Nadcap Supplier Tutorial Presented by: Steve Payne Praxair Surface Technologies

1. Nadcap Supplier Tutorial Presented by: Steve Payne Praxair Surface Technologies Supplier Support Committee Leadership Team (Secretary) 5-June-2017

2. Nadcap Definition The leading, worldwide cooperative programof major companies designed to manage a cost effective consensus approachto special processes and products and provide continual improvementwithin the aerospace industry.

3. Purpose Of This Session • Introduction to the Supplier Support Committee (SSC) • Provide some background on Nadcap • Show you where to find the information and tools to successfully prepare for your Nadcap audit • Introduce you to key individuals who can help you understand the Nadcap accreditation process

4. What is the Supplier Support Committee? • An opportunity within the Nadcap program where the Nadcap supplier community is represented. • Supplier representatives address non-technical, systemic issues relevant to the Nadcap Program and provides a mechanism for the suppliers to support the process and be supported.

5. Where Does The SSC Fit Into Nadcap? POLICY & FINANCIAL PRI Board Of Directors Oversee Nadcap Program Nadcap Management Council INDUSTRY REPRESENTATIVES SUPPLIER SUPPORT COMMITTEE TASK GROUPS • TECHNICAL EXPERTS • DETERMINE REQUIREMENTS • FINAL DECISION ON ACCREDITATION • NON-TECHNICAL GROUP • WORK ON SYSTEMIC ISSUES

6. More About the Supplier Support Committee • Mission Statement • Vision Statement • Core Values • Guiding Principles • Key Accomplishments

7. The Supplier Support Committee Mission Statement Our goal is to represent the supplier community and work with the Nadcap Management Council to enhance the effectivenessand economical valueof the Nadcap system for the mutualbenefit of suppliers and subscribers.

8. The Supplier Support Committee Vision Statement The Supplier Support Committee (SSC), a body of Supplier volunteers, serves as a consolidated voice to the NMC and advocates on behalf of all Suppliers. The SSC will contribute as a trusted partner with all stakeholders to the continual effectiveness of the Nadcap process. Our success will be realized through strict adherence to our core values of respect, responsiveness, engagement and accountability.

9. The Supplier Support Committee Core Values Respect: Support the entire Supplier community with mutual respect. Responsiveness: Capture, listen and respond to the Supplier needs/questions in a timely manner. Engagement: Create an atmosphere that promotes Supplier involvement. Accountability: Accountability rests on the contributions of the Leadership Team.

10. The Supplier Support Committee Guiding Principles We are committed to... • The integrity of our relationship with our fellow Suppliers and value their participation and commitment to continuous program improvement • Complete transparency to maintain the value of the Supplier voice • Facilitating alignment between the Suppliers, PRI and NMC • Communicating with all stakeholder groups that allow innovative ways to enhance the program • Sustaining advocacy of all current and future Supplier needs and expectations • Assisting Suppliers with their non-technical needs

11. Some SSC Achievements WANT TO GET INVOLED? Talk to anySSC member at this meeting • Supplier Survey (Every 2 Years) • SSC Request Form • Mentoring Program for New Suppliers • Full Text Search on Public Documents • Help Desk Creation • Communications Calendar • Supplier Audit Process Feedback • Increased Supplier Voting in Task Group Ballots

15. Supplier Support Committee Summary • Plays a vital role in the Nadcap Process • Represents YOU! • Manages the non-technical questions • Always looking for volunteers

16. Nadcap Introduction and Audit Preparation

17. Are you new to Nadcap? • Or just have questions about the process?

18. Agenda • Introducing Nadcap • Why Nadcap

19. Activityis Governed by Procedures PRI ADMINISTRATIVE POLICIES – Controlled by the PRI Management INDUSTRY MANAGED ACCREDITATION PROGRAM DOCUMENT – Controlled by the PRI Board of Directors PRI INDUSTRY MANAGED ACCREDITATION PROGRAM PROCEDURES – Controlled by Director, Nadcap Program and Aerospace Operations Nadcap PROGRAM REQUIREMENTS – Controlled by the Nadcap Management Council Nadcap OPERATING PROCEDURES – Controlled by Various Participants in the Nadcap Program

20. Every Step Is Managed By Industry Audit Checklist Process Evaluation/ Improvement Auditor Qualification & Selection Industry Experts Manage All Key Steps Corrective Actions as Required Audit Conducted Audit Results

21. INDUSTRY-MANAGED ACTIVE CUSTOMER AUDITS Started in the early 2000’s, the Nadcap process has grown as: - Special process added - Adoption of Nadcap as a universal program by the Subscriber community On Site Audits

22. Agenda • Introducing Nadcap • Why Nadcap

23. Why Nadcap? • The Customer Perspective • Achieve greater consistency across the supply chain and throughout the industry.

