Part Handling Plan

PSQPTH100
March 2011

Goal of the class

Answer the question: Part Handling why do I need
another class on this?
Define Part Handling Plan.
Define Supplier Quality Engineers role in Part Handling.
How do Element 9, Part Handling Plan and Element 8,
Incoming & Outgoing Material Certification plan relate?
Distinguish between effective and ineffective Part
Handling.
2

Why a class on Part Handling Plans?

WK Critical e-CIMS - PSO Element Alignment
10. Operating Instructions

13. Error & Mistake Proofing

3. DFMEA

9. Part Handling - WIP

4. Test Samples & Freq

8. Incoming & Outgoing Material Qual process

16. Prod Demo Run

1. Advanced Quality Planning

2. Part Number, Description & Change Level

15. SRE results & Evidence of Product Spec

17. Part Packing & Shipping Spec

Broad
Categorizations.
Classes in place to
address

14. Layer Process Audit

7. Control Plan

17

5. PFMEA

24
0

10

15

20

25

30

Analysis revealed that Part Handling Plan was cited as one of the top
5 root causes of critical WK e-CIMS.
3

Definition
Part Handling Plan:
Procedure that detail all internal material handling
operations.
The plan shall include:
Identification of Containers
Methods to identify and differentiate rework/repair, scrap,
Work in Process (WIP), etc.
Procedures for in-process raw material re-stock (e.g. Kan-Ban)
First-In-First-Out (FIFO) material control
Procedure by which material is tracked and moved from one
process to another
Containment of nonconforming material and use of Chrysler
Supplier Notification of Potential Nonconformance
4

SQEs role in Part Handling

Part Handling is Element 9 in the Process Sign Off
7th Edition
SQEs verify that Part Handling is robust and properly
executed by the supplier.

Element 9- Parts Handling Plan

Procedures that detail all internal material handling
operations
Describe the types of containers used in the internal
manufacturing process

Material dimensions
Quantity per container
Part number(s)
Stack height (mobile & static)

Weight
Ergonomic requirements
Maintenance requirements

NOTE: Container information and maintenance may be included as a

part of the Packaging Instructions and/or Preventative Maintenance.
See elements 10 and 19.
6

Element 9- Parts Handling Plan

All parts shall be marked with the Supplier Code, Part
number and Manufacturing Dates based on Engineering
Standard PS-4480.
PS-4480 defines the normal methods of applying part numbers,
supplier codes and date codes to individual parts. Specific
identification requirements are denoted by designations shown as
suffixes after the standard number in the Standards section of the
Part Information Page (PIP) or on the CATIA model.

A cross reference sheet shall be used by the Supplier

when the Chrysler part number is not used internally in the
Suppliers manufacturing plant to track the part.

Incoming/Outgoing Material Certification Plan

How is it different from the Part Handling Plan?

Incoming Material Certification Plan

Requires use of the Lot Sampling Table or 2 or more
inspection requirements as per ISO/TS-16949 (cl.
7.4.3.1)
AQP/PSO-equivalent activities with sub-tier Supplies
are the preferred method to manage incoming quality
Acceptance sampling plans are required in the event of
non- conformances or a lack of AQP/PSO equivalent
activities

Lot Sampling Table

ISO/TS-16949 (cl. 7.4.3.1)

10

Incoming/Outgoing Material Certification Plan

How is it different from the Part Handling Plan?

Outgoing Material Inspection Plan

Procedures to qualify outgoing product prior to
shipment to the customer
Includes outgoing acceptance sampling plans for
both attribute and variable data
Documented in the Control Plan
Consider Severity, Occurrence, and Detection
values
Inspected parts identified and traceable to the
process and auditor

11

Element 9- Parts Handling Plan

Containers are clearly marked, e.g. scrap, Work in
Progress (WIP), etc.
The Supplier shall have controls (Control Plan & Inspection
Procedures) in place to identify Work in Process (WIP) and
non-conforming material (e.g. scrap, rework/repair, sorted
and contained material)
WIP requires lot, part #, quantity, and stages
completed
Chrysler returnable containers are not for WIP or sub-tier
Suppliers! This will result in the rejection of the PSO.
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Misuseage of Storage Containers

Rack sitting on top of

Chrysler returnable
containers.

