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IATF 16949:2016

Ultimate Guide to IATF 16949:2016 Transition

IATF 16949:2016 has been built on the foundation of healthy QMS which aims to be helpful in doing continuous improvement, avoid defects and help minimizing rework due to product flaws, waste reduction, high tech embedment of software and ensured product safety.

Why IATF 16949 Was Updated?

The main reasons behind updation of IATF 16949 are as follows:

  • Better integration with other management systems and ISO Standards
  • High quality results with continual improvement cycle
  • Active engagement of top leadership management team
  • Mitigation of potential risks and hazards along with development of risk based thinking approach

What IATF 16949:2016 Will Bring To Your Business Results?

Along with multiple benefits, IATF 16949:2016 can bring guaranteed below benefits to your business:

  • Process Improvement

IATF 16949:2016 helps to facilitate continuous improvement and its embedment in the current management system of your organization. Moreover, the newer version of the standard makes monitoring and improvement pf the process more visible to the management.

  • Opening New Business Doors

Exhibition of human and machine safety, results reliability and accuracy and top notch traceability of results is ensured when one implement newer version of IATF standard.

  • Efficiency Boost

Time, money and resources can be saved to a greater extent after implementation of new version of IATF standard.

  • 100% Compliance

Risks assessment and mitigation at all levels with complete compliance can be ensured with this new version of IATF.

  • Motivation and Engagement of Peers

Getting internal processes more efficient makes employees’ engagement to the utmost levels making them feel more motivated.

  • Supplier/ Vendor Relationship

OEM in automotive sector will be more inclined in offering their services once you get certified with new version of IATF.

To Find out more about IATF 16949:2016 Transition, get in touch with Sync Resources Expert Team and We will get Back to you in no time!

IATF 16949:2016 Key Requirements

Clause # 01 – Scope

To cover products with embedded software is mandatory requirement of IATF 16949:2016.

Clause # 02 – Normative References

Fundamental QMS Vocabulary is being referenced so that valuable guidance can be provided.

Clause # 03 – Terms and Definition

Accessory Parts, Challenge parts, Total Preventive Maintenance, Production Shutdown, Outsourced Processes, Special Status and Manufacturing Services are one of few terms that are being introduced in IATF 16949:2016.

Clause # 04 – Context of the Organization

Internal and External issues must be identified that are more relevant to QMS or that support QMS to the core having an impact on organizational control with intended outcomes. Interested Parties that are more closely connected to the QMS must be identified which may include company’s stakeholders, potential and existing customers, regulatory pressure bodies and other pressure bodies (if existent) aligned with strategic direction of the organization. Thirdly, it is important to define the scope of QMS which should include specific identified functions by any supporting functions that are being outsourced or processes that needs to be outsourced must be under the scope of QMS. Continuous improvement in QMS must be established, implemented and maintained with define controls according to the requirements of IATF 16949:2016. The process approach should contain documented information containing process flow diagrams, written procedures or risk assessments with mitigation plans. Moreover, another new section of IATF 16949:2016 has been introduced by the name of Product Safety. The standard contains listed documented processes for product management and product safety that should be designed to address the current and other emerging issues which automotive sector has been facing.

Clause # 05 – Leadership

The team that provides direction and control the organization at top level is leadership team. One of the major requirement of IATF 16949:2016 is holding top management responsible to drive change at all levels. The new version of the standard required top management to show increased involvement with greater responsibility in order to ensure the integration of organizational systems with standard’s guidelines. It is the core responsibility of top management to ensure to get QMS communicated, implemented and monitored throughout the organizational layers. Top management of leadership should have a microscopic zoom to maintain customers’ satisfaction levels by exploring innovative opportunities that are additionally cost effective too. Leadership team must be able to perform SWOT analysis and act on it accordingly i.e. minimization of threats, conversion of weaknesses into strengths and availing opportunities for multiple improvements.

Clause # 06 – Planning

Nothing can be accomplished without proper planning of organizational processes. The first segment of planning clause is Risk Assessment while the second segment concerns with Risk Treatment. All the potential risks should first be identified along with opportunities for improvement. An action plan must be made on realistic grounds indicating to address both risks and improvement opportunities. Establishment of quality measures is another need of Planning clause. It should be kept in consideration that the quality objectives being fabricated must be aligned with quality policy leading to the enhancement of customers’ satisfaction. Other supplemental requirements may include risk analysis where the need of considering and addressing the specific risks relevant to automotive sector so that risk mitigation strategy can be designed and implemented across the group. The last part of the clause deals with change management and its systematic implementation. Management could be enabled to identify all the possible consequences of changes and the allocation of the resources.

Clause # 07 – Support

Assured management support must be there so that relevant resources, right people and strong infrastructure can be built up. Moreover, support system must be that strong that it can ensure all the mandatory resources to set up, implement, maintain and continually improve QMS. Enhanced requirements in the clause stresses over covering of calibration and verification records. Mandatory laboratory functions like inspection, testing and equipment calibration from internal and external certified laboratories. As far as measurement and laboratories’ functions concern, organizational resources must be developed in terms of employees’ competency levels and training.

Clause # 08 – Operation

Organizational processes includes all the official plans and manufacturing processes that an organization requires to meet customers’ requirements and the level of services customers’ expects. The new version of the standard highlights the requirements of written as well as verbal communication in terms of formats and languages to be used. The usage of prototype programs and final product approval system where retention of records and products and services which are outsourced have become regulatory requirement. Other sub-clauses refers to the proper channel for selection criteria of suppliers and vendors, management, measurement ways, importance of managing risks in particular with products’ quality which might reflect to make use of technology. An additional requirement for products that have been reworked due to some faults in quality and strict control of non-conforming products. Scrap management and disposal following proper guidelines must be ensured at all levels of supply chain.

Clause 09 – Performance Evaluation

Internal audits on risk based approach must be established on periodic basis whereas audit criteria is mandatory to be defined and reported to relevant management. Competency and qualification of internal auditors must be strengthened by classroom training and relevant field work. However, the requirement of management reviews remains the same. Documented information like minutes of meeting of management reviews must be saved and recorded as an evidence of management reviews. Performance evaluation can be done by monitoring, measurement, analysis of performance of the team.

Clause # 10 – Improvement

Opportunities for improvement must be identified in terms of organizational processes and services so that customers’ satisfaction level can be enhanced. There are no preventive action requirement for this clause as new methods to handle preventive actions have been devised. The scope of Continuous improvement have been reached to the sustainability and effectiveness of QMS but the path of achieving continuous improvement has not been defined in the standard. Analysis on customer complaints have been made a significant part of the standard.

About Sunita Verma

Sunita Verma, Founder and President of Sync Resource started the company in 2009 with a vision to provide management consulting to small & medium size businesses around the country. Sunita holds a Master’s Degree in Mechanical Engineering from Cleveland State University, Cleveland, Ohio, Bachelors in Mechanical Engineering(India) with prestigious gold medal by then President of India and renowned Scientist Dr Abdul Kalam Azad. As an active philanthropist she believes in pay it forward and is a contributing member of charitable organizations like St. Jude’s Foundation and North Fulton Charities.

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