June 21, 2011 (Tuesday) 55th EOQ Congress
CONCURRENT SESSIONS Tuesday 13:30 – 17:30 KEMPINSKI HOTEL CORVINUS Erzsébet tér 7-8, Budapest V.
REGINA BALLROOM II. Tuesday 13:30 – 15:00
11.1. REPOSITIONING QUALITY FOR MANUFACTURING I. 13:30 – 15:00
Session Chair: Hans Dieter Seghezzi, University St. Gallen, Switzerland
13.30 Quality First – Zero Defect Strategy Willfried Heist, Knorr-Bremse Systeme für Nutzfahrzeuge GmbH, Germany
Heist, Willfried (Germany)
Willfried Heist is Vice President of Group Quality, Product Safety and HSE (Health & Safety Executive)
Management and authorized representative at KNORR-BREMSE Systeme für Nutzfahrzeuge GmbH in
Munich, Germany since 1997. Before that he was Head of Quality at Fichtel & Sachs AG, Chassis Division; at
Zeppelin Metallwerke GmbH and Manager Quality Management at Daimler Benz AG in Germany and
Overseas. Willfried Heist has comprehensive experience in creation, realization and further development of
Quality Management and Product Safety Systems and QM/Product Safety Strategies.
Quality First – Zero Defect Strategy
June, 2011
Knorr-Bremse Group
Content
Introduction Knorr-Bremse
Q-Strategy
Roadmap
Product Safety Audits
Q First KB Maturity ModelQ-First KB-Maturity Model
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Content
Introduction Knorr-Bremse
Q-Strategy
Roadmap
Product Safety Audits
Q First KB Maturity ModelQ-First KB-Maturity Model
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Answers for a World of Mobility
Knorr-Bremse is the world's leading manufacturer of braking systems for rail and commercial vehicles
Metros Streetcars
TrucksBuses
Rail Vehicle Systems Commercial Vehicles
Multiple unitsHigh-speed trainsLocomotivesPassenger rail cars
EnginesSpecial vehicles
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Passenger rail carsFreight cars
The Group
Workforce acc. to divisions and regions
Workforce distribution 2009 *
Europe,Middle East AmericaMiddle East,Africa 22%
Asia,Australia
18%59%
Knorr-Bremse Group 14,43214,999Rail Vehicle Systems 8,2567,688
2008 2009
y ,,Commercial Vehicle Systems 6,0147,160
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* Deviation from 100% results from rounding
Quality Policy
Quality Policy
Quality Is A Core Value and Product Safety is a critical success factor with Individual Responsibility And Ownership being Essential!
Q lit iWe are committed to continuously advance the quality of our products and services.We are a customer driven company providing the most beneficial solutions for ourQuality is a
Core Value!We are a customer driven company providing the most beneficial solutions for our customers.We comply with the requirements and continually improve the effectiveness of our Quality management system.We strive to design and produce products with Zero DefectsWe strive to design and produce products with Zero Defects through the entire supply chain, becoming the benchmark in quality and product safety .We are committed to be the technology and market leader for
Product Safety is a Critical
W i d d t i t f t i i t
We are committed to be the technology and market leader for product safety over the full product life cycle.We develop and provide products that enable our customers to operate vehicles safely to protect human life
SuccessFactor!
We engage everyone in process and product improvements fostering an environment for continuous learning and development.We accept that the responsibility and ownership for quality and product safety rests collectively with each and everyone one of us.
Individualresponsibilityand ownership
operate vehicles safely to protect human life.
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We gain from individual knowledge, experience, and competencies across global businesses and cultures.
are essential!
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Quality Management
Quality Management
Without safety no Knorr-Bremse No safety without Quality
Also slight carelessness at the supplier, at development or production which are
d d ill h ll h
As manufacturer of safety systems for commercial vehicles and rail it is our bli i d li hi h d d d
Without safety no Knorr Bremse No safety without Quality
not detected will challenge the success of Knorr-Bremse.
obligation to deliver high standard products.
Quality its in your handQuality – its in your hand …..
