PO_800_04_eng

ABB SpA Process Automation Division ��

QUALITY SYSTEM

OPERATING PROCEDURE

PO - 800 - 04

MATERIAL MANAGEMENT ON SITE

i 16/04/10 General Revision

CN (A. MACRI') QA (G. TANDOI) CN (A. COLADARCE)

H 26/06/02 General revision

(Added the operating methods when using MARIAN System)

OCN (R. RANDAZZO) QA (A. COLOMBO) OCN (R. RANDAZZO)

G 30/07/99 Ex PO-CNT-04 General Revision

QA (A. COLOMBO) QA (R. NADALI) HO (F. GARAU)

F 09/04/98 GENERAL REVISION

QAC (A.COLOMBO) CCSQ (G.CARESSA)DOI (E. AGOSTONI) DOE (E. DI MARIA)

REV DATE SCOPE OF REVISION PREPARED BY CHECKED BY APPROVED BY

La copia controllata del presente documento è disponibile sulla Intranet ABB. Prima dell'utilizzo, verificare che la copia cartacea o elettronica in possesso sia l'ultima revisione. A controlled copy of this document is available on the ABB Intranet. It is the user's responsibility to ensure that any hard copy, or electronic copy, is current.

FOR

-11-

2

Giuseppe Tandoi 2010.04.26 14:25:07 +02'00'

ABB SpA Process Automation Division ABBProc. PO-800-04 Rev. i Pag.N. 2 / 16

TABLE OF CONTENT

1.0 SCOPE................................................................................................................................... 3

2.0 REFERENCES....................................................................................................................... 3

3.0 DEFINITIONS AND ABBREVIATIONS.................................................................................. 3 3.1 Definitions........................................................................................................................... 3 3.2 Abbreviations...................................................................................................................... 3

4.0 FIELD OF APPLICATION ...................................................................................................... 4

5.0 DESCRIPTION OF WORK PROCESS.................................................................................. 4 5.1 Introduction......................................................................................................................... 4 5.2 Documents to be received on site ...................................................................................... 4 5.3 Material receiving operations.............................................................................................. 5

5.3.1 Material Receipt .......................................................................................................... 5 5.3.2 Material Checking........................................................................................................ 5 5.3.3 OS&D Report and OS&D Logbook ............................................................................. 8 5.3.4 Non Conformity Management and Notification............................................................ 8 5.3.5 Material Receipt Recording ......................................................................................... 9 5.3.6 Insurance Claim Management .................................................................................... 9 5.3.7 Use of plant parts for urgent reasons .......................................................................... 9

5.4 Outgoing recording ............................................................................................................. 9 5.5 Storage of Materials at Site .............................................................................................. 10

5.5.1 Storage Area Classification ....................................................................................... 11 5.5.2 Storage methods ....................................................................................................... 12

5.6 Handling ........................................................................................................................... 13 5.7 Preservation of plant parts................................................................................................ 14

5.7.1 Care of the parts........................................................................................................ 14 5.8 Store inventory ................................................................................................................. 14 5.9 Reports Overview ............................................................................................................. 14

6.0 TASKS AND RESPONSIBILITIES....................................................................................... 15 6.1 Warehouse Manager (WM) .............................................................................................. 15 6.2 Storekeeper (SK).............................................................................................................. 15 6.3 Site Manager (SM) ........................................................................................................... 15 6.4 Site Quality Manager (SQM) ............................................................................................ 15

7.0 ATTACHMENTS .................................................................................................................. 16


1.0 SCOPE

The procedure defines and regulates all activities to be performed on site concerning the management of permanent plant materials, highlighting the following:

Activities to be performed at receiving Inputs to be transmitted to warehouse management team; Reports to be issued by warehouse management team; How and where materials shall be stored, maintained until construction; How record the hand over of the materials to Subcontractors for erection; Duties and Responsibilities of involved personnel.

2.0 REFERENCES

PO-800-00 Field staff duties and responsibilities at construction site PO-800-16 Management of nonconforming products at construction site

3.0 DEFINITIONS AND ABBREVIATIONS

3.1 Definitions

The definitions used in the text are the following: Permanent plant materials: materials to be incorporated in the plant object of the

contract.

Nonconformity (NC): non-fulfilment of specified requirements, deviation or absence of one or more quality characteristics or quality system elements from specified requirements.

MARIAN: integrated material management system allowing material identification, quantification, inquiry issue, technical and commercial bid evaluation, purchase order issue, shipping, receiving and storage of materials, feasibility studies and material withdrawal. EASY SITE: Software for material management on site which is used to integrate information from/to MARIAN. EDMS Share Point: Document Management System for all project electronic files.

