External service providers Quality System Assessment -

Guidelines to score

A. Quality System Requirements

A1 Has the external service providers defined and documented its quality policy, objectives and commitments to quality? (ISO 9001, ISO/IATF 16949 etc..)

A2 Has the external service providers got structured organisation with defined roles , responsibility & authority . (i.e. procedures, organization charts, quality manual)

A3 Does the external service providers top management conduct Management Review Meetings.

A 4 a) Internal Rejection Monitoring (Trend)

A 4 b) Customer complaint Handling

A 4 c) On-time delivery Monitoring ( OTD )

A 4 d) Customer satisfaction survey

A5 Does the external service providers have planned Internal Audit schedule & proper closure of the Non-conformances raised during Internal audits

A6 Is there a evidences for the proper closure of the Non-conformances raised during external Customer audits and ensured the effectiveness of reoccurrence?

A7 Are training needs being identified for all employees & training calendar are available & conducted as per plan.

B. Contract Review System Requirements

B1 Capacity assessment

B2 Are there established procedures for contract review? (i.e. Product specs, Process Capabilities, and CSQSR)

B3 Are there a system / procedures for Customer RFQ's Receiving, replying, recording?

B4 Are there a system / procedures for PO receipt, Verifying and recording? And if any deviation observed in the P.O against the offer is getting resolved with customer? Is there a system ensures the issue of Order confirmation to the customer?

C. Design / Documentation Control

( If the design is not a part of the external service providers scope Put NA in all respective columns)
C1 Is there a system / procedure for Customer Documents.(Technical drawings Receiving, Storage, Handling & Control & readily retrievable)

C2 Is there a evidence of technical requirement has been captured properly and reviewed with customer on design stage? And has procedure for resolving incomplete or conflicting requirements from customer?

C3 Separate Product / Process drawings were made and issued to the line (or) The Customer drawing directly issued to the point of use.?

C4 Are there procedures for the identification, documentation, review and approval of all Engineering changes and modifications?

PPAP Elements

C5 Does the external service providers have knowledge of using PPAP ?

C6 Process flow diagrams or descriptions

C7 Does external service providers demonstrates effective use of PFMEA: quantifies risk, identifies special characteristics for use in Control Plan, takes action to reduce RPNs; uses AIAG criteria to calculate RPNs

C8 Does external service providers demonstrates adherence to control plan.

C9 Measurement Systems Analysis Study (R&R, Bias, Linearity Etc.,.)

C 10 Process validation for special processes e.g plating, welding, powder coating etc.

C 11 Initial process Capability studies

C 12 Part submission warrant (PSW)

D. Production Planning and Product & Process Control Requirements

D1 Is FIFO operated in RM consumption point and are individual component batch numbers traceable ?

D2 Are SOP/WI are available at the point of use. Are they clearly/ adequately defined with the machines, equipments, tools, fixtures, and program to be used.

D3 Is there a procedure to authorize the line to start production for a particular part number & shift changing ?

D4 Are external service providers initiating mistake proofing techniques and monitoring the effectiveness

D5 Does the external service providers have a procedure for preventive maintenance for tools, machines & Software? Is there evidence available that such procedure is implemented and in use?

Are all critical processes and CTQ parameters under statistical control? (e.g.,PCC chart , X bar R chart etc.) When a process goes out-of-control and produces nonconforming product, are triggers defined and documented for the purpose of
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initiating a stop build, or stop shipment action?

D7 Is external service providers monitoring Cp ,Cpk and following continual improvement plan

D8 Are the critical machines are identified and Contingency plan for the same is available.

D9 Critical operations / stations operator skill matrix are available & Further training being given

D10 Is PCR(Process Change Request) approval system from customer exist

Critical Summary
 External service providers Quality System Assessment -
Guidelines to score

E.Product Inspection ,Identification and Lot Tracibility.

E1 Are there product identification (e.g. tags, Route card , colour coding etc..) are being used for Raw material, In process products, final products identified with clear status ? Is there a documented procedure is available for quality plan

E2 Does the external service providers carry out incoming inspection ( Parts are not issued to line without incoming inspection )

E3 Is there a system for First off and Last off approval of the production part.

E4 All the measurement tools & mastermentioned in the control plan are directly available for the operator? Insp. Frequency is adhered as per Control plan

E5 Does the external service providers utilize outgoing product inspection (Final Inspection) and testing such as dock Audits?

E6 Does the external service providers have got any system for tracking (batch/Lot / Heat Number system) for the products delivered to customer?

E7 Are there documented procedures with clear identified responsibility /authority to review/approve and criteria / guidelines to control of nonconforming material disposition? (e.g., "use as is", scrap, rework)

E8 Are the non-conforming products and their storage location clearly identified? Is there records existing for the inventory control of non-conforming products?

E9 Does the external service providers quantify and analyse nonconforming product and Rework Procedure is followed?

E 10 Does the external service providers obtain customer authorization prior to shipment, whenever the disposition of non-conforming material is deemed to be use as is?

E 11 Are assemblies properly marked and tracked through the assembly process to ensure no steps in the process flow are missed?

E 12 Does the external service providers use a disciplined problem solving method similar to 8D to address significant internal and external non-conformances?

E 13 Does the CAPA include mistake proofing or other preventive action to avoid root cause, re-occurrence and verification to ensure effectiveness? If defect is external service providers related, is there any system to feedback to IQC for actions?

F. Measuring Instruments availabi Measuring Instruments availability & Calibration

F1 Are there list of measuring instruments available with clear trecebility & calibration status

F2 Does the Measuring Instruments, equipments, Jigs & Fixtures, are verified or re-calibrated at appropriate frequency?

