200720 - LORAN QUALITY MANAGEMENT SYSTEM MANUAL - PART 1

Loran Aerospace Incorporated (Loran, Loran Aerospace) is located at 5077 Dallas Hwy Suite 211 Powder Springs Georgia 30127 USA, has been in business since 2021 April, servicing spare parts for aerospace platforms. We are proud to present this Quality Manual that has been prepared this quality manual according to SAE AS9120 Rev.B standards, as it represents the combined efforts of all our employees, with a common goal to enhance customer satisfaction, meet customer statutory and regulatory requirements with a goal of continuous improvement with both the company and its services to produce the desired outcome. We are dedicated to continuous improvement of our quality system, from the interaction between employees to our commerce with the marketplace. 

I, owner and officer of Loran Aerospace Incorporated, and we accept the responsibility to our profession and aerospace communities we serve and taking full accountability in our mission to advance the state of aerospace science, aviation standards and engineering, technology, operations. We do hereby commit ourselves to the highest ethical and professional conduct as outlined in the commitment topics below:

• We will hold paramount the safety, health, and welfare of the employees in the performance of their duties.
• We will act as an honest and fair service supplier in all professional interactions.
• We will reject bribery, fraud, and corruption in all their forms and avoid unlawful conduct in professional activities.
• We will properly credit the customers, accept honest and constructive criticism of technical work, and acknowledge and correct errors promptly.
• We will issue statements or present information in an objective and truthful manner, based on customer requirements and aerospace standards.
• We will undertake only the projects which our capabilities authorized and qualified.
• We will receive regular training in every field deemed necessary for continuous development.
• We will criticize ourselves before our customers' criticism, identify our mistakes and deficiencies and take the necessary precautions.
• We will develop and embed a business culture in all our activities that recognizes the importance and value of effective quality management and always acknowledges that customer satisfaction and legal regulations are paramount.
• We will clearly define for all staff their accountabilities and responsibilities for the development and delivery of quality management strategy and performance.
• We will always minimize the risks associated with our quality management to a point that is as low as reasonably practicable/achievable.
• We will actively develop and improve our quality management processes to conform to customer satisfaction, legislative and regulatory requirements and aerospace standards.
• We will ensure that all staff are provided with adequate and appropriate information and training, are competent in aerospace standards and are only allocated tasks commensurate with their skills.
• We will establish and measure our quality management performance against realistic objectives and/or targets, and we will continually improve our quality management performance.

Owner, General Manager

 VALUES

• We value each other as people and appreciate the skills and perspectives we each bring to the team.
• We will always do our best, giving our full attention to the quality of every job, every outcome, and every relationship.
• Customer satisfaction is our primary objective and guiding principle. We must continually focus on:

• listening to our customers, anticipating and understanding their requirements, and meeting their needs by being available and responsive,
• contributing to their success through targeted initiatives and personalized support,
• we provide the highest level of service and support to our customers.

• We each accept the responsibility for our actions and for working to achieve desired results and goals,

 MISSION

• We prioritize aviation standards and requirements,
• We never compromise on quality to be competitive in cost,
• We create and maintain a fully traceable and measurable work discipline,
• We make high technology investments in line with aviation requirements,
• We ensure job and employee safety,
• We provide timely and complete delivery,
• We comply with local and international laws and standards.

VISION

• In the field of the aviation industry servicing of hardware parts to be a pioneering service supplier that completes all standard requirements within its own structure and does not compromise on quality and international standards.

