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Norway_Sub sea business 2015

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Maritime Business in Norway, Russia and France event, May 27th, 2015

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Norway_Sub sea business 2015

  1. 1. SUBSEA Norway Written by: Simen Jonassen and Henrik Dannstrøm
  2. 2. Table of Contents 1. Introduction – Norwegian Subsea 2. Subsea Industry – Operators – Contractors (Suppliers) – Sub-suppliers 3. Supply Chain – Qualified Suppliers list – Procurement Process – Order Execution Process – Invoice and Payment 4. Components 5. Procurement needs – Product list 6. Subsea Standardization – Joint Industry Project (JIP) 7. Qualification requirement – Document and Certification Requirement – HMS Certification – Traceability and Part Marking Requirement – Manufacturing Process – Quality Plan - Audits – Transportation and Packing Requirements 8. Contact Information 9. Summary and Recommendations www.finity.no
  3. 3. Introduction Norwegian Subsea • Subsea production is an essential option for field development on the Norwegian Continental Shelf. • Subsea Operators and Suppliers are fully committed, but projections indicate an increasing gap between Operators demand and the industry’s ability to supply, this will give the Finnish Industry a possibility to enter the Norwegian Subsea market. • In five years, the subsea market is anticipated to grow from around $30 billion to between $60 and $70 billion annually1) 1) Jarand Rystad, Oil Analyst and Managing Partner in Rystad Energy. www.finity.no
  4. 4. Introduction Norwegian Subsea • From 2013, the operators' subsea expenditure is forecasted to grow by an annual rate of 15%, to $115 billion in 2020. • To reach this expenditure level, operators need to continue to sanction projects. However, to put it in perspective, this growth rate is far less than the 25% annual growth during the five-year investment cycle culminating in the market high of 2008. www.finity.no
  5. 5. Introduction Norwegian Subsea • Global E&P subsea expenditures estimated to exceed 100 billion USD by 2020. Source: DCube by Rystad Energy. www.finity.no
  6. 6. Introduction Norwegian Subsea • Subsea technology has come far over the last 20 years. In most regions, subsea production systems are now considered a conventional part of offshore developments. • The first two steps toward the subsea factory - booster pumps and separation - are proven. With the first full- scale deployment of subsea gas compression just a couple of years away, the industry continues to expand the market space for subsea-related equipment and to enable future developments that may not be commercial or technically feasible today. • With a good portfolio of projects, there should be a high development activity going forward. www.finity.no
  7. 7. Introduction Norwegian Subsea www.finity.no
  8. 8. Introduction Norwegian Subsea Typical components in a subsea assembly comprise among other things connectors, metering systems, valves, valve controls,corrosion and erosion monitoring systems ans chemical injection, power distribution and communication systems. www.finity.no
  9. 9. SUBSEA INDUSTRY www.finity.no
  10. 10. Subsea Industry – Operators www.finity.no
  11. 11. Norwegian Subsea Industry - Operators • Statoil • ConocoPhillips • BP • Shell • Total • ExxonMobil - • Wintershall • MarathonOil • Others • www.statoil.com • www.conocophillips.no • www.bp.com/no • www.shell.com • www.total.no • www.corporate.exxonm obil.com • www.winthershall.no • www.marathonoil.com www.finity.no
  12. 12. Subsea Industry – Contractors (first tier) www.finity.no
  13. 13. Subsea Industry – Contractors • FMC Technologies • Aker Solutions • GE Oil & Gas • Cameron • Others • www.fmctechnologies.com • www.akersolutions.com • www.geoilandgas.com • www.c-a-m.com www.finity.no 23.03.15 Press release: FMC and Technip join forces and establish new entity Forsys Subsea. Main office in London with branches in Oslo, Houston, Paris, Rio and Singapore
  14. 14. Subsea Industry – Suppliers (second tier) www.finity.no
  15. 15. Subsea Industry – Suppliers • Kongsberg Group • Wood Group Mustang • Agility Subsea Fabrication AS • Jotne Subsea AS • NLI Subsea AS • Bandak Group • Subsea 7 • Technip • NOV • www.kongsberg.com/nb- no • www.mustangeng.com • www.agilitygroup.no • www.jotne.no • www.nli.no • www.bandakgroup.com • www.subsea7.com • www.technip.com • www.nov.com www.finity.no
  16. 16. SUPPLY CHAIN www.finity.no
  17. 17. Qualified Suppliers list • The Qualified Suppliers List (QSL) is a listing of all suppliers who have successfully undergone a Operator, Contractor or Suppliers qualification supplier process. • All Purchasers / Buyers are required to choose suppliers from the QSL when issuing purchase orders. • The QSL and the processes around the qualification is different from each company issuing it. Many qualification requirements are however similar, in the following three slides FMC is used as an example. www.finity.no
  18. 18. Qualified Suppliers list • Suppliers may use sub-contractors as part of their supply chains when they do not have the internal capability and / or capacity to provide such goods or services. Examples include the purchase of raw material, heat treatment services, NDE services, coatings, etc… • The QSL is maintained through periodic reviews and performance assessments. Supplier audits will be conducted on a new supplier and a survey or surveillance audit conducted periodically regardless of performance. www.finity.no
  19. 19. Qualified Suppliers list • The Quality Management System Audit for ISO Compliant Suppliers / Sub-contractors will be based on the ISO9001 standard and in some cases on API requirements. An ISO certification does not exclude a supplier / sub-contractor from being audited by FMC who is expected to perform regular audits of its suppliers / sub-contractors to meet its certification requirements. • Follow-up audits are performed in the same manner as Qualification Audits but are generally based upon only the parts of the audit that resulted in “Non-Conformances”. The Supplier's / Sub-contractor's completed Internal Corrective Actions will be attached to the final report as evidence. www.finity.no
  20. 20. Qualified Suppliers list FMC Technologies constantly strives to add new and innovative suppliers to its supplier base. Please take a moment to fill out an Online Supplier Registration Form which will give us general information about your organization. Your registration form will be reviewed by one of our sourcing representatives. If there is a possibility that FMC Technologies Inc. and your organization can enter into a mutually beneficial business relationship, you will be contacted to provide additional information. This is an example regarding FMC and QSL Page 1 of 15 FMC Supplier Registration Formwww.finity.no
  21. 21. Qualified Suppliers list • All Operators, Contractors and most Sub-suppliers have their own QSL. Requirements, qualifications and certifications will be different. www.finity.no
  22. 22. Procurement Process 1. Define Business Need 2. Develop Procurement Strategy 3. Supplier Evaluation & Selection 5. Induction & Integration 4. Negotiation and Award of Contract www.finity.no
