Quality Management System for Project Delivery - Code of Practice

This Code of Practice provides a standardised approach to Quality Management in projects and gives direction to Project Management Teams. It ensures that quality is consistently applied and implemented in PDO projects.

Document title: Quality Management System for Project
Delivery - Code of Practice.

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i Document Authorisation
Authorised For Issue – August 2017

ii Revision History
The following table lists the four most recent revisions to this document. Details of all revisions
prior to these are held on file by the issuing department.
Version No. Date Author Checked Scope / Remarks
1.0 Sep. 09 UEQ UEOD First Issue
2.0 Aug. 14 UEQ UEOD Format revised, Quality Road Map
added, FELT Review Comments
incorporated.
iii Related Business Processes
Code Business Process
ORP Opportunity Realisation Process
iv Related Corporate Management Framework (CMF) Documents
The related CMF Documents can be retrieved from the CMF Document Control.
Doc. ID Document Title
Policy
PL-15 Quality Management Policy
Code of Practice
CP-117 Project Engineering Code of Practice
CP-114 Maintenance & Integrity Management Code of Practice
CP-180 Recruitment Code of Practice
CP-131 Risk and Opportunity Management
CP-129 Contracting and Procurement - CoP
CP-142 Audits and Reviews Code of Practice
Specification
SP-2061 Engineering and Operations Technical Authority System
SP-1122 Specification for Project Quality Plan
SP-1171 Specification for Quality Management System for Product and Service
SP-2065 Document Management for Projects

Procedure
PR-1247 Project Management of Change Procedure
PR-1029 Competency Assessment and Assurance
PR-1568 Corporate Document Management Procedure
PR-1233 Contract & Procurement Procedure
PR-1866 Quality Audit Procedure
PR-2052 Project Quality Management system Review
PR-2053 Control of Non-Conforming Product Procedure
PR-2066 Managing Deviations from Standards and Procedures
Guideline
GU-611 PDO Guide to Engineering Standards and Procedures
GU-711 Model Project Quality Plan
v Related International Standards
ISO9000 Quality Management System – Fundamentals and Vocabulary
ISO9001 Quality Management System – Requirements
ISO9004 Managing for the sustained success of an organization —
A quality management approach
ISO10005 Quality Management Systems – Guidelines for Quality Plans
ISO10006 Quality Management Systems – Guidelines for quality management in projects
ISO10015 Quality Management – Guidelines for Training
ISO19011 Guidelines for Auditing Management Systems
ISO/TS 29001 Quality Management Systems – requirements for the design, development,
production, installation and service of products for the petroleum,
petrochemical and natural gas industries
ISO/TR 10013 Guideline for quality management system documentation

TABLE OF CONTENTS
i Document Authorisation........................................................................................................ 3
ii Revision History.................................................................................................................... 4
iii Related Business Processes................................................................................................. 4
iv Related Corporate Management Framework (CMF) Documents..........................................4
v Related International Standards............................................................................................5
1 Introduction........................................................................................................................... 8
1.1 Background..................................................................................................................... 8
1.2 Purpose........................................................................................................................... 8
1.3 Scope.............................................................................................................................. 9
1.4 Objective.......................................................................................................................... 9
1.5 Distribution/Target Audience...........................................................................................9
1.6 Review and Improvement.............................................................................................. 10
1.7 Step-out and Approval................................................................................................... 10
1.8 Terminology, Definitions and Abbreviations...................................................................10
Term / Abbreviation.................................................................................................................... 10
Definition (or meaning for the purpose of this document)...........................................................10
2 Managing Project Quality.................................................................................................... 13
2.1 Quality Policy................................................................................................................. 13
2.1.1 PDO Corporate Quality Management Policy PL-15................................................13
2.2 Management Responsibility........................................................................................... 14
2.3 Roles and Responsibilities............................................................................................. 15
2.3.1 Head of Quality UEQ.............................................................................................. 15
2.3.2 Business Opportunity Manager (BOM) / Project Manager or Engineer (PM / PE). .15
2.3.3 Project Quality Manager/Asset Lead Quality Engineer...........................................16
2.3.4 Senior Quality Assurance Engineer........................................................................16
2.3.5 Quality Assurance Engineer....................................................................................17
2.3.6 QC Inspectors......................................................................................................... 18
2.3.7 Disciplines............................................................................................................... 18
2.4 Quality Management System Structure and Documentation Hierarchy.........................18
2.5 Quality Management Deployment Model.......................................................................19
2.6 Scaling / Application of a QMS......................................................................................19
2.7 Quality Planning............................................................................................................. 21
2.8 Resource Management................................................................................................. 27
2.9 Quality Training.............................................................................................................. 28
2.10 3rd Party Inspection Agencies.......................................................................................28
2.11 Measurement, Analysis and Improvement.....................................................................29
2.12 Audits & Reviews........................................................................................................... 29

2.13 Key Performance Indicators........................................................................................... 29
2.14 Non-conformities............................................................................................................ 30
2.15 Quality Improvement...................................................................................................... 30
3 Appendices......................................................................................................................... 31
Appendix 1 Risk Form................................................................................................................ 32
Appendix 2 Quality Activities and Deliverable Guideline Road Map..........................................33
Appendix 3 Project Quality Delivery Plan..................................................................................35
Double click on the icon for opening the file...............................................................................35
Appendix 4 PQP Narrative Checklist.........................................................................................36
Appendix 5 Quality Management Key Performance Indicators.................................................37

Code of
Practice -190
Laws and
Regulations
Project Quality
SP-1122
SP-1171
Quality Risks
1 Introduction
1.1 Background
In the majority of significant major incidents (irrespective of whether they are financial,
safety or operational by nature), investigations conclude there were often inherent
weaknesses in, and a lack of commitment to, the management of quality throughout the
business processes.
For any project to function effectively there must be a clear and well thought out
framework of business controls applied - Opportunity Realisation process (ORP),
Quality Management is one of those controls and is aimed at assuring compliance with
requirements, however the existence of good management system does not in itself
guarantee a quality product; this has to be accomplished via a combination of technical
competence and, most importantly, adherence by all contributors to the system.
1.2 Purpose
The purpose of this Code of Practice is to ensure that quality is consistently applied and
implemented in PDO projects by supporting the ORP to provide a standardised
approach to Quality Management in projects and give direction to Project Management
Teams. See Fig 1.
Quality Management
Activitites
(Quality Planning)
Front-end
Development /
Engineering
Execution
Detail
Design
Procurement Construction/
Commissioning
and Hand-over
Fig 1
Interfaces with other PDO related assurance activities including Flawless Project
Delivery (FPD), Operational Readiness (OR), Asset Integrity Process Safety
Management (AIPSM) and the Discipline Controls and Assurance Framework (DCAF)
have also been taken into account.
It is acknowledged that there is a degree of overlap between these activities:
IdentifyAssessSelectDefineExecuteOperateSupport Processes: Risk Mgt, HSE, Procurement, Cost & Planning, Finance etc.
Related Assurance activities: FPD, DCAF, OR, AIPSM etc.

