12.4.1.1 Each shield designation must have 100% primary measurement processes and secondary Measurement Quality Audit processes to maintain lot control.

12.4.1.1.1 Primary measurements are performed by production operators, Manufacturing Engineering, robotics personnel, equipment, tools as determined internally.

12.4.1.1.2 Secondary measures (quality audit) involve quality auditors who perform visual / physical checks on specific sample sizes and frequencies and record results on statistical charts.

12.4.1.1.3 The verification method, sample size, and sampling frequency for the establishment of lot control for containment within plant control is determined by the Supplier Safety Coordinator or should be directed through Daimler Chrysler representatives.

12.4.2 The process must be in place and maintained which tracks any non-conformance related to a shield item.

including notification of corrective action, implementation and verification.

12.4.2.1 Stoppage of any nonconformity during sample checks will result in rework of all previously accepted and documented returned units.

12.4.2.2 Any known nonconformity condition shipped to an outside plant requires immediate notification to the affected Daimler Chrysler plant for the potential nonconformity request process and Daimler Chrysler quality representatives should be advised.

12.4.2.3 Any nonconformity condition that is detected will have corrective action and documentation due to due diligence and is required to secure shipments according to requirements.

12.4.3 A periodic system of audit points of shields and activities should be developed as part of the control plan or as specified by Daimler Chrysler. In addition, Daimler Chrysler must perform audits or choose a third party to do audits.

12.5 For special characteristics identified by the PSO team, CEP is not required unless specified by the team.

12.6 Report of Pre-production Samples and process characteristics should be reviewed to establish possible special products and process characteristics for production.

12.7 If there are no special characteristics, the supplier must identify in the short term special characteristics that were identified in the PPSR form, Certification Plan of the first production shipment.

12.8 Certification Plan for the first production shipment. The FPSC documents must show all of the drawings and

engineering standards. The FPSC program requires the supplier to provide statistical evidence of conformance for special product and process characteristics above for components from Daimler Chrysler receipt plants. The certification has a minimum of 2000 parts or as specified in a period of time provided by the PSO team. 100% of the parts of the FPSC must be inspected as conforming for special products and process characteristics.

12.8.1 The supplier must provide the FPSC plan with the approval of the PSO team.

12.8.2 All parts and components regardless of risk must be supported by FPSC requirements. It is the responsibility of the PSO team to identify those requirements.

12.8.3 All terms of the FPSC should be reviewed in conjunction with the Daimler Chrysler PSO team.

PROCESS MONITORING

Documents:

• First piece approval process First piece approval records Control charts Process development charts Maintenance charts Total production Defect sheets Corrective action form

Elements:

13.1 The supplier shall have a procedure where corrective actions are required to be documented for all out-of-control measures.

13.1.1 Maintenance records must be updated to record any maintenance corrective actions.

13.2 The documented process of approval of the first part must exist the verification of the product according to the specification, proper verification of machinery change, and the correct parameters to start the machine.

13.2.1 The process must include as a minimum; the retention of the first piece until the end of the production run; proper identification of the first piece to prevent shipment with the customer; and an analysis of the characteristics of special products identified by the PSO team and by the supplier during the AQP process.

13.2.2 Documented evidence of the execution of this process. The supplier must record at least the part number, manufacturing date, and production lot.

13.3 All inspection stations must have a defect method.

13.4 The visual aids of process development and total production maintenance must be present in the production lines.

13.4.1 These aids should be updated frequently to show current data.

13.4.2 Cards must be identified for each measure.

13.4.3 The plans to be achieved for each measurable objective must be documented.

13.5 For special product requirements and for special characteristics see in the identification of special products and process characteristics

13.6 Where CEP is used, the supplier is required to maintain a history of component sequence, production line, tooling, and value characteristics for assembly plant assistance, warranties, and root cause investigations.

13.7 The Daimler Chrysler PSO team must approve all rework and repair operations, procedures and work instructions.

13.7.1 All reworked or repaired products must be clearly identified.

13.7.2 All reworked or repaired products must have tests before being packed.

13.7.3 The rework or repair procedure must indicate when a component is replaced with safety features and must also indicate when a new component is installed. The lot where the component is replaced must be identified and will be linked one by one until the end of the assembly lines or up to where the component was used.

13.7.4 The rework or repair procedure must indicate when the component is taken off the assembly line, returned by Daimler Chrysler, which is used again in another assembly line, the lot code of all components with Special characteristics must be identified and must be linked one by one with the new assembly line or in the lot in which the component will be used.

