Document Name Document Code Created By Approved By

Procedure for dealing with CTR-QS-CTRL-P-01 CI KGMB

nonconformance Rev. Rev. Date Page No Page Count
4 03.07.2013 1 4

1 Object
The procedure describes the general process of dealing with and documenting non-conformities.

2 Scope
The following non-conformity cases are covered by this procedure:
- Non-conformance encountered during field job operation
- Nonconforming products (both purchased and manufactured) discovered by internal receipt inspection
- Damaged products and equipment that are property of the company, Customer or Supplier
- Quality Assurance process failure
- Rework in-house requested by the company’s relevant authorities
- Non-conformities detected either by Customer or by the company after delivery or use has started
- HSE non-conformities

The process of controlling of nonconforming product is detailed by the separate procedure CTR-QS-CTRL-P-02.

3 Responsibility
Originator shall initiate the process of dealing with Non-conformance by issuing a Non-Conformance Report form
and forwarding it to the person concerned for further examination.
Each Manager has the responsibility for the review, follow-up and documentation control of the non-conformances
that fall under his/hers competence.
QA Manager follows-up the processing of Non-conformance until it is closed and maintains Non-Conformance
Register.

4 Documentation
- CTR-QS-DOC-I-01: Document code system
- CTR-QS-CTRL-FRM-01: General Non-conformance Report form
- CTR-QS-CTRL-FRM-02: Operational Non-conformance Report form
- CTR-QS-CTRL-FRM-07: General Non-conformance Report form (hard copy version)
- CTR-QS-CTRL-FRM-08: Operational Non-conformance Report form (hard copy version)
- CTR-HSE-CTRL-FRM-01: HSE Non-Conformance Report form
- CTR-HSE-CTRL-FRM-02: HSE Non-Conformance Report form (hard copy version)
- CTR-HSE-CTRL-FRM-08: Incident/Accident investigation report
- Non-Conformance Register
- CTR-QS-CTRL-P-03: Corrective Action procedure
- CTR-QS-CTRL-P-04: Preventive Action procedure
- CTR-QS-CTRL-P-02: Control of nonconforming product
-

5 Requirements
All non-conformities shall be registered, processed and the appropriate records maintained.
Each Non-Conformance Report shall be assigned a unique code in accordance with CTR-QS-DOC-I-01.

6 Execution
See flow chart at Figure 1 for the process execution.

6.1 General
When Non-Conformance requires immediate corrective action(s), the leader concerned has the authority to
implement these actions to resolve the problem.
 Document Name Document Code Created By Approved By
Procedure for dealing with CTR-QS-CTRL-P-01 CI KGMB
nonconformance Rev. Rev. Date Page No Page Count
4 03.07.2013 2 4

6.2 Acceptance under concession

Nonconforming Product/Service can be accepted if the defect is not detrimental to manufacturing process or
service concerned.
Nonconforming Product/Service can be accepted for an alternative use if the rework is not possible/ viable.
Issue of concession shall only be authorized after careful consideration by the Manager concerned.

6.3 Investigation of non-conformance

An investigation process is in need when the non-conformance/event is reported with a high loss potential.

High loss potential event is defined as high potential for loss of human life, permanent damage of personnel, high
cost loss, major damage on environment and assets.

6.3.1 Investigation Team and Responsibilities

The QA/HSE Manager is the investigation Team Leader and investigation Team Members are appointed by
QA/HSE Manager with approval from General Manager and with relevance to the investigation theme.

The Investigation Team is responsible for presenting an Investigation Report for General Manager within
reasonable time after starting the investigation. During the investigation the Investigation Team shall not discuss or
inform CTR employees about the investigation.

7 Records
Non-Conformance Report and all the documentation issued while processing the non-conformance shall be stored
at the appropriate location on Server or/and at Filing Cabinet in accordance with the rules defined by CTR-QS-
DOC-P-02.
Read-only electronic copies of non-conformance report shall be created and placed at the appropriate location if
the non-conformance concerns a project (Project Archive), Customer (Customer file) or/and Supplier (Supplier file).

