KHARAFI NATIONAL

ADMINISTRATION WORK INSTRUCTION AWI 204

PROJECT QUALITY PLAN

PROJECT: CENTRAL BANK OF KUWAIT NEW HEADQUARTERS

BUILDING BP-02 MAIN BUILDING WORKS

KN Project No : 1390

2 10 Jun. 2009 QCE/ PM QAM (P) CORP. QCM OM

1390/ AWI 204 Att.1 Rev.2 10 Jun. 2009 Saipem Classification - General Use Page 1 of 13
 Rev. Date Prepared Reviewed Reviewed Approved

REVISION RECORD SHEET

i) Revisions after Rev. 0 are denoted by a vertical line in the left hand margin against the revised
text, with the revision number displayed next to the revision line as shown on the left.
2
ii) Revision 0 is issued for Client Review, approval and implementation. Subsequent revisions shall
be denoted 1, 2, 3, etc.

Rev. Date Section Description

0 13 Oct. 2008 All Sections Issued for Client Review, Approval and Implementation
Sections 1.2, 3.0,
Consultant comments incorporated and issued for Approval and
1 29 Nov. 2008 5.2, 6.2, 7.2, 7.4,
Implementation
7.6, and 8.3.
Section Consultant comments incorporated and issued for Approval and
2 10 Jun. 2009
1.2,Appendix 4, Implementation

1390/AWI 204 Att.1 Rev.2 10 Jun.2009 Saipem Classification - General Use Page 2 of 13
 CONTENTS
Page No

1.0 SCOPE 4

2.0 REFERENCES 5

3.0 DEFINITIONS 6

4.0 QUALITY MANAGEMENT SYSTEM 7

5.0 MANAGEMENT RESPONSIBILITY 8

6.0 RESOURCE MANAGEMENT 9

7.0 PRODUCT REALIZATION 10

8.0 MEASUREMENT, ANALYSIS AND IMPROVEMENT 12

9.0 APPENDICES 13

1390/AWI 204 Att.1 Rev.2 10 Jun.2009 Saipem Classification - General Use Page 3 of 13
 1.0 SCOPE

1.1 This Project Quality Plan is a commitment to the Organization's Quality Management System:
a) To provide consistent product that meets Customer and applicable regulatory
requirements, and
b) To address Customer satisfaction through the effective application of the system, including
processes for continual improvement and the prevention of nonconformity.
1.2 The project scope of work is as under:
2
i) Mechanical Services:
Polybutylene water supply, drainage-HDPE pipes, GRP water tanks, Sanitary fixtures, Electrical
water heaters, Terminal water filters, Fire Protection system with sprinkler system/deluge/foams
system, LPG services, Pumps, and Valves, Pool and Fountain equipment, Plumbing equipment
and specialties, Halon Alternative for vault areas computer server room, Kitchen Hood Fire
protection and Temporary Fire Protection. It also includes external storm and sewage networks.

ii) HVAC Services

Metal Duct and Accessories, Hydronic Piping & Specialties, Duct and Pipe insulation, Cladding,
Water Cooled Centrifugal Chillers, Packaged Cooling tower , Heat Exchanger Air Handling
Units, Fan Coil Units, Under floor Air Conditioning Unit, Fan Tile Unit, Computer Room Air
Conditioning Units, Split D/X Cooling units, Fans, Air to Air Energy recovery units, HVAC
Pumps, Centrifugal Sand Separators, Pressurization units, Air Separators, Chemical Water
Treatment, Variable Air Volume (VAVs) Boxes, Valves, Air Filters, Diffusers, Registers,
Grilles, C4 Shelter Equipments, Automatic Control Sequences, Automatic Temperature Control
Sequences and Building Automation System (BAS).

iii) Electrical Services

MLTP’s, MSB’s, DB’s, Power and Lighting system, Telephone system, Public address system,
Fire and Voice alarm system, Central clock system, Central antenna, IPTV system, Bus ducts,
Diesel Generators, UPS System, Security system, IT network system, Integrated Services,
Emergency Lighting System (Central Battery), Lightning Protection System, Earthing System
and Parking Control Equipment.
1.3 Subcontractors may be engaged in the Project as required, however the subcontractors will be
checked and evaluated for their capabilities and qualifications prior to employment. All the
major Suppliers & Subcontractors shall be made aware that the Organization is working in
accordance with ISO 9001. Accordingly, suppliers shall commit themselves to work within the
framework of ISO 9001, and the Organization shall be entitled to audit and verify suppliers'
compliance.