13.7.5 The procedure must ensure the traceability of the event when the part is returned to the Daimler Chrysler plant and must be returned without the repaired components with safety features.

ERROR SAFE SYSTEMS

Documents:

Fail-Safe Systems Plan

List of fail-safe systems by operation number

Error-proof systems studies

Contingency plan for error-proof systems.

Elements:

14.1 The failsafe systems plan shall describe how the vendor addresses failsafe systems in the organization.

14.1.1 The plan must include the creation of sample limits that can be defined as:

• Conforming and non-conforming product Master samples for appearance Products within specification limits

14.1.2 The plan shall explain the failure mode design of non-conforming product and what the possible failure modes are selected for.

14.1.3 The plan shall explain the frequency of verification of the limit samples.

14.1.4 The plan should describe how the cutoff samples are labeled.

14.2 The unsafe line or station must be implemented in the manufacturing process for all steps to prevent failures in operations, and also in subsequent operations until finished product. Visual and audio indicators must be shown to operators.

14.3 Sample limits should be checked frequently on production lines to ensure error testing is operational. The frequency of verification must be taken into account at the beginning of the shift, in production changes, tool maintenance, etc.

14.4 Failsafe systems are required for severity of 8 or more in the FMEA AND PFMEA.

14.5 Error-proof systems are required for special process and process characteristics.

14.5.1 Dimensional characteristics that affect fit are defined by engineering drawings or the PSO team must have error-proof systems to ensure that all products meet the requirements.

14.6 Reworks / Repairs and secondary processes should be incorporated into all fail-safe systems on production lines.

14.7 A contingency plan must be developed and documented in the event that in a production event the fail-safe system is inoperable. A visual and / or audible alert should warn that the failsafe system is inoperable.

14.7.1 The moment the fail-safe system becomes inoperable, the Daimler Chrysler quality specialist must be notified. The potential non-conformance process should be used where applicable.

14.8 Verification of error-proof systems should be addressed in the preventive maintenance plan.

14.8.1 Controls must be in place to validate the effectiveness of all foolproof systems.

14.8.2 Failsafe systems software must be tested for all possible failures and drift scenarios.

14.9 Verification of error-proof systems should be addressed in the Layered Audit Plan and checklists.

14.10 The process must include stopping the presence of the party and ensuring the location of all parties, for the same station or subsequent stations.

14.11 Sequential stop should be used when the process uses independent cells for the process flow.

14.12 All assembly equipment must be identifiable with a mark indicating successful operation.

14.13 Dimensional characteristics that affect the function is adequate and is defined by the PSO team, which is not able to be linked with the process to ensure that all parties meet the requirements.

14.14 When alignment features cannot be designed into the product, process alignment must be implemented.

14.15 Appropriate failsafe systems should be implemented for rivet diameter and height measurements.

14.16 In the process of product development verification criteria, it must be applied to all functional characteristics of the product that have a great interface with the client and is determined by the PSO team.

14.17 All components, which are sorted by a specific application (containment or functional) must have 100% verification of part selection through robust problem detection.

14.18 All components with cylinder applications or stacking execution must be checked for complete movements.

14.19 Primary manufacturing processes must have controls with a closed loop regeneration system and established process limits to produce products free of defects.

14.20 All critical lubrications, sticking points, liquids and gases should be automated and appropriate error-proofing systems such as flow, location and quantity.

14.21 Assembly machines that fit left and right parts in the same process must have error detection to prevent packaging and assembly errors.

14.22 Suppliers and sub-suppliers must be in accordance with the DCX supplier quality with an autonomous validation plan for any fusion and welding plan at the point of resistance.

14.23 Error detection requirements for Sequential Parts Assembly and Delivery (SPD) modules.

14.23.1 Bar codes or selection lights must be used to ensure the correct part is selected and assembled by diffusion.

14.23.2 Electrical continuity tests of all electrical components of the module, which must also ensure proper containment.

14.23.3 Vision systems must ensure correct color matches the components.

PLAN FOR STAGED PROCESS AUDITS

Documentation

• LPAP Program LPA Procedures LPA Work Instructions

Required Items

15.1 The plan for tiered process audits should be added to the supplier's existing internal audit procedure.

15.2 The plan for layered process audits (LPA) must have a plan to cover all processes that produce parts for the Chrysler group

15.3 The LPA plan should require mandatory training for people involved in auditing activities.

15.4 The LPA plan must apply to all levels of the management structure of the supplier's manufacturing facilities.

15.5 The LPA plan must have procedures and work instructions for each level of management, which detail the roles, responsibilities and frequencies of each audit.

