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TQM Study in Royal Commission of Jubail . CEM 515. Purpose of the royal commission . Is to develop, construct and maintain the infrastructure of Jubail-2: Earth Work, Concrete channels & bridges roads Substations 230/34.5 kV & 115/34.5 kV (SEC) Telecom (STC) pipelines:
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Purpose of the royal commission • Is to develop, construct and maintain the infrastructure of Jubail-2: • Earth Work, • Concrete channels & bridges • roads • Substations 230/34.5 kV & 115/34.5 kV (SEC) • Telecom (STC) • pipelines: - Seawater cooling (Marafiq) - Water in/out (Marafiq) - Industrial gas Methane/ Ethane (ARAMCO) - Industrial waste (Marafiq)
Problem statement • Lack of Coordination between Royal Commission and Marafiq for the final acceptance of construction works of Jubail-2 Projects
Effects • Delay on close-out date of the project • Excessive submittal review work • Punch list items not in the scope of contract • Unfamiliarity with construction problems • Rework of finished work • Specifications correspondence between entities • Reject of work already paid/accepted
Pareto Note: Based on feedback from RC staff involved in the project
As-planned Close-out Approval of project Final acceptance Project Timeline Award Initial Acceptance Area of concern
As-built Close-out Approval of project Final acceptance Project Timeline Commissioning Award Initial Acceptance Delay
RC flow chart Start Marafiq involvement Plan the project Problem discussion NO YES Prepare budget Start design Start construction Area where problem is noticed Marafiq involvement Handle-over to Marafiq IA Close-out End
INITIAL ACCEPTANCE FLOWCHART A START Contractor complete Milestone & ready for Initial Acceptance (I/A) When I/A Deficiency completed to the satisfaction of FCS, a request for re-inspection of the completed items is sent Contractor send letter request for I/A The RC acceptance team will issue the Initial Acceptance Exception List (Exception for remaining deficiencies) FCS & his group determine if milestone is complete and contractor request is ok No FCS will recommend Initial Acceptance Certificate with the exceptions to RC Yes Contractor to complete all exception items during the warranty period If the above is accepted FCS prepare I/A inspection package MARAFIQ RC Acceptance team will designate team for inspection If all I/A exception items are satisfactory completed and the one year warranty finish, the FCS/ Contract Administrator will recommend and issue Final Acceptance Certificate to RC approval SCECO RC Acceptance team will contact involved future Owner Utility Co. POWER & TELECOM RC Acceptance team will issue I/A Deficiency List for the complete scope ROADS All performance bond and release of financial issues will be done upon issuance of Final Acceptance Certificate FCS will review items and issue letter to Contractor to complete all I/A deficiencies A END
Process mapping Marafiq Review Inspect Accept RC Construction Review Review Supervise Inspect Accept RC Engineering Plan Design Award Inspect RC IA Team Inspect Contractor Construct A/E Design Review
Initial acceptance requirements • AS-BUILT • O&M Manuals • Spare parts • Encroachment Permit • Warranty • Performance bond – cant be 3rd party beneficiary • Change orders • Claims
Close-out requirements • Technical submittals-who should review them • QC documentation • Spare parts • O&M Manuals • As-built drawings • Testing and commissioning-wittiness • Final quantities • Change orders and claims • In-House inspection
Force field analysis • Old procedures JMP-1975 • NO custodian contractual liabilities • specification correspondence • Motivation of staff • Overload on Marafiq • Mutual scope clarification • Warranty/Bond expiry • Contractor wants to finish work • Finance department stress to close-out the project • Jubail-2 schedule time • Upper management monthly reviews • Staff accomplishment records • Reputation of the Royal commission
Cause and effect diagram Contractor procedure RC procedure Marafiq procedure Contractual obligation s No tracking system No mutual procedure When to review submittals No quality check Un familiar to RC No technology involved No reporting system No Mutual procedure Lack of coordination between RC and Marafiq Overload Overload Lack of knowledge Lack of knowledge Lack of knowledge No Motivation No Motivation No Motivation Not familiar with procedures New staff New staff Contractor people RC people Marafiq people
Solution • Review IA procedure and requirements • Involve custodian in analysis design and all construction phases • Recruit more people • Assign a contractual obligation to custodian in order to meet demands • Establish Mutual procedure • Online mutual courses with Mutual procedure • Motivate people