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Implementing a Business Management System compliant to ISO 9001:2000

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What ISO 9001:2000 implies….Business Management System (Production and HR, Acctg, Engr, Operations, IT, etc)Key Driver is Customer SatisfactionBusiness System must:

Know and Meet Customer NeedsFollow Controlled ProcessesMonitor Process PerformancePerform Preventive and Corrective

ActionsDemonstrate Continual Improvement

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Eight Management PrinciplesCustomer FocusLeadershipAssociate InvolvementProcess Definition and DocumentationSystem Approach to ManagementContinual ImprovementFactual Approach to Decision MakingMutually Beneficial Supplier Relationships

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Customer FocusWhat

Understand customer requirementsMeet or exceed customer expectations

WhyIncreased revenues and market share Quick response to opportunitiesMore effective use of resourcesIncreased customer satisfactionImproved customer loyalty & repeat business

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LeadershipWhat

Establish unity of purpose and directionMaintain an internal environment that promotes full involvement of everyone to meet objectives

WhyPeople understand and are motivatedActivities are implemented and evaluated in a unified wayMiscommunication is minimized

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Associate InvolvementWhat

People are the essence of an organizationFull involvement enables abilities to be best used for the organization’s benefit

WhyMotivated, committed and involved peopleInnovation and creativity are stimulatedPeople are accountable for their own performancePeople contribute to continual improvement

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Process Definition and Documentation

WhatDesired results are achieved more efficiently when activities and resources are managed as a process

WhyLower costs and shorter cycle timesMore effective use of resourcesImproved, consistent and predictable resultsFocused improvement opportunities

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System Approach to ManagementWhat

Identify, understand and manage interrelated processes as a system to improve effectiveness and efficiency

WhyFocuses efforts on key processesProvides confidence to interested parties in the consistency, effectiveness and efficiency of the organization

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Continual ImprovementWhat

Continual improvement of overall performance should be a permanent organizational objective

WhyPerformance advantage through improved capabilitiesAlignment of improvement activities at all levelsFlexibility to react quickly to opportunities

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Factual Approach to Decision MakingWhat

Effective decisions are based on the analysis of data and information

WhyPermits informed decisionsIncreases the ability to demonstrate effectiveness of past decisions through factual recordsIncreases the ability to review, challenge and change opinions and decisions

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Mutually Beneficial Supplier RelationshipsWhat

An organization and its suppliers are interdependentA mutually beneficial relationship helps both to create value

WhyIncreased ability of both to create valueFlexibility and speed of joint response to changeOptimization of costs and resources

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Selection of ISO Site RepresentativeComplete support of site management teamReceive ISO specific trainingAccountable for building ISO required documentationCoordinate planning sessionsCoordinate training sessionsCoordinate management reviews

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Sample Business Policy Statement

Our company is committed to enhancing value to shareholders through

Customer Satisfaction Compliance with Applicable Laws,

Regulations and Requirements Pollution Prevention Safe Work Environment Involving our Associates in Continual

Improvement of our Business Management System

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MethodologyIdentify and Flowchart Key Business ProcessesSet Strategic Objectives and Supporting Department ObjectivesWrite Procedures and Instructions to Support ProcessesImplement and Train on ProceduresPerform Internal AuditsConduct Ongoing Management Reviews to Evaluate Performance to ObjectivesISO Registrar Outside Audit/Certification ReviewOngoing Audit, Review and Continual Improvement

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Methodology

Identify and Flowchart Key Business Processes

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s

Process Orders

Manage Customer Accounts

Manage Physical

Resources

Manage Personnel Resources

Manage Financial

Resources

Manage Information

System Review & Improvement

Management & Support Processes

Cus

tom

ers

Customer Management

Custom

ers

Infrastructure Management: Chemicals/Solutions Processing

Infrastructure Maintenance Health/Safety

Environmental Management Security

IT Operations

Human Resource Management

Financial Management Document/Data Management

Business System Management

Sales/Marketing

Business System Overview

Customer Feedback

Purchase Materials Handle/Store Customer Product

Pack & Ship Prints

Order Management Production Management

Shipping Management

Purchasing/Supplier Management

Raw Materials Management Vault Management

Core Business Processes

Customer Approval

Invoice Customer Billing Management

Production

Handle/Store Raw Materials

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KEY PROCESS: VAULT MANAGEMENT

Applicable Procedures Daily Negative Pickup & ID Receiving into Vault Shipping from Vault Transferring an Element to History Making Cans for New Negative Runaway

Measures of Effectiveness

CUSTOMERPRODUCT RECEIPT

VAULT CHECK-OUT/ISSUE TO

PRODUCTION

Note:Customer product is issued by roll # and checked out onlog to negative cutting/assembly.

