Saep 17

Engineering Procedure
SAEP-17 21 April 2020

Project Stage and Gate Governance
Document Responsibility: Project Management Office Standards Committee
Contents
1 Introduction .............................................................. 2
2 Conflicts and Deviations ........................................ 5
3 References............................................................... 5
4 Key Terms ................................................................ 6
5 Stage and Gate Process........................................ 8
Appendix A - Rapid Matrix and Role Definition .......26
Appendix B - Gatekeeper Submittal Example .........28
Appendix C - Gate Outcome Report Example.........29
Document History .........................................................31
Previous Revision: 18 December 2018 Next Revision: 18 December 2021

Contact: PMOD/Capital Program Efficiency Division - General Supervisor Page 1 of 31
©Saudi Aramco 2020. All rights reserved.
Saudi Aramco: Company General Use

Document Responsibility: Project Management Office Standards Committee SAEP-17
Publish Date: 21 April 2020
Next Revision: 18 December 2021 Project Stage and Gate Governance
1 Introduction
1.1 Scope
This procedure governs the Capital Management System (CMS) project delivery
process across the project lifecycle from Initiation to Execution, Stage, and Gate
controls and the process for amendments to roles and responsibilities through the
RAPID Matrix.
1.2 Applicability
This document applies to all projects that are included in the 3-year Business Plan,
except for the following project types:
• Exploration projects (BI-33)
• Unconventional gas development projects (BI-34)
• Development drilling projects (BI-60)
• Non-engineered projects
• Maintain Potential projects
• Joint Ventures, Third Party Projects, and Mergers & Acquisitions
• Projects that are Monetary Appropriations only, for example Miscellaneous Projects
and Purchases (BI-19)
1.3 Capital Management System (CMS)
The Capital Management System (CMS) is the general framework adopted by Saudi
Aramco for managing project activities, clarifying stakeholders’ roles and responsibilities,
and enabling timely and informed decision making for Capital Projects. The main
objectives of the CMS are:
• Embrace a decision driven process that maximizes value creation
• Improve project development schedule and cost efficiency
• Standardize the project development process
• Align the project development process with international best practices
The Saudi Aramco CMS manages the Front End Loading of capital projects through a
Stage Gate Process, which forms part of the overall project governance model that
informs and supports project development and management tradeoffs in terms of scope,
cost, and schedule. The CMS covers the entire Development process from Business
Planning, through Project definition to Execution. The Capital Management System
has been enhanced with Capital Management System Efficiency Enablers (CMSEE) as
shown below in Figure 1 - Overview of the CMS.
©Saudi Aramco 2020. All rights reserved. Page 2 of 31

Figure 1 - Overview of the CMS
These CMSEEs are:

• Portfolio Execution Planning (PXP)
• Project Sponsor (PS) and Integrated Project Team (IPT)
• Front End Loading (FEL)
• Target Setting (TS)
• Value Assurance (VA)
Portfolio Execution Planning (PXP)
PXP is a multi-organizational, forward-looking assessment of the company’s 3-Year

and 10-Year Capital Programs designed to ensure availability of adequate resources
(internal workforce, materials and services) to execute the capital projects and also
provides useful information for creating opportunities to support the Kingdom’s
economy. Please refer to SAEP-71, Portfolio Execution Planning (PXP).
Project Sponsor (PS) and Integrated Project Team (IPT)
The Project Sponsor (PS) is appointed by the Proponent organization, and is

accountable for meeting project objectives and steering the Integrated Project Team
toward maximizing investment value. For more detailed information regarding the

Project Sponsor please refer to Project Sponsor (PS) Guide for Type A and B Projects
and Project Sponsor (PS) Guide for Type C and C1 Projects.
The Integrated Project Team (IPT) is a temporary project team steered by the PS,
formed from needed functional departments under a unified leadership (IPT Leader)
and sharing the same objectives. For more detailed information regarding the IPT
please refer to Integrated Project Team (IPT) Manual.
Front End Loading (FEL)
Is the process whereby the engineering design of a project is developed to the point
where construction of the facility can commence with minimal risk of scope changes.
Alternatively, the changes are identified during the front end loading process and can be
managed going forward. The Saudi Aramco CMS manages the Front End Loading of
capital projects through a Stage Gate Process.
Front End Loading involves developing sufficient strategic information to allow

decision makers to address risk and make decisions to commit resources to continue
execution. It includes robust planning and design early in a project's lifecycle at a time
when the ability to influence changes in design is relatively high and the cost to make
those changes is relatively low. While it shifts time and cost to the early portion of a
project, these costs are minor compared to the alternative of the costs and effort
required to make changes at a later stage in the project.
Target Setting (TS)
Target Setting (TS) is a process that challenges the Integrated Project Teams’ (IPT)
creativity to achieve ambitious but realistic primary project delivery target and goals in
terms of cost, schedule and operability that outperform the historical company
performance of comparable projects while being competitive with industry. Being a
leading indicator, TS is often used as a tool to help define the project scope and
minimize scope variation when compared to the industry. For more detail information
regarding Target Setting, refer to the TS Guidelines.
Value Assurance (VA)
The VA Process, one of the efficiency enablers of the CMS, ensures the project will
maintain or improve its overall created value within its defined objectives through all
stages of its development. The VA Process is implemented through structured and
rigorous analysis, the Value Assurance (VA) Review, performed by an independent
multidisciplinary team before each Gate and/or Key Decision(s) to examine all aspects
of a project from a diverse, holistic and cross discipline perspective. For a more
detailed description of Value Assurance, see the latest revision of SAEP-40 (Value
Assurance Process).

