project quality plan (04.09.2008)

RESOURCE RECOVERY CENTRE/REFUSED DERIVED Document no.: LIC-PQP-001 FUEL-WASTE TO ENERGY PRODUCT, LOT 3041 &

LIMPAH 3042 @ PT.1424 & PT.1425, MUKIM ULU IKHTIAR SEMENYIH, SELANGOR DARUL EHSAN FOR

CONSTRUCTION RECYCLE ENERGY SDN. BHD. CIVIL CONTRACT NO.214714/RESB/CIVILPP/PO-538 Civil Works for Power Plant and Associated

Project Quality Plan (PQP)Rev. no.: 1

Date issued: Effective date: 25/4/2008 25/4/2008

A. PROJECT QUALITY POLICY STATEMENT

LIMPAH IKHTIAR CONSTRUCTION (LIC)is committed to achieve Quality Excellence in all aspects of its business and at all

levels of operation.

The timely and satisfactory execution of this is heavily dependent on the effective control of goods, material and equipment and the quality of construction. In recognition of these important aspects of the Works, it is the policy of the LIC to implement a quality system on the Project.

The objective of the implementation of the project quality is to ensure that the requirements as detailed in the Contract Specification and Drawings are satisfied.

It is LIC’s goal to extend the awareness, acceptance and implementation of the quality system to all our sub-contractors.

All project staff shall diligently perform the duties, which are assigned to the in the project Quality Plan (PQP). Your co-operation and participation is essential to ensure that the PQP becomes an integral part of the management systems, which shall contribute to the overall success of the Project.

LIMPAH IKHTIAR CONSTRUCTION

…………………………………………….KHAIRUDDIN B. MOHAMED

Director

Date: 25 – 04 – 2008






A.1 Quality Policy

The company quality objectives are as follows:

No. Statement Responsibility/Function 1 Allocate 3 hours of training (work-related) Director/Project Coordinator per year for management and senior staff.

2 Reduce complaints received per project from Site Agent customers by 20% overall.

3 Customer satisfaction index at least 75% Site Agent on average.

A.2 Quality Objectives

1. Adhere to project schedule by being on time or ahead of time.

2. Continually improving the Quality System in compliance with ISO 9001:2000 Quality

System Standards by reviewing and auditing the system periodically.

3. Zero Lost Time Accidents by ensuring that safety guidelines are observed.

4. Continuously upgrading of our employees in terms of skills, safety and environment

friendly and continuous improvement by providing equal opportunities and training to all.

5. Zero defects by ensuring that works are thoroughly checked and are in accordance to

specifications and other requirements.

6. On Time Project Completion.

7. Quality Workmanship.

8. Quality Material.

9. Quality Service in Handling Changes & Advisory Assistance.






A.3 Quality Vision and Mission

Vision :

Our vision is to achieve and maintain client’s confident by delivering high quality work in compliance with ISO 9001:2000 and to be a leader in the construction industry in Malaysia.

Mission :

LIMPAH IKHTIAR CONSTRUCTION is committed to:-

1. Understanding customer requirements, manage and review work processes closely to

ensure that requirement are met.

2. Maintain quality as specified by our clients through close project monitoring and establish

a framework for reviewing quality requirements, as necessary.

3. Ensure timely delivery of projects to our clients by completing projects within time.

4. Maintain total satisfaction of our client by consistently meeting or exceeding their

expectations.

5. Provide suitably qualified experienced personnel to manage projects through a continuing

recruitment program.

6. Encourage constant improvements all levels through timely performance reviews.

This project shall be constructed in accordance with the following documents:-1. Conditions of Contract & Specifications2. Construction Drawings3. Quality procedures

I. Construction stageII. Post Construction stage

III. Project Quality Plan






The copies of the above documents are kept in the Site Office. The Site Agent is responsible for keeping them up-to-date, and in good condition. Approved copy to be forwarded to The QA/QC Manager for record keeping.

B. PROJECT ORGANIZATIONB.1 Scope of Quality Program

B.1.1 Overall Scope

B.1.1.1 The objective of the implementation of the project Quality Plan (PQP) is to ensure, through a process of self regulation that the works comply with the requirements of Clients.

B.1.1.2 This PQP details a system that shall be implemented to control and verify the quality of all construction works carried out by LIC.

B.1.1.3 Design work, including the design of temporary works, shall be subject to

the control systems detailed within this PQP

B.1.1.4 Works carried out by LIC and subcontractors shall be verified in accordance with the PQP. The degree of control applied to subcontracted work shall be determined during assessment and appointment of each subcontractor.

B.1.1.5 The quality of products originating from off-site manufacturing facilities shall be verified upon delivery and where necessary at the off-site facilities. The degree of control applied to suppliers. The verification activities shall b carried out in accordance with the PQP.

B.1.2 Subcontractors and Suppliers

Subcontractors and supplier are required to supply procedures and method statements prior to various elements of work on the project. This procedure will be analyzed and reviewed to ensure that it comply with the requirements of this Quality Plan and/or contract or specifications.

B.2 Head Office & Site Organization

This subsection will detail the organization and reporting functions within the Project team. An outline of specific responsibilities with respect to quality will be provided for each position appearing on the Organization Chart. A detailed Job Description will be provided for the Quality Management Unit.






B.2.1 Head Office Organization Management

The director (D) who is based at the LIC Head Office (Batu Caves) leads the Project team. She will be responsible in ensuring the overall project is constructed and completed in accordance to the contract. The General Manager on fulltime basis is to assists him.

The LIC’s Board of Director has appointed En. Raja Tarmizee B. Raja Mahamad (S.A) and he will be reporting to Director.

B.2.2 Project Organization Chart

The Site Agent shall maintain organization charts, with personnel names, and copies shall be issued to the Client’s Representative after any significant changes.

B.3 Key Personnel Responsibilities

B.2.3.1 Director (D)

To manage the overall operations of the company by ensuring that the company achieves its short-term and long-term objectives in accordance with the defined objectives as determined by the Board of Director.

Sets the vision and mission of the company and managing the growth of the business locally, regionally and internationally.

Initiate and develop corporate plans and objectives for the consideration of the Board.

Develop and implement plans to achieve the short and long term company goals to ensure company growth proceeds in accordance with the overall objectives.

Search for business and project opportunities. Implement policies and procedures in the company consistently. Ensure the efficiency and effective administration of all department and

functions. Submit the necessary management reports and financial statements to

the Board of Directors. Responsible for building a total support function in the company that will

work towards the realization of company goals and objectives. To implement all policies, activities, procedures, instruction as relevant

and required by quality system.

B.2.3.2 Site Agent (S.A).

Responsible for managing and delivering projects assigned, to meet contractual requirements and internal objectives.






Responsible for ensuring proper planning and mobilization to site, including reviewing strategy and construction methods, the preparation of the Project Quality Plan, Inspection and Test Plan, Project Programme, Resources Schedule, budgets, projected cash flow, site facilities, Project Filing Index, Project Meeting etc.