15.5.1 The LPA plan must include a corrective action procedure for non-conformities.

15.5.2 The LPA plan must contain a frequency schedule and a structure chart (See example in the appendix.

15.6 The LPA plan should require reviews of the results of the LPA by top management.

15.6.1 The plan should express the frequency of management reviews.

15.6.2 Minutes of meetings must be documented.

15.6.3 Management reviews should be directed at LPA nonconformities, and corrective actions should be identified and implemented.

15.7 The Supplier must develop a Checklist for Process Control Audits and a Checklist for Audits of Fail-Safe Systems

15.7.1 Each checklist should have an area / section to post immediate reaction plans.

15.7.2 When a change to the process occurs, the LPA checklist must be updated accordingly.

15.7.3 After a PSO approval, no item should be removed from the LPA checklist without approval from Daimler Chrysler Supplier Quality .

15.8 An LPA audit must be demonstrated during the PSO visit at the Supplier's facilities.

15.8.1 Any LPA plan or evidence of problems during the PSO visit at the Supplier's facilities must be documented on the PSO Comment Sheet.

EVIDENCE OF PRODUCT SPECIFICATIONS

Documentation

• Results of Rapid Supplier Evaluation Run (SRE) Measurement System Verification Report Examples of Problem Solving Methods: DOE (Design of Experiments) Format Corrective Action Plan 7 Steps Root Cause Analysis

Required Items

Before the Pre - PSO Documentation Review:

16.1 The Supplier is required to present the performance of the results obtained from the Supplier Rapid Evaluation Run (SRE) for each production line / tool.

16.1.1 The Supplier must conduct the Supplier Quick Run at production speed (Established Tooling Capacity) with production tools / equipment.

16.1.2 The Supplier in cooperation with the Daimler Chrysler Supplier Quality Specialist will determine the exact quantity.

16.1.3 During the SRE run, the Supplier must measure all the characteristics of all the parts according to the Control Plan, without taking into account the frequency of the Control Plan.

16.1.4 Process performance calculations (Pp and Ppk) are required for each machine and operation as well as the entire process.

16.1.4.1 Refer to the Ppk Matrix (see appendix) for Ppk requirements of processes and product characteristics.

16.1.4.2 In the case of multiple lines / tools, process performance calculations are required for each line. These performance values ​​will be used as an indicator of initial performance. Non-numerical requirements for FTC, field, Pp or Ppk are imposed at this time.

During the PSO Visit at the Provider's Facilities:

16.2 PSO Team members are required to randomly select and witness specific product measurements and / or process characteristics using the MEASUREMENT SYSTEM VERIFICATION REPORT format. This audit is typically completed prior to the Product Demonstration Run.

16.2.1 A minimum of 3 characteristics must be measured.

16.2.2 A minimum of 30 parts must be selected .

16.2.3 The PSO team must decide the number of parties to be witnessed for the measurement verification. The PSO team should take into account the number of characteristics identified, the complexity and the time to perform all measurements.

16.2.4 The PSO team must determine if the measurement process for each characteristic identified in the report is acceptable. The results must be recorded in the format VERIFICATION REPORT OF THE MEASUREMENT SYSTEM.

16.2.5 The PSO team must take the results of the MEASUREMENT SYSTEM VERIFICATION REPORT and compare their Ppk's with those of the SRE.

DEMONSTRATION OF THE LINE SPEED

Documentation

• Line speed calculation Contingency plans and process reductions Final audit sampling plan

Required Items

17.1 The Production Demonstration Run must be on all registered production lines, using production tools, production processes, and trained operators.

17.1.1 The Production Demonstration Run consists of 300 pieces or two hours of production, whichever is more demanding. For multiple production lines or tools this requirement applies to each production line / tool.

NOTE 1: The PSO Team has the authority to adjust the quantity of parts based on the complexity of the part and the cost.

Any deviation from the minimum quantity of 300 pieces or two hours of production must be approved in writing by the PSO Team and documented in the PRODUCTION DEMONSTRATION RESULTS format.

NOTE 2: Rework / repair / scrap should not be included in the line speed calculation in the Production Demonstration Run. The line speed calculation should only include successfully produced components. If the line is empty at the start of the Production Demonstration Run, the fill time of the line should not be accounted for within the two hour requirement. Counting complete units will only start with the first complete unit completed on the production line.