1.4 RAPID Matrix
RAPID (Recommend, Agree, Perform, Input, Decide): A matrix that defines roles and
responsibilities in the work process related to the CMS and development of FEL
deliverables in each Stage. RAPID is used to clarify individuals’ and organizations’
responsibilities in contributing to/making decisions. In the Project Life Cycle the
RAPID summarizes the responsibilities of contributors and stakeholders in planning and
execution of project Deliverables. In contrast to other responsibility methodologies
(e.g., RACI and similar), the RAPID is oriented toward the decision making process,
with contributions to project progression in support of these decisions.
2 Conflicts and Deviations
Any conflicts between this document and other applicable Mandatory Saudi Aramco
Engineering Requirements (MSAERs) shall be addressed in writing to the EK&RD
Coordinator.
Any deviation from the requirements herein shall follow internal company procedure
SAEP-302, Waiver of a Mandatory Saudi Aramco Engineering Requirement.
3 References
The latest edition of the applicable reference documents shall be applied:
3.1 Saudi Aramco Documents
Saudi Aramco Engineering Procedures

SAEP-13 Project Environmental Impact Assessments
SAEP-14 Project Proposal
SAEP-25 Estimate Preparation Guidelines
SAEP-26 Capital Project Benchmarking Guidelines
SAEP-40 Value Assurance Process
SAEP-71 Portfolio Execution Planning (PXP)
SAEP-302 Waiver of a Mandatory Saudi Aramco Engineering Requirement
SAEP-367 Value Improving Practices Requirements
SAEP-1350 Design Basis Scoping Paper (DBSP) Preparation and Revision Procedure
Saudi Aramco General Instruction

GI-0202.451 Engineering Work Order Authorization for Preliminary Engineering
Preparation

Saudi Aramco Best Practice

SABP-A-042 Business Case Development Guidelines
Saudi Aramco Manuals and Codes

Project Sponsor (PS) Guide for Type A and B Projects
Project Sponsor (PS) Guide for Type C and C1 Projects
Integrated Project Team (IPT) Manual
Target Setting (TS) Process Guidelines
MC Gate Submittal Guideline
RAPID Matrix
Book of Deliverables
3.2 Industry Codes and Standards
None
4 Key Terms
Brown Field Project: Projects that affect facilities where there is infrastructure already
constructed. A brown field project modifies or expands such facilities.
Budget Item (BI): A discrete project that has been defined and evaluated to the extent
required for Management to include it in the Business Plan and commit additional
resources to further develop the information required by Management. Based on the
information developed, if deemed appropriate, the Board of Directors will make
reasonable business decisions regarding the continued development of the project.
Budgetary Project Scope Definition: A description of the facilities that might actually
be built, defined in sufficient detail to develop a Capital Budget Cost Estimate, when
combined with the information provided in the FEL 2 DBSP deliverables. As per
SAEP-25, a Capital Budget Cost Estimate is an estimate prepared during the FEL 2
DBSP Phase, based on the approved Design Basis Scoping Paper and supporting FEL
deliverables, after all main elements of the selected project alternative have been further
developed, major engineering decisions have been made and the overall project design
basis is established and fixed.
Business Case: This is FEL 1 Phase, which provides information required to make
reasonable business decisions regarding a proposed capital project, including its scope,
cost, benefits, and risks throughout its development.
Business Line: Saudi Aramco's basic organization structure. A business line forms part of
the organizational matrix with a responsibility over a specific part of the company business.

Business Objective: The purpose of the proposed project.

Construction Agency: The organization assigned to execute the project. This could be the
Saudi Aramco Project Management administrative area that is the default Construction
Agency for A-, B- and C-type projects, or the proponent’s Capital Program Management
(CPM) team for C1-type projects.
Cost Estimate: Is estimate of the capital investment value, prepared by the Project
Management Office Department (PMOD) as per SAEP-25, and is deemed to have
various accuracies depending on the phase / progression of the project.
Decision Maker: Is represented by the Management Committee for A- and B-type
projects, by the relevant Business Line Committee for C- and C1-type projects.
GAS (Gate): Gate of Alternative Selection; FEL Gate at the conclusion of FEL 2 Study.
Project Management Office Department (PMOD): Is the organization that manages
and governs the implementation of the Capital Management System (CMS) to maximize
capital efficiency and improve the predictability and successful implementation of capital
projects by applying the five enablers.
RAPID: (“Recommend, Agree, Perform, Input, Decide”) is a tool used to clarify
individuals’ responsibilities in contributing to/making decisions, as illustrated in Figure 2
- RAPID Role Definitions.
Figure 2 - RAPID Role Definitions

The descriptors of each role in the RAPID methodology are:
“R” stands for “Recommend”. People who recommend are responsible for making the
proposal or submitting a decision for approval. Recommenders are the “engine” of the
decision-making process. They create decision criteria, gather Input and data, analyze
alternatives and develop a proposal for a course of action that is compelling and
defendable. There is only one Recommender in each decision-making process.
“A” stands for “Agree”. Saudi Aramco Departments that agree to a Recommendation are
those that need their agreement secured before proceeding further in the process. If the
function vetoes the proposal, they must work with the Recommender to develop an
alternative proposal. If an alternative proposal cannot be agreed on, the issue must be
elevated to Decide.
Note: Agree should be used only in selected decisions, usually not more than one for
each decision-making process.
“P” stands for “Perform”. This is the individual or group that will execute the Decision
and is responsible for doing so promptly and effectively. Depending on the Decision,
there can be one or multiple Performers in each process. In the RAPID matrix, the IPT
“Perform” roles are not indicated since it is only the decision making roles and
responsibilities that are of concern, and not the execution of the decision.
“I” stands for “Input”. Those with Input responsibility provide the data that is the basis
of any good decision. When there is an Input it means that the Input is necessary to
make an upcoming recommendation. There can be multiple Inputs for each decision-
making process; however, their “proliferation” should be avoided.
“D” stands for “Decide”. Based on provided inputs and recommendations, the “D” role
is the single point of accountability within the IPT who must bring the decision to
closure and commit the organization to act on it. The Decide is the person who will
break any deadlock in the case of disagreement between the Recommend and the Agree.
(The breaking of a deadlock is the exception, not the norm, in that it is always expected
that the Recommend and the Agree will be able to eventually reach consensus via
recycle). There is only one Decide for each decision- making process, to ensure clear
and visible accountability.
Note: Decide should be used only in selected decisions, usually not more than one for
each decision-making process.
5 Stage and Gate Process