 FPD / OR and DCAF apply a specific level of QA/QC to individual activities;
 A QMS provides the overall system framework within which all these activities
are effectively managed and improved.
It is therefore important that the boundaries and interfaces are clearly defined and
agreed during the opportunity framing with the relevant accountabilities, responsibilities
captured in the Project Quality Plan (PQP), See SP-1122 Specification for Project
Quality Plan.
1.3 Scope
This CoP shall be applicable to all phases of a project as defined in the ORP (ORS) and
CP-117, up to and including the hand-over of the Asset.
Plant changes during the operating phase are also included, irrespective of size.
Subsurface and well engineering activities, as well as operations and maintenance
activities after project handover are excluded.
1.4 Objective
The primary objective is to set the recommended standard for project quality
management related activities by;
 Providing a road map for project managers/engineers, quality managers, quality
engineers and others in determining the right level of quality to suit their
particular project.
 Providing direction and outline the quality management principles and
practices; the implementation of which are important to, and have an impact on,
the achievement of quality objectives in delivering projects
In its simplest format, quality is delivered via the Deming PDCA cycle – See Fig 2.
Fig 2
1.5 Distribution/Target Audience
This Code of Practice is applicable to all PDO-staff and contractors who are involved in
the processes and activities directly related, or in support, to the delivery of a project or
modification to an existing Asset.
1.6 Review and Improvement
CP-190 shall be reviewed every three (3) years. In case of change in company policies
or long term directions, it may be necessary to update and re-issue at an appropriate
time to ensure PDO’s current position is reflected.
Plan: Design or revise business process components
to improve results
Do: Implement the plan and measure its performance
Check: Assess the measurements and report the
results to decision makers
Act: Decide on changes needed to improve the
process

1.7 Step-out and Approval
Any changes that need to be made to this Code of Practice shall be forwarded to the
Corporate Functional Discipline Head (CFDH) for Quality Management UEQ, See PR-
1247 Project Management of Change Procedure and PR-2066 Managing Deviations
from Standards and Procedures.
1.8 Terminology, Definitions and Abbreviations
Table 1 below lists the terminologies, definitions and abbreviations used throughout the
text of this document, wherever the term ‘project’ occurs, it may also mean ‘opportunity’.
Throughout this document the term Quality Management System (QMS) is used to
describe the Quality System through which QM is implemented.
This CoP uses “Shall” , “Should” and “May” in the following context:
“Shall” indicates a mandatory requirement and dispensation can only be granted by the
relevant authority. “Should” indicates a recommendation and “May” indicates a possible
course of action and is optional.
Table 1
Term /
Abbreviation
Definition (or meaning for the purpose of this document)
Accountability Being liable for certain actions to be taken and results achieved.
Accountability = Responsibility + Authority.
AI-PSM Asset Integrity Process Safety Management.
Audit
Systematic, independent and documented process for obtaining audit
evidence and evaluating it objectively to determine the extent to which audit
criteria are fulfilled.
BMS
Business Management System. A set of policies, practices, processes &
procedures used in developing strategies, their execution and all associated
management activities.
BOM Business Opportunity Manager.
BFD Basis for Design.
CFDH Corporate Functional Department Head.
Change
A planned action to revise: a rule, procedure, standard, process, hardware
(including equipment and plant configuration) or organization. The approval of
a change must be obtained in advance of its implementation.
CMF Corporate Management Framework.
Company Petroleum Development Oman.
Contractor A third party (person, company, joint venture) employed to complete a specific
task on behalf of the Company.
CCMS Project Completions Management System.
CoP Code of Practice.
CQP Contract Quality Plan.
CSR Company Site Representative.
DCAF Discipline Control Assurance Framework.
DE Decision Executive
Deviation
A proactive and planned intentional or approved non-compliance with
mandatory requirements of a procedure, standard or specification. The
justification shall be submitted for review and approval obtained from an
appropriate technical authority prior to the deviation taking effect. A deviation
can be temporary, but will often be permanent for a specific installation.

Term /
Abbreviation
Definition (or meaning for the purpose of this document)
DRB Decision Review Board, led by the Decision Executive
EMC Engineering Maintenance Contract.
EPC Engineering, Procurement, Construction.
FAT Factory Acceptance Test.
FEED Front End Engineering Design.
FPD Flawless Project Delivery.
Inspection Conformity evaluation by observation and judgement accompanied as
appropriate by measurement, testing or gauging.
ISO International Organisation for Standardisation.
ITP Inspection and Test Plan.
KPI Key Performance Indicator.
Monitoring To check periodically and systematically. It does not imply that any action will
be taken.
MS Management System. System to establish policy and objectives and to
achieve those objectives.
NCR Non-Conformance Report.
NDT Non-Destructive Testing.
Nonconformity Non-fulfilment of a requirement.
ODC Off-plot Development Contract.
OR Operations Readiness
ORM Opportunity Realisation Manual
ORP Opportunity Realisation Process.
ORS Opportunity Realisation Standard
PAP Project Assurance Plan.
PCAP Project Controls and Assurance Plan.
PDO Petroleum Development Oman LLC.
PE Project Engineer
PEP Project Execution Plan.
PM Project Manager
PQP Project Quality Plan.
Project
Unique process, consisting of a set of coordinated and controlled activities with
start and finish dates, undertaken to achieve an objective conforming to
specific requirements, including the constraints of time, cost and resources.
Quality Plan Document specifying which procedures and associated resources shall be
applied by whom and when to a specific project (product, process or contract).
Project Team Team involved in the project for the purpose of monitoring activities of the
Contractor in all project phases.
Procedure Specified way to carry out an activity or a process.
PWR Practices Worth Replicating.
QA Quality Assurance. Part of quality management focused on providing
confidence that quality requirements will be fulfilled.
QC Quality Control. Part of quality management focused on fulfilling quality
requirements.
QM Quality Management. Coordinated activities to direct and control an
organisation with regard to quality.

Term /
Abbreviation
Definition (or meaning for the purpose of this document)
QMS Quality Management System. Management system to direct and control an
organisation with regard to quality.
RASCI Responsible, Accountable, Supporting, Consulted and Informed.
Record Document stating results achieved or providing evidence of activities
performed.
Responsibility The execution of a delegated task, activity or process. Being required to
undertake specific actions.
Review Activity undertaken to determine the suitability, adequacy and effectiveness of
the subject matter to achieve established objectives
TA Technical Authority.
TBC To be confirmed.
TBD To be developed.
TI Technical Integrity.
TPI Third Party Inspection.
VAR Value Assurance Review.
Verification Confirmation through to the provision of objective evidence that specified
requirements have been met.

2 Managing Project Quality
The commitment and active involvement of the project and functional leadership
team(s) is essential for developing and maintaining an effective QMS.
This CoP has been based on eight (8) management principles which underpin
successful Quality Management:
 Principle 1 – Customer focus: Organizations depend on their customers and
therefore should understand current and future customer needs, should meet
customer requirements and strive to exceed customer expectations.
 Principle 2 – Leadership: Leaders establish unity of purpose and direction of the
organization. They should create and maintain the internal environment in which
people can become fully involved in achieving the organization’s objectives.
 Principle 3 – Involvement of people: People at all levels are the essence of an
organization and their full involvement enables their abilities to be used for the
organization’s benefit.
 Principle 4 – Process approach: A desired result is achieved more efficiently when
activities and related resources are managed as a process.
 Principle 5 – System approach to management: Identifying, understanding and
managing interrelated processes as a system contributes to the organization’s
effectiveness and efficiency in achieving its objectives.
 Principle 6 – Continual improvement: Continual improvement of the organization’s
overall performance should be a permanent objective of the organization.
 Principle 7 – Factual approach to decision making: Effective decisions are based on
the analysis of data and information.
 Principle 8 – Mutually beneficial supplier relationships: An organization and its
suppliers are interdependent and a mutually beneficial relationship enhances the
ability of both to create value.
2.1 Quality Policy
The project quality policy shall support the overall corporate and project objectives; It is
a means by which PDO and/or a project organisation is able to channel its actions in
meeting its specific objectives towards Quality.
2.1.1 PDO Corporate Quality Management Policy PL-15
It is PDO’s policy that working practices and a Quality Management System that aligns
with the requirements of Code of Practice 190, shall be applied throughout our
organization that:
 Make Quality Management an integral part of normal business activities.
 Provides adequate resources throughout the organization, ensures competency
of personnel by developing and maintaining a healthy Skillpool of Quality
professionals and includes Quality performance as part of staff performance
appraisal and reward.
 Ensure completed works and Assets comply with the requirements of
Engineering Design, the laws of the Sultanate of Oman and Internal Standards.
 Establish Business Performance and Project Delivery quality objectives and
targets; measure, appraise and report quality performance.
 Achieve continuous improvements in Business and Project Delivery
performance.
 Engages future Asset-owners to align Project definitions and delivers Flawless
start-up.

