Nadcap SUBSCRIBER TUTORIAL - Performance Review Institute

Nadcap SUBSCRIBER TUTORIALJon SteffeyProgram ManagerInformatics Solutions, Research and Development18 February 2013

Nadcap SUBSCRIBER TUTORIALDEFINITIONS – PRI• PRI:The Performance Review Institute is a not-for-profit affiliate ofSAE whose mission is to: Provide global, unbiased,independent manufacturing process and product assessmentsand certification services to the mobility industry for the purposeof adding value, reducing total cost and facilitating teamingbetween primes & suppliers. PRI administers Nadcap.

Nadcap SUBSCRIBER TUTORIALDEFINITIONS – Nadcap• Nadcap: The leading worldwide co-operative programof major companies designed to manage a cost effectiveconsensus approach to special processes and productsand provide continuous improvement within the aerospaceand automotive industries.– Special Processes: are those processes where theparameters are directly influenced by componentgeometry and/or the results cannot be confirmed byinspection, e.g., NDT, Plating, Heat Treating.– Products: are the manufacturing output of thecombination of distinct materials, parts and/or processeswhich forms a whole, e.g., Composites, Elastomer Seals,Electronics.

Nadcap SUBSCRIBER TUTORIALDEFINITIONS – eAuditNet• eAuditNet:Audit software used to document audit results,attachments, letters, notes, schedules audits,supplier advisories, etc. with the ability to producereports based on multiple criteria.

Nadcap SUBSCRIBER TUTORIALHISTORY OF THE PERFORMANCE REVIEW INSTITUTE (PRI)• November 1985: Government/Industry Equal Partners Conferencerecommends consensus solution to duplication of supplier qualityassurance systems• July 1990: PRI incorporated as a Not-For-Profit Trade Association.Launch Nadcap for Aerospace• July 2000: Roll-out of Nadcap Europe• November 2002: Full Launch of eAuditNet• October 2003: Roll-out of Nadcap Asia• April 2008: Roll-out of eQuaLearn• May 2009: Full Launch of eAuditNet 2.0

Nadcap SUBSCRIBER TUTORIALKEY REFERENCES FOR NEW ATTENDEES• Nadcap Subscriber Tutorial• Attendees Guide– Antitrust (page 7)– Nadcap Personal Code of Ethics and Conflict of Interest (page 7)• PRI Website: www.pri-network.org• eAuditNet Guides: www.eAuditNet.com

Nadcap SUBSCRIBER TUTORIALSUGGESTIONS FOR NEW ATTENDEES• Attend Task Group mini-orientation at the beginning of eachmeeting• Introduce yourself to the Task Group Chair and Staff Engineer• Become active in your Task Group; your comments are veryimportant• Provide your feedback from the meeting through the on-line survey

Nadcap SUBSCRIBER TUTORIALMEMBERSHIP RESPONSIBILITIES• Subscriber members are required to attend Nadcapmeetings. If the member is unable to attend, analternate shall be designated.• Reply to surveys, questionnaires and ballots that arecirculated to members.• Carry through sponsorship and coordination ofindividual projects as assigned.• Prepare checklists for auditing and continuingsurveillance.• Review resumes and interview auditors.• Review audit reports.• Comply with the Nadcap Personal Code of Ethics and Conflict ofInterest Policy as defined in AS7003.• Safeguard the confidentiality of information that you're exposed tothrough the Nadcap program.

Nadcap SUBSCRIBER TUTORIALNadcap MEMBERS• 309th Maintenance Wing-HillAFB• AgustaWestland• Air Force• Alenia Aeronautica SpA• Avio SpA• BAE Systems – Military AirSolutions (MAS)• BAE Systems• Ball Aerospace & TechnologyCorporation• The Boeing Company• Bombardier Inc.• COMAC• Defense ContractManagement Agency (DCMA)• EADS Corporation– Airbus– Astrium– Cassidian– Eurocopter• Eaton Aerospace• Embraer• GE Aviation• General Dynamics• General ServicesAdministration (GSA)• GK Aerospace Sweden AB• Hawker BeechcraftCorporation• Heroux Devtek Inc. (LandingGear Division)• Honeywell Aerospace• Israel Aircraft Industries• Latecoere• Liebherr-Aerospace SAS• Lockheed Martin Corporation• M7 Aerospace LP• MTU Aero Engines GmbH• Northrop GrummanCorporation• Parker Aerospace Group• Raytheon Company• Rockwell Collins, Inc.• Rolls-Royce Corporation• Rolls-Royce PLC• SAFRAN Group• Sonaca• Spirit AeroSystems• Textron Inc.– Bell Helicopter– Cessna AircraftCompany– Textron Systems• Thales• Triumph Group Inc.• United TechnologiesCorporation– Goodrich Corporation– Hamilton Sundstrand– Pratt & Whitney– Pratt & Whitney Canada– Sikorsky Aircraft