  23. 23. Procurement Process • Ensure that supply chain management is tightly integrated in the planning, execution and follow-up of projects and operations • Develop, integrate and implement sourcing strategies to achieve the best contracts for the benefit of all groups through a category approach to goods and services, based on aggregated demand management, the global market position and robust analysis to minimise execution risk • Incorporate the effects of country-specific requirements for supplier development and collaboration when considering new commercial developments www.finity.no
  24. 24. Procurement Process • Base procurement on competitive bidding and the principles of transparency, non-discrimination and equal treatment of bidders • Support cost-effective procurement through simple and standardised tools, systems and work processes to ensure quality, efficiency, spending transparency and appropriate automation www.finity.no
  25. 25. Procurement Process Operate in accordance with the principle of segregation of duties, compliance and control principles, which means: • Line management is responsible for planning demand, allocating technical and operational expertise and approving recommended suppliers • Procurement entities are responsible for coordinating proactive demand, planning and executing procurement on behalf of line management, and committing us in relation to the supplier in accordance with the authority delegated from the chief procurement officer (CPO) www.finity.no
  26. 26. Procurement Process Operate in accordance with the principle of segregation of duties, compliance and control principles, which means: • Undertake internal consultation (engagement) to identify the needs and agree business needs and procurement objectives will be – External consultation, where appropriate – Existing Category Management Plan – Previous/current arrangement/s (supplier performance, contract management issues) www.finity.no
  27. 27. Procurement Process Operate in accordance with the principle of segregation of duties, compliance and control principles, which means: • Define project scope and objectives – Preliminary procurement strategy – Preliminary risk, stakeholder and change management plans – Develop business case and funding request – Have funding approved – Identify and apply requirements of relevant category management plan www.finity.no
  28. 28. Procurement Process Operate in accordance with the principle of segregation of duties, compliance and control principles, which means: • Prepare procurement strategy – Ensure authority to conduct the procurement – Consider special requirements for particular types of procurement – Consider and apply policy requirements – Consider special requirements for particular categories of goods and services – Have the procurement plan approved → the procurement plan will define the extent of each procurement (a component, a system, a service...) www.finity.no
  29. 29. Procurement Process • It is critical that throughout the evaluation process all documentation is retained and provides an acceptable audit trail to provide supporting evidence in the case of probity or litigation concerns. The level of documentation required will vary depending on the complexity and risk of the sourcing event. • The result of the evaluation process will be a ranked list of suppliers, which will lead to the creation of a shortlist of suppliers to be taken through to negotiation and contract award. • Negotiate and award contract → Read the award criteria and prepare your tender accordingly. This will increase the chance of coming out “high” on the ranking and be invited to negotiations www.finity.no
  30. 30. Procurement Process • Prepare a negotiation plan and protocol: – Identifying the key outcomes that need to be achieved through the negotiation process which may include pricing, service levels, KPIs, incentives etc. It should also include a risk assessment to ensure any risks identified during the sourcing event are managed in the final contract. – Conduct the negotiation. This involves running structured negotiations with the chosen supplier/s. In this step the negotiator will present the argument, watch for signals, make and respond to proposals, identify packaging issues and bargain. → be prepared to negotiate on various issues. Buyers often have their own KPI:s to achieve, for example to always get the price down 10% www.finity.no
  31. 31. Procurement Process • Once the negotiations are finalised and the preferred supplier/s selected, the contract can be awarded. In this step the relevant recommendation need to be prepared and approved. Contract execution should be attended to including identifying the appropriate officer to execute the agreement. → if the Work requires start-up prior to having a signed contract - signatures may take time to get in place - then ensure that costs are covered through a Letter of Intent or similar, and also check the applicable background law www.finity.no
  32. 32. Procurement Process • Disclose contract information: – Ensure supplier(s) deliver the goods or services in accordance with contractual obligations – Manage supplier performance – Manage contract administration (including price and product variations) – Manage transition and exit → technical issues may be resolved (and requested) by technical contacts, but it may require the approval of a Contracts Administrator to for example approve a Variation Order www.finity.no
  33. 33. Procurement Process Supply Management Process www.finity.no
  34. 34. Order Execution Process • Part report (DBI - Data Base Information) is a Customer Engineering document which contains information on how to meet Customers requirements for part numbers. • It is important that suppliers: – Read and review the entire Part Report to ensure that all specifications, drawings, and documents referenced are available and understood. – Review “Miscellaneous Notes,” “Engineering Notes” and “Specifications”. – Read and review drawings/models since important information can be placed as notes or comments. www.finity.no
  35. 35. Order Execution Process • Always contact the Customer if: – Information on the Part Report (DBI) is unclear. – Information appears incomplete or with mistakes. – The Part Report (DBI) does not state “END OF PART” at the end of the report. Then you do not have the complete Part Report (DBI). Try to re-print. – The Part Report (DBI), drawing or specification is not understandable. – You have doubts. Do not make assumptions; get definitive answers. – You disagree with or cannot achieve the requirements of the Part Report (DBI), drawing or specifications. www.finity.no
  36. 36. Invoice and Payment The invoice shall reflect the PO terms and conditions and shall at least include: • Invoice date and reference number • Supplier name, full address, and Tax ID Number • Contract number or Purchase Order number and Line Item • A clear description of what is billed • Net amount payable and currency of the invoice • If applicable, the milestone to which the invoice relates or all Variation Order numbers that are covered, in whole or in part, by the invoice www.finity.no
  37. 37. COMPONENTS www.finity.no
  38. 38. Components www.finity.no The subsea industry comprises a whole variety of systems and services. • Work over • Subsea drilling systems • Satellite subsea trees • Smart well control systems • Subsea manifolds • Subsea processing • Tie-in systems • Guidelines, deepwater satellite trees. Different components are used in the different systems
