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Exploration & Production Division - 22008.MAN.GEN.RWP 01 1 of 30

MAINTENANCE MANAGEMENT SYSTEM

Guideline for Maintenance Operating
Procedures

Maintenance Budget Management

ABSTRACT

This guideline deals with the management of the Maintenance Budget preparation, approval and control to
support the Maintenance Management.

01 See Revision Sheet F. Fabio E. Trovato R. Vanzini 15 Dec. 06

00 Final Issue Fabio Cadelli Vanzini 19 Dec. 03
REV REASON FOR ISSUE PREPARED VERIFIED APPROVED DATE

Documento riservato di proprietà di Eni S.p.A.- Divisione Exploration & Production. Esso non sarà mostrato a Terzi né utilizzato per scopi diversi da quelli per i quali è stato inviato.
This document is property of Eni S.p.A. – Exploration & Production Division. It shall neither be shown to Third Parties nor used for purposes other than those for which it has been sent.
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MODIFICATION SHEET

Rev. 01 Revised “Glossary” and “Fig. 2.1.1: Workflow Map” in order to reflect the inclusion of the
“Minor Corrective Maintenance” type
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FOREWORD

This document is an integral part of the Maintenance Management System.

The Maintenance Management System gives a common framework to be followed by the
Maintenance Management function in the Facilities operated by Exploration & Production (E&P)
Division.
The aim of Maintenance Management System is to optimise the maintenance activities basing on the
philosophy and strategies defined in the Basic Design of the plant during the Concept definition and
to be considered during Development phases of the Project for CMMS selection, implementation,
and go-live.

The presented maintenance flows are described according to the “Guidelines for organisational
charts” [SVI.DMS.GL.0001] and “Guidelines for job description” [SVI.DMS.GL.0002] of the new
Development Projects/Production Fields.

The Maintenance Management System is part of the Technology Management System (TMS).
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TABLE OF CONTENTS

FOREWORD ............................................................................................................................... 2
ACRONYMS ............................................................................................................................... 5
JOB ACRONYMS ....................................................................................................................... 5
GLOSSARY ................................................................................................................................ 6
KEY TO WORKFLOW ................................................................................................................ 9
1. INTRODUCTION .......................................................................................................... 10
2. GUIDELINE OBJECTIVE AND SCOPE...................................................................... 11
2.1 OBJECTIVES ............................................................................................................... 11
2.2 SCOPE ......................................................................................................................... 13
2.3 APPLICABILITY ........................................................................................................... 13
3. REFERENCES ............................................................................................................. 14
4. WORKFLOW DIAGRAM ............................................................................................. 15
4.1 MAINTENANCE BUDGET MANAGEMENT WORKFLOW.......................................... 15
4.2 PREVENTIVE MAINTENANCE BUDGET ................................................................... 16
4.3 CORRECTIVE MAINTENANCE BUDGET .................................................................. 17
4.4 EXTRAORDINARY MAINTENANCE AND IMPROVEMENT WORKS BUDGET........ 18
4.5 MAINTENANCE BUDGET APPROVAL....................................................................... 19
4.6 MAINTENANCE BUDGET CONTROL (PM TYPE) ..................................................... 21
4.7 MAINTENANCE BUDGET CONTROL (NOT PM TYPE)............................................. 22
4.8 MAINTENANCE BUDGET FORECAST....................................................................... 23
4.9 MAINTENANCE BUDGET REVISION ......................................................................... 24
4.10 WORKFLOW STEPS DESCRIPTION ......................................................................... 25
5. RESPONSIBILITY MATRIX SUMMARY..................................................................... 29
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ACRONYMS

CBM Condition Based Maintenance

CMMS Computerized Maintenance Management System
EM Extraordinary maintenance
IW Improvement works
OR Order Request
PM Preventive Maintenance
WO Work Order
WR Work Request

JOB ACRONYMS

CRSV Control Room Supervisor

DMSV Discipline (either Electrical or Instrumentation or Mechanical or
Rotating equipment or Workshop or Jacket, as applicable)
Maintenance Supervisor
EVERY Ditto
EXEC Executors
FPCO Field Production Coordinator
GMG General Manager
HDQT Headquarters supporting structures (Contract Department,
Procurement Department, etc.)
HSEQ HSEQ Superintendent
MESI Maintenance Engineering Superintendent
MESV Maintenance Engineering Supervisor
MOSI Maintenance Operation Superintendent
MPSV Maintenance Planning Supervisor
MRSI Maintenance Reporting & Controlling Superintendent
OFMG Offshore/Onshore Field Manager
OMG Operation Manager
POSI Plant Operations Superintendent
PPSV Power Plant Supervisor
PSMG Production Support Manager
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GLOSSARY

