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  • 8/10/2019 Supplier Quality Webinar

    1/23

    Supply Chain Excellence

    Webinar LeaderJeffrey Richards

    Director, Global Production Control and Supplier Quality

    [email protected]

    mailto:[email protected]:[email protected]
  • 8/10/2019 Supplier Quality Webinar

    2/23

    Background

    QUALITY.

    the Merriam Webster dictionary defines it as

    a high level of value or excellence.

    Although always focused on quality, the automotive industry is currently

    mounting a renewed, intensive effort to identify and address areas of

    concern in purchased products/components

    especially those which are at elevated risk for exhibiting quality failures.

  • 8/10/2019 Supplier Quality Webinar

    3/23

    In 2014, to date, Delphi has received 113 formalOEM customer complaints for problems which

    have been caused by supplier non-conformances

    This means that 113 times so farthis year, one of Delphis

    major automotive customers hadtheir operations interrupted bya problem caused by a Delphi

    supplier!

    And all of Delphis divisions wereimpacted by one or more of these 113

    formal OEM complaints!

  • 8/10/2019 Supplier Quality Webinar

    4/23

    Delphi Customer Satisfaction Message

    Suppliers must have a.

    Zero Defect Mentality and Culture in all manufacturing sites

    In order to implement.

    A policy of dont receive, dont build, dont ship non-conforming

    product

    And thereby achieve.

    True built-in quality

    Previous

    process/

    Supplier

    Dontreceive

    Defects

    Dontmake

    Defects

    Dontship

    Defects

    Each step of process Nextprocess/

    Customer

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    Zero

    Defects

    78%

    1-24 NC

    14%

    25-49

    NC

    2%

    50+ NC

    6%

    2013

    Zero

    Defects

    76%

    1-24 NC

    14%

    25-49 NC

    3%

    50+ NC

    7%

    2012

    Zero

    Defects

    75%

    1-24 NC

    15%

    25-49 NC

    3%

    50+ NC

    7%

    2011

    Zero Defects areAchievable!Supplier Zero Defect Journey since 2011

    Zero

    Defects

    82%

    1-24 NC

    13%

    25-49 NC

    2%

    50+ NC

    3%

    2014 (thru June)

  • 8/10/2019 Supplier Quality Webinar

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    Delphi Divisional Message

    Ralf Weber

    Manager, Supplier Quality & DevelopmentDelphi Packard

    [email protected]

    mailto:[email protected]:[email protected]
  • 8/10/2019 Supplier Quality Webinar

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    Delphi Divisional Supplier Quality Message

    Delphi plants have received defective purchased productand, although most of the issues have been discovered and

    contained by Delphi, some have made it to Delphis OEM

    customers and some have even made it to the final

    consumer as warranty issues.

    o As a result, auto manufacturers are stepping up their scrutiny of

    issues that impact vehicles.and this is not a short-term

    phenomenon.it is the expected way of doing business!

  • 8/10/2019 Supplier Quality Webinar

    8/23

  • 8/10/2019 Supplier Quality Webinar

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    Delphi Divisional Supplier Quality Message (contd)

    2. Zero -defec t m entali ty

    Dont receive, dont build, dont ship defects

    Ensure control of non-conforming product at the source

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    Delphi Divisional Supplier Quality Message (contd)

    3. Understand and com ply wi th Delphi CustomerSpecif ic Requ irements

    www.delphi.com/suppliers

    http://www.delphi.com/suppliershttp://www.delphi.com/suppliers
  • 8/10/2019 Supplier Quality Webinar

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    As you can see, there is a common, recurring theme

    throughout the organization,

    so.

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    What is your overall role in this initiative?

    Delphi is requesting that our suppliers get engaged immediately in order

    to fulfill the following overall high-level expectations:

    1. Focus on being proactive.

    2. Reduce lead time when responding to actual non-conformances.

    3. Drive this same mindset with yoursupply base.

    NOW..

    lets talk about the details of how to do these three things.

  • 8/10/2019 Supplier Quality Webinar

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    The good news isno new tools or processes are required!

    All that is required is conscientious application of good,

    standard quality tools and processes with which you

    are already familiar!

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    Delphis Approach - Proactive Risk Based Audits

    No longer waiting for problems

    Risk drives action

    Performing focused supplier audits based on risk

    Complexity

    Volume

    History

    Applica-tion

    Supply Base

  • 8/10/2019 Supplier Quality Webinar

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    Delphis Approach - Proactive Risk Based Audits (contd)

    Based upon the type, magnitude, and combination of risk factors,

    Delphi applies one or more of the following tools as a proactivemeasure against potential quality issues:

    Layout Inspection and Functional Testing

    Problem Case corrective action verification Run at Rate verification

    Manufacturing Capability Assessment

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    What are some risk-based tools / processes you should be using?

    Failure Mode Analyses (DFMEA / PFMEA)

    Focus on reducing highest RPNs

    First Time Quality (FTQ)

    Layered Process Audits (LPA)

    Standardized Work

    Line Side Reviews

    OK Not OK

  • 8/10/2019 Supplier Quality Webinar

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    The details behind your role.1. Focus on being proactive:

    a. Identify areas of greatest risk for quality problems.i. Immediately review DFMEA/PFMEA documentation

    and focus on reducing highest RPNs

    b. Protect your customers.

    i. Immediately implement proactive containment for high risk areas.

    ii. Proactively notify Delphi whenever you believe a potential quality problem may have been

    manufactured and shipped to Delphi.a) If Delphi receives notification of the quality problem beforeit reaches our plant, the PPM portion of your

    scorecard will NOT be impacted.

    c. Propose corrective actions.

    i. Identify potential product/process changes which would reduce the risk and submit those

    potential changes to Delphi for approval through the Supplier Suggestion/Change

    Request (SS/CR) application in the Supplier Portal.

    d. Implementsystemic tools to maintain ongoing compliance and facilitate

    continuous improvement.

    i. Risk Assessments to identify critical product/process characteristics

    ii. First Time Quality

    iii. Layered Process Audits

    iv. Standardized Workv. Line Side Reviews

  • 8/10/2019 Supplier Quality Webinar

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    The details behind your role.

    2. Red uc e lead time when responding to actual non-conformances.

    a. Immediatelyprotectyour customers by implementing containment.

    b. Define the potential scope of any defect/issue within 7 days.

  • 8/10/2019 Supplier Quality Webinar

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    The details behind your role.3. Dr ive this same mindset with your supply base.

    a. Proactive risk-based audits

    b. Quality review meetings and audits

    c. Line Side Reviews

    Delphi material is available for your use!!

  • 8/10/2019 Supplier Quality Webinar

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    Delphis Next Steps

    Follow up with many of you after this webinar.

    What actions have you completed?

    Integration of this message during sourcing.

    As part of the quoting process, you may be asked what you are doing

    in response to this initiative.

    Increased level 5 PPAPs in high-risk situations.

    Increased on-site annual audits in high-risk situations.

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    For your information..

    On August 4, 2014, we will activate a short online

    questionnaire regarding your feedback about this webinar.We will provide you with a link to the questionnaire prior to

    that date.

    We would certainly appreciate you taking a few moments to provide us with

    your feedback!

    If you would like a copy of todays presentation material to use

    internally and to share with your colleagues, please send an

    e-mail to Mario Lee ([email protected]) to request this

    information.

    mailto:[email protected]:[email protected]
  • 8/10/2019 Supplier Quality Webinar

    22/23

    Thank you for your ongoing commitmentto continuous quality improvement!

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    Questions?