COMP2-SPM-QM-PRC-00002

NFPS Offshore Compression Complexes Project COMP2

COMPANY Contract No.: LTC/C/NFP/5128/20

CONTRACTOR Project No.: 033734

Document Title

COMPANY Document No.

PROJECT NON-CONFORMITY MANAGEMENT PROCEDURE

: COMP2-SPM-QM-PRC-00002

Saipem Document No.

: 033734-Z-Z-00-SPM-QA-P-10003

Discipline

: QUALITY MANAGEMENT

Document Type

: PROCEDURE

Document Category/Class

Document Classification

: 1

: INTERNAL

Digitally signed by Muhsin Perincheeri DN: cn=Muhsin Perincheeri, o=Saipem S.p.A, ou=Quality, email=muhsin.perincheeri@sa ipem.com, c=QA Date: 2023.03.14 17:29:17 +03’00’

sergi o

Digitally signed by sergio DN: cn=sergio, o=Saipem, ou=Quality

Dept.,

email=sergio.mezzotero @saipem.com, c=QA Date: 2023.03.19 18:12:29 +08’00’

14-MAR-2023

05-FEB-2023

14-DEC-2022

Approved for Construction Issued for Approval Issued for Review

Muhsin Perincheeri (PQE) Muhsin Perincheeri (PQE) Muhsin Perincheeri (PQE)

Sergio Mezzotero (PQM) Sergio Mezzotero (PQM) Sergio Mezzotero (PQM)

Ennore Paoli (PD) Ennore Paoli (PD) Ennore Paoli (PD)

REV.

DATE

DESCRIPTION OF REVISION

PREPARED BY

CHECKED BY

APPROVED BY

Saipem S.p.A.

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REVISION HISTORY

Revision

Date of Revision

Revision Description

02-DEC-2022

14-DEC-2022

05-FEB-2023

14-MAR-2023

Issued for Inter-Discipline Check

Issued for Review

Issued for Approval

Approved for Construction

HOLDS LIST

Hold No

Hold Description

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TABLE OF CONTENTS

INTRODUCTION … 4

1.1 PROJECT OBJECTIVE … 4 1.2 PROJECT SCOPE … 4

DEFINITIONS AND ABBREVIATIONS … 6

2.1 DEFINITIONS … 6 2.2 ABBREVIATIONS … 7

REFERENCE, RULES, CODES AND STANDARDS … 7

3.1 COMPANY DOCUMENTS … 7 3.2 PROJECT DOCUMENTS… 8 INDUSTRY STANDARDS … 8 3.3

PURPOSE … 8

AREA OF APPLICATION … 9

RESPONSIBILITIES … 9

6.1 PROJECT DIRECTOR/PROJECT MANAGER … 9 6.2 QC MANAGER/ QC COORDINATOR/SITE QUALITY REPRESENTATIVE … 10 6.3 PROJECT QUALITY MANAGER … 10 6.4 DISCIPLINE LEAD / TECHNICAL MANAGER/ DEPUTY TECHNICAL MANAGER/ENGINEERING MANAGER … 10 6.5 VESSEL/SITE QUALITY COORDINATOR … 10 6.6 NCR ORIGINATOR … 11 6.7 NCR ENTITY … 11

DESCRIPTION OF ACTIVITIES … 11

7.1 WORKFLOW DESCRIPTION … 11

7.1.1

Identification, Evaluation and Recording … 12

7.1.2

Immediate Action … 13

7.1.4 Verification and Close-Out … 14

7.1.5 Notification and Distribution … 14

NON-CONFORMITY RAISED VS. SUBCONTRACTORS & SUPPLIERS … 15

SUBCONTRACTORS RAISED NCRS … 15

RECORDS … 15

REVISION/ CANCELLATION OF NCR … 15

RACI MATRIX … 15

ANNEXURES … 17

ANNEXURE A: NON-CONFORMITY REPORT (NCR) TEMPLATE … 17 ANNEXURE B: PROJECT MASTER NON-CONFORMITY REGISTER … 19

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INTRODUCTION

The North Field is the world’s largest natural gas field and accounts for nearly all of the state of Qatar’s gas production. The reservoir pressure in the North Field has been declining due to continuous production since the early 1990s. The principal objective of the NFPS Project is to sustain the plateau from existing QG South Operation (RL Dry Gas, RGE Wet gas) and existing QG North Operation (QG1 & QG2) production areas by implementing an integrated and optimum investment program consisting of subsurface development, pressure drop reduction steps and compression. Refer to the figure below for a schematic of the North Field.

