Ingenieur Vol.72 ingenieur October 2017-FA3 | Page 54

INGENIEUR ii) lateness of project handover to the Operation Team (Owner); and iii) increase in project costs (e.g. to Owner, PMC and Contractor). PROJECT FRAMEWORK Some of the strategic management concepts referred to are: PETRONAS’ Five Quality Principles (i) Conformance to requirements, (ii) Prevention, (iii) Right things right every time, (iv) Price of non-conformance, and (v) Proactive leadership at all levels Adhering to PETRONAS’ Quality Principles, is to strive continuously to provide products and services that meet the client’s requirements and expectations. A standard mechanical completion execution procedure will result in well planned and satisfactorily executed work, thereby conforming to the client’s requirements and preventing unnecessary costs of rework and time. Once a standard mechanical completion execution is established, staff directly involved in executing the mechanical completion activity should be trained to meet these requirements. The training will allow them to have the necessary skills and competencies to execute the mechanical completion procedures correctly every time, which would thus eliminate the price of non- conformance. List of Abbreviations and Definitions “System” means a combination of equipment and materials, which provide a particular function to enable operation of facilities / plant. “Sub-system” means a unit or a sub-system of an entire system; the entire system construction completion can be divided by sub unit basis. “SMC” means System Mechanical Completion; it is the completion of the construction of a System having been tested satisfactorily. “Partial MC” means Partial Mechanical Completion and is applicable to each defined operating system and area within a facility and is normally defined as the point in time when an identified operating system has been fully constructed and is ready for commissioning. “MC” means Mechanical Completion defined as the point in time when the total facility has been fully constructed such that as a whole it is ready for commissioning and/or initial operation. “IA” means Initial Acceptance; the contractual milestone for handing over of the plant. “FA”: means Final Acceptance; the contractual milestone after Defects Liability Period (12 months after IA). “CIDB”: means the Construction Industry Development Board. “Punch List” means a deficiency requiring corrections or outstanding work that is still to be completed in accordance with contractual requirements. “Pre-commissioning” means those activities prior to mechanical completion necessary to enable the facilities to reach the condition of Ready For Start Up (RFSU). “Commissioning” means those activities performed in preparation for initial operations. These are normally performed after mechanical completion of the related operating system or facilities and includes such activities as loop checks, continuity checks, leak tests, rip tests, dry out and pressuring with products. “Performance Test” means tests to demonstrate that a facility is capable of meeting design performance criteria. 6 52 VOL 2017 VOL 72 55 OCTOBER-DECEMBER JUNE 2013