Global Standards for a Global Industry

1. Global Standards for a Global Industry ANSI/SAC Symposium May 30, 2007 Laura E. Hitchcock Standards Strategy and Policy The Boeing Company Chair, The Strategic Standardization Forum for Aerospace

2. Why the Aerospace Industry Cares About Standards… • The Aerospace Industry is the most data (and standards) intensive industry • Standards form part of the product definition data used to define, manufacture, certify, operate and support aerospace products • Standards have a defined mission: • Interoperability & interconnectivity • Reliability, repeatability, quality • Safety and certification • Mechanism for change • Supply chain management

3. Examples of Specifications and Standards Used by Aerospace Product Part Material Process Design Drafting Avionics Crew Systems Lighting Electronics Propulsion Configuration Mgmt Operations Tooling Equipment Design IT Applications User Interface Middleware Delivery Systems Security & enterprise systems mgmt Internal Company Industry Quality Testing Inspection ISO 9000 Metrology Standards Developers Facilities Building & Construction Electrical Codes Utilities Asset Acquisition Consortia Government Customer/ Product Support De-icing Ground vehicles Fuel APUs Reliability/ Maintainability Payloads “International” Business Operations Finance HR Labor Electronic Commerce Supplier Management ES&H Health Safety Environment Noise Emissions

4. Company – Program Unique Company – Corporate Standard Company – Supplier Company – Customer Team - Project Mil-Specs Industry Trade Association National Regional UN-Treaty (ICAO) ISO/IEC/ITU Consortia - Closed Consortia - Open Aerospace Industry Uses Standards Developed by Many Models Criteria for All Models… Standards that are: • Technically valid • Globally relevant • Primarily performance-based • Acceptable for reference in national or regional legislation for Regulatory purposes if necessary • Value-adding for both the consumer and society (e.g., ensure safety and preserve the environment) • Current with developing technology

5. Standards Vital to Design, Build & Support Processes Design • Customer, Regulatory Agency and Boeing Requirements • Geometry • Tooling • Planning • Analysis • Certification • Materials Purchase • Processing • Inspection • Subcontracting • Spares • Inspection and Repairs • Maintenance • Refurbishment Type Design Certificate Build Production Certificate Support Airworthiness Certificate

6. Industry -- The Beginning and End of the Standards Value Stream • Intellectual Property • Technical Expertise • Technical Requirements • Intent to Use • Manage the Consensus Process • Standards Administration: • Publication • Distribution • Configuration Management • Use

7. Successful Companies Require Successful Standards Strategies • Companies and Industries need business strategies to succeed • Standards are becoming an important part of those strategies • Once thought of as just technical documents, the business side of standards is becoming strategically important • Global companies, and those supplying to global industries, benefit from strong, pro-active standards strategies and standards management The aerospace industry spends a significant amount of money on standards. Managed well, it’s an investment; without management, it’s an expense. - Future of Aerospace Standardization Report, 2003

8. Global Standards are not just International Standards • Globally Recognized – all stakeholders around the world acknowledge the standard’s technical accuracy and relevance • Globally Accepted – all regulatory agencies and customers around the world recognize the standard as meeting applicable requirements • Globally Used – all stakeholders use the standard Global standards and regulations are critical to the efficient operation of the global aviation system and international markets • Final Report of the Commission on the Future of the United States Aerospace Industry, 2002

9. A Recent Aerospace Position Paper Supports Global Standards and Encourages Selection and Use of Best Standards • The Standards for Technical Excellence Position Paper developed by the Strategic Standardization Forum for Aerospace and released by the US Aerospace Industries Association... • Recognizes the broad range of global, international, industry, military and company-unique standards used by the aerospace industry • Encourages global participation in the development and use of standards • Does not exclude or promote one source of standards over another for consideration in the design/build/support of aerospace products • Acknowledges the importance of standards as critical sources of technical data for aerospace • Is intended to encourage those national bodies (governmental, trade, and defense) who are writing standards policies to adopt policies which allow the aerospace industry to continue to develop and select standards as they currently do -- based on technical merit

10. Quality – A Global Industry Effort • A cooperative organization of the global aerospace industry • Uses existing infrastructures • Includes over 64 of the largest members of the aerospace industry • Regional sectors coordinate requirements for quality standards and the results are harmonized by the IAQG • Globally harmonized standards are published simultaneously by each of the sponsoring organizations Implement initiatives that make significant improvements in Quality and reductions in cost throughout the value stream by establishing and maintaining dynamic cooperation, based on trust, between international aerospace companies. • Standards are developed/ revised in less than 12 months • Members have signed commitments to implement • Implementation statistics are tracked

11. Global Standards are used in Regulations and Government Policies The use of global voluntary consensus standards, whenever practicable and appropriate, by Governments and Regulatory Agencies can achieve the following goals: • Eliminate the cost to governments of developing their own standards and decrease the cost of goods procured • Reduce the cost of compliance to multiple standards and facilitate harmonization between regulatory agencies • Provide incentives and opportunities to establish standards that serve global industry needs • Encourage long-term growth for global enterprises by promoting efficiency and economic competition through harmonization of regional requirements • Further encourage governments to rely upon the private sector to define standards which will protect the safety of the public and the environment while promoting strong industrial growth

12. Aerospace Industry Goals for Global Standardization • Increasing use and adoption of global standards developed by the entire global industry through multiple venues and many different standards organizations • Increasing cooperation with government and regulatory bodies to encourage regulations that reference voluntary consensus standards and conformity assessment programs • Increasing participation in global standards development and conformity assessment activities by all stakeholders (government, industry, standards developers, and consumers) • Increasing standards development in accordance with the WTO-TBT criteria: Transparency, Openness, Consensus, Due Process • Standards and conformity assessment programs which areincreasingly globally relevant, responsive to real world needs, and performance-based

13. SUMMARY Global Participation in Standards Activities by Industry Benefits Everyone… • Ensures the most efficient & effective use of industry resources and talent • Seeks to develop standards with organizations that • Offer the broadest inclusion of all stakeholders • Facilitate direct industry participation • Provide the most cost-effective processes • Deliver the most easily accessible standards • Protects and promotes the business interests of a company by aligning standards strategies to support business strategies • Allows for Quality systems to be fully supported and integrated throughout the supply chain • Guarantees that standards function as enablers for business not as barriers to trade Global Industry Standards – enablers for future growth and success