COMPANY: Owner of the facilities (Production Unit(s) or parts of them)

CONTRACTOR: An independent organisation, which supplies services of any kind to Company under
contract award.
Dependability: Collective item used to describe the availability and its influencing factors: reliability,
maintainability and maintenance supportability.
Failure: Termination of the ability of an item to perform a required function.
NOTE 1 After failure the item has a fault, which may be complete or partial.
NOTE 2 “Failure” is an event, as distinguished from “fault”, which is a state.
Fault mode: One of the possible states of a faulty item, for a given required function.
Global Service Contract assigned to a qualified independent organisation (called
Maintenance CONTRACTOR) relevant to maintenance activities executed in any Production Units
Service (GMS): owned and operated by COMPANY.
A Global Maintenance Service implies that CONTRACTOR shall execute the Service
autonomously and under complete responsibility, utilising proper managerial and
operative structures and resources.
COMPANY evaluation shall be based on results achieved, without direct intervention
on maintenance management and execution flow.
Item: Any part, component, device subsystem, functional unit, equipment or system that can
be individually considered.
NOTE: A number of items e.g. a population of items, or a sample, may itself be
considered as an item.
Maintenance Item: An item that represents a centre of interest from a maintenance point of view, (e.g. for
tracking costs, faults and/or maintenance history).
NOTE: From a maintenance point of view, a Maintenance Item could be intangible (a
maintenance task).
Maintenance: The combination of all technical and administrative actions, intended to retain an item
in, or restore it to, a state in which it can perform a required function.
Maintenance The system of information distribution by written or electronic documents addressed to
Reporting: the involved structure suitable for giving the necessary level of knowledge for taking
actions, monitoring, implementing required corrective actions. The reporting content is
the feedback from maintenance activities derived from CMMS output, screened and
organised in order to cover the level of information needed by the addressees.
Reporting encompasses managerial, technical, economic, administrative matters.
A reporting document shall contain mainly measurable information more than
descriptive details.
NOTE: the operative documents, such as maintenance plan, work orders, etc. are not
included in document reporting category. They shall be considered working tools or
maintenance records.
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Maintenance ƒ A documented plan for a type of Preventive Maintenance job that can be used
Specification (or repetitively. Typically, it includes:
Model Work ƒ Equipment type (i.e. Horizontal single stage process centrifugal pump, Low
Order): voltage AC electrical motor, etc.)
ƒ Maintenance specification title
ƒ Maintenance activity (i.e. Overhaul, inspection, monitoring, compliance test,
etc.)
ƒ Maintenance instructions (i.e. tasks to be performed)
ƒ Priority
ƒ Frequency (i.e. quarterly, yearly, 20,000 machine hours, 1,000,000 strokes,
etc.)
ƒ Resources required (i.e. man-hours, persons, materials, tools, craft,
contractors, etc.)
ƒ Special requirements (i.e. safety precautions, manuals, drawings, etc).
Maintenance Management methods used in order to achieve the maintenance
strategy: objectives
Maintenance Preventive The maintenance carried out at predetermined intervals, or according
Types Maintenance: to prescribed criteria and intended to reduce the probability of failure
or the degradation of the functioning of an item
Condition The preventive maintenance based on performance
Based and/or parameter monitoring and the subsequent
Maintenance: actions.
NOTE: Performance and parameter monitoring may
be scheduled, on request or continuous.
Predetermined Preventive maintenance carried out in accordance
maintenance: with established intervals of time or number of units
of use but without previous condition investigation.
NOTE: In both cases the meaning of Scheduled
Maintenance has to be intended as: The preventive
maintenance carried out in accordance with an
established time schedule or number of units of use
(strokes, machine hours, cycles, etc) schedule
Corrective Maintenance carried out after fault recognition and intended to put an
Maintenance: item into a state in which it can perform a required function.
Deferred Corrective maintenance which is not immediately
Maintenance: carried out after a fault detection but is delayed in
accordance with given maintenance rules.
It can be associated to both “Urgent” (Unplanned) or
“Normal” (planned) Corrective Maintenance.
Immediate Maintenance which is carried out without delay after
Maintenance: a fault has been detected to avoid unacceptable
consequences. It can be associated to “Emergency”
Corrective Maintenance.
Minor A special form of (Corrective) Maintenance that is
Maintenance: defining an activity that is so limited in scope that it
does not require assembly into a work order.
Because of their nature these activities should not
track costs in CMMS.
Extraordinary Combination of all technical, administrative and managerial actions,
Maintenance: intended to ameliorate the dependability of an item, without changing
its required function that have a considerable economic impact.
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Improvement: Combination of all technical, administrative and managerial actions,