Primary interface with client / client’s representatives and authorities. To identify the project team and site organization chart. Ensure implementation is carried out smoothly, adhering to all safety and

quality plans and procedures, project programme and contractual requirements.

Monitor and appraise overall performance of subcontractors and suppliers.

Handover completed project to client and obtain Certificate of Practical Completion.

To advise and report to the GM on matters related to projects assigned. To implement all relevant policies, activities, procedures, instructions as

requested by quality system. To undertake other duties and responsibilities as instructed by the

superior.

B.2.3.3 Project Coordinator (PC).

Responsible for assist Site Agent on managing and delivering projects assigned, to meet contractual requirements and internal objectives.

Responsible for assist Site Agent ensuring proper planning and mobilization to site, including reviewing strategy and construction methods, the preparation of the Project Quality Plan, Inspection and Test Plan, Project Programme, Resources Schedule, budgets, projected cash flow, site facilities, Project Filing Index, Project Meeting etc.

Primary interface with client / client’s representatives and authorities. To identify the project team and site organization chart. Ensure implementation is carried out smoothly, adhering to all safety and

quality plans and procedures, project programme and contractual requirements.

Monitor and appraise overall performance of subcontractors and suppliers.

Handover completed project to client and obtain Certificate of Practical Completion.

To advise and report to the Site Agent on matters related to projects assigned.

To implement all relevant policies, activities, procedures, instructions as requested by quality system.

To undertake other duties and responsibilities as instructed by the Site Agent.






C. PROJECT ADMINISTRATION & QUALITY SYSTEM

C.1 Scope

C.1.1 General

LIC implement quality management system to demonstrate:- Capability to consistently provide works / product that meets Client

requirements. Objectively enhance Client satisfaction through effective quality

management system, including system improvement and assurance of conformity to Client.

C.1.2 Application

The implemented quality system is applicable generally for whole of LIC’s operation but in particular for this project site. Similarly, subsection D.1 is also directly applicable.

C.2 Normative Reference

The standard reference of this quality system is also ISO 9000:2000 – Quality management system (Fundamentals and vocabulary)

C.3 Terms and Definitions

The terms and definitions given in ISO 9000:2000 applies, especially with respect to the following which is interchangeable between each other:-‘client’ = RECYCLE ENERGY SDN. BHD. & Worley Parsons

Services Sdn. Bhd.‘organization’ = Limpah Ikhtiar Construction‘product’ = ‘works’

C.4 Quality Management System

C.4.1 General Requirements

LIC’s Quality Management System is in conformance with ISO 9001:2000. The documenented Quality System reflects the actual working practices of LIC. The structure of the document quality system is as follows:-

a) Quality Policy Manual details the general policies regarding the quality system for LIC

b) Quality Procedures detail the procedures used to fulfill LIC policies and objectives.






c) Project Quality Plan defines the specific management, quality and technical practices to be adopted within respective project.

d) Work Instruction shall be issued for specific activities to ensure that all personnel associated with in the activity have a common understanding of the requirements.

e) Methods Statement normally to be provided by subcontractor for jobs being subcontracted to other parties. Proceeding of work shall subject to LIC approval.

f) Standard Form shall be used for activities being carried out and to be kept as quality records.

Subsection C.4, C.5, C.6, C.7 and C.8 herein has been developed in greater detail to describe the operation of the quality system. These subsections will be further developed and improved throughout the contract period. Generally the procedures will be based on existing documentation within LIC’s Quality Management System and Procedures.

C.4.2 Document requirements

C.4.2.1 General

Documentation is required to facilitate the function of quality control, which involved checking, measuring, testing, inspection and where necessary recording actions in a formalized manner to confirm compliance with contract requirements.

‘Document procedures’ shall mean that the procedure is established, documented, implemented and maintained, and can be in any form or type of medium.

This PQP details quality control requirements including receiving, in process and final inspection and test. The personnel responsible for quality control will complete, as necessary, checklist, test report and the like, which record successful completion of the inspection and test requirements.

The Site Supervisors, Foreman, Surveyors, Subcontractors, Suppliers and Specialist/Testing Agencies may carry out quality control activities. These personnel shall carry out the responsibility of the Supervision Team.

Documented Inspection and Test Plan (ITP) shall be developed to identify inspection and test points specified in the Contract Documents. Where possible, ITP will require physical representations of an acceptable of quality to be established and recorded for use during inspection and test activities.






C.4.2.2 Quality manual

The quality system to be implemented during the Contract was planned and document within Project Quality Plan (PQP).

Procedures were established to plan and control activities, which contribute to the quality of the work. The procedures will be based on the requirements as detailed in the Contract documents. Project staff to implement the quality system uses ISO 9001:2000 standard.

The GM appoints a Quality Assurance & Quality Control Manager (QA/QCM) wo will be responsible for the implementation, control and monitoring of the quality system.

The Quality Assurance & Quality Control Manager (QA/QCM) will report directly to the GM or PD and will be responsible for the day operations that concerning of the Quality Assurance.

All Personnel involved with the Project will have a role to perform in the implementation of the PQP.

The PQP details specific responsibilities of personnel in relation to the operation of the quality system and achievement of the required quality for the work.

Management functions including control systems for documentation, purchasing, inspection measuring and testing equipment, records management and training be incorporated into and form an integral part of the PQP.

Roles within the PQP will be distinguished as follows: Personnel responsible for quality controls that monitor and check the

work under their immediate control as per the technical requirements of the contract documents.

Personnel responsible for verification who check and record adherence to the PQP procedures (including quality control) to ensure their operation and effectiveness.

Personnel responsible for audit who assist the operation and effectiveness of the PQP. This may include critical analysis of constituent work item being manufactured and constructed.

These roles integrated and contributed to the assurance of quality, which the Project team is then able to provide to the Client. Regular management review of the Project Quality Plan will be carried out to ensure its continuing suitability and effectiveness.






C.4.2. Control of documents

The effective control of all documentation is vital to LIC Quality Management system. This control is important to the technical and operational documents that form the primary elements of LIC. The system therefore provides methods, defines and identifies responsibilities for such controls.

Documents that are relevant to the quality of the Quality shall be controlled to ensure that they are approved subsequent to issue and the current issue or revision is known and available to those requiring the as approved by GM.

Controlled Documents will be uniquely identified and will bear a defined revison number recorded on each page of the document. Documents will be distributed on an “a need to know” basis. A register and distribution lists will b set up and maintained to indicate the distribution of each controlled document and their recipients.

Controlled Documents required to be issued to the Client will be issued to the Client Representatives, who will be responsible for the distribution to Client team members as appropriate. Documents will be reviewed on a regular basis to determine their continued suitability. Obsolete documents will be removed from all point of issue and use.

Control of documents may apply to both internally and externally generated documents where applicable.