The impact of this policy is that there is a Quality Management System established,
maintained and continually improved that aligns with the requirements of PDO Code of
Practice CoP-190. The Quality Management System includes key matrices, which will
be used to monitor the effectiveness of the system in contributing to top quartile
performance.
The purpose of this policy is to:
 Ensure understanding of PDO’s commitment to Quality by recognizing Quality
performance and accountability.
 Ensure Engineering Designs are clearly documented and agreed with the
Business and Project owner that address specified Asset Integrity and Process
Safety requirements.
 Ensure commitment to develop and allocate competent Quality resources
within PDO Assets and Projects.
 Create a culture in which PDO and contractor employees are encouraged to
share PDO’s commitment to QM principles.
 Promote best QM practices within the Oil and Gas industry of the Sultanate of
Oman.
 Implement individual accountability to comply with QM requirements.
NOTE: Any individual project Quality objectives shall as a minimum address and
comply with PL - 15.
2.2 Management Responsibility
The achievement of the quality objectives is a management responsibility, therefore the
commitment and active involvement of PDO senior management and /or project
organisations are essential for developing and maintaining an effective QMS.
Typical actions required to demonstrate commitment:
 Applying PDO Corporate Quality Management Policy (PL-15)
 Providing the infrastructure and resources to ensure achievement of the project
quality objectives;
 Making decisions based on data and factual information;
 Empowering and motivating all project personnel to improve the project
processes and product;
 Planning for future preventive actions (continual improvement process)
The project top management shall nominate a quality management representative who
must have sufficient responsibility and authority for identifying and resolving quality
issues and retain a high degree of independence and objectivity.
Key performance indicators (KPI’s) should (dependant of size of Project and Risk) be
developed and agreed for monitoring and steering quality performance throughout the
project (See Section 2.13).
Management shall ensure that Contractors also identify suitable quality resources which
will be subject to acceptance by the project team and/or CFDH.
Contractors management shall also define their commitment to execute the project in
accordance with ISO/TS 29001 and SP-1171.
2.3 Roles and Responsibilities
Quality related responsibilities in projects are described below (See also CP-117
Project Engineering CoP, CP-180 Recruitment Code of Practice and SP-1122
Specification for Project Quality Plan), specific project related responsibilities of

individuals may be further described in individual project documents and/or procedures
and specifications.
2.3.1 Head of Quality UEQ
Head of Quality (UEQ) is the Management Representative who, irrespective of other
responsibilities, shall have responsibility and authority that includes:
 Ensuring that processes needed for the QMS are established, implemented
and maintained (PDO Quality Technical Authority TA1);
 Reporting to the Engineering & Operations Director UEOD on performance of
the QMS and any need for improvement, and
 Providing support and guidance to all Project Teams on quality related matters
and ensuring competent quality (QA/QC) resources are available within the
Project Teams.
UEQ is also responsible for the quality management system review: ensure its
continuing suitability, adequacy and effectiveness. Key project personnel shall be
invited to contribute to the reviews as appropriate. These reviews shall be formal, and
recorded in detail, to monitor the effectiveness of the QMS. These reviews are
described in the Project Quality Management System Review Procedure PR-2052 and
compliment the ongoing feedback and continual improvement of the QMS in its day-to-
day implementation.
2.3.2 Business Opportunity Manager (BOM) / Project Manager or Engineer (PM / PE)
The BoM/PM/PE has overall responsibility for quality and its implementation at every
stage of the project. The BOM/PM/PE should ensure that the project QMS is reviewed
at regular intervals ensuring its continuing suitability, adequacy and effectiveness.
Where repetitive projects (portfolio of projects) are covered within a single contract
scope, a single QMS / PQP may be developed (see sections 2.4, 2.6, 2.7), underpinned
by level 3, 4 documents / deliverables.
 Suitability is judged by its ability to sustain current performance;
 Adequacy is judged by its ability to deliver the project that satisfies
requirements, standards and regulations;
The review output should include decisions and actions related to the improvement of
the effectiveness of the project QMS, its processes and related resource needs.
Further responsibility and authority include;
 Ensure that project quality requirements are addressed and included within the
PEP.
 Establishing the budget and resource estimate for quality: ensuring that
appropriate quality resources are available within their respective project team
and contractors organisations in order to achieve PDO’s Quality Policy &
Objectives;
 Establish, implement and maintain the project QMS including quality strategy
and PQP;
 Ensure that project quality requirements are included within contract documents
and that contractors, subcontractors and vendors comply with project QMS
requirements;
 Team development to ensure all project personnel are aware of quality
responsibilities;
 Promoting a consistency of approach & sharing learning across projects and for
promoting continual improvement within their project organisation;

 Taking the appropriate action necessary to address quality issues impacting
project delivery including document reviews, and corrective and preventive
actions are completed in a timely manner;
 Making use of available quality related information to evaluate options and
make decisions;
 Identifying and implementing quality KPI’s and applying rewards/penalties as
applicable under established contracts.
2.3.3 Project Quality Manager/Asset Lead Quality Engineer
The Project Quality Manager / Asset Lead Quality Engineer is the focal point for the
project / asset for all quality aspects and is responsible for:
 Ensuring the project QMS strategy and processes/plans are established,
implemented and maintained;
 Provide support in developing and implementing the PQP, Transition Plan and
project specific procedures and/or work instructions;
 Identifying quality shortfalls and creating training / coaching requirements;
 Managing the overall project assurance, surveillance, audit and review activities
and executing project/contractor audits;
 Coordinating the timely closeout of audit actions as applicable to their project;
 Compile relevant quality statistics/KPI’s and implementing lateral quality
learning’s;
 Monitoring the performance of the EP, C, EPC/ODC/EMC and/or major
contractors against contract requirements;
 Reporting to the project manager/engineer and the quality CFDH on the
performance of the QMS, including needs for improvement;
 Review and approval of the contractors QA / QC personnel.
 Liaising with supply chain management and function to:
 Confirm supplier’s capability/approved vendor list;
 Agree surveillance plans as applicable;
 Act on surveillance reports as necessary.
 Assist PM / PE in the identification / compilation of quality documents
subjected to review and approval by project team.
2.3.4 Senior Quality Assurance Engineer
Sr. QA Engineer is responsible for day to day management of quality for a given project
/ asset area under supervision of the Project Quality Manager / Asset Lead Quality
Engineer. He is responsible for:
 Provide support in developing and implementing the PQP, Transition Plan and
project specific procedures and/or work instructions;
 Identifying quality shortfalls and creating training / coaching requirements;
 Managing the overall project assurance, surveillance, audit and review activities
and executing project/contractor audits;
 Coordinating the timely closeout of audit actions as applicable to their project;
 Compile relevant quality statistics/KPI’s and implementing lateral quality
learning’s;

 Providing early contribution to the contractor's ITP/QCP to identify critical hold,
witness, monitor and review points including PDO’s activities;
 Reviewing contractor and manufacturer contract quality plan and relevant
procedures as per SP-1171 Specification for Quality Assurance Requirements
for Product and Service)
 Ensuring the quality requirements identified in the contractor's or
manufacturer's ITP/QCP are followed;
 Conducting surveillance of contractor's activities in the procurement,
fabrication, construction and installation of a facility or product by:
 Reporting problem areas to the quality manager (lead project engineer if project
does not have a designated quality manager) and raising non-conformance
reports (NCR’s) or Product NCR’s to document work that fails to meet the
specified quality requirements so that remedial action can be taken;
 Verifying that all NCR’s and Product NCRs have been satisfactorily resolved;
 Reviewing the contractor's submission of the QC data package at completion of
the work. It is the PM’s/PE's job to see that the quality related requirements are
adhered to and that competent resources are available, in time, to assist in
achieving same (see BOM/PM/PE responsibility requirements).
2.3.5 Quality Assurance Engineer
Is responsible for ensuring the quality requirements identified in the contractor's or
manufacturer's ITP/QCP are followed; conducting surveillance of contractor's activities
in the procurement, fabrication, construction and installation of a facility or product by:
 Providing early contribution to the contractor's ITP/QCP to identify critical hold,
witness, monitor and review points including PDO’s activities;
 Reviewing contractor and manufacturer contract quality plan and relevant
procedures as per SP-1171 Specification for Quality Assurance Requirements
for Product and Service)
 Reporting problem areas to the quality manager (lead project engineer if project
does not have a designated quality manager) and raising non-conformance
reports (NCR’s) or Product NCR’s to document work that fails to meet the
specified quality requirements so that remedial action can be taken;
 Verifying that all NCR’s and Product NCRs have been satisfactorily resolved;
 Reviewing the contractor's submission of the QC data package at completion of
the work. It is the PM’s/PE's job to see that the quality related requirements are
adhered to and that competent resources are available, in time, to assist in
achieving same (see BOM/PM/PE responsibility requirements).
2.3.6 QC Inspectors
Provide early contribution to a project in order to ensure:
 Adequate inspection during fabrication / construction;
 Inclusion of the asset holder requirements;
 Records and evaluates the findings of manufacturer and contractor QC
activities so as to recommend improvements;
 Assist in evaluating the impact of new fabrications on existing facilities and
provides recommendations on best options;
 maintains records of repairs and changes in the maintenance administration
and information.