Our Way – Zero Defect
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Content
Introduction Knorr-Bremse
Q-Strategy
Roadmap
Product Safety Audits
Q First KB Maturity ModelQ-First KB-Maturity Model
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STRICTLY CONFIDENTIAL
STRAP 2011-15 Quality and Product Safety Management
Become worldwide Benchmark in Quality and Product Safety
Strategic Focus
STRICTLY CONFIDENTIAL
Establish “Zero Defect & Product Safety” awareness in the whole CVS group and through all layersEnsure that within our new ventures, JV and LCC operations the same high
GlobalQuality and Product Safety rules are appliedFully satisfy our customers by ensuring the reliability of our products in the field through systematic warranty analysis & integrating problem solving process and lessons learnedprocess and lessons learned.Reinforce our preventive Quality and Product Safety strategy by strictly following the PDC-APQP process throughout the complete CVS group and supply chainExecute global management system (KE CVS)Execute supplier quality management, with preventive quality planning and LCC supplier developmentDon’t repeat mistakes: Further implementation of the Problem SolvingDon t repeat mistakes: Further implementation of the Problem Solvingprocess and Claim Handling Process with a lessons learned, proactive/ preventative approach supported by SIX SIGMA methodologySupport BRIC locations during the implementation of KB standards
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STRAP 2011-15 Quality and Product Safety Management
Field actions Zero mileage
Worldwide Benchmark in Quality and Product Safety
PeopleManagement Field actions Zero mileage People
Strengthen the "Zero Defect & Product Safety" awareness in th h l
Management
Consequent focus onproduct safety andprogress controlling
2011 2015 2011 2015
Customer satis- Rate of Quality
the whole group
Design Supplier
progress controlling
Customer satis-faction index
Rate of QualityDesign
Focus on preventive actionin Engineering, robust design and Reliability Management
Supplier
Dramatic improvement of supplier quality w/ preventive quality planning LCC supplier
Warranty costsCustomer
and Reliability Management
Production
quality planning, LCC supplier development
Supplier ppm:Warranty costs
Global Application of the Problem Solving Process& Lessons learned
Zero Defect Production throughout the whole supply chain
Supplier ppm:Ready to assembly
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chain
Content
Introduction Knorr-Bremse
Q-Strategy
Roadmap
Product Safety Audits
Q First KB Maturity ModelQ-First KB-Maturity Model
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Q10Q-First Roadmap 2011
Bloc ManagementWorld-wide realization of the1 Central QualityAccording to Board released planning
Responsible
World wide realization of thePSA audits1 Central Quality
Board
Regular Q-Review and TrackingRegular Follow up in Management Quality reviews P t2
Central QualityLocations
According to Board released planningNew audits and Re-Audits
Regular Q Review and Trackingof Main Q-Projects & Actions Paretos
Stringent follow up of actions2 Locations
CoCs
Regular control of Q-First by Q Fi t St i C itt M ti 8 k3 B dRegular control of Q First bythe Steering Committee Q-First Steering Committee Meetings every 8 weeks3 Board
Execution of the newRoll out and Communication campaignT i i f th li4
Central Quality CommunicationExecution of the new
CVS Quality Policy within Q-First Training of the new policyQ-First promotion material
4 CommunicationLocationsCoCs
Carry out of Q-First Assessments in Locations C t l Q litQ-First KB Maturity Modely Q
Deployment of actions5 Central Quality
Standardization of Lessons Data Base for Lessons LearnedCentral QualityT/BZ
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Standardization of LessonsLearned? Roll out of identified Lessons Learned6
T/BZLocationsCoCs?
