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QOS for Q1
A Presentation by OMNEX, Inc. for Ford Motor Company

© Omnex, Inc.
3025 Boardwalk Drive Suite 190 Ann Arbor, MI 48108 September 2001

No part of this presentation may be stored in a retrieval system, transmitted or reproduced in any way, including but not limited to photocopy, photograph, magnetic or other record, without the prior agreement and written permission of thepublisher.
© 2001 OMNEX, Inc. 2

Goals
s

s s

s s s

Raise QOS effectiveness within Ford Motor Company and the supply base. Present the need for change. Show how a QOS helps companies respond to change. Introduce the major components of a QOS. Explain how a QOS works. Show how a QOS leads to strategically focused continual Improvement.
© 2001 OMNEX, Inc. 3

Challenges
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All companiesare faced with unprecedented demands to deal with the sometimes conflicting external requirements to …
– Grow shareholder value – Understand, achieve and sustain customer satisfaction – Overcome stiff competition – Meet government standards
© 2001 OMNEX, Inc. 4

Challenges
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To be successful, companies must manage their internal activities to…
– Minimize cost, delivery time and errors.– Maximize the utilization of their physical, human and intellectual resources. – Respond quickly and effectively to the needs of their customers.

© 2001 OMNEX, Inc.

5

Need for A High Performance Culture
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To respond effectively to these challenges, companies need to create a customer-focused culture that…
– – – – Stays focused on the drivers of success. Uses objective data to judgeperformance. Continually improves. Involves all employees in the effort.

© 2001 OMNEX, Inc.

6

Paradigm Problem
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Process vs. Function Matrix
Key Measurables

General Management

Purchasing

Human Resources

Operations

Accounting

Sales

Process

Variation

Outputs

© 2001 OMNEX, Inc.

7

The Basic Operation of a QOS
O
N
T
L UA I N
Verify & Adjust

PRO CES S I M P R OV E
Customer Expectations
Select

M

E

N

C

T

Predict Downsteam Performance Constant Employee Awareness
Establish Correlation

Internal Key Processes and Events

Identify

Trend of Measurables
Track

Measurables for Key Internal Processes

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Key Features of QOS
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The key features of QOS are consistent with ISO 9001:2000 principles and call for…– – – – – – – Management Commitment Process Focus Data Driven Visual Management Management Review Process Improvement Teams Appropriate Improvement Techniques
© 2001 OMNEX, Inc. 9

Management Commitment
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Management Team Organization
– Cross-functional team of top managers

Management Team Responsibilities
– – – – – – Identifies strategic objectives and sets policy Aligns everyonetowards a common set of goals Acts as a communications hub Implements and manages Business Planning Empowers improvement teams Provides necessary resources
© 2001 OMNEX, Inc. 10

Process Focus
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Aligned with ISO/TS 16949:2002 and ISO 9001:2000
Continual improvement of the Continual improvement of the quality management system quality management system
Management responsibilityCustomers Customers

Customers Customers

Resource management

Measurement, analysis and improvement

Satisfaction

Requirements

Input

Product realization

Product

Output

Key Information flow Value-adding activities Figure 1 - Model of a process-based quality management system

© 2001 OMNEX, Inc. © ISO 2000

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Data Driven The QOS Model
Customer Expectations

MissionStatement Competitive Benchmarks

Strategic Goals and Objectives

Result Measurable

Result Measurable

Key Process

Key Process

Key Process

Key Process

Key Process

Key Process

Process Measurable

Process Measurable

Process Measurable

Process Measurable

Process Measurable

Process Measurable

Improvement Action

Teams

Improvement Action

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Data...
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