As Loran, we always put in the foreground:

• Quality is an integral part of Loran Aerospace’s mission and core business values.
• We always provide traceable products by keeping flight safety our priority and by implementing risk management practices.
• We ensure all personnel work by ILO and USA principles and encourage voluntary reporting of safety-related issues.
• We are committed to consistently meeting customer and regulatory requirements and strive to enhance customer value by continually improving our business processes and delivering safe, reliable products.
• As Loran, we always empower employees by creating a stimulating workplace where all employees understand they are responsible for delivering high-quality products and services, preventing waste, simplifying processes, and making decisions that enable us to meet or exceed customer expectations.
• Our dedication to the principles of fairness and integrity, combined with our commitment to maintaining valued relationships, sets us apart as a preferred supplier.
• Upholding the AS9120 Rev B accreditation, we ensure that each product and service we offer meets the stringent requirements of our customers, reaffirming our dedication to excellence with every delivery.
• Loran Policy Statement requires all family members to develop and implement qualitative and quantitative reviews of our operational processes.

The AS9120 Rev.B Standards provide us to assurances:

• Loran adheres to specific requirements and procedures to ensure safe and reliable product delivery,
• Loran is able to meet customer expectations with respect to quality, cost, delivery, and service,
• Loran can supply the products which are handled properly through the chain of custody, traceability, and the availability of records,
• Understanding and consistency in meeting requirements,
• Consideration of processes in terms of added value,
• Effective process performance,
• Improvement of processes based on evaluation of data and information,
• Efficient handling of documentation and records,
• Detecting opportunities for operational improvements and reduction of costs,
• Eliminate and mitigate business risks.

The AS9120 standard applied by Loran is based on the quality management principles described in ISO 9001. Loran Aerospace company working discipline is defined by processes, procedures and application forms in its own context in each process. While applying these principles, it is our basic principle to increase the performance of Loran, to meet aviation standards and customer requirements.

The main quality management principles of Loran Aerospace are as follows:

• Customer orientation,
• Procurement management,
• Leadership,
• Employee participation,
• Process approach,
• Configuration management,
• Continues development,
• Evidence-based decision making,
• Relationship management
• Reporting and accountability.

Loran Aerospace establishes, implements, maintains and continually improves a quality management system, including the processes and interactions needed.

Loran's quality management system also meets customer and applicable legal and regulatory quality management system requirements.

ANNEX 1: Process Value Diaphragm

Loran Aerospace Quality Management System (QMS) promotes the adoption of a process approach when developing, implementing, and improving the effectiveness of a quality policy, to enhance customer satisfaction by meeting customer requirements.

Loran is dedicated to improving our customer service commitment by recognizing that the parts we supply play a critical role in our customers operations. It is our commitment to provide the highest quality parts and the most complete airworthiness documentation in the industry. We pride ourselves in responding to the needs of the customer quickly and completing customer orders on time: 

• consistently provide products that meet customer expectations and applicable regulatory requirements, and
• enhance customer satisfaction through effective application of the quality system, including processes for continual improvement of the system and assurance of conformity to customer and applicable regulatory requirements.
• The requirements of the AS9120 Standards are implemented through written quality manual, procedures, forms and work instructions where applicable.

To deliver on our commitment to total customer focus we constantly work on our internal processes to maximize their effectiveness and efficiency. We recognize that it takes countless individual activities to deliver our products and services and that the process approach ties them all together.

Several key processes make up our business. Our processes depend on one another and individually need continual attention and improvement. We constantly challenge ourselves to refine and change how we do things to reduce the time it takes to get something done with the fewest errors. When errors do occur, we use them as opportunities to learn and improve.

ANNEX 2: Plan-Do-Check-Act (PDCA) Cycle

In supporting continual improvement, Loran encourages the Plan-Do-Check-Act (PDCA) cycle. This tool can be utilized to develop new processes based upon customer requirements or may be used as a problem-solving tool when there is a need to improve performances. A brief description of the PDCA is as follows:

Plan:

• Establish the objectives and processes needed to provide the desired results in accordance with the customer requirements, Loran Quality Management Policy (QMP), or performance expectations,
• Develop a measurement process to measure the process performance and the objective,
• Identify alternatives solutions, evaluate, and determine what needs to be done to achieve the desired results.

