Process Step/ Function

Requirements

Potential Failure Mode

SAP system failure

Potential Effect(s) of Failure

S E V

C l a s s

Potential Cause(s) of Failure

Main computer failure.

Current Process Controls Prevention

On site and off site IT support.

O C C U R

Current Process Controls Detection

Detected at every workstation

D E T E C

R. P. N.

Recommended Action(s)

Responsibility & Target Completion Date

Receiving

Line Downtime

0 Inventory variance Parts could not be received (missing notification regarding Not possible to unload carrier. upcoming delivery) Not possible to post goods (book in) as goods received. Improper communication from supplier. Supplier production scheduling has daily/weekly/monthly communication with suppliers Detected at receiving. 0

(EDI) DATA not existing No information from Carrier regarding delivery

Not possible to unload carrier.

Not currently using EDI.

EDI receipt not required prior to unloading.

N/A 0

Booking of received goods incorrect executed

Line Downtime Inventory variance Costs for special delivery

Misidentification of received material.

Material identification is not changed by MAHLE. Utilize supplier identification.

Detected at receiving. 0

Goods delivered not according to spec in delivery papers. Incorrect delivery papers.

Inventory variance if not noticed Line downtime late delivery to customer Costs for special delivery

Wrong material sent to MAHLE.

Checked at time of receipt.

Manual verification by material handler. 0

Late or Partial Delivery

Work center downtime Scheduling Problems Non-conforming parts shipped to customer Missed Shipment due to purchased part shortage Inventory variance if not noticed Line downtime late delivery to customer costs for special delivery

Out of stock item.

Central purchasing delivery monitoring and enforcement.

Detected at receiving. And a monthly review of delivery performance. 0

Received with Incorrect Labeling

Miss-identified by supplier.

Central purchasing quality performance monitoring and enforcement.

Detected at point of use. And a monthly review of delivery performance.

Received Goods handling

Various parts on pallet, parts not separated from mixed pallet

Inventory variance Production stop upcoming special delivery

Mixed skid from supplier.

Mixed skids not accepted from Supplier.

Detected at receiving. And a monthly review of delivery performance. 0

Scanning Error

Inventory variance

Not currently scanning supplied materials.

Utilizing supplier material identification.

N/A

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Process Step/ Function

Requirements

Potential Failure Mode

Mixed label on box/material

Potential Effect(s) of Failure

S E V

C l a s s

Potential Cause(s) of Failure

Wrong label applied by operator.

Current Process Controls Prevention

Utilizing bar code labels printed by SAP system at manufacturing operations.

O C C U R

Current Process Controls Detection

Utilizing SAP system.

D E T E C

R. P. N.

Recommended Action(s)

Responsibility & Target Completion Date

Internal Transport (WIP)

Inventory variance

Late or Partial Delivery

Work center downtime Scheduling Problems Non-conforming parts shipped to customer

Late production schedule.

Daily/weekly/monthly reviews of manufacturing past due and delivery metrics.

Daily/weekly/monthly reviews of manufacturing past due and delivery metrics.

Finished goods handling

Damage

Safety hazard Missed Shipment due to production part shortage

Damage from handling.

Material handler qualification/training requirements.

Outgoing and receiving visual inspection by material handler. "Shock watch" system on lift trucks. (Collision detectors.)

Parts are labeled wrong

Inventory variance

Wrong label applied by operator.

Utilizing bar code labels printed by SAP system at manufacturing operations.

Utilizing SAP system. 0

Finished goods warehousing

Scanning Error

Inventory variance Missed Shipment due to part shortage

Wrong label applied by operator.

Utilizing bar code labels printed by SAP system at shipping operation.

Utilizing SAP system. 0

FIFO Error

Non-conforming product shipped to customer

Long term storage of inventory items.

No long term storage of inventory items permitted.

Routine physical inventories. 0

Shipping

Lost master label

Missed shipment *Inventory variance

Lost during transit.

Labels are wired to material using steel wire.

Detected at receipt. 0

Scanning Error

Missed shipment Customer issued RDR (Receiving Discrepancy Report) Administrative fees

Wrong label applied by operator.

Utilizing bar code labels printed by SAP system at shipping operation.

Utilizing SAP system. 0

Incomplete Delivery (Partial Shipment)

Expedite shipment Customer delivery complaint

Late production schedule.

Daily/weekly/monthly reviews of manufacturing past due and delivery metrics.

Daily/weekly/monthly reviews of manufacturing past due and delivery metrics. 0

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Process Step/ Function

Requirements

Potential Failure Mode

Incomplete Documents (No master packing slip)

Potential Effect(s) of Failure

S E V

C l a s s

Potential Cause(s) of Failure

Disorganized administration system.

Current Process Controls Prevention

Utilization of SAP system to generate and organize packing slip and bill of lading.

O C C U R

Current Process Controls Detection

Utilizing SAP system.

D E T E C

R. P. N.

Recommended Action(s)

Responsibility & Target Completion Date

Customer complaint

0 Customs delay

No ASN (Advanced Shipment Expedite shipment Notification) Non payment on shipment Customer complaint Late carrier Expedite shipment Customer complaint

Not currently required by our customers.

N/A

N/A

Carrier equipment failure.

Central carrier performance monitoring and enforcement.

Annual review of carrier performance metrics. 0

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Action Results S O D Actions Taken E C E & Effective Date V C T

R. P. N.

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Action Results S O D Actions Taken E C E & Effective Date V C T

R. P. N.

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Action Results S O D Actions Taken E C E & Effective Date V C T

R. P. N.

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