ORDER ENTRY & KICK OFF MEETING

Receipt of Order & Pre-Order Documents from Marketing (Kick Off Meeting-KOM) 2 weeks from
Purchase Order or Letter of Intent (LOI)
Marketing to also enter the Sales Order in ERP indicating the payment terms. Also, ensure that they
select Project ID (Y/N) as Yes, for orders requiring creation of a project.
CONTRACT REVIEW
Contract Review Meeting (based on FPQ) Use D-Spec/Customer Specs/Tech Offer/MOM/TQ/CQ 1
week from the KOM. All depts. will have to give a feedback.
Engineering To study & prepare a list of codes & standards applicable. Run through the
PR/MR/Other documents to understand customer requirements over & above the Code
requirements. To review the scope of supply & documentation requirement.
Project To review the scope of supply, approved vendor list, documentation requirements &
progress reporting requirements.
Production MOC, Capability Review leading to Sub-Contract requirements, Welding / Painting
procedures, Personnel Qualification, etc.
Quality Project Quality Requirement, Product Quality Requirements, Material Inspection
Requirements, Welding/Painting/NDE/DE examination requirements, qualifications, etc.
Purchase Approved vendor list, Lead time assessment
The idea is that if we are fabricating a Pressure Vessel & doing so under 4 different Consultants &/Or
codes, we must know the difference in our work scope.

CREATION OF PROJECT IN ERP

Creation of BOM Tree & ERP BOMs by Engineering 4-5 weeks from the KOM
Engineering shall make sure to obtain the Project Quality Plan / Material Inspection Plan from
the Quality Department (MLR) prior to completion & approval of BOM. The requirements shall
be incorporated duly in the BOM under External Services / Other Adders.
Thorough check by the engineering team prior to release of BOM. Also, the ERP BOM shall be
checked with the Drawing BOM when the Rev.0 of the drawing is being issued. This check shall
be done by the Design Engineer / Engineering HOD & the Project Manager & all shall then sign
the transmittal as a confirmation of the check done.
The same check shall be done when the Rev.0 of any Specification / Requirement Sheet is being
issued.

Creation of Routing & Routing Details by Factory 4-5 weeks from the KOM. Engineering to inform
Factory as & when a BOM is made & not cumulate the BOMs.
Shall be done by Production based on the BOM creation & / or the Outline Drawing / Line
Diagram or Previously executed project without waiting for the actual drawing.
Creation of Project Master in ERP (Check Project Budget with Sales Order Budget) 5 weeks from the
KOM. Be sure to enter the Other Costs in the Project Master & also assign the Raw Material reduction
percentage (%) as 10%.
Check the Project Raw Material report to cross-check if any errors have been made in the BOM by
engineering in terms of specifying Raw Materials as Packing Items or Viceversa. If mistakes are found,
correct the same immediately, using PRMA prior to indenting.
MATERIAL ORDERING
Check availability of materials (Plates & Pipes only) at factory.
Creation of Indents by Project Manager (Check Project Raw Material Cumulative Report for items
missed out, if any) 5 weeks from the KOM.
While creating an indent, for a particular item appearing in multiple SFGs, select the Item ID in the
Header & select the Option From Project. This will automatically drag the particular item requirement
from all SFGs at one shot. Once you have completed one item, go the next item & so on.
While indenting, club a similar type of item only in the indent plates, pipes, flanges, etc. separately to
ease the enquiry generation process.
Indenting Raw Materials By Mangalore Team ; Bought Outs By Projects, BLR
The Project Specific Inspection & Documentation Requirements shall be fed into the Indent prior to
release. Same shall be checked by Quality for compliance. This will then flow into the Enquiry &
subsequently into the Purchase Order being sent to the supplier/contractor.
Preparation of Specification / Requirement Sheet by Engineering. The Company has established
standard Specification Sheets for all items & prepare Requirement Sheets to take care of Project
Specific requirements like sizes, tag numbers, quantity Upto 5 weeks from the KOM. Engineering shall
prepare the requirement sheets on the basis of the items & quantities as shown in the Project Raw
Material Cumulative Report.
The project specific inspection & documentation requirements need to be incorporated into the
Requirement sheet based on the Project/Product Quality Plan.
Check Indent Quantity with Spec/Reqmt Sheet quantity (Check Project Raw Material Cumulative
Report for items missed out, if any OR carry out a Project Raw Material Addition for missing items).