  39. 39. Components • In this section you will be able to understand the overall component needs of Subsea system production. We are not able to give you all products and parts, but necessary information about the complexity and massive production and products. • Subsea structures will always be in need of suppliers within: – Steel production – Cutting and assembly – Welding, piping and other crafts with necessary certification – CNC – turning and milling – Hydraulic and electrical systems – Instruments and sensors – Cables – Umbilicals – And others www.finity.no
  40. 40. Components The normal NCS subsea field developments are based on the subsea equipment being located in template structures. The template is the foundation that carries the weight and loads of the structure, and supports the wellhead and drilling activities, manifold and control system as well as the protection structure. The protection structure covers the template, manifold and the trees to protect the equipment from third party damages as e.g. dropped objects, anchors or trawl equipment. www.finity.no
  41. 41. Components A wellhead is the components at the surface or seabed of a well that provides the structural and pressure-containing interface for the drilling and production equipment. The wellhead is supported by the conductor housing, normally a 30” or 36” casing against the foundation cement and the soil. The wellhead also supports the pressure containing casings and also the production tubing when vertical trees are used. The standard size of the high pressure wellhead being used all over the world is 18 ¾”. www.finity.no
  42. 42. Components • Generally today’s subsea tree design is divided into two main concepts; horizontal trees or conventional Dual Bore trees. Due to design limitations w.r.t. production tubing size for Dual Bore trees, the focus has been on the development of new vertical trees with same production tubing bore (7” tubing) as used for horizontal trees. www.finity.no
  43. 43. Components Subsea Production Systems Examples on products, parts and drawing: • Wellhead Systems • Subsea Trees Illustrative figures of the various components can be found on www.iso.org www.finity.no
  44. 44. Components • Wellhead equipment – casing head housings – casing head spools – tubing head spools – cross-over spools – multi-stage head housings and spools www.finity.no
  45. 45. Components Wellhead equipment • Connectors and fittings – cross-over connectors – tubing head adapters – top connectors – tees and crosses – fluid-sampling devices – adapter and spacer spools www.finity.no
  46. 46. Components Wellhead equipment • Casing and tubing hangers – mandrel hangers – slip hangers www.finity.no
  47. 47. Components Wellhead equipment • Valves and chokes – single valves – multiple valves – actuated valves – valves prepared for actuators – check valves – chokes – surface and underwater safety valves and actuators – back-pressure valves. www.finity.no
  48. 48. Components Wellhead equipment • Loose connectors – weld neck connectors – blind connectors – threaded connectors – adapter and spacer connectors – bullplugs – valve-removal plugs www.finity.no
  49. 49. Components Wellhead equipment • Other parts – actuators – hubs – pressure boundary penetrations – ring gaskets – running and testing tools – wear bushings www.finity.no
  50. 50. Components Wellhead equipment • Coating • Assembly • Packing • Transport www.finity.no
  51. 51. Components Subsea Tree • Tree equipment – steelframe – steelcasing – piping www.finity.no
  52. 52. Components Subsea Tree • Tree valves and chokes – valves – valve blocks – valve actuators – chokes and choke actuators – bleed system – test and isolation valves www.finity.no
  53. 53. Components Subsea Tree • Tree system – connectors and tubing hangers – TFL wye spool – re-entry interface – tree cap – tree piping – ring gaskets – tree guide frames www.finity.no
  54. 54. Components Subsea Tree • Tree tools – tree running tools, – tree cap running tools – flowline bases and running/retrieval tools www.finity.no
  55. 55. Components Subsea Tree • Tree connectors – tree mounted flowline/umbilical connector – tubing heads and tubing head connectors www.finity.no
  56. 56. Components Subsea Tree • Tree interface and systems – tree mounted controls interfaces – instrumentation – sensors – hydraulic tubing/piping and fittings – electrical controls cable and fittings www.finity.no
  57. 57. Components Subsea Tree • Coating • Assembly • Packing • Transport www.finity.no
  58. 58. SUPPLY CHAIN – PROCUREMENT NEEDS www.finity.no
  59. 59. Procurement needs Subsea Trees manufacturers and suppliers • FMC Kongsberg Subsea • Aker Subsea • Cameron • Suppliers and sub-suppliers www.finity.no
  60. 60. Procurement needs Wellhead equipment manufacturers and suppliers • FMC Kongsberg Subsea • Aker Subsea • Wood Group Pressure Control • Cameron • Suppliers and sub-suppliers www.finity.no
  61. 61. Procurement needs Subsea products Main product groups – Auxiliary Equipment – Downhole Tools – General Supplies – Instrumentation – Materials – Production Equipment – Tubulars – Valves www.finity.no
  62. 62. Procurement needs Auxiliary Equipment Contractors: Aker Solution, FMC, GE Oil & Gas Suppliers: Agility Fabrication, NLI Group, NOV, Kongsberg Sub-suppliers: See Subsea overview – end of this chapter • Communications • Corrosion Control • Cutters - Engines • Handling Tools • Hoisting • Hydraulic Power Units www.finity.no
  63. 63. Procurement needs Auxiliary Equipment Contractors: Aker Solution, FMC, GE Oil & Gas Suppliers: Agility Fabrication, NLI Group, NOV, Kongsberg Sub-suppliers: See Subsea overview – end of this chapter • Lights • Pneumatic • Pumps • Umbilical Reels • Winches • Hydraulics www.finity.no
  64. 64. Procurement needs Downhole Tools Contractors: Aker Solution, FMC, GE Oil & Gas, Cameron Suppliers: NLI Group, NOV, Jotne, Bandak Sub-suppliers: See Subsea overview – end of this chapter • Drill Bits • Completion Tools • Downhole Motors • Fishing Tools • Jars www.finity.no
  65. 65. Procurement needs Downhole Tools Contractors: Aker Solution, FMC, GE Oil & Gas, Cameron Suppliers: NLI Group, NOV, Jotne, Bandak Sub-suppliers: See Subsea overview – end of this chapter • Logging Tools • Keel Joints • Running Tools • Tongs • Stabilizers www.finity.no
  66. 66. Procurement needs General Supplies Contractors: Cameron, FMC, Aker Solution, GE Oil & Gas Suppliers: Tecnip, Agility Fabrication, NLI Group, NOV, Kongsberg, Bandak Sub-suppliers: See Subsea overview – end of this chapter • Adhesive • Bearings • Battery • Cable Trays • Connectors • Couplers www.finity.no
  67. 67. Procurement needs General Supplies Contractors: Cameron, FMC, Aker Solution, GE Oil & Gas Suppliers: Tecnip, Agility Fabrication, NLI Group, NOV, Kongsberg, Bandak, Subsea7 Sub-suppliers: See Subsea overview – end of this chapter • Fasteners • Flanges • Heater • Hoses • Lubricants www.finity.no
  68. 68. Procurement needs General Supplies Contractors: Cameron, FMC, Aker Solution, GE Oil & Gas Suppliers: Tecnip, Agility Fabrication, NLI Group, NOV, Kongsberg, Bandak, Subsea7 Sub-suppliers: See Subsea overview – end of this chapter • Gaskets • Grating • Marking • O Rings • Ropes and Wires • Seals www.finity.no
  69. 69. Procurement needs General Supplies Contractors: Aker Solution, FMC, GE Oil & Gas Suppliers: Agility Fabrication, NLI Group, NOV, Kongsberg Sub-suppliers: See Subsea overview – end of this chapter • Shackles • Springs • Lines and Fittings • Safety Products • Welding Supplies www.finity.no
  70. 70. Procurement needs Instrumentation Contractors: GE Oil & Gas, FMC, Aker Solution Suppliers: NOV, Kongsberg, Technip Sub-suppliers: See Subsea overview – end of this chapter • Acoustic • Analyses • Automation • Cable • Calibration • Computers • Control pods • Control Systems www.finity.no
