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TITLE

ADVANCED PRODUCT QUALITY PLANNING

SDN. BHD.
, MALAYSIA
CLASS DOCUMENT NO:
QMS PROCEDURE SOP-RD-7.1-001

FOR REFERENCE ONLY. LATEST REVISION REFER TO DOCUMENT CONTROL.

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APPROVED APPROVED
ORIGINATOR REVIEW BY REVISIONS
BY BY
RELEASED RELEASED
REV.
DATE BY

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ADVANCED PRODUCT QUALITY PLANNING REV: 00 PAGE 1 OF 11

CHANGE CONTROL

REV NO. ECN NO. DESCRIPTION OF CHANGES REV DATE

0 Nil New Release to reflect ISO9001, Clause 8.3 09.08.21

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ADVANCED PRODUCT QUALITY PLANNING REV: 00 PAGE 2 OF 11

1.0 PURPOSE
To establish a guideline for project management structure using Advanced Products Quality Planning
for new product development

2.0 SCOPE
Applicable for all internal Design and Development product only.

3.0 DEFINITION

3.1 APQP – Product Development using Advanced Product Quality Planning (APQP) as a
management tool to enhance project management skills, tracking of activities and improve
communication using cross-functional team.
3.2 Control Plan – Control Plan, which defines the characteristics to be measured, the
measurement method and the reaction plan during production.
3.3 FMEA – Failure Mode and Effect Analysis

4.0 REFERENCE

4.1 AIAG Advanced Product Quality Planning Manual

4.2 The Feasibility Requisition must be used as a reference during each Feasibility Study and
Project Assessment Report.
4.3 Control Plan
4.4 FMEA

5.0 RESPONSIBILITY
5.1 Section Head R & D is responsible to carry out the project events as below
(a) Feasibility Requisition
(b) Design Concept Release
(c) Project Assessment
(d) Design Release/Product Quotation
(e) Handover
(f) Project Termination
5.2 Any employee, if requested by Engineering Manager and QA Manager must participate in the
APQP meeting.
5.3 Process Engineer prepares Process FMEA, Control Plan.
5.4 R & D Manager and/or Engineering Manager Conduct Feasibility Reviews prior to accepting a
new contract.
5.5 R & D Manager and/or Engineering Manager ensure the project has defined date completion
and strictly adherence to the schedule. The Gantt chart requires review for any independence
of activities.
5.6 Project Engineer is responsible to coordinate the formal drawing issue and coordinate Trial
Run.
5.7 Project Engineer is responsible to report Trial Run results.
5.8 APQP Team Members study significant characteristics relevant to customer requirements.

6.0 ATTACHMENT

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ADVANCED PRODUCT QUALITY PLANNING REV: 00 PAGE 3 OF 11

6.1 Attachment 1 – Advanced Product Quality Planning Process Flow

6.2 Attachment 2 – Team Feasibility Commitment
6.3 Attachment 2 – Product And Process Validation Output
6.4 Attachment 3 – Feedback, Assessment And Corrective Action Output

7.0 PROCEDURE
7.1 Concept Phase (Planning & Define Program)
7.1.1 The purpose of the concept phase is to generate product concepts based on the
specification or product idea given. This phase is initiated by the Feasibility Study
Requisition upon the approval of which the development will than proceed.

7.1.2 The product idea, its concept and design are analysed, including the choice of
materials and technology. At the same time the product mix, the number of units to be
produced, the time schedule, the consumption of resources and the costs is made.
Consideration should be given to choose materials that are less harmful to environment
or comply to OEM customer environment banned substances requirement.

7.1.3 The concept phase ends with a Design Concept Release, where an integral and
reliable concept for the product is created.

