Material Review Board Process Flow and Visual Management

Document Number: 00028

Document Type: LOCAL PROCESS DOCUMENT

STANDARD WORK

WORK INSTRUCTIONS

Revision: 001

Revision Date: March 2015

 Distribution
Printed copies of this document are uncontrolled and users must verify the revision is current before use. All previous revisions must be
discarded. Current documents and revision index are available in the Intelex Quality Management System. Document Approvals are electronic.

Authorization Approvals

Electronic authorization approval is the preferred method for approving Intelex Documents.

Document Reviewer & Approver: Operations Analyst

Document Owner & Approver: Sr. Materials Manager

Process Owner: Production Control

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Material Review Board Process Page 3 of 14 Rev # 001
Document Change Record

REV DATE BRIEF DESCRIPTION OF CHANGE(S)

001 Controlled document creation

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Table of Contents

AUTHORIZATION APPROVALS ...........................................................................................................................2

DOCUMENT CHANGE RECORD...........................................................................................................................4
TABLE OF CONTENTS.........................................................................................................................................6
1. PURPOSE AND SCOPE ................................................................................................................................7
1.1 PURPOSE .....................................................................................................................................................7

1.2 SCOPE .........................................................................................................................................................7

2 REFERENCES/SUPERSEDE...........................................................................................................................7
2.1 REFERENCE DOCUMENTS................................................................................................................................7

2.2 EXTERNAL REFERENCES ..................................................................................................................................7

2.3 SUPERSEDED DOCUMENTS..............................................................................................................................7

3 RESPONSIBILITY/AUTHORITY .....................................................................................................................7
MRB PROCESS FLOW.........................................................................................................................................8
MRB VISUAL MANAGEMENT.............................................................................................................................9
MRB CART .........................................................................................................................................................9

NONCONFORMING MATERIAL TAG .................................................................................................................11

STRATEGY FOR SUSTAINMENT ........................................................................................................................12
NONCONFORMING MATERIAL PROCESS GLOSSARY ........................................................................................12

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1. Purpose and Scope
1.1 Purpose
This document shows the process flow for non-conforming material through the factory and responsibilities for each portion of the process.

1.2 Scope
The scope of this document is the entire non-conforming material process in operations to include: Identifying discrepant material, visual
management of non-conforming material, disposition of material, and Oracle system processing of non-conforming material. The factory
operations team is responsible for executing this process and responsible roles include the operations manager, cell associates, buyer/planners,
material handlers, engineers, and designated qualified evaluator if that responsibility is not assigned to one of the aforementioned positions.

2 References/Supersede
2.1 Reference Documents

2.2 External References

2.3 Superseded Documents

This document supersedes all previous revisions in other locations

3 Responsibility/Authority
The Process Owner is responsible for the maintenance and notification to associates affected by changes to this document. Process owners
are also responsible to ensure that associate training is updated as required. Notification of changes and current revisions are accessed via
electronic network or other approved Document Control system.
This document is issued under the authority of the Sr. Materials Manager

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Cell Associate
Identify NCM Create NCM Tag Place in NCM Bin
Location

Review Rejected Fill out Tag. Create

Material Bin NCM incident and

MRB Process Flow scrap. Close

Occurrence.

Return Material to No Defect

Yes Supplier
No
Material Handler

Production Line Verified? Caused?

No
Create NCM incident. Fill out NCM Tag.
Yes Complete Oracle Subinventory transfer from
Put part back in
Yes >$100? current OH Inventory location to MRB
Subinventory production

No
Reoccurring Yes Move to disposition
Bring to Engineer/tech
to rework part issue? area

Place on Scrap Shelf

Evaluator to
Rework disposition NCM.
Fill out tag. Scrap
Qualified Evaluator

Place on Rework Yes Internal No RTV Use As is Place on Use As Is

shelf Rework?
Escalate to Engineer Shelf

Place Need RMA

Requested Shelf Place on Engineer Shelf
to be dispositioned

Rework part and put Engineer to

back in production disposition NCM
Engineer

Place on
appropriate shelf

Receive email alert and

Close P.O., complete Complete return Place on Ship to Vendor
traffic form, and ship transaction and Shelf. Update
Yes Receive
request RMA# from
supplier. Move to RTV
part to supplier transfer NCM out of occurrence with RMA# RMA #?
shelf. Place blue sticker Escalate to Commodity If no RMA, complete
MRB and close occurrence Manager scrap transaction with
on item.
Planner/Buyer

approval from cost ctr.

No Mgr.

Send supplier more RMA#? Yes No

information

No Escalate to Senior RMA#?

Material Review Board Process Page 8 of 14 Rev # 001 Buyer
MRB Visual Management

MRB Cart: The MRB Cart visually manages non-conforming material and allows for all factory members to stay informed on the disposition
and age of MRB. It provides color-coded indicators to keep the shelf life of MRB to <14 days. Big boxes will fit on a pallet next to the MRB cart
with kickstands and available labels to indicate placement on the cart.