17.2 The PSO Team must witness the construction of the PSO and monitor the speed of the PSO line during the Production Demonstration Run and record the data in the PRODUCTION DEMONSTRATION RESULTS format. In case of multiple production lines / tools, the line speed for each line / tool must be recorded and identified for each production line.

17.2.1 The PSO Team will also indicate in the format if the production line is a “shared” line with additional production requirements for other Daimler Chrysler products (or other customers) and will record the Daimler Chrysler Tooling Capacity as well as the Capacity Total Tooling. If this is a shared line they will additionally record Other Customer Capacity and Excess Capacity.

17.3 Process studies should be developed using data from parts taken from the Production Demonstration Construction.

17.4 Process "reductions" (bottlenecks) that may impact quality or production schedules must be documented in the COMMENT SHEET, and contingency plans must be documented and issued to the PSO Team for approval.

17.4.1 When the process “reductions” are attributed to high waste or rework / repairs, the problem must be documented in the COMMENT SHEET and the Supplier must identify the root cause, implement permanent corrective actions and verify the corrective action with a new Production Demonstration Run before receiving “A” approval.

17.5 The tested samples used in the Production Validation (PV) test must be from the Production Demonstration Run (PDR) according to the following requirements:

17.5.1 The PDR must comply with the performance requirements of the process (Pp and Ppk) or if not, have performance values ​​and a recovery plan that is deemed acceptable by the PSO Team.

17.5.2 The Demonstration Run was done using the Quoted Capacity of the Tooling.

17.5.3 Parts of approved parts and materials were used.

17.5.4 Production processes and production tooling were used.

17.5.5 Acceptable results from Gage R&R studies obtained for production measurement tools.

FINISHED MATERIAL INSPECTION

Documentation

• Finished Product Inspection Plan Parts Inspection Standard Work Instructions for Audit Shipping Reports Audit Records Containment Records

18.1 The Plan must describe the operations and procedures used for the final inspections for the certification of the finished product before it is shipped to the customer.

18.2 The plan must include acceptable samples of finished product, for attributes and variable data.

18.3 The plan should include the compendium of Parts Inspection Standards for all important parts and modules.

18.3.1 The Parts Inspection Standards must include all characteristics inspected by the Supplier in the finished product before it is shipped to the customer.

18.3.2 All Parts Inspection Standards, marked through the drawing, must be reviewed by the Daimler Chrysler PSO team prior to PSO's visit to the supplier's premises.

18.3.2.1 Prior to S1, the Supplier , PSO team and manufacturing must review the key part against the Part Inspection Standard to verify that the part meets all specified requirements and obtains signed approval.

18.3.3 The Parts Inspection Standards must be living documents and must be periodically reviewed and updated after parts review (if applicable).

18.3.4 Changes to the approved Part Inspection Standard requires reissuing it for approval to the Daimler Chrysler team.

Note: The FMEA risk of the production part should be taken into account when developing the finished product sample inspection plan.

18.4 It is required that the parts comply with the Daimler Chrysler Identification specification, PS-10125, they must adhere to all the requirements set forth therein.

18.5 All parts must be marked with Supplier Code, Part Number and Manufacturing Dates based on Engineering Standard PS-4480, if applicable.

18.6 For lot identification, the lot size should not be larger than one shift or one production run, whichever is smaller.

18.7 The plan must refer to the containment of nonconforming material. It should also include the use of Daimler Chrysler's Always-On Requirements Supplier Notifications of the Potential Non-Conformance process located on the COVISINT website.

18.8 The plan must refer to the handling and identification of non-conforming product.

18.9 The lot acceptance date (or the date the lot was inspected) should be identified by year, month, day in a numerical sequence.

18.10 Shipments, Audits, and Containment Records must be documented and maintained.

PARTS PACKAGING AND SHIPPING SPECIFICATIONS

Documentation

• Shipping plan and parts packaging Shipping and Packaging procedures Packaging, shipping and labeling instructions Returnable Container Management Plan Bar code labeling procedure Sample shipping label

Required Items

19.1 The parts packing and shipment plan must include the type of container (disposable or returnable) that will be used to ship the product to Daimler Chrysler / customer plants. The plan should also include:

19.1.1 Container-specific information must include the following: (replacement returnable and / or disposable, container dimensions, container material, number of pieces per container, full and empty weight of container, number of containers per pallet, etc.).

19.1.2 Shipping and labeling instructions must be in accordance with the Shipping Label / Parts Identification Application Standards manual.