3.2 Abbreviations

ABB – PA Div. ABB SpA – Process Automation Division EIS Information System Dept. EPC Engineering, Procurement & Construction MRR Material Receiving Report


NC Non Conformity OS&D Over, Short and Damaged PPC Project Procurement Coordinator SM Site Manager SQM Site Quality Manager STM Site Technical Office Manager WM Warehouse Manager WMT Warehouse Management Team

4.0 FIELD OF APPLICATION

The present procedure is applicable to all EPC projects where warehouse management activities are under ABB responsibility. This procedure doesn’t cover shipping, unloading, custom, freight, forwarding and inland transportation activities. Material management shall be carried out either by using MARIAN system or EASY SITE tool. This procedure refers to a number of reports issued using MARIAN software. EASY SITE reports are equivalent to the ones attached.

5.0 DESCRIPTION OF WORK PROCESS

The work process relevant to material receiving is summarised in the flow chart in Attachment 1.

5.1 Introduction

For the correct management of materials using MARIAN or EASY SITE, it is necessary to set up the systems defining a number of parameter related to the warehouse organization (e.g. Number of warehouses – Area of storage etc.). This information shall be communicated to the home office EIS Dept. who will see to the necessary software settings. The EIS Dept. will organize training section for WMT in order to ensure the correct usage of the material management software used on site.

5.2 Documents to be received on site

To perform all material management activities, the WMT shall receive, either downloading from EDMS Share Point or from the Site Document Controller, the following documents: General Master Construction Schedule; Equipment List; MTO

Procurement Purchase Orders issued with Material Requisition

Expediting; Material Status Reports;

Shipping;


Shipping Alerts; Packing lists of shipped materials.

5.3 Material receiving operations

The receiving inspection activity is carried out on the plant parts, equipment and consumables reaching the Construction Site. The Check List in Attachment 2 records all the activities that the Storekeeper shall carry out, as far as applicable, for the check of the materials on receiving.

5.3.1 Material Receipt

Before signing the shipping documents and take the materials in charge, the Storekeeper shall verify that no damage, due to handling and transport, has occurred, and that the quantities and quality of the items comply with what stated in the shipping documents (Activity 1 and 2 of the Check List). Any problem found shall be recorded in the shipping documents which shall be dated and signed by the forwarder for receipt. In any case, Shipping Documents shall be signed "With Reservation" and the date of receipt shall be always indicated. The material received shall be recorded in the system used (MARIAN / EASY SITE) and the Storekeeper shall create the Material Receiving Report (MRR status "not posted") which will be distributed, for information, to the Construction Manager, Discipline Supervisor and Site Quality Manager to allow the correct planning of activities.

5.3.2 Material Checking

Incoming materials shall be placed in appropriate areas with characteristics similar to the type of storage defined in 5.5 in order to be inspected. Unless specified differently on the packaging, the content of each package shall be visually checked in order to ascertain any fault due to handling and transport. Note: When the parts are inside transparent bags or envelopes sealed against humidity, the visual inspection will be carried out without opening the packages. In any case, the materials inside cases shall be checked within 3 months (as per the applicable insurance policy) from its receipt in order to initiate the insurance claim should any damage be found. The Storekeeper will carry out the inspections which shall include, as far as applicable, what defined in the Receiving Check List (Attachment 2). If the Storekeeper finds one or more negative situation during the receiving checks, the following shall be applied: Damaging of packaging

The Storekeeper shall check the quantity of the material received and the presence of any damage. If no problem is found, the plant part results accepted and the subsequent checks shall be carried out.


In the contrary instance what defined for item A) as far as missing quantities and item B) for damages shall be applied.

A) Missing Material

The Storekeeper shall verity the presence of the items in the correct quantity applying a thick directly on the Packing List to confirm the correct material quantity received. In case of missing materials, the Warehouse Manager will be informed and shall fill in the OS&D Report (Attachment 3). The information is then recorded in the dedicated software (MARIAN / EASY SITE) by creating the relevant OS&D Report (Attachment 4).

The Warehouse Manager shall urgently inform, sending out the OS&D Report: the Site Manager so that he can initiate the procedure relevant to request for the

insurance claim by Head Office. the Project Procurement Coordination (Head-office) for action (e.g. towards

Vendor). With MARIAN, the information is available on line.

B) Damaged Material The Warehouse Manager shall record the damage in the OS&D Report (Attachment 3). The information is then recorded in the dedicated software (MARIAN / EASY SITE) by creating the relevant OS&D Report (Attachment 4). Damaged Material shall be segregated in a dedicated area (Non-conforming area). The following people shall be informed urgently (sending out a copy of the OS&D Report): the Site Manager so that he can initiate the procedure relevant to the request for

insurance claim by Head Office the Site Quality Manager so that he can issue the Non Conformity (Attachment

Report and identify the items as non conforming the Project Procurement Coordinator at the head office for actions towards the

vendor (if the case) With MARIAN, the information is available on line.

