A.J.P.

CONTRACT REVIEW POST AWARD REVISION 0 DATED OCT 2006

Contract Review Post Award

( QA/P101 S.Doc )

Oct.-2006 DATE

0 REVISION

M.D PREPARED BY

GS REVIEWED BY

SB APPROVED BY

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CONTRACT REVIEW POST AWARD REVISION 0 DATED OCT 2006

Table Of Contents
1. 2. 3. 4. 5. 6. 7. 7.1 7.2 7.3 8. 9. 10. PROCEDURE No. SCOPE AND PURPOSE APPLICABILITY RESPONSIBILITY GENERAL DEFINATION CONTRACT REVIEW POST-AWARD Receipt and Distribution of Contractual Documents Review of Contractual Documentation Amendments RECORDS REFERENCES ATTACHMENTS

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CONTRACT REVIEW POST AWARD REVISION 0 DATED OCT 2006

1.

PROCEDURE No.
P101S

2.

SCOPE AND PURPOSE

The Scope of this procedure is to establish guidelines for reviewing major change orders , variation orders and new documentation post award in order to ensure that A.J.P.E. are able to meet any changes in customer requirements and that schedule or cost impacts , if applicable , are considered. The purpose of this procedure is to determine the steps needed to review the contract post award and to define responsibilities and actions to be taken to address major change orders, variation orders , new documentation and any schedule or cost impacts that might result from these changes.

3.

APPLICABILITY
All Bids and contracts, all Areas , Post Award.

4.

RESPONSIBILITY
. . . . . . . Area Manager Project Manager Heads of Departments/Divisions Vice President Engineering Vice President Operations All Members of the Project Team Project Accountant

5.

GENERAL
The Project Manager and his team shall review the contract and ensure that all the elements of the contract were addressed in the proposal and that all Customer instructions and requirements have been addressed.

6.

DEFINATIONS
Contractual Documentation: Documentation embraced by the formal agreement between Organization and Customer , for the purpose of carrying out the given works. Contractual Documentation includes legal, commercial and technical documents, as well as the related correspondence.

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CONTRACT REVIEW POST AWARD REVISION 0 DATED OCT 2006

Area Accountant

7.

CONTRACT REVIEW POST AWARD

All the members of the work team , preparing or reviewing documents relevant to the preparation of the bid or contract shall initial by computer means or by hand the said document. Following the award of a contract , the Head of the Department concerned shall prepare , with the assistance of his team , an estimate cost breakdown and send it to the Area / Project Manager and Project Accountant for Guidance. On receipt of the new contract , the Project Manager shall instigate a Contract Review in order to check conformance with the Cost Breakdown and contractual documentation issued during the tendering phase and that all clarifications and exceptions have been incorporated. This Review may take the form of a meeting or may be undertaken by individual members of the Project Team reviewing the Contractual documentation applicable to their particular tasks within the Project.A Contract review performed in this manner , under the supervision of the Project Manager , will ensure that all co-ordination, technical and scheduling aspects of the Contract are identified, fully appraised and understood by the Project Personnel. The Contract review shall be documented by the completion of the contract Review Comments Form P101S-1 Primarily, the Contract technical review shall confirm the following criteria: . . . . . . Work Scope Contract Specifications Customer Philosophies Regulatory Requirements Relevant Standards and Procedures Special Precautions

If as a result of the Review , any of the above items should require clarification or amplification . The Project Manager shall inform the Customer accordingly by means of properly complied Technical Query Forms, P101S-2, and maintain the queries pending until all questions are satisfactorily answered.

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CONTRACT REVIEW POST AWARD REVISION 0 DATED OCT 2006

Receipt and Distribution of Contractual Documentation All Contractual documentation ( including commercial and technical correspondence ) received from sources shall be handled in accordance with the A.J.P.E. Quality Assurance Procedure P 102 Document and Data Control, or by Project Specific Procedures, where and when applicable. All contractual documents received shall be checked against their transmittal forms for correctness. After receipt of the documentation form the customer, the Project Manager shall delegate the task of the review to the relevant Project Personnel. Review Of Contractual Documentation The Project Personnel shall review all the documents, with respect to their conformity with the scope of work under contract, congruity with previously established design, commercial implications and Technical acceptability of any necessary additional deviations. Such deviations shall be reported to the Customer as Technical Quires , as described in the following section. Paragraph Deleted Each discipline shall maintain a file of relevant documents of their interest or shall have free access to documents, which are applicable to their Scope of Work. Amendments Any necessary deviations from the contractual documents imposed by the site conditions or incompatibilities in standards shall be reported to the Project Manager and relayed to the Client/Consultant for his review and response. A Technical Query Form, Form P101S-2 shall be used for this purpose. Upon receipt of the reply to the technical queries from Customers , a copy shall be sent to the originator and QA/QC Engineer. The Project Manager and /Planning Engineer and the Quantity Surveyor shall review the original. The Planning Engineer shall determine if the action proposed by the Customer will have a schedule impact. The quantity Surveyor shall determine the cost impact of the proposed answer to the query, if any. Should a cost or schedule impact be anticipated, the Project Manager shall send a letter to the Customer in this regard. Similarly, any necessary deviations from the contractual documentation imposed by incompatibilities in basic design , standards, codes & specifications shall be reported to the Project Manager and a Wavier request shall be sent to Customer for review and response. A Waiver Request form P101S-4 shall be used for this purpose and shall be completed with all supporting information, justification, cost & schedule impacts etc.

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CONTRACT REVIEW POST AWARD REVISION 0 DATED OCT 2006

A Technical Query Log form P101S-3 and Waiver Request Log form P101S-5 shall be regularly reviewed and updated . For major change orders or cost impact the Project Manager shall report and liaise with the Area Manager or Estimating Department. Based on the changes, the Head of the Department may initiate a new contract review. For major cost impact a report shall be submitted to management detailing the technical and commercial aspects. A Copy of the variation order will be addressed to the following : . . . . . . . . 8. Head Office Accountant Estimation Department When applicable, the Bank of revision of the value of the Performance Bond. Chief Executive Officer Vice President Engineering Vice President Operations Project Accountant

RECORDS The Project Manager with his Project Team shall ensure that proper records for the Contract Review are kept and maintained . Records shall be maintained in the Site office for the duration of the Project. Records shall be transferred to the Area Head Office after the achievement of the Project and kept for a period of Three Years.

9.

REFERENCES . . A.J.P.E. Corporate Quality Assurance Manual Procedure P102, Document and Data Control .

10

ATTACHMENTS . . . . . Form P101S-1, Contract Review Comments Form P101S-2, Technical Query Form P101S-3, Technical Query Status Log Form P101S-4, Request for Waiver Form P101S-5, Waiver Request Log

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CONTRACT REVIEW COMMENTS

Form P101S-1

Client : Contract Document Number : Part or Specification Number :

Project :

Page :

Part / Specification

Remarks

Action

Reviewed By: Name : Sign : Date :

P101S-2 ,Rev 1, Date 18-05-2003

Checked By: Name : Sign : Date : Name : Sign : Date :

Action By:

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TECHINICAL QUERY
P101S-2

Client : Technical Query No. : System : Area :

Project : Rev :

Page : Contract No. :

Discipline : Technical Query Subject : St. Steel Electrical Instruments Piping Civil Pipeline

Raised By : Signature : Date : Schedule Impact? (Y/N) Sign : Clarifications / Recommendations :

Cost Impact (Y/N)

Sign : Answer required By date :

Raised By : Signature : Date :

P101S-2 Rev. 1, Date 18-05-2003

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TECHNICAL QUERY STATUS LOG

P101S-3

Client : Date : T.Q.No

Project :

Page : Sheet : Of Follow Up Letter

Date Issued

Issued By

Reply Date

Cost Impact

Schedule Impact

P101S-3, Rev,1 Date 18-05-2003

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REQUEST FOR WAIVER

P101S-4

PROJECT : CLIENT : LOCATION : REQUEST FOR WAIVER No : SYSTEM : 1. Waiver Description : Discipline :

Date : Page : Sheet Agreement No : Area : Of

2. 3.

Schedule Impact : Project Value Impact :

YES / NO YES / NO

PROJECT MANAGER

SIGNATURE

DATE

SABTANK RESPONSE

NAME
P101S-4, Rev, 1, Date 18-05-2003

SIGNATURE

DATE

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WAIVER REQUEST STATUS LOG

P101S-5

Project : Client : Date : Waiver No Date Issued Issued By Reply Date Page : Sheet : Cost Impact Schedule Impact Of Follow Up Letter

P101S-5, Rev, 1 Date 18-05-2003