01 - Quality Basics in Business With Bosch - Ver3

7/27/2019 01 - Quality Basics in Business With Bosch - Ver3

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Internal | CP/PIN-CN | 11/7/2006 | Robert Bosch GmbH reserves all rights even in the event of industrial property rights.

We reserve all rights of disposal such as copying and passing on to third parties.

Quality Basics

By CP/PIN-CN-Q

Quality Basics In Business With Bosch

By CP/PIN-CN-Q

Suppl ier Quality Development Program (SQDP)Rev. 3/23/2007


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Table of Contents


1. Business process flow with supplier

2. Bosch quality concept and principle

3. Requirements for suppliers

3.1) Requirements for management system

3.2) QSL

3.3) N25803.4) HSE requirements

HSE 3.5) Bosch assessments/audit

/

Internal | CP/PIN-CN | 11/7/2006 | Robert Bosch GmbH reserves all rights even in the event of industrial property rights. We reserve all rights of

disposal such as copying and passing on to third parties.


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Quality Basics In Business With BoschTable of Contents

3.6) Supplier performance indicators

4. Supplier pyramid and escalation management

5. Quality tools

5.1) Quality control loop

5.2) 5S

6. Traceability




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Quality Basics In Business With Bosch1. Business process flow with supplier

Supplierselection

Projectimplementation

MassProduction

1. Source suppliers

2. Filter suppliers

3. Visit Suppliers

4. Conduct quality audit per QSP0608/0720

QSP 0608/0720

5. Discuss and select the potential suppliers

6. Report to GPMTGPMT

7. LPB by GPMT (if needed)GPMTLPB ()

8. List as a new supplier in GPMT supplierpyramid

GPMT




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Supplierselection


MassProduction

1. Inquiry & quotation

2. Technical discussion

3. Quality training (e.g., SQDP)SQDP

4. Finalization of contractnegotiations

5. Advanced quality planning.

6. Preparation of initial sample .

7. ISIR release procedure.ISIR

8. Process audit/2 day production/




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Supplierselection


MassProduction

1. Change management

2. Performance monitoring

3. QAM/8D processQAM/8D

4. Quality audit

5. Quality training (e.g., SQDP) and

CIPSQDP




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Quality Basics In Business With Bosch2. Bosch quality concept and principle

Source: CP/PJ-PUQ



li i i i h h


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z 500

z 20 000

z 22000

z 20

z 80

100 % - 99.9% ?

CP/PJ -PUQ | 02/10/2006 | Robert Bosch GmbH reserves all rights even in the event of industrial property rights. We reserve all rights of



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Q lit B i I B i With B h


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Zero Defect Target Means Continuous process improvement

Intensive co-operation in the procurement process

Acceptance of Bosch requirements and contracts

Consistent use of quality management tools

Continuous tracking of quality data and escalation in case of deviations





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Leadership

Zero Defect Target Requires

Determination

Consistency





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Bosch Quality Principle

2.2

1. Our goal is to fully satisfy our customers expectations through thequality of our products and services.

2. Quality and quality improvement is every associates responsibilityand ultimate goal - from the board of directors to apprentices.

3. Our directives, processes, systems and goals are based on

requirements from international standards, customer expectations,our knowledge and experience. Knowledge of and compliance withthese directives and processes is the foundation of our quality..




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Quality Basics In Business With Bosch3. Requirements for suppliers

3.1) Requirements for management system

Quality Management System

Supplier to the Automotive Divisions

ISO/TS 16949:2002 certificate for preferred suppliers

ISO/TS 16949:2002

ISO 9001:2000 for other suppliers (ref. to supplier pyramid)with development target towards ISO/TS 16949:2002.

ISO 9001:2000 , ISO/TS 16949:2002

Source: QSP0609





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Supplier to the non-automotive divisions

ISO 9001:2000 certificate for all suppliers.