intended to ameliorate the dependability of an item, without changing
its required function.
Modification: Combination of all technical, administrative and managerial actions,
intended to change the function of an item.

NOTE 1: Modification does not mean replacement by an equivalent

item.

NOTE 2: Modification is not a maintenance action but has to do with

changing the required function of an item to a new required function.
The changes may have an influence on the dependability or on the
performance of the item, or both.

NOTE 3: Modification may be allocated to the maintenance

organization.
Master data: All data relevant to plants, functional units, and items that allow to perform maintenance
activities.
Production Unit: Profit centre having assigned an autonomous budget and a production target.
The Unit is managed by a nominated Responsible and the structure includes internal
Operation and Maintenance organisation, with assigned targets.
In ENI O&M division, the lower hierarchical level of Production Unit organised as a
profit centre, is the Centrale or Campo (Oil Field), located in offshore or in onshore.
Work Order: The prime document used by the maintenance function to manage maintenance tasks.
It may include such information as
ƒ required work description
ƒ task priority,
ƒ job procedure to be followed,
ƒ parts, materials, tools and equipment required to complete the job,
ƒ labour hours,
ƒ costs and materials consumed in completing the task, as well as key
information of failure causes, kind of work performed etc.
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KEY TO WORKFLOW

Shape Shape Description

start Stands for the starting point of a workflow.

finish Stands for the ending point of a workflow.

Stands for a node in which more than one flow converge/diverge.

step code job acronym Stands for intellectual or manual process. In the upper-left
corner, the step code is placed, while in the upper right corner
Intellectual or manual
process the job acronym is placed. The box colour of step code and job
acronym depends on the main job involved (see table below).

step code job acronym Stands for a process that could be performed by CMMS means
or by CMMS itself (i.e. WO automatic generation). The box
CMMS process colour of step code and job acronym depends on the main job
involved (see table below).

step code job acronym

Stands for a process that could be performed by means of a
Generic computerized computerized tool (CMMS excluded). The box colour job
process
acronym depends on the main job involved (see table below).

step code
Stands for a macro-process. In the upper-left corner, the subject
macro-process
detailed procedure code is placed, while the upper right corner
is blanketed.

decision Stands for a decision-making process, generally yes/no.

linked
procedure Stands for a reference link to the mentioned procedure.

linked
step
Stands for a reference mark made for the step mentioned within
the on-going procedure.

Colours meaning table

Managerial Position Field Position Support Position

PSMG
GMG OFMG
MRSI
OMG FPCO
HSEQ

Production Maintenance Maintenance Engineering

POSI MOSI MESI

CRSV DMSV MPSV
PPSV EXEC MESV
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1. INTRODUCTION

This document supports a specific element of the Maintenance Management System. The
Maintenance Management System has been developed to provide a comprehensive and
structured set of knowledge and an integrated framework to manage maintenance activities,
thus ensuring effective and efficient use of the Company’s resources.
The set of procedures of Maintenance Management System describes in detail the steps to be
executed in order to perform relevant activities with the eventual support of CMMS.

This document is written as a guideline and therefore represents recommended format and
content rather than a mandatory, prescriptive procedure. Individual projects may deviate from,
or modify the typical contents described here, wherever such deviations are appropriate to fit
in the organizational structure.