Shelf 1: Place incoming

NCM on Awaiting Disposition shelf.
Items must be dispositioned within
3 days of arriving on the shelf.
Green= Day 1, Yellow= Day 2, Red=
Day 3

Shelf 2: If disposition is
Escalate to Engineer, place on
Engineer Review shelf. Items
must be evaluated within 3 days
of arriving on the shelf.

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 Shelf 3: When dispositioned
as RTV, place in “Need RMA
Requested” section. Once an RMA
has been requested, move to “RTV”
section of shelf.

Shelf 4: Place items

dispositioned as Scrap, Use As Is, or
Rework on shelf accordingly. For items
ready to be shipped back to vendor,
place on “Ship to Vendor” section

Pallet with kickstand Label indicating

location of large
material

Label Pouch

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NONCONFORMING MATERIAL TAG
The below non-confirming material tag is updated as material flows through the process.

Non-Conformance Material Tag

Date:
Associate Name:
Cell:
Part Number:
Cell Associate

Quantity:
List Serial #(s) on tag and ALSO ON ITEM- if no serial numbers ,
write N/A; if multiple, continue on reverse side:

Reason (BE SPECIFIC)

Supplier Caused Fluke Caused

Total Cost: $
Material Handler

Disposition:
Scrap MRB
Transacted into MRB? (circle one) Yes/No
Occurrence No.: Date:
PO No./Line No.:
Name:
Date:
Evaluator Name:
Qualifed Evaluator

Issue (BE SPECIFIC)

Dispostion:
Scrap Escalate to Engineer RTV
Use As Is Rework
Name of person to complete Rework: ________________

Comments:
Planner

RMA Request Date: Occurrence Closed? Yes/No

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STRATEGY FOR SUSTAINMENT

Visual Management
Team keeps up with managing and following procedures of the MRB cart. Material Handlers will review the cart daily and make any visual
adjustments. The MRB Cart is reviewed on the team’s daily factory walk-through.

MRB Inventory Status Review Meetings

Operations Manager reviews OBI Dashboard report and utilizes the visual management cart to discuss the weekly inventory status with the
team and review the required actions.
Material Handlers to meet every morning to review MRB red bins
Team of engineers meet once per week to review MRB and determine responsibilities and due dates
Planner/Buyers meet once per week to review MRB responsibilities and completions of required transactions

NONCONFORMING MATERIAL PROCESS Glossary

Disposition: Whether (or how) the material may or may not be used in the scope of Fluke Corporation operations, including: Invalid, Use As Is
(UAI), Use with Rework (Rework) or Do Not Use.

Disposal: How the material is to be moved from the MRB inventory after dispositioning, including: Rework, Scrap or Return to Vendor.

Invalid: Disposition assigned when the material thought to be nonconforming is found to be conforming.

Do Not Use: Disposition assigned when nonconforming material cannot be used and must be disposed of.

MRB: Subinventory designated for nonconforming material.

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Nonconforming material (a.k.a. NCM): production material discrepant to any aspect of its form, fit or function, as documented in the material’s
presiding specification or drawing, expressed or implied.

Nonconforming record (a.k.a. NCR): record of nonconforming incident in the Quality System Results collection plan.

Planner: Any Fluke employee charged with planning the item daily supply for production demands, including: Master Schedulers, Production
Schedulers, Planners, Planner-Buyers and Buyers (when a planner is not assigned).

Purchased material: Production material that is purchased by Fluke Corporation.

Qualified Evaluator: Designated person (Team Lead, Planner/Buyer, Inspector, or other) who is responsible for evaluating and dispositioning
incoming MRB.

Related inventories: Inventory associated to the non-conforming discrepancy that may include, as examples: same purchase order receipt,
date/lot code or manufacturer’s id code (purchased items) or same job or process output (subassemblies).
Return to Vendor (a.k.a. RTV): Disposal method used when nonconforming nature is the fault of the supplier and the dollar value is sufficient to
process a Return to Vendor, according to management set criteria.

Rework: Disposal method used when nonconforming nature is correctable by affordable means, considering time and resources and is allowed
by engineering disposition.
Rework Order: A purchase order or internal order placed with an external or internal supplier, respectively, when NCM is dispositioned as able
to be reworked and the disposal decision is to be reworked.

Scrap: Disposal method used when nonconforming nature is due to manufacturing process or mishandling of material and is not the fault of
the supplier, or the dollar value is insufficient to process a Return to Vendor procedure.

Screen: A process of sampling or 100% examination of material or a lot of that material with the intent of determining that the documented
parameters (specification or drawing) of the material are satisfied.

Sort: A process that entails the separation of conforming from nonconforming material.

Use As Is (a.k.a. UAI): Disposition assigned when nonconforming material may be used as conforming without modification, once temporary or
permanent changes are made to the governing documentation.

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Workgroup: An area where common work is performed or a manufacturing cell where a common product is produced.

End of Doc

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