NMC STANDARDIZATION COMMITTEEFEBRUARY 2014

CONFIRMED

CONFIRMED MINUTESFEBRUARY 25, 2014

LONDON, UNITED KINGDOM

These minutes are not final until confirmed by the Committee in writing or by vote at a subsequent meeting. Information herein does not constitute a communication or recommendation from the Committee and shall not be considered as such by any agency.

TUESDAY, FEBRUARY 25, 2014

1.0 OPENING COMMENTS

1.1 Call to Order / Quorum Check

The Nadcap Management Council (NMC) Standardization Committee was called to order at 8:30 a.m., 25-Feb-2014.

The meeting was restricted to Committee members as well as NMC members and invited guests.

Quorum was established with the following representatives in attendance:

NMC Voting Members Present

NAME COMPANY NAME

* David Bale Pratt and Whitney Canada* Pascal Blondet Airbus* Richard Blyth Rolls-Royce PLC* Robert Bodemuller Ball Aerospace & Technologies* Katie Bradley Lockheed Martin Corporation* Michael Brandt Alcoa, Inc.* Mark Brown Kaman Aerospace* Christian Buck SAFRAN Group* Robert Cashman Parker Aerospace Group* David Cianfrini BAE Systems, Electronic Systems* Russell Cole Northrop Grumman* Jim Cummings Metal Finishing Company* Robert Custer AAA Plating & Inspection Inc.* Harold Finch Spirit AeroSystems* John Haddock BAE Systems Air & Information (MAI)* Scott Iby Hamilton Sundstrand (UTAS)* Eric Jacklin FM Callahan & Son* Jason Jolly Cessna Aircraft* Robert Koukol Honeywell Aerospace* Daniel Lecuru Airbus Helicopters* Jeff Lott The Boeing Company* Frank Mariot Triumph Group* Steve McGinn Honeywell Aerospace Chairperson* Robin McGuckin Bombardier Aerospace* Dave Michaud Fountain Plating Co.* Ana Ottani dos Santos Embraer* Fabrizio Quadrini AgustaWestland* Mark Rechtsteiner GE Aviation* Per Rehndell GKN Aerospace Sweden AB* Michael Schleckman Voss Industries, Inc.* Victor Schonberger Israel Aerospace Industries* David Soong Pratt & Whitney* Kevin Ward Goodrich (UTAS)

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Other Attendees

NAME COMPANY NAME

Hidekazu Furugori Mitsubishi Aircraft Company Pending SubscriberTom Newton Aircraft X-Ray LaboratoriesTatsuko Suzuki Mitsubishi Aircraft Company Pending SubscriberDavid Trawinski Lockheed MartinStanley Trull Honeywell AerospaceAngela Vitali Alenia Aermacchi

PRI Staff Present

Mark AubeleRebekah GondekMike GrahamScott KlavonJim LewisJon Steffey

1.2 Review of Nadcap Code of Conduct and Meeting Conduct

It was noted that this meeting is restricted to NMC Voting Members only. The following attendees were invited guests of the Chairperson, Steve McGinn:

Hidekazu Furugori Mitsubishi AircraftTom Newton Aircraft X-Ray LaboratoriesTatsuko Suzuki Mitsubishi AircraftDavid Trawinski Lockheed-Martin (Ft. Worth)Stan Trull HoneywellAngela Vitali Alenia Aermacchi

The attached presentation addressing Code of Ethics and Conflict of Interest was reviewed. Meeting attendees were reminded of the Code of Conduct and Conflict of Interest documented in the Attendees Guide on page 7 which should guide all in their participation in the meeting.

1.3 Membership

Membership was reviewed. The following were added to the Committee:

Ana Cristina Ottani Dos Santos (Embraer S.A.)Fabrizio Quadrini (AgustaWestland)David Bale (Pratt and Whitney Canada)Russell Cole (replacing George Winchester- Northrop Grumman)

1.4 Approval of Previous Meeting Minutes

A motion was made and seconded to approve the October 2013 NMC Standardization Committee minutes as written. Motion Passed.

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2.0 RAIL

Mike Graham reviewed the current “open” RAIL items with the team. NMC agreed to close all items recommended for closure in the attached RAIL. (These items list a 25-Feb-2014 closure date).

3.0 NEW NOP-012 “AUDITOR CONSISTENCY” IMPLEMENTATION UPDATE

Richard Blyth updated the committee on current activities.