This document is managed by O&M Project Team, all the changes of and contributions to this
document will be shared with and validated by O&M Project Team and a new release of this
document will be issued by O&M Project Team.
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2. GUIDELINE OBJECTIVE AND SCOPE

2.1 OBJECTIVES

The main objectives of this guideline are:

• To describe the workflow to prepare, to approve, to control and to revise the Maintenance
Budget, either for preventive maintenance, corrective maintenance, extraordinary
maintenance and for modifications and improvement works.
• To define responsibility, interfaces and methods to be followed in the Maintenance Budget
management.

On the overall maintenance workflow map, depicted on the next page, this guideline is
represented by the box with a bold outline.
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start

Extraordinary
Maintenance
start

Corrective Work Request

Maintenance
no start

Modifications &
Improvements
Emergency?

no start

Minor Work Order Preventive

Urgent? no maintenance? creation Maintenance

yes

Work request for Preventive

Work Order Maintenance Work
Minor (corrective) planning Order auto
Maintenance
generation

yes finish

Work scheduling

yes
Maintenance
strategy review

Urgent Work
Request & Work Work execution
Order creation

“A posteriori” Work Work Order

Work execution Request & Work completion &
Order creation closure

Maintenance Continuous
Reporting improvement

start start

Data base
Maintenance Master data
Budget updating
management
Management

finish

start start

Global Maintenance
Maintenance Processes
Services

finish finish

Fig. 2.1.1: Workflow Map

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2.2 SCOPE
The scope of the Maintenance Budget Management, described within this document, is to give
to the production organisation professionals a best practice to lead the management of
maintenance to a level that guarantees an easy and correct workflow.

2.3 APPLICABILITY

The procedure described in this document shall be applied to any organization (external entity
or internal department) in charge of managing and executing Maintenance activities in any
Production Unit, onshore or offshore, fully owned by ENI E&P division or managed in joint
venture with other partners.
The procedure described in this document is referred to the production phase of the facilities.

Therefore, this procedure utilizes the organization chart, the job titles and the responsibilities
and duties described for these Production Units in ENI documents: SVI.DMS.GL.0001
“Guideline for Organizational charts” and SVI.DMS.GL.0002 “Guideline for Job Descriptions”.
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3. REFERENCES

Document Code Document Description

SVI.DMS.GL.0001 Guideline for Organizational charts
SVI.DMS.GL.0002 Guideline for Job Descriptions
SVI.TMS.MA.0001.000 TMS Handbook
22000.MAN.GEN.SDS Rev.00 Guideline for Maintenance Operating Procedures – General
Maintenance Processes
22001.MAN.GEN.RWP Rev.00 Guideline for Maintenance Operating Procedures – Master
Data Management
22002.MAN.GEN.RWP Rev.00 Guideline for Maintenance Operating Procedures – Preventive
Maintenance
22003.MAN.GEN.RWP Rev.00 Guideline for Maintenance Operating Procedures – Corrective
Maintenance
22004.MAN.GEN.RWP Rev.00 Guideline for Maintenance Operating Procedures –
Modifications and Improvement
22005.MAN.GEN.RWP Rev.00 Guideline for Maintenance Operating Procedures –
Extraordinary Maintenance
22006.MAN.GEN.RWP Rev.00 Guideline for Maintenance Operating Procedures –
Maintenance Work Management
22007.MAN.GEN.RWP Rev.00 Guideline for Maintenance Operating Procedures –
Maintenance Reporting
22008.MAN.GEN.RWP Rev.00 Guideline for Maintenance Operating Procedures –
Maintenance Budget Management
22009.MAN.GEN.RWP Rev.00 Guideline for Maintenance Operating Procedures – Global
Maintenance Service Management
22010.MAN.GEN.SDS Rev.00 Operations & Maintenance Engineering –Guideline for RCM
Implementation
22011.MAN.GEN.RWP Rev.00 Operations & Maintenance Engineering –RCM Handbook
20666.MAN.GEN.SDS Rev.00 Maintenance Management System – Maintenance Entities
Description.
ISO 14224:1999(E) Petroleum and natural gas industries - Collection and
exchange of reliability and maintenance data of equipment
BS EN 13306:2001 Maintenance Terminology
BS 4778:Section 3.2:1991 / Quality Vocabulary Part 3 Availability, reliability and
IEC 50(191): 1990 maintainability terms
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4. WORKFLOW DIAGRAM