5.1 RAPID Governance
The RAPID Matrix is governed by a strictly defined process for any changes, especially
changes to the Role and Responsibilities for the Project Sponsor which shall be
approved by the Sr. VP Technical Services. This process proceeds as follows:

PMOD owns the RAPID Matrix governance process and is responsible for engaging the
Sr. VP of Technical Services for management of change of the RAPID.
Changes shall be concurred by all relevant stakeholders in the form of an official letter
to PMOD. This applies for any and all changes, e.g.:
• Adding, deleting, or renaming Deliverables
• Changes to roles for the PS, IPT Leader, IPT, Supporting Organization Roles and
Responsibilities (R, A, P, I, & D)
Note: All changes requested shall be consistent with currently published SAEP and SAES.
Upon review through the Management of Change process, PMOD will present changes
to the Sr. VP of Technical Services for the final approval in case of impact on the
Project Sponsor Role and Responsibilities.
PMOD shall communicate to all stakeholders the approved and rejected changes and,
on behalf of Sr. VP Technical Services, ensure that relevant SAESs and SAEPs are
updated by their respected owners, as necessary.
Figure 3 - RAPID Governance Process
5.2 Front End Loading
5.2.1 Definition and Objective
Front End Loading (“FEL”) is a Stage and Gate process to facilitate project
planning definition and decision- making that defines the activities, deliverables,

and specific objectives to be performed during each Stage / Phase and the
decisions to be made at each Gate. FEL thus provides a structured and
disciplined process, which improves control on project development, reducing
project development and execution risk and timely capturing value-added
opportunities. An illustrative schematic is shown as Figure 4 - Stage, Phase, and
Gate Process.
Figure 4 - Stage, Phase, and Gate Process
Each Gate has specific deliverables that are required to be developed in order to
fulfill the Gate requirements. Each Deliverable may have a governing procedure
(SAEP), standard (SAES), or best practice (SABP) for its development; such
requirements are maintained by the responsible Functional Organizations.
The end of each FEL phase is defined by the gate, at which the decision maker,
i.e., Management Committee or Business Line Committee, decides if a project is
ready to continue to the next Phase. The achievement of the objectives is
evaluated by a Value Assurance Team at the Gate in a documented and
systemized way. When the objectives of each project phase are achieved, the
Gate is passed and the project moves to the next Phase. At each of the Gates, the
project’s Business Case is defined and formulated or reconfirmed, risks are
mitigated, project planning and execution strategies are assessed, and management
approvals and direction are obtained. For more information on the role of Value
Assurance and Gates, please refer to SAEP-40, Value Assurance Process.
Table 1: Overview of Objectives and Main Activities by Phase
Stage Phase Objective Main Activities
Evaluate the business opportunity
Definition of project objectives, net
in terms of alignment with Saudi
FEL 0 Initiation benefits, risks, related impacts and
Aramco strategic objectives and
potential synergies with other projects.
expected benefits and risks.
Validate project business case Development of the Business Case
Business
FEL 1 feasibility and identify a and exhaustive identification of viable
Case
comprehensive range of alternatives. alternatives.
Analysis of the identified project
alternatives from a site selection,
Study Select the optimal alternative.
strategic, technology, economic, and
FEL 2 risk perspective.
Decide on project scope freeze Definition of the main elements of the
DBSP based on selected alternative project scope of work, providing the

Stage Phase Objective Main Activities

defined in an approved DBSP by design contractor the information
stakeholders. required to develop the preliminary
engineering. For further detail and
explanation please refer to SAEP-1350
Design Basis Scoping Paper.
The project can proceed to Project
Proposal with funds made available as
per GI-0202.451 (Engineering Work
Order Authorization for Preliminary
Engineering Preparation).
Validate and approve the Project Continue and complete development
Proposal, contracting and of the preliminary engineering and
execution strategies before the finalize execution strategy for the
Project
activation of the bidding process for frozen project scope.
Proposal
confidence/confirmation in the For further detail and explanation
FEL 3 schedule and minimize scope please refer to SAEP-14 Project
changes and cost escalation Proposal
Decide on readiness for Development of ER package.
expenditure approval based on Finalization of contractors bids,
Finalize FEL
final business case, preliminary evaluation and revalidation of the
engineering and project economics project economics and schedule
Develop detail design for the
Detailed Development of the project’s Detailed
procurement of equipment/material
Engineering Design
and for constructing the scope
Ensure timely procurement of
material/equipment/services and all
Procurement Procure materials, goods and services
inspection and logistics are in place
to protect Company assets.
Execution
Verify that construction progress and
output is in line with requirements in
terms of safety, cost, schedule, and Construction of the facility and
Construction quality during execution and is preparation (Pre-commissioning) for
smoothly handed over to proponent the Commissioning Phase
organization (Final Mechanical
Completion Certificate)
Dynamic and energized tests
Verify that all systems of the plant performed and documented to ensure
Commissioning comply with the defined systems operate in compliance with
specifications the approved design and is ready for
start-up.
Starting up equipment and systems
Operation
and performance testing, on
Start-up equipment and systems
Start-up completion of the testing, a
following the required procedures
Performance Acceptance Certificate
(PAC) is issued
Finalize the project and the related Project close-out activities (Financial
Close-out
facilities Close-out, Post Project Appraisal, etc.)
5.2.2 FEL Structure
There are four stages in the FEL process and six phases.

