A Quality Initiative

1. A Quality Initiative ISO 9001:2000 Rhonda Reis Metering Services Supervisor Georgia Power Company

2. Background • Quality Activities and Improvements for Several Years • No Formal Quality Program • No Functional Organization • Lack of Consistency of Processes • Political Push Back • February 2001 - New Metering Business Unit formed • Need for New Business Structure & Formal Quality Plan • ISO 9001:2000 met both requirements

3. Business Unit Structure TVA Northwest Georgia Northeast Georgia • Formed a Metering Business Unit • Centralized Management • Established Meter Groups • 17 Regions to 8 Meter Groups • Reduced Supervision • Empowered Field Employees Metro South Metro North Metro Atlanta Central Georgia West Georgia South Georgia

4. Functional Areas • Data Management • Engineering • Region Field Services • Field Technical Services • Shop Services • Safety & Training • Business Operations • Business Development • Marketing • Strategic

5. Business Strategy The Value Proposition Metering Resources Cost Activities Value Added Activities Quality System

6. Functional Areas • Shop Services • Acceptance Testing • Sample Test • Clean & Recondition • Repair • Calibration • Fabrication • Materials • Procurement • Shipping & Receiving • Warehousing • Consignment

7. Functional Areas • Data Management • SSA Accounts - 2200 • $ 1.45 Billion Revenue • Load Survey - 2000 • Power Quality - 385 • Energy Direct.com - 250 • Load Data Viewer • Engineering • Meter System Design • Equipment Specifications - Documentation • Technology Assessment - Issue Resolution • Project Management • Calibration - NIST Certification • Product Evaluation and Testing • ANSI Standards

8. Functional Areas • Field Technical Services • Interchange Metering - 200 points • AMR – 75,000 points • End Use Metering - 110 sites • Special Service Accounts O & M • Quality System Audits • Safety and Training • Safety Procedures and Monitoring • Compliance • Technology Transfer • Employee Development • Training Development and Delivery • Apprentice Meterman Program

9. What Is ISO 9001:2000 • It isNOTa Program • ItIS a Commitment to a Way of Doing Business • It isNOTa one time event • ItISa Continuous Management Process • It Is Not ”The Way We’ve Always Done Things” • It Is an Opportunity for Improvement

10. What Is ISO 9001:2000 • An International Standard for Quality Business Operations • Developed Around Eight Quality Management Principles • Each principle is a fundamental belief focused on: • Customer Satisfaction • Continuous Improvement • Consistency • Provides Structure for Business Excellence • Quality Program to Improve Efficiency, Data Quality, and Accuracy of Meter Systems

11. ISO 9001:2000 Principles • Customer Focus • Leadership • Involvement of People • Process Approach • Systems Approach to Management • Continuous Improvement • Factual Approach to Decision Making • Mutually Beneficial Supplier Relationships

12. ISO 9001:2000 - Stuff • Make a Plan and Stick to It • Zero Defects - Smokey The Bear • Do It Right the First Time • If It’s Not Documented - It Never Happened • Its Not Extra Work - Its a New Way of Working

13. ISO 9001:2000 - More Stuff • It’s a Culture Shift • Fly By The Seat of The Pants • Auto Pilot With a Flight Plan • A Sense of Accomplishment

14. ISO 9001:2000 Elements • Quality System Manual - QSP

15. QSP Categories • Quality System Philosophy • Documentation Requirements • Management Responsibility • Resource Management • Design and Development • Purchasing • Production and Servicing • Control and Monitoring • Analysis of Data • Continuous Improvement

16. ISO 9001:2000 Elements • Quality System Manual - QSP • Quality Policy • Work Instructions - WI • Internal & External Audits • Corrective & Preventive Action Process • Internal Corrective Actions - ICAR • Supplier Corrective Actions - SCAR • Customer Complaint Notifications - CCN

17. ISO 9001:2000 Elements • Job Training Needs - JTN • Data Analysis & Trending • Management Review & Responsibility • Performance Measures • Continuous Improvement- CFT • Process Improvement & Identification

18. Key and Special Processes • Key Processes • Product Evaluation • Assembly • Testing • Installation & Servicing • Refurbishing • Meterman Qualification • Special Process • Meter Data Acquisition & Management

19. Benefits • Improved Customer Satisfaction • Consistency • Less Errors • Improved Communications • Better Decisions - Information to Manage Resources • Improved Revenue Flow • Optimization of Cost, Revenues, and Resources • Alignment with Organization’s Goals and Objectives

20. Benefits • Fewer Things “ Drop through the Cracks ” • A System of Discipline to Follow the Quality Plan • Consistent Meter Operations in Service Area • A Structure to Benchmark and Improve the Business • Improved Performance Management & Accountability • Cultural Change - Employee Satisfaction

21. Obstacles • Short Term Increase in Workload • Cultural Push Back • Management Understanding • Cost of Certification and Re-certification • Cost of Consultant • Education and Training for the System • New Process Requirements • Resources

22. Lessons Learned • It is a Lot of Work • It is Worth the Effort • Understanding the Principles are Important • The People are the Key • You will get frustrated – Get Over It • The Consultant was Invaluable

23. Lessons Learned • Discipline Will be Forced Upon You • Not Everyone is Going to Like It • It Will be Misunderstood by Other Departments • Accountably Will be Highlighted • Excuses Will Lack Credibility • Management Must Provide the Leadership and Excitement

24. Lessons Learned “ ISO 9001:2000 is of No Value in Itself …. It’s How We Apply it to Make us Better that Transforms ISO into a Valuable Product. “ Ashok Thakkar President & CEO ITTI, LLC

25. ISO 9001:2000 • QUESTIONS • ??? IncredibleServiceOrganization

26. ISO 9001:2000 • Contact Information: • Ellery E. Queen • Manager Metering Services - Georgia Power Company • 404-608-5444 • eequeen@southernco.com • Rhonda A. Reis • Metering Services Supervisor - Georgia Power Company • 404-608-5929 • rareis@southernco.com