ISO 9001:2000

Environmental Management System

ISO 14001 or EMAS certificate by 31.12.2007 for preferred suppliers

31.12.2007 ISO 14001 EMAS

Plausible planning of an environmental management system perISO 14001 or EMAS for essential suppliers

ISO 14001 EMAS





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3.2) QSL

Source: QSP0609





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Quality Assurance Guideline for Suppliers (QSL) Mandatory

AgreementQSL

The Supplier agrees to seek approval of Bosch prior to

9 changing the production methods, sequence and materials(also at sub-suppliers)

9 changing of sub-suppliers

9 changing test methods/equipment

/9 relocating production sites

9 relocating production equipment at the same site

Q y





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y3. Requirements for suppliers

Documents must be retained for at least 7 years. Documents with

special archiving must be retained for at least 15 years.

715

The Supplier is committed in the same way as Bosch towards itscustomers to the zero-defect goal in business with Bosch.

The Bosch Standard N 2580 Prohibition and Declaration of Substances (Internet: www.bosch.com ) is part of each deliveryagreement.

N2580 (Internet:www.bosch.com )



http://www.bosch.com/http://www.bosch.com/http://www.bosch.com/http://www.bosch.com/


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In the event quality problems should arise, the Supplier shallenable Bosch to conduct an audit at his subsuppliers.

The Supplier agrees to ensure the traceability of the productssupplied by him. Measures must be instituted to ensure that if adefect is detected, the defective parts/products/batches, etc., are

traceable and contained.//

The delivered products are inspected by Bosch in the normal

course of business, and the Supplier shall be notified promptly ofany defects detected in the process. To this extent the Supplierwaives his objection to a delayed notification of defect.





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Quality Assurance Guideline for Suppliers (QSL), Individual

Agreement

QSL The individual agreement defines specific regulations for the businessdivision/plant and specifies individual agreements on quality and, ifapplicable, on environmental management./





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3.3) Bosch standard N2580

N2580

N2580-1 - Prohibition and declaration of substances - General, overview

N2580-1.1 - Prohibited and declarable substances in products,components, materials and preparations

N2580-1.2 - Prohibited and declarable substances in accessorymanufacturing materials





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Supplier agreements Suppliers of products, components, materials, preparations, accessorymanufacturing materials and packaging materials are obliged to confirm thecompliance with N 2580 in writing (e.g. with the order confirmation).N2580

Prohibited or declarable substances shall be reported to Bosch preferablywith the supplier declaration according to N 25801, Appendix A.N2580-1A

The obligation to disclose prohibited or declarable substances does not applyto prohibited or declarable substances reported in the order specification.





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3.4) HSE (Health, Safety and Environment) Requirement

HSE

3.4.1) Why HSE requirement ?HSE

Delivery reliability (unobstructed) to customer

Bosch principles/Bosch values (e.g., social responsibility,work safety and environmental protection./

Public reputation.

Source: C/PS letter





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3.4.2) Structure of HSE audit questionnaire

HSE

A. Initial questions

B. Site inspection (Environmental protection)

- Waste water - Emissions - Soil protection - Waste

C. Site inspection (Work safety, working conditions) ()

- Risks for employees - Child labor

Source: RBCN/HSE





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3.4.3) Evaluation of HSE audit result (RBCN/HSE)

HSE RBCN/HSE

Rate A: Final score is 80% and above without significantnonconformance. It is tolerable. Furtherimprovement action plan may be requested asapplicable. And the audit result is satisfied.