2.3.7 Disciplines
Ensure the effectiveness and efficiency of processes under their control.
NOTE: Specific requirements should be detailed in individual job descriptions.
2.4 Quality Management System Structure and Documentation
Hierarchy
Project QMS documentation is firmed up post DG3 space as illustrated in Figure 3.
Fig 3
Principal contractors / sub-contractors selected to execute the work, shall (dependant
on work to be executed) develop and implement specific quality plans, associated
procedures, work instructions, and inspection and test plans. The PM/PE shall identify
which documents are subject to review by the Project Team and shall form an integral
part of the overall Project QMS.
2.5 Quality Management Deployment Model
The quality management deployment model is illustrated in Fig 4 below. This model is
common to both ISO10006 & ISO9001, and shall be used as the basis for developing
the project QMS.
Customer /
Stakeholder
RequirementsSelect & Define
Governance &
AssuranceSelect & Define
Strategies, Policies,
SystemsDefine
Plans /
SystemsExecute
Procedur
es
Id
en
tifyC
M
F
M
o
A
Internal /
External
Boar
d
Execution
StrategyContracting
StrategyQuality
Strategy &
Policy
Project
Quality
Plan
Supporting Assets /
Work Streams /
InterfacesF
E
E
D
E
n
g
Proc /
Const
Pre-
Co
mm
Identify project specific
Customer / Stakeholder
requirements:
Business Principles Governance &
Standards
Specific Project Laws & Regulations
Engin
eering
Contract &
Procurement
s Fabrication,
Installation /
Const.
Comm.,
Hook-up &
Start-up
Project QMS
Procedures &
Instructions
Design Inputs / Design
outputs, Checks, ReviewsCritic
ality
Asse
ssme
nt
Pre-
Awar
d
QA/Q
C
Post-
Awar
d
QA/Q
C
Supp
liers
QPs
&
ITPs
Construction
Contractors
QPs & ITPsFabri
catio
n QC
Constr
uction
QC
Mechani
cal
Complet
ion QC
Commissioning QA
& Flawless Start-up
FP
D
Q -
Are
as
AIV
Plan
Execut
ion
Quality
Intervention
Plans
(TPIs &
Company)
Identify project specific
Assurance controls:
Business Control Reviews:
PDAB / DRB / DE / BAC
VAR / ESAR / Audit / PERT /
PSUA
DCAF
CoP 117, 190, ISO 9001,
ISO/TS 29001, ISO 10006
OR
Constructability
In Country Value (ICV)
Benchmarking
Lessons Learned
Define project
specific:
Standards / Codes
Risk and Opportunity
Management
MoC
FPD
Identify project
specific:
Project Specific QA/QC
Requirements
Specifications
Procedures
MoC
Audit
s
Qualit
y
KPIs
Lesso
ns
Learn
ed
Correctiv
e &
Preventiv
e Actions
Bench
marking
&
Health
Checks
Continual
Improvemen
t

Fig 4
To facilitate deployment, the elements of the model should be grouped according to
their affinity to one another:
 Managing the Project - Management Responsibility / Resource Management /
Measurement, Analysis & Improvement.
 Realising Project Quality - Comprise the demand fulfilment processes, e.g.
Design / Construction / Commissioning together with the interdependent
processes, e.g. HSE, Risk Management, Work Planning & Scheduling,
Contracting & Procurement, etc.
2.6 Scaling / Application of a QMS
Scaling/tailoring the QMS for each project shall be defined by the opportunity project
team and agreed with the Business Opportunity Manager (BOM), project manager
and/or project engineer / CSR as applicable at the outset, recorded in the PEP and
implemented via the PQP and reviewed at each decision gate.
This decision should be based on the interfaces with other business processes, the
intent of each activity, identified risks and lessons learned from other projects.
Table 2 below shows the recommended application of a quality management system by
ORP phase and project value.
Table 2
Project size
(millions)
Identify &
Assess
Select Define Execute
>$ 1000    
<$ 1000    
<$ 200    
<$ 50    

<$20 (EMC/ODC)    
 Recommended.  Mandatory
Table 2 above is only indicative as Projects differ in terms of complexity and
uniqueness, reflected in their risk exposure and applied mitigation actions.
The QMS is also unique and may differ in terms of structure, complexity and application
based on the identified Risk and cost, Table 3 (example of Risk Form is provided in
Appendix 1).
Table 3
Facility / Capital Intensity
(in Million USD)
>$ 1000 QMS Level 3 QMS Level 4 QMS Level 4
<$ 1000 QMS Level 2 QMS Level 3 QMS Level 4
<$ 200 QMS Level 1 QMS Level 2 QMS Level 3
<$ 50 QMS Level 1 QMS Level 1 QMS Level 2
<$20 (EMC/ODC) QMS Level A1 QMS Level A1 QMS Level A2
Risk Category: Low Medium High
Risk category explanation:
 Low Risk: Conventional projects that involve limited engineering scope and only
few vendor interfaces, typically single discipline such as pipeline and overhead line
projects, or single vendor package, standard materials, no prototype, low risk
impact, limited brown field scope.
 Medium Risk: projects with considerable engineering scope, many discipline
interfaces, multiple vendors, various high grade material types, and /or medium risk
impact. (gas compression/ production facilities steam projects, polymer projects,
water-floods, some prototypes, brownfield projects)
 High Risk: projects involving extensive multidiscipline engineering, many different
vendors, typically sour, high pressure projects such as miscible gas, exotic
materials, many prototypes, many discipline interfaces, high brownfield content,
high risk impact.
Table 4 identifies the minimum quality management system(s) assurance and control
requirements based on Value and/or Risk See also CP-131.
Table 4
Quality Management System requirements
QMS Level 3
& 4
a. The QMS / PQP should be specifically developed for the Project, including a
Quality Strategy/objectives, supporting procedures and work instructions.
PDO Corporate Quality Policy, management system and procedures shall be
used as a main reference.
b. Quality Resources, including a Quality Manager and QA Engineer(s) should
be dedicated to the project and should be progressively deployed during the
Identify & Assess phases of the ORP.

QMS Level 2a. The Project’s QMS may be a combination of the PDO Corporate management
system and procedures and project specific procedures. The level of
documentation is to be assessed on an as-needed basis.
b. A dedicated Quality Lead should be deployed as a minimum during the
Select phases of the ORP. QA/QC resources can be shared with other
projects on an as-needed basis.
QMS Level 1 a. The Project Quality System should basically consist of a PQP that makes
reference to, and is supported by, applicable PDO standards and processes;
i.e. normally there will be no need for the Project to develop its own specific
procedures.
b. More reliance should be placed on Line Management to practice their own
responsibilities towards QA/QC activities at early phases; i.e. generally, a
dedicated quality resource will be mobilized at the Define Phase of the ORP.
c. Minimum one dedicated QA Lead Engineer, additional QA/QC resources
may be shared between more than one project through a matrix organization
or skill pool.
EMC/ODC
QMS level
A1 & A2
QMS Level A2, dedicated Quality Lead full time to the project.
For QMS Level A1, QA/QC resources may be shared between more than one
project through a matrix organization or skill pool. Supply Chain Quality
Lead/Engineer, position may be covered by corporate Function.
Execution QA/QC Engineers and Inspectors, The number will vary per project
and may include both full time and call-off arrangements. The roles may also be
filled by 3rd. Party inspection agencies.
2.7 Quality Planning
In order to achieve project quality objectives, it is necessary to manage and control the
project processes and activities by means of Project Quality Plan (PQP). Where
relevant, the PQP should be supported by lower tier quality plans, procedures and/or
work instructions specific to discrete parts of the project, see SP-1122 and SP-1171 for
specific details.
Quality Planning should commence at the Identify / Asses phase of the ORP (Fig 5) and
be continually updated as and when project requirements become more clearly defined
until final project delivery and hand-over to Operation.
To guide development of the PQP the primary quality activities and quality deliverables
associated with each ORP phase, ‘What you do,’ are illustrated in the Quality Activity
and Deliverable Roadmap, see section 3 Appendix 2.
An outline of project QA/QC activities and deliverables in various ORP-phases of
Identify/Assess, Select, Define, and Execute respectively is provided in the Project
Quality Delivery Plan (PQDP), see section 3 Appendix 3.
The PQP should indicate how the required activities will be carried out, either directly or
by reference to appropriate documented procedures, or other documents (e.g. project
plan, work instruction, checklist, etc, see also Appendix 4 – PQP Narrative Checklist
Inputs that need to be considered include:
 The project classification by Cost and Risk;
 The requirements of stakeholders and any statutory, regulatory and industry
specifications;
 The capability / experience of the project organisation and maturity of the QMS.
 The Quality Characteristics that need to be controlled, assured, improved,
managed & demonstrated.
 Quality Resources (both availability and capability)

