IATF 16949:2016 Clause 8.5.5.2 Service agreement with customer

Servicing is an activity that primarily applies to manufactured products. However, servicing, which is a post-delivery activity, can also include after—sales service, product support, help lines,
customer service, and inquiry desks, etc. Servicing is a specified requirement when the contract requires you to service the products provided. Where servicing is a Customer requirement the customer must establish process for performing servicing to cover the following:

• Design and validation of special-purpose tools and equipment
• Control of measuring and test equipment
• Supply and verification of installation instructions
• Supply and verification of assembly instructions
• Supply and verification of commissioning instructions
• Supply and verification of operating instructions
• Supply and verification of spare parts lists
• Supply and verification of servicing instructions
• Logistics support service covering technical assistance, supply of spares, servicing

Clause 8.5.5.2 Service agreement with customer

When there is a service agreement with the customer, the organization shall verify that the relevant service centres comply with applicable requirements, verify the effectiveness of any special purpose tools or measurement equipment and ensure that all service personnel are trained in applicable requirements

The standard requires that when there is a servicing agreement with the customer, the supplier verifies the effectiveness of any supplier service centers, special-purpose tools, and training of servicing personnel. If you have a service agreement with an OEM customer either to service product under warranty or even past warranty, then you must make available appropriate resources for such services. These services may be performed at your customer or your own facilities. Appropriate resources include space; transportation; special purpose tools; diagnostic and measurement equipment; replacement parts and components; availability and use of competent personnel.This requirement is fairly straightforward. What you need to do is establish the conditions of the servicing agreement and Check that they have been conveyed to those affected by them, and that these personnel are in fact adhering to the requirements. However, meeting such requirements may require the setting up of a service organization, designing the necessary processes and equipping them with the relevant resources.

Service center complying with applicable requirements

When a service agreement is in place with a customer, the organization has the responsibility to ensure that the relevant service centers comply with all applicable requirements. This ensures that the services provided meet the agreed-upon standards, customer expectations, and any regulatory or industry-specific requirements. Here’s how the organization can verify compliance:

1. Documentation Review: The organization should review the service centers’ documentation, including policies, procedures, and quality management system documentation. This review helps ensure that the service centers have established processes to comply with the requirements.
2. Audit and Inspection: Conduct audits or inspections of the service centers to assess their adherence to applicable requirements. These audits may be conducted by internal auditors or third-party auditors, depending on the agreement and the organization’s policies.
3. Training and Competence: Verify that the service center staff are adequately trained and competent to perform their tasks. This includes ensuring that technicians and service personnel have the necessary skills and knowledge to carry out the services to the required standards.
4. Equipment and Tooling: Ensure that the service centers have the appropriate equipment, tools, and resources to perform the services effectively and in compliance with requirements.
5. Records and Traceability: Verify that the service centers maintain records of the services provided and have a system in place for traceability and tracking of service activities.
6. Customer Feedback and Complaints: Monitor customer feedback and complaints related to services provided by the service centers. This helps identify any potential issues or non-compliance and allows the organization to take corrective actions as needed.
7. Continuous Improvement: Encourage continuous improvement efforts in the service centers by reviewing their improvement plans, analyzing performance data, and sharing best practices.
8. Risk Assessment: Conduct a risk assessment of the service centers’ operations to identify potential risks and opportunities for improvement.
9. Communication and Collaboration: Maintain open lines of communication with the service centers and collaborate on resolving any compliance-related issues or challenges.
10. Contractual Obligations: Ensure that the service agreement explicitly states the applicable requirements and compliance expectations for the service centers. This helps set clear expectations and responsibilities.
11. Performance Monitoring: Continuously monitor the performance of the service centers and track key performance indicators (KPIs) to assess their compliance with applicable requirements.

By verifying compliance with applicable requirements in the service centers, the organization can ensure that the services provided are of high quality, consistent, and meet the customer’s expectations. It also helps build trust and confidence with the customer, leading to better long-term relationships and customer satisfaction.