C) Wrong Material In case of wrong materials, the Warehouse Manager shall fill in the OS&D Report (Attachment 3). The information is then recorded in the dedicated software (MARIAN / EASY SITE) by creating the relevant OS&D Report (Attachment 4). Wrong Material shall be segregated in a dedicated area (Non-conforming area). The Warehouse Manager shall urgently inform the following people:


the Site Quality Manager so that he can issue the Non Conformity Report

(Attachment 6) and identify the material as non-conforming the Project Procurement Coordinator for the actions to be taken towards the

Vendor. With MARIAN, the information is available on line.

D) Lack of Identification Marking

In case of lack of identification, the Warehouse Manager shall fill in the OS&D Report (Attachment 3). The information is then recorded in the dedicated software (MARIAN / EASY SITE) by creating the relevant OS&D Report (Attachment 4). The Warehouse Manager shall urgently inform: the Site Quality Manager so that he can identify the material as non conforming

and issue the Non Conformity Report (Attachment 6) which will be sent to the Project Procurement Coordinator for action

the Project Procurement Coordinator for the actions to be taken towards the Vendor.

With MARIAN, the information is available on line.

E) Lack of Technical Documentation

In case of lack of technical documentation proving the adequacy of the item (e.g. Material Certificates, Inspection Report issued by ABB before shipping) the Warehouse Manager shall fill in the OS&D Report (Attachment 3) pointing out the problem. The information is then recorded in the dedicated software (MARIAN / EASY SITE) by creating the relevant OS&D Report (Attachment 4). The Warehouse Manager shall urgently inform: The Project Procurement Coordinator so that he urgently send the missing

documents The Site Quality Manager for evaluation. With MARIAN, the information is available on line.

Lacking or inadequate protections, seals and covering

The Warehouse Manager shall check if this lack or unsuitability has caused any damage to the concerned plant parts. If the check does not reveal any problem, the part is accepted and the Storekeeper shall see to the restoration of said protections. In the contrary instance the plant part is to be considered Non Conforming and what stated in point B) shall be implemented.


5.3.3 OS&D Report and OS&D Logbook

The OS&D Report will be filled in as follows:

Project Name of the plant. Client Name of Company owing the plant. Project No. Number of ABB project Report No. Indicate the progressive number to be

assigned to each report Report Date Indicate the date of compilation of the report Material Description Brief description of the material Received on Date of material receipt Shipping Docs Number of dispatching document Carrier Shipping Agent to handle transport Supplier Identification of Supplier Purchase Order Number of Purchase Order Deficiency Detected Check the type of deficiency detected during

receiving inspection Deficiency Description Brief description of the deficiency giving

details and analyzing impact on project time / costs

Signatures As indicated Non Conformity Report issued Number of NC issued (where applicable) Impact on Construction Activities Brief description of the main impact on project Insurance Claim initiated Indicate whether the insurance claim can be

initiated Distribution As indicated

All the OS&D Reports issued shall be recorded in the Logbook (Attachment 5) which shall be kept updated to control any single OS&D Report issued to follow up all actions required throughout the close-out of the related activities. The OS&D Reports are filed by the Warehouse Manager. The OS&D Report Logbook will be filled in as follows:

Project Name of the plant. Client Name of Company owing the plant. Project No. Number of ABB project OS&D Report Number of OS&D Date of Issue Date of the report Material Description Identification of material P.O. No. / Vendor Name Type of deficiency found Check the column relevant to the OS&D Report Follow up Identify if a follow-up action is required from Head Office Closure Date Date when the deficiency has been solved

5.3.4 Non Conformity Management and Notification

The Site Quality Manager is responsible for the issue and management of the NC Report (Attachment 6). The management of the Non Conformity shall be in compliance with the requirements of PO-800-16 and the Non Conformity Reports shall be urgently notified to the Project Procurement Coordinator for any action to be initiated towards the Vendor if necessary.


5.3.5 Material Receipt Recording

During material receipt, the Storekeeper will confirm the acceptance of the materials by applying a thick directly in the Packing List. After the positive results of the incoming material inspections (Ref. par. 5.3.2), the Storekeeper shall record the plant parts received on the systems (MARIAN / EASY SITE) by creating the relevant Material Receiving Report (MRR status posted) Attachment 4. The MRR will be distributed to Construction Manager, Discipline Supervisor and Site Quality Manager. For each plant part received, the following information shall be recorded by using one of the means defined above:

- Material description (info already available on the system) - Identification (item no., diameter, thickness etc.) (info already

available on the system) - Quantity received - Storage Area

If necessary, the Warehouse Manager shall confirm the material receipt to the Head Office by sending out the copy of the MRR. Only accepted materials shall be stored in warehouse and material lay-down yard while all materials found non-conforming shall be segregated and identified correctly.