Q-First Roadmap 2011
5 Mains aspects to drive the achievement of Q-First Design targets
Secure …
Project Audits• Identification of potential risks• Definition of actions• Check following of PDP
Training & Awareness• Training on the job of the involved persons withinBP6 (R h &
Avoid …
processBP6 (Research &Development)
Clean up …FMEA & Control Plan• Use/improvement of methodology Safety parts • Use/improvement of methodology• Understanding of importance• Close loop to R&D in case of serious issues/claims
• Definition and Identification(old parts)
• Tracking of applicable specialcharacteristics within supply h i f i k d tichain for risk reduction
PDP process and projects• Further development and completion of BP6 processes
• Improvement of quality of
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• Improvement of quality of PDP projects (APQP)
Q-First Roadmap 2011
Global
Supplier Excellence Structure
Risk Management
GlobalSupplier Excellence
Process & ContractManagement
SupplierReduction
TrainingsQualityDevelopment
Selected Safety SuppliersFollow up results under 50%, QMPP Compl. Evaluation
ManagementOutsourcing C-part Managementdue to low volume
Supplier trainingsyearly training plan per location
PurchasingProcessesSPP 4.4.1, 4.4.2, 4.4.3 -KE, PDC integration,
pNew QMPP 2008 Compliance Evaluat., Feasibility AgreementClassificationQuality Perf. (QP)
Financial Risk ManagementPurchasing Risk Evaluation (PRE), D&B
d S h k R i
Phase Out projects due to low volume due to PAVE 3 statusdue to performance due to financial risk
g ,Change process
ContractsGeneral Contracts plus add-on modules, and XL Liability Insurance
Quality Perf. (QP)Delivery Perf. (DP)Productivity Perf. (PP)PAVE 1: Claim Mt.regular claim management by SQDPAVE 2 I P j and Schneck Rating
PAVE 3: High Risk ManagementNot capable suppliers, Not feasible parts
y
Target AgreementTrack the current Target Agreement with suppliers
PAVE 2: Imp. Proj.improvement plan neededAuditsVDA6.3, project PSA
Not feasible parts
Supplier training plan fulfillment
# of suppliersSupplier audits plan fulfillment
% signature rates of Q-contracts
Supplier PPM (raw & rfa)
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Review by KPI system, Steering structureCommunication via integrated Database, PARIS and SourcingParts (SIS)
Content
Introduction Knorr-Bremse
Q-Strategy
Roadmap
Product Safety Audits
Q First KB Maturity ModelQ-First KB-Maturity Model
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Product Safety Management
Well structured approach to product safety in 4 elements…
Safety management- Clear documentation of product safety requirements
Product & process development- Identification & deployment of s/c and c/c parts during- Clear documentation of product safety requirements
- Intensive training of employees- Carry out of product safety audits to identify risks andsystematically deploy actions incl. stringent follow up
- 8D approach + risk analysis in case of safety related
- Identification & deployment of s/c and c/c parts duringdesign
- Robust product design- Consistent validation during design (DVP)- Focus on reliability8D approach risk analysis in case of safety related
issue/claims- Collection, analysis, monitoring of information aboutproduct safety issue/claims
Focus on reliability- Use of tools and methods (PDP, APQP, FMEA‘s, Design Reviews etc.)
- Regular agreement with customers
Manufacturing & assembly- Clear identification and visualization of s/c and c/c onproduction documents
- robust assembly & manufacturing process with strong
Supplier Chain Management-Product Safety audits at selected suppliers with consequent follow up of actions and regular feedbackreviews- robust assembly & manufacturing process with strong
technical securing on s/c and c/c characteristics (e. g.by Poka Yoke)
- monitoring of s/c and c/c during production- process capabilities
reviews- identification and development of safety parts suppliers- systematical approval of safety parts suppliers (PPAP,level 3, on site sign off)
- „safety guidelines agreement“ for suppliers
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process capabilities „safety guidelines agreement for suppliers
Product Safety Management
Cross functional PSA helps to identify risks systematically
Improvement of PSA Scoring results over the yearImprovement of PSA Scoring results over the year
Exchange of experience and reciprocal learning
Increase of KB product safety awareness worldwide
Cross functional teams with product experts
Integration of the f nctional Safet ManagementIntegration of the functional Safety Management (FSM) according to the IEC 61508
Deployment of standards
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Derivation of main projects
Product Safety Management
A tool with escalation level and lessons learned for all locations helps to monitor necessary actions…
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Product Safety Management
… and to define a clear structured list to manage actions!