NOP-012 was approved in 08-Nov-2013. Meetings were held with available Task Group (TG) Chairs and Staff Engineers (SE) in October 2013 during the Nadcap Meeting to review the milestone plan and answer any questions. A conference call was held with the Nonconventional Machining and Surface Enhancement (NMSE) Task Group in November 2013. On 06-Dec-2013, a conference call was held for all SE’s, TG Chairs and Vice Chairs invited. A roundtable discussion is scheduled for 26-Feb-2014 (during this week’s meeting) for Task Groups to provide an update and an opportunity for Q&A. Roundtables will also be conducted during the June and October 2014 Meetings. During the 26-Feb-2014 Meeting, Task Groups will be asked to provide monthly status updates to Mike Graham and Richard Blyth on their progress toward the milestone plan using a standard template.

Questions were raised regarding feedback to date. Mike Graham and Richard Blyth responded that the major concern so far involves resources to support the Oversight Audit Program. No response was received from auditors as a result of the notification issued 21-Nov- 2013.

No further action identified.

4.0 SMART CHECKLIST UPDATE

Bob Koukol provided an update as indicated in the following attachment.

Revise NTGOP-001 to allow Modified Scope audits(Completed 8-JAN-2014)

TG’s revise NTGOP-001 Appendix WLD Ballot closed 7-FEB-2014 (90 Day Implementation) CP Ballot closes 24-FEB-2014 (90 Day Implementation)

Smart Checklist functionality turned on for affected checklist

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(Estimated June 2014)

Train auditors and TG in eAuditNet display changes (Completed October 2013)

Richard Blyth asked when this will be introduced to the other Task Groups. Bob Koukol replied “the end of 2014”.

5.0 NOP-011 “FAILURE/RISK MITIGATION”

Mike Graham provided the following update on the status of implementation of eAuditNet enhancements to support the revised NOP-011.

Summary- Revised NOP-011 formally released and notification issued to all parties 11-Feb-2014. 90 day notice required- so the procedure will be effective for audits conducted after 18-May-2014.

Concerns expressed about communication with affected parties: Kevin Ward, Pascal Blondet and Mike Graham will draft a communication to NMC and

the Task Groups informing them of these changes by 15-Apr-2014. Ref: existing Action Item #155 .

Concerns also expressed about the SE role. The procedural requirements were reviewed that state that the Review Team is responsible to review supplier responses and input their results into eAuditNet. Significant discussion occurred on the process- but the end result is that it is going forward once the required changes are incorporated into eAuditNet. We understand that we will learn from this process and process/procedural changes will be made as necessary.

No new action resulted.

6.0 NOP-011 MODE B (NUMBER OF FINDINGS) FAILURE CRITERIA

Victor Schonberger reviewed the presentation including a summary of current TG Mode B Failure criteria.

The following recommendation was made:

Creation of a “Standing Team” to provide annual oversight and definition of its scope of activity. Location of the Team: Metrics or Standardization

Discussion: Question was asked regarding where TG’s stand in relation to the 95-98% requirement. A lot of debate around whether a committee should established and where (metrics, standardization, oversight).

Jeff Lott proposed that each Task Group could include a presentation on their Mode B failure criteria (theoretical vs actual) and an explanation of rationale for choosing the current criteria

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during their report out at the Plannning and Ops (P&O) Meeting. (when selected Task Groups report out).

Need feedback from Materials Testing Laboratories (MTL) Meeting with Kevin Ward, Richard Blyth, and MTL Leadership scheduled for Feb 26, 2014 at 8am.

A standing team was appointed (in Standardization) to monitor Mode B Failure Criteria. Team Lead Victor Schonberger. Other Team Members- Bob Koukol, Pascal Blondet, Richard Blyth.) (Team was approved 11 “for” and 9 “against”)

ACTION ITEM: M. Graham to add a report out on NOP-011 Mode B Failure criteria as Standard Agenda Item to TG reports at P&O Meetings starting in June 2014. What are criteria and rationale? MTL and NonDestructive Testing (NDT) First up in June. (Should they have a standard template they need to complete? actual 95-98% data vs where they have established the limits and their rationale) (Due Date: 24-Jun-2014)

7.0 EXPORT CONTROL

David Soong (Sub-team Lead) reviewed current status. Export Control is now a formal Sub-team of Ethics and Appeals Committee.

Katie Bradley and David Bale requested to be added to the Sub-team. (David Soong has taken these names and will include them in the invitation for the next team meeting.)

A great deal of discussion ensued. David Bale asked if the process could be expedited.