7.1.4 The inputs and outputs applicable to the process may vary according to the product
process and customer needs and expectations. Some examples are stipulated below

Input

- Voice of the customer

- Business plan
- Product/process benchmark date
- Production/Process assumption
- Product Reliability Studies
- Customer Inputs

Output

- Design Goals
- Reliability & Quality Goals
- Preliminary BOM
- Preliminary Process Flow Chart
- Preliminary Listing of Flow Chart
- Process Characteristics
- Manager Support

7.2 Creation Phase (Product Design & Development)

7.2.1 During this phase the product is further developed by first converting the product idea
and the design model to product requirements, which is then transformed into
engineering specifications.

7.2.2 All product requirements must be generated and approved during the creation phase
and then financial investment cost must also be estimated.

7.2.3 Objectives for the development of the product must be set at the beginning of the
creation phase and the financial investment cost must also be estimated.

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ADVANCED PRODUCT QUALITY PLANNING REV: 00 PAGE 4 OF 11

7.2.4 By the end of the phase, the activities of all functions will have been checked and
evaluated and the relevant conclusions drawn. This will be the groundwork for
concurrent engineering to take place for all the development functions in the
subsequent implementation phase, and so pave the way for the financial planning to
take place.

7.2.5 At the end of the creation phase, a Project Assessment report is submitted. The
decision to either proceed or stop the project will be based on the approval of the report
and the issuance of a Purchase Order (PO) for product development.

7.2.6 The output from 7.1.4 becomes applicable inputs to this stage. The output of product
design & development stage are

- Design FMEA
- Design for Manufacturability & Assembly
- Design Verification
- Design Review
- Prototype Build – Control Plan
- Engineering Date
- Engineering Specification
- Material Specification (specify environment banned substances, if applicable)
- New Equipment, Tooling & Facilities Requirement
- Special Product & Process Characteristics
- Gages/Testing Equipment Requirements
- Team Feasibility Commitment & Management Support

7.3 Implementation Phase (Process Design & Development)

7.3.1 The purpose of this phase is to develop model on the basis of the engineering
specifications determined earlier. This serves to verify e.g. the hardware for final
documentation in the realisation phase by building prototypes.

7.3.2 There are two main tasks to be carried out in this phase, engineering and then product
development by means of prototyping.

7.3.3 The engineering task involves a thorough analysis of the engineering of the product so
that no known faults and deficiencies are passed on to the next stage in the process. At
this stage the various skills and functions are still working closely together.

7.3.4 At the end of the engineering task, documentation is prepared with enough detail for
the prototyping task to begin. The prototyping units are tested, evaluated and
corrections, if any, are made continuously until the units when assembled, are of a
level of standard fit for production and, in principle, sale. The documentation is then
closed and ready for the realisation phase.

7.3.5 During the prototyping process, prototype units are made based on the engineering
documentation prepared earlier. The prototype units are tested, evaluated and
corrections, if any, are made continuously until the units when assembled, are of a
level of standard fit for production and, in principle, sale. The documentation is the
closed and ready for the realisation phase.

7.3.6 The prototypes made are subjected to various verification procedures, which are
initiated towards the end of the phase. These verification procedures include system
tests, approvals, life tests and environmental tests. If these tests are conducted as so-
called pre-verifications during the prototyping process, the final verification procedure
can be conducted as a mere formality.

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ADVANCED PRODUCT QUALITY PLANNING REV: 00 PAGE 5 OF 11

7.3.7 At this stage no tooling and production equipment investments have yet been made.

7.3.8 The implementation phase end with a Design Release, upon which a Production
Quotation (unit Cost and Tooling) will be submitted. The decision whether to continue
with the project to production will be based on the approval of the quotation in the form
of Purchase Order (PO).

7.3.9 Upon the approval of the Production Quotation, a handover takes place and the project
responsibility is transferred to production team.

7.3.10 If the Production Quotation is not approved, the project ends with a Project Ending
report, which will evaluate the entire project. These report serves to state down all the
experiences gained from this project, which can be used in future projects.

