DQS-Management-Manual, English

UL DQS

Buffalo Grove, IL

USA

UL DQS

Corporate Policy Manual

Table of Contents

FOREWORD

Group Profile

Part A: Strategy, Leadership, Organization

A.1 - Mission and values

A.2 - Vision and strategy

A.3 - Corporate policy and objectives

A.4 - Services + Scope8

A.5 - Management of impartiality8

A.6 - Organization / Structure9

A.7 - Management system1

Part B: UL DQS processes12

B.1 - Process map12

B.2 - Key processes3

B.3 - Management processes17

B.4 - Support processes20

Part C: Document management4

Part D: Remarks6

D.1 - Coverage

D.2 - Personal designations6

D.3 - Terms

D.4 - Readers’ comments6

D.5 - Management Manual

Annex 1 Correspondence matrix:
DQS Corporate Management Manual and ISO/IEC 1702127

Annex 1.1 Correspondence matrix: 28

DQS Corporate Management Manual and EN 45011

Annex 2 Correspondence matrix:
DQS Corporate Management Manual and ISO 900129

Annex 3: List of Corporate Guidelines0

UL DQS Corporate Policy Manual Q-0000 Revised: 10/14/101/30

FOREWORD

In 2008, UL DQS has taken a giant step toward a successful future: With the merger of UL MSS into DQS the company expanded its worldwide presence and the new DQS Group was created.

It is our goal and our belief that this step will benefit our clients as well as our partners:

by strengthening our expertise in all relevant industries,
by increasing our local presence on a global level,
by internationally harmonized certification concepts,
by a consistent demand for high quality standards, and last but not least
by the combination of two well-known and recognized certification brands: DQS and UL MSS.

This Corporate Management Manual provides a fundamental description of the global management system of UL DQS and introduces binding specifications in this respect. It sets out the rules and guidelines to be followed in the introduction, development, and improvement of management systems in companies under the branding name UL MSS. It also defines the minimum requirements in terms of values, management, quality, occupational safety and health, environmental protection, and fulfillment of accreditation requirements.

This Manual and the requirements it sets out constitute binding instructions to all entities where UL DQS activities are carried out. The companies involved are required to adopt these rules.

Ganesh Rao

President and CEO

UL DQS Inc.

Part A: Strategy, Leadership, Organization

A.1 - Missionand values

We want to be the preferred partner for assessments and certifications of management systems.

Values – Our corporate values drive common attitudes:

Success

We like to be successful, just like our customers.

Respect

We treat people with respect, always.

Customer orientation

Customer needs come first – we generate value for our customers.

Employee orientation

Our employees including our auditors are our greatest success factor.

Mutual trust

Mutual trust enables us to cooperate and together we achieve goals.

Responsibility

We take responsibility for our results and our behavior

Integrity / credibility

Independence, competence and attitude ensure our integrity.

Reliability

We keep our promises. Trust us!

A.2- Vision and strategy

The vision drives the development of UL DQS. It reflects the expectations of the essential stakeholders:

Appreciated by our customers as a valuable partner

Internationally recognized assessment and certification body

Preferred by employees and partners

Profitable with sustainablegrowth

UL DQS shall become the preferred assessment provider for all types of management systems and their processes. UL DQS shall do so by focusing on customer needs.

Starting with the current customer base in the different countries, UL DQS achieves growththrough new, demand-oriented assessment related services that focus on value generation for the customer. Based on successfully established assessments, UL DQS achieves international growththrough new customers in attractive markets (countries), which shall also be developed jointly with partners.

With its business activities, UL DQS generates profits to yield a suitable return on equity and to be able to invest into its own growth and development. Thereby employees, internal and external auditors, and partners of UL DQS constitute the most important success factors.

A.3- Corporate policy and objectives

The corporate policies of UL DQS are characterized by the expectations of its stakeholders. These are:

Customers

Employees and auditors

External assessors, auditors, industry experts, and business partners

DQS shareholders

The public, government, accreditation bodies

Customers of the certified organizations and the end users of products and services

The expectations of these interested parties find expression in the various aspects of UL DQS corporate policies.

Customer expectations

Customers (as well as shareholders) expect UL DQS to deliver high-value services for the assessment and improvement of management systems. The customers also expect measurable change from the assessment process as well as active support in exploring opportunities for improvement. Assessments shall be tailored to customer needs, often integrating or combining different standards in one procedure. In addition, customers expect internationally and nationally recognized certificates.

Quality policy

UL DQS wants to be the preferred partner of organizations for certification and assessments. Process-oriented assessments with a focus on the effectiveness of management systems shall result in UL DQS services generating measurable, added value for the customer. UL DQS improves continually the effectiveness of its quality management system.

Employee expectations

UL DQS employees expect above-average working conditions and jobs that provide learning opportunities in the long term. They also expect an income commensurate with their performance, recognition for their achievements, and support for attractive professional development.