5.3.6 Insurance Claim Management

Any damage of losses shall be immediately notified to the Site Manager so that he can initiate the procedure relevant to the claim management. In particular he shall: 1 Send a "Registered Letter of Reserve" (Attachment 9) to the carrier notifying his

responsibility for the damage; 2 If so required by the project procedure, request the attendance of the insurance

assessor.

5.3.7 Use of plant parts for urgent reasons

In case of particular urgency, plant parts can be directly included in the production cycle without being included in the storage area. In any case, the receiving procedure, in/out recording of the plant parts shall be always carried out. Plates, structural parts and piping etc. can be used only if the procedure relevant to the material traceability is applied.

5.4 Outgoing recording

The release of the materials shall be carried out upon submission of the “Material Request Delivery Coupon” (MOD-CNT05-x) (Attachment 8). Subcontractor shall prepare this coupon every time he needs to collect plant material from warehouse for site erection/installation purposes.


The Material Request-Delivery Coupon shall be signed by the pertinent ABB Site Technical Engineer or just for particular situation by ABB Supervisor and approved by the Warehouse Manager. The form shall be prepared as follows: Project Name of the plant. Client Name of Company owing the plant. Project No. Number of ABB project Report No. Number of the Report Date Date of collect of material Material destination Indicate and attach:

o Drawing, o Sketch; o Area; o Other information.

For which the material is destined to be used. Material Description Description of material Unit of Measure As in storage cards Quantity requested Quantity which is requested by Subcontractor. Quantity delivered Quantity which is delivered to Subcontractor. Remarks Any notes regarding topic about this delivery. Distribution As indicated Approval Course As indicated

The Material Request Delivery Coupon shall be handed over to the Storekeeper who shall prepare the materials requested. It will be signed by the receiver to confirm receipt of materials. Once the materials are delivered to the Subcontractor, the responsibility for the correct management and preservation of the materials will remain with the Subcontractor. The reference data of Material Request Delivery Coupon shall be recorded in the system (MARIAN / EASY SITE) to give evidence of the withdrawals carried out.

5.5 Storage of Materials at Site

Introduction In the following paragraphs the most important guidelines for the correct storage, protection and preservation of plant materials are defined. The characteristics common to storage areas are as follows: Protection of the materials from physical damage; Controlled access, limited to the authorised personnel; Fire fighting protection systems suitable to the type of store and to the characteristics

of materials stored; Periodical cleaning, to avoid collecting of waste, packaging material waste and other

polluting waste; Tidy arrangement of materials stored;


Traceability of materials inside the warehouse. The estimated storage time period depends on:

o Local conditions; o Protection products (available at site).

Every 75 day the protection products shall be checked and substituted or renewed if necessary. The storage level appropriate for each type of material is defined in Attachment 10. In addition, the WMT shall consider requirements and recommendations for special materials1 as per manufacture’s instruction book and as instructed by the Site Technical Engineer2. Identification Marking The WMT shall ensure identification marking on plant part materials shall not result damaged and shall be visible to allow any identification and traceability of plant parts

5.5.1 Storage Area Classification

The different Levels of storage in relation to the type of materials are classified in the table Storage Levels in Attachment 10.

5.5.1.1 Level A

Closed Warehouse with Special Conditions such as: temperature and humidity checks, ventilation system with filtered air in order to obtain an atmosphere with no dust and vapour etc. Plant parts which are can be greatly affected by ambient conditions and require adequate means in order to protect them from the consequences of exceptional temperatures out of the limits defined, unexpected variation in the temperature, humidity and vapour, atmospheric contamination (for example due to rain, snow, dust, salt sprays, smoke) shall be stored in Level A. The plant parts to be included in this level are as follows: 1) Special equipment (defined for each project) and electronic instrumentation 2) Special material as chemical substances affected by external agents

5.5.1.2 Level B

Closed weatherproof and well airy warehouses or closed buildings. These storehouses shall be located and built in such a way as to avoid flooding. The flooring shall be paved and well drained. The parts shall be stored in such a way as to allow air circulation. The temperature shall be kept between 4°C and 60°C. Plant parts which can be affected by ambient conditions and require adequate means in order to protect them from excessive temperatures, humidity, vapour, physical damages and atmospheric contamination but do not require the special protections as defined in level A shall be classified in level B.