Document Control procedures may apply to but not limited to:-a) Quality

Quality Plans (Controlled Document) Quality Manual (Controlled Document)

b) Correspondence In-coming mail Out-going mail Client supplied Drawings and Documents (Controlled

Documents)c) Oral Communication

All relevant oral communication or directions shall be recorded by letter, facsimile or minutes.

d) Design Control Design brief, calculations, checking procedures, drawings and

specification. Standards, codes and regulations as applicable. (Controlled

Documents)e) Purchasing Documents

Subcontract and Supply Agreements Subcontractors and Suppliers’ Quality Plans/ITPs.

f) Construction






Drawings (Controlled Documents) Specification As Built Documentation

g) Reports Internal and external reports

h) Programs Original Contract program (Controlled Document) Detailed and Summary Construction Programs (Controlled

Document) Monthly Update Reports (Controlled Documents)

A standard transmittal form shall accompany distribution of controlled documents. Acknowledgement of the documents by the receiver will be via the returned transmittal form signed by the receiver. A register will be maintained for identifying current and/or superseded documents that will be stored separately and clearly marked as “superseded”.

C.4.2.4 Control of records

Quality records are the documents that provide objective evidence of compliance (or non-compliance) with specified requirements. They include but not limited to:-

Inspection and test plan records. Equipment list and calibration record Request for Inspection (RFI) Non-conformance documentation (NCR) Drawing and specification Material and goods flow record Technical records (e.g. pile driving or surveying data) All kind project related correspondence Client and third party complaints.

Arrangements for the archiving of specific records to comply with both Client’s and regulatory requirement are identified and controlled.

C.5 Management Responsibility

C.5.1 Management commitments

LIC’s management is committed to achieving high standards of efficiency and workmanship consistent with the objective of handing over a finished product, not only satisfying the client’s expectations, but representative of the Company and its employees’ commitment to quality.

Refer also to section ‘A – project Organization’.

LIC’s management will establish updated quality policy, quality objectives, conducting management reviews, and ensuring availability of resources.






C.5.2 Client focus

It is the focus of LIC to provide only those products that have the necessary quality to merit our Client’s satisfaction by meeting the specified requirements and fulfilling our contractual obligations.

While striving to satisfy the requirements of the Client, by doing the right things and do it right the first time will optimize costs of operation. The goal of LIC’s QA/QC system is to achieve quality works with minimum defects and errors.

“Client’s first” and “Prospering the Client is our no.1 priority” are our motto.

C.5.3 Quality Policy

It is the LIC’s policy where LIC is committed to achieve Quality Excellence in all aspects of its business and at all levels of operation.

The timely and satisfactory execution of this is heavily dependent on the effective control of goods, material and equipment and the quality of construction. In recognition of these important aspects of the Works, it is the policy of the LIC to implement a quality system on the Project.

The objective of the implementation of the project quality is to ensure that the requirements of the Client as detailed in the Contract Specification and Drawings are satisfied.

It is LIC’s goal to extend the awareness, acceptance and implementation of the quality system to all our sub-contractors.

All project staff shall diligently perform the duties, which are assigned to them in the Project Quality Plan (PQP). Your co-operation and participation is essential to ensure that the PQP becomes an integral part of the management systems, which shall contribute to the overall success of the Project.

C.5.4 Planning

C.5.4.1 Quality objectives

LIC is committed to delivering the quality in a competitive and cost effective manner, on time and constructed or built by personnel with the appropriate experience, training and/or qualifications.

The above objectives will meet the product realization, measurable and consistent with quality policy and established at relevant functions and levels within LIC.






C.5.4.2 Quality management system planning

LIC will plan to manage relating to Quality Control and Quality Assurance. LIC will establish all relevant QA/QC work instruction, procedures, check lists, reporting formats, flow charts and documentation to be adopted for quality assurance. LIC will also be responsible to implement, monitor and review if necessary the quality system to suit the purpose and conditions pertinent to the Project.

LIC will also ensure that documentation requirement and quality system integrity are maintained when changes occurred during continuous planning and implementation.

C.5.5 Responsibility, authority and communication

C.5.5.1 Responsibility and authority

Other than Executive Chairman and GM, no member of the Project team is authorized to disclose the cost of any of the contract works to any party or to represent LIC on any matter relating to cost, expenditure or finance.

The Site Agent, Deputy Site Agent, Unit Manager, and Engineer will keep a record of authorized signatories, specifically detailing delegated authority for signature of records, correspondence and checks using the standard Perfoma.

Refer also to section ‘A.3 – Key personnel Responsibilities’.

C.5.5.2 Management representative

The GM, or in his absent PD will ensure that:- Processes are established, implemented and maintained Report to op management on performance and any need for

improvement Promoting awareness of Client requirement throughout LIC

C.5.5.3 Internal communicationFor the effectiveness of the quality management system, internal communication between LIC’s staff will be conducted either verbally or written form. In addition to internal communication, external communication is also required for input and output of the quality system.

Head office LevelCorrespondence / communication shall be LIC’s Executive Chairman, Client’s Site Agent, Client’s Construction Manager and the Consultant’s Directors for all Contractual and Financial matters.






Site Office LevelCorrespondence / communication shall be between Client’s Construction Manager, LIC General Manager, LIC Site Agent and Consultant’s Resident Engineer for all construction, operational and technical matters.

In general, communications are in the following forms:- In-coming mail/memo Out-going mail/memo/RFI- Request for Information Oral communications (All relevant oral communication or directions

including through telephone shall be recorded by letter, facsimile or minutes)

C.5.6 Management review

C.5.6.1 General

Review is achieved by independent personnel undertaking formal checking of procedures detailed in this PQP (including quality control procedures) and the quality of the work being submitted for acceptance.

The QA/QC manager may carry out review activities.

All review activities will be documented to provide a record, which together with quality control record form the basis of assurance. These records will be managed through a system, which is planned and maintenance as detailed in this PQP.

An essential component of the quality system to be directly implemented by the QA/QC Manager will be an effective non-conformance control system. the non-conformance control procedures is documented one of quality procedures.

C.5.6.2 Review input

The management review input would include information on the following:

1. Results of audits2. Client feedback3. Process performance and product conformity4. Status of preventive and corrective actions5. Follow-up actions from previous management reviews6. Changes that could affect the quality management system, and 7. Recommendations for improvement

C.5.6.3 Review output

The management review output would include any decisions and actions related to the following:-






1. Improvement of the effectiveness of the quality management system and its processes.

2. Improvement of product related to Client requirements, and3. Resource needs.

C.6 Resource Management

C.6.1 provision of resources

LIC will determine and provide the resources needed as follows:-1. To implement and maintain the quality management system and

continually improve its effectiveness, and2. To enhance Client satisfaction by meeting Client requirements.

C.6.2 Human resources

C.6.2.1 General

LIC will ensure that personnel performing work affecting product quality to be competent on the basis of appropriate education, training, skills and experience.

C.6.2.2 Competence, awareness and training

LIC may send any staff to attend approved external courses, seminars, workshop etc., subject to exigencies of service and after having nominated by GM and approved by EC.