PRODUCTIONELEMENT STORAGE

VAULT CHECK-IN

PRODUCT STORAGE

REQUEST FORELEMENTS FROM

VAULT

Note:Customer product, including daily negative and soundtrack ischecked in at the vault.

Note:All film elements that come into shipping from the customermust be checked in through the vault.

ORIGINAL CUTNEGATIVEINTERPOSITIVE INTERNEGATIVE/

SOUNDTRACK

PRODUCTIONELEMENTS TO VAULT

AFTER PRODUCTION IS COMPLETE

Note:Customer product is stored in the vault by assigned location.

Note: Original cut negative is returned after printing Internegative, Interpositive and soundtrack are returned

after release is complete

Note:IP is stored in a separate vault for protection. All productionelements are stored in a vault and are re-issued to Productionas needed for additional printing activity. Elements (includingleft-over negative) may be returned to the customer.

Note:Elements are requested from the vault as required forproduction activity.

Responsibilities Process Notes

Vault Personnel

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KEY PROCESS: SHIPPING MANAGEMENT

Measures of Effectiveness Packing Accuracy

Applicable Procedures Film Shipping Instructions Dailies Shipping Other Misc. Shipping Box Creation Instructions Outside Processing

RECEIPT OFSHIPPABLEPRODUCT

SHIPMENT LABELINGNote:Boxes are labeled as appropriate.

SHIPPING/PICK UP Note:Records are maintained of shipments.

PRODUCT STAGING& REVIEW

PRODUCT PACKING

SHIPPER CREATION

Note:Review for available information, including packinginstructions.

Note:Product is packed per customer instructions, if available.DA

ILIES

Note:Shipping paperwork is created per order instructions.

Note:Shippable product may include film reels, dailies or otherproduction items.

BOX CREATIONNote:Boxes are created for packing byLaborers.

Responsibilities Process Notes

Shipping & Receiving

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KEY PROCESS: CHEMICALS/SOLUTION PROCESSING

Applicable Procedures Mixing Guidelines Solution Analysis Solution Replenishment Dropping Solution Pre-Bath Service (Negative) Nitric Acid Cleaning Sulfamic Acid Cleaning Chlorination Positive/Negative Start-Up Positive/Negative Shutdown Neutralizing System Monitoring

Measures of Effectiveness Chemical Cost per Foot of Film Key Chemicals Cost per Foot

Responsibilities Process Notes

DEMAND FORSOLUTIONS

REQUIREMENTSIDENTIFICATION

SOLUTIONS MIXING

SOLUTIONANALYSIS

SOLUTIONREPLENISHMENT

SYSTEM CONTROLNote:Tank levels, temperatures and flow are monitored, andadjustments are made as necessary.

Note:Input may be received from Technical Control Analytical Lab Production

SOLUTION OK

N

Y

Solutions

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MethodologyIdentify and Flowchart Key Business ProcessesSet Strategic Objectives and Supporting Department Objectives (including personal objectives)

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Methodology

Identify and Flowchart Key Business ProcessesSet Strategic Objectives and Supporting Department ObjectivesWrite Procedures and Instructions to Support Processes

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Printed copies of this document may be used for reference only; master copies are on the server. Print date: 3/12/03

RECEIVE ELEMENTSFROM SHIPPING

PROCEDUREACTIVITIES/RESPONSIBILITIES

NOTES/INSTRUCTIONS

DELIVER TODESIGNATED DEPT.

