Quality as Organization Culture at rh overview rh Process Principles Measurement and Control Graphic Language Commitment and Persistence

RH Electronics Ltd Global EMS Provider

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Objectives:* Complete Customer Satisfaction :Product quality,On time delivery,Comprehensive Cost. * Flexibility - to support Changing Market Demand * Continuous Improvement at all levels* Effective Open Communications - Inside , Customers , Suppliers* Company Culture promotes quality, openness , achievements , enjoyable work place.

MISSION :rh will provide its global customers with World Class Contract Manufacturing Services.

HighlightsFounded 1984. (Y. Rosenberg & G. Hamerman) * 4 Sites (Israel, USA,CANADA) * 1200 Employees * 20,000 square meters * Sales of Nis 684 million ($166 million) in 2007 * ISO 14001 / 9001 Certified - since 1993 * Leading Contract Manufacturer in Israel * Public: RH Technologies IPO : 09/ 2000

Manufacturing14 SMT Lines (capacity of 150 million placements a month)Through hole insertion lines:- 4 wave soldering machines.- 3 Selective wave soldering.- Press Fit tools.Electromechanical assembly.Cable assembly plant.Metal Kit - plantProduct integration and testing.Packaging and Shipment to Customer destination

Customers

Quality / Environment / SafetyQuality Standards & Certifications:ISO-9000:2000 Management & ISO 14001:2004 Environment ISO-13485:2003 Medical Equipment. (FDA Approved Site)IPC-610D (2006) Soldering workmanship standardIPC 620A (2006) Cable workmanship standardQualified Safety (OHSAS 18001).Product Supervision By: UL, TUV, KEMA,CCC, etc.

Quality as Organization Culture at rh Principles

rh Integration of Cultures rh

Communication Means to implement Quality Culture Connecting Quality Circles Internal/External Inside - Company with Outside - Customers* - * - / //* , , - *

- Knowledge Quality Culture / - Management - EmployeesXXXXXXXXXXX - Information/ - Agreement - Commitment X

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2007 . 2007 25 rh. ( ) rh global technology2008 - . . . . . rh.09/2008 " ". .2009 - .

launching Process

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rh giveaway

OJT PDCA

- Plan - Do Check - Act

: P , D , C , A

" " Plan - - Do - -

Check - - Act - - "I am also in the quality circles" Quality Worker Takes Responsibility On His Works

SMT 4W.S. & T.H. 4T.U. & Assy. 4ICT 4PCBs - Out - PCBs Flow : Manufacturing DivisionINS.-Q.C. 2FAIVi-X-rayAOI - SMDFAIVi T.H.FAIVi Assy.FAIVi ICTF.A.I. First Article InspectionI.A. Internal AuditsR.M. Receiving MaterialT.H. Through HoleT.U. Touch-UpW.H. Ware HouseW.S. Wave SolderingV&V Process Verification & ValidationEng. File - PreparationI.A. V & VOptionalPurchs. 1R.M. 2W.H. T.H 3W.H. Mech. 3STD 2W.H. SMT 3Strategic. 1Admin. 1

PCBs.- inEng. File Preparation 5Mechanical 6Functional 6Packaging 7Ship. - out 7Product Flow : Business Division - Integration ProcessesW.H. - inI.A. - V&V FAIQC-Mech.FAIQC-Func.FAIFinal QCQA - OOBOptionalRMA 8Repair 8F.A.I First Article InspectionI.A. Internal AuditsW.H. Ware HouseV&V Verification & Validation

Quality as Organization Culture at rhMeasurement and Control

New Monthly Quality MarksTIMEQUALITYMONEY

Monthly Quality Marks SMT and TH DPMO - " ( A 7912 IPC - " OOBA

5S 5S

+ - , - . .

Example: Monthly Quality Marks SMT 80 Monthly Mark

Chart11

25

15

30

10

5

5

0

10

SMT- QUALITY MARKS-MAY-08

TREND

JulJunMayALLOT93

ALVARION8070ALVARION88

BATM8570APPLIED93

TEGA8070BATM76

TELEMATICS6570BELLA85

AVG7870CABELS94

JulJunMay

ALLOT7070

ESSENCE8170

HARMONIC8570

INTERCURE6570

MINICOM7570

EXTRICOM6570

AVG7470

JulJunMay

APPLIED8070

INDIGO8070

LUMENIS8570

AVG8270

JulJunMay

BELLA7570

CABELS8470

ICT8970

SMT6570

SMT(filtred)8070

AVG7970

HARMONIC82

ICT90

INDIGO95

INTERCURE87

Mass production (500 above per week)YIELD MARK(10%)COMPLAINTS QTYCOMPLAINTS MARKS 20%

95% < YIELD100-1/10020

95%< YIELD < 85%52-4/10015

YIELD < 85%05-7/10010

Normal production (under 500 per week)8-10/1005

90% < YIELD10>11/1000

80%< YIELD < 90%55S+General(30%)

YIELD < 80%0conditionevaluation

DPMODPMO MARKS(30%)SORTING - IDENTIFICATION1-7

DPMO

Monthly Quality Marks Customer Products

YIELD - . QSFC - , OOBA - - , " ".- + QSFCS 5- , 5S - , - . - .

Sample System Division Monthly Quality MarksMonthly Mark 85

Chart1

10

15

10

30

10

10

0

5

10

0

0

0

73 OOBA -3

XXX QUALITY MARK-MAY 2008

TREND

JulJunMayALLOT93

ALVARION8070ALVARION88

BATM8570APPLIED93

TEGA8070BATM76

TELEMATICS6570BELLA85

AVG7870CABELS94

JulJunMay

ALLOT8570

ESSENCE8670

HARMONIC8570

INTERCURE7070

MINICOM8070

EXTRICOM7070

AVG7970

JulJunMay

APPLIED8070

INDIGO8070

LUMENIS8570

AVG8270

JulJunMay

BELLA7570

CABELS70

ICT8970

SMT6570

SMT(filtred)8070

AVG7770

HARMONIC82

ICT90

INDIGO95

INTERCURE87

Mass production (500 above per week)YIELD MARK(10%)COMPLAINTS QTYCOMPLAINTS MARKS 20%

95% < YIELD100-1/10020

95%< YIELD < 85%52-4/10015

YIELD < 85%05-7/10010

Normal production (under 500 per week)8-10/1005

90% < YIELD10>11/1000

80%< YIELD < 90%55S+General(30%)

YIELD < 80%0conditionevaluation

DPMODPMO MARKS(30%)SORTING - IDENTIFICATION1-7

DPMO

Graphic Language Campain " " Quality as Organization Culture at rh

Quality as Organization Culture at rhVisual Language

Quality as Organization Culture at rh Commitment and Persistence

What I have to do ?SupplierCustomerLogisticsProduction I Identify Product ComponentsIm Familiar with Production Requirements My Workplace is ready For productionTools or ProductionIn my Possession

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