Boeing QMS Requirements for Tier 2 Distributors

[Buckyb]

Just got a letter from an OEM signed by the Director and VP of Supplier Quality stating that all first tier suppliers who procure from distributors will have to ensure those distributors comply with either AS/EN/JISQ 9100 or AN/EN 9120. Going on to say that suppliers shall evaluate and select distributors based on their ability to comply with this requirement. This will become effective June 30, 2014. After that date, first tier suppliers shall utilize only distributors in compliance with AS/EN/JISQ 9100 or AS/EN 9120. Thoughts, comments?

 

[Ninja]

Re: QMS Requirements for Distributors

{snip}... This will become effective June 30, 2014. After that date, first tier suppliers shall utilize only distributors in compliance with AS/EN/JISQ 9100 or AS/EN 9120. Thoughts, comments?

Sounds like prices will go up again.

Will they ever learn that "best" and "cost effective" and "reliable" and "certified to XX standard" are not synonyms?

 

[Big Jim]

Re: Aerospace QMS Requirements for Distributors

It will be interesting to see how that plays out. Every year the primes seem to drill down further into the supply chain in the requirement to be AS certified. There always seems to be a need for exceptions.

Absolutes (the term ALL) are sometimes difficult to deal with. How will they handle sole sources?

 

[Sidney Vianna]

Re: Aerospace QMS Requirements for Distributors

Just got a letter from an OEM signed by the Director and VP of Supplier Quality stating that all first tier suppliers who procure from distributors will have to ensure those distributors comply with either AS/EN/JISQ 9100 or AN/EN 9120. Going on to say that suppliers shall evaluate and select distributors based on their ability to comply with this requirement. This will become effective June 30, 2014. After that date, first tier suppliers shall utilize only distributors in compliance with AS/EN/JISQ 9100 or AS/EN 9120. Thoughts, comments?

The obvious question is: how will the first tier supplier ensure the distributors comply with AS9100 or AS9120 unless they demand ICOP-recognized certification to the standards?

Self declaration is a questionable route and 2[sup]nd[/sup] party assessment can be costly and complicated.

The IAQG has a declared goal of 90% of the (eligible) supply chain certified to the AS91X0 standards by 2015. Currently, there are just under 12,000 certified organizations in OASIS (just over 16,000 certified sites) 90% of the Global ASD Supply chain is a number much, much bigger than 12,000.

The OEM's realize that the supply chain is deep and the deeper you go in the chain, the less robust QMS's you find and many product conformity, flight safety and mission assurance problems are associated with breakdowns in suppliers 2 or 3 levels away from the OEM. Proper certification of QMS's in the ASD supply chain is nothing but proper risk mitigation.

 

[andygr]

Re: Aerospace QMS Requirements for Distributors

Here is what was put out
Two notification letters were communicated to the supply chain May 15, 2013 and are posted on the Supplier Portal.
1.Distributors received Letter dated May 15, 2013 stating the requirement to obtain the appropriate D6-82479 approval.
2.Sellers received Letter dated May 15, 2013 requiring them to select distributors that conform to an AS/EN 9120 or AS/EN/JISQ 9100 quality management system. Methods for demonstrating conformance can include bur are not limited to, CB certification.

To answere your question Sidney those suppliers who have dirrect contract with Boeing will be required to validate their subtier distributors

"To allow time for Boeing first tier suppliers to establish compliance, this new requirement will not become effective until June 30, 2014. After that date, Boeing first tier suppliers shall utilize only distributors with Quality Management Systems that comply with either AS/EN/JISQ 9100 or AS/EN 9120, and shall use the supplier?s internal processes to validate distributor compliance."

Jim to answere you question on sole sources
I doubt that there are many, if any, sole source's when it comes to distributor's. Remember we are not talking about those who make things distributors are those who warehouse and sell them and in some cases provide value added opperations (some not so much).

This will hopefully reduce the buyers in the various levels of the food chain from shoping the grey market for low cost items.

