Strategic Approaches to Material Management Sytem at site

1. STRATEGIC APPROACHES TO MATERIAL MANAGEMENT SYSTEM AT SITE INDUSTRIAL PROJECTS...... CONFIDENTIAL – Saner Tanju ATIS

2. AGENDA 1 -What is the Strategic Material Management System at Site? 2 -Why is it important? 3 -Strategic MMS analysis at Site 4 -Principles of Warehouse design 5 -Essentials Symbols for handling and storage 6 -Receipt and Incoming Stages Inspection Flow Inspection of Incoming Process- IIP What constitute a material deviation ? 7 -Objectives of the MTC – Material Test Certificates 8 -Storage – a Pillar of Category Process 9 -In-Warehouse Preservation – Improving the work Methods 10-Proven Issue methods – LBID Cycle 11-Question /Closing CONFIDENTIAL – Saner Tanju ATIS

5. Increase ability of workforce to utilize operations bases

6. Creates and enable a learning , sharing and focus an practical application

7. Quality and technical skills improvement.

8. Improved internal teamwork and communication

9. Streamlined our work for better time and business process

10. Focuses on making changes to simplify and become more efficiencyCONFIDENTIAL – Saner Tanju ATIS

11. STRATEGIC MMS ANALYSIS at Site Strategic Action View Strategic Look-ahead View Transportation - Review - Needs -Time Period - Knowledge Transfers Observed Shipment Data Selection Criteria - Detect lists - Classify - Internal & Exter. Communications Observed Packing Analysis Handling Plan - Indivudual materials group - Storage objective - Storage strategies Planning Management Plan - Procedures - Instructions - Training Planning Organ.Chart - People/ Positions - Seperate disciplines - Workforce Planing Observed Data Analysis Action Plan - Analysis Prioritize - Review plan - Execution plan Planing SUCCESS CONFIDENTIAL – Saner Tanju ATIS

13. The factors elements CONFIDENTIAL – Saner Tanju ATIS

15. A=The Scope of items Supplied

16. Piping, Electrical, Equipments, Steel Structures

17. B=Material Specifications

18. Instructions Specified by Manufacturers

19. C=Order Volume

20. Project Material Orders (Acc.. BOQ)

21. D=Safety Measures

22. Detrimental Conditions (by moisture,rain, snow,sandstorm,insects),dirt(by bird droppings,dust,tar), static and dynamics load.

23. Closed Area TOS Open Area Lockable, Air condioned, Dry With Fence, Without Fence, Roofed CONFIDENTIAL – Saner Tanju ATIS

25. Filter functions

26. Import record of order data

27. Scheduling in advance

28. Storage areas and material Certificate

29. Material receving on site

30. Storage list

31. Material reservation (Piping) and material issuingCONFIDENTIAL – Saner Tanju ATIS

32. Material handling process HEAD OFFICE CONFIDENTIAL – Saner Tanju ATIS

33. Material Work Flow WAREHOUSE CONFIDENTIAL – Saner Tanju ATIS

35. 2 = Fragile, handle with care

36. 3 = Keep dry

37. 4 = Keep away from heat1 2 3 4 5

38. 5 = Use no hooks

39. 6 = Centre of gravity

40. 7 = Sling here

41. 8 = No hand truck here

42. 9 = Clamp here6 7 8 9 10

43. 10 = Do not use fork lift truck here

44. 11= Roofed storage

45. 12=Storage in closed rooms

46. 13=Storage at ambient temperature of >0

47. 14=Storage in air condition 11 12 13 14 CONFIDENTIAL – Saner Tanju ATIS

48. Lifting and Slinging gear CONFIDENTIAL – Saner Tanju ATIS

49. Receipt and Incoming Stages CONFIDENTIAL – Saner Tanju ATIS

50. Inspection Flow Project site Port Transport Agent Loaded On Truck LOT Receipt Of Package Unpacked Reports Checking the packing for damage during the Ship Checking the outside packing for damage during transport to site Checking the packing lists against the number of packages received, Checking the outside packing for damage, Checking the inside packing (e.g. welded plastic sheets) for damage, Checking damaged packages for completeness and damage to the contents, Checking any protective inert-gas fillings. Essential Reports (MRR,etc..) Checking the contents for completeness, Checking the outer condition of the indivudual components. (e.g. corrosion protection, preservation), Checking the technical details CONFIDENTIAL – Saner Tanju ATIS

