1- Control of Non-conforming Product

Type 2 Nonconformance notification

Floor Plan – Hold Area, Quarantine Area, Scrap AreaOutdoor Storage Plan

SOP-0000 Control of Non-conforming Product & Materials

Start

Unidentified, unlabelled or non-conforming materials or products found during

Internal/External, Process or Customer Audits, health & safety audits, Materials

Management or by housekeeping are

segregated and identified as non-conforming

WI-______Process AuditWI-____ Health & Safety AuditWI-5021 Safe Handling of ChemicalsWI-7002 Handling and Storage of Raw Materials

Identification & SegregationAs applicable, Supplier Quality Specialist or Quality Assurance Supervisor

ensures suspect or known non-conforming materials are clearly identified & segregated or moved to designated HOLD/Quarantine area

Customer returns non-conforming product or notifies The Company of

Warranty issues resulting in known or

suspect Non-conformances

Customer CommunicationCustomer Corrective Action Request

Quality Assurance Department

upon notification from Supplier,

initiates action to trace, identify &

segregate suspect/non-conforming materials

WI-____ Processing of Defects

Notification by Supplier of defective

Shipped PartsExternal Returns

Engineering Design change results in

obsolete materials which must be identified and segregated

SOP-0011 Change Control –Product, Process, Sourcing

In-Process Handling / Production

Engineering

Process/ Customer / Health & Safety Audits, Materials

Management & Housekeeping

Respective Test/Audit results in

identification of non-conforming product

Per Quality Inspection and Test Plan (QITP)

Annual Validation Testing

Receiver/Quality Assurance identify & segregate suspect or non-conforming materials during inspection of incoming

material or supplier qualification

WI-7001 Receiving Inspection of Raw MaterialsWI-7000 Bulk Tanker OffloadingWI-5011 Testing Version DensityWI-5012 Testing Version Pot LifeWI-5013 Testing Version ViscosityWI-5014 Testing IsocyanatesWI-5015 Testing Version ResinWI-5018 Receiving Inspection of Fibreglass

Receiving Inspection - Supplier Qualification

5.2 Customer Focus7.2.3 Customer Communication7.4.3 Verification of Purchased Product7.5.5 Preservation of Product7.5.3 Identification & Traceability8.3 Control of Non-conforming Product 8.3.1 Control of Non-conforming Product - Supplemental8.3.3 Customer Information

4.2 Quality Requirements4.6 Periodic Re-qualification 4.16 Customer Feedback

Production and/or Quality Assurance Personnel identify &

segregate known or suspected non-conformances

WI-3043 Isocyanate and Resing HandlingWI-3039 Nitrogen BlanketingWI-3044 Resin Agitation TotesWI-5003 Cup TestWI-5006 Ratio CheckWI-5016 Gel Time TestWI-5002 Process InspectionWI-3001 Cutting Modules to Length and WeighingWI-3009 Drilling Modules – Standard HolesWI-5005 Physical and Dimensional InspectionWI-5004 Marking, Drill Hole, Slot InspectionWI-5007 Module DispositionWI-7003 Transfer of ModulesWI-7004 Order PreparationWI-3010 Packaging and Shipping PolesWI-3045 Cutting Poles to Length & Top CapsWI-3042 Custom DrillingWI-3014 Preparing Module & Pole ID TagWI-5027 Shipment Inspection

Incidents of known or suspected product or process non-conformances

may arise or be identified during the implementation of any of the activities identified

below (blue boxes). The respective controls, responsibilities, and

authority are detailed in the applicableWork Instructions (red text) identified under each of the individual scenarios

4.2.4 Control of Records

As applicable:Inspection Labels

On Hold – FAIL Tag (F-5004)NCR – Quarantine Tag (F-5011)Customer Notification/Warranty IssueCustomer-specific Requirements (Type 1 and Type 2 Non-nonconformance)

Determine disposition AuthorityQuality Lab Technician

per applicable Work Instruction assesses suspected or identified non-conforming materials/products to determine the Disposition authority

Type 1 Authority: The CompanyType 2 Authority: Customer

Go to A

Laboratory/Finished Product Testing

Quality Assurance Personnel identify & segregate known or suspected non-

conformances

WI-3040 Preparing Test Specimens from ModulesWI-5000 Flex Strength & Modules TestWI-5001 Interlaminar Shear Strength Testing of Tubular Composite SamplesWI-5008 Density, Void Content and Glass Content Test