Employee policy

Employee commitment and competence is an essential principle of UL DQS’ successful business activities. With attractive working conditions, performance-oriented culture, and respectful interaction with each other, UL DQS wants to be an organization preferred by employees.

Expectations of external assessors, auditors, industry experts and partners

External auditors, assessors, experts and other partners expect UL DQS to be a reliable business partner and to provide a sustainable business opportunity. They expect cooperation based on mutual respect and partnership as well as the recognition of achievements, professional development opportunities and attractive business growth.

Auditor policy

Competent, experienced and dedicated auditors provide the basis for value-generating/ value adding services and customer appreciation. UL DQS wants to build and maintain long-term, prosperous partnerships with its auditors, based on respectful interaction, performance-related recognition and attractive assignments.

Shareholder expectations

The shareholders of DQS are DIN (German Institute for Standardization), DGQ (German Society for Quality), UL (Underwriters Laboratories Inc.), as well as the industry associations VCI, VDMA, HvBI, ZVEI and Spectaris (F+O). They expect UL DQS, as an internationally recognized registrar/certification body, to supply high-value services in the assessment and certificationof management systems.

From the surplus generated, the shareholders also expect their capital contribution to result in an adequate, sustained return on equity, without striving for maximum short-term profit. To achieve this, they expect sustainable growth on a national and international level.

Financial and growth policy

UL DQS generates a surplus in order to:

a)Achieve an adequate, sustained return on shareholder equity

b)Provide the resources necessary for the organization’s growth and development

Therefore, business plans are prepared for three years in advance, authorized by the shareholders and updated at least annually.

Expectations of society, government and accreditation bodies

Accreditation organizations monitor UL DQS on behalf of the government or relevant public interest groups. Their expectations focus mainly on conformity to applicable rules and laws. Like any other responsible organization, though, UL DQS is also expected to contribute an adequate share to society as a whole.

Conformity policy

In its day-to-day activities, UL DQS ensures conformity to rules and laws, in particular to accreditation requirements. In order to provide a sustained contribution to the national and international recognition of UL DQS, internal rules have been created, implemented and monitored systematically. This behavior shall contribute to an enduring international recognition of UL DQS.

Other principles of the corporate policy

The value of certification is the degree of confidence and trust that is established by an impartial and competent assessment by UL DQS.The customers of certified organizations and end users expect to be able to rely on the value of certificates issued. To promote this confidence, UL DQS takes into account the following principles in all of its activities:

Impartiality

Competence

Responsibility

Openness

Confidentiality

Responsiveness to complaints

Ethical business practices

The expectations of the various stakeholders result in interactions that influence the business activities of UL DQS. From this, further aspects of the corporate policy may also be derived.

In its corporate policy, UL DQS takes into account the aspects risk management, information security,environmental management and sustainability. Statements on these aspects can be found in supplementary documents. In the same way, further aspects may be incorporated into the corporate policy.

The participation of trade or industry organizations in the steering committees of the accredited UL DQS companies is intended to ensure their influence on the activities of UL DQS, without the dominance of any individual interests. This approach, which is also compliant to accreditation requirements, contributes to promote the neutrality/impartiality, technical competence and market acceptance of UL DQS.

Objectives

The objective of UL DQS is to offer assessment and certification services to organizations of any business sector and any size without restrictions and to satisfy customers by providing outstanding, value-generating / adding services. Value-generation / addition shall focus on customer satisfaction, identification of key processes, improvement of the customers´ internal management system, increased operational performance and improved confidence in their capabilities.

Contributing to this goal is an essential task of all employees. One particular means is the assignment of external auditors. Their competence, as a result of their technical expertise and experience, is a particular asset of UL DQS. To monitor the achievement of this goal, internal and customer evaluations are used.

Certificates issued under the brand marks DQS and UL Registered Firm are known nationally and internationally and are highly recognized. In order to achieve this goal, UL DQS makes systematic use of its own worldwide certification activities, national and international co operations, and mutual agreements on recognition with partners and accreditations.

UL DQS develops new services and business segments and constantly improves existing ones in the area of management system assessments with a focus on customer benefit.

Target agreements

Through well-balanced target agreements, UL DQS strives to achieve effective implementation of its corporate policy. As a result, the abstract strategy becomes more concrete and progress towards the vision becomes appraisable. To that end, objectives will be agreed upon and performance indicators measured at all levels. Corporate objectives are based on the vision and updated at least annually.

A.4- Services + Scope

The services offered by the companies of UL DQS are the assessments of management systems or their parts according to recognized technical specifications, regulations or other principles. These may be normative or customer internal requirements. UL DQS services relate to quality, environmental, safety and other management systems of any kind of organization.

Auditors are assigned based on UL DQS procedures. Based on their technical competence, they have been individually appointed and are committed to regular ongoing training. In the interest of promoting improvements, all auditors are bound to conduct themselves in a spirit of partnership when performing their activities.

