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Quality Assurance Framework - Internal Audit Program

Qaremy Construction - NSW Solar Farm Project

Document Control

  • Document No: QAR-QAF-001
  • Revision: A
  • Date: October 2025

1. Purpose

This document establishes the internal audit program for the NSW Solar Farm project to systematically verify that quality management system processes are implemented effectively and comply with project requirements.


2. Objectives

The internal audit program aims to:

  • Verify compliance with the Quality Management Plan and procedures
  • Assess effectiveness of quality processes and controls
  • Identify opportunities for improvement
  • Verify corrective actions from previous audits are implemented
  • Ensure conformance with contractual quality requirements
  • Provide assurance to management and client

3. Audit Principles

All audits shall be conducted according to these principles:

PrincipleDescription
IndependenceAuditors independent from the area being audited
Evidence-BasedConclusions based on verifiable evidence
SystematicStructured and consistent approach
ObjectiveImpartial and fair assessment
DocumentedAll findings recorded and reported
ConstructiveFocus on improvement, not blame

4. Audit Types

4.1 Scheduled Internal Audits

Frequency: Monthly during construction phase

Scope: Systematic review of quality processes, typically covering:

  • Document control and records management
  • Inspection and test plan implementation
  • Material receiving and verification
  • Non-conformance management
  • Training and competency
  • Subcontractor quality performance

4.2 Ad-Hoc Audits

Triggered by:

  • Significant non-conformance or recurring issues
  • Client request or concern
  • Change in key personnel or subcontractors
  • Introduction of new processes or procedures
  • External audit findings requiring verification

4.3 Pre-Activity Audits

Conducted before critical activities commence:

  • Mobilization audit (QMS implementation readiness)
  • Pre-commissioning audit (readiness for energization)
  • Pre-handover audit (completeness of documentation)

5. Audit Schedule

5.1 Annual Audit Plan

MonthAudit Focus AreasAudit Type
Month 1Mobilization & QMS implementationPre-Activity
Month 2Civil works ITP compliance, Material receivingScheduled
Month 3Mechanical installation, Torque controlScheduled
Month 4Electrical installation, Testing proceduresScheduled
Month 5Document control, Records managementScheduled
Month 6NCR management, Corrective actionsScheduled
Month 7Subcontractor quality performanceScheduled
Month 8Training and competency recordsScheduled
Month 9Testing & commissioning readinessPre-Activity
Month 10Electrical testing, Safety complianceScheduled
Month 11Pre-handover documentation completenessPre-Activity
Month 12Overall QMS effectiveness, Lessons learnedScheduled

Note: Schedule may be adjusted based on project progress and priorities.


6. Audit Process

6.1 Audit Planning (1 Week Before Audit)

Step 1: Define Audit Scope

  • Determine processes, areas, or activities to be audited
  • Identify applicable standards, specifications, and procedures
  • Review previous audit findings and NCRs in the area

Step 2: Select Audit Team

  • Lead Auditor (typically QA Manager or delegate)
  • Auditor(s) as required
  • Technical specialist (if required for specific disciplines)
  • Independence Rule: Auditors must be independent from the area being audited

Step 3: Prepare Audit Plan

Audit plan includes:

  • Audit reference number: QAR-AUDIT-[Year]-[Number]
  • Audit date and time
  • Audit scope and objectives
  • Areas/processes to be audited
  • Audit team members
  • Auditees (personnel to be interviewed)
  • Reference documents and standards
  • Audit checklist (see Section 7)

Step 4: Notify Auditees

  • Distribute audit plan minimum 7 days before audit
  • Confirm attendance of key personnel
  • Request relevant records be made available

6.2 Opening Meeting (15 minutes)

Conducted at start of audit:

  • Introduction of audit team
  • Confirm audit scope and objectives
  • Explain audit process and timeframe
  • Request cooperation and access to records
  • Confirm closing meeting time

6.3 Audit Execution (2-4 hours typically)

Evidence Gathering Methods:

  1. Document Review

    • Procedures and work instructions
    • Quality records (ITPs, test certificates, NCRs)
    • Material certificates
    • Training records
    • Previous audit reports
  2. Interviews