Qatar Gas Operating Company Limited is leading the development of the North Field Production Sustainability (NFPS) Project.

1.1 Project Objective

The objective of this Project includes:

• Achieve standards of global excellence in Safety, Health, Environment, Security and Quality

performance.

• Sustain the Qatar Gas North Field Production Plateau by installing new Compression Complex facilities CP6S & CP7S in QG south with integration to the existing facilities under Investment #3 program.

• Facility development shall be safe, high quality, reliable, maintainable, accessible, operable,

and efficient throughout their required life.

1.2 Project Scope

The Project Scope includes detailed engineering, procurement, construction, transportation & installation, hook-up and commissioning, tie-in to EXISTING PROPERTY and provide support for start-up activities of the following facilities and provisions for future development. The WORK shall be following the specified regulations, codes, specifications and standards, achieves the specified purpose in all respects. performance, and is safe and fit

for

Offshore

‐

CP6S and CP7S Compression Complexes that are part of QG-S RGE facilities as follows:

• CP6S Compression Complex • Compression Platform CP6S, Living Quarters LQ6S, Flare FL6S • Bridges BR6S-2, BR6S-3, BR6S-4, BR6S-5 • Bridge linked Tie-in to RP6S

Production from existing wellheads (WHP6S & WHP10S) and new wellhead (WHP14S) are routed via riser platform RP6S to compression platform CP6S to boost pressure and export to onshore via two export lines through the existing WHP6S pipeline and a new 38” carbon steel looping trunk line from RP6S (installed by EPCOL). CP6S is bridge-linked to RP6S.

• CP7S Compression Complex • Compression Platform CP7S, Living Quarters LQ7S, Flare FL7S • Bridges BR7S-2, BR7S-3, BR7S-4, BR7S-5 • Bridge linked Tie-in to RP7S

CP7S shall receive production from existing wellheads (WHP5S & WHP7S) and new wellhead (WHP13S). There is only one export line for CP7S through the existing export pipeline from WHP7S. CP7S is bridge-linked to RP7S.

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RGA Complex Destressing

Migration of the Electrical power source, Telecoms, Instrumentation and Control systems from WHPs and RHPs hosted by RGA to the respective Compression Complexes listed below:

• WHP6S, WHP10S, WHP14S, RP6S and RP10S to CP6S Compression Complex • WHP5S, WHP7S, WHP13S and RP7S to CP7S Compression Complex

Destressing of Telecoms, Instrumentation and Control system in RGA Complex Control Room, which would include decommissioning and removal of telecom system devices and equipment that would no longer be required post migration and destressing activity.

Onshore

An Onshore Collaborative Center (OCC) will be built under EPC-9, which will enable onshore based engineering teams to conduct full engineering surveillance of all the offshore facilities. The OCC Building will be located in Ras Laffan Industrial City (RLIC) within the Qatar Gas South Plot. MICC & Telecommunication, ELICS related scope will be performed in the OCC building.

Figure 1.2.1: NFPS Compression Project COMP2 Scope

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2 DEFINITIONS AND ABBREVIATIONS

2.1 Definitions

Definition

Approval Function

Description

Person who directs and ensures the governance of projects (usually Project Manager / Project Director / Site Manager).

COMPANY

Qatargas Operating Company Limited

CONTRACTOR

SAIPEM S.p.A.

Corrective Action

Action taken to eliminate the causes of an existing nonconformity, defect or other undesirable situation to prevent recurrence.

May

Verbal form used to indicate a course of action permissible within the limits of the document.

Non-Conformity

The non-fulfilment of a specified requirement, Synonymous with Non- Conformance or Non-Compliance

NCR Management System

Saipem NCR Management Tool developed with QMIS/D2 software. Detailed User Guide and Frequently Asked Questions (FAQ) are available in the info section, in the right upper side of the NCR Tool.

Process

Product

PROJECT

Set of inter-related resources and activities which transform inputs into outputs.

Result of activities or processes.