In particular, suppliers shall be asked to commit to:

a) Adopt Organization’s procedures and comply with the requirement of the contract for their
scope of work.

b) Use properly calibrated monitoring and measuring devices to provide evidence of

conformity of product.

c) Maintain available at site (and also at disposal of Organization's personnel) copies of the
codes referred to in the technical documentation included in the Contract.

1390/AWI 204 Att.1 Rev.2 10 Jun.2009 Saipem Classification - General Use Page 4 of 13
2.0 REFERENCES

2.1 ISO 9000: 2005 Quality Management Systems - Fundamentals and vocabulary
2.2 ISO 9001: 2000 Quality Management Systems - Requirements
2.3 ISO 9004: 2000 Quality Management Systems - Guidelines for Performance Improvements
2.4 The Organization’s:
o Quality Assurance Manual
o Client Project Specifications

1390/AWI 204 Att.1 Rev.2 10 Jun.2009 Saipem Classification - General Use Page 5 of 13
3.0 DEFINITIONS
3.1 Client / Customer - Central Bank of Kuwait
3.2 Client Representative - Project Management and Control W.L.L. / Daniel, Mann, Johnson
and Mendenhall International (PMC/DMJM)
3.3 Consultant - Hellmoth Obata and Kassabaum, Inc. / Pan Arab Consulting
Engineers (HOK/PACE)
3.4 Main Contractor - China State Construction Engineering Corporation (CSCEC)
3.5 Organization - Kharafi National
3.6 Subcontractor - Appointed by the Organization to provide service, materials, etc, to
fulfill special part of the project
3.7 Project - Central Bank of Kuwait New Headquarters Building - Bid Pack 02
Main Building Works (MEP Works and Security System)
3.8 Abbreviations:
3.8.1 AWI - Administrative Work Instruction
3.8.2 ITP - Inspection and Test Plan
3.8.3 PQP - Project Quality Plan
3.8.4 ISO - International Organization for Standardization
3.8.5 DWI - Departmental Work Instruction
3.8.6 NCR - Non-Conformance Report
3.8.7 TWI - Technical Work Instruction
3.8.8 QA/QC - Quality Assurance / Quality Control
3.8.9 NDE/NDT - Non-Destructive Examination / Non-Destructive Testing
3.8.10 MEP - Mechanical, Electrical and Plumbing Works
3.8.11 PSWI - Project Specific Work Instructions
3.8.12 MLTP - Main Low Tension Panel
3.8.13 DB - Distribution Boards
3.8.14 UPS - Uninterruptible Power Supply
3.8.15 BAS - Building Automation System
3.8.16 LPG - Liquefied Petroleum Gas
3.8.17 HDPE - High Density Poly-Ethylene
3.8.18 GRP - Glass Reinforced Plastic
3.8.19 HVAC - Heating, Ventilating and Air Conditioning
3.8.20 FTU - Fan Tile Unit
3.8.21 ACU - Air Conditioning Unit
3.8.22 FCU - Fan Coil Unit
3.8.23 IP - Internet Protocol
The terms and definitions given in ISO 9000: 2005, shall also apply.

1390/AWI 204 Att.1 Rev.2 10 Jun.2009 Saipem Classification - General Use Page 6 of 13
4.0 QUALITY MANAGEMENT SYSTEM

4.1 The Quality Management System established by the Organization shall be implemented,
maintained and continually improved in accordance with the requirements of ISO 9001:2000.
The Project Quality Plan identifies the Work Instructions and or contract documents to be
applied plus other information as required to meet the contract requirements.
4.2 All Customer contract documents shall be identified (Appendix 8) and their distribution
controlled. Obsolete documents shall be disposed of, or clearly identified as such, to prevent
their unintended use.
The distribution of project documents shall be done as given in Appendix 1.
The controlled distribution of this Project Quality Plan shall be carried out as given in the
Controlled Copy Holders list, Appendix 2.
Revisions to the Project Quality Plan shall be detailed in the Revision Record Sheet. All
revisions shall be subject to the same controls applicable to the initial development of the
plan.
Quality records (inspection, test, etc.) shall be maintained to provide evidence of conformance
to requirements and of effective operation of the Quality Management System. The
identification, storage and retrieval of these records shall be in accordance with Organization's
procedures.