The four Stages are FEL 0, FEL 1, FEL 2 and FEL 3. The six phases are
Initiation, Business Case, Study, Design Basis Scoping Paper (DBSP), Project
Proposal and Finalize FEL.
Once the objectives of the Phase are achieved, and the Decision Maker endorses
the proposed scope, schedule, and cost of the next Phase, the project is allowed
to progress beyond the Gate.
“BP” (Business Plan) or “PPA” (Project Proposal Approval) do not require a

formal decision by the Decision Maker, but do require formal approval by other
stakeholders, most notably Functional Departments. For example, Facilities
Planning Department approves BP that allows a project to enter the FEL 1 /
Business Case Phase. The PPA is another checkpoint that requires formal
approval by several stakeholders, but does not require engagement with
MC/BLC for decision making. The number of gates varies depending upon the
project’s Characterization as shown in Figure 5 - Phase and Gate Process by
Project Type.
• Type A and B projects typically have four gates
• Type C and C1 projects typically have three gates
Figure 5 - Phase and Gate Process by Project Type
5.2.3 FEL Process Detail
The FEL work process consists of 4 steps as shown in Figure 6 – Steps of an

FEL Phase/Stage.
• Phase Preparation (only at the beginning of FEL 1)
• Deliverables development according to the RAPID Matrix
• Value Assurance
• Gate

Figure 6 - Steps of an FEL Phase/Stage
5.2.3.1 Phase Preparation (only at the beginning of FEL 1)
This step is performed only at the beginning of FEL 1 and includes the
following:
1) Appointment of Project Sponsor (PS) and Integrated Project Team
(IPT)
2) Project Sponsor is appointed by the operating organization that
will own the asset/facility/system. The IPT Leader at the request
of the project sponsor is appointed.
3) Agreement on required FEL Deliverables
4) To achieve a common understanding between IPT and Value
Assurance on the required deliverables for phase.
5) Project kick off meeting
6) Lead by IPT Leader to provide overview of the projects, clarifying
roles and responsibility, identifying the date/timing for Gates and
five overview on CMS to IPT members (as necessary)
5.2.3.2 Deliverables Development by Stage/Phase
In order to achieve the objectives of each Phase, the FEL process

defines a set of Deliverables that are to be produced during that phase.
Specifically, at the beginning of each Phase, a VA plan is developed by
the IPT team and concurred by PS for the upcoming Phase (see SAEP-40).
The Deliverables developed and/or updated at each Phase cover the
key information supporting the decision at the Gate. The following
paragraphs describe the Project Phases including how FEL is assigned
with a focus on the core Deliverables of each Phase.

FEL 0 - Initiation
In FEL 0 Initiation, activities are focused on framing the Business

Opportunity, highlighting net benefits, risks and related impacts, as
well as potential synergies with other projects. At the end of this
phase, the project is introduced into the Business Plan. Cost estimate
required to support this phase is prepared by the Proponent through
working with FPD. PMOD may be consulted for validation if options
have been narrowed to a single option. Cost estimate with an accuracy
of ±60% can be issued on as needed basis.
FEL 1 - Business Case Phase
The objective of the FEL 1 Business Case Phase is to validate the

project business case feasibility, and identify a comprehensive range of
alternatives (refer to SABP-A-042 Business Case Development
Guideline). For a detailed list of project Deliverables for the Business
Case Phase including ±50% cost estimate, refer to the RAPID in
Appendix A.
Once all the FEL-1 Business Case Phase Deliverables are ready, the
Project Sponsor involves PMOD for the VA Review (refer to Value
Assurance Procedure SAEP-40 for further information on this topic)
and the Gatekeeper to schedule the Gate.
No Gate engagement is required for C1 Type projects. However, the

Value Assurance Plan and required Deliverables shall be followed.
FEL 2 – Study Phase
In the FEL 2 - Study Phase, the activities are focused on the analysis of
the project alternatives from a technical, site selection, commercial,
risk, opportunity, economic sensitivity perspective and ±40% cost
estimate. For a detailed list of project deliverables for the Study Phase,
refer to the RAPID in Appendix A.
Once all the FEL 2 Study Deliverables are ready, the Project Sponsor
involves PMOD for the VA Review (refer to Value Assurance
Procedure SAEP-40 for further information on this topic) and the
Gatekeeper to schedule the Gate. Once this Gate is passed, the project
can proceed to FEL 2 - DBSP with funds now made available to
perform studies in the DBSP phase for which PE Funds can be used,
and all other studies excluded to be funded from controllable cost as
per GI-0202.451 (Engineering Work Order Authorization for
Preliminary Engineering Preparation).