  71. 71. Procurement needs Instrumentation Contractors: GE Oil & Gas, FMC, Aker Solution Suppliers: NOV, Kongsberg, Technip Sub-suppliers: See Subsea overview – end of this chapter • Downhole -Electrical • Erosion • Fieldbus • Gas Detectors • Gauges – Logging – Monitoring www.finity.no
  72. 72. Procurement needs Instrumentation Contractors: GE Oil & Gas, FMC, Aker Solution Suppliers: NOV, Kongsberg, Technip Sub-suppliers: See Subsea overview – end of this chapter – Drilling – Fiber Optic – Flowmeters – Liquid – Manifolds – Master Control Station – Measurement – Multiphase www.finity.no
  73. 73. Procurement needs Instrumentation Contractors: GE Oil & Gas, FMC, Aker Solution Suppliers: NOV, Kongsberg, Technip Sub-suppliers: See Subsea overview – end of this chapter – Optical – Pressure – Production – Sensors – Temperature – Vibration – Wet Gas Meters – Umbilical www.finity.no
  74. 74. Procurement needs Materials Contractors: Aker Solution, FMC, GE Oil & Gas Suppliers: Agility Fabrication, NLI Group, NOV, Kongsberg, Wood Group, Subsea7 Sub-suppliers: See Subsea overview – end of this chapter • Alloy • Aluminum • Anodes • Castings • Ceramic • Composites www.finity.no
  75. 75. Procurement needs Materials Contractors: Aker Solution, FMC, GE Oil & Gas Suppliers: Agility Fabrication, NLI Group, NOV, Kongsberg, Wood Group, Subsea7 Sub-suppliers: See Subsea overview – end of this chapter • Concrete • Copper • Elastomer • Duplex • Forgings • FRP www.finity.no
  76. 76. Procurement needs Materials Contractors: Aker Solution, FMC, GE Oil & Gas Suppliers: Agility Fabrication, NLI Group, NOV, Kongsberg, Wood Group, Subsea7 Sub-suppliers: See Subsea overview – end of this chapter • Heat Treatment • Polymer • Rubber • Stainless Steel • Steel • Super Duplex www.finity.no
  77. 77. Procurement needs Materials Contractors: Aker Solution, FMC, GE Oil & Gas Suppliers: Agility Fabrication, NLI Group, NOV, Kongsberg, Wood Group, Subsea7 Sub-suppliers: See Subsea overview – end of this chapter • Syntactic Foam • Weld Overlay • Polymer • Tungsten Carbide • Tungum • Titanium www.finity.no
  78. 78. Procurement needs Production Equipment Contractors: FMC, Cameron, GE Oil & Gas, Aker Solution Suppliers: Wood Group, NLI Group, NOV, Bandak, Jotne Sub-suppliers: See Subsea overview – end of this chapter • BOPs • Chokes • Coalescer • Compressors • Diesel Engines • Drilling Rigs www.finity.no
  79. 79. Procurement needs Production Equipment Contractors: FMC, Cameron, GE Oil & Gas, Aker Solution Suppliers: Wood Group, NLI Group, NOV, Bandak, Jotne Sub-suppliers: See Subsea overview – end of this chapter • Filtration • Heat Exchange • Horizontal Tree • Jars – Line Hangers – Packers www.finity.no
  80. 80. Procurement needs Production Equipment Contractors: FMC, Cameron, GE Oil & Gas, Aker Solution Suppliers: Wood Group, NLI Group, NOV, Bandak, Jotne Sub-suppliers: See Subsea overview – end of this chapter – Plugs – Power – Pumps – Processing Systems – Separators – Tanks www.finity.no
  81. 81. Procurement needs Production Equipment Contractors: FMC, Cameron, GE Oil & Gas, Aker Solution Suppliers: Wood Group, NLI Group, NOV, Bandak, Jotne Sub-suppliers: See Subsea overview – end of this chapter – Transmission – Turbines – Xmas Trees – Vessels – Wellheads www.finity.no
  82. 82. Procurement needs Tubulars Contractors: Aker Solution, FMC, GE Oil & Gas Suppliers: Agility Fabrication, NLI Group, NOV, Wood Group See Subsea overview – end of this chapter • Casing • Drill Pipe • Expansion Joints • Fiberglass Joints • Flexible Pipe • Flowline www.finity.no
  83. 83. Procurement needs Tubulars Contractors: Aker Solution, FMC, GE Oil & Gas Suppliers: Agility Fabrication, NLI Group, NOV, Wood Group See Subsea overview – end of this chapter • Piping • Polyethylene Pipe • Spoolable Pipeline • Tubing Hangers • Tubing www.finity.no
  84. 84. Procurement needs Valves Contractors: Cameron, GE Oil & Gas, Aker Solution, FMC Suppliers: NLI Group, Agility Fabrication, NOV, Wood Group, Technip See Subsea overview – end of this chapter • Actuators • Ball • Butterfly • Check • Chemical Injection www.finity.no
  85. 85. Procurement needs Valves Contractors: Cameron, GE Oil & Gas, Aker Solution, FMC Suppliers: NLI Group, Agility Fabrication, NOV, Wood Group, Technip See Subsea overview – end of this chapter • Choke • Control • Electrical Actuators • Flow Control • High Pressure www.finity.no
  86. 86. Procurement needs Valves Contractors: Cameron, GE Oil & Gas, Aker Solution, FMC Suppliers: NLI Group, Agility Fabrication, NOV, Wood Group, Technip See Subsea overview – end of this chapter • HIPPS • Instrumentation • Gate • Globe • On Stock • Needle www.finity.no
  87. 87. Procurement needs Valves Contractors: Cameron, GE Oil & Gas, Aker Solution, FMC Suppliers: NLI Group, Agility Fabrication, NOV, Wood Group, Technip See Subsea overview – end of this chapter • Pressure Relief • Process • Safety • Solenoid • Double Block and Bleed www.finity.no
  88. 88. Procurement needs • Overview of Subsea Companies and services in Norway – Operators – Contractors – Suppliers – Sub-suppliers – Manufactures – Others Link to Excel sheet www.finity.no
  89. 89. Procurement needs In this chapter we have tried to give you a understanding about the Subsea Procurement needs and the products and companies involved. Subsea procurement in Norway are so much complex than we have reflected in this chapter, but it will give you necessary “overhead” information to start selling your product or services in Norway. All companies; Operators, Contractors, Supplier and Sub-suppliers in this chapter are operating in Norway. They are always in need of products and services, look at the overview over Subsea companies in Norway and start your strategy for your company in Norway. Fell free to contact us for more guides about procurement needs. henrik@finity.no Mob. +47 90 73 00 02 (käy ja suomeksi) www.finity.no
  90. 90. SUBSEA STANDARDIZATION www.finity.no
  91. 91. Document Harmonisation Joint Industry Project (JIP) Det Norske Veritas (DNV), as part of its portfolio, is known for taking part in developing joint industry reference codes, ranging from Rules, Standards, Approval Programs, Classification Notes, Guidelines and Recommended Practices. This is derived from a long track record of serving industry with activities which include R&D, analytical and qualification services for innovative solutions, relevant assessments with dedicated testing, and facilitating Joint Industry Projects (JIPs). www.finity.no
  92. 92. Joint Industry Project (JIP) Background/Challenge • A typical subsea project can involve more than 10,000 documents (and up to 80,000 for a complex project) over a lifecycle of 30 years. Participants will often spend millions of dollars on document control- and information management systems to maintain and verify the quality, security, accuracy and availability of documentation. www.finity.no
  93. 93. Joint Industry Project (JIP) • A major time consumer and cost driver is the lack of standardization of the industries approach to documentation. A primary reason is the multiple ways to document subsea equipment. Different Operators and Suppliers have over the years worked out their own methods of recording, structuring and describing the content. Different document types can have many different meanings, content may vary, other terminology might be used, identification methods will differ and therefore compliance with HSE-, engineering-, government-, security- and operational requirements cannot be assured. • This lack of consistency and rationality can lead to severe misunderstandings, which can have a negative effect on quality, ability to handle approvals, distribution, availability and project lead-times. And of course these issues increase the overall costs of documentation for both customer and supplier. www.finity.no