1 Including also the materials not specified in the Storage Level Table 2 Formalization can be done by: Packing List with indications of appropriate storage levels or other types of communications


The plant parts to be included in this level are as follows: 1) Electric instrumentation 2) Batteries 3) Electrodes and wire for welding (Ref. PO-800-09) 4) Motor operating panels, switches, regulating panels 5) Motors and generators 6) Precision machined parts 7) Computers 8) Painting and solvent

5.5.1.3 Level C

Covered areas not subject to flooding. The flooring shall be paved and well drained. The parts shall be stored in such a way as to allow air circulation. Heating and temperature control are not required. Plant parts to be included in this level are those that are to be protected from ambient conditions and ambient contaminant while the protection from water vapour and condensation is less important than in level B. The plant parts to be included in this level are as follows: 1) Small equipment and machinery 2) Valves and filters 3) Gaskets, o-rings 4) Piping for oleo-pneumatic plants 5) Instrumentation cables 6) Material for coibentation 7) Concrete

5.5.1.4 Level D

Open-air areas. These areas shall be well drained, preferably covered with gravel or paved. Parts shall be placed on wood spacers in order to allow air circulation and avoid water stagnation. The items in level D are less affected by ambient conditions than those in level C. These parts do not require the protection from weather conditions, atmospheric contamination and physical damages. The plant parts to be included in this level are as follows: 1) Tanks 2) Metallic structures 3) Piping 4) Fittings 5) Electric cables 6) Reinforcement bars

5.5.2 Storage methods

All plant parts shall be stored divided by the type of material, diameter, batch etc. and arranged in order to allow an easy identification and to facilitate handling operations.


Stock piled parts shall be arranged so that they can bear weight, without the risk of damage to the materials underneath. In case of piled parts (panels, coils, sheets, piping, etc.) wood spacers shall be used in between, in order to facilitate air circulation and allow periodical inspections. Spacers shall be in a number sufficient to make an adequate support to the material to prevent damages. When piling up, the withdrawal sequence shall be evaluated in order to avoid useless and expensive material handling operations. All plant parts shall be stored observing shipment international symbols (high, fragile, keep dry, etc.) and deposited on sleepers or similar, so that they are above floor level. Possible temporary waterproof protections for open air storage can consist of waterproof fabric lengths, well fixed to prevent moist penetration and to protect products against wind actions. Protections shall be arranged in order to facilitate or ensure drainage of rain water and air circulation, to reduce condensation phenomena to the minimum extent. Therefore Fabric lengths shall not lie directly on pieces. All products stored in the open air and not protected shall be arranged in such a way to prevent backwater. In particular pipes, section bars, flat surfaces shall be slightly slope arranged to facilitate drainage. Valves shall be adequately protected to prevent water and dirty from depositing on their seats. When storing, the ruling regulations for accident prevention and work hygiene and instructions given by Vendors-manufacturers shall be observed. Dangerous chemical products, painting and solvents shall be stored in their original containers sealed up to the moment of utilisation and shall be identified with trademark and seal clearly indicating the manufacturer, type, qualities and coding of the product therein contained.

5.6 Handling

Handling of plant parts is carried out under the responsibility of the Warehouse Manager. During the handling of plant parts, operators shall pay utmost care to avoid that the wrong handling operations, the incorrect use of hoisting equipment, the non observance of safety standard, etc. can cause any damage to the plant parts and/or to the personnel present in the area. It is therefore recommended that: All cautions have been provided to ensure safety of personnel or third parties present

in the area, as suggested by experience or by the standards applied to equal or similar works.

All equipment and apparatus employed for plant parts handling comply with all suitability and safety requirements of regulations in force.

When slinging and handling plant parts, international symbols shall be observed. In sharp corner areas, protection leather or fabric mattresses or adequate wood pieces

shall be put between the part and slings to avoid damaging of slings.


Slinging shall be made in such a way as not to damage the piece or parts of the same

to safeguard safety of personnel or third parties. Transport and handling of paints, solvents, pressure gas bottles and other dangerous

products shall be made in compliance with the ruling standards for accident prevention and work hygiene.

5.7 Preservation of plant parts

The Warehouse Manager shall ensure the correct preservation of the plant parts stored. Should he find any anomalous situation, corrective action shall be initiated.

5.7.1 Care of the parts

All stored parts shall be provided with packing, caps, plugs and original shutting devices provided at the time of shipping. These protections shall not result damaged by atmospheric agents or during handling activities. When barrier bags are present, the efficacy of humidity indicators or of dehydrating (when the humidity indicators are not present) shall be verified. Coverings removed for any reason shall be replaced immediately. The following general rules shall be considered: Pressurized parts with inert gas shall be checked regularly in order to verity that the

gas pressure is within the limits specified. Electric motor space heaters shall be under tension. The shafts of the rotating machinery shall be rotated according to defined methods.

The rotation shall be in such a way that the shaft is lubricated, where necessary, and is not left in a previous position (i.e. 90° and 450° rotation).

Any other instruction given by the manufacturer for the maintenance of the parts shall be complied with.

For preservation actions please refer to Attachment 10.

