ISO / IATF 16949 Requirements for Second Party Services

[Azaarus]

Hi. Long time lurker, first time asking a question.

I work in quality at a certified IATF 16949 / ISO 9001: 2015 plastic injection molding company. Our annual IATF audit is coming up and we are doing some prep work.

We send our scrap parts out to a second-party for repelletization (basically recycling), then they bring it back to us. The scrap we send is quarantined by material type.

The second-party is NOT IATF/ISO certified. Since they are providing a service to us, shouldn't we be able to perform a second-party audit to continue using their services, or has that changed? There have been many different discussions on how to proceed with this, but we are at a stand still because no one seems to know! If anyone can answer this or direct me to where I can find an answer, please reply.

I have the newest Sanctioned Interpretations, but we are still unclear.

 

[Golfman25]

They don't have to be certified. In the standard it shows the steps to take for "supplier development." And to boot, they have no affect on product conformity.

 

[Rameshwar25]

the SI is for scrap material suppliers and not for said services.
you need to follow all requirements of 8.4.2.3 (supplier development) and also to conduct second party audits ONLY IF if you reuse the material received from your supplier for further manufacturing of product (like recycling).

if quarantined material is further sold out as scrap, you can waive off.

 

[Sebastian]

Please read FAQ#11 https://www.iatfglobaloversight.org...018/11/IATF-16949-FAQs_Oct-2018_12Nov2018.pdf
Rendering of nonconforming parts before disposal is a process. Manufacturing site may decide to outsource this process to service provider.
It shall be identified within organizational system documentation as outsourcing, then all requirements related to supplier selection, control and development shall be implemented. Due to eligibility limitations target QMS development level for service supplier can't be IATF 16949, but ISO 9001 should be enough.
In case of doubts it is example of 8.4.1 c).

 

[Sidney Vianna]

And to boot, they have no affect on product conformity.

How so? If the repelletized plastic is used as raw material, it sure can affect product conformity. The level of approval for this supplier should be, at least, the same for raw material; maybe even more because a recycled material might impact product properties even more, depending on the percentage of recycled pellets being used.

 

[Golfman25]

How so? If the repelletized plastic is used as raw material, it sure can affect product conformity. The level of approval for this supplier should be, at least, the same for raw material; maybe even more because a recycled material might impact product properties even more, depending on the percentage of recycled pellets being used.

They are simply changing the form of the materials - from molded parts and runners to regrind. Most molders do it right at the press. The pct regrind to use would be set by the material manufacturer's recommendation and the molder.

 

[eule del ayre]

How so? If the repelletized plastic is used as raw material, it sure can affect product conformity. The level of approval for this supplier should be, at least, the same for raw material; maybe even more because a recycled material might impact product properties even more, depending on the percentage of recycled pellets being used.

mr. sidney is right, it depends on the percentage of the recycled pellets, if the ratio is 3:2 in favor of recycled if you're company is reducing the cost, there's a right certificate for recycled plastic.

 

[UncleFester]

You should assess the requirements for supplier selection dependent upon the risk to your business, as in Cl. 8.4.1.2.

Cl. 8.4.2.3 permits the first stage as compliance to ISO9001 by 2nd party audit. Compliance is not the same as certification, which would be the next step in supplier development.

If you have assessed your suppliers by risk as in 8.4.1.2a, and there is the need for the raw material supplier (of the new plastic pellets, not recycled waste) to have ISO9001 certification, then there may be a similar requirement for your waste recycler.

 

[Golfman25]

You should assess the requirements for supplier selection dependent upon the risk to your business, as in Cl. 8.4.1.2.

Cl. 8.4.2.3 permits the first stage as compliance to ISO9001 by 2nd party audit. Compliance is not the same as certification, which would be the next step in supplier development.

If you have assessed your suppliers by risk as in 8.4.1.2a, and there is the need for the raw material supplier (of the new plastic pellets, not recycled waste) to have ISO9001 certification, then there may be a similar requirement for your waste recycler.

Actually, this is a case to use the "unless otherwise approved by the customer" out. If all they are doing is regrinding the OPs scrap and returning it, the risk is low. As long as they are keeping track and not contaminating the regrind is there really a need for the complexity of ISO?

 

[Azaarus]

How so? If the repelletized plastic is used as raw material, it sure can affect product conformity. The level of approval for this supplier should be, at least, the same for raw material; maybe even more because a recycled material might impact product properties even more, depending on the percentage of recycled pellets being used.

Yes, you are correct. We are using the material when they send it back as regrind, and the appropriate percentage (usually it is 20%) is being used.

Thank you!