  94. 94. Joint Industry Project (JIP) Objectives and Scope • To ensure the best chance of achieving a minimum documentation standard. • The workshop confirmed the feasibility of the objective and outlined the work scope for the JIP as follows: – A scoping activity to understand the required system and product documentation types. – Common descriptions of standard system/engineering documentation for a subsea field. – Agreement on a minimum documentation set that suppliers can readily provide for all major subsea components that also meets the basic needs of the Operators. – A method for identifying company specific/additional requirements. – Development of data and documentation definitions. www.finity.no
  95. 95. Joint Industry Project (JIP) • An outline of lifecycle phases, typical subsea products/systems and references to the documentation to be produced, maintained and managed. A review of existing industry standards and practices (other RPs) to set the scope for this JIP. • A minimum set of documentation, covering documentation requirements from systems and products as well as company specific/additional requirements. This set of requirements includes but is not limited to document types, content description, templates, required metadata, verification, approval, interfaces and file formats. • Continuous work to clarify terms and definitions (taxonomy, dictionary), acronyms, classification, numbering codes, and identification. Reference to national/international industry standards (such as ISO 13628, NORSOK Z-018), government guidelines and user definitions. • Package the above into an RP and use established RP methodologies to record requirements and content as well as to structure, approve and verify the content. www.finity.no
  96. 96. Joint Industry Project (JIP) • Inspection and test plan • Engineering index and design data • Stack up and General Arrangement Drawings • Hydraulic Schematic • Cathodic Protection report • Installation, Operation and Maintenance Manuals • Sub-Supplier Documentation • Product Data Sheet • Manufacturing Record Books (MRB) • Preservation and Packing procedures • Spare parts Indexes ( typically SPIR ) • Sea fastening and weight reports • Dispach dossier www.finity.no
  97. 97. Joint Industry Project (JIP) The results from this JIP would: • Improve industry practices; helping both customers and suppliers to manage requirements (definition, verification and compliance) for subsea documentation. • Provide correct/complete information for the right equipment and user, increased predictability for all parties involved (i.e. ITT process). • Simplify communication and understanding of subsea documentation. • Reduce variations and versions of the same information, and as a result increase documentation consistency, quality and thereby reduce costs. www.finity.no
  98. 98. Joint Industry Project (JIP) • Participants will during the JIP project period have the opportunity to: – Influence the objective, scope of work and execution plan. – Share their ideas in the execution of the work. – Access up-to-date experience and lessons learned from DNV and other participants. – Compare and evaluate what others have done. – Use the JIP and the results to influence their company specific processes. www.finity.no
  99. 99. Joint Industry Project (JIP) Schedule • Contracts signed and JIP kick-off by end Q1 2015 • Phase 1 Definition of Scope for Standardisation Q2- Q4 2015 • Phase 2 Technical Studies. Development of Guideline Q1-Q4 2016 www.finity.no
  100. 100. Joint Industry Project (JIP) – Companies www.finity.no
  101. 101. QUALIFICATION REQUIREMENTS www.finity.no
  102. 102. Document and Certification Requirement • Subsea Standardisation in Norway is overseen by Norwegian Standards (NS) via the Expert Group Underwater (EGU) • Work is focussed on generating ISO 13628 Standards (1-17) which are developed from the Norsok Standards U 001- 012 and aligned with the API RP17 Standards (A-P) • Full alignment of ISO and API standards is the goal of NS. • Making progress with standards is also challenging due to heavy workloads on key subsea specialists www.finity.no
  103. 103. Document and Certification Requirement www.finity.no
  104. 104. Document and Certification Requirement • Initial focus is on carbon steel & low alloy forgings, aiming to rationalise the wide range of Operator compositional, QA /QC and verification requirements • Comparisons of typical Operator specifications found NO contradiction or irreconcilable differences that cannot be resolved by a common forging spec agreed across the industry, featuring several material ‘grades’ • How will the new forging specification work? – Three grades of forgings - similar to grades of gasoline at gas station – End user specifies: – Material (e.g. AISI 8630, ASTM A 182 F22) – Forging specification (i.e. this new Subsea Forging Spec.) – Forging grade (from Grade 1 to Grade 3) www.finity.no
  105. 105. Document and Certification Requirement Structural strength and foundation aspects for designing Subsea Production Systems: • Fabrication/Load-out • Transportation • Lift (air and Submerged) • Impact loads • In-place – Accidental loads • In-place – Operational loads www.finity.no
  106. 106. Document and Certification Requirement The load conditions are often designed according to the following standards and regulations : • Fabrication/Load-out – DNV Rules for planning and execution of Marine Operations, part 2, ch. 1, Load Transfer Operations • Transportation – DNV Rules for planning and execution of Marine Operations, part 2, ch. 6, Marine Operations – General Guidelines for Marine Operations, Noble Denton • Impact loads – Foundation Design: ISO 19901-4, Specific requirements for offshore structures -- Part 4: Geotechnical and foundation design considerations – API RP2A Specific requirements for offshore structures - Part 4: Geotechnical and foundation design considerations – DNV class note 30.4, Foundations – DNV OS-C101: Design of Offshore Steel Structures, General www.finity.no
  107. 107. Document and Certification Requirement • Lift (air and Submerged) – DNV Rules for planning and execution of Marine Operations, part 2, ch. 5 Lifting – DNV class note 30.5, Environmental conditions and Environmental loads • In-place – accidental loads – NORSOK U001 – Subsea Production System ( Dropped objects, trawlboard snag) – NORSOK N004 – Design of Steel Structures, annex A, Design against accidental actions. • In-place – operational loads – NORSOK U001 – Subsea Production System ( trawl loads, drilling/conductor loads ) – NORSOK N001 – Structural Design (Load combinations) – ISO 13628-1: Design and Operation of Subsea Production Systems, General – Foundation Design: ISO 19901-4, Specific requirements for offshore structures -- Part 4: Geotechnical and foundation design considerations – API RP2A - Recommended practice for Planning, designing and construction of Fixed Offshore Platforms – DNV class note 30.4, Foundations www.finity.no