Also, check the Project Raw Material Report with Parameter chosen as Indent Pending for items not
indented.
If any item is not being indented due to availability in stock, the same shall be Reserved by the Planning
Engineer with help of Stores.
In case the item is being ordered on a Repeat manner based on a recently executed project, Engineering
to inform Project & the option of Repeat Order to be selected in the Indent itself. Project to then specify
which previous order is the reference for the placement of the order for the current project & select the
same in the Indent.
Project Raw Material Report This gives the Material Required for the Project, SFG wise.
Project Raw Material Cumulative Report This gives the Material Required for the Project on a
Cumulative basis clubbing the requirements of all SFGs.
Semi Finished Goods (SFG) These are either Finished or Semi Finished Goods.
Release of enquiries & obtain quotes Purchase (Keep in mind the Approved Vendor Lists, if any)
Review of Vendor Documents by Engineering (Pre-order placement)
Placement of Orders Purchase (Project/Engineering/Purchase to sit together) - (Check Project Raw
Material Cumulative Report for items missed out to be ordered, if any) 6 weeks from KOM.
Purchase to ensure that the Project Specific Inspection / Documentation requirements reflect in the PO
& all details pertaining to the Inspection Body are made available to the supplier (Inspection Body
Name, Address of relevant regional office, Contact Person(s), Contact Details, including email ID) with
specific instructions to send the inspection call directly to the Inspection Body on readiness of material
or giving 1 week advance notice with cc to our Purchase, Quality & Project persons.
The purchase order shall also clearly spell out the different channels of communication for Technical
Issues, Commercial Issues & Inspection Issues.
The Purchase Orders/Requirement Sheets to be checked by Quality Department prior to release.
Also, check the Project Raw Material Report with Parameter chosen as Order Pending for orders not
placed.
Receipt of Order Acceptance - Purchase
SUB-VENDOR FOLLOW UP DOCUMENTATION, TESTING & MOVEMENT OF MATERIALS
Receipt of documents from Vendor post order Purchase/Project through Doccell. To be obtained
within 2 weeks of the placement of order. The payment terms to be linked any first advance shall be
necessarily linked to the receipt of the documents (to be defined by Project/Engineering)

Review & Approval of vendor documents by Engineering (Post order placement on vendor)
Monthly vendor Follow Up (Pending Purchase Order Report for shortlisting the materials that are due to
be delivered in any particular period). Update the Vendor Follow Up Log in the Server??
Despatch of materials from our sub-vendors
-

Receipt of intimation of readiness of material (Sub-Vendor to Purchase)

Purchase to intimate Quality, MLR to undertake necessary inspection
Quality, MLR to liaison with TPI/Inspection Body & undertake necessary inspection (with
copy to Project/Purchase)
Quality, MLR to liaison with TPI/Inspection Body & get the inspection report/clearance
certificate inspection (with copy to Project/Purchase)
Quality to approve the above report/certificate & intimate Purchase Go Ahead with
dispatch. (with copy to Project)
Purchase to send DRN to supplier along with E-Sugam Requirement Form, if applicable.
(with copy to MLR/Project)
Despatch details to be obtained from Sub-Vendor (Invoice/LR/ESugam Form) with copy to
Project/Purchase
DRN / ESugam Register to be updated by Purchase
The consignment to be E-Tracked by MLR till receipt at factory & update the above Register

Should Witness of inspection not be required at the Sub-Vendor place, Purchase to obtain the
necessary Test Certificates/Documents from the Sub-Vendor & forward to Quality Department for
review & approval/inspection release. The distribution shall be as follows:
Document Review for Raw Materials Handled by Quality, Mangalore
Document Review for Bought Outs Handled by Quality, Bangalore