Nadcap SUBSCRIBER TUTORIAL18Americas Europe Asia1614121086420TIMELINE OF PRIMESHawkerBeechcraft1Pratt & Whitney(US)Pratt & Whitney(Canada)GESikorsky4RR plcHoneywellRR CorpAVIO11 1 1NorthropGrummanGSAHamiltonSundstrand3MTU1AirbusVoughtEADS MTABellEurocopterHelicopter EADS AstriumDCMAEADS DefenseCessnaBoeingMDHelicopters2LockheedMartin435GoodrichAleniaBAESystems (US)RockwellCollinsBombardierSONACA134 4SAFRAN Group(Snecma Services,Hispano-Suizo,Aircelle, Messier-Bugatti, Messier-Dowty, Messier-Services, Labinal,Techspace Aero,Snecma PropulsionSolide, Microturbo,Cinch and GlobeMotors)LatecoreLiebherrSpiritTextron SystemsBall AerospaceHeroux DevtekBAE MASThalesParkerAerospaceGroupUnited SpaceAlliance2309th Maint.Wing-HillAFBRaytheon Co.2 2Volvo Aero Corp.Genl. DynamicsIAI2AgustaWestlandM7 Aerospace1 1 1EmbraerEaton AerospaceCOMAC1990 1991 1992 1994 1995 1998 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 201212

Nadcap SUBSCRIBER TUTORIALGOVERNMENT AGENCIES AND CONTRACTOR POSITIONS ON PRIQUALIFICATION PROGRAMSSUBSCRIBER FOR PRI USE AMERICAS EUROPE ASIA309th MAINTENANCE WING-HILL AFBHill AFB, UTA(CP, CT, HT, MTL, NMSE, NDT, WLD)AGUSTAWESTLANDCascina Costa, ItalyR(NDT)R(NDT)R(NDT)AIR FORCEWPAFB, OHR(Seals, SLT)Name of NadcapSubscribing PrimeContractorALENIA AERONAUTICA SPANaples, ItalyAVIO S.p.AItalyBAE SYSTEMS MILITARY AIR SOLUTIONS (MAS)UKBAE SYSTEMSNashua, NHU12U15R(CP, COMP, HT, MTL, NDT, SE, WLD)R(CP, CT, HT, MTL, NDT, NMSE, WLD)A(CP,CT,WLD)R(CP, COMP, HT, MTL, NDT, SE, WLD)R(CP, CT, HT, MTL, NDT, NMSE, WLD)R(COMP, CP, HT, MTL, NDT, NMSE,WLD)R(CP, COMP, HT, MTL, NDT, SE, WLD)R(CP, CT, HT, MTL, NDT, NMSE, WLD)Special Process andProduct mandates tothe supplier base inthat regionBALL AEROSPACE & TECHNOLOGYCORPORATIONBoulder, COA(CP,ETG,WLD)THE BOEING COMPANY(Commercial Airplanes, Intergrated Defense Systems)U11R(COMP,CP,HT,MTL-Ind.Test labs only,NDT, NMSE-SE only,WLD)R(COMP,CP,HT,MTL-Ind.Test labs only,NDT, NMSE-SE only,WLD)R(COMP,CP,HT,MTL-Ind.Test labs only,NDT, NMSE-SE only,WLD)BOMBARDIER, INC.Dorval, CanadaU13R(COMP, CP, CT, HT, MTL, NDT, NMSE, WLD)R(COMP, CP, CT, HT, MTL, NDT, NMSE,WLD)R(COMP, CP, CT, HT, MTL, NDT, NMSE,WLD)Defense Contact Management Agency (DCMA)(DOD) Alexandrta, VAM(ALL, COMP, ETG, FLU, SEAL, SLT)AirbusU8R(COMP, CP, ETG, HT, MTL, NDT, NMM, SE, WLD)R(COMP, CP, ETG, HT, MTL, NDT,NMM, SE, WLD)R(COMP, CP, ETG, HT, MTL, NDT, NMM,SE, WLD)KEY: R = Accreditation Required by Prime Letter sent to Suppliers; M = Nadcap Member; A = Accepts Nadcap AccreditationN ote: Not all Subscribers included above; visit eAuditNet for full list. Programs listed as of July 2011.