Number of actions: 163
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Content
Introduction Knorr-Bremse
Q-Strategy
Roadmap
Product Safety Audits
Q First KB Maturity ModelQ-First KB-Maturity Model
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Q-First Maturity Model
Focus of Q-First Maturity Assessment vs. Product Safety Audit
Deepness
ProductSafety
Deepnessof audit
approach
(focused onimplementation
details,safety
SafetyAudit
safetyrequirements,
safetyissues)
Quality First Maturity Assessment
(alternative to the sum of all 70 TMS audits)
Widenessf dit
focused on completeness,
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of auditapproach
completeness,system requirements,
management system issues)
Q-First Maturity Model
Quality First Maturity Model - complete overview
CompetencyM t
SupplierQuality
Control ofProduction &Management Design &
DevelopmentReview ofProduct
People Supplier ProductionManagement Design Customer
Management QualityManagement
Production &Control PlanResponsibility Development
Planning
SpecialKnowledge
PurchasingInformation
Validation &Monitoring ofManagement
Review
Design &Development
ProductRequirements
Corrective &PreventiveKnowledge Information g
ProcessesReview pInput
Product SafetyAwareness
IncomingProduct Logistics &
InventoryManagement
SystemDesign &
Development
Actions
RejectedProductAwareness Conformity InventorySystem Output
EmployeeMotivation &
E t
Supplier RiskManagement
ProductionSystem
InternalAudits
Design &Development
Review
Analysis
CustomerFeedbackEmpowerment a age e t Systeud ts Review
WorkEnvironment
SupplierMonitoring
Measuring &ProductionEquipment
ContinuousImprovement
Design &Development
Changes
IntercompanyClaim
Management
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EquipmentChanges Management
Q-First Maturity Model
Quality First Maturity Model - 20 areas to assess
ManagementR ibilit
Management Area Area AreaArea
Product SafetyPolicy & Product Safety
R ibilitProduct SafetyC i ti
TargetDeployment &Responsibility
ManagementReview
Policy &Q-First Roadmap Responsibility CommunicationDeployment &
Review
QualityPerformance Risk
AnalysisQuality First
Action Database
ProcessManagementReview
ManagementSystem
Reviews Analysis Action DatabasegReviews
ProcessManagement
Document &Records PROGRESSAudit & Review
PlanningSystem
InternalAudits
Management ControlPlanning
Product SafetyAudits
VDA 6.3Process Audits
VDA 6.5Product Audits
ProjectAudits
ContinuousImprovement
SixSigma
FTFReduction
StatisticalMethods
KaizenTeams
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Q-First Maturity Model
Quality First Maturity Model - Maturity Levels
Performance &Effectiveness
Reviews &Improvement
Deployment Performance measurementsReviews
Deployment &RequirementsMaturity Level
Not Applicable
Not Started
p yis not applicable
to the assessed unit.
No evidence of deployment.Th ti i t f d
are not applicableto the assessed unit.
No effectiveness measurementsor poor performance
are not applicableto the assessed unit.
No reviewsor poor monitoring
Baseline
Not Started
Deployment of process.Risk that TS 16949/Customer
The practice is not foundor not yet started.
Low effectiveness. Targets or objectives not achieved.
or poor performance.No targets or objectives.
Process reviews or monitoring.Risks out of missing action plan
or poor monitoring.No action planning.
Baseline
Improving
Risk that TS 16949/Customerrequirements are not fulfilled.
Deployment of process.Requirements are fulfilled.I t
objectives not achieved.Risk of customer claims.
Effectiveness measurementsor performance indicators
h i t
s s out o ss g act o p aor of actions behind schedule.
Review of process deployment. Improvement Plan is defined.
A ti t k
Succeeding
Improvement necessary.
Deployment of processas proven practice and
requirements are fulfilled
show improvement.
Performance and effectivenessshow improvement
and targets are achieved
Actions are on track.
Review of process deployment. Improvement Plan is defined.
Actions are implemented.
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requirements are fulfilled. and targets are achieved.Actions are implemented.
Q-First Maturity Model
Operative deepness of analysis supported through 9 How
process documentsrequirement matrix
id f i l t tievidence of implementation
frequence and meeting minutesfrequence and meeting minutesaction planning, schedulestimely action follow-up
any figure or performance indicatorperformance over the timetargets set and targets met
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For each of the 140 areas the P-D-C-A cycle is checked to identify risks of low performance
Q-First Maturity Model
Assessment Notes for the 6 blocs of Quality First Maturity Model
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Q-First Maturity Model
Follow-up of actions at the Q-First Action Database
The identified 18 improvement opportunities at each location will be followed-upat the Quality First Action Database.
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Actions will be stored under "Other Audits + Location + Bloc"
Q-First Zero Defect Strategy
Continuous Improvement of Q-First
PA G l & TA i P
DefineImplement
A Goals & Targets& Action Plans
ActionExecution
Zero DefectStrategyZero Defect
StructureAssess
gy
DCProduct Safety
ManagementProduct Safety Audit
Maturity Assessment
Zero DefectStrategy
Maturity Model Maturity Assessment
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Future perspectives
KE brings together ten Group-wide campaigns aimed at process optimization
Quality First: Measures to implement the “zero defects“ principle
Supply Chain Excellence: optimization of the entire chain from suppliers to customerschain from suppliers to customers
Competence in Product Engineering:Standardization of product development processes worldwide
Knorr-Bremse Production System: standardized processes across the global production networkGlobal Purchasing Excellence: Supplier managementGl b l P j t M t S t
Progress: introduction of SAP at all sites
Global Project Management System:Optimizing project management
People Excellence: Implementation of HR roadmap and further development of leadership cultureEfficient Cut of CO2: Campaign to conserve energy and resourcesFi & IT E ll D l t f b t i
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Finance & IT Excellence: Development of „best in class“ finance and IT organization and processes
Thank you for your attention!