51. Inspection of Incoming Process IIP – Specific Projects Materials • checking for damage in transit, • checking the accessories (gaskets, bolts, etc.) supplied for completeness and correctness Equipment & Steel Structures • checking the material for completeness, • checking the material for being undamaged (damage in transit), • visual inspection for compliance with the technical specification (e.g. sealing faces, supporting surfaces of bolts, welding edges, etc.), • checking for correct stamping, coding, batch number and compliance with certificate, • checking the marking of valves, • dimensional checking (mating dimensions, wall thickness, weld edge preparation, thickness of flanges, bolt holes, roundness), Piping Materials IIP • checking the name plate data for compliance with the purchase order specification, • comparing the characteristic data of the material supplied with the data sheets, • checking the material for being undamaged (damage in transit), • checking for completeness, especially the accessories. Electrical & Instrumentation • Sensitive Materials • checking the package properly Fragile, Others CONFIDENTIAL – Saner Tanju ATIS

52. What Constitutes a material Deviation ? Deviations Overage Damage Hold Rejection Shortage Deficiency Report Dimensional Technical Specification Elimination of Defects Faulty Assembly CONFIDENTIAL – Saner Tanju ATIS

53. Objectives of the Material Test Certificates CONFIDENTIAL – Saner Tanju ATIS

55. Identified material and Match with Test Certificates to ensure..

56. Material Safety Data Sheet (MSDS),Chemical and Hazardous Materials .... Work place safety .... Physical and chemical datas ..... Storage and handling informations Item Code (Part No) ASTM Standart Heat Number Dimension 90 Degree Elbow CONFIDENTIAL – Saner Tanju ATIS

57. CONFIDENTIAL – Saner Tanju ATIS

58. Storage – a Pillar of Category Process ...............Technical Specification The individual groups of components must be characterized by boards, marked with part number, dimension and material. Technical International Standarts. Stored in accordance with the technical specification ...................Implement Instruction (Vendor) In accordance with the manufacturer’s instructions either outdoors,indoors, in cooled or in dry rooms. Material Data Sheet instruction to be followed. ......................Safety and Security Regulations Safety regulations for chemicals and dangerous materials should be applied. The products which would be damaged through exposure from sunlight should be protected by adequate covers or stored indoors. Adequately protected and guarded against theft, pilferage,fire. ........................Segregation (Storage Profiles and Layouts) External and internal storage areas (aisles,bin,section,yard plots etc.) should be clearly defined and identified with appropriate storage location sign as per material storage plan. Designated Area in the basis of Unit Process. ............................Traceability Identify Locations data transfer to material Tracking system. Completeness of the information for every step in a process. Refers to the capability to gain materials in the timely manner. Monitor and issued “first come-first go” basis.. CONFIDENTIAL – Saner Tanju ATIS

60. Make a adequate reserve place of estimated capacity for materials

61. Knowledge sharing with team,information, Skills, or expertise

62. Build and Organize , motive your team to get to do deliveries and storage conditionsCONFIDENTIAL – Saner Tanju ATIS

63. Open area (Laydown) CONFIDENTIAL – Saner Tanju ATIS

64. Piping components Pipes, spools, fittings, elbows, flanges and valves. stored outdoors on timber baulks of approx. 150 mmthickness or on timber pallets. Flange faces shall not be damaged. Pipes may be stacked to a height of approx. 1.5 m if properly secured. In the case of pipes . DN 500, only twopipes should be stacked one upon the other. Storage – Individual Stock Equipment & Vessels, Steel Structures dcsSteel structures, vessels, machinery, and the like should be stored outdoors on timber baulks of approx. 150 mm thickness. Placing the equipment on unprotected, bare, or machined surfaces as well as on flanges is not permitted. Care shall be taken not to damage nozzles, shaft ends, or other protruding parts. Electrical & Instrumentation Transformers for outdoor service, cable supports, cable drums and sectional steel for fixtures may be storedoutdoors. Other electrical, measuring and control equipment should be stored in dry and well ventilated rooms on timberpallets or on shelves. Instruments shall be stored on shelves. The original packing shall only be removed at the place of installation. CONFIDENTIAL – Saner Tanju ATIS

