Example - DIN 52306 and DIN 52307

To illustrate how the checklist should be used, an example of a checklist completed for the standards DIN 52306 and DIN 52307 from the point of view of an automobile manufacturer is shown below.

These two standards describe drop tests for testing safety glazing used in road vehicles, DIN 52306 specifying a ball drop test and DIN 52307 specifying a dart drop test. Both standards give detailed descriptions of the test apparatus, test procedures and the interpretation of results, the only difference between the two methods being the shape of the falling body used (ball or dart).
The standard has various impacts, depending on the point of view of the user. For vehicle glazing manufacturers, application of the standard not only involves stricter quality and safety requirements, but also a rationalization effect resulting from the defined test procedures. For their customers - automobile manufacturers - applying the standard increases product quality because of the minimum requirements placed on the test procedures. The checklist below has been completed from the point of view of the automobile manufacturer.

Step 1 - Scope of the standard

The standard describes uniform

1.	manufacturing processes , e.g. procedures, machine usage.
	DIN 52306 and DIN 52307 standardize methods of testing safety glazing, resulting in a standardized manufacturing process. A glazing manufacturer would therefore place a check here. For the automobile manufacturer, however, there is no rationalization effect (because it is the customer in this case) and a check is not placed here.
2.	parts.
3.	interfaces .

The standard describes the

4.	compatibility between systems .
5.	compatibility between procedures.
6.	compatibility between products .

The standard specifies minimum requirements for

7.	a process.
	In these standards minimum requirements are placed on the test procedure, e.g. as regards equipment, the test liquids used, etc.
8.	a productor system.

The standard includes quality requirements for

9.	a process .
10.	a productor system.
	For DIN 52306 and DIN 52307 a check can be placed here, but this is not necessary. When carried out in accordance with the standards, the tests contribute to a higher product quality of the vehicle glazing, i.e. the customer can assume a certain level of product quality.

The standard includes safety requirements for

11.	a process.
12.	a productor system.

The standard includes

13.	a description of a product or system.

14.	descriptions of processes.
	Both standards not only place minimum requirements on the test procedure, but also give a general description of the test.

15.	general information only.

Step 2.1 - Impact on total production costs

Applying the standard has an impact on total production costs

	For the automobile manufacturer, the standard only has an impact on the purchasing of parts, and so the application of this standard does not have an impact on that manufacturer's total production costs.
1.	Applying the standard reduces material usage in production.
2.	Applying the standard reduces machine use / increases throughput, e.g. by reducing machine hours.

Personnel efficiency in production increases due to

3.	standard interfaces or compatibility descriptions.
4.	standard information or product descriptions.
5.	standard processes.

Overhead costs in production decrease due to

6.	standard interfaces or compatibility descriptions.
7.	standard information or product descriptions.
8.	standard processes.

Overhead costs in other departments such as purchasing, sales, etc. decrease due to

9.	standard interfaces or compatibility descriptions.
10.	standard information or product descriptions.
11.	standard processes.

Applying the standard involves different safety requirements, e.g. in terms of on-the-job safety for the manufacturing process used, either

12.	more stringent requirements, or
13.	less stringent requirements.

Applying the standard involves different quality requirements for the manufacturing process used, either

14.	more stringent requirements, or
15.	less stringent requirements.

Applying the standard involves different safety requirements for the product , either

16.	more stringent requirements, or
17.	less stringent requirements.

Applying the standard involves different quality requirements for the product , either

18.	more stringent requirements, or
19.	less stringent requirements.

Applying the standard results in lower costs for your business due to

20.	greater product safety, e.g. decline in liability cases.

21.	greater procedural safety, e.g. reduction in occupational accidents and injuries

22.	greater product quality, e.g. savings due to decline in product complaints and returns

Step 2.2 - Impact on product quantity

Applying the standard results in the production of more units at the same production cost due to

1.	standard interfaces or compatibility descriptions.
2.	standard information or product descriptions.
3.	improved work procedures.
4.	improved machine performance.

Applying the standard results in the production of more units at the same overhead cost in departments other than production due to

5.	standard interfaces or compatibility descriptions.
6.	standard information or product descriptions.
7.	improved work procedures.
8.	improved machine performance.

Applying the standard has an impact on product demand.

	In this case, the product demand of the automobile buyer (end consumer) is meant. This demand is influenced by very different parameters than those covered by DIN 52306 and DIN 52307, however, and no check is placed here.
9.	Customer demand for the product increases due to improved product safety.
10.	Customer demand for the product increases due to improved product quality.
11.	Sales of the standardized product increase due to greater compatibility with other products

Step 2.3 - Impact on product price

For the automobile manufacturer, this standard has no impact on the price of his own products. The standard is relevant for purchasing only, and compliance with the standard does not change the price structure of the vehicles he sells. Therefore this section is left blank.

Applying the standard leads to higher product prices.