8.0 SUPPLIER VOTING MEMBERSHIP PROCEDURES AND POLICIES. (ORIGIN- OCTOBER 2013 NMC STEERING COMMITTEE)

Should Task Groups have standard rules regarding the number of Supplier vs. Subscriber Voting Members?

The NMC Standardization Committee reviewed the current procedural requirements regarding Supplier Voting Membership. NOP-001 places limits on supplier voting members for NMC at 50% of the Subscriber Voting Members. It does not limit the number of supplier voting members. The General Task Group Operating Procedure does not impose limits either.

Three (3) Task Groups impose restrictions (via their NTGOP-001 Appendices) on either the number of supplier voting members or on the number of votes allowed during a meeting. Significant variation exists.

ACTION ITEM: Sub-team appointed to further investigate supplier voting requirements. Need to set criteria: Team: Kevin Ward (Lead), Pascal, Bob Bodemuller, Victor Schonberger, Bob Koukol, Mike Schleckman, Mark Rechtsteiner, Mike Brandt, Dave Michaud, Mark Brown, Harold Finch. (Due Date: 24-Jun-2014)

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9.0 REQUIREMENTS FOR SELF-AUDITS. (ORIGIN- OCTOBER 2013 NUCAP MEETING)

NUCAP requires a self-audit prior to any PRI conducted audit. If on 18 month merit, a self-audit would be required every 18 months which may conflict with Task Group requirements. Recommendation on how to resolve this issue?

Mike Graham reviewed data summarizing TG Requirements for Self Audits and Internal Audits. The majority of Task Groups require self audits against the applicable Nadcap Checklists prior to their Nadcap Audit. (Other TG’s state that the supplier “should” conduct a self assessment prior to the Nadcap Audit.) Two Task Groups include a checklist question verifying compliance with this requirement.

Internal audits-the majority of Task Groups require internal audits. Two Task Groups define a specific frequency (annual) while the others require “periodic”, “as defined by procedure” or “as defined by internal procedure or customer”.

Mark Aubele stated that NDT imposes the annual requirement since it is required by several Subscribing Primes.

Kevin Ward requested a team to look into this. Team to recommend a standard approach for all Task Groups for Self Audits and Internal Audits.

ACTION ITEM: Sub-team appointed to propose standard requirements for self audits and internal audits. (Focused on Nadcap requirements not NUCAP) Team: Steve McGinn (Lead), Pascal Blondet, Jeff Lott, Robin McGuckin, Ana Ottani, Richard Blyth, Frank Mariot, Bob Koukol, Fabrizio Quadrini, Kevin Ward, Daniel Lecuru. (Due Date: 25-Jun-2014)

10.0 NADCAP MAINTENANCE OF AUDITOR QUALIFICATIONS. (ORIGIN- OCTOBER 2013 NUCAP MEETING)

How do Task Groups address any changes in Auditor Qualification Criteria with the existing auditor population?

Mike Graham reviewed current status with Nadcap Commodities.

A survey was distributed to all TG SE’s asking if they’ve increased qualification requirements for auditors since 2009. All commodities responded that qualification requirements were not increased during this time. A review of the procedures found that there was room for improvement. Mike Graham recommended revisions to NTGOP-001 and NIP 6-01 to address changes in auditor qualifications and Task Group actions required.

The NMC agreed to ballot but they request that the documents be submitted to them on an informal 14-day ballot requesting feedback. After implementing any requested changes, Mike Graham to initiate the ballot process for both procedures.

ACTION ITEM: M. Graham to distribute draft NTGOP-001 and NIP 6-01 to NMC Subscribers (Standardization Committee) for feedback. (Due Date: 22-Mar-2014)

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ACTION ITEM: M. Graham to initiate formal ballots of both documents (NTGOP-001 & NIP 6-01). (Due Date: 4-Apr-2014)

11.0 ACTION ITEM REVIEW

Mike Graham reviewed action items to ensure they are complete and accurate. Action items resulting from today’s meeting were confirmed. Items closed during this meeting were also agreed.

ADJOURNMENT – 25-Feb-2014– Meeting was adjourned at 11:26 a.m.

Minutes Prepared by: Michael Graham (mgraham@p-r-i.org)

***** For PRI Staff use only: ******

Are procedural/form changes required based on changes/actions approved during this meeting? (select one)

YES* ☒ NO ☐

*If yes, the following information is required:Documents requiring revision: Who is responsible: Due date:NTGOP-001 M. Graham 4-Apr-2014NIP 6-01 M. Graham 4-Apr-2014