If a requirement results in a deviation from the QMS, this deviation should be justified
and authorised.
The depth and breadth of the PQP should be determined by the overall project / quality
characteristics and associated risks to be mitigated (RE: Section 2.6).
Fig 5

Table 5 identifies the minimum quality activities and controls that should be addressed
within the PQP, irrespective of the QMS scaling (details of corporate Codes of Practice,
Specifications, Procedures and Guidelines are provided for reference, refer to LiveLink
for latest copy).
Table 5
QMS Requirement PQP Activity
Design & Development
Quality Management
(Front-end Engineering &
Detailed) including
Technical Integrity.
(CP-117, CP-185, SP-
1122, SP-1134, SP11-71,
SP-2061, PR-1232, PR-
1247, PR-1358, PR-1151,
PR-1561, PR-1729, PR-
1741, PR1727, PR1734,
PR-1735, PR-1761, PR-
1768, GU-603, PR1772,
PR-1759).
The design quality assurance process is key in enabling the
project to achieve its objectives and therefore must be effectively
controlled.
The following steps should to be addressed and reviewed:
 Setting Quality objectives for the design process;
 Submission of a Design Quality Plan (which should include
requirements for assuring technical integrity.
 Quality measures for indicating achievement of these design
quality objectives;
 A defined sequence of design processes, procedures, or tasks
that transform the design inputs into design outputs;
 Essential QA/QC requirements set out in project specifications;
 Checking, verification and approval procedures for establishing
that the process is achieving its objectives (internal and
external);
 Design change control is properly managed (internal external);
 Processes for improving the effectiveness of the design
process.
 Auditing effectiveness of the Competence Assurance process
 Drawing Office quality controls and associated procedures
should be available.
All work should also be undertaken in accordance with the relevant
Technical Integrity Framework and/or DCAF and other applicable
Project Standards / Guides.
Where an Independent Verification Body is required to verify a
design in order to comply with any prevailing regulations and
legislation (e.g., Pressure Vessel Directive, Lifting Reg’s, etc), the
requirement should be specified in the PQP and should identify
both the internal Technical Authorities (TA) and 3rd parties
required to review and approve the relevant documentation.
Interface Control
(Project specific document)
(CP-162, CP-111, PL-13,
GU-435)
The project should have and implement an interface control
procedure.
 Establish and implement an effective communication system /
process that address all project interfaces including
internal/external Meetings, communications, reporting,
correspondence etc.
This should be subject to audit and included in the Audit plan.
Alternative arrangements to manage interfaces should also be
addressed as a scope item in the Audit plan.
Change and Deviation
Controls
(PR-1247, SP-2061, PR-
1001x, PR-1029, PR-2066)
Management of Change and the Deviation processes should be
subject to audit and included in the Audit plan. The audit scope
should assure all technical deviations are approved by designated
Technical Authorities, and that deviations are managed and
controlled. The deviation register should be audited.

QMS Requirement PQP Activity
Risk Management
Control.
(CP-131)
The projects should have a risk management procedure:
 Develop project risk management procedure and establish risk
register including mitigation measures and time frames.
System should be subject to audit and included in the Quality
Audit plan. Alternative arrangements to manage risk should also
be addressed as a scope item in the Audit plan.
Information Management
/ Document Control.
(PL-06, CP-102, CP-139,
SP-1003, SP-2047, SP-
2065, SP-2066, SP-2067,
SP2079, PR-1009, PR-
1561, PR-1568, PR1692,
PR1772, GU-453, GU-493,
GU-556, GU-582)
The document control system should be audited to assure
achievement of information quality, and that changes/revisions, are
approved, retained on file and issued in a controlled and
systematic manner.
Quality record requirements should be set out in the IM plan. The
IM process should be part of the audit plan.
Project Controls
(CP-131, CP-142, CP-185,
GU-484, GU-569, GU-117,
GU-521, GU-569, GU-611,
GU-711)
The use of the project suite of project controls and procedures
should be audited and included in the Audit plan. The audit of
project control effectiveness should also extend to contractors and
key subcontractors.
Quality in Contracting
and Procurement.
(CP-129, SP-1122, SP-
1171, PR-1233, PR-1279,
GU-115, GU-556, GU-586,
GU-598)
Robust and effective methods should be established to assess,
monitor and control contractors, sub-contractor, suppliers and
service providers at a very early stage in the project life.
The focus should be determined by the quality risks to the project
and measures established to ensure effective delivery of all
products, services and materials.
Key quality inputs should include:
 Determining the level of quality management intervention
through a risk based assessment of contracted and supplied
services, equipment materials, and goods (e.g. criticality
process).
 Design Contractor Quality Appraisal and Evaluation
 Contractors/Supplier Quality Appraisal and performance
monitoring
Contract and Procurement Quality Control
The requirement for a Contractor/Supplier Quality Plan should be
embodied in each major contract, or purchase order
The QA and QC inspection requirements (level of Quality
Intervention) should be incorporated in purchase orders in order to
reduce the risk of non-conformance to specification and late
delivery.
Key quality inputs should include:
 Quality Intervention Strategy and Plans
 Quality Control/Inspection, Testing and Quality Surveillance
plans
 Material Quality Control and Traceability (Procurement)
 Appraisal and Use of Inspection Contractors (Execution
Phase)
 Supply Chain Quality Assurance Plans

QMS Requirement PQP Activity
Construction Quality
Assurance and Control.
(SP-1122, SP-1171,
PR1483, PR-1561)
The PDO project team should ensure that a Construction Quality
Plan and Quality Audit plan is available. It should cover the
construction and installation quality activities and that any audits
and reviews are planned in a methodical manner to assure that the
construction work meets the requirements of the contract and
project specifications.
Participation in contractor quality audit plans is an effective way to
monitor implementation and effectiveness of construction and site
QA/QC activities.
The extent of quality monitoring should be dependent upon the
technical criticality of the work and contractor/subcontractor work
scopes.
Key areas to check are
 Project specific Inspection and Test Plans have been prepared
that define critical fabrication steps, the acceptance criteria, and
the specific methods and procedures to be used to ensure that all
Contract requirements are met
 Construction quality team is notified and involved in the review
and sign off on inspection release notes, or Inspection and Test
Plan hold points.
 Inspection and Test plan actions are monitored to closure. This
should also include supplied equipment and material.
 Monitoring and measuring devices, applicable to inspecting
construction work scope of work, is available and calibrated and
is the proper instrument for inspecting the work.
Systems Handover
Quality Control.
(SP-1131, PR-1000, PR-
1150, PR-1612)
On handover of each completed system or subsystem to
commissioning, a construction dossier shall be compiled that
includes all quality information on that system (e.g. as-built
drawings, test results, factory acceptance test outcomes,
mechanical completion, vendor documents and data etc.). Project
Completions Management System (CCMS) shall be used for
systematic approach.
The site quality team should assure collection of these quality
records is both effective and complete. The process should be
audited as part for the construction audit plan. Contractor and
subcontractor handover controls should be included.
Commissioning Quality
Control & tools Project
Completions
Management System
(CCMS).
(PR-1159, PR-1172, PR-
1561, PR-1612)
Quality activities to verify that the Installation:
 has been constructed as designed;
 meets its performance specification;
 is safe and reliable for operation; and
 design limits have not been violated.
This is particularly important when items are constructed at a
number of locations are brought together on site. Mechanical
completion of systems should be confirmed by the completion of
quality checklists prior to handing the system over for
commissioning.
Incomplete minor items should be recorded on punch-lists.
Commissioning should be executed using pre-agreed procedures
and checklists.
On handover to Operations for start-up, the package of information
transferred into the operations records should include:
 Quality records and handover certificates and completed check
sheets;
 agreed punch lists of minor items to be completed after
handover; and outstanding inspection activity.