NFPS Offshore Compression Complexes Project COMP2

Project Quality Function

Person belonging to the quality Function within the project Team such as PQM, PQE, QCM, QCC and VQC

Quality Management System (QMS)

Responsible Function

All activities of the overall management function that determine the quality policy, objectives and responsibilities, and implement them by means such as quality planning, quality control, quality assurance and quality improvement with CONTRACTOR’s Quality System

Project/Site function with disciplinary responsibility for non-compliant products/services (e.g., Engineering for design of NC-related products, Construction for site activities, Quality for NDT problems, etc.) and therefore responsible for assessing the need to open an NC and/or for defining and implementing appropriate actions to correct the non- compliant product/service.

Root Cause Analysis

A set of analyzing and problem-solving techniques to identify reason for the nonconformity

SHALL

SHOULD

Verbal form used to indicate requirements strictly to be followed to conform to the document.

Verbal form used to indicate that among several possibilities one is recommended as particularly suitable, without mentioning or excluding others, or that a certain course of action is preferred but not necessarily required.

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SUBCONTRACTOR

A party who is providing subcontracted services specified and ordered by CONTRACTOR.

VENDOR(SUPPLIER)

A person, company, or group that is the recipient of a “direct” purchase order who sells materials and equipment that are manufactured, fabricated, assembled, and / or packaged for COMPANY through CONTRACTOR.

SUPPLY / WORK

The provision of goods / the performance of services, or both.

Vendor

CONTRACTOR’s SUPPLIER(s) of CONTRACTOR procured item(s) - Synonym of SUPPLIER

2.2 Abbreviations

Code

Definition

CAR

HSE

NCR

PMT

PQM

QCM

PQE

QA/QC

QMS

Corrective Action Request

Health, Safety & Environment

Non-Conformity Report

Non-Conformity

Project Management Team

Project Director

Project Manager

Project Quality Manager

Quality Control Manager

Project Quality Engineer

Quality Assurance / Quality Control

Quality Management System

3 REFERENCE, RULES, CODES AND STANDARDS

3.1 Company Documents

S. No

Document Number

Title

Exhibit 5 incl. Appendices

PROJECT Instructions

Exhibit 6

Scope of Work

200-20-QM-PRC-00098

Quality Assurance Requirements for SUPPLIERs

200-20-QM-PRC-00099

Quality Control Requirements for SUPPLIERs

PRM-PJM-PRC-004

Major Project Quality Plan

PRJ-000-PRC-008

Lessons Learned

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3.2 Project Documents

S. No

Document Number

Title

COMP2-SPM-QM-SPC-00001

Quality Requirements for Subcontractors

COMP2-SPM-QM-SPC-00002

Quality Requirements for Suppliers

COMP2-SPM-QM-PRC-00001

Lesson Learned Procedure

COMP2-SPM-QM-PLN-00001

Project Quality Plan

COMP2-SPM-QM-PLN-00002

Project Audits Program

COMP2-SPM-QM-PRC-00003

Project Quality Audits Procedure

3.3 Industry Standards

S. No

Document Number

Title

ISO 9000:2015

Quality Management Systems - Fundamentals and Vocabulary

ISO 9001:2015

Quality Management Systems – Requirements

ISO 10006:2017

Quality Management Systems – Guidelines for Quality Management in Projects

4 PURPOSE

This document defines the work process, roles, responsibilities and tools to report, process, control and document nonconformities related (but not limited) to:

• Nonconforming products and services; • Nonconforming Products detected during Inspections conducted at Supplier premises • Special Processes whose results are “embedded” in the product itself (e.g., welding, NDE,

painting, coating, etc.) and production equipment;

• Non-fulfilment of applicable Standards and project specifications; • Defect as such not allowing the product to satisfy the fit, form, or function for which it is

intended.

• Faults and breakdowns having impact on production activities; • Damaged materials discovered at site arrival;

This Project procedure does not apply to:

• Any HSE incident is excluded and is not covered by this standard; • Errors/gaps in engineering activities detected during design verifications and/or cold-eye

reviews

• Defects, failures, and breakdowns during fabrication, construction, and installation that do not affect the regularity of production activities and that can be resolved locally in line with normal practices and approved procedures (e.g., welding defects); these defects are normally recorded through inspection and test reports;

• Failures and breakdowns on production equipment and machineries which have already been recorded and managed according to other procedures, provided that the related production

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performance remains within the project objectives and there is no impact on the quality and completeness of the final product;

• Over (excess) and shortage of material listed in the Packing List or in the Purchase Order,

where specific procedures apply;

• NCRs issued during Audits; • Any variation covered by a management of change.