FEL 2 - DBSP (Design Basis Scoping Paper)
In FEL 2 DBSP, the objective is to freeze major scope elements and

generate a Budget Estimate (in most cases ±30%; refer to SAEP-25
Estimate Preparation Guidelines for complete details) based on the
selected alternative (definitive baselines for project scope, cost, and
schedule), resulting in a stakeholder approved DBSP. For a detailed
list of project deliverables for the DBSP Phase, refer to the RAPID
Matrix.
Once all the Deliverables are ready, the Project Sponsor involves
PMOD for the VA Review (refer to SAEP-40) and the Gatekeeper to
schedule the Gate. Once this Gate is passed, the project can proceed to
FEL 3 with funds made available as per GI-0202.451 (Engineering
Work Order Authorization for Preliminary Engineering Preparation).
FEL 3 – Project Proposal
In the FEL 3 – Project Proposal, the activities are focused on the

development of the Preliminary Engineering and execution strategy for
the frozen project scope and develop a (±10%) cost estimate prior the
finalizing FEL 3. For a detailed list of project deliverables for the
Project Proposal Phase, refer to the RAPID Matrix.
Design reviews should be performed in accordance with SAEP-14

Project Proposal in order to steer the engineering activity of the
contractor, incorporate design development, identify errors and non-
compliance with standards and specifications, and ensure stakeholders’
inputs and comments are analyzed and incorporated as needed.
This Checkpoint is referred to as Project Proposal Approval (PPA).
FEL 3 - Finalize FEL and Approve ER
In the FEL 3 Finalize FEL Phase, the activities are focused on

finalizing the evaluation of the contractor bids and the project’s
economic evaluation. For a detailed list of project deliverables for the
Finalize FEL Phase, refer to the RAPID in Appendix A.
At the end of the Phase, after all the Deliverables representing focus
subject areas of project development to the level required for the Phase
are ready, the Project Sponsor involves PMOD for the VA Review and
the Gatekeeper to schedule the Gate.

5.2.4 Gate Operation
The Gate is a decision point placed at the end of the Phase where the Decision
Maker decides the project’s readiness: proceed, re-cycle, defer or cancel. At the
Gate, Project Sponsor will present the Project readiness for progressing into the
following phase with Value Assurance recommendations to the Decision Maker
to reach an informed decision. Project Sponsor and IPT are responsible to
ensure risk analysis and mitigations are presented clearly to Decision Maker.
The Decision Maker shall be involved in all Gates according to the project
schedule. For A and B projects, Management Committee (MC) is the Gatekeeper
- for C & C1, the corresponding Business Line Committee (BLC) Gatekeeper
guidelines are applicable. If the Project Sponsor and/or IPT decides to not engage
with MC) / BLC for cause and not in line with prescribed guidelines, it is required
to follow the waiver requirements procedure as per SAEP-302.
Note: Decision Maker is represented by the Management Committee for A - and
B-type projects, by the Business Line Committee for Upstream and
Downstream C- and C1-type projects.
5.2.5 Gate Process
Gate Preparation
The Gate preparation process is a set of activities that ensure the proper scheduling
of the meetings and defines the timeline for the development of the necessary
documents. The project’s milestones to be reached at the end of each phase are
defined at the beginning of that phase. The setting of the milestones schedule must
take into account the necessary involvement of management at the Gate and the
necessary time to prepare for the gate including the time for the Value Assurance
Review.
The milestone schedule constitutes an input for the Gatekeeper to define a

preliminary date for the gate meeting. The phase-specific project’s deliverables
are produced during the phase. The IPT prepares the FEL Phase Deliverables
Package (PDP) and shares it with the Project Sponsor that:
• Involves the Value Assurance
• Informs the Gatekeeper
• The IPT prepares the phase brief and presentation and shares it with the
Project Sponsor.
After the development of the required Deliverables, the Gate preparation process
proceeds with the following steps:
• The Project Sponsor submits a request to the Gatekeeper to start the Gate process
including the phase brief and presentation and the Assurance Review Report.

• The Gatekeeper evaluates the maturity of the project brief/presentation and

performs one of the following actions:
o Requires more development/work to the Project Sponsor and/or to the
Assurance Review Team Leader.
o Submits a request for a Gate meeting to the Decision Maker.
The Gatekeeper submittal includes:
▪ Basic Project information
▪ Readiness statement
▪ Proposed agenda for the Gate
Note that in case of disagreement among the Project Sponsor and the Assurance
Review Team, the disagreement is addressed as follows:
• First, being sent to the Gatekeeper who verifies their maturity (but who is
not in charge of deciding on the disagreement)
• Finally, sent to the Decision Maker who will decide on it
Gate Execution
The Gate execution is articulated into the following steps:

• The Gatekeeper, once received confirmation on date and place of the Gate
meeting, informs the participants of the meeting:
o Decision Maker
o Project Sponsor, who informs the Project Leader
o Assurance Review Team Leader, if the Gatekeeper considers his
presence at the Gate meeting as necessary (in particular in those cases
where Project Sponsor and Assurance Review Team don’t reach an
agreement on the analysis / recommendations)
o Additional participants can be defined according to project
characteristics and status
• The Project Sponsor presents the document
The decisions made during the meeting by the Decision Maker are tracked in
to the Gate Outcome Report which is managed by the Gatekeeper. In Table 2
below, see explanations of the objectives and presentation framework at
each gate.
Table 2 - Gate Objective and Presentation Framework
Objective Presentation Framework
Project economical, commercial and Project drivers, feasibility and alignment
Gate 1 technical feasibility assessments are with business strategy.
completed. In addition, a complete and
exhaustive range of viable options / List of all viable opportunities (options)