  108. 108. Document and Certification Requirement The following Standards are often used to documenting the structural capacity: • NORSOK N001: Structural Design • NORSOK N004: Design of Steel Structures • DNV OS-C101: Design of Offshore Steel Structures, General • API RP2A: Recommended practice for Planning, designing and construction of Fixed Offshore Platforms www.finity.no
  109. 109. Document and Certification Requirement • The challenge is to improve the engineer’s compliance with industry and pre-established standards. Because every project is a little different, it is tempting to implement “preference engineering” • A review of industry best practice indicates the optimum approach: – Corporate subsea organization overseeing implementation of standards and - strategic procurement – Frequent internal publication and awareness session on subsea standards and relevant frame agreements – Involvement of engineers in ongoing standards review and generation work www.finity.no
  110. 110. Document and Certification Requirement • Ready availability to Company engineers of standard designs appropriate for company projects which in turn, minimize qualification risk • Configurable components available that can be adjusted to suit specific projects and increase project flexibility • Material stocking to reduce lead times ( either finished or part finished components) • Suppliers proactively demonstating the advantages of standardisation www.finity.no
  111. 111. Document and Certification Requirement • The NORSOK standards are developed by the Norwegian petroleum industry to ensure adequate safety, value adding and cost effectiveness for petroleum industry developments and operations. Furthermore, NORSOK standards are as far as possible intended to replace oil company specifications and serve as references in the authorities regulations. • The NORSOK directive A-001N states the procedures for the professional work and rules for structuring, writing and approval of NORSOK standards. www.finity.no
  112. 112. Document and Certification Requirement • In relation to coating, NORSOK M-501 is the recognised standard for the selection of coating materials, surface preparation and inspection for protective coatings. The NORSOK M-501 standard is applied during construction and installation of offshore products and facilities. • The M-501 standard covers passive fire resistant coatings, metallic coatings and paints. According to the NORSOK M- 501 standard, its objectives are as follows: – Optimal protection of the installation with a minimum need for maintenance – The coating system is maintenance friendly – The coating system is application friendly – Health, safety and environmental impacts are evaluated and documented www.finity.no
  113. 113. Document and Certification Requirement • Achilles JQS (Joint Qualification System) is a supplier register and pre-qualification system used by the buyers in the Norwegian and Danish oil and gas sector to manage supplier information and risk within the supply chain as well as to procure efficiently in accordance with EU regulations. • Achilles JQS is a cost effective system where suppliers in an easy and standardised way can advice details on their company and products and services to potential customers in a fair, open and transparent way. This facilitates and simplifies the tender process, offering new business opportunities for both buyers and suppliers. www.finity.no
  114. 114. Document and Certification Requirement • The Achilles JQS community was launched in 1991 and is developed continuously together with the steering committee comprising of representatives from buying organisations in this sector to cover the majority of their procurement needs. • The buyer members within this sector are virtually all Norwegian and Danish oil and gas operators and leading management contractors active in this region. Additionally, suppliers and contractors, who are qualified in Achilles JQS, can be granted the option to use the same supplier database for their purchases. www.finity.no
  115. 115. Document and Certification Requirement www.finity.no
  116. 116. Document and Certification Requirement • The Oil companies and the Main Contractors using Achilles JQS to have up-to-date and validated supplier information, a pre-qualification in Achilles JQS makes you visible to relevant customer group in the industry and offers you opportunity to win new business. Joining Achilles JQS enables you to: – Win new business Over 2800 individual buyer users for you to promote your products and services to. Being visible and searchable in Achilles JQS allows you to be chosen for tenders where selection is made directly from Achilles JQS without a separate calls for competition. – Increase credibility Via pre-qualification, you can demonstrate your capability to meet the industry requirements. Many suppliers use the pre-qualification certificate and logo stamp as integral part of their marketing programmes to show their credibility. www.finity.no
  117. 117. Document and Certification Requirement – Reduce overhead Complete and maintain a single pre-qualification questionnaire for the whole oil and gas industry and avoid having to repeatedly provide information about your company. Buyers can view your details through Achilles JQS at any stage of the tender process. – Gain competitive advantage Via Achilles JQS you are positioning your company to multiple buyer organisations, hence gaining competitive advantage in the market. www.finity.no
  118. 118. Document and Certification Requirement www.finity.no
  119. 119. Document and Certification Requirement • Operators should specify Subsea equipment with the same/similar specifications (forgings, interfaces, documentation etc.) • They should utilise standard catalogues which include configurable components with industry standard interfaces • Wherever possible, costs should be shared by renting work-over systems, tooling and conducting joint qualification programs • The industry should drive for designs, standards and work processes that simplify and improve life extension, help the refurbishment/upgrading of old equipment and facilitate field expansion www.finity.no
  120. 120. Document and Certification Requirement • This work has helped initiate two JIPs: – Recommended Practice for Subsea Forgings – Standandardised Subsea Documentation ... • The workgroup recommends the subsea industry to adopt: – Use of standard catalogues with configurable components for NCS application – A universal workover system to be used on a wide range of Xmas trees and rigs – Implementation of best practices for exisiting and future Brownfield developments – Strategic Procurement to increase production runs of “standards products” – Improved compliance with existing standards and the development of a forward looking qualification program. www.finity.no
  121. 121. Document and Certification Requirement www.finity.no
  122. 122. HSE Certification www.finity.no
  123. 123. • Take responsibility for the safety and security • Work systematically to understand and manage risk • Provide all people with the necessary resources, equipment and training to deliver in accordance with their designated responsibilities • Cooperate with contractors and suppliers on the basis of mutual respect • Stop unsafe acts and operations • Aim for a safe and attractive working environment characterised by respect, trust and cooperation • Monitor risk related to the working environment, and monitor the occupational health of people • Establish work processes as well as goals and performance indicators to control, measure and improve these processes HSE Certification www.finity.no
