NONCONFORMANCE CONTROL PROCEDURE
PROJECT : Engineering, Procurement and Construction (EPC) Inside Battery Limits (ISBL) and Outside Battery Limits (OSBL) for the Refinery Development Master Plan (RDMP) Project
RU V Balikpapan
LOCATION : Refinery Unit V Balikpapan, East Kalimantan,Indonesia OWNER : PT PERTAMINA (Persero)
000 16 May 19 ISSUED FOR CONSTRUCTION B.H.MIN A.ARIFIN Y.D.KIM
00A 01 Apr 19 ISSUED FOR APPROVAL B. H. MIN A.ARIFIN Y.D.KIM
REV. DATE DESCRIPTION PREPARED CHECKED APPROVED
X
REVISION LOG
REV. NO. DATE PAGE DESCRIPTION
00A 01 Apr 19 - ISSUED FOR APPROVAL
000 16 May 19 6 ~ 11, 13, 15 ISSUED FOR CONSTRUCTION
- Incorporated with PMC comment
HOLD LIST
No. Paragraph HOLD Content
TABLE OF CONTENTS
1
PURPOSE ... 6
2
REFERENCE ... 6
3
DEFINITION ... 6
4
RESPONSIBILITY ... 7
4.1 Project QA/QC Manager ... 7
4.2 Each Functional Manager ... 7
4.3 Engineering Manager and/or Project QA/QC Manager ... 7
4.4 QC Engineer ... 7
5
GENERAL ... 8
6
PROCEDURE (SITE) ... 8
6.1 NCR Preparation ... 8
6.2 NCR Validation ... 8
6.3 NCR Numbering ... 9
6.4 Identification and Segregation of Nonconforming Items ... 9
6.5 Distribution of NCR ... 9
6.6 Disposition of NCR ... 9
6.7 Measuring of Approved Disposition ... 10
6.8 Inspection ... 11
7
PROCEDURE (VENDOR) ... 11
8
DOCUMENTATION ... 11
9
ATTACHMENT ... 12
1 PURPOSE
This procedure establishes the methods and responsibilities for controlling nonconforming items to prevent their inadvertent use or installation when other control methods, inspection reports, surveillance reports, etc. are considered inadequate. This procedure provide for the identification, documentation, evaluation, disposition, notification, segregation (prevention of inadvertent use/installation), and reinsertion of these nonconforming items for the RDMP RU-V Balikpapan (ISBL/OSBL) Project
2 REFERENCE
i. ISO 9001:2015 Quality Management System – Requirements
ii. 26071-100-GQR-GAQ-00001 Project Quality Management System iii. 26071-100-GQP-GAQ-00002 Project Quality Plan
iv. 26071-100-GQP-GAQ-00003 Site Quality Assurance and Quality Control Plan v. 26071-100-GQP-GAI-00006 Quality Records Control Procedure
3 DEFINITION
Terms Definition
CMT Construction Management Team of CONTRACTOR CONTRACTOR RDMP Balikpapan JO
IPMT Integrated Project Management Team consists of a combination of OWNER Personnel and PMC.
Communication between OWNER and CONTRACTOR to be executed through IPMT as representative of OWNER
Non-conformance The non-fulfillment of specified requirements.
NCR Non-Conformance Report
OC Operation Center, which means each corporation of RDMP Balikpapan JO (HEC/SKEC/REKIND/PP)
PCAR Preventive/Corrective Action Request
PMT Project Management Team of CONTRACTOR
Project Engineering, Procurement and Construction (EPC) Inside Battery Limits (ISBL) and Outside Battery Limit (OSBL) for The Refinery Development Master Plan (RDMP) Project RU V Balikpapan
...Systems
SUBCONTRACTOR means any and all persons, firms, partnerships, companies, bodies, entities or a combination who are hired by CONTRACTOR to perform a specific site activities as part of the overall project
VENDOR means any and all persons, firms, partnerships, companies, bodies, entities or a combination thereof including manufacturer, sub-vendors and suppliers, who are providing GOODS, and the successors and assigns of such persons, firms, partnerships, companies, bodies, entities or a combination thereof
4 RESPONSIBILITY 4.1 Project QA/QC Manager
The Project QA/QC Manager or his designee is responsible for identifying the nonconforming items found during all project phases such as engineering, procurement, construction and commissioning, and for verifying the proper implementation of the disposition.
When IPMT issues Non-conformance reports, the Project QA/QC Manager shall submit the corrective action plan within 72 hours. Where non-conformances are identified as major, the affected work shall be stopped.
4.2 Each Functional Manager
The Functional Manager is responsible for providing disposition of nonconforming items in accordance with the Project requirements.
He/her is responsible for taking the necessary action required for implementing the disposition and for notifying the correction to the Project QA/QC Manager.
4.3 Engineering Manager and/or Project QA/QC Manager
The Project QA/QC Manager is responsible for review disposition of nonconforming items in accordance with the Project requirements. The Engineering Manager may review the NCR disposition when design review is required. The Project QA/QC Manager and Engineering Manager may recommend a disposition.