Objective Presentation Framework

alternatives are identified in FEL 1. Value Assurance Review outcome
(recommendation and finding) *
Complete all studies required to thoroughly
analyze all options /alternatives to guide
selecting the most optimal option/alternative.
Once this Gate is passed, the project can
proceed to FEL 2 - DBSP with funds now Options definition and evaluation.
GAS/Gate made available to perform studies in the
2 Study Value Assurance Review outcome
DBSP phase for which PE Funds can be
(recommendation and finding)*
used, and all other studies excluded to be
funded from controllable cost as per
GI-0202.451 (Engineering Work Order
Authorization for Preliminary Engineering
Preparation).
Approved DBSP
(Gate Approval needs approved
DBSP and ±30% Cost Estimate from
PMOD, level II schedule, changes of
Ensure the definition and approve the Design
the project scope, cost, and schedule
Basis Scoping Paper (DBSP) by all
baselines in comparison with FEL 2 /
Gate 2 stakeholders (to freeze the scope).
Study, list of major novated items that
DBSP Once Gate is passed, the project can require fund before ERA)
proceed to Project Proposal with funds made
Target setting and Benchmarking (refer to
available as per GI-0202.451. SAEP-26 Capital Project Benchmarking
Guidelines)
Value Assurance Review outcome
Approved PP (including ±10% PMOD
endorsed cost estimate, level III schedule,
any changes in project scope, cost and
schedule baselines, status and
Ensure the Project Proposal (PP) is breakdown of released preliminary
approved by all stakeholders including the engineering fund).
Gate 3
execution strategy and readiness to
Target setting and Benchmarking (refer to
authorize the fund.
SAEP-26 Capital Project Benchmarking
Guidelines)
Value Assurance Review outcome
*Refer to SAEP-40 for the VA requirements and report.
5.3 Roles and Responsibilities in the FEL Process
FEL involves the following key roles:

• Project Sponsor (PS)
• Integrated Project Team (IPT)

• Value Assurance Team (VA Team)

• Gatekeeper
• Decision Maker
• Functional Organizations/Departments
Project Sponsor (PS)
The Project Sponsor has the overall responsibility for meeting the project’s business
objectives and for maximizing the potential value of the capital investment. The Project
Sponsor will drive the needed discipline to properly plan and execute the project.
During FEL, the Project Sponsor provides directions to the Integrated Project Team (IPT),
and in case of disagreement interacts with Function management in order to resolve the
disagreement. The Project Sponsor is also responsible to start the Gate process, as well
as engage the Decision Maker during the Gate approval. The role and responsibilities
of the Project Sponsor is discussed in detail in the Project Sponsor Manual.
Integrated Project Team (IPT)
The Integrated Project Team (IPT) is a temporary entity composed of a Project Leader
and members who have the skills, talents, knowledge, and expertise needed to
efficiently and effectively plan, develop, execute, and deliver Saudi Aramco projects.
IPT members from various functions are identified to support progressive project
development and completion, under a unified leadership (Project Sponsor and Project
Leader), with a focus on promoting alignment toward meeting project objectives and
ensuring progressive development of the project toward achieving its set target and
goals. The Project Leader is appointed at the beginning of the project FEL 0 Phase by
Facilities Planning Department (FPD) up to Gate 2/DBSP Phase and by the
Construction Agency afterwards.
The IPT is composed of members formally appointed by the Functional Organizations/

Departments, who represent the stakeholders involved in the project delivery. The home
Functional Organizations/Departments provide required support and guidance to their
actively engaged representatives in the IPT, and function-specific endorsement and
controls on deliverables as required. Functional Organizations/Departments provide
standards, procedures and guidelines for the IPT members to comply with.
Additionally, they are responsible to develop and manage the resources in their own
professional disciplines by building functional knowledge and experience base.

Furthermore, Functional Organizations/Departments must develop and implement

internal policies and procedures to set clear expectations and requirements for their
assigned IPT members.
IPT Leader:
• Lead the IPT day-to-day activities
• Define which deliverables are in house and which are contracted to
GES+/Contractor/PMC
• Schedule regular meetings with the Project Sponsor and the IPT members and logs
meeting minutes
• Identify IPT membership and organizational requirements for each of the phases
and define their roles and responsibilities by developing a matrix and description
• Establish clear stakeholder and Functional Organizations Interface Plan for each
phase to be aligned with team continuity and coherence
• Lead and direct project planning and execution efforts
• Manage and maintain project objectives in line with the project targets and business
case objectives
• Should ensure project readiness for Value Assurance by completing all applicable
deliverables with authority signatures as per the RAPID
• Develop and manage project milestones and dates for each of the project phases and
integrate project components
• Monitor variances and manage deviations from the agreed scope, cost, and schedule
and obtain approval at appropriate level of escalation
• Ensure compliance to relevant procedures and standards and obtain any waiver if it
is required according to the project specifications upon and agreement with the main
stakeholder
• Work with the Value Assurance Leader and Project Sponsor to close findings
• Develop folder for deliverable and updates/changes traceability with version control
• Manage project specific deliverables and ensure their quality, consistency among all
deliverables, and early reviews and sign off by stakeholders as per the RAPID
• Functional Control Activities to be conducted to fulfill the project requirements, risk
management and mitigations
• Ensure the project alignment based on target setting as agreed with Project Sponsor
as defined in the project charter
IPT:
• Develop project scope, cost and schedule
• Meet project objectives with optimum cost, schedule, and quality
• Comply with company standards, procedures, guidelines, and GIs