4.1 MAINTENANCE BUDGET MANAGEMENT WORKFLOW

start

8.01 8.02 8.03

Drawing up the Drawing up the Drawing up the

Preventive Maintenance Corrective Maintenance Extraordinary Maintenance,
Budget Budget and Improvements Budget

8.01.01 8.02.01 8.03.01

8.04

Maintenance Budget
approval

8.04.01

8.05 8.06 8.07 8.08

PM type Budget control Other than PM types Maintenance Budget Maintenance Budget
Budget control forecast revision

8.05.01 8.06.01 8.07.01 8.08.01

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4.2 PREVENTIVE MAINTENANCE BUDGET

8.01

8.01.01 MESI

Asks MPSV the PM

expenditure forecast for
the following year

8.01.02 MPSV

Selects & extracts PM

WOs expiring the
following year

8.01.03 MPSV

Performs a preliminary
scheduling of each PM
WOs

8.01.04 MESI

Calls for the periodical

maintenance budget
meeting

8.01.05 MESI/POSI

Discuss and agree PM

WOs scheduling

Scheduling
modification
required?

Yes

8.01.06 MPSV

No
Updates PM scheduling
accordingly

8.01.07 MPSV
Draws up the PM budget
for each cost center/class
for the purpose of budget
allowance

8.04
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4.3 CORRECTIVE MAINTENANCE BUDGET

8.02

8.02.01 MESI

Asks MPSV the CO

expenditure forecast for
the following year

8.02.02 MPSV
Procedure 7
Analyses both technical
Maintenance and costs data reports/
Reporting trends of the last and
current year

8.02.03 MPSV

Performs costs projection

for the following year

8.02.04 MPSV
Draws up the CO budget
for each cost center/class
for the purpose of budget
allowance

8.04
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4.4 EXTRAORDINARY MAINTENANCE AND IMPROVEMENT WORKS BUDGET

8.03

8.03.01 MESI

Asks POSI/MOSI the

IW&EM forecast for the
following year

8.03.02 POSI/MOSI

Define their own needs

and draw up the works
list and priorities

8.03.03 MPSV

Estimates the works list

in terms of costs and
manpower

8.03.04 POSI/MOSI

Analyses the list of the

works cost charge

Are there
works exceeding
cost expectation
?

Yes

8.03.05 POSI/MOSI

Delete from the list the No

works exceeding the
expectation

8.03.06 POSI/MOSI

Validate the works list

and priorities

8.03.07 MPSV
Draws up the IW/EM
budget for each cost
center/class for the
purpose of budget
allowance

8.04
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4.5 MAINTENANCE BUDGET APPROVAL

8.04

8.04.01 MESI/FPCO
Validates the
maintenance budget and
hands it over to the
OFMG

8.04.02 OFMG

Verifies manpower and

costs and decides
budget modification if any

Is there any
modification ?

Yes

8.04.03 OFMG

Modifies works list and No

budget as appropriate

8.04.04 OFMG

Hands the budget over to

the OMG

8.04.05 OMG
Evaluates the
maintenance budget
sustainability versus the
production budget

8.04.06 OMG
Is the
Establishes the maintenance
No budget to be
maintenance budget
target approved ?

Yes

8.04.07 OMG

Joints the maintenance

budget to the production
budget

8.04.08
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8.04.07

8.04.08 OMG

Gets the Production

Budget approval

8.04.09 MRSI

Inputs the production

budget figures into the
Company system

8.04.10 MPSV
Issues OR if due, instructs
MESV about WO’s re-
scheduling
and/or re-planning if any

Are WO to
be re-scheduled
and/or re-planned
?

Yes

8.04.11 MESV

Re-schedules and/or re-

plans WO’s as No
appropriate

8.05 8.06
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4.6 MAINTENANCE BUDGET CONTROL (PM TYPE)

8.05.

8.05.01 MPSV Procedure 6

Analyses the PM Maintenance
expenditures for each
cost center, before WO Work
approval Management

8.05.02 MPSV

Compare PM
expenditures versus the
approved budget

Are there
any
deviation ?

Yes

8.05.03 MPSV

Determines deviation
causes

8.05.04 FPCO

Determines and agree

corrective actions

No

Is budget revision
Yes
required?

No 8.08.01

8.05.05 MPSV Procedure 6

Maintenance
Implements corrective Work
actions
Management

finish
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4.7 MAINTENANCE BUDGET CONTROL (NOT PM TYPE)

8.06.