5.8 Store inventory

The Warehouse Manager shall periodically carry out a store inventory to check if quantities on stock correspond to what indicated in store sheets. Store Inventory Reports are issued using MARIAN / EASY SITE and distributed as necessary. Any loss shall report to the Site Manager or Technical Office Manager for action and an OS&D Report shall be issued (Attachment 3).

5.9 Reports Overview

Description Number Prepared by Approved by Remarks Material Receiving Report (MRR)

MARIAN / EASY SITE

WMT WM

OS&D Report MOD-CNT02-X WMT SM The information will be uploaded in MARIAN / EASY SITE

Material Non Conformity Report MOD-CNT QCM SM Material Delivery Coupon MOD-CNT05-X Subcontractor ABB Tech. Office Inventory Report MARIAN / EASY

SITE WMT


6.0 TASKS AND RESPONSIBILITIES

The warehouse management team (WMT) is responsible to manage all permanent materials on site.

6.1 Warehouse Manager (WM)

The Role of WM is to coordinate all materials delivered on site through the assistance of the WMT. The WM reports hierarchically to the SM and functionally to Construction Dept. Manager. The WM is responsible for the following: Ensure the updating of the status of all material delivered on site (MARIAN / EASY

SITE); Check all documentation and forms for the proper material management; Interface with Site Technical Office Manager and PPC to check delivery and

expediting of materials with Suppliers; Obtains, through PPC, the most up-date information regarding the actual shipment

and the most reliable forecasts deliveries on site; Supervise reception, inspection, storage and maintenance; Supervise the issues of all reports here in after; Take actions in cases of claims for irregularity of material (damages or deficiencies); Provide information on availability of material on site to help the scheduling and

execution of work; Support the site technical team for all information regarding receipt on site of all

materials.

6.2 Storekeeper (SK)

The SK reports hierarchically to the WM. The SK is responsible for: Receiving, checking, storing all material delivered on site; Delivering materials to Subcontractors; Preparing all reports related to warehouse management; Ensuring that all documents receive the stamps; Preparing the final status of surplus of material.

6.3 Site Manager (SM)

The SM, concerning the management material on site, is responsible for: In case of damage or lack material, sending the letter of reserve to the carrier; Initiating and the procedure relevant to request for the insurance claim;

6.4 Site Quality Manager (SQM)

The SQM concerning the management material on site is responsible for: Managing the material covered by the OS&D report issuing, when necessary, the

Non Conformity Reports.


7.0 ATTACHMENTS

1. Flow Chart: Material Receiving 2. Receiving Check List (MOD-CNT01-X) 3. OS&D Report (MOD-CNT02-X) 4. OS&D Report (from MARIAN) 5. OS&D Log Book (MOD-CNT03-X) 6. Non Conformity Report (MOD-CNT12-X) 7. Material Receiving Report (MRR) from MARIAN 8. Material Request-Delivery Coupon (MOD-CNT05-X) 9. Reservation Letter 10. Storage Levels Table

ABB SpA Process Automation Division ABB Proc. PO-800-04

Attachment 1

Flow Chart: Material Receiving

Pag. 1 / 1

Action: Site Warehouse Team

Action: Site Quality Manager

Action: Site ManagerPackaging Check(if present)

OK?

Quantity Check(no. packages / no.

pieces)

OK?

Covering, Seal, coating Check

Identification marking check

Technical document availability check

OK?

OK?

YES

NORecord the damage in

the shipping documents

NO

OK?

YES

YES

YES

YES

OK?

Type of Material Check

YES

NONon Conformity

Issuance(2)

Notification to Project Procurement

Coordinator

Conforming Material

YES

Physical damages check

OK? NO

NO

NO

NO

(1) If the material is packed, the checks shall me carried out within 3 months from receiving in order to initiate the insurance claim procedure (if applicable

(2) The NC shall be sent to the Project Procurement Coordinator together with the "OS&D Report". The NC materials are managed in complaince with procedure PO-800-16

Non Conformity Issuance

(2)

Record the missing q.ty in the shipping

documents

"OS&D Report" Issuance

Insurance Claim Procedure Initiation


Coordinator for action

Damages CheckNO

OK?

