International Aerospace Quality Group (IAQG) Relationship Growth Strategy

1. International Aerospace Quality Group (IAQG)Relationship Growth Strategy Ed Bayne IAQG General Assembly Melbourne, Australia April 18, 2007 IAQG Relationship Growth Strategy Melbourne General Assembly

2. Strategic Focus Improvement Strategy Relationship Growth Strategy • Requirements • Product Realization Process • People Capability • Supply Chain Process Capability • Civil Authorities • Space • Defense • Trade Associations IAQG Operating Management System IAQG Other Party Management Team IAQG Relationship Growth Strategy Melbourne General Assembly

3. Strategy Focus Streams & Leaders IAQG Relationship Growth Strategy Melbourne General Assembly

4. Civil Airworthiness Authorities Andy Brindisi IAQG General Assembly Melbourne, Australia April 18, 2007 IAQG Relationship Growth Strategy Melbourne General Assembly

5. Civil Airworthiness Authorities Relationship • Strategic Purpose: • Enhance safety and quality by the international airworthiness authorities and industry leaders working together to establish a system where aircraft product and parts: • Can be manufactured and maintained almost anywhere • Move quickly and seamlessly to the end item user • Are supported by electronic documentation • There is no more than one airworthiness authorities action for each industry activity to eliminate duplication IAQG Relationship Growth Strategy Melbourne General Assembly

6. Civil Airworthiness Authorities Relationship • Stakeholders: • Civil Airworthiness Authorities • IAQG members involved in civil aviation • Civil Aviation supply chain • Suppliers • Airlines • Maintenance, Repair, Overhaul (MROs) • Distributors • Etc..... IAQG Relationship Growth Strategy Melbourne General Assembly

7. Activities • Joint: • Alignment of Airworthiness Authorities and IAQG Initiatives • Common Definitions and Terms • Authorized Release Certificate (ARC) • Recognition of Industry Controlled Other Party (ICOP) and Nadcap Other Party processes • Authorities input to 9100 revision IAQG Relationship Growth Strategy Melbourne General Assembly

8. Activities • IAQG: • Improved Supplier and Sub-tier Supplier Control • Supply Chain Management Handbook • Supply Chain Process Capability • Product Realization Process • Authorities: • Common Supplier Surveillance Standard • …identifies the minimum authority requirement to an approved production organisation to demonstrate satisfactory supplier control, with the purpose to ensure conformity and traceability of the supplied items • New / revised bilateral agreements IAQG Relationship Growth Strategy Melbourne General Assembly

9. Space Forum John DeGiovanni IAQG General Assembly Melbourne, Australia April 18, 2007 IAQG Relationship Growth Strategy Melbourne General Assembly

10. IAQG Space Forum - Strategy A commonly accepted QM standard and certification A global forum for space quality issues - Space perspective across IAQG initiativesFocus on quality issues to improve performance across the industryNetworking Future State Current State Ideas on How to Proceed • 9100 not optimised for full range of aerospace activities. • 9100 certification scheme not widely applied & accepted • Space supply chain more regional than worldwide • Space too fragmented and small volume to be influential • Strong customer-supplier interactions & dependency • Need for better integration of aeronautic and space business areas • Strong project / single product culture  more emphasis on Product Assurance than QMS • Space regulations not harmonised globally • Identify space needs and screen IAQG and other (e.g. ISO) initiatives to • Adopt and deploy suitable initiatives • Support & influence relevant initiatives, by liaising with the respective teams • Initiate new space specific initiatives through IAQG or other avenues, as appropriate • Support & influence the revision of 9100, to fill gaps • Evaluate, negotiate changes for, and adopt certification scheme • Solicit lessons learned and discuss way of sharing them • Share ideas on at least one top topic per meeting • Improved space industry performance through: • 9100 as a commonly accepted higher level QMS standard • An 9100-based certification scheme than can be applied by all sectors. • Space processes satisfactorily covered by NADCAP & AECMA-PRO • Mechanism to gather best practices. • Global cross-acceptance of space practices. IAQG Relationship Growth Strategy Melbourne General Assembly

11. Future State • Improved space industry performance through: • 9100 as a commonly accepted higher level QMS standard • An 9100-based certification scheme than can be applied by all sectors • Space processes satisfactorily covered by NADCAP & AECMA-PRO • Mechanism to gather best practices • RMC - understanding of Space uniqueness • Global cross-acceptance of space practices IAQG Relationship Growth Strategy Melbourne General Assembly 11

12. IAQG Space Forum - Roadmap 2010 2006 2007 2008 2009 AS 9100:2009 reflecting space uniqueness' Consolidate space Inputs to 9100 revision 9102 review REQUIREMENTS Discuss initiative: Delegation of Product Assurance functions / tasks Understand potential scope of certification of space processes by NADCAP / AECMA-PRO Product Realization Understand relevance for space of SUPPLY CHAIN Management Handbook • RMC-Space unique • “Unique training” Support development of dictionary • Identify weak areas of 9100 implementation • Develop training for space PEOPLE CAPABILITY SUPPLY CHAIN MANAGEMENT ICOP Scheme IAQG Relationship Growth Strategy Melbourne General Assembly

13. What is the Data Telling Us? Events Waiver/deviations FRR impacts CAIB BMAR Assumptions/Group think Integration Genesis Subtier controls Key Characteristics Manufacturing Supply Configuration Management Risk Mission Assurance IAQG Relationship Growth Strategy Melbourne General Assembly