• Provide planning, execution, and technical support

• Support timely decision making by the Project Sponsor and Decision Maker
• Develop the project deliverables according to the RAPID and in compliance with
relevant underlying SAEPs and SAES. Also, apply best practices when applicable
• Engagement on day-to-day activities based on the project requirements
• Represent and Coordinate between Functional Organization/Department and Project
team
• Ensure Senior Operations Representative decides on the ORP as a key constituent of
all operational elements of the project, e.g., commissioning planning, startup
planning, etc.
• Safety-related aspects of the project and develop project and phase specific safety
procedures to be followed by the contractors
• Ensure the procurement of materials and equipment for the project as per the
accepted corporate materials procurement policies and procedures as defined by the
Procurement and Supply Chain Management
• Provide technical input on environmental compliance of selected deliverables
• Ensure the project maintains conformity to the accepted corporate contracting
policies and procedures as defined by the Contracting Department at appropriate
project development stage
• Ensure Inspection, Quality Assurance and Quality Control procedures are defined
and followed by contractors, and ensure inspection of materials and equipment
during delivery and acceptance
• Perform cost analysis and establish financial controls for monitoring reimbursable
contract costs on materials procurement, project design, and construction
Value Assurance Team (VA Team)
Value Assurance is a process aimed at ensuring that the project maintains or improves
its value, identifying projects weaknesses and providing recovery plans as appropriate.
It is performed through Value Assurance (VA) Reviews by VA Teams. The roles and
responsibilities of the VA Process is discussed in detail in the VA Manual (SAEP-40).
Gatekeeper
The Gatekeeper verifies project’s readiness for Gate engagement to present the project’s
overall development status and findings to the Decision Maker. The Gatekeeper also
assesses the completeness of the decision support package submitted by the IPT,
according to Table 2 Gate Objective and Presentation Framework. The Gatekeeper
assessment is based on:
• Value Assurance Review is conducted
• Project’s Brief and Presentation submitted in accordance to Management

Committee Gatekeeper Presentation Submittal and Outcome Report Guideline for

Types A & B Capital Projects.
Note: For types A and B projects, the Gatekeeper is the Admin Area Head of Corporate
Planning. For types C and C1 projects the Gatekeeper is the designated
secretary for the Business Line Committee.
Decision Maker
The Decision Maker (MC or BLC) decides if the project shall progress to the next
Phase based on the Project Sponsor’s presentation, Value Assurance recommendation
and discussion at the Gate engagement.
Functional Organizations/Departments
The Functional Organizations/Departments are essential stakeholders supporting the

project. The Functional Organizations/Departments provide required support and
guidance to their actively engaged IPT representatives, with function-specific
endorsement and controls on deliverables as required. Functional Organizations /
Departments will also develop standards, procedures and guidelines for the IPT
members to comply with, and develop and manage the resources in their own
professional disciplines by building a functional knowledge and experience base.
Moreover, Functional Organizations/Departments are responsible for providing support

to IPTs through services and selected activities in cases where IPT members may not
have the required specific subject matter expertise. In all cases, IPT members may
request specific technical input from Functional Organizations/Departments calling
upon their expertise and knowledge to be able to perform a detailed analysis and draft a
well-founded recommendation. While the Functional Organization/Department is
responsible to provide support as required, this is not a shift of accountability, as the
IPT remains fully responsible for the project results.
Functional Organizations/Departments are responsible for preparing and retaining a

competent and ready pool of Project Leaders and IPT members as well as continuously
fostering the knowledge related to their own area of activity. Functional Organizations /
Departments must ensure their practices are in line with international industry best
practices, and their knowledge base is continuously strengthened by codifying lessons
learned from projects. Functional Organizations/Departments also need to ensure their
resources are well-equipped to apply the developed knowledge on projects and to provide
high quality input to Deliverable development. Furthermore, Functional Organizations /
Departments must ensure that internal policies and procedures are in place in order to
set clear expectations and requirements for their assigned IPT members.
IPT members are empowered to highlight to their Functional Department any unresolved
conflict/disagreement between project requirements and the internal standards and
procedures of Functional Department early in each FEL phase. Also, IPT members have
to be in line with the RAPID matrix roles and responsibilities with full engagement with

their Functional Organization.
Moreover, it is essential Functional Organizations/Departments minimize changes /

turnover in assigned IPT members to ensure the stability of projects and optimal
outcomes. Functional Organizations/Departments are required to notify the IPT Leader
/ PS for any changes in IPT staffing with clear justification.
Functional Organizations/Departments manage performance through the annual

evaluation of their resources and maintaining appropriate systems to ensure that the
resources’ performance as members of the Integrated Project Team is reflected in the
evaluation. The Functional Organizations/Departments represent the core of the capital
project planning and execution process. The involvement of the Functional
Organizations / Departments in the capital project process can be summarized in the
following responsibilities:
• Management of project portfolio
• Direct involvement in individual project activities and deliverables
• Development and management of guidelines, procedures, standards, and knowledge
• Management of the resources in the professional disciplines
5.4 Escalation Process
The IPT members are expected to develop the project deliverables in a timely manner
and an effective way. However, IPT members may encounter situations where a
conflict/disagreement arises that cannot be resolved within the IPT. Below is the
Escalation Process to be followed (see Figure 7 - Escalation Process).
• In case of conflict/disagreement, for example between the project requirements and
Functional Organization/Department standards and procedures, IPT member shall
highlight the issue to IPT Leader.
• If the IPT Leader agrees and resolves the dispute to the satisfaction of the IPT
Member’s Functional Organization/Department, the changes are documented in
written form (which may take the form of, but not limited to email, letter, etc.) and
the item is closed.
• If the IPT Leader does not resolve the disagreement; then, the IPT member should
communicate the issue to his Functional Organization/Department. If the dispute is
resolved to the satisfaction of the Functional Organization/Department, the changes
are documented in written form (which may take the form of, but not limited to
email, letter, etc.) and the item is closed.
• If the issue in question is within Technical Services Functional Organizations, the
issue shall be routed accordingly within Technical Services for resolution.
• If Functional Organizations don’t resolve the disagreement, than the issue is
escalated within the Technical Services Business Line up to the Business Line
Head, if necessary.

