INTERNAL AUDIT CLAUSE/ INTERNAL AUDIT

No. COMPLIANCE SELF-REVIEW REQUIREMENT/ COMPLIANCE

ATTRIBUTE SELF-REVIEW REQUIREMENT

Is the auditee familiar and aligned

ID Quality Manual, Policy and
1 with Quality Manual, Policy and
Objectives Objectives?

1. Is the auditee familiar with the

Control of documents/records
Procedures?

2. Is documents reviewed and

approved?

Control of Documents and

2 Records

3. Is documents/records
identified, stored and protected?

4. Is the obsolete documents

identified?
 5. Is the external documents
controlled?

6. Is the latest version of the

documents available at the point
of use?

7. Is record retrievable?

8. Is the retention Period of

records are defined

1. Is the responsibility and

authority of auditees are
described and identified?

3 Responsibility and Authority

2. Is the responsibility and

authorities are communicated.

Is internal/external
4 Internal/external Communication Communication described and
effective?

1. Is auditee prepare schedule for

management review?

5 Management Review Meeting 2. Is management review meeting

conducted as per the agenda?

3. Are the decisions recorded from

management reviews?

1. Is auditee prepare plan for

training of their employees?

Competence, Awareness and

6 Training
 2. Is auditee implement the plan
Competence, Awareness and of trainings effectively?
6 Training

3. Is the records for training, skills

education and experience are
maintained?

Is auditee provide proper

Infrastructure and Work
7 infrastructure and safe work
Environment environment?

Is service requirements are

Determination and Review of defined?
8 Requirements related to services
Is auditee meet the defined
requirements

Is service confirms to specified

purchasing requirements

Purchasing process and

9 information Is the control of supplier is
effective

Is the criteria for evaluation and

revaluation of supplier is
developed

Is auditee maintain the

information of supplier

Is supplier approved
 Is auditee establish and
Verification of Purchased Product ensure thenecessary
implement activities to
10 purchased product
meet requirements.

Is the information of service

available
11 Control service provision
Is auditee plan and controlled
service provision?

Is identification and traceability

12 Identification and traceability controlled by auditee

Is audity identify, verify and

13 Customer Property protect customer property

Is auditee maintain appropriate

14 Preservation of Product preservation requirements for the
product effectively

Is auditee ensure that monitoring

Control monitoring and
15 and measuring equipment are
measuring equipment's controlled
 Is auditee ensure that monitoring
Control monitoring and
15 and measuring equipment are
measuring equipment's controlled

Is auditee establish method to get

16 Customer Satisfaction customer satisfaction?

1.     Is there a documented procedure

defining the responsibilities and
requirements for planning, conducting
and report the result of internal audit?

17 Internal Audit

2.     Is there any Internal Audit

conducted?

1.     Is auditee establish/implement

method for Monitoring and
Measurement of Processes/ Services?

Monitoring and Measurement of

18 Processes/ Services

2.     Is the method of Monitoring and

Measurement of Processes/ Services
is effective?
 Is there a documented procedure
defining the Controls and related
19 Control of Nonconforming Service
responsibilities and authorities for
dealing with a nonconforming service?

20 Analysis of Data Is auditee conduct analysis data?

 Is auditee has effective control
21 Continual Improvement
improvement and how they handle it?

Is there a procedure to prevent

22 Corrective Action
the recurrence of

Is there a procedure to prevent the

23 Preventive Action recurrence of potential
nonconformities?

LEGEND FOR ACRONYMS

A Accepted
OBS Observation
 Check points for PID PID Status PID Remarks

1)Is PID familiar and aligned with ID QMS ID QMS Manual is not
OBS
manual circulated to PID

ID Policy is not circulated

2)Is PID familiar and aligned with ID Policy OBS to PID

Objectives are not

3)Is PID familiar and aligned with ID Objectives OBS circulated to PID

1. Is the PID familiar with the Control of PID is aware about the
A
documents/records Procedures? Inspection Transmittal log

Verified by checking the

2. Is documents reviewed and approved? A transmittal log for each
projects.

3. Is documents/records identified, stored and

protected?

4. Is the obsolete documents identified?

Retention period of LBE

books, EIL signed copy ,
OBS RFI log, LBE log are not
defined
 Retention period of LBE
5. Is the external documents controlled? books, EIL signed copy ,
OBS RFI log, LBE log are not
defined
6.Is the latest version of the documents
available at the point of use?

7. Is record retrievable?

8. Is the retention Period of records are defined

PID should review SAEP-

1.1. Is the PID familiar with Inspection coverage A 1150 regularly and keep
as per SAEP 1150 updated.

1.2. Is the PID is familiar with all related work PID is familiar with WI-09
OBS
instruction and WI-10 only
PID should review
1.3. Is the PID is familiar with Schedule Q A Schedule Q regularly and
keep updated.