RUNAWAY DELIVERSELEMENT (S)

COMPLETERECEIVING FORM

RETURNINGELEMENT (S)

SEND TO NEGATIVEASSEMBLY

SEND TO VAULTCONTROL DEPT

FILL OUT IADD

FILE ORIGINALDOCUMENT

N

Y

NOTE:Vault Clerk picks up and deliversrunaways to their designateddestination.Runaways are checked every 30minutes.

NOTE:4 out of 6 copies are used when completing thisform, extras are discarded One copy stays with the element (s) One goes on Vault Controls weekly files2 copies go to Main Vault Storage-after one month one copy can be discarded

NOTE:Filed in Vault Control along with anysigned documents.

NOTE:Elements delivered to NegativeAssembly Printing or Vault Dept. ( for re-vaulting) are pending instructions uponreceived notice.

Vault – Receiving Into Vault Doc. #: P08-002  

Page 1 of 1

Rev: Draft 1 Date: 12/20/02

Process Owner: Bob Schulte Approved by: Kevin Buchanan  

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Silver Cell Maintenance Checklist

Doc.# 

Page 1 of 1

Rev: Draft Date: 2/1/03 Process Owner: Approved by:

 

 

Area: Silver Room Plant 20

Description

Full service & Silver removal

Purpose

To maintain the silver cell & removal of silver from drum

Responsible Frequency Schedule Run/Not Run

Plant Maintenance / Solution Bi- Weekly Yes =- Blanket Work Order Run / Not Run # Steps Completed

1 Solution – Drain silver cell

2 Plant Maintenance – Remove belt – check gear box – check motor

3 Solution: Remove silver drum

4 Plant Maintenance – Check carbons to see if broken or cracked (replace if broken)

5 Plant Maintenance – Check nuts and bolts for rust ( replace if rusted)

6 Plant Maintenance – Clean flowrator

7 Plant Maintenance – Check electrical connection (any question call electrical)

8 Plant Maintenance – Clean outside of silver cell – sides & top

9 Plant Maintenance – Check drains

10 Solutions – Install drum that the silver has been removed

11 Plant Maintenance – Grease bearings

12 Plant Maintenance – Install belt

13 Solution – Fill and start –up silver cell

14 Date:

15 Personnel:

16 Use the number box to check off

Expected Result

Distribution

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Methodology

Identify and Flowchart Key Business ProcessesSet Strategic Objectives and Supporting Department Objectives Write Procedures and Instructions to Support ProcessesImplement and Train on Procedures

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TrainingDevelop job competencies and training requirements for each positionValidate level of competency for each associateIntroduce and validate each procedure and work instruction to associates

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MethodologyIdentify and Flowchart Key Business ProcessesSet Strategic Objectives and Supporting Department Objectives Write Procedures and Instructions to Support ProcessesImplement and Train on ProceduresPerform Internal Audits

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Internal AuditingSelect group of associates will: Receive internal ISO auditing trainingAudit outside their home departmentAudit up to two days each per monthValidate documented procedures against practiceGenerate nonconformances for management follow-up

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MethodologyIdentify and Flowchart Key Business ProcessesSet Strategic Objectives and Supporting Department Objectives Write Procedures and Instructions to Support ProcessesImplement and Train on ProceduresPerform Internal AuditsConduct Ongoing Management Reviews to Evaluate Performance to Objectives

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Management ReviewsManagement Team periodically reviews:Audit resultsCustomer feedbackProduct conformity dataKey Process Indicators (KPIs)Suggestions and recommendationsAnalysis of failuresPreventive/corrective actions

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MethodologyIdentify and Flowchart Key Business ProcessesSet Strategic Objectives and Supporting Department Objectives Write Procedures and Instructions to Support ProcessesImplement and Train on ProceduresPerform Internal AuditsConduct Ongoing Management Reviews to Evaluate Performance to ObjectivesISO Registrar Outside Audit/Certification ReviewOngoing Audit, Review and Continual Improvement

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Site Management Team ActionAssignment of fulltime dedicated ISO Management Representative with complete support of site managersDevelop objectives supporting the business policy statement and company strategic goalsCommunicate policy and objectives down through the organization

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Business Management System

ISO 9001:2000/ISO 14001:1996

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Revision 3, 1/8/2003

The purpose of this manual is to provide an overview of the Technicolor Entertainment Services Business Management System. The policies, objectives and processes described herein are supported by additional documentation where appropriate. The Business Management System applies to all activities related to the production of motion picture film products at the North Hollywood film processing facility. This includes supporting functions such as environmental, health and safety management. The Business Management System includes all requirements of ISO 9001:2000 except: Clause 7.3, Design and Development: Technicolor Entertainment Services is not responsible for the design and development of the product Clause 7.5.2, Validation of Processes for Production and Service Provision: There are no processes at Technicolor Entertainment Services that cannot be verified by subsequent monitoring or measurement.