QMS Requirement PQP Activity
 Quality records of equipment and running trials.
Readiness Review/Start-up (OR)
The methodology of the Flawless Project Delivery (FPD) should be
applied on all PDO projects in accordance with the Operational
Readiness and Assurance Plan (OR).
This will generally be co-ordinated by a dedicated OR Team with
close liaison/tie-in with the site Quality team.
2.8 Resource Management
Within the QMS attention shall be given to the activities in the personnel-related
processes to assure the competence of suitable resources to manage quality. The
processes should ensure:
 The establishment of the project quality organisation structure (both for the
project and principle contractors)
 The allocation of quality resources, and
 Team development to ensure all project personnel are aware of quality
responsibilities
A summary of key quality related responsibilities is provided in section 2.3 and shall be
reflected in the tasks and targets of the project team roles.
The Quality Manager/Engineer should report direct to the PM / PE or most senior
individual who has been given responsibility of assuring that quality and technical
integrity requirements are compliant. Quality functionality remains with UEQ.
It is recommended that RASCI Charts (Responsible, Accountable, Support, Consult and
Inform) are used to define who should do what quality activities on the project.
An indicative QA/QC resources required across projects is shown in Table 6:
Table 6
Position EPC Project QMS Level Comment
1 2 3 4
Quality Manager 0 0 1 1 Level 3 - 4 project, dedicated full time to the
project.
Project Quality
Assurance
Lead/Engineer
1 1 1 2 On a Level 4 project, will be progressively
involved from Identify & Assess phase
through to Execution.
For level 2 or 3 projects, will become
involved from Select phase and may be full
time (Level 3) or support several projects
(Level 2).
Note: the actual numbers will vary
depending on Project portfolio.
Supply Chain
Quality
Lead/Engineer
1 1 1 1
Construction
Quality
Lead/Engineer
1 1 1 1
Execution QA/QC
Engineers and
Inspectors
As
reqd
As
reqd.
As
reqd.
As
reqd.
The number will vary per project and may
include both full time and call-off
arrangements. The roles may also be filled
by 3rd. Party inspection agencies.
Position ODC/EMC
Project QMS
Comment

Level
A 1 A 2
South / North Asset
Quality Assurance
Lead / Engineer
1 1 Level A2 project, dedicated full time to the project.
For Level A1 project, generally provide support to
all projects.
Supply Chain Quality
Lead/Engineer
1 1 May be covered by corporate Function.
Execution QA/QC
Engineers and
Inspectors
As reqd. As reqd. The number will vary per project and may include
both full time and call-off arrangements. The roles
may also be filled by 3rd. Party inspection
agencies.
The above table is indicative, should the project involve a shift rotation, the quality
resources may increase significantly. The number of quality resources may also be
influenced by the type of contractual arrangements and the role of the Principle
contractor.
These resources should be planned across the ORP, ideally with the Quality
Manager/Lead identified at the end of the Select / start of Define phase.
2.9 Quality Training
Project personnel should be adequately familiar with project quality system
requirements and their specific role in the system for the performance of their assigned
tasks.
Initial quality system induction training is therefore required at the start of each (phase
of a) project, followed by sustained training e.g. covering specific quality topics.
Specifically for the construction and commissioning phase QMS training is important as
usually a large part of the supervisory staff are hired-in on short-term contracts and may
not be familiar with PDO’s, Contractor/Subcontractor standard procedures and systems.
See also PR-1029 Competence Assessment & Assurance.
2.10 3rd Party Inspection Agencies
To help monitor the performance of its contractor and the supply chain (including
expediting and inspection related activities), projects may employ the services of a 3rd
Party Inspection Agency or utilise services through an EPC type contract.
Where such organisations are used, it is important they are able to demonstrate the
necessary competency requirements. In addition performance of each individual
inspectors shall be monitorerd for key factors of their performance such as competency,
availablility, timeliness, documentation and accuracy.

2.11 Measurement, Analysis and Improvement
The project organisation shall ensure that measurement, collection and validation of
data is effective and efficient, to improve the organisations performance and enable
continual improvement in both current and future projects.
Examples:
 Evaluation of individual activities and processes;
 Auditing;
 Evaluation of supplier performance;
 Evaluation of actual resources (cost/time) compared to original estimates.
2.12 Audits & Reviews
A Project Quality Audit and Review plan shall be developed and maintained for the
whole project lifecycle SP-1866 Quality Audit procedure
. Its purpose is to:
 Provide documentary evidence to stakeholders of the effectiveness of the
project assurance process, the project management/quality management
systems and business controls;
 Demonstrate that compliance to Project specified requirements have been
achieved;
 Identify areas for continual improvement.
The Project Quality Audit and Review plan shall include audits of all key project
controls, prime contractors and areas identified as at risk that may require a certain
level of Quality intervention to assure compliance to project requirements.
The Quality Audit and Review Schedule shall detail the outline scope and frequency of
all audit /reviews against each project control, contractor, sub contractor, supplier.
The status of audits/reviews and associated findings should be summarized and
included in Project Reports issued to the PM Team. The review of Quality Audit
/Review reports should be the primary method used in measuring achievement of the
stated Project Quality Objectives.
2.13 Key Performance Indicators
Key performance indicators should be both ‘leading’ and ‘lagging’:
 Leading are used to signal ‘possible’ future events
 Lagging follows the event. The importance of a lagging indicator is its ability to
confirm that a pattern is occurring or is about to occur.
The leading indicators should focus on the effectiveness and efficiency of the QMS from
a system, organisational, and process viewpoint. This should apply both internally
(within the project team) and externally (critical contractors and suppliers).
The lagging indicators should be QA/QC focused, and aligned with Flawless Project
Delivery objectives to avoid duplication.
Examples of both Leading & Lagging Indications are shown in Section 3 Appendix 5.

2.14 Non-conformities
Projects shall ensure the control of all nonconformities by one or more of the following
ways:
 By taking action to eliminate the detected nonconformity;
 By authorising its use, release or acceptance under concession by a relevant
authority;
 By taking action to preclude its original intended use or application.
Records of the nature of nonconformities (NCR) and any subsequent action taken,
including concessions obtained, shall be maintained by the project.
See also PR-2053 Control of Non-Conforming Product Procedure.
2.15 Quality Improvement
Projects shall continually seek to improve the effectiveness of its QMS through the use
of the quality policy (quality objectives), audit results (incl. PEER reviews, etc), analysis
of data (e. g. training records, deviation control, change control, process monitoring
measures etc.), Risk matrix/mitigating, corrective and preventative actions and
management reviews.
This information should be captured in an appropriate database, to enable learning
(both good and bad) to be assessed by other similar projects. A “Quality Alert” process
shall also be used to communicate specific quality issues with other projects and UEQ.
The PM / PE should review the effectiveness of this process and take the necessary
steps to continually improve the project organisation and the processes used to support
effective project delivery. Where necessary, this may include working with the supply
chain to ensure similar objectives are achieved.
Prior to closing a project it is recommended that the project team carry out a
documented review of the project performance, highlighting experience from the project
that can be used by other projects.