5 AREA OF APPLICATION

This procedure applies to the management of the Non-Conformities raised during the execution of the scope of work from CONTRACTOR and their SUBCONTRACTORs/VENDORs for the NFPS OFFSHORE COMPRESSION COMPLEXES PROJECT COMP2.

All requirements prescribed within this document shall be flowed down the supply chain by the SUBCONTRACTOR to their TIER-SUBCONTRACTORS/SUB-SUPPLIERs on the base of their relevant Scope of Supply and Scope of Work.

6 RESPONSIBILITIES

The responsibilities listed below are specific to the implementation of this procedure.

All personnel assigned to, or, indirectly supporting the project, possess responsibility to ensure that quality requirements are achieved, whether these requirements are defined by legislation, contract or by Contractor Quality Management System at Project level.

The Project Quality function is responsible for carrying out the following actions:

• Evaluation of suggested correction regarding Quality issues; • Nonconformity Distribution matrix; • Company involvement • Nonconformity signature and transmission to the Approval Function

The Responsible Function carries out the correction within the defined time, giving written information of the successful implementation and verification to all parties involved (Quality and Approval functions as a minimum).

The Project Quality Function verifies if the correction is carried out properly through the execution of required inspections or checks; if the correction is satisfactorily carried out, the Nonconformity is considered closed and shall be registered in the Nonconformity Register; its content shall allow to retrieve all NCs information.

The Approval Function, with the support of the Responsible function, is responsible for carrying out the following activities:

• Evaluation of suggested correction regarding Contractual/Time/Cost

issues (where

applicable);

• Nonconformity signature and transmission to the Project Quality Function for registration.

The following roles are considered as having specific responsibilities relating to the success of Contractor’s quality objectives;

6.1 Project Director/Project Manager

• Ensure review of relevant nonconformity reports and initiating corrective actions through the

responsible person as necessary (in cooperation with the Quality Manager);

• Provide support to the investigation of the nonconformity as required;

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• Ensure nonconforming items are removed from service, quarantined and addressed as

appropriate;

• Ensure nonconforming items already installed are identified and addressed as appropriate; • Ensure nonconforming activities are stopped once identified.

6.2 QC Manager/ QC Coordinator/Site Quality Representative

• Verify proper Non-Conformity detection and recording, as well as immediate actions (if any),

starting cause (if any) and relevant corrections/corrective actions implementation;

• Ensure that all non-conformance reports are reported whenever they occur; • Ensure that Fabrication/Operations Manager is informed about any Non-conformity; • Carry out with the responsible person an investigation of the Non-conformity identifying the

possible causes that have might have caused the non-conformity; Issuing the non-conformance Report;

• • Signing the NCR approval process to be followed if non-conformity is remedied; • Provide all the NC inputs to keep updated the Overall Master NC register.

6.3 Project Quality Manager

• Ensure relevant personnel are informed of identified trends; • Ensure compilation of Quality statistics as required; • Ensure raising of nonconformity reports upon identification of a nonconformity; • Ensure nonconformity reports are raised to cover nonconformities identified by Company and

Third Parties when necessary;

• Ensure correction/corrective actions are implemented; • Ensure nonconformities are recorded and closed out; • Collect and analyzing all the data on recorded non-conformities; • Carry out initial investigation/analysis of the nonconformity as necessary; • Analyze and review proposed by NCR Entity Root Cause Analysis Report; • Take measures to start up corrections/corrective actions along with Discipline Lead and /or

Discipline Manager or the QA/QC Function;

• Compilation and submission of nonconformity reports; • Sign the NCR as applicable; •

Issue the NCR report to the Company as per contractual requirements.

6.4 Discipline Lead / Technical Manager/ Deputy Technical Manager/Engineering Manager

This role is dependable on current, specific Non-Conformity situation and specific involved function that the situation refers to.

Main responsibilities of Discipline Lead w.r.t NCR management are:

• Act as an NCR Originator when required; • Proposing and/or reviewing the immediate actions • Define the starting cause with the support of the Project Quality Management Team • Proposing and/or reviewing proposed Correction; • Performing Root Cause Analysis and/or reviewing and analyzing Root Cause Analysis by

NCR Entity, define the corrective actions.