  124. 124. HSE Certification • Run safety improvement processes based on surveys and risk assessments, and involve people in this work • Build robust installations/plants and maintain them to prevent accidents. • If accidents occur, a emergency response organisation will do its utmost to reduce injury and loss. Saving lives is ourhighest priority • Transform lessons learned into improved safety measures through continuous learning www.finity.no
  125. 125. HSE Certification • Environmental Management Systems: – ISO 14001 – Occupational Health and Safety Management Systems: OHSAS 18001 – Human Rights at work: SA8000 – IEH- plakaten www.finity.no
  126. 126. HSE Certification www.finity.no Source: Global Process Systems Inc
  127. 127. HSE Certification www.finity.no
  128. 128. HSE Certification • All operators, contractors, suppliers and other companies working with Subsea products must follow more or less all information in this HSE sections. You must accept this responsibility to help protect human health, safety and the surrounding environment. • This responsibility has been a core value of Subsea businesses for a number of years and has been made possible through the leadership, dedication, and teamwork of all companies. • Health, Safety and Environment is an important business responsibility. You cant do enough! www.finity.no
  129. 129. Traceability and Part Marking Requirement www.finity.no
  130. 130. Traceability and Part Marking Requirement • Traceability is meant to ensure proper identification of finished products down to raw materials. • Suppliers shall demonstrate effective material control procedures that, where specified, can trace materials from point of origin through stages of the manufacturing process through to acceptance by customer. • The Supplier material control system and traceability procedures shall be made available, upon request, for review for the customer. www.finity.no
  131. 131. Traceability and Part Marking Requirement • The Job Batch number shall be marked on the parts at a location and by a method indicated on the drawing/part report. • A Certificate of Compliance shall accompany each delivery to document the information required by the Engineering specifications on the Part Report (DBI). • Use the raw material, i.e. bar, tubing, forging, etc., traceability number, i.e. mill heat number, forging heat code. This is the preferred method. • Alternatively, the Supplier may develop their own internal traceability system, provided the method maintains traceability to the mill test reports. To maintain traceability batch numbers/heat codes must not be mixed. www.finity.no
  132. 132. Traceability and Part Marking Requirement • Serial numbers shall be structured in accordance with the customers specification. Alternatively, the Supplier’s own serialization system may be used. • The heat number (with or without a dash number) shall not be used as the serial number. Heat numbers used as serial numbers do not provide unique serialization for an individual part, since many parts can be made from the same heat of material. www.finity.no
  133. 133. Traceability and Part Marking Requirement • Marking of parts is a critical step where many new and some existing suppliers to customer encounter issues. The Part Report (DBI) and drawings provide instructions for the marking requirements. In general, the customer will always ask for permanent marking of the part, unless the part is too small or fragile or material precludes permanent marking. www.finity.no
  134. 134. Manufacturing Process – Quality Plan - Audits • Manufacturing Process / Quality Plan (MP/QP): – Is a risk mitigation tool depending on the criticality and on the application of Special Processes in manufacturing of a part / component. – The requirement for MP/QP is stated in the Part Report (DBI). However, the need for a MP/QP may also be required by Customer Specifications, or by Purchase Orders, when the MP/QP requirement is Project driven. – MP/QPs shall be uniquely identified and revision controlled documents to ensure proper communication of the latest requirements. www.finity.no
  135. 135. Manufacturing Process – Quality Plan - Audits • MP/QP is a part number and revision specific document prepared by Supplier and submitted to Customer for review and approval prior to start of manufacturing. • It details all applicable internal procedures and customer specifications for each process step that will be used to manufacture the part in accordance to the Part Report (DBI) requirements. • It details further pertinent parameters related to the process steps, and all applicable surveillance activities for Supplier and Customer. • Suppliers should use their own formats for communicating requirements to their work force. If a Supplier does not have an appropriate format, the Customer MP/QP template may be requested and used. www.finity.no
  136. 136. Manufacturing Process – Quality Plan - Audits • Once a MP/QP is approved by the Customer, the signed document will be returned to Supplier allowing manufacturing to begin. • When the Customer place a new PO for a part with an existing MP/QP, it is Supplier responsibility to ensure that the part number revision has not changed and that all manufacturing process steps will remain the same. If any change in part number revision or manufacturing process has occurred, a new MP/QP shall be written and submitted to the Customer for review and approval. • If MP/QP specific training is required, please contact your Purchaser / Buyer regarding the MP/QP submittal and approval process details. www.finity.no
  137. 137. Manufacturing Process – Quality Plan - Audits • Quality Plan describes the administrative process for execution of Quality Assurance and Quality Surveillance activities in manufacturing of a part / component in accordance with contractual requirements, similar to MP/QP. • The requirement for Quality Plan is stated in the Purchase Order. • Quality Plan is a part number and revision specific document prepared by Supplier and submitted to the Customer for review and approval prior to start of manufacturing. www.finity.no
  138. 138. Manufacturing Process – Quality Plan - Audits • Quality Plan shall identify as a minimum: – All important production processes in all phases of production – All examinations, inspections, and tests to be performed by Supplier and / or Subcontractor with reference to relevant production, examination, inspection and test procedures – Supplier's Witness and Hold activities – A list of Sub-contractors used, specifying their products and processes www.finity.no
  139. 139. Manufacturing Process – Quality Plan - Audits • An external audit is an assessment to: – Determine if the necessary Quality Management System (QMS) has been established, maintained, and documented according to specified requirements. – Verify the compliance with current legislation requirements. – Verify during spot-checks and evaluation that documented systems are implemented and in the case of an existing supplier that Customer specified requirements are being achieved. – Determine whether the systems are sufficient and effective to produce the correct level of product and certification. – Identify any non-conformances; enable the possibility for Corrective Actions and / or opportunities for improvement. – Verify that both the equipment utilized in the manufacturing processes and the methods employed comply with Customers technical specified requirements that calibration is performed and documented in accordance with specifications and procedures. – Verify that, where appropriate, operators are qualified and that training records exist. www.finity.no
