After PSA and FCA combining into Stellantis group, both organizations began to unify the requirements resulting from synergy. The following article presents the top 10 changes that you need to know about working with this client.
Knowing these changes is important as we are still waiting for an update to Stellantis ex-FCA Customer Specific Requirements (CSR), which do not yet cover them.
New names for milestones
As a standard, the two phases preceding serial production were referred to Process Verification (en PV – Process Verification) and Pre-Series (PS). Currently, both of these names have been changed as follows:
Process Verification changes its name to First Off Tool Parts Delivery Agreement (MPRM)
Pre-Series becomes PPAP milestone (X2)
Additionally, the client defines intermediate steps in the milestones, which are identified as:
X0: Supplier Tooling Kick-Off
X1: between MPRM and X2 – new milestone
X2: PPAP milestone, which is the former Pre-Series
X3: Capacity assessment – Run 2 (minimum 3 production hours) – a new milestone
Capacity Assessment Procedure (CAT) replaces Production Demonstration Run
From July 2022, Stellantis ex-FCA introduces a new form for carrying out the capacity assessment – CAT. This change not only applies to the former FCA group in Europe, but also to North America and the former PSA.
Additionally, there is a new intermediate step in assessing the production capacity. Their structure is presented below:
- CAT1 (ex PDR1) – Production capacity performed at milestone X2 for 2 hours or 300 units. This activity is managed by a customer representative
- CAT2 – This is a new requirement assigned to the milestone of Capacity assessment – Run 2 (X3) performed 8 weeks before the SOP. The verification is carried out for a minimum of 3 hours of production and is also managed by the customer’s representative
- CAT3 (ex PDR2) – Production capacity performed before SOP for the all production day. Contrary to the previous ones, this activity is performed directly by the organization without the participation of the client’s representative. Of course, if we are identifying as a performance-critical supplier then this activity will be monitored, just like the previous two steps, by the client
A new way of quality complaints calculating in Incoming Material Quality
The standard approach in cooperation with a Stellantis ex-FCA client was to calculate quality indicators based on PIQ, and logistics indicators based on PL. At present, qualitative indicators are calculated in relation to Incidents per Billion (IPB), ie in relation to quantity instead of weight, as has been the case so far.
However, the calculation of the PL indicator does not change. The gravity of the issue that we have caused at the customer is still important, and all indicators with weights are in the 08018 standard.
Incoming Material Quality – no yellow color in customer evaluation
IMQ is an assessment avaliable in the Supply Quality Performance (SQP) portal. Another name that also appears on this topic is – Bid List. Until now, the customer rating has been three color, depending on our quality performance – green, yellow or red.
Currently, yellow is not applicable and we are graded “green” with a score greater than or equal to 80 or “red” with a score lower than 80.
Critical Incident 0-km replaces Major Quality Problem (08018 index 9 with a weight of 90)
The indicator, as before, will affect the Bid List (IMQ) for 6 months. Each of appearances will result in the obtaining of 1 penalty point.
3rd Party Containment & Problem Resolution replaces CSL
If you have previously supplied car engine components, this acronym is well known to you. However, for the vast majority it is certainly new.
3CPR activity replaces CSL Level 1 and Level 2. It is related to the customer’s escalation and is associated with the activation of 100% control using the supplier’s resources (level 1) or an external company (level 2) indicated by the customer.
Yard Hold indicator developing
Yard Hold was one of the most “painful” customer escalations. Why “was”? Because previously as much as 20 pentaly points were assigned in the Bid List. Additionally, remember that a qualitative indicator is always issued in tandem with Yard Hold. That is why it is so severe in the consequences.
- Currently, it has been modified with in following way:
- With supplier alert (- 5 points)
- Withut supplier alert (-10 points)
As you can see, even in the second case, the YH will not significantly affect the performance, as before (-10 points vs -20 points before the changes).
New Business Hold
The NBH indicator has been added to the “SQD Escalation” tool group. It also includes the two new indicators ESC Level 1 and ESC Level 2. The scores for the NHB, however, remain unchanged. Automatically we get -100 points, having finally 0 in the period of its duration.
Supplier Relationship Mass Production vs. Forever Requirements Violations
The FRV indicator was previously assigned to point 20.1 in the 08018 standard. Currently, the client has created the “Unauthorized change” indicator assigned to the complaint no. 32.
Lack of IATF certificate consequences
The previous lack of certification resulted in the supplier being immediately “red” in IMQ. Currently, the client awards -25 penalty points for the lack of a certificate, so …
Nothing changes because according to the new approach, the range from 61 to 79, which was previously rated “yellow”, has now been removed. To sum up, having 75 points in the Bid List, we are still in the red range (0-79). This means that we cannot take part in new business.
Stellantis ex-FCA – summary
As you can see, it is worth carefully analyzing the requirements of this client. The synergy between FCA and PSA will continue. In addition to the aforementioned changes, the Stellantis group also unified the vocabulary related to terms in the scope of warranty.