Procedure 6 8.06.01 MPSV

Maintenance
Plans WOs other then
Work PM type
Management

8.06.02 POSI/FPCO
Verifies, where and when
appropriate, the budget
availability for each cost
class and cost center

Procedure 6
Is it budget Maintenance
available for each Yes
of above? Work
Management
No

8.06.03 FPCO finish

Establishes corrective
actions

Is a cost
center budget
Yes
revision
required?

No 8.08.01

8.06.04 MPSV Procedure 6

Implements corrective
Maintenance
actions falling within Work
one’s competence, if any
Management

finish
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4.8 MAINTENANCE BUDGET FORECAST

8.07.

8.07.01 MESI

Analyses historical
maintenance costs

8.07.02 MESI

Analyses the planned

works to be executed
within the forecast period

8.07.03 MESI/FPCO

Draws up the
maintenance forecast

8.07.04 OFMG

Reviews/amends the
maintenance forecast

8.07.05 OMG

Joints the maintenance

forecast to the production
forecast

8.07.06 OMG

Gets the production

forecast approval

8.07.07 MRSI

Inputs the forecast into

the Company system

8.05.08 MRSI

Updates the budget into

the Company system as
required

finish
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4.9 MAINTENANCE BUDGET REVISION

8.08.

8.08.01 FPCO
Prepares Maintenance
Budget revision according to
requirements and submits it
to OFMG

8.08.02 OFMG

Verifies the budget

revision request

Is the
revision to be
approved ?

Yes

8.08.03 OFMG

Submits the budget

revision request to OMG

8.08.04 OMG

Verifies the budget

revision request and
submit it to approval

No

Has been
approved
?

Yes

8.08.05 MRSI

Updates the budget into No

the Company system as
required

finish
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4.10 WORKFLOW STEPS DESCRIPTION

Workflow
Job title Step description
step code
8.01 - The PM budget is prepared in accordance with the Preventive
Maintenance activities to be carried out in the following year.

8.01.01 MESI Asks to MPSV to prepare the preventive maintenance cost

estimate according to the PM WOs to be executed during the
following year.

8.01.02 MPSV Selects and extracts the list of PM WOs that will expire in the
following year.

8.01.03 MPSV Performs a preliminary scheduling of the PM WOs list according to

the frequency of execution

8.01.04 MESI Calls the yearly budget meeting with POSI and MPSV.

8.01.05 MESI/POSI During yearly budget meeting MPSV illustrates the PM work list
pre-schedule. MESI and POSI agree upon the execution of PM
works and identify the possible need to postpone PM activities.

8.01.06 MPSV Re-schedules PM activities by implementing any modification

defined during yearly budget meeting.

8.01.07 MPSV Draws up the PM budget for each cost centre/class for the
purpose of budget allowance.

8.02 - The corrective maintenance budget is prepared on the basis of the

corrective maintenance activities carried out in the previous year.

8.02.01 MESI Asks to MPSV to prepare the corrective maintenance cost

estimate for the following year.

8.02.02 MPSV Identifies the works related to corrective maintenance carried out
during the last and the current year; analyses the costs on the
basis of the historical data, reports, etc., evaluating the impact of
preventive maintenance strategy variation and equipment ageing
or plant modification.

8.02.03 MPSV Bases on the analysis and on the estimated inflation rate and cost
increase, performs cost projection for the following year.

8.02.04 MPSV According to cost projection, draws up corrective maintenance

budget for each cost centre/class for the purpose of budget
allowance.

8.03 - The IW/EM budget is prepared on the basis of the improvements,

modifications and extraordinary maintenance requests to be
carried out in the following year.

8.03.01 MESI Asks to POSI/MOSI to prepare the IW/EM work list for the
following year.

8.03.02 POSI/MOSI Define their own needs and draw up the works list and priorities

8.03.03 MPSV Estimates the cost for the list of IW/EM activities according to the
resources (in terms of skills, hours and material) foreseen to
execute works.
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Workflow
Job title Step description
step code
8.03.04 POSI/MOSI Analyse in terms of cost the list of estimated works.

8.03.05 POSI/MOSI In case of too expensive works, POSI and MOSI agree to delete
or postpone the relevant IW/EM activities.

