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					The Nadcap Story

                   Chet Date
          Director, Quality Initiatives
    Honeywell Engines, Systems and Services

                   April 19, 2004

           http://www.pri-network.org
          Agenda

• Nadcap Overview

• Organizational Structure of Nadcap

• Nadcap Process / eAuditNet

• Process Improvement




                 2
             Nadcap

• The leading worldwide cooperative
  program of major companies designed to
  manage a cost effective consensus
  approach to special processes and products
  and provide continuous improvement
  within the aerospace and automotive
  industries.




                  3
                Nadcap Members
        MTU Aero Engines,            Vought Aircraft
        Germany
                                  Raytheon/Beechcraft
      Rolls-Royce plc, England
                                           Air Force, WPAFB
  Pratt & Whitney, Canada
                            Pratt & Whitney, East Hartford
Hamilton Sundstrand
                                                Honeywell
   GSA        NASA

    DCMA           The Boeing Company       Airbus
                                 Cessna Aircraft Company
   Rolls-Royce Corporation
       Fiatavio, Italy Northrop Grumman Integrated Systems
    Sikorsky Aircraft     GE Aircraft Engines Bell Helicopter

             Eaton Aerospace             EADS CASA
    Government Agencies and Contractor Positions on
             PRI Qualification Programs
                                                     Americas                Europe                 Asia
AIRBUS S.A.S.                                              R                     R                     R
Toulouse, France                                    (NDT, HT,COMP)        (NDT, HT,COMP)        (NDT, HT,COMP)
A IR FORCE,                                                R
W PAFB, OH                                        (Seals,SLT)
A VIO S.p.A                                                                     *
Italy*                                                                   (NDT,HT,MTL,CP,
                                                                         CT,W LD,AQS,DIS
                                                                         T,SLT,FLUID)


T HE BOEING COMPA     NY (Commercial Airplanes,            R                     R                     R
Integrated Defense Systems) Chicago, IL              (NDT, HT, CP)       NDT,HT,CP,W LD,       NDT,HT,CP,W LD,
                                                  W LD,NMSE-shot peen
                                                                          NMSE-shot peen       NMSE-shot peen
                                                   only, MTL-Ind. Test
                                                        Lab s only
                                                                         only, MTL-Ind. Test    only, MTL-Ind.
                                                                              labs only)        Test labs only)

CESSNA A    IRCRAFT COMPANY,                               R                     R                     R
W ichita, KS                                       (NDT, HT, MTL, CP,    (NDT, HT, MTL, CP,    (NDT, HT, MTL, CP,
                                                     CT, W LD, SLT)        CT, W LD, SLT)        CT, W LD, SLT)
               BELL HELICOPT ER                            R
               Fort W orth, TX                            (ALL)
Defense Contract Management A   gency                      M
(DCMA   ),
(DoD) Alexandria, VA                                 (NDT, HT, W LD)
EA  DS CA  SA                                                                    P
Spain                                                                           (NDT)
    T
EA ON A    EROSPA       ll
                  CE (A Divisions)                         R
Irvine, CA                                             (NDT,HT,
                                                    MTL,CP,CT,W LD)
GE T RA   NSPORT A IONT                                    R                     R                     R
Cincinnati, OH                                            (ALL)                 (ALL)                (ALL)
           L
GENERA SERVICES A                      T
                            DMINIST RA ION                 R
(GSA  ),
Kansas City, MO                                           (SLT)
HONEYWELL ES & S,                                          R                     R                     R
All OEM Sites                                             (ALL)                 (ALL)                (ALL)
MT U A   ERO ENGINES,                                      R                     R                     R
Munich, Germany                                        (NDT,W LD)            (NDT,W LD)           (NDT,W LD)
NA  SA HQ                                                  M
W ashington D.C.                                          (ALL)
NORT HROP GRUMMA                       T
                           N INT EGRA ED SYS               R
El Segundo, CA                                            (ALL)
RA  YT HEON/BEECH,                                         R
W ichita, KS                                       (NDT,HT, CP,W LD)
ROLLS-ROYCE CORPORA ION,       T                           R                     R                     R
Indianapolis, IN                                          (ALL)                 (ALL)                (ALL)
                ROLLS-ROYCE PLC,                           R                     R                     R
                England                                   (ALL)                 (ALL)                (ALL)
          HA  MILT ON SUNDST RA      ND,                   R
 United Technologies




          W indsor Locks, CT                              (ALL)
     Corporation




               T
          PRA T & WHIT NEY,                                R
          East Hartford, CT                               (ALL)
                     T
                PRA T & WHIT NEY,                          R
                Canada                                    (ALL)
          SIKORSKY A      IRCRA FT ,                       R
          Stratford, CT                                   (ALL)
VOUGHT A     IRCRA   FT ,                                  R
Dallas, TX                                                (ALL)

KEY:   R = Accreditation Required by Prime – Letter sent to Suppliers;    P = Pending Subscriber;
M = Nadcap Member;       A = Accept Nadcap Accreditation;       * Associate Prime