7.3.11 The outputs applicable to the process step are

- Packaging Standards
- Product/Process Gage Studies Review
- Process Flow Chart
- Floor Plan Layout
- Characteristics Matrix
- PFMEA
- Pre-Launch Control Plan
- Process Instruction
- MSA Plan
- Preliminary Process capability Study Plan
- Packaging Specifications
- Management Support

7.4 Realisation & Production Phase (Product & Process Validation)

7.4.1 This phase is implemented by the manufacturing facility after a handover has taken
place.

7.4.2 The procurement of production equipment and the verification of product quality will
take place during this phase.

7.4.3 The main task to be carried out in this phase is to procure and verify production and
processing equipment, tools, testing equipment, etc. Verification is conducted on the
basis of a production trial run, and the products made in the trial run must be of such a
quality that they meet the requirements for release for sale.

7.4.4 The production trail run includes a verification of the product quality. Upon successful
production trial run, the start of production is then approved and initiated.

7.4.5 The production will ensure that the product is manufactured continuously and
consistently is a quality that is agreed upon.

7.4.6 The production development ends with a Project Ending report, which will evaluate the
entire project. These report serves to state down all the experiences gained from this
project, which can be used in future projects.

7.4.7 Before any proposal can be given to the customer for a decision on any design or
redesign proposal, the “Project assessment Report” (PA) must be completed and
submitted to the customer. Based on this assessment, the customer will decide to
continue or to stop the project.

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ADVANCED PRODUCT QUALITY PLANNING REV: 00 PAGE 6 OF 11

7.4.8 Key issues to be included in the PA are:

7.4.8.1 Electrical realisation, key components, outline of PCB etc.

7.4.8.2 Mechanical realization (if necessary)

7.4.8.3 S/W changes (if necessary)

For each of the headings above we have to clarify the consequences for:
- Estimated development time for engineers at ETM
- Estimated development time for engineers at customer
- Changes in unit costs

7.4.8.4 Capital investments

(a) External consultancy (services bought from another company)

(b) Travels to or from customer (or other places)
(c) Tools for PCB
(d) Tools for mechanical parts
(e) Tools, jigs and fixtures for production
(f) Test equipment for TEM
(g) Test equipment for production
(h) Cost for PCB prototypes (includes all costs, PCB assembly, test, etc)
(i) Other costs (scrapped components, costs at the customer assembly plant)
(j) Quality assessment

7.4.8.5 Draft time scheduleSenior Production Manager

7.4.8.6 Estimated Development Cost

7.5 Product Process Validation

7.5.1 The input applicable to the process steps in this section (pre-launch trial run section) is
as follows:

Inputs
- Packaging Standards
- Product/Process of System Review
- Process Flow Chart
- Floor Plan Layout
- PFMEA
- Pre-launch Control Plan
- Process Instruction
- MSA Plan
- Preliminary Ppk
- Management Support
- Team Feasibility Commitment

Output
- Production Trial Run
- Measurement System Evaluation
- Preliminary Ppk Process Capability Study
- Production Part Approval
- Production Validation Testing
- Packaging Evaluation
- Production Control Plan
- Quality Planning Sign Off
- Management Support

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ADVANCED PRODUCT QUALITY PLANNING REV: 00 PAGE 7 OF 11

7.5.2 During a production trial run, the Product Quality Planning Team should validate that
the Control Plan and Process Flow Chart are being followed and the product meet
customer requirements. Additional concerns should be identified for investigation and
resolution prior to regular production run.

7.5.3 The production trial run must be conducted using production tooling, equipment,
environment (including production operators), facility and cycle time.

7.5.4 The validation of the effectiveness of the manufacturing process begins with the
production trial run. The minimum quantity for a trial run is usually set by the customer,
but can be decided by the PQP team.

7.5.5 The output of the production trial run is used for

- Preliminary Ppk
- Measurement System Evaluation
- Process Review
- Production Validation Test
- Production Part Approval
- Packaging Evaluation
- Trial Run Release/Sign Off

7.6 Feedback, Assessment and Corrective Action

7.6.1 This stage is for the team to evaluate the effectiveness of the production quality
planning effort.

7.6.2 The output from Pre-launch stage becomes the inputs to this process stage.

7.6.3 The output of the production stage are

- reduced variation
- customer satisfaction
- delivery and service

7.6.4 Statistical techniques should be used to identify process variation. Continuous

improvement has been utilized to understand common causes and seeking ways to
reduce the variations.