3 Appendices

Appendix 1 Risk Form
Risk Type Risk
Rated
Justification for
Risk selection
Rating definition
Individual Rating: H = 15, M = 10 & L = 5
Technical Risk
 Subsurface
Uncertainty
Risk
H L: Development in a well-developed, mature area.
M: Development in a relatively new area / location.
H: Development in a new area in a particularly unusual setting.
 Surface
Complecity
Risk
M L: Straight-forward repeat execution of a typical production
system.
M: Unsual development configuration, non-traditional facilities
integration into existing system, brownfield development.
H: Mid steam integration 9LNG/GTL).
 Project
Execution Risk
H L: Single well developed location, low likelyhood of late
changes, C&P straight forward.
M: Single location, manageable logistical challenges, low
likelyhood post DG-3 changes, some C&P issues.
H: Multi locations, cross business, logistical challenges,
potential for late changes to concept, C&P vhallenges.
 Novel
Technology
Risk
L L: No novel technology, all technology applied within PDO.
M: New Technology, not applied in PDO, considerable
experience outside PDO.
H: New technology, not applied in PDO, limited experience
outside PDO.
Ecomonic Risk L L: Well predicable economics (wages, currency), margin
predicable.
M: Limited economic risks (wages, currency), larger variation in
margin possible.
H: High economic risks (high impact currency fluctuations, wide
variation in margin possible.
Commercial Risk L L: Commercial and JV contracts in place, no problems
expected, partners with long standing relationship.
M: Expect some problems completing commercial and JV
contracts, partners with no clear alignment.
H: No clear commercial and JV contracts in place, access to
goods and services is limited by local environment, or dealing
with partners known to be out of alignment or adversarial.
Organisational Risk
 Business
Environment
Risk
L L: Well established line of business and relationships with
government/regulators/venture partners well understood.
M: Unusual business conditions or relationships challenges in a
region that is otherwise well understood.
H: New country entry. New venture, new line of business, area
with known issues / relationship challenges
 Risk of Team
Capability to
Deliver
M L: Expert team in place and available.
M: More-experience Team in place and available.
H: Less-experience Team in place.
 Quality System/
DCAF Maturity
Risk
M L: Very mature QMS / DCAF in place.
M: QMS / DCAF practices embedded in projects.
H: Only QMS / DCAF basic framework exists.
Environmental /
Social
Perfromance Risk
H L: No reputational issues, no community issues, no permit
issues expected.
M: Some reputational issues, limited community issues,
manageable permit uncertainties.
H: High reputational issues, serious community issues, major
permit uncertainties.
Risk Summary M Risk Summary Rating: L< 75 M = 75 to 125 H>125

Appendix 2 Quality Activities and Deliverable Guideline Road Map
Identify Assess Select Define Ex
Pre-FEED FEED
DG /VAR 1 2 3 (opt)3a 4
Key Activities Provide outline
strategy for Quality
Assurance against
identified opportunity
risks.
Frame strategy for
Quality Assurance
against identified risks
and QA resource need.
Establish Policy / Goals /
Objectives / KPI’s /
Procedures.
Determine level of
Quality monitoring /
surveillance /
manpower / competency
shortfalls / Risks.
Initiate Quality Audit plan
and improvements.
Establish and maintain
action tracking system.
Confirm applicable QMS
and work within it.
Populate DCAF for the
project, monitor and
measure implementation
Establish and follow-up
Lessons learned
Refine strategy for
Quality Assurance
against identified risks
and QA resource need.
Appoint Quality lead,
determine Quality
resource requirements,
conduct quality training.
Draft Preliminary
Project Quality Plan.
Provide Quality inputs
into Job descriptions
Populate DCAF for the
project, monitor and
measure
implementation.
Periodic quality
management review of
the project within the
defined QMS.
Conduct quality audits
and peer reviews.
Provide Quality
Assurance input to
project execution
strategy including
contracting strategies
Updated strategy for
Quality Assurance
against identified
risks.
Finalise Project
Quality Plan.
Establish and set
equipment and
material criticality
ratings and quality
intervention levels.
Establish QA
resource need.
Populate DCAF for
the project, monitor
and measure
implementation.
Periodic quality
management review
of the project within
the defined
QMS/PQP.
Conduct quality
audits and peer
reviews.
Continual
improvement, non-
conformance
reporting, corrective &
preventative action,
and trend analysis.
Surveillance of LL
contractors &
suppliers QA/QC
systems and
performance.
Updated strategy for
field/site Quality
Assurance against
identified risks.
Update and set
equipment and
material criticality
ratings and quality
intervention levels
critically rating.
Update QA and QC
resource need.
Determine special
skills and/or training
requirements.
Implement project
specific PQP, and
review periodically.
Align and approve
QMS for FEED
contractor.
Establish/implement
Change
management.
Populate DCAF for
the project monitor
and measure
implementation.
Conduct quality
audits and peer
reviews.
Continual
Improvement, Non-
conformance
reporting, Corrective
& Preventative
Action, and trend
analysis, implement
KPI’s,
Approved strate
Construction/Co
Quality, Technic
Flawless delive
identified risks.
Update critically
Finalise QA/QC
party inspection
Implement proje
procedures and
periodically.
Conduct Quality
training session
Align and appro
for EPC contrac
Populate DCAF
monitor and me
implementation
Conduct Quality
Assist. Maintain
Continual Impro
conformance re
Corrective & Pr
and trend analy
Surveillance of
and performanc
QA/QC systems
performance.
Prepare monthl
analysis.
Conduct quality

Identify Assess Select Define Execute Operate
Pre-FEED FEED
DG /VAR 1 2 3 (opt)3a 4 5
Surveillance of
contractors PQP &
suppliers QA/QC
systems and
performance.
Key
Deliverables
Strategies.
Aligned Quality Policy
and Objectives.
Identified resource
requirements.
Draft Audit plan / PAP
DCAF MOX
Risk Register
Preliminary Project
Quality Plan.
Project Audit & Review
Plan + tracking register.
Project Team Audit &
Review reports.
Project Quality Plan.
Updated Project Audit
& Review Plan +
tracking register.
Quality Criticality
Rating and Quality
Intervention schedule.
Project Team and
Contractor Audit &
Review and
Surveillance reports /
trend analysis.
QA/QC Resource
Plan.
Updated Project
Quality Plan.
Agreed FEED
contractor quality
plans.
Updated Quality
Criticality Rating and
Quality Intervention
schedule.
Updated Project
Audit & Review Plan
+ tracking register.
Quality learning,
measurement and
trend analysis report.
Project Team and
Contractor Audit &
Review and
Surveillance reports.
Change registers.
Final Project Quality Plan.
Agreed (EPC) contractor Project
Quality Plan.
QA/QC Resource Plan.
Updated Quality Criticality Rating
and Quality Intervention schedule
for construction.
Third party inspection reports.
Quality learning, measurement
and trend analysis report.
Project and Contractor Quality
Audit & Review and Surveillance
reports.
Quality certification records and
hand-over documentation.
Quality health-check report.

Appendix 3 Project Quality Delivery Plan

Appendix 4 PQP Narrative Checklist
Source: based on ISO9001, ISO10005 & ISO10006 (Guidance notes provided in Shell PS and
PG’s).
PQP Part 1 Content Guidance
Manage Project Quality
1. Introduction:  Purpose & Scope
 Opportunity Statement
 Governance & Assurance
PS00 Project Development and
Implementation + PS06 Project Controls
+ PS 07 Opportunity Framing / Project
Premises + PS10 Project Execution
Planning.
3. Project QMS  Quality Objectives & Strategy
 Quality Policy
 QMS System Framework &
Document Hierarchy/Procedure
Summary
 Quality Management Review
PS13 Quality in Projects + Quality
Toolkit.
5. Resource
Management
 Project Organisation (by ORP
phase)
 Quality Accountabilities &
Responsibilities
 Competencies for Quality and
Inspection.
PS11 Project Organisation + Quality
Toolkit.
7. Measurement Analysis
& Improvement
 Quality Audits & Reviews +
Project QMS Health Check
 Nonconformities & Corrective
Action
 Quality Performance
Measurement / KPI’s
 Quality Improvement
PS12 Lessons Learned +
Quality Toolkit.
PQP Part 2 Contents
Realise Project Quality
8. Design & Engineering
Co-ordination (incl.
DCAF/TQAF)
 Technical Integrity Verification
plan Interface
 Performance Standards &
Verification Schemes Interface
 Change & Deviation Control
 Interface Control
 Constructability
 Equipment/Material Quality
Intervention Strategy
PS 08 Defining the Technical Scope +
DCAF / TQAF + Quality Toolkit
9. Risk Management  Reference to procedures, process
and risk registers.
PS20 Risk Management
10. Cost Estimating, Cost
Control and Planning
 Reference to procedures, process
and, plans and reports.
PS03 Capital Cost Estimating + PS04
Scheduling
11. Contracting and
Procurement
 Quality Assessment of
Contractors / Suppliers
 Inspection Test & Surveillance
Plan
 Co-ordination of Inspection
Agencies
PS05 Contracting & Procurement
Strategy Realisation + Quality Toolkit
12. Information
Management &
Document Control
 Quality Records,
 Certification
 Hand-over dossiers
PS15 Information Management +
Quality Toolkit
13. Construction &
Installation,
Commissioning
14. Start-up
 Construction Site Quality
Activities.
 Inspection and Test Plans
 Flawless Delivery Interface
PS17 Construction + FPD/OR + Quality
Toolkit
Appendix 5 Quality Management Key Performance Indicators
Leading Quality Indicators - Project Quality Management System Health-Check Tool (See Shell
Quality health check tool)
The tool is intended to be used when assessing the capabilities of a project and/or 3rd parties Quality
Management System (QMS) to meet PDO’s requirements.
The questionnaire is aimed at projects categorised ‘business critical’ although it can be tailored to suit other