The scope of the management system of UL DQS is “design, development and provision of assessments and certification services in the field of management systems”.

A.5- Management of impartiality

The top management of UL DQS and its entities that carry out assessments are committed to the impartiality of the management system activities within UL DQS. A statement about the importance of impartiality is publicly accessible on the UL DQS webpage.

At least once a year, all accredited UL DQS entities carry out a documented analysis of all related bodies in order to identify possible threats to impartiality and to define actions to reduce such risks to an acceptable level.

The certification body's activities shall not be marketed or offered as linked with the activities of an organization that provides management system consultancy

In order to avoid conflicts of interest, ULDQSentities do not engage in any kind of management system consultancy services and UL DQS certification services are not marketed or offered as linked with the activities of an organization that provide such kind of services. UL DQS also abstains from training and personnel certification in the area of management systems, unless such activities are conducted in accordance with the shareholders.

UL DQS does not certify companies where in the previous two years internal audits have been carried out by UL DQS or its subsidiaries for its management system certification activities.

A.6- Organization / Structure

DQS Holding GmbH is a limitedliabilitycompany according to German law.

Illustration I – Organization/Structure

Shareholder Assembly

The shareholders of DQS comprise the three major shareholders

DGQ (German Society for Quality)

DIN (German Institute for Standardization)

UL (Underwriters Laboratories)

As well as the following industry and trade associations as minor shareholders:

German Association for Optical, Medical and Mechatronical Technologies (SPECTARIS)

German Machinery and Plant Manufacturer‘s Association (VDMA)

German Electrical and Electronic Manufacturer‘s Association (ZVEI)

German Chemical Industry Association (VCI)

German Construction Industries Federation .

The duties and responsibilities of the Shareholder Assembly are defined in the DQS Statutes and the German LimitedLiabilityCompany Law (GmbHG).

DQS Group, Subsidiaries, Partners

UL DQS provides assessment and certification services through its subsidiaries and license partners. Some of these entities maintain their own accreditation assessment and certifications that are carried our under the UL DQS name follow the UL DQS procedures and requirements.

Basic organizational functions of operational units (subsidiaries and partners)

Each operational unit ensures that basic functions are organized. While larger organizations will have individual departments, smaller units may combine multiple functions into one department, one group or even one single person. The organizational structure shall always align with core business processes.

Illustration II – Basic organizational functions

The executive management is responsible at least for the processes: definition of strategy and objectives, deployment of strategy and objectives, customer satisfaction analysis, establishing an effective management system, leadership and management of people.

The function marketing & sales is responsible at least for the processes: marketing, sales to new customers and service/sales to existing customers.

The function planning & administration is responsible at least for the processes: audit scheduling with auditor selection, certificate preparation, technical review and certification decision, document and data archiving.

The function auditing & auditors is responsible at least for the processes: auditor qualification, ongoing auditor training, the audit process itself, monitoring and evaluating auditor performance.

The function finance & administration is responsible at least for the processes: accounting, controlling, HR management, IT, office lease and purchasing.

Some processes may require managing an interface with external service providers.

Steering Committees/ Commitees for Safeguarding Impartiality

UL DQS maintains a steering committee to ensure the impartiality of their certification activities. The duties and responsibilities of the committee as well as its composition and the nomination procedure are defined in accordance with UL DQS Procedures.

Boards of Arbitration

UL DQS implements a procedure for a neutral/impartial Board of Arbitration which, on a mutually agreed-upon arbitration agreement, may act in cases of conflict involving the evaluation of auditors the issue (appeals), withdrawal or suspension of certificates.

A.7- Management system

The UL DQS management system is a tool used to realize the organization’s goals. It sets out fundamental requirements for the operational procedures used and supports the operational processes. This takes place through the implementation of organizational rules related to structures and processes, and through the implementation of an internal monitoring structure using a process-specific system of key indicators. The Management system can achieve its intended effect only if all significant processes are identified and described and if the system itself is integrated in the management of UL DQS. The required transparency is achieved through adequate documentation. Only when all these requirements are met, we are able to conduct analyses and improvement measures.

In structuring the management system of UL DQS, the following standards have been taken into account, among others:

ISO 9001 Quality management systems, Requirements

ISO 9004 Quality management systems, Guidelines for performance improvements

ISO 19011 Guidelines for quality and/or environmental management systems auditing

ISO17021 Conformity assessment – Requirements for bodies providing audit and certification of management systems

EN 45011 (ISO/IEC Guide 65) General requirements for bodies operating productcertification systems

Management Representative

The Vice President of Certification is the Management Representative according to ISO 9001:2008, clause 5.5.2. He has all the authorities necessary to fulfill this task and reports directly to the President and CEO, UL DQS. He has the responsibility for the corporate management system of UL DQS as well as for the fulfillment of the requirements of applicable standards and regulations.

Accreditations / Authorizations