CHINA ENERGY ENGINEERING GROUP (CEEC),

NORTHEAST No.1 ELECTRIC POWER CONSTRUCTION

Co., LTD. (NEPC)

QUALITY MANAGEMENT SYSTEM

Prepared & Presented by

MADHUSUDAN SEN (MADHU)
Dated : 2019-09-27
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 INTRODUCTION

China Energy Engineering Corporation or Energy

China (CEEC, Chinese: 中国能源建设), is a Chinese
state-owned energy conglomerate, with
headquarters in Chaoyang District, Beijing. The
conglomerate was established on September 29,
2011, with the approval of the State Council of
China. It is under direct supervision of the State-
owned Assets Supervision and Administration
Commission (SASAC).
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 INTRODUCTION
China Energy Engineering Group Northeast No.1 Electric Power Construction CO., Ltd. (abbreviated as
NEPC), as a wholly-owned subsidiary of China Energy Engineering Group, is a well-known player in
China’s electric power construction industry.
NEPC is headquartered in Shenyang city of Liaoning province, and set up six branches respectively in
Shenyang, Tieling, Liaoyang and Guangzhou, and three regional companies in Philippines, Bangladesh
and Iraq. The company adheres to the overall tone of “ Four reunification” and the control mode of
“1+6+8+3”.
As a national high-tech enterprise, NEPC owns overseas project contracting qualification, labor service
export qualification as well as export & import business qualification, and A-grade qualification for
general contracting power construction project. Italso passed ISO quality management system,
environment management system, occupation safety and health system authentication certificates
and ASME standard accreditation certifications. NEPC is capable of undertaking international electric
power project on EPC and BOT basis.The company is capable of A-grade construction and metal
laboratory, and the training center with both special equipment welding training qualification and
power industry A-grade welder training qualification.
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 INTRODUCTION

NEPC has about 4500 staff on the payroll, among them 2100 engineering technicians and administrators.
Focusing its core business on electric power engineering, NEPC is also committed to providing electric power
operation and management service, and is capable of undertaking the construction of coal-fired, oil-fired,
and gas-fired power plants, nuclear power plants, wind farms, photovoltaic power stations and biomass-fired
power stations of various parameters and capacities, as well as the construction of various voltage class
transmission line projects and substations projects. NEPC also boasts the integrated management and control
capacities of construction, commissioning, operation, maintenance and EPC contract. The business scope of
the company is also extended to other engineering fields like metallurgy, petroleum and chemicals, municipal
administration, environmental protection, large-scale civil buildings, etc.
NEPC was founded in 1951.Over the past sixty years, NEPC has gained outstanding achievement, good
reputation and filled eight gaps in the history of China’s electric power construction and made outstanding
contribution to the electric power course of China. Till now, the company has built 185 power plants,
installed 278 units, and its total installed capacity is 51411MW; it has installed 366 furnace charges, total
evaporation is 182489 ton/hour.

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 INTRODUCTION
NEPC has won a number of awards. In 1988, Civil Engineering Award was honored to Guangdong Shajiao B
Power Plant Project; Shenhua Suizhong Power Plant Phase II Project 1x1000MW unit was honored with the
Year 2011 State High Quality Project Gold Prize in China; and the Luban Prize was given to Liaoning
Huaneng Dandong Power Plant Project, Henan Huaneng Qinbei Power Plant Project Phase I
(2x600MWsupercritical units) Project, Heibei Shenhua Guohua Huanghua Power Plant Phase I (2x600MW
units) Project, Turkey EREN(1+1)x600MW Power Plant Erection Project and Hebi Heqi new project featured
with “developing large unit and suppressing small ones”. Besides that, there were 13 projects won the
National Quality Project Silver Medal and 26 projects honored National Electric Power Quality Project Prize.
NEPC has many times cooperated with world renowned companies such as Japanese IHI, French ALSTOM,
Swiss Sulzer, ABB, German Siemens and Steinmuller, American Bechtel, Philippine Palm Conception Power
Corporation, Philippine FDCUI, SUMMIT Bibiyana II Power Company Limited, etc. and maintains close
partnership with them up to now. NEPC has participated in the power plants construction of foreign
countries including DPRK (Democratic People’s Republic of Korea), Germany, Indonesia, Malaysia,
Philippines, India, Turkey, Laos, Bangladesh, Iraq, Pakistan, Mongolia, Kenya, Vietnam, Ghana etc. The
international exchange and cooperation has quickened NEPC to meet up with the international standards
and elevate their comprehensive quality.
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 INTRODUCTION
Stepping into a new era, NEPC commences its expedition of power construction. Guided by Xi Jinping
Thought on Socialism with Chinese Characteristics for a New Era, NEPC will positively implement five
developing concepts of “Innovation, Coordination, Environment, Openness, Community”, promote its core
values of “Ever-improving professional competence and operational capacity”, and hold the developing
direction of “Internationalization, Professionalization, Marketization, Regionalization, Standardization,
Specialization”. The company will practise “family culture” and excellent project culture, and fully
implement the strategy of building an advanced international engineering company. Through increasingly
improving the brand image and comprehensive strength, NEPC makes great efforts to win the lasting
respect and trust from client, and continuously promote the reform and development of the enterprise.

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 WHAT IS QUALITY MANAGEMENT SYSTEM

 Quality Management System (QMS), A system by which an

organization aims to reduce and eventually eliminate Non-
Conformance to specifications, standards, and customer expectations
in the most cost effective and efficient manner.
 Total Quality Management (TQM) is a competitive approach to long-
term success that's derived from a dedication to customer satisfaction.
Within this system, every employee in a company endeavors to
enhance the products, services and internal culture to produce a
streamlined set of business processes that deliver an improved
customer experience.
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 Means of Implementation of PQM

 QUALITY PLANING
 QUALITY ASSURANCE
 QUALITY CONTROL
 These processes interact with each other as well as
with the processes of other knowledge areas,
 Each process involves an effort of one or more
individual or group of individuals based on the need of
the project,
 Each process occurs at least once in every project
phase during the project life cycle.
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 DEFINITION

 What is Quality Planning ?

 Quality Planning is identifying which quality
standards are relevant to the project and
determining how to satisfy them

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 DEFINITION

 What is Quality Assurance ?

 Quality assurance is evaluating the overall
project performance on a regular basis to
provide a confidence that the project will
satisfy the relevant quality standards.

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 DEFINITION

 What is Quality Control ?

 Quality Control is the monitoring of specific
project results to determine if they comply
with the relevant quality standards and
identifying ways to eliminate causes of
unsatisfactory performance.

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 PROJECT QUALITY MANAGEMENT
QUALIT PLANNING
1- INPUTS
-Quality policy
-Scope statement
-Product description
-Standards and regulations
-Other process outputs
2- TOOLS AND TECH.
-benefit/ cost analysis
-Benchmarking
-Flowcharting
-Design of experiments
3- OUTPUTS
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-Quality management plan
QUALITY ASSURANCE
1- INPUTS
-Quality management plan
-result of quality control
measurements
-Operational definitions
2- TOOLS AND TECH.
-Quality planning tools and
techniques
-Quality audits
3- OUTPUTS
-Quality improvement
QUALITY CONTROL
1- INPUTS
-work results
-quality management plan
-Operational definitions
-checklists
2- TOOLS AND TECH.
-inspection
-Control charts
-Pareto diagrams
-Statistical sampling
-flowcharting
-Trend analysis
12
3- OUTPUTS
 Nature of PQM
 Project Quality Management must address
both the management of the Project and the
Product of the Project.
 Failure to meet Quality Requirements in either
dimension can have serious and negative
consequences for any or all of the Project
stakeholders.

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 Common understanding
Quality Management should complement modern
Project Management as they both recognize the
importance of:
1- Customer satisfaction
2- Prevention over inspection
3- Management Responsibility
4- Processes within phases.
(plan – do –check – act cycle)
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 QUALITY PLANNING
 Quality Planning involves identifying with quality
standards,
 It is a key facilitating process during the Project
planning Process,
 In modern quality management quality is planned in
and not inspected in
 Prior to the development of ISO 9000 series, quality
planning concepts were widely discussed as part of
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 QUALITY PLANNING FLOW CHART

INPUTS TOOLS AND OUTPUTS

TECHNIQUES
1-Quality policy 1-Quality Management plan
1- Benefit/ cost analysis
2- Scope statement 2- operational; definitions
2- Benchmarking
3- Product description 3- checklists
3- flowcharting
4- Standards and regulations 4-inputs to other processes
4- Design of experiments
5- Other process outputs

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 QUALITY PLANNING INPUTS
Quality Policy:
 The over all intentions and direction of an organization with
regard to quality, as formally expressed by the top
management,
 In the case of a joint venture, a quality policy for the
individual project should be developed,
 The management team is responsible for dissipating the
quality policy to all project stakeholders through appropriate
information distribution channels.
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 QUALITY PLANNING INPUTS

Scope Statement:
 The scope statement is a key input to quality
planning because it documents major project
deliverables as well as project objectives which
serve to define important stakeholder requirements.