65. . Rubber-lined equipment and plastic equipment shall be stored with special care.The temperature within rubber-lined equipment should not drop below -10oC if the hardness of the rubber lining is > 75 Shore D and not below -20oC if the hardness of the rubber lining is < 75 Shore D Storage – Individual Stock Coating materials shall be stored at temperatures between 5C and 30C in dry and well ventilated rooms. Bricks (for refractory linings), Polyester resins Solvents, fuels, lubricants, and corrosive chemicals Oils and insulating fluids CONFIDENTIAL – Saner Tanju ATIS

66. Matrix for Storing Facilities and Locations CONFIDENTIAL – Saner Tanju ATIS

68. Make an Assessment, Classifiedgroup of materials, safety regulations

69. Establish priorities, DesignatedStorage areas,Preservation team for tasks..

70. Identified needed resources, vendor specific documents,Manufacturers Instructions

71. Identify short and long term activities, storage and maintenance duration

72. Develop a strategy to increase preservation, enhance performance result of implementation

73. Application of preservation agents instructions ( e.g. Table.1..),recommendations

74. Tracibility of Preservation Matrix, Requirements, Interval, Referance documents,Storage areas

75. Execution at site, Labeling – Job Card and RecordingCONFIDENTIAL – Saner Tanju ATIS

76. CONFIDENTIAL – Saner Tanju ATIS In-Warehouse Preservation – Preservation Recommendation

77. CONFIDENTIAL – Saner Tanju ATIS In-Warehouse Preservation – Regular Checking Period

78. KEEP ME CLEAN After Before CONFIDENTIAL – Saner Tanju ATIS

80. Compliance of essential circumstances to issue

81. Indivudal groups materials

82. Return, Take back to Store

83. LBID Cycle – Journey to Movement........ From our initial engagement with all movements to the end of Material journey to adhere to the stipulated time for Individual Projects. CONFIDENTIAL – Saner Tanju ATIS

84. Proven issue Methods - LBID CYCLE Lean Breakthrough ASSURE Delivery + Order Piping – Prefabrication Inspection Isometric -Reservation AUTHENTICATED Pipes, Fittings.... MTC- MSDS Equipment REALIZE Electrical Availablity Piping - Erection Isometric -Reservation Commissioning Valves, Bolts,Gaskets... Piping - Erection Equipment, Others Equipment, Others E + I E + I Recycling Incremental Decisive CONFIDENTIAL – Saner Tanju ATIS

85. Proven issue Methods – Variable Rates 1 % 55 Piping > % 20 Eqp. + % 15 Elec. 2 3 % 55 Eqp > % 30 Piping + % 20 E+I % 58 E+I > Eqp % 75 E+I > Piping % 40 Eqp > Piping % 65 E+I > % 25 Eqp. + % 15 Piping CONFIDENTIAL – Saner Tanju ATIS

86. Proven issue Methods - Progress Zone Coordinates % Eqp. P E+I Z2 End Line Initial Line . 65 . . 55 Z1 50 . 30 Z1 >Z2 . 25 . . . . 20 15 Zone 1 3 2 CONFIDENTIAL – Saner Tanju ATIS

87. Sample - Cycle of Project Materials Kg Kg CONFIDENTIAL – Saner Tanju ATIS

88. MIF- Material Issue Form CONFIDENTIAL – Saner Tanju ATIS

90. Buildingan integrated Warehousing system

91. It is an integrated process thatdemands integrated processes and databases to become truly effective.

92. The need for sharing processes and databases throughout the entire organization

93. Additionaleducation and employee empowerment lead to increased job satisfaction and personal performanceCONFIDENTIAL – Saner Tanju ATIS

94. MMS – Closing Open Discussion Questions Saner Tanju ATIS saneratis@yahoo.com CONFIDENTIAL – Saner Tanju ATIS