Here is more detail on what this is all about
http://www.boeingsuppliers.com//supplier/index.html

 

[Buckyb]

Re: Aerospace QMS Requirements for Distributors

Sidney, I agree with your comments in every way and I understand the need for flow-down control to all tiers. But my issue is not why but how does the 1st tier supplier determine who is the distributor. An example would be Wal-Mart. they have their own products but they also handle other name brand products and "distribute" those products to customers. I have many suppliers (large and small) who sell us products (raw materials, hardware) not made by that supplier but distributed through them. Who makes the determination whether they are supplier or distributor?

Big Jim also brings up a great point on sole source. I have a number of sole source suppliers on the OEM's drawings who are currently NOT certified. I don't forsee the OEM taking a proactive role in fixing this but I do see the responsibility resting on the 1st Tier Supplier through the guidance edicted by the OEM. Ninja is right too...the cost of business just went up.

 

[Buckyb]

Re: Aerospace QMS Requirements for Distributors

Well I wasn't going to name names but as Andygr just pointed out "distributors are those who warehouse and sell them". My point exactly. Almost every supplier we deal with "distributes" including those who are sole source on the drawings.

 

[Big Jim]

Re: Aerospace QMS Requirements for Distributors

On the grey market issue, there are times when then is no other choice. When none of the authorized distributors (distributors authorized by the manufacturer) have the part, where do you go? Of course, greater care is needed in screening parts purchased in that circumstances to ensure they are not counterfeit.

 

[andygr]

Re: Aerospace QMS Requirements for Distributors

I have many suppliers (large and small) who sell us products (raw materials, hardware) not made by that supplier but distributed through them. Who makes the determination whether they are supplier or distributor?

Big Jim also brings up a great point on sole source. I have a number of sole source suppliers on the OEM's drawings who are currently NOT certified. I don't forsee the OEM taking a proactive role in fixing this but I do see the responsibility resting on the 1st Tier Supplier through the guidance edicted by the OEM. Ninja is right too...the cost of business just went up.

From the AS9120 standard as to what is a distributor
" organizations that procure parts, materials and assemblies and resells these products to a customer in the aviation, space and defense industries. This includes organizations that procure products and split them into smaller quantities including those that coordinate a customer controlled service on the product.
This standard is not intended for organizations that maintain or repair products. Organizations that perform work that affect or could affect product characteristics or conformity should use the IAQG-developed 9100 or 9110 standards

By their nature to your orginization all distributors are suppliers but not all suppliers are distributors.
At your point in the aerospace food chain you are responsable for all those you procure from dirrectly and indirectly based on the contractual requirements received dirrectly from your customer.

If your current distributors can not comply with the requirements identifed in AS9120 are you able to justify their use in your AS9100 approved system? How do you address for your current supply base
"7.4.1 Purchasing Process
The organization shall ensure that purchased product conforms to specified purchase requirements. The type and extent of control applied to the supplier and the purchased product shall be dependent upon the effect of the purchased product on subsequent product realization or the final product.
The organization shall be responsible for the conformity of all products purchased from suppliers, including product from sources defined by the customer.
The organization shall evaluate and select suppliers based on their ability to supply product in accordance with the organization's requirements. Criteria for selection, evaluation and re-evaluation shall be established. Records of the
results of evaluations and any necessary actions arising from the evaluation shall be maintained (see 4.2.4)."

When folks come looking at the records mention above for the justification of your selections it is not usualy with the view of "are you meeting the intent"

 

[dsanabria]

Re: Aerospace QMS Requirements for Distributors

Just got a letter from an OEM signed by the Director and VP of Supplier Quality stating that all first tier suppliers who procure from distributors will have to ensure those distributors comply with either AS/EN/JISQ 9100 or AN/EN 9120. Going on to say that suppliers shall evaluate and select distributors based on their ability to comply with this requirement. This will become effective June 30, 2014. After that date, first tier suppliers shall utilize only distributors in compliance with AS/EN/JISQ 9100 or AS/EN 9120. Thoughts, comments?

... and the next letter will be to comply with AS6081 - Fraudulent / Counterfeit Electronic Parts: Avoidance, Detection, Mitigation and Disposition - Distributors:mg: