Arabian Etimaad Industrial Company is following the documents/system of Parent Company, Etimaad, to get certified as ISO 9001:2000, ISO 14001:2004, OSHAS 18001:1999. This system depict AEIC's commitment and plan to ensure project deliverables to the customers in a systematic and planned manner as per company's project management know how, policies, systems, standard procedures and internationally recognized best practices.

The Integrated Management system provides project core team the necessary framework to meet its internal and external business needs. However processes may be supported by the second party's external documents/project specific documents, if desired, superseding company's standard operating procedures. This is a living document that must be maintained and updated at the agreed frequency.

ETIMAAD has prepared this Project Quality Plan (PQP) to comply with the policies of Integrated Management Systems (ISO 9001:2000, ISO 14001:2004, OSHAS 18001:1999

Project Management - "The Etimaad Way"

Irrespective of how thorough and well defined process is and how sophisticated systems and tools are, if the required data is not collected at the right time, the defined process and systems will be useless.

• To manage, we must have control
• To control, we must have measurement
• To have measurement, we must have reporting
• To have reporting, we must collect data

We must focus on the lowest level, where data is collected and fed into the systems. The success of project management system is based on accurate collection of data at this level. For this we need to focus on and train people who will be providing and feeding data in the system. When defining process for this level we must insure the following:

• management's commitment at all levels.
• the system should be simple and user friendly for the users.
• the users must be trained to use the system.
• identification of required data elements to be collected.
• the system users (project people) must be educated to appreciate the importance of feeding the right data at the right time into the systems, only then the generation of reports would be useful.
• minimize data entry and eliminate duplication of data entry effort.

To achieve these goals the process should be well defined and the systems should be integrated to its fullest extent.

The objective of integration of all systems, including ETest, Primavera P6, Tanseeb, and ETfin, is to fully utilize each system’s capability, avoid duplication of effort and generate effective and efficient reports from each system for each level of Organization Breakdown Structure (OBS).

The execution plan and budget for Projects shall be prepared and monitored at the lowest level i.e. resources allocated to execute the project. The complete budgets (including indirect overheads) shall be prepared in Primavera P6 by allocating the cost of resources on the activities which will be performed to execute the project. The budgeted cost of these resources shall roll up to activities, Work Breakdown Structure (WBS), Project, Division and Company level respectively. The budgets shall be entered in Tanseeb at Activity level whereas in ETfin, it shall be entered at Project level.

The resources include:

1. Direct Materials
2. Manpower
3. Consumables
4. Equipment Rental
5. Fixed Assets
6. Subcontract & Services
7. Overheads

1. Direct Materials

The budget for material to be consumed against each activity and WBS of the project shall be imported from P6 in Tanseeb. The inventory shall be maintained in StockmaX module of Tanseeb. The materials shall be received against unique item code of each type of material and shall be issued to the project against specific WBS and Activity code. These WBS and Activity codes shall be populated in StockmaX. The report for consumption of each type of material against particular Activity and WBS shall be generated from StockmaX and shall be imported in Actual cost column in Primavera P6 at activity level. All project cost for reporting purposes would be consolidated in P6. For financial purpose a Consumption Voucher would be generated for import in ETfin.

The TimemaX module of Tanseeb system shall record the attendance and time for each employee. TimemaX and P6 would supplement each other in scheduling and recording the actual man-hours against each WBS and Activity code. TimemaX would generate the payroll while P6 shall calculate direct labor cost and supervision cost at WBS and Activity level; this would be imported into ETfin. The person wise labor cost shall be exported to Primavera P6 at WBS and Activity Level and appear in the Actual Cost Column, it shall be compared with the budgets at the resources level.

Like direct materials, the budget for consumables against each activity and WBS of the project shall be entered in Tanseeb system. The Stocks shall be maintained in StockmaX module of Tanseeb system. The consumables shall be received against unique item code and shall be issued to the project against specific WBS and Activity code. The report for consumption of each kind of consumables against particular Activity and WBS shall be generated from StockmaX and shall be imported in Actual cost column in Primavera P6 at activity level. The cost at the resource level shall be monitored in Primavera P6. For ETfin, the cost of consumables shall be available thru the Consumption Voucher for import in ETfin.

The budgeted rent of equipment to be utilized for each activity and WBS of the project shall be entered in Tanseeb system. The purchase order for rental of equipment shall be generated from ProcuremaX module. The report for equipment-wise machine-hours consumed against particular Activity and WBS shall be generated from Equipment Mgmt. System (Karsaz) and imported into Actual cost column in Primavera P6 at activity level. The cost at the resource level shall be monitored in Primavera P6. A Consumption Voucher would be generated in Tanseeb for rental of equipment as well as any other related cost like POL, O&M, etc. for import in ETfin.

All Fixed Assets of the company shall be entered in Fixed Assets module of ETfin. The project wise depreciation shall be calculated in the Fixed Assets module and shall be posted in General Ledger of the project. The machine-hours consumption would be handled same as rental equipment. The deprecation and financial cost, if any, would be exported to P6 for allocation over WBS and activity on which the piece of equipment has been utilized. The WBS and Activity wise depreciation shall appear in Actual cost column in Primavera P6.

The PO/WO for Subco would be generated in Tanseeb, while all subcontract activities would be monitored in P6. For services PO/WO would be generated and monitored in Tanseeb. The financial impact would be exported to ETfin via expense report.

All indirect overheads for projects shall be booked in ETfin in the relevant account code. The project budget for indirect overheads shall be maintained in Primavera P6 under Project Management head. The actual cost shall be exported to P6 and appear in Actual cost column.

• Etimaad ERP comprises of ETEST, TANSEEB, ETFIN embedded with Primavera (P6).
• This forms the basis of blending rich experience of Etimaad Management in creating a seamless bond between effort and cost.
• This uniqueness gives Etimaad the benefit of finding course correction while executing complex, large scale projects.