80()





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Rate B. Final score is from 60% (included) to 80%. It is

tolerable. But improvement action plan must be

initiated by the supplier. And the audit result isconditionally released.60-80(60)

Rate C. Final score is below 60%. It is not tolerable. And theaudit result is not released. Advise is to notconsider it as potential supplier. But if the suppliercould work out the feasible improvement action plan

and implement on time, the audit result can bechanged to released as applicable.60





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3.5) Bosch assessments/audit

/

Supplierselection


MassProduction

Process audit

ISO/TS16949

system auditISO/TS16949

LPB

Process audit

2 day production

audit

Process audit

ISO/TS16949

system auditISO/TS16949

LEB





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3.5.1) Process audit (VDA6.3) VDA6.3

3.5.1.1)Structure of audit questionnaire

3.5.1.2)Grading of audit result

Overall degreeof conformity in %

Gradingof the processes

Description ofthe grading

90 to 10090100

Full compliance

A*

80 to less than 90

8090

Predominant compliance

AB*

60 to less than 806080

Partial compliance

B*

Less than 60

60

No compliance

C





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3.5.1.3)Audit approach

Regularly planned audit

System approach: audit according to an overallplan

Project approach: audits at specified projectmilestones in product and process development.





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Unplanned audit (Event and problem approach)

Decreasing product quality

Customer complaints

Engineering changes

Production relocations

Process instability

Serious complaints.





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3.5.1.4)VDA Publications VDA





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3.5.2) LPB (Supplier Potential Assessment)

LPB

LPB is used for:LPB

Selection of preferred suppliers

Supplier-Development

To get rid of weak suppliers

Selection of new potential preferred suppliers

Supplier Award (LEB)

LEBSource: CP/MAE





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LPB is for measuring suppliers future potentialLPB

Overall result of the LPB :LPB

Company structure potential UP

Quality potential QP

Logistic potential LP

Technical potential TP/TE

Cost/Price potential KP/





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Evaluation criteria of the LPB :LPB

1 = far below average

25 = below average

50 = industry average

75 = above average

100 = far above average





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LPB is planed at central level

LPB

CEO of the supplier has to take part in the LPB:CEOLPB.

3.5.3) LEB (Supplier Result Assessment)

LEB

LEB is for measuring suppliers actual performance of thepast.LEB

Quality result . Logistic result . Price/Cost result /





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3.6) Supplier performance indicators

Initial Sampling Indicator (EMKZ)

ppm Rating of the Supplier

ppm

Problem Supplier Indicator (PLKZ)PLKZ

Logistics Problem Supplier Indicator (Logistics PLKZ)PLKZ





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3.6.1) EMKZ

A weighted indicator

for the percentage ofinterruptions causedby suppliers duringi n i t i a l s a m p l i n g

a c t i v i t i e s a t R B .





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EMKZ = (1*S+1*V+2*U+3*A+ 5*T+3*R)/ ()-S:

QSP0509

-V: -U/

-A

-TAV

-R

R





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3.6.2) ppm

Number of defective

purchased partsrelative to the totalnumber of purchasedparts delivered.



- -



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- -

-

-

-

- 0-/0- - RB

- - RB

- RB -

- 0-/0- -

- -

ppm





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3.6.3) PLKZ

Weighted indicator for

interruptions in productionat Bosch due to suppliers.Logistics incidents are alsoincluded in this indicator, if

they were detected afteracceptance of the goods byRobert Bosch.





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PLKZ = 1*S + 2*W + 3*M + 4*F + 5*KS = W = M = F =

FF = FL = FB = RB

K = K0 = 0-/0-KF = KB =

PLKZ



Quality Basics In Business With Bosch3 R i f li


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3.6.4) Logistic PLKZ PLKZ

Indicator for logistics

incidents at RB caused bypurchased parts andoccurring before or duringacceptance of goods.

.





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Log-PLKZ= LP+MD+VP+SO+UP+SB+SK

LP = MD = VP = SO = UP = SB = SK = PLKZ.