8.03.06 POSI/MOSI Validate the work list and the priority of IW/EM activities.

8.03.07 MPSV Draws up IW/EM maintenance budget for each cost centre/class
for the purpose of budget allowance.

8.04 - Maintenance Budget approval.

8.04.01 MESI/FPCO MESI and FPCO validate the budget for all maintenance types
and submit the budget to OFMG approval.

8.04.02 OFMG OFMG verifies the cost estimated in maintenance budget and
decides is some modifications are needed.

8.04.03 OFMG Modifies work list, estimated hours and costs as deemed
necessary.

8.04.04 OFMG Hands over the budget for OMG approval.

8.04.05 OMG Verifies the maintenance budget for all fields and, if necessary,
bring in any modifications and evaluates the maintenance budget
sustainability versus the production budget.

8.04.06 OMG If the budget is to be modified, OMG establishes the maintenance

budget target and send it back to OFMG.

8.04.07 OMG If the budget can be approved, OMG merges the maintenance
budget with production budget.

8.04.08 OMG Gets production budget approval according to Company

procedures.

8.04.09 MRSI Enters the maintenance budget in Company system and will be
used as a reference to control the budget.

8.04.10 MPSV Issues Order Request on the basis of approved budget and
informs MESV of any work list modifications. Re-schedules and
re-plans WOs according to work list modifications, if any

8.04.11 MESV Re-plans PM WOs and re-defines the expiration date according to
PM work list modifications, if any.

8.05 - Preventive Maintenance budget control is systematically executed

by MPSV before to approve a PM WO automatically generated in
CMMS.

8.05.01 MPSV MPSV checks the PM WO costs before PM WO approval (see

Maintenance Work Management Procedure)

8.05.02 MPSV Compare and verifies that the PM WO costs match the approved
PM budget.

8.05.03 MPSV If MPSV detects any deviations from approved PM budget,

investigates the causes and informs FPCO.
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Workflow
Job title Step description
step code
8.05.04 FPCO FPCO agrees with MESI and POSI corrective actions to be carried
out. If any cost centre budget revision is needed, performs
modifications according to step 8.08.01.

8.05.05 MPSV If a revision is not required, implements any necessary corrective

actions.

8.06 - The budget control for maintenance types other than PM (CO, EM,
IW) is systematically executed by POSI/FPCO before to approve
any WO belonging to such types.

8.06.01 MPSV MPSV, during work planning determines the cost estimation of the
works belonging to maintenance types other than PM (see
Maintenance Work Management Procedure).

8.06.02 POSI/FPCO Before WO approval, verify if the WO cost estimation is compliant

with the budget appropriated for the relevant WO type and cost
centre/class.

8.06.03 FPCO If the budget is not available for the WO, FPCO agrees with MESI
and POSI corrective actions to be carried out. If any cost centre
budget revision is needed, performs modifications according to
step 8.08.01.

8.06.04 MPSV Implements corrective actions pertaining planning or scheduling

changes according to any FPCO directives.

8.07 - Maintenance Budget is periodically updated through the

performing of a “Forecast” in order to trace out the maintenance
variations/needs emerged after budget approval.

8.07.01 MESI Analyses maintenance costs of the previous period.

8.07.02 MESI Analyses the planned works to be executed within the forecast
period according to any emerged needs.

8.07.03 MESI/FPCO Draw up the Forecast inserting the estimate of cost for each
maintenance type within the forecast period and submit it to
OFMG approval.

8.07.04 OFMG Reviews/amends the maintenance Forecast.

8.07.05 OMG Merges the maintenance Forecast with production Forecast and
submits it to approval.

8.07.06 OMG Receive production Forecast approval according to Company

procedures.

8.07.07 MRSI Enters production Forecast in Company System

8.07.08 MRSI Updates the budget into the Company system as required

8.08 - During the control and check of the maintenance budget can
emerge the need to revise it.

8.08.01 FPCO Verifies the need for maintenance budget revision and, in
affirmative, prepares the revision according to requirements and
submits it to OFMG.