Training of site staff shall be job related, relevant to site goals and direction cost-effective and beneficial to the company.When subcontractors are performing special processes the GM shall ensure that adequately qualified and experienced personnel are employed and that monitoring control are suitably documented. Otherwise, staff shall be sent for training.

C.6.3 InfrastructureAs the whole, LIC will determine, provide and maintain infrastructure needed to achieve conformity to product requirements, which includes the following infrastructure:-

Building, workshop and associated facilities. Process equipment (both hardware and software), and Supporting services (such as transport or communication equipment)

LIC will assure that adequate control and co-operation of projects as follows:






APPENDIX BINSPECTION AND TEST PLANS






APPENDIX CSAMPLE OF QA/QC FORMS






SUMMARY OF QA/QC FORMS

NO. FORM NO. DESCRIPTION1. RFI-100 REQUEST FOR INSPECTION2. RI-100 REQUEST FOR

INFORMATION3. SD-100 SITE DIARY4. NCAR-100 NON-CONFORMANCE AND

CORRECTIVE ACTION REPORT

5. CA-2005(JKR) MATERIAL APPROVAL






APPENDIX DSAMPLE OF QA/QC CHECKLISTS






SUMMARY OF QA/QC CHECKLISTSCIVIL AND STRUCTURAL

1. C&S 001-PILING WORKS2. C&S 002-STATIC LOAD TEST3. C&S 003-PILECAP4. C&S 004-BEAM AND SLAB5. C&S 005-COLUMN AND WALL6. C&S 006-UPSTAND BEAM, PLINTH AND OTHER STRUCTURAL ELEMENTS7. C&S 007-STRUCTURAL STEEL8. C&S 008-PARAMETER DRAIN AND APRON

ARCHITECTURAL1. ARCH 001 – BRICKWORKS 2. ARCH 001 - PLASTERING3. ARCH 001 - SCREEDING4. ARCH 001 - TIMBER, DOOR AND WINDOW5. ARCH 001 - IRONMONGERY6. ARCH 001 - FLOOR TILING 7. ARCH 001 - PAINTING8. ARCH 001 - ROOFING






APPENDIX EQUALITY MANAGEMENT PRINCIPLES

& GUIDELINES

Appendix EQuality Management Principles & Guidelines






Quality Management Principles & Guidelines

1.0 Introduction

This document provides an understanding of the Quality Management Principles that will facilitate a successful management culture for users of the ISO 9000 Family of Standard and Guidelines. The Quality Management Principles will be contained in the new ISO 9001:2000 document. The ISO 9000 Family of standards will be based on these Quality Management Principles.

With growing global competition, quality management is becoming increasingly important to the leadership and management of all organizations. The Quality management principles apply universally to all user groups. This document focuses on the needs of executive managers. The Quality Management Principles may be incorporated into new or existing documents to satisfy the needs of others user groups.

By applying the following eight Quality Management Principles, organizations will produce benefits for Clients, owners, people suppliers, local communities and society at large.

Quality Management Principles

A Quality Management Principles is comprehensive and fundamental rule or belief, for leading and operating an organization, aimed at continually improving performance over the long term by focusing on Client while addressing the needs of all other stakeholders.

Applying the principle of Client-focused organization leads to the following actions: Understanding the whole range of Client needs and expectations for products,

delivery, price, dependability, etc. Ensuring a balanced approach among Clients and other stakeholders (owners,

people, suppliers, local communities and society at large) needs and expectation. Communicating these needs and expectations throughout the organization. Measuring Client satisfaction and acting on results, and Managing Client relationship.

Beneficial applications of this principle include: For policy and strategy formulation, making Client needs and the needs of other

stakeholders understood throughout the organization.

Principle 1: Client-Focused Organization

“Organization depend on their Clients and therefore should understand current and future Client needs, meet Client requirements and strive to

exceed Client expectations”






For goal and target setting, ensuring that relevant goals and targets are directly linked to Client needs and expectations.

For operational management, improving the performance of the organization to meet Client needs.

For human resources management, ensuring the people has the knowledge and skills required to satisfy the organization’s Clients.

Applying the principle of leadership leads to the following actions: Being proactive and leading by example. Understanding and responding to changes in the external environment. Considering the needs of all stakeholders including Clients, owners, people,

suppliers, local communities, and society at large. Establishing a clear vision of the organization’s future. Establishing shared values and ethical role models at all levels of the

organization Building trust and eliminating fear Providing people with the required resources and freedom to act with

responsibility and accountability. Inspiring, encouraging and recognizing people’s contributions. Promoting open and honest communication. Educating, training and coaching people. Setting challenging goals and targets, and Implementing strategy to achieve these goals and targets.

Beneficial applications of this principle include: For policy and strategy formulation, establishing and communicating a clear

vision of the organization’s future. For goal and target setting, translating the vision of the organization into

measurable goals and targets. For operational management, empowered and involved people achieve the

organization’s objectives: For human resources management, having an empowered, motivated, well-

informed and stable workforce.

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”






Applying the principle of involvement of people lads to the following actions by the people:

Accepting ownership and responsibility to solve problems, Actively seeking opportunities to make improvements, Actively seeking opportunities to enhance their competencies, knowledge and

experience, Freely sharing knowledge and experience in terms and groups, Focusing on the creation of value for Clients, Being innovative and creative in furthering the organization objectives, Better representing the organization to Client, local communities and society at

large, Deriving satisfaction from their work, and Be enthusiastic and proud to be part of the organization.

Beneficial applications of this principle include: For policy and strategy formulation, people effectively contributing to

improvement policy and strategies of the organization, For goal and target setting, people sharing ownership of the organization’s goals, For operational management, people being involved in appropriate decision and

improvements, For human resources management, people being more satisfied with their jobs

and being actively involved in their personal growth and development, for the organization’s benefit.

Applying the principle of process approach leads to the following actions:o Defining the process to achieve the desired result,o Identifying and measuring the inputs and outputs of the process,o Identifying the interfaces of the process with the function of the organization,o Evaluating possible risks, consequences and impacts of processes on Clients,

suppliers and other stakeholders of the process,

Principle 4: Process Approach

“A desired result is achieved more efficiently when related resources and activities are managed as a process”






o Establishing clear responsibility, authority, and accountability for managing the process,

o Identifying the internal and external Clients, suppliers and other stakeholders of the process, and

o When designing processes, consideration is given to process steps, activities, and flows, control measures, training needs, equipment, methods, information, materials and other resources to achieve the desired results.

Beneficial applications of this principle include:o For policy and strategy formulation, utilizing defined processes throughout the

organization will lead to more predictable results, better use of resources, shorter, cycle times and lower costs;

o For goal and target setting, understanding the capability of processes enables the creation of challenging goals and targets;

o For operational management, adopting the process approach for all operations results in lower costs, prevention of errors, control of variation, shorter cycle times and more predictable outputs;

o For human resources management establishing cost efficient processes for human resource management, such as hiring, education and training, enables the alignment of those processes with the needs of the organization and produces a more capable workforce.