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Technicolor Entertainment Services Technicolor is a Thomson Inc. (NYSE:TMS) business within Digital Media Solutions, a Thomson division focused on giving content providers, broadcasters, network operators, and advertisers the digital building blocks required to deploy electronic entertainment services. Technicolor is the world’s leading provider and distributor of motion picture film prints, DVDs, CDs and Videocassettes. On an annualized basis, the company processes more than three billion feet of motion picture film and has the capacity to produce approximately 250 million DVDs, 500 million CDs and 800 million videocassettes. Technicolor Entertainment Services at the North Hollywood location is a result of restructuring its Hollywood-based film operations by relocating CFI to North Hollywood. CFI retains its management and operations, and will focuses on front-end film services, trailer release, film preservation, and large format production operations for studios and the independent film community. All of CFI film services will be transitioned to the new location by early 2003. This new alignment of Technicolor’s film laboratory assets in Los Angeles will drive new overall production efficiencies and higher levels of customer service. With the recent opening of Technicolor’s new release print facility in Mirabel (Canada) in January 2002, Technicolor now boasts the largest print capacity in North America. With a long history of innovation and service to Hollywood and the entertainment industry, Technicolor and CFI will continue to each provide the services their customers have come to expect. CFI’s newly renovated North Hollywood facility will house all film operations and will serve as a front-end laboratory while continuing to manufacture release print work in support of its cus-tomers. The renovations will include new screening rooms, a new dedicated customer service unit and convenient remote depots and drop-off locations for customers in Hollywood and elsewhere.

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Business Policy Statement

Establishing Business Objectives Measurable objectives are established at relevant levels of the organization to sup-port the business policy.

Technicolor is committed to Customer Satisfaction Compliance with Applicable Laws, Regu-

lations and Requirements Pollution Prevention Safe Work Environment In order to enhance value to shareholders. We achieve this through employee involvement and continual improvement.

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Business Management Principles

1. Customer and Stakeholder Focus – Our main consideration is our customers’ and stakeholders’ current and future needs. Techni-color’s Business Management System is

designed to allow us to comply with their requirements and enhance their satisfaction. 2. Leadership – The Technicolor Management Team provides the

direction and resources for the organization and encourages the involvement of all employees.

3. Involvement of People – Our employees are our essence, and their abilities provide a vital contribution to the achievement of our objectives.

4. System Approach to Management – Defining, understanding and managing interrelated processes as a system contributes to our effectiveness and efficiency in meeting objectives.

5. Factual Approach to Decision Making – Data from our processes is collected and analyzed to allow us to make effective decisions. 6. Mutually Beneficial Supplier Relationships – Both Technicolor and our suppliers create value by developing mutually beneficial, interdependent relationships. 7. Continual Improvement – It is a permanent objective to continually improve the effectiveness of our Business Management System.

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Key Business Processes

The Key Business Processes are defined in the documents ref-erenced above; supporting procedures are referenced within. Process inputs, outputs, responsibilities and cr iteria for effectiveness are defined in these Process Maps.

Document Name Document ID

Customer Management Order Management

Pre-Production Management

Production Management

Preservation Management

Shipping Management

Billing Management

Purchasing/Supplier Management

Raw Materials Management

Vault Management

Infrastructure Management: Chemicals/Solution Processing Infrastructure Maintenance Health and Safety Environmental Management Security IT Operations

Human Resource Management

Financial Management

Document/Data Management

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The Business Management System is ISO 9001:2000 compliant when we…

Document what we already doEnsure we are in accordance with established proceduresProve we operate to our own documented systemContinually improve