• If the issue is outside of Technical Services’ control, then the Project Sponsor shall
be engaged to facilitate resolution.
• If the Project Sponsor disagrees with Technical Services’ position or otherwise the
issue cannot be resolved, then the issue will be presented to the Decision Maker
(MC or BLC) for evaluation and a decision.
Figure 7 - Escalation Process
5.5 IPT Leader Participation and Transition
The Project Leader from FPD leads the project from the beginning of the project life
cycle to the end of FEL 2/DBSP Phase since the primary responsibility of FPD is to
develop and freeze the scope. After FEL 2/DBSP Phase is completed, the Project
Leader from Construction Agency leads the project in FEL 3 phase until completing the
Execution Phase. Both project leaders must work in a focused and continually
coordinated manner in order to meet the targets agreed with Project Sponsor.
The distribution of responsibilities is based on the skills needed to develop FEL 2/DBSP
Phase required deliverables. To ease the transition, Construction Agency representative
from either Project Management or Proponent have to be assigned during the FEL 2 /
Study Phase to become integrated with the project and begin detailed project planning
since an engineering contractor is engaged to develop the FEL 2 deliverables.
The Construction Agency representative who shall become IPT Leader in subsequent

Phases 3 shall be sufficiently integrated and knowledgeable of Project critical success

factors and issues in order to ease and optimize the leadership transition.
The project leader from FPD remains as part of the IPT after FEL 2/DBSP providing
the required continuity of information and interfaces to the project, together with the
Construction Agency project leader during FEL 3/construction phases and throughout
the project lifecycle.
5.6 IPT Structure across Project Phases
The IPT concept is designed to assemble the required skills and competences to carry
out the FEL Process on each project. For this reason, the composition of the IPT
evolves across the Phases of the FEL Process, as needed and requested by the IPT
Leader, to ensure that the most appropriate competencies are available in each Phase to
perform the required activities and produce the prescribed deliverables.
The Continuity of the Project Sponsor, IPT leader and IPT Members play an essential role
in the execution of the project to be effective and efficient. It is essential that Functional
Organizations/Departments minimize changes/turnover in assigned IPT members in order
to ensure the stability of projects and optimal outcomes. Functional Organizations /
Departments are required to notify the IPT Leader/PS of any changes in IPT member
assignments with clear justification.
Figure 8 - IPT Structure across Project Phases
5.7 Post Funding
TBD

Appendix A - RAPID Matrix and Role Definition

Note: Print format (A3) RAPID can be accessed via dedicated link.


Appendix B - Gatekeeper Submittal Example

Doc. Nr. Rev. Page
Gatekeeper’s Name: Decision Maker Names:
Project’s Name: Date:
Project Sponsor Name: Project Leader’s Name:
Is the Project brief available?

Yes No
Is the Project presentation available?

Yes No
Are Project contents properly developed to proceed with the gate meeting?
Yes No
Is Assurance Review Report available?

Yes No
Is Assurance Review Report content properly developed to proceed with the gate meeting?
Yes No
Are there major misalignments among Project Sponsors and Assurance Review Team?
Yes No If yes, read the following summary:
Is the Project ready to proceed with the gate meeting?

Yes No
Comments:
Gate Meeting – Proposed Date

Gatekeeper’s Signature

Appendix C - Gate Outcome Report Example
Doc. Nr. Rev. Page
Gatekeeper’s Name: Decision Maker Names:
Project’s Name: Date:
Project Sponsor Name: Project Leader’s Name:
Section 1 –Topics checklist
Is the opportunity to be pursued?
Yes No Comments:
Are potential synergies with other projects identified?
Yes No Comments:
Is the proposed staffing adequate for the next Phase?
Yes No Comments:

Date Doc. Nr. Rev. Page
Section 2 – Gate Outcome
Proceed Rework On-Hold Kill
Motivation:
Specific decisions made at the gate
Decision Follow-up Action
Gatekeeper’s signature:
Decision Maker’s signatures:

Document History
21 April 2020 Editorial revision. Changed contact person, added Section 2 (Conflicts and Deviations),
replaced CPED with PMOD, and removed trademark on RAPID®.
18 December 2018 New Saudi Aramco Engineering Procedure that governs the Capital Management System
(CMS) project delivery process across the project lifecycle from Initiation to Execution,
Stage, and Gate controls and the process for amendments to roles and responsibilities
through the RAPID Matrix.

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Engineering Procedure

SAEP-17 21 April 2020

Previous Revision: 18 December 2018 Next Revision: 18 December 2021

Saudi Aramco: Company General Use

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Figure 1 - Overview of the CMS

These CMSEEs are:

PXP is a multi-organizational, forward-looking assessment of the company’s 3-Year

Project Sponsor (PS) and Integrated Project Team (IPT)

The Project Sponsor (PS) is appointed by the Proponent organization, and is

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Front End Loading (FEL)

Front End Loading involves developing sufficient strategic information to allow

Target Setting (TS)

Value Assurance (VA)

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1.4 RAPID Matrix

2 Conflicts and Deviations

The latest edition of the applicable reference documents shall be applied:

3.1 Saudi Aramco Documents

Saudi Aramco Engineering Procedures

Saudi Aramco General Instruction

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Saudi Aramco Best Practice

Saudi Aramco Manuals and Codes

3.2 Industry Codes and Standards

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Business Objective: The purpose of the proposed project.

Figure 2 - RAPID Role Definitions

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The descriptors of each role in the RAPID methodology are:

5 Stage and Gate Process

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Figure 3 - RAPID Governance Process

5.2 Front End Loading

5.2.1 Definition and Objective

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Figure 4 - Stage, Phase, and Gate Process

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Stage Phase Objective Main Activities

5.2.2 FEL Structure

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“BP” (Business Plan) or “PPA” (Project Proposal Approval) do not require a

Figure 5 - Phase and Gate Process by Project Type

5.2.3 FEL Process Detail

The FEL work process consists of 4 steps as shown in Figure 6 – Steps of an

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Figure 6 - Steps of an FEL Phase/Stage

5.2.3.1 Phase Preparation (only at the beginning of FEL 1)

In order to achieve the objectives of each Phase, the FEL process

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