24. Why Nadcap? • The Customer Perspective • Achieve greater consistency across the supply chain and throughout the industry. • The Supplier Perspective • Because my customer said so!

25. The Real Reason • Quality Improvements • An increasing percentage of Nadcap accredited companies report quality improvement in the area(s) related to their Nadcap accreditation(s)

26. Nadcap Subscribers • 309th MaintenanceWing-Hill AFB • Aerojet Rocketdyne • Airbus • Airbus • Airbus Commercial Aircraft • Airbus Helicopters • Premium Aerotec GmbH • Stelia • BAE Systems – Military Air Information (MAI) • BAE Systems • The Boeing Company • Bombardier Inc. • COMAC • Defense Contract Management Agency (DCMA) • Eaton, Aerospace Group • Embraer SA • GE Aviation • GE AvioS.r.l. • General Dynamics • Gulfstream Aerospace • GKN Aerospace • GKN Aerospace Sweden AB • HérouxDevtek Inc. (Landing Gear Division) • HoneywellAerospace • Israel Aerospace Industries • Latecoere • Leonardo S.p.A. Divisione Velivoli • Leonardo S.p.a. – Helicopters • Liebherr-Aerospace SAS • Lockheed Martin Corporation • Sikorsky Aircraft • Mitsubishi Aircraft Corporation / Mitsubishi Heavy Industries LTD • MTU Aero Engines AG • Northrop Grumman Corporation • Parker Aerospace Group • Raytheon Company • Rockwell Collins, Inc. • Rolls-Royce • SAFRAN Group • Singapore Technologies Aerospace (ST Aerospace) • Sonaca • Spirit AeroSystems • Textron Inc. • Bell Helicopter • Textron Aviation • Thales • Triumph Group Inc. • United Technologies Corporation • Pratt & Whitney • Pratt & Whitney Canada • UTC Aerospace (Goodrich) • UTC Aerospace (Hamilton Sundstrand) • Zodiac Aerospace

27. Nadcap Process

28. So, how do I get started? • Audit Preparation Tips • The End of the Audit • What Now?

29. Obtain And Read The Primary Documents You will be audited using this checklist: get it from eAuditNet Audit Checklist AC7XXX Audit Criteria + Job Audits Industry Standards & Customer Requirements Audit Handbook Audit Handbook or Compliance Assessment Guide (CAB) Clarifies the checklist & customer requirements: get it from eAuditNet

30. The Nadcap Audit Process Subscriber Action Supplier Action PRI Action Accreditation Mandated by Nadcap Subscriber Audit Performed – Auditor Submits Report Supplier Prepares Audit Scheduled & Auditor Assigned Supplier Requests Audit Re-accreditation Process Supplier Review Certificate Issued to Supplier Task Group Review PRI Technical Staff Review

31. Register as a user in eAuditNet • eAuditNet is free to register and is the electronic systems that houses all the information relating to the Nadcap Program including • Tutorials • Documentation • Helpful Tools • NCR administration • Audit Information • Qualified Manufacturers List (QML), Qualified Product List (QPL), etc. • Once you are registered, you can view all of the Nadcap information, documentation and help tools

32. Do Some Research, Go To www.eAuditNet.com  Register as a new user (limited access)  Contact PRI for full access (email eAuditNetSupport@p-r-i.org)

33. Available on eAuditNet Read The Procedures • Why does this matter? • The procedures provide guidance on key aspects of the process including: • - Response timeframes • - How to reduce audit frequency from 12 to 24 months • - How NOT to fail the audit and what happens if you do

34. Schedule The Audit • Schedule the audit using eAuditNet(and help from PRI Scheduling if needed) for a time that suits you (and meets your customers expectations) • *New Process: Beginning immediately, go to eAuditNet to request an auto-quote. A quote will be automatically generated based on audit cost and duration. Please note that the Scheduling process remains the same • Audits are paid for in advance

35. Important! Audit Scheduling • Schedule the audit when you are processing real parts from an aerospace customer • The auditor wants to see job audits (a step-by-step review of all processing on actual hardware to evaluate how you meet customer requirements) • Tell PRI in advance if you will not have real parts for the Nadcap audit