F3 Are WCPG & WCRG available to do inhouse calibration for Thread gauges

F4 Are Customer specific gauges are being used for the inspection purpose. E.g.Bore plug guge, Spigot snap gauge & position gauges etc.

F5 Has the external service providers performed Gage Repeatability and Reproducibility studies on key control characteristics and do they meet the established criteria

F6 Is there a process for dispositioning of product that has been built/tested with equipment found to be out of calibration?

F8 If using external external service providers - records of calibration (such as certificates) should be available

G. Purchase System RequireG. Purchase System Requirements.

G1 Is there a system / procedure for external service providers Selection Process with criteria specified, and approval process?

G2 Is PPAP validated only if external service providers has approved Tier 2 PPAP's and equivalent internal component validations?

Does the external service providers’s purchasing documents with tier 2 includes all information necessary to define materials or products to be ordered. Such information includes item name, specification, revision level, quantity, delivery time,
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price, transportation, etc. which is inline with Win requirement?.

Does the external service providers shall continuously monitor Tier 1 external service providers performance by some key indicators such as quality index, assessment result, rating, etc. The external service providers shall have a documented
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system to make complaints and claims to Tier2 external service providerss and also a system to follow-up the efficiency of the corrective actions.

Is there a procedure existing for the traceability and identification of Material and equipment from which Tier1 has been done?
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(Batch/Lot / Heat Number system) for the products delivered to Tier 1 for processing?

G6 Are contingency plans in place for any supply failure from Tier 1 activities that can influence the product quality / On time Delivery of Customer?

G7 Is there a system / procedure to make sure the Customer Drawing/Specification changes into the immediate effect of products in progress @ Tier1 place.

G8 Is there any audit carried out for Tier-1 & Tier-2 external service providerss

H. 5S & Machine shop control practices

Is the appropriate tool used as per the control plan?
H1 Are tools properly maintained?
Does the operator use the tool correctly?

H2 Is skilled manpower & adequate spare parts are available to carryout uninterrupted maintenance?

H3 Tools are stored in an appropriate, clearly defined area with systematic tracking that provide traceability, particularly of customer owned tools and equipments.

H4 Is Life of the cutting tools, Production tools, Jigs are monitored through a proper system?. Appropriate actions are taken in advance prior to the end of life of the same.

H5 Does all the Productive machines OEE are monitored and improvement plans in place?

H6 Is there adequate work space? Is that work place properly organized?

I. Handling, Storage, Packaging, and Delivery

I1 Are there documented procedures for handling, storing, packaging and delivery of product? And the same is readily available at the point of use?

I2 Are the material inward, issue, inventory control records maintained per the procedures defined?

I3 Does the external service providers have the system to and means of handling that prevent damage or deterioration / Shelf life? Is the condition of product in stock assessed at a regular frequency in order to detect deterioration?

I4 Are flammable, corrosive, and toxic materials properly stored and segregated? Are temperature, humidity, Noise level, vibrations monitored in these storage areas on a regular basis? (Must for Plating external service providerss)

I5 Does the external service providers have a process in place to handle premium shipping requests? Does Premium shipments are monitored and actions are in place to control the same?

Critical Summary
 External service providers Quality System Assessment -
Guidelines to score

J. Environmental, Safety, Social & Legal Responsibility System Requirements.

J1 Is there a team of people /person responsible for developing and monitoring the safety and health program with direct access to the top management?

Has the external service providers obtained and maintained all environmental permits and registrations that apply to their facilities,
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( for e.g..( Air Prevention & Control of Pollution Act, 1981 , Water Prevention & Control of Pollution Act,1974, Environment Protection Act, 1986 etc..)

J3 Is the external service providers currently, or at any time during the past year, subject to any enforcement action by any governmental authority for non-compliance with environmental, safety, or labour requirements at any facility.

J4 Is there a good Visual Management system to ensure and promote health safety and environment (HSE)

J5 Are periodic inspections for safety and health ,scheduled and carried out by managers / supervisors/ safety committee? And observations are recorded and improvement actions are monitored?

J6 Do employees knows / Training given for the safety and health hazards specific to their job assignments?

J7 Whether All Electrical safety is identified and adequately addressed

J8 Is there a proper recording , reporting and addressing of safety incidences

J9 Whether Applicable chemical hazards identified , required MSDS (Material Safety Data Sheet) evidenced and proper PPE is provided

J 10 Are all employees provided with applicable & Effective personal protective equipment and Whether PPE culture is adhered to in practice

J 11 Is any formal environment management system (ISO 14001) is implemented

J 12 Spillages and Leakages( Water, Coolants ,Oil, chemical, etc.)

J 13 Air ,Water and Noise Pollution - One or More of the above causing

J 14 Are fire extinguishers available? Are the fire extinguishers suitable to the type of fire that may occur (e.g. carbon dioxide for electrical fires).

J 15 Whether appropriate and adequate First aid facilities are provided

K. Financial Stability Requirements K. Financial Stability Requirements

(For private companies, financial information must be obtained from the company. However this information will not be audited, and the numbers might not be as reliable as audited statements.wever this information will not be audited, and the numbers
might not be as reliable as audited statements.

K1 Does the external service providers make a Business plan every year and track the performance against same.

K2 Does external service providers work to realize production efficiencies in order to share savings with customer?

K3 Are Accounting Systems and Working capital management in Place is adequate?

K4 Does the external service providers having Sufficient funds to run the Business

K5 Type of Business Entity

Critical Summary