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 QUALITY PLANNING INPUTS
Product description:
 Although the elements of the product description
may be embodied in the scope statement, the
product description often contains details of
technical issues and other concerns that may
affect quality planning.

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 QUALITY PLANNING INPUTS
Standards and Regulations:
 The Project Management Team any application
area specific standards or regulations that may
affect the project.

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 QUALITY PLANNING INPUTS
Other Process Outputs:
 In addition to the scope statement and product
description, processes in other knowledge areas
may produce outputs that should be considered as
part of the quality planning,
 Example: Procurement Planning outputs may
identify contractor quality requirements that should
be reflected in the overall Quality Management Plan.
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 Tools and Techniques for Quality Planning
Benefit / Cost Analysis:
 The planning process must consider benefit/cost
compromises,
 The Primary Benefit: Is less work, higher productivity,
lower costs, and increased stakeholder satisfaction,
 The Primary Cost: Is the expanses associated with
PQM activities,
Note: it is elementary that the benefit should
outweigh the cost.
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 Tools and Techniques for Quality Planning
Benchmarking:
 Benchmarking involves comparing actual or planned
project practices to those of other projects to
generate ideas to:
1- Generate ideas for improvement,
2-Provide a standard for measurement of performance
Note: other projects compared may be within the
same organization or out side and may be within the
same application area or in another.
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 Tools and Techniques for Quality Planning
Flow charting

 The flowcharting techniques in quality management

generally include,
- cause and effect diagram,
- System or process flow charts,

 Flowcharting can help in anticipating probable quality

problems and thus helps to develop approaches for
dealing with them,
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 Tools and Techniques for Quality Planning
Design of Experiments

 This is an analytical technique which aims to define

variables that have most influence on the overall
outcome,
 This technique is commonly applicable to the product
of the project issues.
 However this technique can also be used in project
management issues such as cost and schedule
tradeoffs to allow for optima solutions.
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 Outputs from Quality Planning
Quality Management Plan

 The quality management plan should describe how a

project management team will implement its quality
policy,
 Also called Quality System, (in ISO terminology), the
plan should define :
- The organizational structure,
- Roles and responsibilities,
- Resources needed for implementation of quality
management.
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 Outputs from Quality Planning
Quality Management Plan (continued)

The Quality Plan should address:

-Quality Control of the project,
-Quality Assurance,
-Quality Improvement of the project,

Note: the project quality plan can be highly detailed or

broadly framed based on the needs of the project.
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 Outputs from Quality Planning
Operational Definitions:
An operational definition describes what something is
and how it is measured by the quality control process. For
example:
-the project management team must indicate the start
and end of every activity in a detailed schedule,
-Weather the whole activity or certain deliverables are to
be measured,
Operational definitions are also called Metrics in some
areas of application,
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 Outputs from Quality Planning
Checklists:
A checklist is a structured tool used to verify that a set of
required steps or requirements have been performed.
Many organizations have standard checklists to ensure
consistency of frequently performed activities

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 Outputs from Quality Planning
Inputs To Other Processes:

The quality planning process may identify need for

further activity in another area.

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 QUALITY ASSURANCE
 Quality Assurance encompasses all the planned and
systematic activity implemented in a quality system to
provide confidence that, the project will satisfy the relevant
quality standards.
 Quality Assurance is provided by a Quality Assurance dept.
 Quality Assurance can be INTERNAL (from the Project
Management Team to the performing organization).
 Quality Assurance can be EXTERNAL (Provided to the
Customer and other parties actively involved in the work of
the project).
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 QUALITY ASSURANCE FLOWCHART
INPUTS TOOLS AND OUTPUTS
TECHNIQUES
1-Quality improvement
1-Quality management plan 1- Quality planning tools and
2- Results of quality control techniques
measurements 2- Quality audits
3- Operational definitions

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 INPUTS TO QUALITY ASSURANCE

 Quality Management Plan as previously described,

 Results of quality control measurements which are
records of quality control testing and measurement
in a format of comparison or analysis,
 Operational definitions as previously described in
the output of the Quality Planning.