Higher costs lead to higher prices because the standard places different

1.	safety requirements on the manufacturing process.
2.	quality requirements on the manufacturing process.

Higher costs lead to higher prices because the standard places different

3.	safety requirements on product characteristics.
4.	quality requirements on product characteristics.

The customer's willingness to pay increases due to

5.	the standardized product safety.
6.	the standardized product quality.
7.	the standardized compatibility with other products.

Applying the standard leads to lower product prices.

Product prices can be reduced because of the lower cost of manufacturing due to

8.	standard interfaces or compatibility descriptions.
9.	standard information or product descriptions.
10.	improved machine performance.
11.	improved machine performance.
12.	less stringent safety requirements.
13.	less stringent quality requirements.

Step 2.4 - Impact on transaction costs

Applying the standard has an impact on the transaction costs involved in the buyer/customer-supplier relationship.

Applying DIN 52306 and DIN 52307 results in a higher product quality. The automobile manufacturer is largely affected by the fact that the incoming parts (e.g. windscreens) no longer need to be tested. Inspection and control costs are no longer incurred, lowering the transaction costs. In this case items 5, 6, 9 and 12 are not checked, although they can be relevant in terms of product liability, for instance when a part is faulty.

Search and information costs, e.g. those incurred when selecting a suitable supplier, decrease due to

1.	standard interfaces or compatibility descriptions.
2.	standard information or product descriptions.

The cost of contract negotiations (e.g. the contract refers to an existing standard) decreases due to

3.	standard interfaces.
4.	standard information or product descriptions.
5.	standard quality or minimum requirements.

The standard has an impact on contracting costs.

6.	The costs of decision-making and securing the contract decrease when applying the standard, e.g. the supplier's liability for his product reduces procurement risks.

7.	Applying the standard reduces adaptation costs for both partners, e.g. due to standard interfaces.

8.	Applying the standard reduces the cost of monitoring the contract partner, e.g. expenditures associated with the inspection of incoming goods decrease.

9.	Applying the standard reduces the cost of ensuring the contract content is acceptable, e.g. lower attorney costs due to clearer content.

The costs of settling the contract decrease due to

10.	standard interfaces, e.g. lower data transfer costs.

11.	standard product descriptions, e.g. referring to the standard simplifies delivery agreements.

12.	standard quality or minimum requirements, e.g. compliance with minimum requirements can be assumed.

Step 3 - Areas of impact

The standard has an impact on the following areas of your business:

	For the automobile manufacturer, the standards have an impact on procurement and inbound logistics because the test is carried by the glazing manufacturer. There can also be an impact on production because the quality management system is influenced by the cost savings resulting from the fact that these tests no longer need to be carried out by the automobile manufacturer.
1.	Inbound logistics (materials receiving, storage, retrieval).
2.	Production (organization, planning, actual production, production strategy, quality management).
3.	Marketing and sales (sales, marketing, customer service).
4.	Outbound logistics (finished goods storage, transport, shipping).
5.	Procurement (procurement strategy, needs management, inventory management, supplier management , negotiations management, supply and logistics management, invoicing management).
6.	Technology development (construction, research & development, maintenance management).
7.	Human resources management (human resources policy, strategy, planning, organization and controlling).
8.	Business infrastructure (business management, accounting, financing, controlling).

In terms of the business environment, the standard has an impact on the following areas:

Procurement markets

Applying the standard changes the situation on procurement markets.

	Using DIN 52306 and DIN 52307 facilitates communications with suppliers and the evaluation of potential suppliers. The range of possible suppliers also increases if it can be assumed all suppliers apply these standards.
9.	Applying the standard makes it easier to evaluate suppliers, especially new ones.
10.	Applying the standard expands the selection of suppliers.
11.	Applying the standard improves the negotiating position with suppliers.
12.	Applying the standard simplifies contacts with suppliers.

Sales markets

Applying the standard changes the situation on sales markets.

	For automobile manufacturers, the standards have no impact on the sales side and therefore this section is left blank.
13.	Applying the standard enables a wider range of customers to be reached.
14.	Applying the standard improves the negotiating position with customers.
15.	Applying the standard results in greater demand.
16.	The standard increases the customer's willingness to pay .
17.	Applying the standard justifies a higher price.
18.	Applying the standard allows customers to connect single components to or assemble them within a system (i.e. improves product compatibility).
19.	Applying the standard improves the product image.

Competition

Applying the standard changes the relationship among competitors.

	Application of the standards has no direct impact on the competitive environment of automobile manufacturers.
20.	Applying the standard leads to a competitive advantage.
21.	The existence of the standard has caused greater pressure from competitors.
22.	The existence of the standard has led to an improved competitive position.
23.	Applying the standard simplifies cooperation with competitors.

Regulatory environment and public image

	Use of the standards is legally binding in Germany as per the national ECE 43 Guideline.
24.	Application of the standard is required by law.
25.	Applying the standard improves the public image.
26.	The standard is applied in connection with a European Directive.