Ford Takes the High Road - The New Ford Q1 Second Edition Guidelines
The entire automotive industry - the Americans, Europeans and the Asians, have consolidated
the quality expectations for their supply base around the TS-16949, Second Edition:
Quality Management Standard. And right now, when this feat is almost over, Ford
has particularized itself with its own Q1 standards, which include a manufacturing
This manufacturing assessment has a striking similarity to the Ford Q-101 type of
standard which was harmonized to create the QS-9000 standard. The manufacturing
assessment will be conducted for troubled companies.
The New Ford Q1 Second Edition Requirements, which were rolled out on May 2, 2001
to the top 30 Ford Suppliers, hold many surprises. Suppliers who attended the roll
out session did not express any bitterness surrounding the new standards and actually
voiced a sense of partnership with Ford.
Highlights of the Changes
The reintroduction of the manufacturing assessment may seem to be a repudiation
of the third party registration scheme. Far from it! The New Ford Q1 actually finally
requires Ford Suppliers to register to both QS 9000 or TS-16949 and ISO 14001:2004
standards. This is the first time that Ford has required their supply base to become
third party registered. Additionally, compliance to MS-9000 is sought.
This area of supplier performance gages several supplier related metrics. Five key
metrics including - field actions, Stop Shipments, PPM Performance, PSW Slippage
to Date and Delivery Performance are measured by Ford
This assessment is divided into tow areas- planning for manufacturing process capability,
and demonstration of manufacturing process capability. The manufacturing assessment
will affect the documented and implemented Quality System, ie. QS-9000 or TS-16949
to the greatest degree. The manufacturing assessment has fifteen questions each
with two to nine requirements. There is a total of 77 different requirements that
are one or more sentences long.
Continual Improvement: Ongoing Excellence
The threshold for performance metrics and manufacturing assessment thresholds will
be raised annually to encourage continuous improvement.
Change in Strategy
Ford will hire a large crew of STA engineers to carry out the supplier development
envisioned. This strategy is exactly the reverse of what they did in 1995 when they
decided that they would allow Suppliers to develop their own strategies for improvement.
Ford gets high marks for this well thought out assessment. This has what QS-9000
or TS-16949 does not - performance requirements.
The challenge in this strategy is in the execution of it. Ford has an entirely new,
young group of bright STAs. Will they be able to carry out this manufacturing assessment?
The assessment cuts across many methodologies including - Advanced Product Quality
Planning (APQP), Lean Manufacturing, FMEAs/Control Plans, 8- D Problem Solving,
Statistics, Measurement Analysis and more.
Chad Kymal is President of Omnex, INc., and a much sought-after international
consultant and trainer. He is on the Malcolm Baldrige Board of Examiners and has
a BSME from General Motors Institute and has an MS degree in Industrial Operations
Engineering and an MBA from the University of Michigan.
Dave Watkins is President of Omnex Management and Engineering Consultants
and a senior trainer/consultant. He has a wide range of international experience
focused on enhancing his clients' ability to create value for customers and stockholders
and integrating quality and manufacturing systems to enhance performance.