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Backup
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Q-First Maturity Model
Quality First Maturity Assessment to review Q-First and TEX implementation
1. Decision to replace Business ProcessAudits (1998 2009) through QFMA
Focus of Q-First Maturity Assessment vs. Product Safety Audit 2011:Audits (1998-2009) through QFMA- 50% resources saving to do the audits- complete system audit within 3 days- merge of TEX and Quality First initiative
(focused onimplementation
details,safety
requirements,safetyissues)
ProductSafetyAudit
Widenessof audit
h
Quality First Maturity Assessment
(alternative to the sum of all 70 TMS audits)
focused on completeness,
system requirements,
Deepnessof audit
approach
2011:
1. Surveillance Review at alllocations involved at QFMA in2010 (9 locations at Europe) to
2. Quality First Maturity Assessment at allEuropean locations in 2010
- check of requirements fulfillment
Maturity Model 2010 - Maturity Levels
Not Applicable
Performance &Effectiveness
Reviews &Improvement
Deploymentis not applicable
to the assessed unit.
Performance measurementsare not applicable
to the assessed unit.
Reviewsare not applicable
to the assessed unit.
Deployment &RequirementsMaturity Level
Knorr-Bremse Group 2
approach system requirements,management system issues) 2010 (9 locations at Europe) to
check execution and efficiency
2. Further roll-out to Pune and- check of action plan execution- check of effectiveness and efficiency
Knorr-Bremse Group 5
Baseline
Improving
Succeeding
Not Started
Deployment of process.Risk that TS 16949/Customer requirements are not fulfilled.
Deployment of process.Requirements are fulfilled.Improvement necessary.
Deployment of processas proven practice and
requirements are fulfilled.
No evidence of deployment.The practice is not found
or not yet started.
Low effectiveness. Targets or objectives not achieved.Risk of customer claims.
Effectiveness measurementsor performance indicators
show improvement.
Performance and effectivenessshow improvement
and targets are achieved.
No effectiveness measurementsor poor performance.
No targets or objectives.
Process reviews or monitoring.Risks out of missing action plan or of actions behind schedule.
Review of process deployment. Improvement Plan is defined.
Actions are on track.
Review of process deployment. Improvement Plan is defined.
Actions are implemented.
No reviewsor poor monitoring.No action planning. Bendix (Bowling Green)
3. Adaption of the global TEXdocuments to the Quality First
3. Follow-up of improvement actions atspecial section at the Q-First Database
- TOP 18 improvement areas (6 blocs)- monthly review of action execution
validation in 2011 at Surveillance Review
Q yMaturity Assessment
4. Update of the Maturity Modelto integrate new requirements- validation in 2011 at Surveillance Review to integrate new requirements
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Further roll-out of the Quality First Maturity Assessment in 2011 + 2012 to America and Asia
Tasks & Responsibilities
Central function Quality Group Claim Management
Responsibilities for quality issues within KB organisation
Central function Quality GroupGuideline responsibilityQuality and Product Safety ManagementSystem and GuidelinesSt d d d th d t
Claim ManagementGuidelines Supplier QualityManagementQuality controlling and reportingAssessments AuditsStandards and methods, process mgt.
Customer Quality Representatives
CoC
Assessments, AuditsStrategic planning
Product quality and responsibility for corrective actionsQuality planning (APQP, PPAP), VDA 6.3. Audits PDPContinuous product and process improvementC di ti d i t d ti f t ti i t ti iti b d tCo-ordination and introduction of systematic improvement activities based on customer complaints and product checks as well as proof of the effectiveness of the introduced actions
LocationOperational product quality, Management of internal & external non-conformities (CAR, 8D)Supplier quality assurance VDA 6 3 Audits local and supplier
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Supplier quality assurance,VDA 6.3 Audits local and supplierQuality service (acceptance, co-ordination, treatment) for own products and 1st findings for inter-company products
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