Quality Basics In Business With Bosch4 S li id d l ti t


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4.1) Supplier pyramid

Preferred

Suppliers

(P)

1

Technology

Specialists

(T)

2

Essential

Suppliers

(E)

3

Suppliers

to be actively

eliminated

(X)

Suppliers

Determined

by the customer

(D)

Suppliers

without new

business

(W)

6 75

4

New

Suppliers

(N)



Quality Basics In Business With Bosch4 S pplier p ramid and escalation management


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4.2) Escalation management

E1

Deviation from

specification

E2

Repeated errors

E4

E3long termexceedance

of quality andlogistic targets

Supplier cannotfulfill requirements



Quality Basics In Business With Bosch4 Supplier pyramid and escalation management


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E1

Problem solving

according to

8D method8D

E2

Supplier MeetingsGPMT-Information

GPMT-Additional

100% inspectionat supplier100%

E4

E3Managementmeetings

No quotationsFor new projectsLoss of preferred

supplier status

3rd party

inspections

Desourcing orpermanently

no new business



Quality Basics In Business With Bosch5 Quality Tools


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5. Quality Tools

Product Development

Start of Production

Mass Production

D-FMEA Lessons LearnedP-FMEA 8D method

DFSS/DFMA TPMSix Sigma 5S

DRBFM Q control loopsInitial sampling/PPAP CIP

Project management Process auditsCmk/Cpk/Ppk

TSM*

Supplier Award

QA Matrix

VQS*APQP Poka YokeValue stream mapping

Escalation management

Bosch Supplier Development Program (improvement program)

EMKZ/PLKZ/ppmATP



Quality Basics In Business With Bosch5 Quality Tools


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5. Quality Tools



5.1) Quality control loop

Sub-supplier BOSCH

in theprocess

in the plant

From Boschto the Sub-supplier

Supplier

Process A A

Process B B

FinalInspection

Quality Basics In Business With BoschShort quality control loops in the plant


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Short quality control loops in the plant

Process

Inspection

Process

Inspection

Process

Inspection

Process

Process

Process

Buffer

Inspection

Inspection

failure response time



Quality Basics In Business With BoschFailure response time


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Failure response time

failure response time

tFR

= tD

+ tR

+ tC

Process

Monitoring

tR

tC

tD

Control Limit

Buffer

FIFO

Inspection

Detection t ime (tD) Time between error emergence and error detection Response time (tR) Time between error detection and moment of response Changing time (tC) Time between moment of response and implementation of necessary change




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Quality Basics In Business With BoschObjectives and application


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j pp

Quality control loops are important elements of the zero defect target.

The shorter the quality control loop, the faster it is possible to reach thezero defects target.

The length of quality control loops must be reduced continuously for:

z Internal complaints (scrap/rework)

/

z Customer complaints (plant/0-km/field)/0/



Quality Basics In Business With BoschObjectives and application


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j pp

A reduction of the error response time makes it possible to::

z

reduce quality costs (nonconformity-/warranty costs)/

z avoid special inspections

PDCA sheets are used for tracking the effectiveness of introducedmeasures.PDCA



Quality Basics In Business With Bosch5. Quality Tools


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5. Quality Tools

5.2) 5S

SEIRI

SEITON

SEISO

SETKETSU

SHITSUKE



Quality Basics In Business With Bosch5 2) 5S


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5.2) 5S

SEIRI

Definition :

To distinguish the necessities andthe unnecessaries. Nothing but thenecessities is put on site.

Objective :

Release space for effective use.



Quality Basics In Business With Bosch5 2) 5S


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5.2) 5S

SEITON

Definition :

Place in order the necessities indesignated area using specifiedmethod, and label them clearly .

Objective :

No wasting time on findingthings.



Quality Basics In Business With Bosch5.2) 5S


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5.2) 5S

SEISO

Definition :

Clean out the dirt on site andprevent contamination.

Objective :

Eliminate dirt and keep the

site clean and bright.





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5.2) 5S

SETKETSU

Definition :

Standardize the method ofimplementing above 3S andmaintain the result.3S

Objective :

Maintain result via standardization.





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)

SHITSUKE

Definition :

Everyone does things according toregulations and get accustomed.

Objective :

Improve people quality tomake people get serious on each

job.