2.1 Is the responsibility and authorities are All detailed in SAEP-1150,

A
communicated. WI, SAEP-381, etc..

Organization chart is not

2.2 Is the Organization chart is available OBS circulated to all PID

Frequency and day of

1.Is internal Communication described and meeting is not fixed.
OBS
effective? Random meeting has
been carried out

Weekly meeting with

2.Is external Communication described and A contractor, QMIS,
effective? WS,NCR,CRM

1. Is auditee familiar with Contractor's Once in every 6 months

management review? A as per Sch Q

2. Is management review meeting conducted as Verified with submitted

per the agenda? A reports

3. Are the decisions recorded from management Verified with submitted

A
reviews? reports

1. Is auditee prepare plan for training of their NC

employees?
2. Is auditee implement the plan of trainings NC
effectively?

3. Is the records for training, skills education and NC

experience are maintained?

1.Is auditee provide proper infrastructure and NA

safe work environment?

2.Is PMT safety officer/Loss prevention reviewed To be verified with

OBS
the yard for safety or security concerns? SAPMT

3.Is Safety procedure approved by SAPMT safety To be verified with

OBS
officer SAPMT
4. Is SAPMT /Safety coordinator provided To be verified with
Contractor with copies of the safety OBS
booklets(check list) SAPMT

Is PID provided with required standards , A

procedures, SOW, international standards

Is PID is aware about the construction and A

design requirements

N/A N/A

N/A N/A

N/A N/A

N/A N/A

N/A N/A

N/A N/A
 PID is aware about the
1) Is PID is aware whether the contractor material receiving and
procedure for the verification of the purchased A handling procedure that
product is approved was in line with Aramco
requirements

PID is ware about the

1) Is PID is aware of requirements to be verified requirements to be
while doing the inspections of purchased A verified while performing
products the inspection of a
purchased products

1) Is PID is aware about the characteristics of the Verified with Scope of

A
product work

2) Is PID is aware about the instruments/tools A

required to perform the inspections

Verified with Contractor

1) Is PID is aware about the requirements need procedure for material
to verify inline with identification and A traceabilty and
traceability identification

PID verified PMT transfer

2) Is PID is aware about the requirement need to letter, while performing
ensure while transferring of material from A the material receiving
different project inspection

NA
NA

PID is aware about SAEP-

1) Is PID is aware about the preservation A 385 & Preservation
requirements procedure

2) Whether the PID is verifying the Preservation PID is maintaining the

A
logs preservation log

1) Is PID is aware about the procedure for PID is aware about the
control of monitoring and measuring A requirements of control
equipment's of monitoring

PID is verifying the

2) Is PID is verifying the calibration logs A calibration log
 PID is verifying the
3) Is PID is verifying the calibration frequency A calibration frequency as
per Schedule Q

16.1 Is Company receiving the Customer satisfaction To be verified with

survey from contractor as per Schedule Q OBS
requirements
SAPMT

16.2 Are the Customer satisfaction survey question To be verified with

sufficient enough for gathering correct data to asses OBS
the customers satisfaction
SAPMT

Verifying the availability of procedure for conducting Internal Audit procedure

OBS
Aramco internal audit is not circulated to all PID

Reviewing the results after conducting Aramco internal Internal Audit results is
OBS
audit not circulated to PID
PID is aware that
Verifying if the contractor is conducting internal audits
as per schedule Q requirements
A contractor is conducting
internal audits

Are the audits executed by quality system auditors

(qualified in accordance with Attachment I of this
Schedule "Q") not directly responsible for the area A
being audited, or by a COMPANY
approved third party agency.

PID attended only once

and one member only
Has PID representatives attended any of the out of a team of 8
OBS
conducted internal audits members & not usually
circulated to PID
representatives

Is PID aware of the contractor's established a quality

plan that includes suitable measurement methods to
evaluate the ability of the process to achieve planned
A
results?

Is PID evaluating & monitoring LBEs issued on

Contractor, reviewing established methods for A
Monitoring and Measurement of Processes?

Verification of effectiveness of Monitoring and

Measurement of Processes/ Services
A

Is PID evaluating & monitoring Contractors

improvement if any
A
PID to verify if contractor established a quality
plan quality Plans procedures to prevent inadvertent Contractor procedure #
use of design documents, materials, parts, A
components, services or workmanship not conforming
QAS-205
to requirements of the Contract?

Are the contractor quality plans require the

identification and documentation of all A
nonconformities and corrective actions?