See CSR…...Type 1 and Type 2

Processing Non-conformancesQuality Lab Technician

per applicable Work Instruction1) Implements Customer-defined dispositioning instructions or2) Determines & assigns disposition of one of the following:

- Return to Source - Scrap - 3rd Party Sort - Rework/reuse - Send to Lab for testing - Hold - Customer/Internal Waiver

3) communicates disposition status as applicable to ensure that customers are promptly informed of issues which might impact them (Supply Chain Coordinator notifies customer of any actual or potential supplier issues, or potential supply or capacity issues and Q.A. Manager notifies customer of any actual or potential non-conforming product which may have been shipped)4) maintains records of the nature of all nonconformities, (including “suspected nonconformities” which are subsequently approved, and any actions taken, including concessions/waivers obtained)

Customer to Disposition?

Customercommunicates

disposition status and required actions, as applicable

Yes

Nonconformance Monitoring RecordsCustomer Waiver

Disposition Labels, as appropriate:F-5015 Engineering Test LabelF-5021 Lab Sample LabelF-5004 On HOLD/FAIL TagF-5010 PASS TagF-5011 Do Not use/Hold/NCRF-5031 Interim PASS (Orange)

Customer communication

No

Non-conformance Type

ISO 9001

Customer-specifics

This printed document is an UNCONTROLLED COPY - Check B.O.S. to verify validity prior to use Date printed: Saturday, July 12, 2008

Patricia Ravanello - Management Systems SOP-0012 Control of Non-Conforming Product and Materials, Revision: 0 Page: 1 of 3

As applicable:Nonconformance ReportCustomer Waiver

Disposition Labels, as appropriate:F-5015 Engineering Test LabelF-5021 Lab Sample LabelF-5004 On HOLD/FAIL TagF-5010 PASS Tag

4.2.4 Control of Records8.3.4 Customer Waiver

4.2.4 Control of Records8.5.2 Corrective Action

7.1.4 Change Control8.3.2 Control of Reworked Product8.5.2 Rejected Product Test/Analysis

Repair/Rework

Respective Responsible Party takes action to:eliminate the detected non-conformityauthorize its use, release or acceptance, under concession by a relevant authority, and where applicable by the customer, orpreclude its original intended use or application

and initiates corrective action per SOP-0000 Corrective and Preventive Action and Continual Improvement and/or the applicable

Work Instruction as identified below, ensuring that records of the results of action taken are maintained

Customer/Supplier/Internal Waiver

Quality Assurance ensures that:

Customer Interim Authorization is obtained prior to further processing whenever the product or

process is different from that which is currently approved and that records are maintained of

the expiration date and quantity authorized per

SOP-0011 Change ControlWI-5____ Processing Engineering and Document Change Requests

Responsible party(per applicable W.I.)

identifies instructions for re-workidentifies re-inspection requirements to ensure effectiveness of corrective actionensures that the above is accessible and utilized by the appropriate personnel.WI-_____ Repair/Rework Management

Go To B

Design Change

SOP-0011 Change Control –Product, Process, SourceWI-7___ Management of Obsolete Material

Scrap/Disposal

WI-_____ Processing of Defects WI-______ Quarantine Area ManagementWI-5021 Safe Handling of Chemicals

Purge

WI-_____ Processing of Defects

Purging ofRaw MaterialsIn processFinished Product

Return to Source

WI-____ Processing of Defects WI-______ Quarantine Area Management

A


- See respective output of processes (Work Instructions) identified below



Metrics DASHBOARDNon-conformance Monitoring Records

Rework RecordsScrap RecordsRepair RecordsSpill RecordsSupplier PPM


B

End

Department Managers monitor and assess the nature and frequency of non-

conformances per SOP-0000 Monitoring, Measurement and Analysis

and report analysis and conclusions to Senior Management per

SOP-0000 Business Planning and Management Review1) to verify the suitability and effectiveness of the

Business Operating System,2) to monitor progress toward objectives3) to assess the need for additional resources, and

4) to identify or evaluate opportunities for continual improvement

- Management Review Meeting Minutes (Actions/Responsibilities/Timing)

- Resource Requirements- Opportunities or recommendations for

continual improvement



Documents

1- Control of Non-conforming Product