Learnings from the Standardization of Quality Procurement Specifications

Abstract

Operators and Engineering, Procurement and Construction contractors (EPCs) have traditionally had their own quality requirements for the same products offered by the same manufacturers causing increased complexity, delivery and costs to each purchaser. Through IOGP JIP33 (International Oil and Gas Producers, Joint Industry Programme), industry-level standardized product requirements are being implemented to improve capital efficiency through industry-wide standardization. This paper discusses the learnings and challenges of deploying the standardization of specifically the Quality Requirements Specification (QRS) through the various operators who participate in IOGP and how this impacts digitization of quality requirements. JIP33 standardized procurement specifications are developed by product Subject Matter Experts and contain standardized Technical Requirement Specifications (TRS), Quality Requirements, Information Requirements and Procurement Data Sheet. The Quality Requirements Specification (QRS) provides standardized quality interventions and defines the purchaser's involvement based on the purchaser's criticality rating. All JIP33 specifications are free to use by any organization. With over 50 product and support specifications published and with 5 years of implementation, the JIP33 Quality Network now provides implementation guides and training materials to share learnings and help companies implement the QRS. In March 2022, the JIP33 Sponsoring companies conducted a survey which found that 43% of published quality specifications were implemented even though the technical specifications were over 60% implemented. This led to further review to determine the challenges of implementing standardized quality requirements for products. The results indicated a few common challenges including: Differences in procurement processes and responsible parties (procurement vs engineering) across the industry.Lack of understanding on how the QRS impacts the Inspection and Test PlanInterface with pre-established Global Frame Agreements.Lack of familiarity with JIP33 and QRS documents Each of these challenges requires a planned management of change as well as a cultural and behavioral transformation from previous procurement practices to implement with the various functions supporting the procurement and quality processes. A QRS implementation guide was developed to address such challenges and offers solutions and ways of working to facilitate implementation. Standardizing technical requirements on a product is not necessarily a ground breaking or novel concept but including both standardized quality and information requirements that are aligned together is new to the industry. Since standardized quality and information requirements would be integrated into existing business systems, and especially in a digital context, implementing standardized aligned quality and information requirements requires change management across multiple functions.