My company is going through a very rough economic cycle. The only way we see to keep the company afloat is to try and have our largest customer either fund large sections of the company or buy us out completely. While negotiations are going on, my CEO and Engineering Manager have been laid off so we can concentrate our resources on current production. Being a small company they are responsible for large sections of our QMS. Of course this is happening a month before my scheduled surveillance audit. How can I convince my auditor that we still have Management Committment as well as maintain their functions of the QMS despite the layoffs? I thought maybe this could be covered with a memo but I'd like help with the details.

Thanks

My company is going through a very rough economic cycle. The only way we see to keep the company afloat is to try and have our largest customer either fund large sections of the company or buy us out completely. While negotiations are going on, my CEO and Engineering Manager have been laid off so we can concentrate our resources on current production. Being a small company they are responsible for large sections of our QMS. Of course this is happening a month before my scheduled surveillance audit. How can I convince my auditor that we still have Management Committment as well as maintain their functions of the QMS despite the layoffs? I thought maybe this could be covered with a memo but I'd like help with the details.

Thanks

Who's in charge? Even if the nominal CEO is gone, someone must be waving the baton. If not, then I would say that your ISO registration is likely to be in jeopardy. If you can show that the system is functioning as designed, and the appropriate people are doing management review, you will probably be OK.

Who's in charge? You have to have some kind of management, if you don't then you'll have problems that a memo can't fix! Are you saying that you, as the Quality Manger are heading up the company as well as the quality functions? If that's the case and you are maintaining the required management responsiblities then I'd think you'll get by in your audit depending on if any responsibilities conflict...i.e quality should be separate from production.

To mimic the other responses, given that this is a small organization, it is unclear if you have any upper management present. The management you have left is responsible for the system.

Are there internal audit reports left unadressed? Has whatever management you currently have been supporting the system by devoting resources and changing procedures when necessary?

The sections they were responsible for need to be assigned to others who would have equivalent responsibility/authority.

Appreciate the quick feedback.
I left an important point out on my email about the CEO. Even though he is technically laid off (not drawing a salary or benefits) he still has a contract as CEO. He still comes in on an as needed basis and stays in contact via email and phone.
The Engineering Manager does not have a contract but, because he has worked here for 20 years, he also stays in contact and gets invovlved on an "as needed" basis.

Decided to bring this up with my Registrar. She felt that if we describe this relationship and identify how their day to day reponsibilities are delegated, a memo would cover it.

Fortunately or unfortunately this situation will not last long. If our white knight doesn't show up before the end of January we'll be shutting the doors anyway.

Thanks again for your input and wish us luck.

Wow, what are these guys getting out of all of this? Laid off, but they still do the work? Your company is very lucky, or else there are some arrangements here that are not necessarily apparent (or purposely not public knowledge?). Still, without a CEO, who do you report to? If he is not an employee, I don't think you can use the line "well, he hangs out and helps us out". You would probably be just a far ahead to say that you report to the bartender down the street, and he gives you all the good advice you need? (jmho)

Good luck tkevmoore. :agree1:

If your registrar has any soul they're not going to add to your woes by adding a pile of NCs.

I had a similar situation a while back, went in, did the bare minimum and left them to try and save the business!

Good luck tkevmoore. :agree1:

If your registrar has any soul they're not going to add to your woes by adding a pile of NCs.

I had a similar situation a while back, went in, did the bare minimum and left them to try and save the business!

We had similar experience. We went through the worst recession ever in 1997 and it took many organizations several years to recover while a substantial number folded up.

A good number of those that survived embrace quality 'religiously' from then on, knowing well that they survived because they care about the customer more than their competitors.

Fortunately or unfortunately this situation will not last long. If our white knight doesn't show up before the end of January we'll be shutting the doors anyway.

Thanks again for your input and wish us luck.

I do wish you luck - tricky & unpleasant situation, I imagine.

I was once QM of a medium-sized department within a very large institution. 1 month before our scheduled audit, the whole department vanished, as we were restructured out of existence.

But as the 'higher powers' wanted to hold onto the certification, & transfer it once the dust settled & things became clearer, we went ahead with the audit & adopted the truthful position of: this is how things were functioning up until a month ago... it'll be different in another month or two.

The auditor accepted that. And it was.

IMO, a company can't down or collapse if any management guy laid off as long as we have thorough system in place.

Furthermore, we have the QMS for years.

A company run is due to we have the "SYSTEM" no "MANAGEMENT GUY". Of cause we need management guy to set up all these system in a company at the first place. Long run, we are monitoring and control the operation to fall within the limits of the system that we set.

Stay out of fear and be a confidence to follow the existing system to manage the section or function. Think that we want to give good motivation to the subordinates or front lines to complete the daily jobs and meet the customer satisfaction.

If the QM system is not achieve the certain target we won't get the certified as ISO company.

Good luck and look forwards as god create our eyes to keep looking forward.

I guess through all of this, I need to say, even if the guy who was the CEO is gone, there has to be someone (even if he was chosen by the employees and not officially) that has stepped up to the plate to act in the CEOs stead.