MATERIAL RECEIPT & INWARD INSPECTION

G.R.N shall be made immediately on receipt of materials at MLR (not exceeding 2 days from the receipt
date). The GRN preparation does not call for any initial inspection or availability of the original test
certificate. It is merely a confirmation of RECEIPT of items into the factory.
Stores to inspect the material on the Vehicle prior to unloading to review for any damages. Once,
unloaded, review for any damages, opened / cracked / broken packages, etc. acknowledgement shall be
given to transporter only of the receipt & being subject to inspection & notification of any shortages or
defects later (not exceeding 2 days from receipt date)
Quality to carry out any of the inspections required & pass the QC Result in ERP indicating clearly the
Quantity Received, Accepted, Accepted with Deviations, Rejected.

Quality to enter into the Pending TC Register if the Original TC has not been received.
The material shall necessarily be checked against the Test Certificates (sent by Email) that were
originally reviewed for according the delivery clearance. If found OK (Heat Number, Serial Number, etc.),
material shall be taken into the stock & above register updated for TCs pending.
Purchase shall ensure receipt of the TCs within 1 week of any such reporting.
Also, check the Project Raw Material Report with Parameter chosen as GRN Pending for items yet to
be received at factory.

CHANGES IN ERP BOM

P.R.M.A (Project Raw Material Addition) This transaction is required to be undertaken when any item
has to be included in the Bill of Material (BOM). This could be due to the item(s) being missed out in the
BOM, Customer Change, Specification Change (ex-SA516Gr70 material available in stock instead of
SA36), etc. For the Specification change however, a Technical Communication duly approved by
Engineering shall be in place.
It is important to manage change. PRMA signals a change. If an item has to be removed or the quantity
reduced, simply change the quantity in the transaction under Quantity transaction. Should this be
done, the system will allow the same if there is no indent, enquiry or purchase order against that
particular item. If any one of the above exist, the system will ask the user to first Short Close the same,
before proceeding with the transaction.
If the material quantity is being increased (under Quantity) or a new material (under New Item) is being
added, the system will check if there is sufficient budget available & then allow or disallow the
transaction, respectively.
It is important to note here that in both the above cases, ie whether materials are being added or
deleted, quantities are being increased or decreased, this should be followed immediately by the
following:
1. Change in the Specification / Requirement Sheet
2. Placement of orders for the Balance Quantity
3. Reconciliation of the added or deleted items into the Production Orders
PROJECT TO NOTE THAT ACTION TO BE TAKEN ON PRMA ONLY IF THE SIGNED HARD COPY OF THE
REQUEST IS RECEIVED (SIGNED BY DESIGN ENGINEER, DRAFTING IN-CHARGE & ENGINEERING HOD)
IT IS CRITICAL TO MONITOR CHANGES IN THE PROJECTS MORE CLOSELY THAN ACTIVITIES BASED ON THE
ORGINALLY CREATED PROJECT.

Project / Initiator of the PRMA needs to send immediately an intimation to the Production about any
PRMA undertaken to enable Production to drag the changes into the Production Order.
Also, there is a report generated in ERP Project & Production Order Difference
In order to ensure that no indenting is left out / pending, Project to Generate the Indent Pending &
Ordering Pending report for all project along with their monthly progress report.

R.A.R (Rate Amendment Request)

The procurement of items is governed by STANDARD RATES that are fixed in the ERP by the Company.
There are possibilities that the procurement rates are either higher or lower than the Standard Rates. In
order to allow the purchase of such items, the Purchase Department raises a RAR highlighting the item,
the current Budget Rate (Standard Rate) & the Newly Proposed Rate.
The Purchase Department shall also provide the Project 2 to 3 quotations through the Quote
Comparison report. The Project Managers are required to review & clear the increase/decrease based
on the statement.
The ERP will add / subtract the increase / decrease in the COSTS to the overall project budget & only
allow such a transaction if the Total of these is below the Sales Order Budget.