19.1.3 All Suppliers that are using disposable packaging as their primary source for packaging or for replacement returnables are responsible for designing, manufacturing, and testing their packaging.

Required Items

19.1.4 When Daimler Chrysler designed packaging is used, Supplier is not responsible for obtaining packaging approval.

19.2 When returnable containers are used, a management plan must be developed which includes:

19.2.1 Training and access to the Daimler Chrysler Container Management System (CMS). Provide a documented procedure for required input data.

19.2.2 Inventory control to track the number of containers on hand and in transit.

19.2.2.1 The management plan must identify a minimum number of containers that must be on hand before the Supplier contacts Daimler Chrysler for assistance in returning containers.

19.2.3 Documented procedure for mandatory transmission of container / part number information during ASN broadcasts from Supplier's facilities.

19.2.4 The maintenance plan must identify how damaged or contaminated containers are removed from service and how provisions for repairs and cleaning are developed.

19.2.5 The replacement disposable container plan must ensure timely shipments in the event of a shortage of returnable containers. The replacement disposable packaging should maintain the same dimensions as the returnable container, and as possible, maintain the same number of pieces.

19.2.6 Both disposable and returnable packages shall not exceed in size the Daimler Chrysler assembly plant requirement of “two hours of assembly plant production” per container. Deviation from this requirement requires the Daimler Chrysler Corporate Material Handling agreement.

19.2.7 The barcode on shipping labels must reflect the latest level of change.

19.2.7.1 The date and sequence of the code must be shown in the manufacturing date space of the container shipping label.

GAGES AND TEST EQUIPMENT EVALUATION

Documentation

• Gages plan Gage R & R results Gage calibration records and test equipment Validation of gages for production launch Calibration program

Required Items

20.1 The supplier must have a plan for gages that explains how the appropriate gage is determined for each process .

20.1.1 This plan must document how the supplier verifies the compatibility of its gage drawing with the Daimler Chrysler part drawing, capturing the critical dimensions as well as the dimensions identified by the PSO team.

20.2 All gages used in the process must be identified in the Control Plan.

20.3 The RPN's of the FMEA that are reduced due to measurements, must have an acceptable evaluation of gage and calibration frequency.

20.4 The supplier must refer to the design and / or the process FMEA to determine which is the appropriate gage to be used (attribute vs. variable).

20.5 The supplier shall have a plan to validate the gages / equipment prior to launch to floor manufacturing.

20.6 The supplier shall have a plan which periodically checks the condition of the assigned limit samples to ensure that the samples remain acceptable.

20.7 All gages must have developed acceptable R&R studies done in conjunction with the Provider Rapid Assessment Run (SER), prior to review of the Pre-PSO documentation. Gage R&R studies must conform to the following requirements for attribute and variable gages.

20.7.1 The total R&R as a percentage of the part's tolerance should be used for new processes, while the total R&R as a percentage of the process variation should be used for process improvement.

20.7.2 The acceptable percentage tolerance for R&R gage must be less than 10%. The percentage of variation of the R&R study must also be less than 10%. An R&R gage between 10% and 30% must require approval from the PSO team. An R&R gage equal to or greater than 30% is unacceptable.

20.7.3 For attribute gages the organization must complete a study according to the Measurement System Analysis (MSA) manual or must use a minimum of 50 samples, three operators, and three series of measurements for each operator. Test samples should include parts that are close to the limits of the specification (s). To accept all measurements take parts that are out of specification, it must be indicated that the parts are rejected.

Note: Non-attribute gages are allowed on special features.

20.8 For variable gages, tolerances used for 100% verification should be reduced by the magnitude of the Gage R&R.

20.9 All gages and test equipment must be calibrated and reflect the last calibration date and next calibration date. Calibrations must identify the source or standard of calibration.

20.10 A calibration program must be established for all applicable equipment.

20.10.1 The program must identify whether the calibration is done internally or by an external source provider.

20.10.1.1 Equipment that is internally calibrated shall have detailed calibration procedures for all applicable equipment.

20.10.1.2 The supplier of external origin must have a calibration process equal to or better than that of the supplier.

20.10.2 The supplier must identify how they establish the calibrations of the equipment.

20.10.2.1 The supplier shall have a system that evaluates the calibration frequency and makes frequency adjustments if necessary.

20.10.3 The supplier must have an effective system that ensures that the calibration of the equipment is done by program. A reaction plan must be established to contain equipment that is out of calibration.