Mandate Letter Anticipated Last Quarter 2003
p-frm-10                                                                                           22-Mar-04
Key Points With Respect to Nadcap

• Nadcap is an industry supported, managed and controlled
  program based on AS7003
• As an industry program subscribing primes and participating
  companies define and control the process
• Nadcap accredits suppliers of processes and products based on
  audit criteria developed through industry consensus
• The goal of Nadcap is to improve quality of product by
  ensuring processors are competent, capable and consistent




                            6
         Performance Review Institute’s
                (PRI’s) History

• November 1985: Government/Industry Equal Partners
  Conference recommends consensus solution to duplication of
  supplier quality assurance systems.
• July 1990: PRI incorporated as a Not-For-Profit Trade
  Association. Launch Nadcap for Aerospace
• July 2000: Roll-out of Nadcap Europe, Derby England
• November 2002: Full Launch of eAuditNet Audit and Review
• October 2003: Roll-out of Nadcap Asia



                                7
                                     Industry-Managed
                                Active Customer Audits/Certs

                   4000                                                                                                     3913
                                                                                                                  3738
                                                                                                    3354
Number of Audits




                   3000                                                                                                  2922
                                                                                        2722 2785          2744
                                                                          2364   2437


                   2000                                     1876
                                              1582
                                                                   1454
                                1182                 1196
                          927          1040
                   1000



                      0
                          1999          2000          2001          2002          2003        2004          2005          2006
                                                                                               Plan         Plan           Plan
                                                                           Year
                                        Audits                      Active Customer Audits/Certs


                                                                            8
    Nadcap Programs
 Special Processes
   – Nondestructive Testing
    –   Materials Testing
    –   Heat Treating
    –   Coatings
    –   Chemical Processing
    –   Welding
    –   Nonconventional Machining & Surface Enhancement
 Systems & Products
    –   Sealants
    –   Distributors
    –   AQS (AC7004)
    –   Fluid Distribution Standards
    –   Elastomer Seals
 Under Development
    –   Composites Fabrication & Adhesive Bonding
    –   Electronics
    –   Fasteners        9
         Agenda

 Nadcap Overview

• Organizational Structure of Nadcap

• Nadcap Process / eAuditNet

• Process Improvement




                10
 PRI/Nadcap Organizational Structure



                           Executive leaders
                           •Legal entity
            PRI Board of   •Fiduciary responsibility
Policy       Directors     •Set policy
                           •Provide the Vision




                   11
                PRI Board of Directors

 Dick Pocock                                Raymond A. Morris
    Vice President Quality Assurance           Executive Vice President
    Honeywell                                  SAE
 Sandra Postel                              Christopher Hayes
    VP Quality                                 Director Of Material, Air Combat
    Boeing Commercial Airplane Group            Systems
 Bill Black                                    Northrop Grumman
    Executive VP, Quality & Integration     Jean Senecal
    Airbus Industrie                           Manager Supply Chain Quality
 Rob Johnson                                   GE Aircraft Engines
    Global Purchasing Director, Supplier    Mariano Alonso
     Development & Value Improvement            Executive Vice President of Quality and
    Rolls-Royce, plc                             Human Resources
                                                EADS-CASA
                                             Tesfaye Aklilu
                                                Vice President Quality
                                                United Technologies Corporation
                                            12
 PRI/Nadcap Organizational Structure



 Policy                                  PRI Board of
                                          Directors


            Nadcap Executive Strategic
                 Planning Board

Strategic           (NESPB)



            Senior Quality Leaders
            •Develop strategic plan and vision
            •Promote Nadcap among prime contractors
            •Support launch of new task groups
            •Promote continuous improvement




                                   13
                                         NESPB
                 (Nadcap Executive Strategic Planning Board)


 Nigel Picken, Co-Chair                               Deb Harrison
   • Manager Supplier Quality                            • Deputy Director, Supplier Quality
   • Rolls-Royce, plc                                    • DCMA Contract Technical Operations
 Teresa O’Leary, Co-Chair                             Michael Song
   • Director, Quality                                   • Director, Field Operations/Procurement Quality
   • Cessna Aircraft Company                             • The Boeing Company
 Mike Buffington                                      Michelle Scarpella
   • Manager, Sourcing Quality                           • Supplier Quality Manager
   • GEAE Aircraft Engine Supply Chain                   • Northrop Grumman Corporation
 Chet Date                                            Julio Perez Caballero
   • Director Quality Initiatives                        • PQ Strategy Manager Development
   • Honeywell Engines, Systems & Services               • Airbus
 Lloyd Barker                                         Doug French
   • Director Corporate Quality Assurance                • Director Quality
   • Howmet Corporation                                  • Vought Aircraft Inds., Inc.
 Arne Logan (NMC Chairman)                            Doug Scussell
   • Sr. Mgr. Procurement Quality Assurance,             • Manager, Quality & Standards Labs
     Nadcap Project Leader                               • Pratt Whitney
   • Boeing Company/Commercial