INDUSTRY-MANAGED ACTIVE CUSTOMER AUDITSNadcap SUBSCRIBER TUTORIAL

Nadcap SUBSCRIBER TUTORIALSTATUS REPORT – SUPPLIER AUDITS2012 Actual 2012 Plan 2011 2010 2009 2008AQS 239 229 229 239 236 214Conv Machining 61 63 40 10Composites 153 152 153 131 135 135CP 952 942 893 857 847 724CT 126 116 124 113 124 112ETG 84 73 76 66 42 15Fluids 26 22 26 32 25 30HT 877 882 833 786 741 697MTL 193 170 209 178 185 209NDT 1009 972 1011 973 1000 953NM 224 210 228 178 196 188NMMM 8 9 2NMMT 25 22 24 20 10 6SE 140 134 156 129 153 146Seals 12 10 10 8 12 11Sealants 15 13 12 17 12 12WLD 436 406 456 411 446 403Preassessments 40 45 87 187 41 26New Industries 43 40NUCAP 256 246 224 71 181 138Total 4,919 4,769 4,791 4,406 4,389 4,015

Nadcap SUBSCRIBER TUTORIALSTATUS OF AUDITS/AUDITORS (FULL TIME EQUIVALENT)AuditsAuditors146624372852329536784791 49194389 44063870 401512010080604037062 66 660.7 1 2.718.518.217.1844.630.6754.527.2806.828.2887.231.1987.235.596898.7 10.128.429.72031 642.646.345.749.343.344.649.355.451.655.80Americas Europe Asia

Nadcap SUBSCRIBER TUTORIALNADCAP PROGRAMS• Special Processes– Nondestructive Testing (NDT)– Materials Testing (MTL)– Heat Treating (HT)– Coatings (CT)– Chemical Processing (CP)– Welding (WLD)– Nonconventional Machining & Surface Enhancement (NMSE)– Non Metallic Materials Testing (NMM)– Conventional Machining as a Special Process (CMSP)– Measurement and Inspection (MI)• Systems & Products– Aerospace Quality Systems (AQS): AC7004– Fluid Distribution Standards (FLU)– Elastomer Seals (SEALS)– Sealants (SLT)– Composites (COMP)– Electronics (ETG)

Nadcap SUBSCRIBER TUTORIALAGENDA• Nadcap OverviewOrganizational Structure• Nadcap Process / eAuditNet

Nadcap SUBSCRIBER TUTORIALPRI/Nadcap ORGANIZATIONAL STRUCTUREPolicyBoard of DirectorsExecutive Leaders• Legal entity• Fiduciary responsibility• Set policy• Provide the vision

Nadcap SUBSCRIBER TUTORIALBOARD OF DIRECTORS• Stan Adachi‣ Director, BDS Supplier Quality‣ Boeing• Richard Amato‣ Manager, Manufacturing Engineering‣ GE Aviation• Etienne Galan‣ Vice President Quality‣ Snecma• Michael Hayward‣ Sector Director Product Quality, Aerospace Systems‣ Northrop Grumman Corp.• Mario Langlois‣ Aerospace Quality Director‣ Bombardier• Andy Page‣ Global Supplier Development Executive‣ Rolls-Royce plc• David L. Schutt‣ Chief Executive Officer‣ SAE International• Kristin Slyker‣ Vice President, Commercial Customer Operations‣ Honeywell Aerospace• Junji Tsuji‣ General Manager of Engineering Group‣ Ishikawajima-Harima Heavy Industries Co.• Bernard Veyssière‣ Vice President Quality‣ EADS• Li Wei‣ General Director, Quality and Safety Department‣ Aviation Industry Corporation of China• Steve Wells (Chairperson)‣ VP Quality& Continuous Improvement‣ Goodrich (UTAS)