1390/AWI 204 Att.1 Rev.2 10 Jun.2009 Saipem Classification - General Use Page 7 of 13
5.0 MANAGEMENT RESPONSIBILITY
5.1 Management Commitment
The Organization's quality policy and quality objectives are given in the Quality Assurance
Manual.
Adequate resources, comprising finance, trained manpower and construction equipment
shall be provided for execution of the project. Also, resources shall be provided for
verification of quality process, product and internal audits.
5.2 Customer Focus
The project management shall ensure that Customer’s requirements as stated in the contract
documents are determined and fulfilled to enhance Customer satisfaction.
5.3 Quality Policy
The quality policy is given in Quality Assurance Manual and shall be communicated and
understood at appropriate levels.
5.4 Quality Planning
The Project quality plan has been developed to incorporate the requirements of the
Organization's quality management system, with the specific needs of the project as given in
the contract documents.
The Project Specific Procedures are given in Appendix 3.
Site inspection activities shall be followed as per the project specific Site Inspection
Procedure and approved ITPs. List of ITPs are given in Appendix 7.
5.5 Responsibility, Authority and Communication
The project Organization structure is given in Appendix 4.
The responsibilities / authorities of key personnel as identified in the project's Organization
structure are given in Appendix 5.
The Project Management shall ensure that the communication among staff members is
effective at all levels. Channels for communication shall be meetings, notice board, progress
meetings, safety meetings, open access to system document (Electronic Media).
5.6 Management Review
The quality management system shall be reviewed by the Organization’s Management at
planned intervals, to ensure its continuing suitability, adequacy and effectiveness.

1390/AWI 204 Att.1 Rev.2 10 Jun.2009 Saipem Classification - General Use Page 8 of 13
6.0 RESOURCE MANAGEMENT

6.1 Provision of resources

The necessary resources needed by the project in order to achieve its contractual obligations
towards the Customer shall be provided by the Organization as committed in the project
specific requirement as defined in the contract.
6.2 Human resources
The employees who are assigned responsibilities shall be competent on the basis of
appropriate education, training, skills and experience.
The QA training should:
 Provide employees with the tools to establish and utilize a Construction Quality
Program that fulfills the contract scope of work.
 Assist employees to achieve the quality of construction outlined in the contract.
 Provide employees with the capability to produce and maintain acceptable records of
its quality control activities.
6.3 Infrastructure
The project shall identify, provide and maintain the infrastructure it needs to achieve the
conformity of product.
6.4 Work environment
A suitable work environment shall be provided for the employees, considering necessary
human and physical factors needed to achieve conformity of the product.

1390/AWI 204 Att.1 Rev.2 10 Jun.2009 Saipem Classification - General Use Page 9 of 13
7.0 PRODUCT REALIZATION

7.1 Planning of product realization

The Project Quality Control Plan identifies key processes, applicable procedures and criteria
for acceptability in Appendix 6.
Quality records shall be maintained to provide confidence of conformity of the processes
and resulting product.

7.2 Customer related processes

The final product shall be in accordance with the Customer's contractual requirements, shall
meet statutory regulations and provide satisfactory and necessary performance for the
purpose intended.
The list of Customer contract documents including specifications is given in Appendix 8.
Any changes in the contract requirements shall be reviewed prior to acceptance and
informed to all relevant personnel.
Effective communication with the Customer shall be established to fulfil contractual
obligations and achieve Customer satisfaction.
The forms listed in Appendix 10 shall be used to get approval for the materials, documents
and drawings, etc. from Consultant.

7.3 Design and/ or development

The basic designs for the Mechanical and Electrical systems shall be provided by the
Customer. Detailed design of the MEP works shall be done by Design consultant appointed
by the Customer and the preparation of shop drawings shall be carried out by the
Organization and approved by Consultant.

7.3.1 Document Control

Control of documents for detailed engineering, (i.e. preparation of shop drawings)
procurement, construction, inspection, supplier/subcontractor will be followed as detailed in
project specific Document Control procedure.

7.4 Purchasing
The products shall be purchased from suppliers who are either on the Customer’s Approved
Suppliers list or the Organization Approved Supplier’s List.
The quality requirements shall be communicated to the suppliers at the time of seeking
quotations. The purchasing process shall be controlled and the purchased material, verified
as per contract requirements including duration of delivery from the manufacturer and or
supplier to the worksite. Prior approval from customer will be obtained before materials are
used at work site.