PID to verify if the CONTRACTOR has control of

CONTRACTOR and subcontractor supplied materials
and fabricated assemblies that
A
do not conform to requirements of Schedule "Q":

Is PID following the Escalation process asp per SAEP-

381
A

PID to verify if the contractor is providing a monthly

Quality Management Report?
A

PID to verify i the contractor's monthly Quality Management review is

Management Report includes Design and OBS
Procurement Phase Items?
not circulated to PID

PID to verify i the contractor's monthly Quality Management review is

Management Report includes Construction Phase OBS
Items:?
not circulated to PID
Has Company agreed with contractor on Additional PID to circulate if such
requirements for monthly reporting of Quality OBS
Improvements?
agreement is in place

PID to verify the procedure is submitted by

contractor ?
A

PID to verify the effectiveness of the corrective actions

procedure ?
A

Contractor Failed to
PID to verify if the contractor is investigating the root provide once and issued
cause of nonconformities and initiating Corrective
Actions to prevent recurrence of nonconformities
OBS standard violation in
maximum seven (7) days of the issue date? Slipover projects (LBE
#13)

PID to verify the procedure is submitted by Contractor procedure #

A
contractor ? QAS-204

PID to verify if the preventive action procedure

describes the requirements for evaluating the need for Not very clear and
actions to prevent occurrence of OBS
non-conformities and the Implementation of applicable
precise
Lessons Learned ?

NA Not Applicable
NC Non Conformance

PID Action items
> Obtain and share ID QMS Manual to all Quality Manual and PQP
PID
> PID will conduct presentation for ISO Policy
290001
> PID should aware about procedures to 1.Does Contractor has procedure for Control of
be submitted as per Schedule Q
PID should keep monitoring approval
status of the submitted procedures
Contractor
Check points for Contractor status
1)Is Contractor's auditee familiar and aligned with
2)Is Contractor's auditee familiar and aligned with
3)Is Contractor's auditee familiar and aligned with
Objectives
documents/records
2.1 Are PQP and ITP approved?
2.2 Is SPP-Field engineering change control
procedure approved?
2.3 Is SPP-Welding procedure approved?
2.4 Is SPP- NDT procedure approved?
2.5 Is SPP- PMI procedure approved?
2.6 Is SPP- Heat treatment and associated hardness
test procedure approved?
2.7 Is SPP- Hydro static pressure testing procedure
approved?
2.8 Is SPP- Valve testing and installation procedure
approved?
2.9 Is SPP- Coating & Lining
2.10 Is SPP- Gasket Installation and bolt tightening
procedure approved?
2.11 Is SPP- Gap control procedure approved?
2.12 Is SPP- RTR pipe work procedure approved?
2.13 Is SPP-E& I procedure approved?
3. Is documents/records identified, stored and
protected?
4. Is the obsolete documents identified?
 5. Is the external documents controlled?

6.Is the latest version of the documents available at

the point of use?

7. Is record retrievable?

8. Is the retention Period of records are defined

1.1 Is the responsibility and authority of auditees

are described and identified

PID shall collect remaining working 1.2 Is the QAQC personnel familiar with Schedule Q
instructions

2.1 Is the responsibility and authorities are

communicated.

FPIU Abu Dhabi organization chart should 2.2 Is the Organization chart is available
be circulated.

PID should conduct regular internal 1.Is internal Communication described and
communication weekly. effective?

2.Is external Communication described and

effective?

1. Is auditee prepare schedule for management

review submitted the notification

2. Is management review meeting conducted as per

the agenda?

3. Are the decisions recorded from management

reviews and report submitted to the Company

1. Is auditee prepare plan for training of their

employees?
 2. Is auditee implement the plan of trainings
effectively?

3. Is the records for training, skills education and

experience are maintained?

1.Is auditee provide proper infrastructure and safe

work environment?

2.Does Contractor full aware with chemical

> PID should obtain and aware about the hazardous bulletin requirements(CHB), HAZCOM
Saudi Aramco Construction Safety labels and MSDS
Manual
3.Does Contractor provided nurse with CPR and first
aid certificate, clinic and Ambulance

4. Are employees wearing proper PPE

Whether the contractor is preparing the

Engineering data based on the applicable design
requirements
Whether the contractor is complying with
construction and design code requirements
Whether the contractor is placing the P.O inline to
N/A purchase a product from supplier in order to meet
the requirements

Whether the contractor is having approved ITP

which includes appropriate Quality requirements in
the ITPs.
N/A Each ITP shall identify, as a minimum the inspection
level and detail all
witnesses, hold and certification
review

Whether the contractor has submitted for

Company's review and approval all supplier and
N/A sub-supplier
procedures for all the activities.

