AXIOM GROUP INC.

Advanced Quality Planning (AQP) Page 1 of 2

Feedback Assessment and Corrective Actions AQP - Phase 5

Approved By:

INTRODUCTION

The fifth and final phase in a project is Feedback Assessment and Corrective Actions. This phase
is designed to ensure the comprehensive review and verification of the product and
manufacturing processes have met customer, and internal, expectations and requirements. In
addition, reports are generated to document launch results and issues for improvement of future
product launches.

5.1 Action Plans for Process Improvements

After the product PPAP has been completed, a list of process improvement ideas should be
generated. The list should include action plans to implement the improvement (QAR-8.3.14).
The goal is to increase the product quality and process efficiency.

5.2 Run At Rate

This is the date that the customer and/or internal management requires the manufacturing facility
to demonstrate that the production process is capable of meeting the quoted cycle times and
volume requirements. This run must be completed using the intended production equipment for
the product.

Some customers will insist on viewing and approving this event. Some may even withhold
PPAP approval until this requirement is fulfilled. Consult the V. P. Customer Development
and/or customer quality representative for the detail of the run at rate requirements.

5.3 Ship First Production Samples

This is the date that the customer requires the first production-approved products to be received
at the customer assembly plant.

5.4 Support & Review of Customer Launch

Axiom Group Inc. should send a representative to view and support the customer launch activity
as applicable. Some customers may require an on-site review of the product being assembled to
the vehicle or parent assembly.

Even if not required, a helpful, concerned, knowledgeable company representative in their

facility at launch will help build a positive working relationship that may prove to be very
beneficial in the future.

5.5 Launch Report Submitted to Upper Management

UNSIGNED PRINTED COPIES ARE UNCONTROLLED DOCUMENTS
Date Issued: May 1, 2006 Revision Number: 6
 AXIOM GROUP INC. Advanced Quality Planning (AQP) Page 2 of 2
Feedback Assessment and Corrective Actions AQP - Phase 5

A launch report should be submitted to upper management. The report should include a summary
of the positive and negative events as well as a financial summary of the cost associated with the
launch.

5.6 Start of Regular Production

This is the date that the manufacturing facility must begin to produce the first parts for the
customer, start of regular production and ramp-up. This is not to be confused with pre-production
or production pilot builds.

5.7 Lessons Learned

A meeting should be held to review the things gone wrong and things gone right (TGW/TGR).
A list should be generated to describe the positive and negative issues that resulted for review.

Typical topics include but are not limited to:

 Product design
 Tooling and equipment design
 Manufacturing processes
 Program timing performance
 Policies and procedures as they effected the program
 Customer perception

It is important to document the event so future programs can reference the learning experiences
of prior programs. This will improve the quality of the outputs of those teams and ultimately
strengthen the company and our customers.

5.8 Upper Management Approval - Phase 5

When all of phase 5 items are closed, management must review the outputs of the team and
approve the completion of the phase or recommend further actions required achieving
completion This review must be completed by the end of Phase I for any direct programs with
Daimler Chrysler, Ford or General Motors.

UNSIGNED PRINTED COPIES ARE UNCONTROLLED DOCUMENTS

Date Issued: May 1, 2006 Revision Number: 6