6.5 Vessel/Site Quality Coordinator

• Act as an NCR Originator when required; •

Implement/Maintain Nonconformity Reports register on vessel/site;

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•

Initial notification sent to Project Quality Engineer/Manager and/or Quality Manager and, if required, through specific reporting system; • Ensure report is compiled fully and closed out; • Cooperate to define any relevant corrective actions (in conjunction with the relevant

Department/Project Manager/Vessel Support as necessary).

6.6 NCR Originator

This role is dependable on current, specific Non-Conformity situation and is rather of a cross functional nature. Every project team member that is involved in engineering, fabrication, offshore operations, material receipt, project management etc. is encouraged to raise an NCR or to suggest rising an NCR whenever the breach of requirements or a failure is noticed.

Main responsibilities of NCR originator are:

Identifying failure/breach of requirements;

• • Rising a Non-Conformity Report; • Sharing NCR with Project Quality Department (Project Quality Manager/Engineer/QC team); • Follow-up of corrections and implementation of corrective actions (if any).

The Contractor originator MUST use the NCR form in the Appendix B.

6.7 NCR Entity

This role is dependable on current, specific Non-Conformity situation. The Entity might be:

• CONTRACTOR on behalf of their Subcontractor; • CONTRACTOR on behalf of their VENDOR • CONTRACTOR Fabrication Yard; • CONTRACTOR Operating Vessel; • CONTRACTOR PMT; • Company; • CONTRACTOR on behalf of Company (if requested by the Company).

Main responsibilities of NCR Entity are:

Identifying Corrections; Implementing accepted Corrections;

• Acknowledgment of NCR received; • • • Undertaking a Root Cause Analysis investigation (where applicable) to identify the cause of failure(s) and define the related preventive/corrective actions if there are the conditions.

7 DESCRIPTION OF ACTIVITIES

7.1 Workflow Description

Management of nonconformities includes the following activities:

Identification, evaluation and recording; Immediate action

• • • Correction, RCA, Preventive / Corrective Action • Verification and close-out; • Notification and distribution

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7.1.1

Identification, Evaluation and Recording

Non-conformity can occur at any of the following contexts, during any of possible project EPCI phases:

Internal Non-Conformity (notified by Contractor internally within organization)

• • Company / Third Parties Notified Non-Conformity to Contractor; • Non-Conformity notified by Contractor in regard to CPI (Company Provided Items) (CIM/FIM,

Company/Free Issued material);

• Non-Conformity notified by Contractor to its Subcontractors; • Non-Conformity notified by Contractor to its Suppliers

A potential Nonconformity shall be raised to Quality function for its evaluation by Originator (every function that detects the potential NC)

The Responsible Function (e.g., engineering, construction, other relevant functions), in charge of product conformity, has the duty, with the coordination of the Project Quality function, to define if the potential issues must be managed as Nonconformities.

In the event that the Responsible Function does not agree with the Originator and/or the Project Quality Function on the need to raise a nonconformity report, the evaluation of the NC may be deferred to a higher hierarchical level.

Once the Nonconformity is validated as such, the relevant “Nonconformity Report” Form shall be prepared by the Quality Function containing the following information:

• Nonconformity date and title; • Clear and brief NC description; • Quality and Responsible Functions involved; • Information of Project/Site/Production phase; • Work operation reference documents (e.g.: requirement, drawing, specification, procedure,

standard, code, etc.);

• Quality / Responsible/ Approval Function involved • • NC category:

Item information (item tag, system, subsystem, area, WBS, etc.) as applicable;

Internal to Vendor/Subcontractor from Company / Third Party to Company

• Vendor/Subcontractor) involved and related PO/Contract, item and position number, if

applicable;

• attachments (photos, sketches, extract of document/standard, screenshots, etc.), if any.

Project Quality Function is in charge to record and manage the NCR information within the NCR Management System/ database tool (D2) from the project start until the end of activities.

The Quality function can generate a hard copy of the NCR (e.g., pdf) every time it is necessary to collect signatures and signed copy should be uploaded into the system for evidence.

The Project Master NCR Log shall be updated on weekly basis to strictly monitor the NCR status and list of the pending NCRs to be sent to all the responsible owners on weekly basis to be followed up and properly closed.