Nadcap SUBSCRIBER TUTORIALPRI/Nadcap Organizational StructurePolicyBoard of DirectorsTacticalNadcap ManagementCouncil (NMC)Senior quality leaders & managers• Oversee operation of Nadcap• Establish & implement policy & procedures• Task group coordination & development• Identify, develop and deploy improvement

Nadcap SUBSCRIBER TUTORIALCURRENT Nadcap MANAGEMENT COUNCIL (NMC)• David BalePratt & Whitney Canada• Dietmar BecherLiebherr Aerospace• Michael BessDCMA• Pascal Blondet, ChairpersonAirbus• Richard BlythRolls-Royce• Robert BodemullerBall Aerospace & Technology Corp.• Katie BradleyLockheed Martin• Tim BrooksM7 Aerospace• Christopher BrustDCMA• Christian BuckSAFRAN• Robert CashmanParker Aerospace Group• Mark CatheySpirit AeroSystems• Javed CheemaEaton Aerospace• Jeff ConradCessna Aircraft Company• Jim Diamond309 Maintenance Wing – Hill AFB• John HaddockBAE Systems – MAS• Tim HayesGeneral Dynamics• Danieli HilgembergEmbraer• Scott IbyHamilton Sundstrand• Scott Klavon, Secretary (Non-Voting)PRI• Ralph KroppMTU Aero Engines GmbH• Peter KrutoholowSikorsky• Serge LabbeHeroux Devtek• Daniel LecuruEurocopter• Eric LeFortSonaca• Howard Jeff LottThe Boeing Company• Frank MariotVought Aircraft• Steve McGinnHoneywell• Robin McGuckinBombardier Aerospace• Colby NicksBell Helicopter Textron• Ana Ottani dos SantosEmbraer• Rick PetersonRockwell Collins, Inc.• Alberto PortalEADS – CASA• Mark RechtsteinerGE Aviation• Per RehndellVolvo Aero Corporation• Brad RichwineRaytheon Company• Davide SalernoAlenia Aeronautica SpA• Victor SchonbergerIAI• Henry SikorskiPratt & Whitney• Clifford SmithGeneral Services Administration• Joe TexteiraHawker Beechcraft Company• Kevin Ward, Vice ChairpersonGoodrich Corporation• Kirk WhalenHeroux Devtek• George WinchesterNorthrup Grumman• Corwyn BergerEXOVA, Inc.• Michael BrandtAlcoa• Mark BrownKaman Aerospace Group• Tim CroweDearborn Precision• Robert CusterAAA Plating & Inspection• Suzanna DeMossAdvanced Chemistry & Technology• Eric JacklinFM Callahan & Son• David JonesNex-Tech Processing.• David MichaudFountain Plating Company• Michael SchleckmanVoss Industries, Inc.• Vitorio StanaAvcorp Industries Inc• Vern TalmadgeHowmet Thermatech Coatings

Nadcap SUBSCRIBER TUTORIALPRI/Nadcap ORGANIZATIONAL STRUCTUREPolicyBoard of DirectorsTacticalNadcap ManagementCouncil (NMC)AdministrativeStaffTechnicalTechnical Experts• Determine requirements• Develop documents• Accept corrective action• Final decision onaccreditationTask GroupsSpecial ProcessesNondestructive Testing,Materials Testing,Heat Treating, Coatings,Chemical Processing,Welding, NMSE, Non Metallic MaterialsTesting & Conventional MachiningSystems & ProductsElectronics,Sealants, Elastomer Seals,AQS (AC7004),Fluid Distribution Systems &CompositesSupplier SupportCommittee (SSC)

Nadcap SUBSCRIBER TUTORIALAGENDA• Nadcap Overview• Organizational Structure of NadcapNadcap Process / eAuditNet

Nadcap SUBSCRIBER TUTORIALNadcap PROCEDURE HIERARCHYQuality policy describingthe quality system of theorganization.AS7003QUALITY MANUALAerospace Standard whichdocuments the requirements forimplementing Nadcap industryconsensus-based accreditationprograms.NOP (NadcapOperatingProcedure)Specific procedures by whichNadcap operates.Scope and generaloperating procedures foreach specific Nadcapcommodity program.Roles and responsibilitiesfor Nadcap Auditors, andclarifications to facilitate andstandardize the auditprocess.NTGOP (NadcapTask Group OperatingProcedure)NIP (Nadcap InternalProcedure)Auditor HandbookSpecific procedures by whichPRI / Nadcap Staff operates.