Applying the principle of system approach to management leads to the following actions: Defining the system by identifying or developing the processes that effect a given

objective, Structuring the system to achieve the objective in the most efficient way, Understanding the interdependencies among the processes of the system, Continually improving the system through measurement and evaluation, and Establishing resources constraint prior to action.

Beneficial applications of this principle include: For policy and strategy formulation, the creation of comprehensive and

challenging plans that link functional and process inputs; For goal and target setting, the goals and targets of individual processes are

aligned with the organization’s key objectives;

Principle 5: System Approach to Management

“Identifying, understanding and managing a system of interrelated processes for a given objective improve the organization’s effectiveness

and efficiency”






For operational management, a broader overview of the effectiveness of processes which leads to understanding the causes of problems and timely improvement actions;

For human resources management provides a better understanding of roles and responsibilities for achieving common objectives there by reducing cross-functional barriers and improving teamwork.

Applying the principle of continual improvement leads to the following actions: Making continual improvement products, processes, and system an objective

for every individual in the organization. Applying the basic improvement concept of incremental improvement and

breakthrough improvement, Using periodic assessments against established criteria of excellence to

identify areas for potential improvement, Continually improving the efficiency and effectiveness of all processes, Promoting prevention based activities, Providing every member of the organization with appropriate education and

training, on the methods and tools of continual improvement such as: The Plan-Do-check-Act-Cycle, Problem solving, Process re-engineering, and Process innovation,

Establishing measures and goals to guide and track improvements, and Recognizing improvements.

Beneficial applications of this principle include: For policy and strategy formulation, creating and achieving more competitive

business plans though the integration of continual improvement with strategy and business planning;

For goal and target setting, setting realistic and challenging improvement goals and providing the resources to achieve them;

For operational management, involving people in the organization in the continual improvement of processes;

For human resource management, providing all people in the organization with the tools, opportunities, and encouragement to improve products, processes and systems.

Principle 6: Continual Improvement

“Continual improvement should be a permanent objective of the organization”






Applying the principle of factual approach to decision making leads to the following actions:

Taking measurements and collecting data and information relevant to the objectives,

Ensuring the data and information are sufficiently accurate, reliable and accessible,

Analysis the data and information using valid methods, Understanding the value of appropriate statistical techniques, and Making decisions and taking action based on the results of logical analysis

balance with experience and intuition. For policy and strategy formulation, strategies based on relevant data and

information are more realistic and more likely to be achieved; For goal and target setting, using relevant comparative data and information to

set realistic and challenging goals and targets; For operational management, data and information are the basis for

understanding both process and system performance to guide improvements and prevent future problems;

For human resources management, analysis data and information from sources such as people surveys, suggestions and focus groups to guide the formulation of human resources policies.

Applying the principle of mutually beneficial supplier relationships leads to the following actions:

Identifying and selecting key suppliers, Establishing supplier relationships that balance short-team gains with long-term

considerations for the organization and society at large, Creating clear and open communications, Initiating joint development of products and processes, Jointly establishing a clear understanding of Clients needs, Sharing information and future plans and Recognizing supplier improvements and achievements.

Principle 7: Factual approach to decision making

“Effective decisions are based on the analysis of data and information”

Principle 8: Mutually beneficial supplier relationship

“An organization and its suppliers are interdependent, and a mutually beneficial relationship enhances the ability of both to

create value”






Beneficial applications of this principle include: For policy and strategy formulation, creating competitive advantage through the

development of strategic alliances or partnership with suppliers; For goal and target setting, establishing more challenging goals and targets

through early involvement and participation of suppliers; For operational management, creating and managing supplier relationships to

ensure reliable, on-time, defect-free delivery of suppliers; For human resources management, developing and enhancing supplier

capabilities through supplier training, and joint improvement efforts.






C.7.2 Client related processes

C.7.2.1 Determination of requirements related to the product

LIC will determine:- a) Requirement specified by Client, including the requirements for delivery and

post-delivery activities,b) Requirements not stated by Client but necessary for the specified or intended

use, where known,c) Statutory and regulatory requirements related to the product, and d) Any additional requirements determined by LIC

C.7.2.2 Review of requirements related to the product

LIC will review the requirement related to the product and will conduct it prior to LIC commitment to provide the product to the Client (e.g. submission of tenders, acceptance of contractors or orders, acceptance of changes to the contracts or orders) and will ensure:-

a) Product requirements are definedb) Contract or order requirements differing from those previously expressed are

resolved, andc) LIC has the ability to meet the defined requirements

Records of the results of the review and actions arising from the review will be maintained. Where the Client provides no documented statement of requirement, the Client requirement will be confirmed by LIC before acceptance. Where product requirements are changed, LIC will ensure that relevant documents are amended and that relevant personnel are made aware of the changed requirements.

LIC will incorporate procedure to ensure that changes to the Contract, which are received during the contract period, are reviewed with respect to the following;

I. Requirements are documented and adequately defined;II. Sufficient resources and expertise are available to carry out the Works;

III. Unsure discrepancies from the original contract requirements are clearly understood.

C.7.2.3 Client communication

LIC will determine and implement effective arrangements for communicating with Clients in relation to:-

a) Product informationb) Enquiries, contracts or order handling, including amendments, andc) Client feedback, including Client complaints

Correspondence / communication shall be LIC’s General Manager, Client’s Site agent, Client’s Construction Manager and the Consultant’s Directors for all Contractual and Financial matters.






Site Office levelCorrespondence / communication shall be between general Manager, Site Agent and Unit Manager.

C.7.3 Design and development

C.7.3.1 Design and development planning

LIC will plan and control design and development of product where during design and development, LIC will determine:-

a) The design and development stageb) The review, verification and validation that are appropriate to each design and

development stage, andc) The responsibilities and authorities for design and development

LIC will manage the interfaces between different groups involved in design and development to ensure effective communication and clear assignment of responsibility. The planning output will be updated, as appropriate, as the design and development progresses.

LIC will engage specialist subcontractor or design consultant as a sub-consultant/designer for the production of the following:-

Shop drawings (specialized factory or mill fabrication) Temporary works drawings (scaffolding, deep trenching, ground anchors, sheet

piling, access platform/staging, etc) Construction drawings

Each of the sub-consultants employed by LIC shall implement own in-house quality system. Documentation for the sub-consultants in-house quality systems shall be synchronized with this PQP.

C.7.3.2 Design and development input

LIC will determine and maintain records on inputs relating to product requirements. These inputs will include:-

a) Functional and performance requirements,b) Applicable statutory requirementsc) Where applicable, information derived from previous similar designsd) Other requirements essential for design and development.