7.5 Production and service provision

The Production and service operations shall be carried out under controlled conditions. The
project shall validate any production and service processes where the resulting output cannot
be verified by subsequent measurement or monitoring. This includes any processes where
deficiency may become apparent only after the product is in use or the service has been
delivered. Validation shall demonstrate the ability of the processes to achieve planned
results through qualified processes, equipment, personnel or defined methodologies,

1390/AWI 204 Att.1 Rev.2 10 Jun.2009 Saipem Classification - General Use Page 10 of 13
 procedures and requisite testing by approved independent laboratory as per the
recommendations of international standards.

The products shall be identified by suitable means throughout the production and service
operations.

The Customer’s property (free issue) shall be recorded, identified, verified, protected and
safeguarded until incorporated in the final product.

The conformity of product shall be preserved during internal processing and delivery to the
intended destination. This shall include identification, handling, packaging, storage and
protection.
7.6 Control of monitoring and measuring devices

Calibrated devices shall be used for monitoring and measuring purposes to assure
conformity of product to specified requirements. These measuring and monitoring devices
shall be calibrated and adjusted periodically prior to use. All calibrations shall be carried out
by Organization’s IMTE facility and copy of calibration records and control log shall be
maintained by the project Quality Control Engineer and store keeper.

1390/AWI 204 Att.1 Rev.2 10 Jun.2009 Saipem Classification - General Use Page 11 of 13
8.0 MEASUREMENT, ANALYSIS AND IMPROVEMENT
8.1 General
The project shall endeavor continuous improvement through regular monitoring and
measurement processes.

8.2 Monitoring and Measurement

The Customer's satisfaction shall be given the utmost priority; any instances of Customer's
dissatisfaction shall be reported to the Organization's Quality Assurance Department.
Internal quality audits shall be conducted periodically by the Organization's Quality
Assurance Department. The Project’s preliminary internal quality audit plan is given in
Appendix 9.
Quality records shall be maintained as evidence of conformity with acceptance criteria as
given in the approved Inspection & Test Plan (ITP), Appendix 7, and the authority
responsible for release of product at appropriate stages shall also be documented as per the
applicable forms / checklist as given in the procedures.

8.3 Control of nonconformity

Any product that does not conform to specified requirements shall be identified and
controlled to prevent its unintended use.
Operational non conformance reports shall be issued (where required) to control
nonconformities and must be reported to consultants.
Corrective actions shall be taken and the product shall be re-verified to demonstrate
conformity. If required, nonconforming products shall be reported for concession to the
Customer and the products will be used in construction upon acceptance of concession from
Customer.

8.4 Analysis of data

The project shall collect appropriate data for analysis to determine the suitability and
effectiveness of the quality management system and to identify improvements that can be
made.

8.5 Improvement
The Organization in conjunction with project management shall facilitate continual
improvement of the quality management system of the project through the use of the
Organization's quality policy, objectives, audit results, analysis of data, corrective and
preventive action and management review.
The Organization shall take corrective action to eliminate the cause of nonconformities in
order to prevent recurrence of the same in the project. Corrective action shall be appropriate
to the impact of the problems encountered and shall be approved by Customer.
Preventive actions shall be identified to eliminate the causes of potential nonconformities to
prevent occurrence.

1390/AWI 204 Att.1 Rev.2 10 Jun.2009 Saipem Classification - General Use Page 12 of 13
9.0 APPENDICES

9.1 Appendix 1 - Project documents distribution Matrix

9.2 Appendix 2 - Controlled copy holders of Project Quality Plan
9.3 Appendix 3 - Project Specific Work Instructions
9.4 Appendix 4 - Organization Structure
9.5 Appendix 5 - Responsibilities of Key Personnel
9.6 Appendix 6 - Quality Control Plan
9.7 Appendix 7 - List of Inspection & Test Plan (ITP)
9.8 Appendix 8 - List of Contract Documents
9.9 Appendix 9 - Project Internal Quality Audit plan (Preliminary)
9.10 Appendix 10 - List of Client Issued Forms

1390/AWI 204 Att.1 Rev.2 10 Jun.2009 Saipem Classification - General Use Page 13 of 13