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NCR shall be written directly in the NCR Management System, which automatically assigns a unique sequential number to the specific NCR, using the following codification:

XXXXX-YY-NCR-AAAA

where XXXXX specifies the Project number; YY identifies the issuing department, AAAA is the progressive NCR number.

In case of specific Client requirements for NCR numbering, in addition to the code automatically generated by the NCR Management System, the “Company NCR number” can be added within the tool and inside the report.

7.1.2

Immediate Action

If an immediate action shall be taken upon the NC detection, the Responsible Function shall assure that:

• product/equipment is clearly identified and managed separately to avoid its use (e.g.,

segregation in a quarantine area);

• product/equipment already installed is identified and kept under control through marking and

traceability to prevent its unintended use (i.e., labelling, barricading);

• suspension of services/site activities.

Segregation or suspension shall be maintained till resolution of correction.

7.1.3 Correction, RCA, Preventive / Corrective Action

The Responsible Function, is in charge to define the Correction draft, including the following information:

• Correction Type and planned implementation due date; • Starting Cause; • Correction Description.

In case of nonconformities issued to VENDOR/SUBCONTRACTOR, this has the duty to propose a Correction draft that shall be agreed with the Responsible Function.

The Project Quality Function (i.e., PQM/PQE/QCM or member of the project quality team delegated by him/her with appropriate seniority), is responsible for confirming the suitability of the correction proposed and to update the NCR Management System accordingly.

Nonconformity correction shall be identified among the following:

Accept as is

Accept as-is shall be supported by a written Concession Request with COMPANY approval.

Repair

The purpose of repair is to bring nonconforming material into a fit for purpose condition. It shall be supported by a remedial action plan consisting of a step-by step outline, as a minimum, and shall reference applicable documents for any special processes essential for the repair. Inspection and testing requirements shall be in accordance with the original requirements or approved alternatives (i.e. project ITP’s). Repair Procedures shall be approved by Company in advance.

Rework

Nonconforming material shall be reprocessed to make it compliant completely to the drawings, specifications or contract requirements. Inspection and testing requirements shall be in accordance with the original requirements or approved alternatives (i.e. project ITP’s).

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Reject (Scrap)

If none of the above correction types can be applied, the item(s) subject to NCR should be scrapped to prevent their further use. New items shall be purchased as required.

Once the correction is defined, the relevant Approval Function must approve it.

Project Quality Manager or nominated person working on work site (including SUBCONTRACTORS premises) in cooperation of specific Discipline Lead are responsible for determining the Agreed Completion Date (ACD) for all the raised NCRs.

When the ACD is reached and the violation is not yet corrected, but objective evidence is available to prove that the violation is being rectified or actioned, an extension to a new ACD will be proposed.

Objective Evidence can be one of the following but not limited to below.

• Copy of change order to fix a problem; • PO to replace a non-complying material or service; • Method Statement(s) for Repairing Non-Conforming Work, etc., submitted.

7.1.4

Verification and Close-Out

The Project Quality Function is accountable to verify if the correction is conducted properly through the execution of required inspections / checks.

If the non-conformity is remedied, the NCR Originator receives the “NC Report” from the person in charge of implementing the remedial actions (corrections) and sends it to the Project Quality Manager (including VENDORS/SUBCONTRACTORS premises) that can sign it, provided all documentary evidence has been submitted.

on Contractor work

person working

nominated

site

If Non-conforming manufactured items or service provided are not considered acceptable, re- working or repairs did not rectify the failure, these items shall be identified as ON HOLD since the identification of an NCR.

If the items after corrections, re-working or repairs are considered acceptable, the Project Quality Manager or nominated person working on Contractor work site (including SUBCONTRACTORS premises) removes the term “HOLD” from the product and/or restores operations and updates the “Non-Conformity Log”.

NCR will be considered closed only after the positive assessment by Contractor Project Quality Manager/QC Manager/Coordinator that Corrections are put addressed and implemented.

Once the NCR is closed, the same is registered accordingly in the overall Master Project NCR register, including all relevant supporting documentation and it will be communicated to all parties concerned.

Final version of signed NCR, together with supporting documentations, shall be uploaded in the NCR Management System (i.e., pdf version).

7.1.5 Notification and Distribution

At the beginning of each project the PQM/PQE shall define a distribution list, considering project requirements and it shall include POSE and PROC Function for nonconformities issued to Vendor. This list must be recorded in the “NCR distribution list” Form and approved by PM/PD.