The procedures to be implemented directly by LIC for any design works will incorporate development of a design brief (or input), the common design inputs are:-

Client’s need statement or project brief Land Survey and/or geotechnical investigation information Specific need of the temporary works Surrounding constraints/restrictions/limitation






Relevant design standards or codes of practice and specifications

C.7.3.3 Design and development output

The outputs of design and development will be provided in a form that enables verification against the design and development input and will be approved prior to release:-

a) Meet the input requirements for design and developmentb) Provide appropriate information for purchasing, production and for service

provisionc) Contain or reference product acceptance criteriad) Specify the characteristic of the product that are essential for its safe and proper

use

As normally practiced, the documentation output will be produced in several phases as follows:-

1) Preliminary design drawings2) Intermediate design drawings3) Detailed design I drawings4) Detailed design II drawings5) Final design drawings.

C.7.3.4 Design and development review

At suitable stages, systematic reviews of design and development will be performed in accordance with planned arrangement (see section C.7.3.1)

a) To evaluate the ability of the results of design and development to meet requirements

b) To identify any problem and propose necessary actions

The participant of the reviews will include the representative of functions concerned with the design and development stage (s) being reviewed. Records of the results of the review and any necessary actions will be maintained (see section C.4.2.4)

At each design stage, LIC will issue a formal review to ensure that the output design meets the requirements of the brief.

GM and PD are responsible for the management of any design works carried out on the Contract and will review the proposal, compliance with relevant codes, standards and statutory regulations, environmental aspect and general health and safety.

C.7.3.5 Design and development verification

Verification will be performed in accordance with planned arrangement (see section C.7.3.1) to ensure that the design and development outputs have met the design and






development input requirements. Records of the results of the verification and ay necessary actions will be maintained (see section C.4.2.4).

The Contract Department, upon basic cost study of the detailed or final design, will provide verification to the drawings and specifications documented by the sub-consultants. Only then will the GM delegate the responsibility for the design documentation and submission to the Client to the sub-consultant as applicable.

C.7.3.6 Design and development validation

Design and development validation will be performed in accordance with planned arrangements (see section C.7.3.1) to ensure that the resulting product is capable of meeting the requirements for the specified application or intended use, where known. Wherever practicable, validation shall be completed prior to the delivery or implementation of the product. Records of the results of validation and any necessary actions will be maintained (see section C.4.2.4).

Upon verification, LIC’s top management will validate the design and revert it back to the sub-consultants for their Professional Engineer’s endorsement and for further submission to Client.

C.7.3.7 Control of design and development changes

Design and development changes will be identified and records maintained. The changes will be reviewed, verified and validated, as appropriate, and approved before implementation. The review of design and development changes will include evaluation of the effect of the changes on constituent parts and product already delivered. Records of the results of the review of changes and any necessary actions will be maintained (see section C.4.2.4).

A register will be maintained for identifying current and/or superseded documents that will be stored separately and clearly marked as “superseded” and “canceled” complete with the issuance and cancellation date for each documents.

C.7.4 Purchasing

C.7.4.1 Purchasing processes

LIC will ensure that purchased product conforms to specified purchase requirements. The type and extent of control applied to the supplier and the purchased product will be dependent upon the effect of the purchased product on subsequent product realization or the final product.

LIC will evaluate and select supplier based on their ability to supply product in accordance with LIC’s requirements. Criteria for selection, evaluation and re-evaluation will be established. Records of the results of evaluations and any necessary actions arising from evaluation will be maintained (see section C.4.2.4).






Suppliers and Sub-contractors will be selected on a competitive basis that will take into account their ability to provide the specified product or service at the required level of quality to meet contractual requirements.

Suppliers and Sub-contractors may be evaluated for but not be limited to the following:-a) Supplier/Subcontractor Backgroundb) Organizational Abilityc) Experience and Qualification of Personneld) Safety and Industrial Relations Recorde) Adequacy or Existence of a Quality Systemf) Financial capability and standing

The selection of Suppliers and Subcontractors, and the type and extent of control exercised, will depend on the ability of the Supplier/Subcontractor to demonstrate past performance, and complexity and critically of the product, material or services.

The approval for the selection Supplier/Subcontractor will be the responsibility of the GM, who shall prior to the award of a subcontract, where applicable, will obtain the Client approval.Purchasing documents will contain a clear description of the product, material or service ordered and will contain, but not be limited to the following:

a) Clear description of the product, material and/or service, which will include specification, drawings, inspection and test requirements, delivery schedules and requirements for compliance with the Client environmental or any other policies.

b) Quality assurance requirements including trace ability, records, test certificates and independent validation evidence throughout the supply of the product and/or service.

c) Product, Material and Service delivery identification requirements.d) Hold and Witness points, the right of the Client and LIC to inspect, audit and to

have access to the work premises both on and off the Contract Site.

All purchasing documents will be reviewed and approved by the GM or in his absent, the PD.

C.7.4.2 Purchasing information

Purchasing information will describe the product to be purchased, including where appropriate:-

a) Requirements for approval of product, procedures, processes and equipmentb) Requirements for qualification of personnelc) Quality management system requirements

Purchasing information to supplier or subcontractor will be in the form of detailed “Purchase Order / Work Order” which normally specify the following particulars:

Description and specification of the material ordered Quantities Date, location and delivery arrangement






Particulars of accepting person/party at the destination Other relevant information pertaining to the order

C.7.4.3 Verification of purchased product

LIC will establish and implement the inspection or other activities necessary for ensuring that purchased product meets specified purchase requirements. Where LIC or its Client intends to perform verification at the supplier’s premises, LIC will state the intended verification arrangement and method of product release in the purchasing information.Accepting person/party at the destination will compare the “Purchase Order” with respect to the “Delivery Order” and inspect/verify that the material arrived at his location as per the said “Purchase Order”.

In the case of “works”, the verification will be in the form of QA/QC forms and most importantly, during verification of subcontractors interim claim document.

C.7.5 Production and service provision

C.7.5.1 Control of production and service provision

LIC will identify those processes where in LIC opinion the absence of procedures or work instructions could adversely affect quality. Procedures and instruction methods will be prepared so as they reflect actual work practice and will be distributed to relevant personnel performing the particular task. The distribution of procedures and instructions will generally be contained in Quality Plans covered by document control procedures.

Procedures will detail how a particular process is to be carried out whereas instruction methods will provide detail on how a particular task within the construction process is to be performed. On occasion it may be practical to incorporate the procedure and instruction method as one procedure, reducing unnecessary documentation.

When determining whether a process will be adversely affected by the absence of documented procedures and instruction, due consideration will be given to the complexity of the process, the skill, experience and qualification of the operational personnel and the likelihood of non-conformance or poor workmanship.

Both procedures and instructions will address all or part of the following:- What it is to be done Who is to do it When it is to be done Where it is to be done How it is to be done Material required Equipment required Documentation to be used Degree of Supervision/Control required






Technical/process Procedures (or Method Statement) are the agreed method of undertaking a technical/process activity incorporating a clear allocation of responsibility for accomplishing the key tasks and duties.

A Work Instruction is a document that provides detail guidance for the execution of a particular task, which may be issued as supplementary information to that contained in the Quality Plan for that specific work or trade type.