8 Definitions
Originator Person who detected Non-conformance.
Non-Conformance Person who is handling the case.
(NC) Responsible
NCR Abbreviation for Non-Conformance Report.
High loss potential Loss of human life, permanent damage of personnel, high cost loss, major damage on
environment and assets.

9 Distribution List
Table 1
Distribution Way Users Qty Comments
Hard Copy
Notification
Read-only file (PDF)
 Document Name
Procedure for dealing with
nonconformance
Customer complaint, internal
inspection, incident etc.
Initiate investigation
Fill out form
CTR-HSE-CTRL-FRM 08_
Incident/Accident Investigation
report. Investigation leader
(QA/HSE Manager) to inform
General Manager.
Consider acceptance under No
concession
Product/Service may be accepted
under concession if the defect is
not detrimental. Concession shall
be authorized either by Dep.
Manager or by Client. The details
on each concession shall be
entered into Concession Register.
Figure 1 Process for dealing with nonconformance
Document Code Created By Approved By
CTR-QS-CTRL-P-01 CI KGMB
Rev. Rev. Date Page No Page Count
4 03.07.2013 3 4
Nonconformance identified
Take immediate actions Immediate corrective actions shall be taken to resolve
the problem if the situation requires it.
Originator fills up relevant NCR form dependent on NC
Issue Nonconformance nature. Pictures, customer complaint and other
Report (NCR) relevant documents shall be enclosed the report.
Describe if and how there are high loss potential in this
event
Originator forwards the NCR form (or just notifies
Forward NCR to person referring the NCR ID number) to the department/
concerned & QA Manager person concerned (NC Responsible) for further
processing. NC Responsible informs QA Manager
about Non-conformance.
Enter Nonconformance into QA Manager updates Nonconformance Register with
the new NCR and follows-up the NC processing all the
NC Register way until NC is closed.
Send NCR to Supplier/ NC Responsible sends a copy of NCR to Customer/
Supplier, if they are involved, for response.
Customer for response
Determine NC extent NC Responsible determines the effect of NC on
Product/Service/Process. Specify the price of Non-
conformance when possible.
NC Responsible (together with other personnel
Determine NC cause, concerned) defines the NC root cause (where
possible) and corrective action with related
corrective action and/or responsibilities and deadlines. The action and
investigation deadlines shall be entered into the NCR form.
Determine if there shall be an investigation.
Determine whether corrective or/and
Consider request of preventive action is required. Take into
corrective/preventive action consideration recurrences, trends, complexity.
See CTR-QS-CTRL-P-03, 04 for corrective
and preventive action process.
Rework/Correction is The decision of whether the rework/correction
possible/viable? of Product/Service is expedient must be
taken.
Yes
Fix the problem
Verify corrective action Ensure that Product/Service have met the requirements
after being corrected.
Close NCR form & Make The NCR form shall be verified and approved by
copies authorized personnel prior to filing/archiving. Read only
electronic copies of NCR shall be created and placed at
the appropriate location if the non-conformance
concerns a project, Customer or/and Supplier.
Update NC Register NC Responsible informs QA Manager about closing
Non-Conformance. QA Manager updates NC Register
with the final details on Nonconformity.
 Document Name Document Code Created By Approved By
Procedure for dealing with CTR-QS-CTRL-P-01 CI KGMB
nonconformance Rev. Rev. Date Page No Page Count
4 03.07.2013 4 4

10 Change Overview
Table 2
Rev. Rev. Date Changes Made
4 03.07.2013 4, Figure 1, 6.3, 6.3.1
3 29.04.2013 Include HSE Non-conformities, Chapter 2, 4
2 28.08.2011 Figure 1
1 26.08.2009 Initial issue