Quality Basics In Business With Bosch6 Traceability


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y

What is traceability?

Standard ISO 8402 (Quality management and quality assurance-Vocabulary):

Traceability is the capability to trace the history, application or location of an entitythrough the use of registered identification. (The entity may designate an activity,

process, product, organism or person).

Standard ISO 9000:

Traceability is the ability to trace the history, implementation or location of that which

is under consideration.





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y

Why we need traceability system? Meeting regulatory requirements - The implementation of a traceability system

makes it possible to meet regulator requirements (e.g. ISO/TS16949)

ISO/TS 16949Traceability as an integral part of quality systems - Traceability is already present

in quality approaches it allows problems to be traced back to the source (raw

material, faulty manufacturing process ), to understand the problem and takecorrective action





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y

Why we need traceability system? Reducing losses in the case recalled products - An effective traceability system

allows action to be taken more quickly: if a problem occurs at a given time, the

finished product which is suspect can be traced and replaced/repaired.

Knowing the impact of raw materials on processes -Traceability allows for abetter knowledge of the impact of the raw materials on the finished products. It allows

a link to be made between the production results and the quality or the point of origin

of the raw materials.





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1st

possible tracking starting from the raw material to find corresponding finished productand their destination

1

RawMaterial fromsub-supplier

machining atSupplier

heat treatmentat sub-supplier

Processing andAssemblyat Bosch Final

product(car)

Processing andAssembly atcar maker

grinding

at supplier

Logistics Logistics

Traceability managed bysupplier!

Traceability managed byBosch!

LogisticsLogistics Logistics





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2nd

Possible to determine at any point of chain the origin and characteristics of theproduct

2

RawMaterial fromsub-supplier

machining atSupplier

heat treatmentat sub-supplier

Processing andAssemblyat Bosch Final

product(car)

Processing andAssembly atcar maker

grinding

at supplier

Logistics Logistics

Traceability managed bysupplier!

Traceability managed byBosch!

LogisticsLogistics Logistics





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General Recommendations Effective lot definition - Each delivery to Bosch could be traced according to the

delivery No to the internal lot No and then to the raw material by the lot definition.

Lot Size Lot might consist of one shift, or eight hours of production, whichever is

smaller. For Bulk Processes (e.g. heat treatment), lot size may be defined by quantityand vary based on process/production equipment (e.g. furnace capacity). Bosch can

define maximum batch size. Each lot shall be traceable back to the raw material

used.





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General Recommendations Integrality The lot definition should reflect all processes influencing thecomponent/material. Be sure not only raw material but also purchasing parts are

included in the system

Support data Process data in each process should be recorded and linked to the

lot No. which would be helpful for problem solving.

Inventory The inventory (raw material, semi-products, final products) should beclearly managed and carefully monitored (quantity and identification No).





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General Recommendations Out-sourcing process For components, that require processing by outside

companies to finish the process (e.g. heat treat, coining, grinding, coating, and other

various processes), if the original lot were batch processed through the different

secondary processes, then there would be no need to change the original lot number.

However, if the batches are split at a secondary processor, then the lot number for

each of the batches should be unique.




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8D

Thank you

Internal | CP/IPA-CN-Q | 11/7/2006 | Robert Bosch GmbH reserves all rights even in the event of industrial property rights. We reserve all rights

of disposal such as copying and passing on to third parties.

Structure of Process Audit Questionnaire

Productdevelopment

M1 Planning product development

M2 Realizing product development


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development

Processdevelopment

Supplier/Input material/

Productionprocess

Customer services/ Satisfaction

/

M2 - Realizing product development

M3 Planning process development

M4 - Realizing process development

M6.1 Personnel /Qualification/

M6.2 Production Material/Equipment/M6.3 Transport/Parts Handling/Storage

/Packaging///

M6.4 Fault Analysis/Corrective Actions

/Continual Improvement//

Part A -Product development

process

Part B -Serial production

