Rethink of Quality Assurance Management

1. Rethink of Quality Assurance Management Prepared by: Mr Daniel Chan President, ISM-PRD IBM PCB Council Chairman Honourable Advisor of HKPC & HKPCA Industrial Training Group, Environmental Protection, IVE

2. A Holistic View of “Good Quality”….A Recent Paradigm shift User interface level -How they feel? -How reliable? -values perceived Vs what paid User Education level -Advertisement/ Corporate Image -Customer Service, like recall -SCSR/Sustainability Standardization/Reference -International Standard ISO 9000, UL, etc. -Use of International recognized technology Intel CPU for PC -Country of Origin China, good quality??

3. Trend of “Good Quality” in Holistic View….. International Standard/Reference User Interface Level User Education • User appealing technology • Commoditization & differentiation • Reliability & failure • Industrial Design Client subjective feeling • Finishing feeling of clients • Values perceived by clients, too much, not good? • User friendly software • Sustainability • Safety, battery explosion • Corporate Image • Toyota Vs BMW • LG Vs Samsumg • Customer service • Toyota recall?? • Replacement within 2 wks, Boardways • Product education/trail • New Sony SRL digital camera • Halogen free/Rohs • ISO 9000 • Safety Specification, UL, DUV • Use of recognized technology • MS, Intel • Country of Origin • Made in Japan/Germany • Reference of standards • Fuel consumption per KM for automobile • HSPDA/3.5G

4. CPU trend of Intel….the example of high Quality PC….For both Window and Apple O/S 1-2 cores CPU Atom at 1.6 GHz Four cores CPU Nehalem Two cores CPU One core CPU Year 2005- 2008, Core 2/Pentium Dual Core( 1-4 cores) at 1.66- 3.33GHz at 65/45nm & LGA socket 775 2000-2001, P4, Single core at 1.4 to 3.8GHz at 180 to 65 nm 2002-2005, Pentium D, Due core at 2.66- 3.73GHz at 90/65nm & LGA socket 775

5. Overview of Quality Assurance management • Product quality assurance program To support good quality assurance in a holistic view • Product concept/marketing segment • Key product attributes, why is I-phone smart phone so good in quality level sense in people mind? • Industrial design and concept • Early involvement of design • Design for manufacturability • Design for quality assurance • Use of standard component • Minimize the number of components, e.g. Toyota Corolla • Specification with an appropriate or even an very tight tolerance • Sustainability, Toyota Prius • Reliability e.g. Japan Car particular in car electronics • User appealing technology and attributes, e.g. I-phone, BMW car • Finishing Choice, e.g. Benz luxury/cool finish

6. Overall View of Supplier Quality Assurance • Early Prototype Hardware • Debug all engineering, quality and manufacturability related problems • Technology and Qualification process • Process T&Q and P/N Technology and Qualification • Critical for future quality assurance program • Specification fine tune process and establishment • Safety specification Technology and qualification process, UL, FCC, etc. • Process Capability Index ( CPK ) • Testing strategy • To minimize defect leakage, how much??

7. Overall View of Supplier Quality Assurance • Manufacturing • Manufacturing process setup • Technology and Qualification process • System and process audit by procurement engineering • Supplier Quality Education program • DMAIC ( Define, Measurement, Analyze, Improve, Control ) • DMADV ( Define, Measurement, Analyze, Define, Verify ) • Critical control gates • IQC, critical process with thin marginal manufacturability • Technology and qualification of critical components • AVL • Use of SPC, feedback and feed forward control mechanism

8. Overall View of Supplier Quality Assurance • Manufacturing Communication process, on line QC/SPC system, QCC, Pareto charts, fish bone diagram, checklist, etc. • Visibility of quality assurance/control system and discipline management of shop floor • Testing strategy, very critical for quality assurance program • Final outgoing quality assurance and reliability • Visible inspection for cosmetics • Traceability • Sensitivity of test • Technology limitation of testing strategy

9. Overall View of Supplier Quality assurance • Client quality feedback process, very critical process • Detail system of traceability • Trouble shooting of root cause • CAR ( Corrective Action Report ) • Execution of CAR • Continuous track of client side quality performance • Executive level responsibility at suppliers and Procurement • Team based decision making in trouble shooting, execution process of change of process and product design if necessary, etc. • Client perspective at outgoing gate inspection