13

Element 9- Parts Handling Plan

Procedures detailing in-process raw material re-stock and
FIFO (First In, First Out) inventory control
Material storage locations clearly identified, adequate
and well-maintained
Storage areas sufficiently sized and located well with
respect to process flow (easy access to product and
safe handling)
Effective method for FIFO stock rotation

14

Storage Racks
Underutilized material
handling Supermarket
area.
With some stock here
and some closer to the
assembly line,
maintaining FIFO and
handling a potential
containment issue
becomes very difficult

15

Element 9- Parts Handling Plan

Procedure for tracking material from one process to another
(travelers, routing cards, etc.)
Pieces repaired/reworked
Lot number
Pieces scrapped
Date
Pieces entering/exiting Operation number and shift

16

Additional traceability
All parts require lot control and traceability within the
Suppliers manufacturing facility.
For parts required to meet the Chrysler Traceability
specification PS-10125, product identification and traceability
shall be maintained and recorded through all stages of
production, delivery and installation.
A minimum, it is mandatory that record keeping track the
usage of lots or batches back to the production date.

17

Traceability

Good example of
stock with
traceability lot
control

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Element 9- Parts Handling Plan

Parts shall have traceability through all stages of
production, including sub-tier Suppliers
Lot size shall not exceed one shift or one production
run, whichever is less
Sorted, reworked or repaired material shall be
traceable back to sort, rework or repair process
Traceability shall be independent of FIFO processes
In other words, failure to follow FIFO will not result
in an inability to trace the part and its components

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Element 9- Parts Handling Plan

Containment of Nonconforming Material
Use of the Supplier Notification of Potential
Nonconformance process
Plan shall include:
Handling and identification of nonconforming product
Maximum time allowed for disposition
o Reviews of quarantined material daily (at a minimum)
Coordination with Chrysler to purge and replace suspect
material
Locked or controlled area for holding nonconforming,
quarantined, or non-production material (e.g. engineering
samples)
o Clearly identified: Part number, number of pieces,
date quarantined, reason for quarantine, and
disposition date.

20

Element 9- Parts Handling Plan

Documentation required:
The Parts Handling Plan shall include:
Identification of Containers
Methods to identify and differentiate rework/repair, scrap, Work
in Process (WIP), etc.
Procedures for in-process raw material re-stock (e.g. Kan-Ban)
First-In-First-Out (FIFO) material control
Procedure by which material is tracked and moved from one
process to another
Containment of nonconforming material and use of Chrysler
Supplier Notification of Potential Nonconformance

Electro-static Discharge (ESD) procedures

(if applicable)
21

Part Storage Area Effective or Ineffective?

Clean floors and organized racks

22

Part Storage Area Effective or Ineffective?

At first glance, this looks

clean and organized
However, the question
should be asked as to the
correct quantity of stock

23

Part Storage Area Effective or Ineffective?

Excessive
scrap or
regular stock?
Potential for
in system
damage

24

Part Storage Area Effective or Ineffective?

Excessive
scrap or
regular stock?
Potential for in
system
damage
Difficult to
maintain FIFO

25

Part Storage Area Effective or Ineffective?

Are returnable
containers
being used for
their intended
purpose?
Appears that
Chrysler is
being used for
WIP.

26

Part Storage Area Effective or Ineffective?

Excess stock
Packaging
garbage
everywhere.

27

Part Storage Area Effective or Ineffective?

High value parts.

Current storage
allows for damage,
thus impacting
quality

28

Part Storage Area Effective or Ineffective?

At first glance, this area looks good.

However, the racks feeding each station are generously large.
Therefore, the presence of additional stock pallets only causes clutter
and forces employees to walk in the jitney aisle.
29

Part Storage Area Effective or Ineffective?

What concerns
do you have
here?

30

Traceability

Operator to
working out of
dunnage bin due to
lack of room for
proper line side
display.
Quality risk
contamination
traceability?

31

Traceability

Confirm that the material

is properly tagged.

32

Wrap up Did we answer the questions?

Answer the question: Part Handling why do I need
another class on this?
Define Part Handling Plan.
Define Supplier Quality Engineers role in Part Handling.
How do Element 9, Part Handling Plan and Element 8,
Incoming & Outgoing Material Certification plan relate?
Distinguish between effective and ineffective Part
Handling Plans.
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Wrap up

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