situations.
Its primary purpose is to benchmark how mature an organisation’s processes are, how well they are embedded
in their culture and to identify where the gaps are so that action can be identified to improve.
The questionnaire is not a replacement for independent third party certification, nor does it address all aspects of
ISO9001: 2008. Its focus is on those elements of a QMS viewed by PDO as essential to successful project
delivery.
The questionnaire has been divided into 5 elements which align with ISO9000 and ISO10006:
1. Quality Management System,
2. Management Responsibility,
3. Resource Management,
4. Product (Project) Realisation and Measurement,
5. Analysis and Improvement,
These are further broken down into sub-elements (example for Quality Management system sub-element 1, is
shown below). For each sub element there are statements that characterise different levels of maturity. The five
levels range from the most elementary stage (level 1) that indicates that the arrangements are under
development and incomplete through to level 5 where systems are fully implemented, checked and personnel
are constantly looking for ways to improve the system and performance.

Lagging Quality Indicators
A lagging indication, by definition, is one that follows an event. The importance of a lagging
indicator is its ability to confirm that a pattern is occurring or about to occur.
Lagging indicators are by far the most widely used in industry, in particular, those associated
with measuring defects, e.g. % weld repair; % non-conformities; % waste.
Others take into account customer satisfaction – Totally satisfied / Fairly satisfied / Neither
satisfied nor dissatisfied / Fairly dissatisfied and Totally dissatisfied.
It is suggested that a 4-stage process is followed:
Stage Objective/activity
1 Agree on the objectives and scope of the activity to develop performance indicators
2 Development of a deeper understanding by workshop attendees of the main stakeholders in the
activity and their concerns.
3 Exploration of the evidence the main stakeholders require to address their concerns, i.e.
appropriate and useful indicators. Selection of relevant stakeholders, concerns and indicators
4 Exploration of how the results of the performance measurement against the chosen indicators
are going to be used for improving performance, and by whom
Exploration of the data required, the practicalities associated with collecting it and using the
output, e.g. how this activity may link with the other measurement or monitoring activities taking
place
Good practice examples of key performance indicators are shown below. They should be used
across each ORP phase, reported using existing project management tools, and adjusted to
meet the needs of an individual project.
Quality Management KPI’s:
Quality Indicator Measure ORP
Phase
Threshold Review
Frequency
Report
Format
QKPI 01 – QMS Effectiveness
Audits and reviews
planned, actioned,
outstanding
Total No. overdue
Vs
Total planned for
period
All >90% Quarterly Statistic /
Trend
Quality Resources No. of resources
Vs
No. of positions
established
All >90% Quarterly Statistic /
Trend
Closure of NCR’s No. raised
Vs
No. closed
All > 90% Quarterly Statistic /
Trend
Management system
Procedures per
function/discipline
No. of documents
delivered late
Vs
No. required by
schedule / MDR
All < 5% Monthly Statistic /
Trend
Management review
meetings
Total No. overdue
Vs
Total planned for
period
All >90% Yearly Statistic /
Trend
QKPI 02 – Quality HAZOP actions
outstanding
No. cleared
Vs
Targeted
Select,
Define
and
Execute
> 90% Monthly Statistic /
Trend
Holds outstanding No. design
issues / queries
closed Vs
Targeted
Select,
Define
and
Execute
> 90% Monthly Statistic /
Trend

Quality Indicator Measure ORP
Phase
Threshold Review
Frequency
Report
Format
in Design
Design Changes and/or
Deviations
No. raised
Vs
No. cleared
Select,
Define
and
Execute
> 90% Monthly Statistic /
Trend
Design deliverables No. of document
delivered late
Vs
No. required by
schedule / MDR
Select,
Define
and
Execute
< 5% Monthly Statistic /
Trend
QKPI 03 – Quality in Supply Chain
Closure of Supply Chain
NCR’s
No. raised
Vs
No. closed
Execute > 90% Monthly Statistic /
Trend
Holds outstanding No. of Holds
cleared
Vs
Targeted
Execute > 90% Monthly Statistic /
Trend
Correctness and
completeness of the
procurement documents
Correct TA level
Approval for
Material
Requisitions
Vs
Technical
Specifications of
POs (along with
respective PE
Signature) issued
for criticality level
CR1 & CR2 Items.
Execute 100 % Monthly Statistic /
Trend
Document turnaround
compliance
(vendor/contractor/PDO)
Material
Requisitions /
Technical
Specifications,
Drawings & ITPs
approved in ten
(10 Working days)
for criticality level
CR1 & CR2 Items.
Execute > 95 Monthly Statistic /
Trend
(An auditable
Spread sheet
shall be
developed
and
implemented)
PGSC compliance Vendor / Sub-
vendors selected
from the AVME
List or approved
by CFDH (prior to
award) for
criticality level
CR1 & CR2 Items.
Execute 100 % Monthly Statistic /
Trend
ITP witness & hold
points
No. of witness &
hold points
missed
Vs
No. required
Execute < 5% Monthly Statistic /
Trend
CR/ITP compliance
(approval and H/W
points)
Inspection visit
performed for
Hold or Witness
points as per ITP
for criticality level
CR1 & CR2 Items.
Execute 100% for H
&
95%for W
Monthly Statistic /
Trend
Material delivery
compliance
(documentation &
Technical)
Material /
Equipment
inspected and
accepted prior to
dispatch to sites
for criticality level
CR1 & CR2 Items.
Execute 100 % Monthly Statistic /
Trend

Quality Indicator Measure ORP
Phase
Threshold Review
Frequency
Report
Format
Vendor Quality Records
& Data outstanding
No. of documents
delivered late
Vs
No. required by
schedule / MDR
Execute < 5% Monthly Statistic /
Trend
Vendor / supplier
materials / equipment
No.of recorded
material /
equipment
traceability /
identification issues.
Vs
No of materials /
equipment items
received
Execute < 5% Monthly Statistic /
Trend
QKPI 04 – Quality in Fabrication, Construction & Installation
ITP witness & hold
points
No. of witness &
hold points
missed
Vs
No. required
Execute < 5% Monthly Statistic /
Trend
Field Trouble Reports No. cleared
Vs
No. raised
Execute > 90% Monthly Statistic
NCR’s No. closed
Vs
No. raised
Execute > 90% Quarterly Statistic /
Trend
Deviations /
Concessions
No. cleared
Vs
No. raise
Execute > 90% Monthly Statistic /
Trend
Weld repair rate (Piping) No of joints
rejected
Vs
No of joints tested
Execute < 3% Weekly Statistic /
Trend
Weld repair rate
(Pipeline)
No of joints
rejected
Vs
No of joints tested
Execute < 5% Weekly Statistic /
Trend
Hand-over
documentation
No. of documents
delivered late
Vs
No. required by
schedule / MDR
Execute < 5% Monthly Statistic /
Trend