14. Configuration Management Control • Space Factors / Unique • Fleet leader requirements (maximum life) • Pedigree of unique products • As built Vs as designed • Product substitution (critical) • Production support materials • Life limits and controls • MRB acceptance / waivers • Part obsolescence (EEE) • Criteria / Requirements • CM control specs/plans • Contract • Deviation / waiver process • DRD requirements such as ADPs • Audit Focus • Pedigree system of compliance • Process change and controls • Notification • Rigor • MRB control - training and authority • Procurement & control of non production materials • Acceptance data package rigor • Planning change control • Key characteristic management • Definition • Rigor and knowledge • Examples • Design Application-incorrectly applied • Genesis sensor installed backwards • Process change not communicated - External Tank change in cleaning (gloves) contaminates parts • Weld Parameters - un incorporated design changes • Closed loop traceability - Alert system rigor • Retrieve/Flow down/Risk Ident IAQG Relationship Growth Strategy Melbourne General Assembly 14

15. Defense Larry Weng IAQG General Assembly Melbourne, Australia April 18, 2007 IAQG Relationship Growth Strategy Melbourne General Assembly

16. Purpose/Scope • Harmonize 9100 series documents with AQAP and other defense agency documents (existing and future) • Contact defense agencies to familiarize them with the benefits of utilizing AS9100 series standards. IAQG Relationship Growth Strategy Melbourne General Assembly

17. Projects • Harmonization • AS9100 writing team Inputs • Outreach plan IAQG Relationship Growth Strategy Melbourne General Assembly

18. NATO Harmonization • Objective: • Harmonize AQAP 2110 & AS 9100 • Progress: • Mapping & Gap analysis complete • WG2 Coordination • WG2 liaison members assigned • Attended Prague WG2 meeting • Establishing Relationship agreement • Planning IAQG/NATO joint Workshop in Orlando • Coordinate with NATO standardization focal IAQG Relationship Growth Strategy Melbourne General Assembly

19. AS9100 Writing Team Inputs • Objective: • Provide inputs from Defense Sectors • Progress: • Inputs from NATO • Inputs from Europe, Asia and Americas sectors • Provided recommendations to writing team • Defense Relationship participants on Writing Team • Francisco Losada • Hans Ziemer • Minoru Kasano IAQG Relationship Growth Strategy Melbourne General Assembly

20. Outreach Plan • Objective: • Share industry QMS progress/philosophy with Defense Agencies/Ministries • Progress: • Standard presentation • Focused engagement with NATO • Presented at Aerospace Industry Association (AIA) meeting • Meeting with key Defense Agencies in each sector IAQG Relationship Growth Strategy Melbourne General Assembly

21. Next Steps • Continue with NATO Harmonization • Continue dialog with Defense Agencies • Resolve 9100 writing team decisions • Analyze other harmonization opportunities IAQG Relationship Growth Strategy Melbourne General Assembly

22. Trade Association Alignment Scott Collinge IAQG General Assembly Melbourne, Australia April 18, 2007 IAQG Relationship Growth Strategy Melbourne General Assembly

23. Trade Associations Relationship • Strategic Purpose: • Establish relationships with other aviation industry Trade Associations whose purpose and objectives overlap those of the IAQG • Identify areas where IAQG collaboration with other Trade Associations would benefit speed of deployment of various IAQG projects IAQG Relationship Growth Strategy Melbourne General Assembly

24. Trade Associations Relationship • Approach: • Identify Trade Associations where IAQG member companies maintain representation. • Examples: Aerospace Industries Association (AIA), Supplier Excellence Alliance, etc. • Identify IAQG member focal points to evaluate overlap in goals and objectives. • Evaluate if IAQG projects would benefit from potential collaboration with identified associations. • Pursue collaboration through Memorandum of Understanding • Example of our Trade Association Relationship is ongoing with the Supplier Excellence Alliance (SEA) IAQG Relationship Growth Strategy Melbourne General Assembly

25. SEA Overview • What is SEA? • The Supplier Excellence Alliance is a non-profit industry alliance comprised of aerospace, defense, and space primes/OEMs, major subcontractors, and suppliers working together to accelerate improvement of supply chain capabilities. • Board Member Companies: • BAE Systems • The Boeing Company • Body Coat • Bombardier • Cessna • Cristek Interconnects Dresser-Rand • Firth Rixson • Hamilton Sundstrand • Hitco Carbon Composites • Honeywell Aerospace • Lockheed Martin • Northrop Grumman • Parker Aerospace • Photo Etch • Pratt & Whitney • Roberts Tool Company Rockwell Collins • Sikorsky • Smiths Aerospace • Textron • TW Metals • Tyco Electronics • United Technologies IAQG Relationship Growth Strategy Melbourne General Assembly

26. SEA Overview • SEA Goals • Engage the most progressive suppliers • Expand outreach • Expand service offerings to provide a variety of pathways • Ensure opportunities for small and minority-owned suppliers • SEA Basic Values • Speed - moving quickly with urgency • Vision - sharing a common industry vision • Measurement - measuring our progress • Integration - a common approach for all IAQG Relationship Growth Strategy Melbourne General Assembly

27. Potential Collaboration • Supply Chain Improvement: • Collaboration in execution of SEA’s Roadmap and the IAQG development and deployment of the Supply Chain Handbook. • SEA’s work on integrating supply chains supporting specific prime programs has significant traction with sub tier suppliers and primes. IAQG Relationship Growth Strategy Melbourne General Assembly

28. MOU Elements • Phase 1 Alliance • Both parties • list each other on websites, literature, and other communication as appropriate.   • list each other as alliance partners using language appropriate to each organization.   • issue press releases stating intention to work together. • provide open invitation to each other's member meetings, as appropriate for each organization. • SEA and IAQG representatives will conference at least quarterly to identify opportunities to achieve the aims of this MOU. IAQG Relationship Growth Strategy Melbourne General Assembly