    • QC Inspectors, Site Engineers, Superintendents
    • Subcontractor representatives
    • Document Controller
    • Ask open-ended questions to understand processes
  3. Physical Verification

    • Site inspections to verify work against records
    • Check material storage and identification
    • Verify equipment calibration status
    • Observe work in progress

Audit Trail:

  • Follow a sample of work from start to completion
  • Example: Select a completed tracker row
    • Check foundation records (civil ITP)
    • Check mechanical installation records (torque logs)
    • Check electrical connection records (string tests)
    • Verify all records are complete and approved

Recording Findings:

  • Take notes during audit
  • Record evidence (document references, photos, interview notes)
  • Classify findings (see Section 6.4)

6.4 Audit Findings Classification

Observation (OBS)

  • Positive practice worth noting
  • Minor procedural variation with no impact
  • Opportunity for improvement
  • Action: Note for improvement, no formal response required

Non-Conformance (NC)

  • Clear deviation from procedure, standard, or requirement
  • Missing or inadequate quality records
  • Repeated observations indicating systemic issue
  • Action: Formal corrective action required

Severity:

  • Major NC: Significant compliance issue, absence of required process, or systemic failure
  • Minor NC: Isolated procedural deviation or incomplete implementation

6.5 Closing Meeting (30 minutes)

Conducted at end of audit:

  • Present audit findings (observations and non-conformances)
  • Discuss evidence supporting each finding
  • Allow auditee to respond or clarify
  • Agree on corrective action timeframes
  • Confirm date for audit report distribution

6.6 Audit Reporting (Within 3 Days)

Audit Report Contents:

  1. Executive Summary

    • Audit date and team
    • Scope and objectives
    • Overall assessment (satisfactory/needs improvement)
  2. Audit Findings

    • Positive observations
    • Non-conformances (major and minor)
    • Each finding with:
      • Description
      • Evidence
      • Reference to requirement
      • Classification
  3. Conclusions

    • Overall QMS effectiveness in audited areas
    • Trends or systemic issues identified
    • Strengths noted
  4. Recommendations

    • Suggested improvements
    • Areas requiring management attention
  5. Appendices

    • Audit plan
    • Audit checklist
    • Supporting photos or documents

Report Distribution:

  • QA Manager
  • Project Manager
  • Construction Manager
  • Auditees (relevant supervisors/managers)
  • Client (if contractually required)

6.7 Corrective Action (Within 30 Days)

For Each Non-Conformance:

  1. Auditee proposes corrective action
  2. Submit corrective action plan to QA Manager within 7 days
  3. Implement corrective action
  4. Provide evidence of implementation
  5. QA Manager verifies implementation
  6. Close audit finding

Target Closure:

  • Major NC: 14 days
  • Minor NC: 30 days

6.8 Follow-Up Audit

If major non-conformances identified or corrective actions are extensive:

  • Conduct follow-up audit within 30-60 days
  • Verify corrective actions are implemented and effective
  • Check for recurrence of issues

7. Audit Checklists

7.1 Generic Audit Checklist Template

No.RequirementEvidence to CheckCompliant?Comments
1☐ Yes ☐ No ☐ N/A
2☐ Yes ☐ No ☐ N/A

7.2 Sample Checklist: Material Receiving Process

No.Audit QuestionReferenceEvidenceY/N/NAFinding
1Is QAR-QCP-001 (Material Receiving Procedure) available and current revision in use?QCP-001Check document control system
2Are QC Inspectors trained on material receiving procedure?Training recordsReview training register
3Are Material Receiving Inspection Reports (Form QF-001) being completed for deliveries?Form QF-001Review last 5 deliveries
4Are material certificates received and verified before acceptance?Material certsCheck certificates for recent deliveries
5Are non-conforming materials identified and segregated?NCRs, site inspectionCheck for quarantine areas
6Are materials stored per procedure requirements?QCP-001, site inspectionInspect storage areas
7Is material traceability maintained?Material registerCheck serial numbers/batch records
8Are rejected materials returned to supplier in timely manner?NCRs, delivery recordsReview rejected material records