Nadcap SUBSCRIBER TUTORIALKEY PROCEDURES (Located on eAuditNet, under Nadcap Procedures)• NOP-001: Nadcap Operating Procedure• NOP-006: Supplier Advisory Process• NOP-008: Supplier Merit Program• NOP-011: Audit Failure Process• NTGOP-001: Nadcap Task Group Operating Procedure

Nadcap SUBSCRIBER TUTORIALTHE Nadcap AUDIT PROCESSAccreditationMandated byNadcap PrimeSubscriberSubscriber ActionSupplier ActionPRI ActionSupplier RequestsAuditAudit Scheduled& Auditor AssignedAudit Performed– Auditor SubmitsReportRe-accreditation ProcessSupplierReviewCertificate Issuedto SupplierTask GroupReviewPRI TechnicalStaff Review

Nadcap SUBSCRIBER TUTORIALAUDIT PROCESS• PRI/Supplier Schedules the Audit using eAuditNet.com– Nadcap Checklists and Preparation Instructions available– Encouraged to review the Nadcap Customer Support Initiative(NCSI) presentation on eAuditNet– Perform self-audit• Auditor Conducts the Audit using the applicable Nadcap checklists(located on eAuditNet)– Daily briefing & a final close out meeting at the end of the audit• Auditor Prepares Cover Letter and attaches to audit report (uploadedinto eAuditNet)• Supplier has 21 calendar days to initially respond to any findings (7calendar days for subsequent responses)

Nadcap SUBSCRIBER TUTORIALEVERY STEP IS MANAGED BY INDUSTRYAUDITCHECKLISTPROCESSEVALUTION/IMPROVEMENTINDUSTRYEXPERTSMANAGE ALLKEY STEPSAUDITORQUALIFICATION& SELECTIONCORRECTIVEACTIONS ASREQUIREDAUDITCONDUCTEDAUDITRESULTS

Nadcap SUBSCRIBER TUTORIALNadcap – INDUSTRY WORKING TOGETHERTask Groups(Primes)Nadcap StaffSuppliersEstablish Audit CriteriaAudit Criteria (AC):Document containing checklists or other surveillance tools to be utilizedin the course of determining compliance to established industrystandards and prime requirements.

Nadcap SUBSCRIBER TUTORIALRELATIONSHIP BETWEEN AUDIT CRITERIA (AC), AUDIT HANDBOOK ANDPRIME REQUIREMENTSAC7XXXAudit CriteriaJob AuditsAuditHandbookIndustryStandards+PrimeRequirements

Nadcap SUBSCRIBER TUTORIALINDUSTRY MANAGED PROGRAMAUDITCHECKLISTPROCESSEVALUTION/IMPROVEMENTINDUSTRYEXPERTSMANAGE ALLKEY STEPSAUDITORQUALIFICATION& SELECTIONCORRECTIVEACTIONS ASREQUIREDAUDITCONDUCTEDAUDITRESULTS

Nadcap SUBSCRIBER TUTORIALAUDIT SELECTION/INTERVIEW/PERFORMANCE• Core and Technical Requirements are Established by Task Group• Potential candidates complete a pre-screening questionnaire oneAuditStaff.com• Interviewed by Task Group• Testing/Certification (Optional)• Training Audits• Review of Training with Report from Lead Auditor• Approval by Task Group• Continual Monitoring through Audit Reviews• Annual PRI/Nadcap Training

Nadcap SUBSCRIBER TUTORIALAUDITORS CRITICAL TO Nadcap• Highly skilled technical background with average of 30 yearsexperience in the Special process audited• Unlike ISO or EN 9000 based audits, Nadcap auditors do not makethe final decision• Nadcap auditor goal is to evaluate and report the technicalcompetency and compliance of the supplier