36. Check Your Quality System Approval Nadcap recognizes: • AS / EN / JISQ 9100 / 9110 / 9120 • From a registrar listed in the lAQG OASIS database • If customer permits substitute: AC7004 • lSO / lEC 17025 • For testing laboratories • From a NACLA/lLAC approved accreditation body • If customer permits substitute: AC7006

37. Evidence Your Quality System Approval For initial audits: • Provide a copy to PRI Scheduling when you schedule your Nadcap audit • If you don’t have this, AC7004 / AC7006 will be added to the scope For reaccreditation audits • Provide a copy up to 60 days after the audit end date OR • Schedule AC7004 / AC7006 at least 90 days before the audit start date (if you know you won’t comply with option 1)

38. Perform A Self Audit! • Use the Nadcap checklist • Be strict with yourself • For each question, record: • Where in your system you meet the requirement • Where you have objective evidence of compliance • Upload in eAuditNet at least 30 days prior to the audit • Have it ready as reference during your audit • Perform all job audits required by your task group • Be very careful not to upload export-restricted data

39. Understand The NCR Classifications Major Non-conformance: • The absence of, or systemic breakdown of, the process control and/or quality management system OR • Any non-conformance where the effect impacts or has the potential to impact the integrity of the product. Minor Non-conformance: • Any single system failure or lapse in conformance with the applicable standard or audit criteria

40. Use The Self Audit Results To Improve Your Operations • If you cannot list where in your system you have documentation and what you will show the auditor the answer is NO! • Fix all ‘No’s with Root Cause Corrective Action before the Nadcap auditor arrives

41. So, how do I get started • Audit Preparation Tips • The End of the Audit • What Now?

42. At The End Of The Audit Meet with the auditor each day for a review so there are no surprises • Meet the auditor to review the report including any non-conformances (NCRs) • Ensure all NCRs are understood: this is what you are responding to. If it’s not clear to you, will the Staff Engineer / Task Group understand? • Invite the right people including top management • Raise any issues or problems • Ensure auditor returns any hard copies or purges any electronic copies of proprietary information

43. After The Auditor Leaves • Provide feedback about the audit on eAuditNet Note: This is one of two feedback opportunities, this is strictly about audit performed, which is required in order to submit responses • Appeal an NCR, Staff Engineer decision or Task Group decision if you are not happy – Contact the Staff Engineer for information

44. Contact PRI Management if you’re not satisfied Scott Klavon Director, Nadcap program and Aerospace Operations +1-724-772-7111 sklavon@p-r-i.org Meet wih each day for a review so there are no surprises

45. Respond To All Non-Conformances Provide the following in your answer: • Immediate Corrective Action Taken (Containment) • Root Cause of Non-conformance • Impact of all Identified Causes and the Root Cause • Action Taken to Prevent Recurrence • Objective Evidence Attached – more than 5 documents may be attached to the non-conformance by choosing 5 files, click red “Attach” button, and continue process until all documentation is attached

46. Response Due Dates • Initial responses: 21 calendar days • Subsequent responses: 7 calendar days • Important note: This is the time to respond to the NCRs • No extensions can be granted BUT • 30 extra days are allocated in case more time is needed • Be aware: using extra days may affect merit and using more than 30 extra days may result in audit failure

47. Certification

48. Nadcap Logo When can a Supplier use the Nadcap Logo? The Nadcap Logo can be used for promoting one or multiple Nadcap Accreditations once Accreditation is achieved. There is no limit to how a facility utilizes the Nadcap logo. Where can a Supplier find the logo or a policy on how to use the Nadcap Logo ? An email is sent to the Supplier after Nadcap Accreditation is achieved that includes copies of high definition logos and s-frm-48, “Use of the Mark Of Conformity, Program Certificate and Program Name”. Who do you contact with questions about using the Nadcap Logo? Call +1 (724) 772-8661 and a Commodity Service Representative can answer any questions.

49. Supplier Audit Process Feedback • Upon certification, complete the second of two feedback requests • This feedback is on the overall Nadcap process, which is optional, but important

50. Need More Help With Root Cause Corrective Action (RCCA)? • www.eAuditNet.com A link to Response Requirements is on the page with the NCR • www.eQuaLearn.com Root Cause Corrective Action training class • www.p-r-i.org Free whitepapers called: -Root Cause Corrective Action -Internal Auditing Techniques -Nadcap Audit Preparation Timeline -Why Mentoring Benefits Everyone