Do:

• Implement the determined solution. Plan the implementation – Who, What, When, Where, & How Schedule of events (Training)

Check:

• Monitor and measure the new or revised process or product against policies, objectives, and/or requirements,
• Measure the process, study the results. Did the new process resolve the issue?
• Were any new problems created?
• Was the change beneficial for costs/benefits?

Act:

• If it worked, institutionalize / standardize the change,
• If it didn’t, try something else,
• Repeat the PDCA cycle

• As a model for continuous improvement.
• When starting a new improvement project.
• When developing a new or improved design of a process, product or service.
• When defining a repetitive work process.
• When planning data collection and analysis in order to verify and prioritize problems or root causes.
• When implementing any change.

Loran Aerospace manages its risk management in accordance with the ISO 31000 Risk Management Standard. Depends on this standard, Loran defines the concept of Risk-Based Thinking as carrying out corrective actions to eliminate potential nonconformities, analyzing any nonconformities that occur, and preventing the recurrence of the nonconformity by performing appropriate actions and obtaining opportunities from these nonconformities, and its management system is based on risk-based thinking. In this direction, the concept of risk-based thinking covers the determination of the risk by Loran Aerospace as an organization, the decision of whether to act or not, and then taking action.

Loran is based on risk-based thinking in the following cases and carries out risk management as an integral part of the company's operation, inclusive and dynamically:

• During strategic planning,
• During planning for product and service suitability,
• During the management review,
• Corrective action processes.

Loran Aerospace has recognized that risk-based thinking is essential to achieve an effective quality management system. Loran interprets the concept of risk-based thinking as taking preventive measures to eliminate potential nonconformities and analyzing nonconformities as taking precautions and giving necessary trainings to avoid these nonconformities in the future.

Loran Aerospace plans and implements actions that address risks and opportunities to comply with AS9120 Rev.B Standards. It is the basis for addressing both risks and opportunities, improving the effectiveness of the quality management system, achieving improved results and preventing negative effects.

Loran Aerospace evaluates risks and opportunities together. Opportunities can arise as a result of a favorable outcome, for example, a set of conditions that allow Loran to attract customers, develop services, reduce waste, or increase productivity. Actions to address opportunities may also include considering associated risks. Risk is the effect of uncertainty, and such uncertainty may have positive or negative effects. A positive deviation from a risk can provide an opportunity, but not all positive effects of the risk lead to opportunities.

Loran aims to ensure the traceability of all its processes to establish an effective, sustainable, reliable, and open-to-improvement quality management system. In this direction, the codification of forms and traceability are vital for Loran process management.

• Forms, Documents and Procedures: All forms, documents and procedures within the quality management system have a reference number (Document and Form Tracking Table (Form No: 030120)
• Project Traceability: In the Loran ERP system, traceability is provided with the same reference number, starting from the quotation stage until the package slip (including CofC) document.

• In the scope of the same project, Loran Aerospace always uses the same reference number in the forms below to establish a secure and dependable project traceability and process security.

• Quotation,
• Proforma Invoice (Invoice),
• Purchase Order,
• Quality Control Forms,
• Inventory-In Voucher,
• Inventory-Out Voucher,
• Package Slip includes CofC,
• Claim and Support requests if applicable,
• Corrective Action if applicable,
• Return Material Authorization if applicable,
• Non-Conformity Form if applicable,

Company Reports is a section in Loran ERP system where both customers and suppliers are evaluated, reported and provided recommended management decisions as needed.

This reporting is not for legal process purposes, it is only to prevent negative situations and scenarios that may occur during Loran project management processes.

For Loran, concrete evidence must be presented for a company to be banned and its business potential to be stopped.

For Suppliers:

• Suppliers that supply inappropriate products and provide misleading information about the authenticity of the product.
• Suppliers who provide products with fake or forge traceability documents.
• Companies that supply products with their own CofC without supplying manufacturer documents.

For Customers:

• Companies that provide contradictory or fake end user documents.
• All companies or persons are listed as "Entity Listed (Blacklisted)" in the International Trade Administration search platform.
• Customers who inquire about the same products with companies called blacklists.