The Project Quality Function shall send a NC notification according to the distribution list, within 48 hours from occurred nonconformity (unless a tighter time frame is required from the project), including the following data:

•

reference to the impacted product (Item identification);

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• nonconformity description; • all necessary explanatory documents and attachments.

8 NON-CONFORMITY RAISED VS. SUBCONTRACTORS & SUPPLIERS

The Project Discipline Manager/Lead responsible the QC Manager/Coordinator informs the Project Manager or Quality Management/Coordination function who contacts the Subcontractors to report the recorded non-conformity, requesting the actions (contents and times) needed to remedy the problem.

for production/operation or

The Project Discipline Manager/Lead with the support of the QC Manager/Coordinator checks the remedial actions suggested by the Subcontractor, indicating them on the “NC Report” form and attaching the communication from Subcontractor (if available).

9 SUBCONTRACTORS RAISED NCRS

The Subcontractors and Suppliers shall have their own NC Management procedures in place. If not, then this document shall apply.

In case of supplier(s)/subcontractor(s) NCRs, they may use template available within their own Quality Management System but in any case, the template shall be approved by the CONTRACTOR.

10 RECORDS

Overall, Master Project NCR register, NCRs templates and all attachments as evidence of the NCR management shall be maintained by Project Quality Manager or by appointed personnel. This register shall contain the reports and the evidence to demonstrate conformity to contract requirement(s).

List of Forms related to this procedure.

SL No Form No.

Form Title

COMP2-SPM-QM-FRM-0003 Rev 0 Non-Conformity Report (NCR)

COMP2-SPM-QM-FRM-00010 Rev 0 Non-Conformity Report Log

11 REVISION/ CANCELLATION OF NCR

For any reason NCR may be revised, the revision will be then notified to all the parties who were involved in the approval of the previous revision. NCR shall be cancelled when the failure is no more applicable to the requirement that were violated to originate the report. The same shall be notified to CONTRACTOR/COMPANY with regards to NCRs for concurrence.

12 RACI MATRIX

The RACI Matrix identifies the main activities of the project site nonconformities process, the actors involved and their responsibilities.

RACI MATRIX

R Responsible A Accountable C Consulted I Informed

Performs the activity Ultimately accountable for the activity Contributes to the activity Addressee of the information of activity completion

COMP2-SPM-QM-PRC-00002_00

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NFPS Offshore Compression Complexes Project COMP2

PROJECT NON-CONFORMITY MANAGEMENT PROCEDURE

NC MANAGEMENT

RESPONSIBILITIES

ACTIVITY DESCRIPTION

ORIGINATOR

QUALITY FUNCTION

RESPONSIBLE FUNCTION

APPROVAL FUNCTION

COMPANY

SUBCONTRACTOR/ SUPPLIER

Identify a potential NC

Define whether a potential NC has to be managed as NC

Define whether an Immediate Action should be applied to NC Implementation of Immediate Action Opening of NC and creation into the Quality System tool

Distribute the NCR

Define the Correction

Confirming the suitability of proposed correction Approval of the correction Implementation of Correction Proposed Verify the Implementation of Correction and Close the NC

E S A H P G N N E P O

E S A H P N O I T C E R R O C

D N A N O I T A C I F I R E V

T U O

E S O L C

R/A

Legend: *: when Vendor/Subcontractor is involved.

C*/I*

COMP2-SPM-QM-PRC-00002_00

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NFPS Offshore Compression Complexes Project COMP2

PROJECT NON-CONFORMITY MANAGEMENT PROCEDURE

13 ANNEXURES

ANNEXURE A: Non-Conformity Report (NCR) Template

COMP2-SPM-QM-PRC-00002_00

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NFPS Offshore Compression Complexes Project COMP2

PROJECT NON-CONFORMITY MANAGEMENT PROCEDURE

COMP2-SPM-QM-PRC-00002_00

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NFPS Offshore Compression Complexes Project COMP2

PROJECT NON-CONFORMITY MANAGEMENT PROCEDURE

ANNEXURE B: Project Master Non-Conformity Register

COMP2-SPM-QM-PRC-00002_00

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Project: Q-21699 - Saipem COMP2 Folder: RFQ Files

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T U O

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