DRAWINGS
Engineering to generate the drawings based on the Code Requirements & keeping in mind the MR/PR,
Purchase Order & other requirements.
The checklist to be duly signed off by the draftsman preparing the drawing, Drafting In-Charge, Design
Engineer & Engineering HOD.
Check Print shall be sent by the Engineering to factory prior to release for review prior to release. The
Design Engineer shall visit the factory 1-2 days after the check print is sent along with the design
calculations for review.
Prior to release of the drawing, the Drawing BOM & ERP BOM & ensure that both are matching & sign
off on the Transmittal accompanying the drawing/document.

Quality/Production to check the Drawings immediately on receipt for compliance with the Code
Requirements & Contract Requirements. To also cross check that the Drawing BOM & ERP BOM are
matching.
Engineering to maintain a Project-wise HOLD List that will lay down all the SFGs that constitute the
particular project & define the HOLD points for each SFG & fix the responsibility for removal on a specific
design engineer & provide the HOLD removal target date.
Factory, specially Quality to keep a tab on the HOLD List & ensure that the same are removed well in
advance, prior to clearing the equipment for that particular stage of fabrication / assembly.

REPORTING
Monthly progress reports to Customers based on their preferred date of receipt
Weekly review meetings within the Project Group, preparation of action points / action by & following
up till completion of the same.
Weekly review meetings with the Executive Director Projects, preparation of action points / action by &
following up till completion of the same.
Knowledge of the Production Plan / Schedule & ensuring that the materials required are brought into
the factory on time. Raw Materials in factory for deliveries 3 months away, Bought Outs (required for
assembly) in factory for deliveries 2 months away & other bought outs as & when required based on the
billing schedule.

COMMUNICATION
1. Introduction Letter to Customer from HOD
2. Emails Subject column should always start with the project number (P-number)
3. For any communications having Commerical or Delivery Impact use Letter Heads with unique
numbering methodology (CICB/Pxxx/001?). This helps final tracking of all such documents.

QUALITY
The following are the
1. System Quality

2. Item Quality
3. Process Quality
4. Product Quality

1. System Quality
System Quality takes care of the systems of the company irrespective of the department & is
typically covered by ISO requirements / certification. It looks into the Objectives, Action Plan to
achieve the objectives, Responsibility & Authority, Procedures, Reports & Formats. The
Company is an ISO certified company since 1998 under BVQI & is subject to internal & external
audits at pre-determined periods.

2. Item Quality
This covers the specific quality requirements of each & every item that goes into producing the
end product, at the Sub-Vendor Premises, Stores Inward and In-Process stages.
Quality - BLR to prepare a Project Quality Plan for the Bought Out / Fabricated Items that
constitute a project (worked on a Macro Level)
Quality MLR to ensure that a Project Quality Plan is worked out covering all the items required
in the execution of a particular project. This shall detail out each of the Raw Materials & define
the quality requirements for the same at raw material, in-process & final stage at the SubVendor place. Shall also define the requirement of any TPI involvement providing the details of
the Regional Office of the said TPI. This shall form the basis for inclusion of the I&T requirements
in the indents, enquiry & purchase orders.
This shall also deliberate on the requirements of the Customer PR/MR, Specifications & Other
Requirements.
Quality Department to maintain an Inspection Plan for every project with details of the Items
Ordered, Supplier Name, CDD as per order, Inspection Agency & Probable Date of Inspection &
Expedite the same with Project/Purchase.
3. Process Quality
Process quality is the putting down of the procedures that are required to be followed in the
manufacturing / testing of the End Product. This includes:
a. Welding Procedures & Welder Qualifications
b. NDE Procedures & Inspector Qualification
c. DE Procedures & Inspector Qualification

d.
e.
f.
g.

