Original Date: 04/28/1995
Revision Date: 01/18/2007
Information : Contractor Performance Certification Program
Lockheed Martin Electronics and Missiles (E&M) established a goal to achieve Contractor Performance Certification Program (CP2) certification following a very successful 1989 government audit. The CP2 is an Army Materiel Command effort that recognizes contractors that consistently deliver quality products, apply process controls, use preventive and proactive audit procedures, and continuously demonstrate aggressive efforts to improve quality. The Army Materiel Command developed the CP2 in response to the need for change and to address industry concerns on quality and government in-plant quality assurance activities, and excessive government involvement in daily operations.
The CP2 is based on four areas of evaluation including management's commitment to total quality environment, compliance to quality system requirements (MIL-Q-9858A), implementation of SPC program in-house and at suppliers’ facilities, and continuous improvement as measured by agreed-to metrics. Lockheed Martin developed a systematic approach to integrate all elements of quality into its total operation. Almost immediately, the major programs and operations at the company began seeing benefits from these newly formulated quality assurance initiatives. The company’s high level of performance was recognized in May 1990 when Lockheed Martin E&M became the first company to participate in the CP2 of the Army Missile Command and the Army Armament Munitions and Chemical Command. It also became the first Army Missile Command contractor to have all production programs in an entire facility in the program.
The mission quality initiatives employed by Lockheed Martin have not only solidified its CP2 certification position since 1990, but have continued to produce millions of dollars in savings in areas of rework, scrap, corrective action requests, request for waivers/deviations, and actions as a result of Product Quality Defects Requests. For example, rework has been reduced by approximately 12% per year and scrap reduced by approximately 10% per year for the last 7 years; corrective action requests have been reduced from 224 in 1988 to near zero since 1991; request for waivers have been reduced from 70 in 1988 to a quantity of only two recorded in 1994; and Product Quality Defects Requests have gone from 446 in 1986 to zero since 1991.
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