8.08.02 OFMG Verifies the budget revision request

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Workflow
Job title Step description
step code
8.08.03 OFMG Submits the budget revision request to OMG

8.08.04 OMG Verifies the budget revision request and submit it to approval
according to Company procedures.

8.08.05 MRSI Consequent to revision approval, MRSI updates the budget into
the Company system as required.
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5. RESPONSIBILITY MATRIX SUMMARY

Workflow

EVERY

OFMG
PSMG
DMSV
MPSV
MESV

CRSV

FPCO
EXEC

PPSV
MOSI

MRSI
MESI

POSI

OMG
GMG
code
step

Step description

Drawing up the Preventive Maintenance Budget

8.01

Asks MPSV the PM expenditure forecast for the following

8.01.01 x
year
8.01.02 Selects & extracts PM WOs expiring the following year x
8.01.03 Performs a preliminary scheduling of each PM WOs x
8.01.04 Calls for the periodical maintenance budget meeting x
8.01.05 Discuss and agree PM WOs scheduling x x
8.01.06 Updates PM scheduling accordingly x
Draws up the PM budget for each cost center/class for the
8.01.07 x
purpose of budget allowance
8.02 Drawing up the Corrective Maintenance Budget
Asks MPSV the CO expenditure forecast for the following
8.02.01 x
year
Analyses both technical and costs data reports/trends of
8.02.02 x
the last and current year
8.02.03 Performs costs projection for the following year x
Draws up the CO budget for each cost center/class for the
8.02.04 x
purpose of budget allowance
Drawing up the Extraordinary Maintenance and
8.03
Improvements Budget
Asks POSI/MOSI the IW&EM forecast for the following
8.03.01 x
year
Define their own needs and draw up the works list and
8.03.02 x x
priorities
8.03.03 Estimates the works list in terms of costs and manpower x
8.03.04 Analyses the list of the works cost charge x x
8.03.05 Delete from the list the works exceeding the expectation x x
8.03.06 Validate the works list and priorities x x
Draws up the IW/EM budget for each cost center/class for
8.03.07 x
the purpose of budget allowance
8.04 Maintenance Budget approval
Validates the maintenance budget and hands it over to the
8.04.01 x x
OFMG
Verifies manpower and costs and decides budget
8.04.02 x
modification if any
8.04.03 Modifies works list and budget as appropriate x
8.04.04 Hands the budget over to the OMG x
Evaluates the maintenance budget sustainability versus
8.04.05 x
the production budget
8.04.06 Establishes the maintenance budget target x
8.04.07 Joints the maintenance budget to the production budget x
8.04.08 Gets the Production Budget approval x
Inputs the production budget figures into the Company
8.04.09 x
system
Issues OR if due, instructs MESV about WO’s re-
8.04.10 x
scheduling and/or re-planning if any
8.04.11 Re-schedules and/or re-plans WO’s as appropriate x
8.05 PM type Budget control
Analyses the PM expenditures for each cost center, before
8.05.01 x
WO approval
8.05.02 Compare PM expenditures versus the approved budget x
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Workflow

EVERY

OFMG
PSMG
DMSV
MPSV
MESV

CRSV

FPCO
EXEC

PPSV
MOSI

MRSI
MESI

POSI

OMG
GMG
code
step

Step description

8.05.03 Determines deviation causes x

8.05.04 Determines and agree corrective actions x
8.05.05 Implements corrective actions x
8.06 Other than PM types budget control
8.06.01 Plans WOs other then PM type x
Verifies, where and when appropriate, the budget
8.06.02 x x
availability for each cost class and cost center
8.06.03 Establishes corrective actions x
Implements corrective actions falling within one’s
8.06.04 x
competence, if any
8.07 Maintenance Budget forecast
8.07.01 Analyses historical maintenance costs x
Analyses the planned works to be executed within the
8.07.02 x
forecast period
8.07.03 Draws up the maintenance forecast x x
8.07.04 Reviews/amends the maintenance forecast x
8.07.05 Joints the maintenance forecast to the production forecast x
8.07.06 Gets the production forecast approval x
8.07.07 Inputs the forecast into the Company system x
8.07.08 Updates the budget into the Company system as required x
8.08 Maintenance Budget revision
Prepares Maintenance Budget revision according to
8.08.01 x
requirements and submits it to OFMG
8.08.02 Verifies the budget revision request x
8.08.03 Submits the budget revision request to OMG x
Verifies the budget revision request and submit it to
8.08.04 x
approval
8.08.05 Updates the budget into the Company system as required x