7.3 Sample Checklist: ITP Compliance

No.Audit QuestionReferenceEvidenceY/N/NAFinding
1Are approved ITPs available at point of use?ITPsCheck site office and with QC Inspectors
2Are ITPs being followed (correct inspection points being checked)?ITP recordsReview completed inspection records
3Are Hold Points being respected (work stopped until approval)?ITP recordsCheck timestamps and approvals
4Are required inspection parties present for Hold/Witness points?ITP recordsCheck signatures on forms
5Are inspection records completed legibly and fully?ITP recordsReview sample of records
6Are inspection records signed and dated by inspector?ITP recordsCheck for signatures
7Are non-conformances identified during inspections being documented?NCRsCross-check failed inspections vs NCRs
8Are ITP records submitted to Document Controller within 24 hours?Filing systemCheck submission timestamps

7.4 Sample Checklist: Non-Conformance Management

No.Audit QuestionReferenceEvidenceY/N/NAFinding
1Are non-conformances being identified and documented?NCR registerReview NCR register
2Are NCRs raised in timely manner (within 24 hours)?NCRsCheck dates on NCRs
3Are root cause analyses being conducted for major NCRs?NCRsReview Section D of NCR forms
4Are corrective actions approved before implementation?NCRsCheck approval signatures
5Are corrective actions verified after implementation?NCRsCheck Section F of NCR forms
6Are preventive actions identified and implemented?NCRsReview Section G of NCR forms
7Are NCRs being closed within target timeframes?NCR registerCheck "days open" in register
8Is NCR trend analysis being performed?Monthly reportsReview QA Manager's reports

8. Auditor Qualifications

8.1 Lead Auditor

Minimum Qualifications:

  • Formal audit training (ISO 9001 internal auditor course or equivalent)
  • Minimum 3 years quality management experience
  • Understanding of project standards and specifications
  • Strong communication and interview skills
  • Ability to remain objective and independent

QA Manager is the primary Lead Auditor for this project.

8.2 Auditors

Minimum Qualifications:

  • Technical knowledge of area being audited
  • Understanding of quality management principles
  • Training in audit techniques (may be on-the-job)
  • Independence from area being audited

Potential Auditors:

  • Lead QC Inspectors (for areas outside their discipline)
  • Site Engineers (for subcontractor audits)
  • External quality consultants (if required)

9. Audit Records

9.1 Audit File Contents

Each audit shall have a file containing:

  • Audit plan
  • Audit checklists (completed)
  • Interview notes
  • Photos or evidence documents
  • Audit report
  • Corrective action plans and responses
  • Evidence of corrective action closure

9.2 Audit Register

QA Manager maintains Audit Register tracking:

  • Audit number and date
  • Audit type and scope
  • Auditors
  • Number of findings (major NC, minor NC, observations)
  • Status (report issued, corrective actions in progress, closed)
  • Date closed

10. Management Review

10.1 Quarterly Management Review Meeting

Attendees:

  • Project Manager
  • QA Manager
  • Construction Manager
  • Discipline Superintendents
  • Client representative (if required)

Agenda:

  • Review audit results and trends
  • Review NCR statistics and trends
  • Quality KPI performance vs targets
  • Resource adequacy for quality activities
  • Effectiveness of QMS
  • Client feedback
  • Opportunities for improvement
  • Action items from previous review

Output:

  • Management review minutes
  • Action items with responsibilities and due dates
  • Decisions on QMS changes or improvements

11. Continuous Improvement

Audit findings and management reviews drive continuous improvement:

  • Identify systemic issues requiring procedure updates
  • Enhance training programs based on recurring findings
  • Adjust inspection frequency based on performance trends
  • Recognize and share good practices
  • Update QMS documentation to reflect lessons learned

12. References

  • AS/NZS ISO 9001:2016 - Quality Management Systems (Clause 9.2: Internal Audit)
  • AS/NZS ISO 19011:2019 - Guidelines for auditing management systems
  • QAR-QMP-001 - Quality Management Plan
  • All project ITPs and QC procedures

13. Appendices

  • Appendix A: Audit Plan Template
  • Appendix B: Audit Report Template
  • Appendix C: Audit Checklist Library
  • Appendix D: Auditor Training Requirements
  • Appendix E: Audit Register Template

14. Revision History

RevisionDateDescriptionPrepared ByApproved By
AOct 2025Initial IssueQA ManagerProject Manager

END OF DOCUMENT

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