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 Tools and Techniques For Quality
Assurance
 Quality Planning tools and techniques , which can be
used for quality assurance as well,
 Quality Audits which are a structured review of other
quality management activities:
- they may be timely or carried out randomly,
- They may be carried out by properly trained Internal-
auditors or by third parties such as quality systems
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registration agencies.
 Outputs From Quality Assurance
Quality Improvement:
Quality improvement includes taking action to increase the
effectiveness and efficiency of the project to be provide
added benefits to the stakeholders of that project.
In many cases the implementation of quality improvements
will require preparation of change requests or taking
corrective actions and will be handled according to
procedure for overall change control.
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 QUALITY CONTROL
 Quality control involves monitoring specific project results to
determine if they comply with relevant standards and identifying
ways to eliminate causes of unsatisfactory results.
 Project results mentioned include both PRODUCT results such
as deliverables and MANAGEMENT results such as cost and
schedule performance,
 Quality control is often performed by a quality control
department,
 The project management team should have a working
knowledge of statistical quality control especially sampling and
probability to help evaluate and control outputs.
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 QUALITY CONTROL
 The project management should be aware of the following
among other subjects:
- Prevention ( keeping errors out of the process),
- Inspection (keeping errors out of the customers hand),
- Attribute sampling (for conformity of results),
- Variable sampling (where the results are rated on a continuous scale that
measures the degree of conformity or non conformity),
- Special cause ( unusual events),
- Random causes ( normal process variations),
- Tolerances ( where results should fall with in a defined tolerance range),
- Control limits (the process is in control if it falls within these defined limits)
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 QUALITY CONTROL FLOW CHART

INPUTS TOOLS AND OUTPUTS

TECHNIQUES

1-Work results 1- Inspection 1-Quality improvement

2- Quality management plan 2- Control charts 2- Acceptance decisions
3- Operational definitions 3- Pareto diagram 3- Rework
4- Checklists 4- Statistical sampling 4-Process adjustments
5- Flowcharting
6-Trend analysis

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 INPUTS to QUALITY CONTROL
 Work results: (including both product results and
process results),
 The quality management plan,
 Operational definitions,
 Checklists.

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 Tools and Techniques for Quality Control
Inspection:
 Inspection includes activities such as measuring,
examining and testing undertaken to determine
whether results conform to requirements,
 Inspection can be carried out on the level of a
single activity or a final product,
 Inspections can be called reviews, product reviews,
audits, and walk-throughs.
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 Tools and Techniques for Quality Control
Control Charts:
These charts are graphical representations that display the
result of a process over time and are used to determine if
the process is “in control”,
When in control the process should not be adjusted ,
however it may be changed in order to provide
improvements,
Control charts may be used to monitor any type of output
variable,
Control charts are most often used to monitor repetitive
activity in production but can also be used to monitor cost
and schedule variances,
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 Outputs for Quality Control
Quality improvement:
 Acceptance decisions, where the inspected items will
either be accepted or rejected and those rejected may be
reworked
 Rework, which is an action taken to bring defects or
nonconforming items into compliance with requirements
and specifications. Rework is a frequent cause of project
over-runs and the project management team must make
an effort to minimize it .
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 Outputs for Quality Control
 Completed Checklists, which become a part of a project
record when they are used,
 Process Adjustments, which involves immediate
corrective or preventive action as a result of quality
control measurements. In some cases the adjustment
may need to be handled according to procedures for
overall change control.

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 CONCLUSION
In conclusion we find that in order to achieve PQM or
Project Quality Management , one has to integrate the
concepts of Project management with the processes of
quality management at the project scale and throughout
its different phases.
For effective PQM it is essential that the project
management team be aware of the concepts of quality
management to be able to make use of the described
processes and implement them to achieve the required
end product.
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 CERTIFICATIONS
What is ISO Certification?
An ISO certification is a guarantee that a company’s products
and services are safe, reliable, and of high quality. The
International Organization for Standardization, better known as
ISO, is an international standard-setting body formed by
representatives from various national standards organizations.

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 CERTIFICATIONS FOR CEEC

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 CSR Practices
 NEPC actively practices the mission of “World energy, China Energy Engineering ” and strategy aspiration of
“leading in energy industry and being the first-rate in the world”, fulfils our social responsibilities by
intensifying publicity & education and setting up a well organized management system of corporate social
responsibility, integrating corporate social responsibility into daily operation and participating our
gratefulness in public welfare.
 NEPC persists in legal operation, performs contracts with good faith and provides first class service. Aiming
to be an environmental friendly power plant in the goal of “Near zero emission”, it devotes itself to the
construction of clean, efficient and green energy project through project cost reduction, emission &
consumption reduction, resources saving and environment protection with new process and innovative
technology.
 NEPC sincerely cares about health, rights and interests of employees, satisfying their physical and mental
needs, and creates a harmony environment through the construction of “family culture”. NEPC values the
career growth of employees and helps them make career planning to fulfill individual value goal.
 Looking forward, NEPC will keep on holding the sense of mission and responsibility, undertake the
responsibility for clients, employees, society and environment, enhance the sustainability, and make greater
contribution to the sustainable and harmonious development of enterprises, economics, society and
environment.
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 Any Question ?
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