4.4 QC Engineer
The QC Engineer shall document noncompliant condition on the Non-Conformance Report (NCR) and inspect correction of non-conformance and notify to IPMT for inspection, if required. He shall maintain and update Attachment 2 - Non-conformance Report Master List.
5 GENERAL
CONTRACTOR initiated NCR shall follow this procedure in Section 6.0.
i. NCR shall be assigned a number by QC function.
ii. NCR shall include, as applicable, with full back-up data such as additional sketches, drawing sections, codes and standards, etc. to aid proper disposition.
iii. NCR shall be sent to QC function to distribute to appropriate departments organization.
Whenever practical, non-conforming items shall be segregated from the conforming items into the designated separate area, with clearly marked boundaries to prevent the inadvertent installation or use of the non-conformance items and shall be clearly identified as Non-conformance condition.
All Non-conformances need to be resolved before shipping or before mechanical completion as applicable
The application of NCR or PCAR shall be determined by Project QA/QC Manager based on the magnitude and characteristic of the problem. But NCR may be limited to product- related non-conformances, otherwise PCAR may be used for operating system and procedural deficiencies and non-conformances identified through activities such as internal/external audit and surveillance.
6 PROCEDURE (SITE) 6.1 NCR Preparation
Non-conformance items shall be identified and reported to QC function by anyone in the contractor organization. However, the validation of formal non-conformance reports shall be the responsibility of the Project QA/QC Manager.
The NCR shall be accurately and concisely written after consultation with the applicable parties to ensure that the discrepancy is correctly and clearly described. The applicable program criteria are referenced and that sufficient data are provided to facilitate a proper and satisfactory disposition for resolving the Non-conformance.
ATTACHMENT 1 – NON-CONFORMANCE REPORT shall be used.
6.2 NCR Validation
The NCR shall be validated by the Project QA/QC Manager after consultation, when necessary, with each discipline Engineer and/or QC Engineer for accuracy of technical data described in the NCR.
After validation, NCR shall be numbered by responsible QC Engineer. After numbering, NCR shall be distributed to related organization and the original NCR shall be forwarded to responsible function department for disposition.
The original copy of the NCR is retained by the Quality Department. The NCR shall be logged and maintained.
The Project QA/QC Manager shall maintain a log of the open NCRs, and submit it at the regular project progress meetings.
6.3 NCR Numbering
Numbering of NCR issued by CONTRACTOR shall be in accordance with the Quality Records Control Procedure (26071-100-GQI-GAQ-00006).
6.4 Identification and Segregation of Nonconforming Items
After validation of NCR, non-conforming items shall be identified by “NCR Hold Tag" (refer to ATTACHMENT 3), marking or other clear means of identification such as segregation described in Para 5 of this procedure
Further processing or work shall not be done on the items tagged or identified as non- conformance.
6.5 Distribution of NCR
The copy of NCR initiated by CONTRACTOR shall be distributed to related department in the event that any of the following occurs.
i. After validation and numbering ii. After disposition is approved
iii. After revision, supersede or correction iv. After close-out
6.6 Disposition of NCR
Each Function Manager shall provide appropriate resolving methods and dispositions on deficiencies with respect to NCR’s.
NCR disposition shall use one or more of the following five (5) disposition categories;
i. "Rework" is the process by which a nonconformance item is made to conform to a prior specified requirement by completion, re-matching, reassembling or other means.
ii. "Reject" is a disposition, which states the nonconforming material or item is unsuitable for its intended purpose and economically or technically incapable of rework or repair, the Nonconforming item must be removed and replaced.
iii. "Use-As-Is" is a disposition, which may be recommended for a nonconformance when it can be established that the discrepancy will not adversely affect the functional requirements including performance, maintainability, fit for purpose and safety. For items that do not comply but are still considered usable, an application for waiver is to be submitted to IPMT
iv. "Repair" is the process of restoring a nonconformance characteristic to a condition such that the capability of an item to function reliably and safely is unimpaired
v. "Void" is a disposition if the NCR has been incorrectly issued.
The method of NCR disposition shall conform to one or more of the five (5) disposition classifications; "Rework", "Reject", "Use-As-Is", "Repair" or "Void" as above disposition definition.
The original NCR shall then be returned to QA/QC Department for distribution to related organization after the disposition is approved by Project QA/QC Manager.
Where the disposition is "Repair" or "Use-As-Is", the disposition of NCR shall be reported to IPMT for approval.
6.7 Root Cause Analysis
Each Function Manager shall analyze and evaluate the underlying reason for the occurrence of the reported nonconformity and state the Root Cause Code including explanation unless Project QA/QC Manager determine that only correction is necessary as the reward is smaller than the effort.
Root Cause Code Description
C01 Client Driven
C02 Communication Driven C03 Equipment or Material C04 External Phenomenon C05 Location Driven C06 Management Driven
C07 Procedure (except procedure not followed) C08 Procedure/Work Process not followed C09 People Driven
C10 Systems Driven C11 Work Environment
C99 Other
It shall be asked for the question “why?” until the underlying reason has been revealed.
If codes 7 or 8 are used, list the procedure identified as the root cause.