Nadcap SUBSCRIBER TUTORIALSAMPLE OF CURRENT AUDITORS & EXPERIENCEProcessAerospace Quality Systems (AQS)Chemical Processing (CP)Coatings (CT)Composites (COMP)Elastomer Seals (SEAL)Fluid Distribution Systems (FLU)Heat Treating (HT)Materials Testing Laboratories(MTL)Nonconventional Machining(NMMT)Nondestructive Testing (NDT)Sealants (SLT)Surface Enhancement (SE)Welding (WLD)Experience Summary60% ISO Lead Assessors; Average 30 Years Experience70% Have B.S Degree; 22 % Have MS Degree; 11% Have PHD; Average 35 YearsExperience100% Have B.S Degree; 20% Have MS. Degree; 20% Have PHD; Average 30 YearsExperience100% Have B.S. Engineering; 100% Have MS Engineering; Average 15 YearsExperience50% B.S. Engineering; 30 Years Experience100% Have B.S. Engineering; Average 35 Years Experience80% Have B.S in Metallurgy/Material Science; 30% Have M.S. in Metallurgy/MaterialScience; Average 33 Years Experience; Certified Quality Engineer/Auditor90% Have B.S Degrees; 50% Have MS Degrees; 20% Have PHD; Certified QualityEngineer/Auditor; Average 35 Years Experience80% Have B.S. Engineering; 40% Have MS Engineering; 20% Have PHD Engineering;Average 32 Years Experience100% are Level III’s for Four (4) Methods; 44% Have Bachelors of Science Degrees;Average 30 years of Experience50% Have PHD; Average 30 Years Experience80% Have B.S. Engineering; 40% Have MS Engineering; 20% Have PHD Engineering;Average 32 Years Experience60% Have B.S Degree; 30% Have MS Degree; Average 34 Years Experience

Nadcap SUBSCRIBER TUTORIALINDUSTRY MANAGED PROGRAMAUDITCHECKLISTPROCESSEVALUTION/IMPROVEMENTINDUSTRYEXPERTSMANAGE ALLKEY STEPSAUDITORQUALIFICATION& SELECTIONCORRECTIVEACTIONS ASREQUIREDAUDITCONDUCTEDAUDITRESULTS

Nadcap SUBSCRIBER TUTORIALNadcap AUDIT CONTENT1. Quality Systems2. Special Process and Product Specific Requirements3. Compliance/Job AuditsNDT: 3 Witnessed Compliance Jobs per Method and 3 “Paperwork” CompletedCompliance Jobs per MethodHeat Treating: 2 Long Jobs-8 Short JobsMaterials Lab: Witnessing of All Test MethodsChemical Processing: Minimum of 4 Job AuditsCoatings: 2-11 Job Audits (Based on Scope)Welding: 2 Job Audits per MethodNonconventional Machining: 2-10 Job AuditsSurface Enhancement: 2-6 Job AuditsComposites: 15-30 Job Audits (Based on Manufacturing Flow)Electronics: Complete 1 Job AuditConventional Machining: 2-14 Job Audits (Based on Scope)

Nadcap SUBSCRIBER TUTORIALGENERAL FOCUS AUDITCalibration:Does the supplier define the process employed for thecalibration of inspection, measuring and test equipmenttype, unique identification, location, frequency of checks,check method, acceptance criteria and the action to betaken when results are unsatisfactory?Chemical ProcessingHeat TreatingNDT

Nadcap SUBSCRIBER TUTORIALTECHNICAL (Nadcap) FOCUS AUDITCalibration:Is measuring and testequipment used tocontrol or monitor thecontrol of a process(within parameters)maintained in acalibration systemcompliant withISO 10012-1?(I.e. temperaturegages, conductivitymeters, voltmeters,rectifiers)Are furnaces used forheat treating Aluminumparts surveyed at therequired tolerance andtemperature range?Heat TreatingAre the FPI dryerovens calibratedevery three monthsat multiple pointsacross the usablerange?NDTChemical Processing

Nadcap SUBSCRIBER TUTORIALINDUSTRY MANAGED PROGRAMAUDITCHECKLISTPROCESSEVALUTION/IMPROVEMENTINDUSTRYEXPERTSMANAGE ALLKEY STEPSAUDITORQUALIFICATION& SELECTIONCORRECTIVEACTIONS ASREQUIREDAUDITCONDUCTEDAUDITRESULTS

Nadcap SUBSCRIBER TUTORIALNCR CLASSIFICATIONS1. Major Nonconformance:‣ The absence of, or systemic breakdown of, the Process Controland/or Quality Management system.‣ Any non-conformance where the effect impacts or has thepotential to impact the integrity of the product.2. Minor Nonconformance:‣ A non-systemic lapse in conformance to the Process Controland/or Quality Management system.