Processes will b mentioned and any deficiencies in methods, procedures, instructions and control will be corrected and the necessary changes made to supporting documentation.

C.7.5.2 Validation of processes for production and services provision

LIC will validate any processes for production and service provision where the resulting output cannot be verified by subsequent monitoring or measurement. This includes any processes where deficiencies become apparent only after the product is in use or the service has been delivered. Validation will demonstrate the ability of theses processes to achieve planned results and LIC will establish arrangements for these processes including, as applicable:-

a) Define criteria for review and approval of the processesb) Approval of equipment and qualification of personnelc) Use of specific methods and proceduresd) Requirements for records (see section C.4.2.4)e) Revalidation

LIC shall validate and assure that adequate control and co-operation of projects as follows:-

a) Processes are performed by suitably qualified, experienced and trained personnel working to relevant Quality Management System element.

b) Equipment used shall be controlled, calibrated and approved.c) Material, equipment and services used shall be procured in a controlled manner.d) Processes shall be performed in accordance to Quality Procedures, Work

Instructions and Drawing or specifications, and organizational interfaces shall be identified and controlled.

e) Controlled and documented systems shall be available for the identification, segregation, and disposal of non-conforming items.

f) The planning and monitoring requirements of projects are carried out by the assigned project staff.

GM shall ensure that adequate instruction identifies process or activities that cannot be verified by subsequent inspection or other similar approved controls are in place and implemented.

For subcontractors, the arrangement for procurement and site controls carrying out such processes shall ensure that the subcontractor is working to an approved system and using suitably qualified and legal personnel.






LIC will ensure to provide servicing and maintenance or permanent works during the guarantee and liability period as per contract.

LIC will ensure ability to provide adequate technical advice, materials supply and trained personnel to carry out satisfactory maintenance and servicing of product.

LIC will guarantee its works for a period from date of Practical Completion, based on contractual requirements.

C.7.5.3 Identification and traceability

Where appropriate, LIC will identify the product by suitable means throughout product realization. LIC will identify product status with respect to monitoring and measurement requirements. Where traceability is a requirement, LIC will control and record unique identification of the product (see section C.4.2.4)

.

The Project Identification System shall be based on the Work Breakdown Structure developed during planning of the design and construction operations and the identification systems include in the Specifications and drawing. The purpose is to provide identification mechanisms to be used within the various Project controls systems. The systems will allow all works to be physically located in the field to ensure that materials and other items are used for their intended purpose. The system will enable the various quality records to be traced to items and locations in the field.

Where necessary document tractability systems will be developed for components and/or sections of the Works.

Verification of inspection and test status is provided through documentation (e.g.: goods received notes, in-process and final inspection report/checklist) as detailed in the Quality Management System.

Where non-conforming items are suggested or rejected then this will be evident by both documentation and physical identification. Where practicable such items shall be segregated to prevent inadvertent use.

Personnel carrying out the inspection and testing shall be responsible for the maintenance of records for release of conforming works.

C.7.5.4 Client property

LIC will exercise care with Client property while it is under control or being used by LIC. LIC will identify, verify, protect and safeguard Client property provided for use or incorporation into the product. If any Client property is lost, damaged or otherwise found to be unsuitable for use, this will be reported to the Client and records maintained (see section C.4.2.4)






The Client is expected to supply the highest quality materials, documentation, personnel, equipment or services, in a manner that shall not have an adverse effect on LIC or the quality of its products and services. The Contracts Manager shall ensure that the Client is fully aware of their responsibilities in these matters.

All information and material supplied by the Client shall be treated as confidential and not be used for any other purpose without expressed written consent.

GM shall be responsible for maintaining records of the items supplied by the Client. In the case of nominated service, supplier or sub-contractors the GM shall inform Client’s Construction Manger Contracts if the said parties are not performing adequately.

C.7.5.5 Preservation of product

LIC will preserve the conformity of the product during internal processing and delivery to the intended destination. This preservation will include identification, handling, packaging, storage and protection. Preservation will also apply to he constituent parts of a product.

General Manager shall ensure implementation of an approved system to identify, handle, storage, packaging and/or protection of all products and materials at site. This to ensures that the risk of inadvertent and/or deterioration from receipt to delivery is prevented.

C.7.6 Control of monitoring and measuring devices

All inspection, measuring and test equipment, required to demonstrate product conformance to specified requirement, will be regularly calibrated and maintained in good working order.

The GM shall ensure that the requirement for measurement is identified together with accuracy requirements.

Equipment registers will be maintained to identify all inspection, measuring and test equipment, whether owned or rented. For each item the register will indicate the following:-

Serial number; Method of checking equipment; Acceptance criteria; Nature of equipment.

All employees using measuring and test equipment are responsible to ensure that the calibration status is valid at time of use. Calibrated equipment shall bear its ‘Calibration Approval’ sticker.

If equipment is found, as out calibration, a RED sticker or other indication shall be affixed to show out of calibration status and a Corrective Action request shall be issued.

C.8 Measurement, analysis and Improvement






C.8.1 General

LIC will plan and implement the monitoring, measurement, analysis and improvement processes needed:-

A. To demonstrate conformity of the productB. To ensure conformity of the quality management systemC. To continually improve the effectiveness of the quality management system

This will include determination of applicable methods, including statistical techniques, and the extent of their use.

C.8.2 Monitoring & measurement

C.8.2.1 Client satisfaction

As one of the measurements of the performance of the quality management system, LIC will monitor information relating to Client perception as to whether LIC has met Client requirements. The methods for obtaining and using this information will be determined.

Meeting Client’s satisfaction by complying with the specified requirements and fulfilling our contractual obligation will only be achieved through those products that have the necessary quality to merit.

C.8.2.2 Internal audit

LIC will conduct internal audits at planned intervals to determine whether the quality management system:-

A. Conforms to the planned arrangements (see section C.7.1), to the requirements of this international standard and to the quality management system requirements establish by LIC

B. Is effectively implemented and maintained.

An audit program will be planned, taking into consideration the status and importance of the processes and areas to be audited, as well as the results of previous audits. The audit criteria, scope, frequency and methods will be defined. Selection of auditors and conduct of audits shall ensure objectivity and impartiality of the audit process. Auditors will not audit their own work.

The responsibilities and requirements for planning and conducting audits, and for reporting results and maintaining record (see section C.4.2.4) will be defined in a documented procedure.The management responsible for the area being audited will ensure that actions are taken without undue delay to eliminate detected nonconformities and their causes. Follow-up activities will include the verification of the actions taken and the reporting of verification results.






Internal quality audit to this project will be under responsibility of Quality Management unit at Head Office.

Internal audit shall be carried out in accordance to standard requirement or procedures. Quality Management Unit Head will prepare annual schedule for audit.

GM shall be responsible to ensure are carried out accordingly.

Audit is a verification activity internally or externally used to assess the operation and effectiveness of this PQP as well as representative Quality Assurance procedures.