7.6.5 Customer satisfaction has been constantly review, monitor to ensure Escatec continue
to improve correct deficiencies to achieve customer satisfaction.

7.6.6 The experience gain in this stage provide Escatec necessary knowledge to recommend
price reductions achieved by reducing process inventory and quality cost to produce
the right component or systems for next product

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ADVANCED PRODUCT QUALITY PLANNING REV: 00 PAGE 8 OF 11

ATTACHMENT 1 – ADVANCED PRODUCT QUALITY PLANNING PROCESS FLOW

Flow Description Process Owner References

Planning & Define Project Team Feasibility
Concept Phase Program Member Study
~ Based on Specification Requisition
and customer given idea
Project Design and Project Team Project
Creation Phase Development Member Assessment
~ Generate and approve Report
all product requirements
~ Estimate the financial
investment cost
~ Set objective for the
development
~ Project Assessment
Report is submitted and
PO is issued
Process Design and Project Team Production
Implementation Phase Development Member Quotation
~ Develop model on
engineering specification
~ Documentation is
prepared for prototyping
task to begin
~ Prototype units are
tested, evaluated and
corrections
~ Approval on production
quotation, handover to
production team
Product & Process Production Project Ending
Realization & Production Validation Team Report
Phase
~ Production trial run Project
~ Follow Control Plan and Assessment
Process Flow Chart Report (PA)
~ Submit PA to customer

Feedback, Assessment & ~ To evaluate the KAE

Corrective Action effectiveness of the
production quality planning
effort
~ Statistical techniques
~ Customer Satisfaction

End

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ADVANCED PRODUCT QUALITY PLANNING REV: 00 PAGE 9 OF 11

ATTACHMENT 2 – TEAM FEASIBILITY COMMITMENT

Customer: ___________________________ Date: __________________

Part Number: ___________________________ Part Name : __________________

Feasibility Considerations

Our Product quality planning team has considered the following questions, not intended to be all-inclusive in
performing a feasibility evaluation. The drawings and/or specifications provided have been used as a
basis for analyzing the ability to meet all specified requirements. All "no" answers are supported with
attached comments identifying our concerns and/or proposed changes to enable us to meet the
specified requirements.

YES NO CONSIDERATION

Is product adequately defined (application requirements, etc.) to enable

feasibility evaluation?
Can Engineering Performance Specifications be met as written?
Can Product be manufactured to tolerances specified on drawing?
Can product be manufactured with Cpk's that meet requirements?
Is there adequate capacity to produce product?
Does the design allow the use of efficient material handling techniques?
Can the product be manufactured without incurring any unusual:
* Costs for capital equipment?
* Costs for tooling?
* Alternative manufacturing methods?
Is statistical process control required on product?
Is statistical process control presently used on similar products?
Where statistical process control is used on similar products:
* Are the process in control and stable?
* Are Cpk's greater than 1.33?

Conclusion

Feasible Product can be produced as specified with no revisions

Feasible Changes recommended (see attached)

Not Feasible Design revision required to produce product within the specified
requirements

Sign-Off

___________________________ ___________________________
Team Member/Title/date Team Member/Title/date

___________________________ ___________________________
Team Member/Title/date Team Member/Title/date

___________________________ ___________________________
Team Member/Title/date Team Member/Title/date

QR-EN-7.1-002 / 01

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ADVANCED PRODUCT QUALITY PLANNING REV: 00 PAGE 10 OF 11

ATTACHMENT 3 – PRODUCT AND PROCESS VALIDATION OUTPUT (PRE-LAUNCH STAGE)

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ADVANCED PRODUCT QUALITY PLANNING REV: 00 PAGE 11 OF 11

ATTACHMENT 4 – FEEDBACK, ASSESSMENT AND CORRECTIVE ACTION OUTPUTS

(PRODUCTION STAGE)

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