Whether the contractor is developed and carried

N/A out the evaluation and revaluation of supplier, prior
to placing the order.

Whether the contractor is maintaining the

N/A information of the approved suppliers.
Whether is contractor is maintain the approval
N/A records of the suppliers
Is the contractor is having the approved procedure
for the inspection of the purchased products

Whether the contractor who is performing the

material inspection is aware about the
requirements, while performing the inspections.

Whether the Inspections are based on P.O &

Technical delivery condition (TDC) in order to meet
the requirements

4) Is the contractor assigned procurement engineer

inline to perform and coordinate all the inspection
activities
1) Is the contractor is able to describe the
characteristics of the product
3) The contractor is having all the required
inspection instruments and tools for performing the
inspections

Whether the contractor is having the approved

document inline with identification and traceability

What all are the records that are maintained inline

while transferring the material from one project to
another project

NA
NA

1) Whether the contractor is having the approved

preservation procedure

2) Whether the contractor is maintaining the

preservation log which was mentioned on the
procedure
3) Whether the contractor has included the record
of identification, receipt, and issuance of the
material
1) Whether the contractor is having the procedure
for control of monitoring and measuring
equipment's

2) Whether the contractor is maintain a log of all

testing, measuring and inspection equipment
calibration status and expiry date.
 4) Whether the contractor is performing the
calibration as per the company standards and
requirements

Is contractor conducting the Customer satisfaction

N/A survey as per Schedule Q requirements

Is the contractor evaluating COMPANY assessments,

N/A Nonconformance
Reports (NCR) and Inspection Log entries.

Provide the required procedure which defines the

responsibilities and requirements for planning,
conducting and reporting the results of the internal
audit

Are the results being timely submitted for Company

review

Is contractor carrying internal audit on

Subcontractor's

Is CONTRACTOR submitting a quality audit schedule

to the Company Representative for review and
approval within thirty (30) calendar days from the
effective date of this Contract. Is the Contractor
carrying a full quality system audits out annually,
within one month of the
anniversary date of this CONTRACT?

Is contractor informing company of internal audit

schedule 14 days in Advance as per schedule Q

Is Contractor providing a quality plan that includes

suitable measurement methods to evaluate the
ability of the process to achieve planned results?

Has CONTRACTOR evaluated Lessons Learned from

previous projects, Concrete operations, Welding
operations, Coatings, Hydrostatic & Gravity Testing
operations as appropriate per the Scope of Work in
Schedule "B":

Is contractor taking necessary measures to

implement improvement based on past experience
outcomes and lessons learned

Is contractor monitoring the effectiveness of

measuring process, self wise?
Provide the required Plan

Are CONTRACTOR, subcontractors, manufacturers

and/or suppliers shall document all non-
conformities to Contract requirements, approved
CONTRACTOR quality plan(s), Inspection & test
plans, and procedures?

Is Contractor investigate the root cause of

nonconformities and initiate Corrective Actions to
prevent recurrence of nonconformities maximum
seven (7) days of the issue date?
Does the Contractor maintain a summary of the
open nonconformities (NCRs, Discrepancy Reports,
COMPANY Logbook entries) and submitting it at the
regular project progress
meeting?
Is the contractor responding to all non-conformities
(NCRs, Discrepancy Reports, COMPANY Logbook
entries, etc.) issued by COMPANY in writing within
48 hours of receiving notification of non-
conformance, including proposed corrective
actions?

Does contractor do the rework or repair and re-

inspect items in accordance with COMPANY
approved procedures?

Does the contractor provide Listing of quality audits

completed (internal and subcontractor), in progress,
and planned for the next month?

Does the contractor provide Status of open

corrective actions for non-conformities (NCRs,
Discrepancy Reports, COMPANY Logbook entries),
audits and management reviews?

Does the contractor provide Quality Personnel

Listing by Discipline as specified in schedule Q
Paragraph 5.11 .

Does the contractor provide Listing and status of

engineering waivers requested ?
Has contractor made self analysis on the status &
effectiveness of Quality improvements?

Provide the required procedure

Has contractor made self analysis on the &
effectiveness corrective actions procedure ?

Has the contractor establish necessary measures to

prevent recurrence of nonconformities ?

Provide the required procedure

Has contractor made self analysis on the &

effectiveness preventive actions procedure ?
Contractor Action Items Contractor Remarks

> All QAQC personnel shall

aware about the Quality
manual, PQP, Policy and
Objectives

Contractor shall list all

special process applicable to
the project
>Contractor shall aware
about the Saudi Aramco
Construction Safety Manual,
Scaffold safety handbook,
confined space reminders