Tack Welding Procedures & Welder Qualification

Surface Preparation Procedures & Personnel Qualification
Painting Procedures & Personnel Qualification
Vendor Selection, Storage, Preservation / Heating, Issue, Shopfloor Handling & Retrieval of
Consumables for Welding, Surface Preparation & Painting
h. Calibration of Machinery, Tools & Tackles
i. Calibration of the Production Methods V Groove, Edge Preparation & Other Measurement
Devices
j. Storage, Preservation & Identification of Materials (Raw Materials/Bought Outs) either in
the Closed Stores, Open Stores, Plate Yard or any other place (Deliberating on the need for
housekeeping, not to be in contact with the shopfloor/ground, CS to be segregated from SS,
etc.)
k. Storage, Preservation & Identification of Work-In-Progress either in the Closed Stores, Open
Stores, Plate Yard or any other place. (Deliberating on the need for housekeeping, not to be
in contact with the shopfloor/ground, CS to be segregated from SS, etc.)
l.
4. Product Quality
The product quality looks into the In-Process & Final Inspection requirements of the Final
Product taking into consideration,
a. The Contract from the Customer
b. The Codes & Standards Applicable
c. Drawings

HOUSEKEEPING

A place for everything & everything in its place

This shall be our Motto for Housekeeping
There shall be a designated place for Storage / Placement of items/Machinery/WIP/Finished Goods, etc
and under no circumstances should this be altered.
More importantly, the designated items shall be placed in the assigned locations.
The Factory premises, both covered & open shall be broken up into various ZONES & the zones shall be
assigned to specific engineers (Production / Quality). They shall be in-charges of their respective Zones
for issues related to House Keeping, HSE, Welding/Process Requirements, Calibration, Maintenance, etc.
A reporting mechanism shall be put in place, either weekly / fortnightly / monthly on compliance or
deviations observed.
No electrodes / electrode butts / grinding wheels shall be found anywhere except in the pre-designated
places.
No material / tools / etc. shall be found anywhere in the factory premises except in the pre-designated
places.
Plates shall be stacked Grade-wise, Thickness-wise, Vendor-wise, Age-wise
Stainless Steel shall necessarily be stacked/stored in-house
Maintenance shall be done regularly roof/gutter, crane, compressor, machines, lights, power
connections, etc. Plan shall be put in place & the work done recorded.
All material pieces / scrap shall be stored systematically & an index maintained on availability. Stamp
transfer shall be compulsorily done prior to any cutting / consumption.
Space/Facilities shall be made for workers / contractors to hang their clothes, rest area, personal items.
Machined items shall be placed on pallets / racks, etc. & shall never be on the floor.
Gasket surfaces of flanges & machined surfaces shall be protected from scratches / dents, etc. SPECIAL
CARE SHALL BE TAKEN TO STORE, MOVE & HANDLE MACHINED SURFACES, GASKET SURFACES, ETC.
Jigs & fixtures shall be identified separately & kept separately
Racks, Storage Items shall be identified separately
Hydrotest flanges shall be organized, painted, marked & stocked separately. An index shall be made &
stock taking done periodically.

A comprehensive list of deviations observed if any shall be maintained based on the above periodicity &
corrective/preventive action put in place.
THERE SHALL BE A NO-TOLERANCE MECHANISM PUT IN PLACE TO ENSURE THAT NO MATERIAL
WHETHER IN RAW MATERIAL OR WORK-IN-PROGRESS STAGE IS EVER PLACED ON THE GROUND &
WITHOUT PROTECTION.
All the Zones including the shopfloor, machinery, storage areas shall be necessarily cleaned by the
Operators / Workmen / Housekeeping Personnel.
The equipment shall necessarily be maintained keeping in mind the Preventive Maintenance & Break
Down Maintenance. Necessary Spare Part List shall be laid down & inventory maintained.