Effectiveness of any special purpose tools or measurement equipment

When a service agreement is in place with a customer, the organization has the responsibility to verify the effectiveness of any special purpose tools or measurement equipment used in providing the services. This verification is crucial to ensure that the tools and equipment used for servicing meet the required standards, are accurate and reliable, and do not compromise the quality of the services delivered. Here’s how the organization can verify the effectiveness of such tools and measurement equipment:

1. Calibration and Certification: Ensure that all special purpose tools and measurement equipment used in the service centers are calibrated and certified according to applicable standards. Regular calibration ensures that the equipment provides accurate and reliable measurements.
2. Documentation Review: Review the documentation related to the special purpose tools and measurement equipment, including calibration certificates and records. Verify that the equipment’s calibration is up to date and within acceptable tolerances.
3. Training and Competence: Ensure that the service center personnel using the special purpose tools and measurement equipment are adequately trained and competent in their operation. Proper training ensures that the equipment is used correctly and optimally.
4. Measurement System Analysis (MSA): Perform MSA studies on critical measurement equipment to determine its accuracy, precision, and stability. This helps identify any potential issues with the measurement system and allows for corrective actions to be taken.
5. Equipment Maintenance: Regularly inspect and maintain the special purpose tools and measurement equipment to ensure their proper functioning and longevity.
6. Records and Traceability: Maintain detailed records of the special purpose tools and measurement equipment, including their identification, calibration history, and usage. This provides traceability and aids in identifying any non-compliant equipment.
7. Risk Assessment: Conduct a risk assessment of the special purpose tools and measurement equipment to identify potential risks associated with their usage and any impact on the service delivery process.
8. Supplier Evaluation: If the special purpose tools and measurement equipment are sourced from external suppliers, evaluate the suppliers’ capabilities, quality systems, and compliance with relevant standards.
9. Customer Feedback and Complaints: Monitor customer feedback and complaints related to the service delivery process to identify any issues that could be attributed to the tools or measurement equipment used.
10. Continuous Improvement: Encourage continuous improvement efforts in the service centers by reviewing the effectiveness of the special purpose tools and measurement equipment and addressing any identified areas for improvement.

By verifying the effectiveness of special purpose tools and measurement equipment, the organization can ensure the accuracy and reliability of the services provided. This helps meet customer expectations, comply with contractual requirements, and maintain high-quality service delivery standards.

Service personnel are trained in applicable requirements

Ensuring that all service personnel are trained in applicable requirements is a crucial aspect of providing high-quality services in the automotive industry. Training helps employees understand and comply with the standards, processes, and regulations necessary for their specific roles. Here’s how the organization can achieve this:

1. Training Needs Assessment: Conduct a thorough assessment to identify the specific training needs of each service personnel. This assessment should consider job roles, responsibilities, and the applicable requirements that apply to their tasks.
2. Training Plan Development: Based on the training needs assessment, develop a comprehensive training plan that outlines the required training topics, objectives, and the frequency of training.
3. Internal Training Programs: Organize internal training programs that cover the relevant applicable requirements. These programs can be conducted by experienced in-house trainers or subject matter experts from various departments.
4. External Training Resources: Utilize external training resources such as professional trainers, industry experts, or training courses provided by certification bodies or industry associations.
5. On-the-Job Training (OJT): Supplement formal training with on-the-job training, where experienced personnel guide and mentor new employees, helping them apply their knowledge in real-world situations.
6. Certification and Qualification: Encourage employees to attain relevant certifications or qualifications related to their roles and responsibilities. Certifications can demonstrate competence and dedication to professional growth.
7. Documentation and Records: Maintain comprehensive training records for each service personnel, including details of the training completed, dates, and certifications achieved. This helps in tracking compliance and demonstrating evidence during audits.
8. Regular Refresher Training: Schedule regular refresher training sessions to reinforce knowledge and keep employees updated on any changes in applicable requirements or best practices.
9. E-Learning and Online Resources: Utilize e-learning platforms and online resources to deliver training modules conveniently and provide self-paced learning opportunities.
10. Incorporate Quality Management System (QMS) Training: Integrate training on the organization’s Quality Management System, ensuring that service personnel understand their role in maintaining quality and customer satisfaction.
11. Feedback and Assessment: Gather feedback from service personnel about the effectiveness of the training programs and use assessments or quizzes to gauge knowledge retention.
12. Continuous Improvement: Continuously evaluate the training effectiveness and make necessary improvements to the training programs based on feedback and performance evaluations.

By ensuring that all service personnel are trained in applicable requirements, the organization can enhance service quality, minimize errors, and maintain compliance with industry standards. Well-trained personnel are better equipped to deliver excellent service, leading to higher customer satisfaction and improved business performance.