10. Key Success factors of supplier quality assurance • TQM ( Total Quality Management ) • Senior management support, down top and total involvement • Senior management take the total responsibly • Senior management create a good supplier quality management hygiene • Not Just drive for cost down, but quality up • A holistic view of supplier performance • No supplier without resource to support quality programs • QCD Quality, Cost and delivery • Quality performance attributes, key consideration for business award process • Strong procurement engineering and quality supplier assurance team • Professional knowledge of products, quality assurance system and understand what market want • Certification program

11. Some critical review in Supplier quality assurance process • Supplier, a bad guy, for blame of bad quality • Always an excuse of procurement team • Easy for explanation, not the procurement team fault • Need to be very careful • What the role and responsibility of the procurement team • What value adds created to avoid the concerned problem • Any design fault or manufacturability fault • Any commercial case drive poor supplier quality assurance program hygiene • Any supplier education program on quality assurance? • Wrong selection of incapable supplier? • Any review of testing strategy? Any limitation of current testing strategy • Any good CAR for quality improvement

12. Some critical review of supplier quality assurance process • When there is a quality problem, a common CAR: Tighter quality assurance/process control • It may NOT be wrong, maybe quality problem due to loose of management attention/care of quality assurance program or process control • But maybe---oversimplify • NOT look at the root cause in detail with professional and scientific quality assurance engineering skill/process • Maybe due to manufacturability, design margin, not sufficient control of critical control gating, limitation of testing strategy, etc. • Then Not reinforce an effective corrective action for re-occurrence

13. Some critical review of supplier quality assurance process • NDF ( No defect found), but failed No CAR, No action and no quality problem?? • Sometime, swap with other BOM parts, then it works again Is this no problem?? To me, it is a quality marginal case • Looking into more detail, NDF something wrong with within specification or in statistically sense • Limitation of quality assurance program and control • Tighter the spec, then very expensive! • Better to look at in 3 D SPC sense • NDF defects found in the allowed and accepted variability per spec or even in SPC sense • So, QC is very important • Investigate into root cause and see whether there is the improvement of manufacturing technology with enhanced CPK or inspection technology or improve CPK to minimize NDF problem

14. Some critical rethink of supplier quality assurance process • Six sigma program • Firstly introduced by Motorola in process control of 6 sigma CP, with 1.5 sigma shift allowed vs. nominal/median of SPC, implies a 3.4 PPM defective level maximum exceeding spec limit ( upper or lower ) • Easy to apply with SPC in manufacturing process • Applied in general quality assurance management concept • Outgoing acceptable quality level: 3.4 PPM • Then later on, generally applied to a proactive quality assurance engineering and application program • A critical rethink needed • Too general to apply the concerned concept • Cosmetic inspection process, shipping documentation information accuracy, etc?? • Six Sigma can guarantee 100% confidence of quality assurance?? • Definition of specification is very critical • Daily shift of nominal, 3D SPC concept particular in car engineering manufacturing • A trend monitoring process, NOT just feedback mechanism, but more a FEED FORWARD mechanism

15. Japanese Quality Assurance Program—Something to Learn • Quality control Vs Quality assurance engineering • Both is very critical for quality assurance to clients • Limitation of manufacturing process Need a good quality control program with inspection • Inspection is NOT Bad, Don’t generalize inspection is bad and resource waste • Technology of inspection and filtration of defect parts are very critical technology of quality assurance program • Don’t over simplify the concept below: Quality built in process control, reduce defects at manufacturing, then can minimize inspection or even skip inspection, then clean and good products can be delivered to customer • Proper usage of six sigma or simply use SPC and other quality tools • Correct logic and concept to use • NOT just marketing tool • Use of Pareto, SPC, checklist, AVL, adherence to spec, over spec during Industrial design, etc.

16. Japanese Quality assurance program-Something to learn • Lean manufacturing • Clean and tidy shop floor • Minimum inventory discover quality problem easier and easier • Reduce waste • Good relationship with suppliers • Open system to work toward quality goals as a team • Sustainability

17. The Conclusion: Supplier Quality Assurance Program The supplier quality assurance program, under a strong leadership of senior management, is a joint quality assurance team effort between the procurement and supplier team to achieve the overall quality satisfaction of the clients with the appropriate use of the professional quality tools