6.8 Measuring of Approved Disposition
Each Function Engineer shall notify the responsible QC Inspector prior to starting work on activity in accordance with NCR disposition.
NCR disposed as "Use-As-Is" and "Void" shall be closed-out by Project QA/QC Manager without any further confirmation and action.
6.9 Inspection
The QC Inspector shall inspect for final acceptance of NCR disposition "Repair" or
"Rework".
If the item is not acceptable as a result of the re-inspection, the responsible inspector shall inform the responsible party of the inspection results and cannot sign off the NCR until the item is acceptable.
For the NCR disposition "Reject", the QC Inspector shall sign off and date NCR after assuring that the nonconforming item is labeled and placed in a segregated storage area, and have ensured its removal from the work site to prevent inadvertent installation or use.
The Project QA/QC Manager is responsible for acceptance of the "Repair" or "Rework"
operation. The QC Engineer shall remove the "NCR Hold Tag" after the work is completed and accepted, and NCR has been closed out.
The Project QA/QC Manager is responsible for close-out of NCR to the following categories ;
i. Does not comply with the requirements
ii. Cannot be identified with applicable specifications
iii. Are of unacceptable workmanship in compliance with the requirements of relevant code/standard.
7 PROCEDURE (VENDOR)
During manufacturing or inspection at VENDOR's shop, if there is non-conformance or deviation to applicable codes, specification or requirements that affects quality, the VENDOR shall report to CONTRACTOR immediately.
Any non-conformance shall be documented on a Non-Conformance Report (NCR) and shall be attached to be Inspection and Test Report for review and resolution by CONTRACTOR.
Depending on the nature of the NCR, and upon CONTRACTOR's decision and/or IPMT proposal to clear the non-conformance, a quality audit may be performed for the VENDOR or sub-vendor to verify compliance of the QA program and to establish reasons for the non-conformance. Nonconforming items that cannot be cleared immediately will be placed on a punch-list to ensure that the item(s) are not forgotten.
No equipment and materials shall be released which are not in compliance with Shop Inspection and Test Procedure (26071-100-GQI-GAQ-00013)
8 DOCUMENTATION
All NCR shall be controlled according to the Quality Records Control Procedure (26071- 100-GQP-GAI-00009).
Non-conformance Report Master List which is ATTACHMENT 2 may be used to allocate the NCR numbers and track the status of disposing and implementation. Or HCQM (Hyundai Construction and Quality Management) system may be used to trace and control of NCR. A responsible QC Engineer shall maintain and update the Non- conformance Report Master List.
9 ATTACHMENT
[Attachment 1] Non-conformance Report
[Attachment 2] Non-conformance Report Master List [Attachment 3] NCR Hold Tag
ATTACHMENT-1: Non-conformance Report
NONCONFORMANCE REPORT
NCR No. : Date : Page : of
Responsible Organization : Location :
Non-Conforming Activity / Operation / Item :
Reference Document(s): Procedure / DWG / Code / Engr. Std.
Description of Non-Conformance (Use Additional Pages if required) Date Reported : NCR Initiator :
Name & Signature / Date
QA/QC Manager :
Name & Signature / Date Corrective Action Plan
Proposed Corrective Action to correct nonconforming condition : (Use additional pages if required)
□
REWORK□
REPAIR□
USE AS IS□
REJECT□
VOID
Root Cause Code : Detailed Explanation on Root Cause
Recommended prevention action, if any
Scheduled Completion Date : Responsible Manager : Name & Signature / Date Corrective Action Plan Approval :
Engineering Manager : QA/QC Manager :
(if required) Name & Signature / Date Name & Signature / Date IPMT Acceptance (if required) :
□
ACCEPTED□
REJECTED IPMT Rep. :Name & Signature / Date Corrective Action Verification
Corrective Action Completion Verification :
□
ACCEPTED□
REJECTEDQC Engineer : QA/QC Manager : Name & Signature / Date Name & Signature / Date IPMT Verification (if required) :
□
ACCEPTED□
REJECTEDIPMT Rep. :
Name & Signature / Date
GQI-GAQ-00002-01
ATTACHMENT-2: Non-conformance Report Master List
RDMP RU-V Balikpapan Project NONCONFORMANCE REPORT MASTER LIST PAGE OF Remark GQI-GAQ-00002-02
CLOSED-OUT DATEDATEDISPOSITION BRIEF DESCRIPTION OF CONDITIONRESPONSIBLE ORGANIZATION ISSUE DATENCR NO.
ATTACHMENT-3: NCR Hold Tag
O O
NCR HOLD TAG
(FRONT)
DO NOT REMOVE WITHOUT AUTHORIZATION
OF QA/QC
NCR HOLD TAG
(BACK)
NCR. NO:
PO. NO : ITEM NO : ITEM DESCRIPTION
Q'TY : REASON FOR HOLD DATE :
INSPECTOR SIGNATURE:
RDMP RU-V BALIKPAPAN
PROJECT
RDMP RU-V BALIKPAPAN PROJECT
※ Ground color of NCR Hold Tag : Red
※ Color of Font : Black