YES


(2)


(2)

Record the damage in the shipping documents




Insurance Claim Procedure Initiation

Material Receiving(1)

Restoration of protections, seals and

coverings



MRR Posted & OS&D Report

Recordings

START

END



MRR(Not Posted)








Attachment 2 Material Receiving Check List

(MOD-CNT01-X)

Pag. 1 / 1


Attachment 3 OS&D Report (MOD-CNT02-X)

Pag. 1 / 1

DESCRIZIONE MATERIALE / Material Description

RIFERIMENTI DI IDENTIFICAZIONE / Reference for Identification

DATA DI RICEVIMENTO / Received on VETTORE / Carrier

DOC. DI SPEDIZIONE / Shipping Docs DATA / Date

DATA / Date

FORNITORE / Supplier

ORDINE N. / Purchase Order

ANOMALIA RISCONTRATA / Deficiency Detecteda) MATERIALE MANCANTE / Missing Materials

b) MATERIALE DANNEGGIATO / Damaged Materials

c) MATERIALE ERRATO / Wrong Materials

d) MANCANZA MARCATURE DI IDENTIFICAZIONE / Marking Missing

e) MANCANZA DOCUMENTAZIONE TECNICA / Technical Documents Missing

f) ALTRO / Other

RIFERIMENTI RAPPORTO NC - Applicabile per b) c) d) N. DATANon Conformtiy Reference - Applicable for b) c) d) Date

IMPATTO SULLE ATTIVITA' DI COSTRUZIONE / Impact on Construction Activities

TEMPI / Schedule

COSTI / Costs

ALTRO / Other:

CLAIM ASSICURATIVO: APPLICABILE NON APPLICABILE

Insurance Claim Applicable Not Applicable

FIRMA SITE MANAGER DATASite Manager Signature Date

Distribution:

1 Copy: Site Manger Info Action

1 Copy: Discipline Supervisor Info Action

1 Copy: Site Quality Manger Info Action

1 Copy: Home office - Project Procurement Coordinator Info Action

1 Original: File Warehouse

Documento di proprietà ABB SpA: riproduzione, circolazione ed uso vietati senza espresso consenso della Società

Signature:

PROJECTCLIENT

Name :

Warehouse ManagerStore Keeper

(Client Logo)

Report:

OS&D ReportDate:

(Partner Logo)

DESCRIZIONE ANOMALIA / Deficiency Description

MOD-CNT02-2

A copy of this report shall be sent to the Proejct Procurement Coordinator (Head Office) together with the NC (when issued). When an Insurance Claim shall be issued, please attach the following: Claim sent to the carrier, estimation of the damages, Proforma Invoice, Packing List, Bill of Lading

Prepared by Approved by ABB

Date :

Copia del presente rapporto deve essere inviato al Project Procurement Coordinator di sede con la NC (quando emessa). In caso di richiesta Claim Assicurativo allegare i seguenti documenti: Lettera di riserva spedita al Vettore, Stima Danni, Fattura Proforma, Packing List, Documenti di Trasporto


Attachment 4 OS&D Report (MARIAN)

Pag. 1 / 1


Attachment 5 OS&D Report Log (MOD-CNT03-X)

Pag. 1 / 1


Attachment 6 Non Conformity Report (MOD-CNT12-X)

Pag. 1 / 1


Attachment 7 Material Receiving Report

(E.g. MARIAN)

Pag. 1 / 3


Attachment 8 Material Request Delivery Coupon

(MOD-CNT05-X)

Pag. 1 / 3

Distribution:

1 Copy: Subcontractor

1 Copy: Construction Manager

1 Original: File Warehouse

Subcontractor

The information included in this document and any attachments are confidential and may also be privileged. Document and any attachments are property of ABB SpA.: theirs reproduction, circulation and use without prior consent are forbidden

Name :

Signature:

Subcontractor Site Tech. Office Manger Warehouse Manager

MOD-CNT05-3

Date :

Subcontractor:

Area:Ref to Drawing / Sketch n°:

(Partner Logo)

Report:

Date:

PROJECTCLIENT

MATERIAL REQUEST / DELIVERY COUPON(Client Logo)

Requested Delivred

Q.TYRemarksMaterial Description U.M.

Prepared by Signature for receiptApproved by ABB


Attachment 9 Letter of Reserve

Pag. 1 / 1

REV.0

Level AClosed -Special

Ambient Conditions

Level BClosed

Level CCovered

Level DOpen-Air

Material Test Certificates / Test Reports

necessary

Check before storage Protections needed Maintenance Reccomandation

Tube bundle exchangers and flanges X Remove protection Seal off the inside of the exchanger proceeeding as follows:Check internal surfaces (if there is water it shall be removed) Flanged couplings: apply carbon steel blank flanges and rubber packings

Threaded couplings: apply carbon steel greased plugsHorizontal and Vertical Vessels and flanges X Check mechanical joint protection on joint Renew the protection

Replace it if damaged For RFS and RJ flanges renew the protection coat and store in with individual rigid cover

Rings and Flanges for test X Paint with protective material. Paint with protective material.Grease units and bolts. Grease units and bolts.