                                               14
 PRI/Nadcap Organizational Structure



 Policy                                     PRI Board of
                                             Directors

               Nadcap Executive Strategic
                    Planning Board
                       (NESPB)
Strategic
                  Nadcap Regional
                  Advisory Bodies

    Senior Quality Leaders
    •Develop strategic plan and vision
    •Promote Nadcap among prime contractors
    •Support launch of new task groups
    •Promote continuous improvement




                                    15
   European Regional Advisory Body
 Julio Perez Caballero, Chair     Nigel Davies
     Airbus                           Honeywell
 Pedro Arroyo                     Thomas Ginthner
     EADS CASA                        Boeing
                                   David Jimenez
 Gary Baker
     Boeing                           EADS CASA
                                   Ralph Kropp
 Jon Biddulph
                                       MTU
     Rolls-Royce plc
                                   Francesco Narici
 Donald Boulton                       Avio Group
     Rolls-Royce plc
                                   Palcido Rodal
 Franz Buckl                          ITP – Supplier Representation
     MTU                          Petr Tkadlcik
 Cristobal Casado                     Honeywell
     EADS CASA                    Camille Valmy
                                       Airbus


                                 16
     PRI/Nadcap Organizational Structure


 Policy                                         PRI Board of
                                                 Directors
                    Nadcap Executive
                Strategic Planning Board
                        (NESPB)

Strategic
            Nadcap Regional
            Advisory Bodies
                                                   Nadcap
                                                 Management
                                                Council (NMC)


Tactical                      Senior quality leaders & managers
                              •Oversee operation of Nadcap
                              •Establish & implement policy & procedures
                              •Task group coordination & development
                              •Identify, develop and deploy improvement



                                           17
  Nadcap Management Council (NMC)

 Arne Logan, Chairperson                        David Soong
    - The Boeing Company                           - Hamilton Sundstrand
 Debra Harrison                                 Doug Bruce
    - DCMA                                         - Raytheon Aircraft
 Dan Smith                                      Alan Fletcher
    - GEAE Aircraft Engines                        - Air Force, WPAFB
 Frank Gritsko                                  Chatt Rhodes
    - Sikorsky Aircraft                            - CESSNA Aircraft Company
 Chet Daté                                      John McBrien
    - Honeywell International                      - General Services Admin.
 Mehmet Doner                                   Manfred Podlech
    - Rolls-Royce Corporation                      - MTU Aero Engines
 Jay Park                                       Dianna Berube
    - Northrop Grumman Integrated Systems          - Pratt & Whitney
 Camille Valmy                                  Chris Diepenbrock
    -   AIRBUS                                     - The Boeing Company
 Andy Dale                                      Michael Spencer
    - Eaton Aerospace                              - Vought Aircraft
                                            18
     PRI/Nadcap Organizational Structure

 Policy                                              PRI Board of
                                                      Directors



                     Nadcap Executive
Strategic        Strategic Planning Board
                         (NESPB)



            Nadcap Regional                             Nadcap         Administrative
            Advisory Bodies                           Management          Staff
Tactical                                             Council (NMC)




                           Task Groups                                 Supplier
                           Special Processes                           Support
                        Nondestructive Testing                        Committee
                           Materials Testing
                            Heat Treating
                               Coatings
                                                   Technical Experts
                                                   •Determine requirements
Technical                Chemical Processing
                               Welding
                                                   •Develop documents
                         NCM/Shot Peening
                          Systems & Products       •Accept corrective action
                             Distributors
                      Sealants, Elastomer Seals    •Final decision on accreditation
                            AQS (AC7004)
                      Fluid Distribution Systems

                                 19
                       PRI/Nadcap Organizational Structure
                                                                                                Executive leaders
                                                                                                •Legal entity
                                                                          PRI Board of          •Fiduciary
                                                                           Directors            responsibility
                                                                                                •Set policy
                                                                                                •Provide the Vision
Senior Quality Leaders
•Develop strategic plan and vision               Nadcap Executive
•Promote Nadcap among prime contractors      Strategic Planning Board
•Support launch of new task groups                   (NESPB)
•Promote continuous improvement

                                                                             Nadcap             Administrative
                                        Nadcap Regional                    Management              Staff
                                        Advisory Bodies                   Council (NMC)




                                               Task Groups                                      Supplier
                                               Special Processes                                Support
                                            Nondestructive Testing                             Committee
                                               Materials Testing
                                                Heat Treating
                                                   Coatings             Senior quality leaders & managers
                                             Chemical Processing        •Oversee operation of Nadcap
                                                   Welding              •Establish & implement policy & procedures
     Technical Experts                       NCM/Shot Peening           •Task group coordination & development
                                              Systems & Products
     •Determine requirements                     Distributors
                                                                        •Identify, develop and deploy improvement
     •Develop documents                   Sealants, Elastomer Seals
     •Accept corrective action                  AQS (AC7004)
     •Final decision on accreditation     Fluid Distribution Systems


                                                               20

				
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