Quality system internal audits shall be undertaken by representative of LIC who are trained in the techniques of auditing and are not directly associated with this project. The representative will objectively audit and report on the system to evaluate its operation and effectiveness.

Formal internal audit reports shall be prepared and distributed as specified in the quality system procedures for Internal Quality audits.

C.8.2.3 Monitoring and measurement of processes

LIC will apply suitable methods and, where applicable, measurement of the quality management system processes. These methods will demonstrate the ability of the processes to achieve planned results. When planned results are not achieved, correction and corrective actions will be taken, as appropriate, to ensure conformity of the product.

C.8.2.4 Monitoring and measurement of product

LIC will monitor and measure the characteristics of the product to verify that product requirements have been met. This will be carried out at appropriate stages of the products realization process in accordance with planned arrangements (see section C.7.1).Evidence of conformity with acceptance criteria will be maintained. Records will indicate the person(s) authorizing release of product (see section C.4.2.4).Product release and service delivery will not proceed until the planned arrangements (see section C.7.1) have been satisfactorily completed, unless otherwise approved by a relevant authority and, where applicable, by the Client.

All materials or product to be incorporated into permanent works shall be inspected, tested, or otherwise verified, to demonstrate conformance to specification.

Product or materials that are subsequently suspected as nonconforming will be identified and marked accordingly. If practical, nonconforming materials will be segregated to prevent accidental use.

In the event that release of incoming materials or product is urgently required for project progress they may be released under “positive recall” conditions. In these circumstances






the construction activities will be recorded on the master plan to allow immediate identification and replacement in the event of nonconformance.

Activities involving unverified materials or product would be highlighted on the Site Master Plan in YELLOW.

Subcontractors operating under LIC’s Quality System will be subject to LIC’s Quality Checklist as documented evidence of the quality of work.

The GM shall ensure that all subcontractor work is fully inspected and tested before being accepted.

C.8.3 Control of nonconforming product

LIC will ensure that product which does not conform to product requirements is identified and controlled to prevent its unintended use or delivery. The controls and related responsibilities and authorities for dealing with nonconforming product will be defined in a documented procedure.

LIC will deal with nonconforming product by one or more of the following ways:-a) By taking action to eliminate the detected nonconformityb) By authorizing its use, release or acceptances under concession by a relevant

authority and, where applicable, by the Clientc) By taking action to preclude its original intended use or application

Records of the nature of nonconformities and any subsequent actions taken, including concessions obtained, will be maintained (see section C.4.2.4)

When nonconforming product is corrected it will be subject to re-verification to demonstrated conformity to the requirements.

When nonconforming product is detected after delivery or use has started, LIC will take action appropriate to the affects, or potential effects, of the nonconforming.LIC ensures that systems for the identification, documentation, evaluation and disposition of non-conforming materials, equipment, product, services or works are controlled.

Non-conformance is generally identified during planned and routine inspection and testing activities. Causes of non-conformity, as well as the non-conformity itself, are the subjects of a formal review to confirm disposition. This is done using LIC’s relevant non-conformance documentation whereby non-conforming items previously held may only be released from the “hold” position by written authority from the GM or a nominated representative.

The release may involve:1. Release for rework in which case a re-inspection in accordance with the

instruction of the GM shall be carried out






2. Use of the item under concession action authorized by the GM and by the Client where the Client’s specified requirement are involved.

3. The return to subcontractors/supplier or scrap on the site.

QA/QC Manager is provided with up to date written information regarding non-conformance and disposition.

C.8.4 Analysis of data

LIC will determine, collect and analyze appropriate data to demonstrate suitability and effectiveness of the quality management system and you evaluate where continual improvement of the effectiveness of the quality management system can be made. This will include data generated as a result of monitoring and measurement and from other relevant sources.

The analysis of data will provide information relating to:-a) Client satisfaction (see section C.8.2.1)b) Conformity to product requirement (see section C.7.2.1)c) Characteristic and trends of processes and products including opportunities for

preventive actiond) Suppliers

LIC will adopt statistical techniques where it is a requirement of the contract and will also, where appropriate, identify and classify other products and processes for which statistical techniques will be used as a basis for the assurance and control of quality and such proposals may be included in the relevant Quality Plan.

The appropriate statistical techniques will be selected for each particular application with defined confidence levels for process control and product acceptance.

When the application of statistical techniques to a repetitive process producing an essentially uniform product indicates that the process is in control and the product is uniform, consideration ma be given to the relaxation of inspection and testing frequencies or the introduction of alternate test methods which produce cost and/or time savings, whilst the process continues to demonstrate stability and the product conformance.

C.8.5 Improvement

C.8.5.1 Continual improvement

LIC will continually improve the effectiveness of the quality management system through the use of the quality policy, quality objectives, audit results, analysis of data, corrective and preventive actions and management review.

To insure continuous improvement, all major problems, or persistent minor problems, in any section of this project or the quality system, shall be recorded on Corrective Action Request (CAR). This includes, but it is not limited to:






Occurrence of non-conforming product or process; Client complaint; Internal Quality Audit

All CARs shall be sequentially numbered per project/department and summarized on CAR Register.

Informally, feedback for improvement can be gathered by way of questionnaires, verbal comment or any other form of communication, which will be recorded and recommended to management for future implementation.

C.8.5.2 Corrective action

LIC will action to eliminate the cause of nonconformities in order to prevent recurrence. Corrective actions will be appropriate to the effects of the nonconformities encountered.

A documented procedure will be established to define requirements for:-a) Reviewing nonconformities (including Client complaints)b) Determining the causes of nonconformitiesc) Evaluating the need for action to ensure that nonconformities do not recurd) Determining and implementing action needede) Records of the results taken (see section C.4.2.4)f) Reviewing corrective action taken

All CARs shall be assigned to the relevant Sectional/Team Head responsible for the area of nonconformance. The responsible Head shall analyze the problem and identify a possible cause.

The appropriate Section/Team Head will approve any corrective action prior to being implemented. Any corrective action must be practical and cost justified.

All corrective actions will be subject to follow up before closing the relevant CAR.

C.8.5.3 Preventive action

LIC will determine action to eliminate the causes of potential nonconformities in order to prevent their occurrence. Preventive actions shall be appropriate to the effects of the potential problems.

A documented procedure will be established to define requirements for:-a) Determining potential nonconformities and their causeb) Evaluating the need for action to prevent occurrence of nonconformitiesc) Determining and implementing action neededd) Records of results of action taken (see section C.4.2.4)e) Reviewing preventive action taken






Preventive Action Review shall be held a minimum of once a year, usually during the Co-ordination Meeting. PD shall ensure this review.As a minimum, the review shall cover:

Current operations; Non-conformance Reports; Test results; Internal reports; Client complaints

After assessing the practicality, effect, and worth of proposed preventive action, the review shall make recommendations to the GM for approval. Preventive action shall be implemented under the same rule as corrective action, and shall be reviewed by the next Co-ordination Meeting.