Motorcar Parts of America (MPA) has been in business in California for over 30 years, providing rebuilt alternators and starters to the automotive industry. MPA had 635 employees at the beginning of the project. Annual sales were $112 million at project start. Motorcar Parts of America’s workforce is approximately 45% Hispanic.


Challenge

In an effort to remain competitive in their industry, MPA was receiving pressure from its key customers to transition their quality system from the soon-to-expire QS 9000 automotive quality standard to the internationally recognized automotive quality standard ISO TS 16949. MPA made a business decision to adopt the standard in an effort to expand its market share, develop employee capabilities and improve its production quality.

Solution

Implementation Highlights

MPA made the strategic decision to pursue becoming ISO TS 16949 registered. MPA sought out professional assistance in implementing its Quality Management System in an effort to greatly improve their chances of success. They selected CMTC® to implement the ISO TS 16949 Quality System in the hopes of ensuring a first-attempt registration. CMTC started the project in January of 2005. CMTC and MPA jointly developed a project plan for the successful implementation of their quality system. In a laboratory setting, CMTC facilitated the creation of a Quality Management System Manual, detailed procedure development and forms to support procedures as required. CMTC also provided guidance to department supervisors to ensure procedures were consistent with current floor practices and met the requirements of the ISO TS 16949 standard. Additionally, CMTC assisted in guidance on methods of marketing their quality certification in order to maintain their current sales levels. The implementation encompassed MPA facilities in California and Mexico. The project was completed in December 2006 with MPA attaining ISO TS 16949 registration on their initial attempt.

Improvement Description

During system setup, process improvements were made to increase the effectiveness of MPA’s operations enabling their employees to become cross-trained. The training resulted in improved efficiency without an increase in staff size. Additionally, a strategy was implemented to integrate sales activity with their quality system allowing MPA to retain their market share.

Financial and Investment Impact

 The sales and marketing benefits of being ISO TS 16949 certified enabled MPA to retain and grow its client base and provide high-value professional development for its employees. MPA was able to avoid a calculated potential loss of $410,000 in sales by implementing the ISO TS 16949 Quality Management System.

"With CMTC’s assistance, we were able to achieve a strategic company objective enabling Motorcar Parts of America to remain competitive in our industry."

Steve Krantz
Vice President
Quality Assurance
Engineering