  140. 140. Transportation and Packing Requirements www.finity.no
  141. 141. Transportation and Packing Requirements • Transportation: – For large constructions, the delivery term may vary between FOB and FAS. – For FCA transports, in every Customer PO, Supplier will find instructions how to contact Customers contracted freight forwarder for collection of ready-made items. When the freight forwarder is contacted, he will agree with Supplier upon a date for collection of the items. – In all other matters related to transportation, the Customer Purchaser / Buyer named in the PO shall be contacted. www.finity.no
  142. 142. Transportation and Packing Requirements • Packing: – Material / components delivered to Customers must be adequately protected from rain, sea spray, condensation, high humidity, high temperature, and fine dust, to prevent damage and contamination during handling, storage and shipping. Packing shall provide mechanical protection of the part sufficient to withstand normal shipping and handling conditions. – Most Costumers are focused on HSE/HMS related to transport and packing. – For heavy items, always ask for Supplier's Packing Procedure for comment prior to transport. They need a verification that the material in question is packed /chocked / blocked in such a way that after transporting by air and / or sea around the world, they can deliver the material safely to final destination in good condition without any transport damages. www.finity.no
  143. 143. Transportation and Packing Requirements • All hazardous materials must be properly identified, packed, and labeled in accordance applicable directives and regulations established in International Maritime Organization (IMO), International Air Transport Association (IATA), and / or any other government or trade organization regulations or requirements that may apply. • Hazardous materials must be accompanied with a copy of the Material Safety Data Sheet (MSDS). • NB: Always review the Part Report (DBI) for specific packing requirements. www.finity.no
  144. 144. CONTACT INFORMATION www.finity.no
  145. 145. Contact information Please note that although some contact information is given here, consideration should be given before contacting. It is highly recommended to engage a local advisor who can advice on how, when and what to ensure that the message is perceived in a interesting and positive manner and not the opposite, and who also has a personal network and local understanding and who may guide to the right organisation and recipient. Organisations and projects are also dynamic, people move around and a local advisor will have better insight in the organisational, commercial and technical status of the various companies. www.finity.no
  146. 146. Contact information Statoil – Ingvild Braathen, Procurement Manager. E-mail: ibra@statoil.com – Trond Skjæveland, Subsea Valves responsible. E-mail: trond.skjaeveland@statoil.com BP – Josephine Leslie-Jackson, Contract Administrator ABB – Hans Christian Felde, Procurement Manager subsea KOGT – Kristian Köhler, Purchaser. E-mail: kristian.kohler@kogt.kongsberg.com Aker Solutions – Henrik Stormbom, Manager. E-mail: henrik.stormbom@akersolutions.com – Cato Andersen, Procurement Manager. E-mail: cato.andersen@akersolutions.com www.finity.no
  147. 147. Contact information FMC Technologies – Terje Emil Grøstad, Global Category Manager. E-mail: terjeemil.grostad@fmcti.com – Erlend Blankert, Senior Purchaser. E-mail: erlend.blankert@fmcti.com Bandak Group – Helge Lund, Senior Purchaser. E-mail: helge.lund@bandakgroup.com – Knut Erik Finnestad, Manager. E-mail: knut.finnestad@bandakgroup.com Wood Group – Egil Jan Haugland, VP Sourcing. E-mail: ejh@woodgroup.no – Svein Vatland, Manager. E-mail: svein.vatland@woodgroup.no Kongsberg Subsea – Pål Hansen, Senior Purchaser. E-mail: pal.hansen@kongsberg.com Jotne – Fredrik Bamsrud, Manager. E-mail: fredrik.bamsrud@jotne.com www.finity.no
  148. 148. Contact information GE Oil & Gas – Annette Sparby, Contract Administrator. E-mail: annette.sparby@ge.com – Gunalingam Gunadasan, Manager. E-mail: g.guna@ge.com Agility Group – Ole Petter Røed, Out Sourcing Manager. E-mail: opr@agilitygroup.no NLI – Øyvind Holt, Manager. E-mail: oyvind.holt@nli.no NOV – Arne Lindekleiv, Vice President, arne.lindekleiv@nov.com www.finity.no
  149. 149. SUMMARY AND RECOMMENDATIONS www.finity.no
  150. 150. Summary and Recommendations • The requirement on Documentation from suppliers in the Norwegian Subsea industry is large and complex, especially if your company does not have extensive experience or someone who can help you “step by step” in the startup phase. • Normally it is difficult to get main customers to contribute, but they could help with answers to simple questions, but not profound challenges. Therefore, always have someone who can help as a consultant or someone who can take responsibility for documentation at your project internal. www.finity.no
  151. 151. Summary and Recommendations • It is naive to believe that the documentation will be ready on the way, learn by doing, therefore you must have necessary overview and control early in all projects; Document requirement and how it should be submitted. The fact that such questions are asked from the start of each project, simplifies and clarifies the project and the Document requirements. This will always be helpful to secure cost and progress. • When it comes to cost and Documentation this is always a challenge. Main customers may not want to pay extra for this, especially in situations where the supplier does not have extensive experience with Subsea Documentation. All suppliers or vendors must go through their own organization and find out if they can satisfy the necessary requirements and have the resources to become a supplier to the subsea industry. www.finity.no
  152. 152. Summary and Recommendations • Misrepresenting necessary Subsea documentation is very extensive and not least time consuming, therefore it is very important with the necessary knowledge and experience. It also means that the internal control must be accurate and quality assured. All uncertain elements should be addressed and handled appropriate and implemented in each project with the necessary procedures in accordance with the document requirements. • In Subsea projects Document requirements may be as much as 20-30% of the time required, sometimes higher when the supplier does not have the necessary knowledge and experience. www.finity.no
  153. 153. Summary and Recommendations • When a supplier work in the Subsea industry they must always add the cost and time required for Documents, Internal control and HSE into the design and the cost of the project. This aspects are “always” included in the total project, also cost and time spent. There are unfortunately many suppliers who make big miscalculations and lose money and time, this could hurt the project and suppliers reputation and profits. • All Subsea suppliers should always have a very close dialogue with the main customer in good time before agreement and project start, this dialogue provides the necessary security and control of the project and not least the requirements and expectations for documentation and quality. www.finity.no

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