Nadcap SUBSCRIBER TUTORIALAUDIT REVIEWPRI Staff Review:• Staff Reviews Package for Completeness• Review Audit Report– Clarification Changes (electronically) - Contact Auditors forClarification– Review Supplier Corrective Action– Close-Out or request additional information via Forums• Audit Report Package is submitted via eAuditNet for Task Group Review

Nadcap SUBSCRIBER TUTORIALAUDIT REVIEWTask Group Review:• Task Group decides Procedure for Review– Sub-group review, entire Task Group Review• Task Group Reviews for Correctness– Technical Comments, Supplier Responses, TechnicalCompleteness, Auditor Summary Letter, Identify AdditionalFindings• Completes Review of Each NCR and dispositions (NCR Status)• Discuss Results with Task Group within Forums• Task Group Votes on Accreditation via On-Line Balloting

Nadcap SUBSCRIBER TUTORIALNadcap – INDUSTRY WORKING TOGETHERTask Groups(Primes)Nadcap StaffSuppliersEstablish AuditCriteriaDefine AuditorRequirementsInterview &RecommendAuditorContract AuditorFindingsPlan/ScheduleAuditsSupplierRequestsPerformAuditSubmit C/APackageReview C/APackageReview &Accept C/AAccreditSupplier

Nadcap SUBSCRIBER TUTORIALeAUDITNET FOR SUBSCRIBERS – www.eAuditNet.com• Subscribers can use eAuditNet to:– Use ‘Subscriber QML’ to specifically search for your company’s suppliers– Lookup audit details for a supplier including checklist details, nonconformance(NCR) details, and Supplier and Task Group NCR responses– Lookup the current audit status of a supplier– Download or print hard copy checklist(s)– View new or existing Supplier Advisories– View all Nadcap Procedures (NIPs, NOPs, NTGOPs)• eAuditNet Company Administrator, you can use eAuditNet to:– Create new eAuditNet users for your company– Edit current eAuditNet users for your company– Accept or reject eAuditNet users that select your company during registration– Set-up company Users to receive weekly e-mails regarding your QML supplieraudits that were submitted (Email Subscription Application)• If you are a Task Group Member, you can use eAuditNet to:– View and discuss supplier audit NCRs– Ballot on supplier audit and merit recommendationsAn eAuditNet Subscriber’s Audit Review Guide and eAuditNet CompanyAdministrator’s Guide can be downloaded from eAuditNet usingPublic Documents.

Nadcap SUBSCRIBER TUTORIALINDUSTRY MANAGED PROGRAMAUDITCHECKLISTPROCESSEVALUTION/IMPROVEMENTINDUSTRYEXPERTSMANAGE ALLKEY STEPSAUDITORQUALIFICATION& SELECTIONCORRECTIVEACTIONS ASREQUIREDAUDITCONDUCTEDAUDITRESULTS

Nadcap SUBSCRIBER TUTORIALTOP 10 PARAGRAPHS SINCE RELEASE OF COMP AC7118 REV A232AUDITS

Nadcap SUBSCRIBER TUTORIALNDT TOP PARAGRAPH REFERENCES AC7114 (SAMPLE – 2010)

Nadcap SUBSCRIBER TUTORIALQUALITY IMPROVEMENTS FOR SUPPLIERS (SSC 2009 SURVEY RESULTS)An increasing percentage of Nadcap accredited companies report qualityimprovement in the area(s) related to their Nadcap accreditation(s).

Nadcap SUBSCRIBER TUTORIALUser/Primes“LIABILITY”Does not shiftSupplement with PRIResponsible for the ‘process’• Industry Standards• Procedures• Oversight• Core ValuesSupplierConformityCentral InformationNetwork“eAuditNet”Agreements:•Auditors•Suppliers•UsersPRI/NadcapEarly WarningsNadcap-WideReduce RiskReduce EscapesSupplier ResponsivenessConsistency in Training

Nadcap SUBSCRIBER TUTORIALNEXT Nadcap MEETING3-7 June 2013Paris, FranceOn-line registration available atwww.pri-network.orgReservation information will be posted on thePRI website (www.pri-network.org) when available.

Nadcap SUBSCRIBER TUTORIALQUESTIONSQUESTION TIME?