WELDING
Welding is a Special Process & forms the Heart of all operations in a Fabrication Shop.
It shall be ensured that a Comprehensive List of Materials handled till date shall be maintained along
with the Material Combinations.
The List shall also put in place the Thicknesses & the corresponding WPS & PQR
A Qualified Welder List shall be maintained for specific MOC/WPS & PQR, clearly defining the Validity
of such qualification. Necessary Re-Qualification shall be carried out as called for & ensure that the
validity never expires. This is for Company Welders, Sub-Contract Welders (Inside / Outside the Factory)
The training needs for New Recruits / Temporary Personnel / Sub-Contract Personnel on welding shall
be laid down & training & feedback ensured.
Samples of Good Welds / Bad Welds / Defects, etc. shall be maintained on the shopfloor.
The welding of various personnel shall be subject to inspections (as called for by contract) & an analysis
carried out on all welders no. of welds, no. inspected, no. cleared, no. rejected/reworked, visual
quality of the weld, type of defect, whether repetitive, etc. Any Customer Complaint / Feedback shall be
given due importance & recorded.
Based on the analysis, the need for Re-Training, Withdrawal of the Qualification, etc. shall be taken.
A list of approved consumables & suppliers shall also be maintained & monitored. If any weld defect is
reported, the Root Cause analysis shall be carried out & the role of the consumable, if applicable shall be
checked.
Calibration of the Welding Machines / Ovens, etc. shall be carried out & records maintained along with
list of the Labs carrying out the same.

Shopfloor practices such as Holding Electrodes in the Portable Ovens, Plugging the Portable Ovens to
the Powersource, Not using any cold electrodes, Return of the Electrode Butts, No Arcing, No Welding
by un-qualified welders, wearing of the protective devices, etc. shall be monitored.
The reporting should be made on a Fortnightly or Monthly basis.
Weld Repair Analysis shall be carried out & the Corrective / Preventive action put in place.
The Company has put in place the Role of a Welding Inspector & the above shall be the responsibility
of that individual.

HSE (Health, Environment & Safety)

The Company has put in place a very elaborate HSE policy & practice is place.
As per the guidelines laid down, the following shall be ensured:
HEALTH
1. Health of our people is paramount & hence the workmen have been covered under the ESI
Scheme.
2. Portable Drinking Water has been made available both on the shopfloor & office premises. It
shall be ensured that the Dispensers are kept clean & maintenance carried out periodically as
stipulated.
3. Any radiographer working with the Company or with any of our Contractors shall be subject to
the necessary Statutory Checks & certificates of the same maintained.
4. The personnel working in the Shot Blasting & Painting Booths shall be subject to the necessary
Statutory Checks & certificates of the same maintained???
5. ..

SAFETY
1. It shall be ensured that all the personnel working on the shopfloor wear the protective gear such
as safety shoes, goggles, helmets, welding masks, etc. depending on the type of operation that
they are involved with.
2. Grinding machines shall be provided with Spark Guards.
3. During any Radiography, the area shall be evacuated & an alarm shall be set off indicating the
start & completion of the activity.

4. Fire Protection Devices such as Fire Extinguishers, Water Buckets, Sand Buckets, etc. shall be
placed at pre-designated places. It shall be ensured that the Expiry dates of these are monitored
& the Revalidation undertaken in advance.
5. Training shall be imparted to groups in First Aid, Handling of the Fire protection devices, etc. A
log of people trained shall be maintained & displayed in pre-designated places.
6. A fire alarm has been put in place & the working of this shall be checked periodically & training
imparted to people to recognize the alarm & on the evacuation methods & knowledge of the
Assembly Area
7. Load certificates of the cranes shall be maintained & the same shall be periodically checked &
renewed. It shall also be ensured that all the handling equipment such as Slings, D-Shackles, etc.
have the necessary certificates & the periodicity of replacement shall be laid down.
8. Flammable items such as paints, fuels, insulation materials, etc. shall have pre-designated places
for the storage & such areas shall be equipped with the respective fire fighting devices. Suitable
storage methods shall be put in place to avoid any accidents.
9. Storage/Handling of Cylinders Oxygen, Acetylene, DA, LPG, etc. Procedures shall be laid
down & monitored. The certificate of the cylinders specifying usability shall be obtained from
the supplier of the said gases.
10. Adequate lighting shall be ensured in all areas to avoid any accidents & replacement action shall
be taken immediately, should any of the lights fail.
11. A register shall be maintained of all the accidents that have occurred & an analysis carried out
once in a quarter to put in place the corrective / preventive actions.