussion of Supplier performance record, inclu
Slide 18: Level 3 CAR Example 1, Page 1 of 4
Level 3 CAR Example 1, Page 1 of 4 Last Year’s Approach Using Fictional Supplier July 26, 2013 Leonard’s Farm & Ranch 65 Main Street USA Podunk, STATE 030606909 Attention: John Smith, Vice President Performance Excellence, Electronic Systems Subject: Lockheed Martin Aeronautics Company Level III Cor
Slide 19: Level 3 CAR Example, Page 2 of 4
Level 3 CAR Example, Page 2 of 4 o Failed to notify Lockheed Martin within 10 days of Government CARs issued as required by Appendix QX 1.1 (Revision 7). o 9 Supplier Disclosure Letters (SDLs) and 23 Quality Assurance Reports (QARs) indicate escapes which should have been found at your facility. The
Slide 20: Level 3 CAR Example, Page 3 of 4
Level 3 CAR Example, Page 3 of 4 Failure by you to respond with and execute a comprehensive Corrective Action Plan that improves quality performance may result in contractual action by Lockheed Martin Aeronautics Company that may include cost impact recovery and or termination. Nothing in this CAR s
Slide 21: Level 3 CAR Example, Page 4 of 4
Level 3 CAR Example, Page 4 of 4 Supplier Acknowledgement – LM Aero Level III CAR LMQA-2014-01 Dated: 26 July 2013 Leonard’s Farm & Ranch 65 Main Street USA Podunk, STATE 030606909 Attention: John Smith, Vice President, Performance Excellence, Electronic Systems Subject: Lockheed Martin Aeronautics
Slide 22: Level 3 CAR Example 2, Page 1 of 3
Level 3 CAR Example 2, Page 1 of 3 New Approach February 22, 2014 22
Slide 23: Level 3 CAR Example 2, Page 2 of 3
Level 3 CAR Example 2, Page 2 of 3 23
Slide 24: Level 3 CAR Example 2, Page 3 of 3
Level 3 CAR Example 2, Page 3 of 3 Makina Purchase Gunna Doright Director, Supply Chain Management Director, Supplier Quality Management 24
Slide 25: CAR Levels (con't.) – Significant Issues
CAR Levels (con’t.) Significant Issues The following are identified as Significant Issues: • Recurrence of the same type of discrepancy (regardless of part number) within a 3 month period • A discrepancy that could lead to an accident or serious loss of functionality, integrity, or safety margins •
Slide 26: CAR Criteria: Supplier Response
CAR Criteria: Supplier Response Response Time • The Supplier has a predetermined number of days to provide a CAR response, depending on the severity level selected by the CAR originator when the CAR was initiated. • The time constraint should not be viewed an inflexible. Select an appropriate time;
Slide 27: CAR Criteria: Supplier Response (con't.)
CAR Criteria: Supplier Response (con’t.) 27
Slide 28: CAR Criteria: Supplier Response (con't.)
CAR Criteria: Supplier Response (con’t.) • Upon submittal, the CAR is auto-emailed to Supplier and LM Aero key personnel identified in PQN & SQMS, to include: – Supplier Contracts Manager/Lead, Quality Mgmt & Engineering, and Company Senior Manager – LM Aero Program QE, SQE, SCM, Surveyor/Auditor &
Slide 29: CAR Criteria: Supplier Response Form, Page 1
CAR Criteria: Supplier Response Form, Page 1 “Supplier Representative” is an officer or manager in the Supplier company with authority to approve the response content, not a LM Aero employee. Supplier provides root cause and corrective action information, using appropriate tools. 29
Slide 30: CAR Criteria: Supplier Response Form, Page 2
CAR Criteria: Supplier Response Form, Page 2 Note that, much like your school math tests, suppliers are required to “show your work”. This gives evidentiary support to a claim that RCA has been performed. 30
Slide 31: CAR Criteria: Delinquencies
CAR Criteria: Delinquencies • If received within the required response time, the next step in the CAR process is to accept or reject a Supplier’s response – The decision should have serious deliberation – Involve your peers and your lead in the decision-making, if guidance is needed • A Response bec
Slide 32: CAR Criteria: Delinquencies (con't.)
CAR Criteria: Delinquencies (con’t.) • A CAR Response Delinquency May Be Avoided by Extending the Due Date – Supplier is justifiably unable to meet due date – Additional time is required for root cause investigation – Process changes are not yet completed – Unacceptable responses and failures to res
Slide 33: CAR Criteria: Delinquencies (con't.)
CAR Criteria: Delinquencies (con’t.) • For an unacceptable response – Document the rejection in the SQM Web Apps under the Q&MS CAR menu – The CAR database appends a dash number to the CAR, i.e., -1, indicating it has been rejected – Establish a new due date – Return the CAR to the supplier – If rej
Slide 34: Supplier Quality Rating
Supplier Quality Rating Deductions are made as the result of received defective components, line rejections, overdue CARs, Supplier caused escapes to the customer. Impacts show in the next rating update, reflecting a rolling twelve month period. Computed for you by the system! 34
Slide 35: Summary
Summary • A CAR is a document to formally request corrective action of significant findings by the responsible supplier/special process source, as defined by Supplier Approval & Control procedure • The Supplier Quality Management (SQM) Web Applications database is used to initiate and document a CAR
Slide 36: Summary (con't.)
Summary (con’t.) • A finding is significant when the discrepancy/condition is: – Repetitive – Indicates a continuing negative trend – Affects Safety of Flight – Contributes to production line impacts – Customer directed – A Teaming effort – Systemic in nature – A produceability issue – A supplier Fi
Slide 37: Summary (con't.)
Summary (con’t.) • If the Supplier CAR Response is unacceptable, document the rejection in the SQM Web Applications database and return it to the supplier for rework • The supplier is typically given two (2) opportunities to work out a satisfactory corrective action with the CAR initiator 37
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