Nuts, bolts, plates and fittings X Check their packing case, renew if necessary Don’t remove from their packing caseDemister, plates and supporting beams X Check the protection Protect with plastic sheeting

PackagesPackages X Check the condition of paint

Package Units shall be treated as for their single component parts, (Machinery, flanges, vessels)

Ventilators, Turbines, Gear boxes, Centrifugal pumps

X To avoid the damage of accessories mounted on, remove, check, mark and store them in the warehouse

Remove the packing from the stuffing boxes; Centrifugal pumps shall be rotated twice at week;

Check all the protective devices applied by Supplier to protect the flange faces and interiors.

Fill the boxes with soft packing wed in oil; Vertical pumps shall be drained every 3 months turning the shaft by hand

Clean the interior of the machinery, if necessary; Vertical pumps shall be filled with protective oilRestore the rust-proofing if damaged.Clean the bearing housing and gears by washing with solvents.Restore the rust-proofing if damaged.The surfaces in direct contact with outside agents shall be cleaned with solvents and coated with protective product, if necessary

Compressors and Reciprocating pumps X Check anti-rust protection on seal surfaces If necessary, renew the damage protection by applying a coat of protection product Twice every 10 days:

Wash the interiors of the housing and metering pumps. Operate the forced lubrication circuits of the compressors, rotate the transmission shaft 3 times.

Fill the interiors of the housing and the metering pumps with protective oil. Top up the oil level if necessaryFill the steam liquid cylinders and the valves housing with oil or coat with grease.

PipingFlanges YFlanges up to 4" (included) X Check anti-rust protection;RFS and FJ flanges, all diameters X If necessary, apply a coat of product of protection to repair any damage RFS and FJ flanges shall be protected with individual rigid coat

Flanges with diameter greater than 4" XFittings YCarbon steel fittings up to 4" (included) XSpecial steel fittings of any diameter XCarbon steel fitting with diameter greater than 4" X Do not store in direct contact with the

groud

Valves YValves up to 4" (included) X Check the mechanical protection of flanges; Repair any damage;RFS and RJ valves X Remove any rust; Apply grease or spray protection products to valve pins and screws.Valves greater than 4" X

Valve with reducer:Check gear combinationClean all mechanismsApply protection products

Piping Y No particular requirements are foreseen

Piping with diameter up to 2" (included) XPiping with diameter greater than 2" X For large diameter pipes check concentricity protection

Accessories for piping X Same requirements as Valves Compatible with overall dimensions these materials shall be stored in warehouses

Non Ferrous piping material X

Prefabricated Piping workshopPiping up to 2" (excluded) Coat of anti-rust on the chamfering;

Seal the ends with plastic capsPiping greater than 2" (included) Coat of anti-rust on the chamfering;

Seal the ends with plastic caps

Nipples, couplings etc Shall be greased and protected with plastic caps

Instrument MaterialsAnalyzers These materials shall be stored in

according to manufacture’s recommendations

Control Boards X Store in warehouse or in control building if available

Control and Safety valvesValves up to 4" (included) XValves with diameter greater than 4" Outside OutsideDistributed Control Systems / Computers X R Humidity 10 to 90%

Temperature: 15 to 49°CElectronic Instrumentation X Store in warehouse in plastic bags with silica-gel Check silica-gel every 100 days

Storage in concrete paved or decked and fully drained, never in direct contact with the natural soil

Vertical and Horizontal Static Equipments

Type of Materials

lay down area not in direct contact with groud

Equipment Internals

STORAGE LOCATION - PO-800-04 (Attachment 10)

1 of 2

Level AClosed -Special

Ambient Conditions

Level BClosed

Level CCovered

Level DOpen-Air

Material Test Certificates / Test Reports

necessary

Check before storage Protections needed Maintenance ReccomandationType of Materials

Electric MaterialsStorage Batteries dry place

Lead-acid Batteries dry place Electrolyte level shall be check Every month batteries shall be charged to restore the voltage in accordance with the manufacture’s instruction book

If necessary, electrolyte shall be topped upElectric Panel Boards XBulk Materials X All materials shall be wrapped in plastic bags, with drying agent for delicate material Check the silica-gel every 100 days

Cables X Y Reels paper insulated lead sheathed shall be rotated 90° every 18 days

Motors X Check that the bearings are lubricated according to the supplier’s instruction. If necessary lubricate the bearings.

Rotate the Shaft once a week For long storage the motors equipped with space heater shall be connected to a provisional supply

Painting Materials X Y The materials for painting operation shall be stored in supplier’s containers;

Insulation materials X Y The containers shall not come in contact with heat sources;The materials shall be subdivided according to the quality of the product andbe stored in a shaded area, not necessarily shall be in closed warehouse;

Special Items shall be stored as per manufacture’s general requirements.

Painting and Insulation Materials

2 of 2

PO_800_04_eng

Documents

project procurement

project client

edms share

manufactures

require adequate

warehouse

relevant osamp

abb project