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Change Control Procedure

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Table of Contents
1 CHANGE CONTROL 1.1 1.2 1.3 1.4 1.5 1.6 DEFINITIONS OBJECTIVES CONTROLLED DELIVERABLES CHANGE ORDER LOG REFERENCES TO CHANGES EXTENT OF CHANGES 3 3 3 4 4 5 6 7 8 8 10 10 11 12 14 15 16 18 18 19 20 22 22 23 23

2 CHANGE CONTROL PROCEDURE SUMMARY FLOWCHART 3 CHANGE CONTROL PROCEDURE STEP 1: PREPARE AND RECORD CR (REQUEST FOR CHANGE PROPOSAL) STEP 2: VALIDATE CR AGAINST CHANGE CRITERIA STEP 3: SEND CR TO SUPPLIER STEP 4: PREPARE AND SUBMIT CN (CHANGE ESTIMATE PROPOSAL) STEP 5: REVIEW AND VALIDATE CN STEP 6: IF CN ACCEPTED, REQUEST CP (CHANGE PROPOSAL) FROM SUPPLIER STEP 7: PREPARE AND SUBMIT CP (CHANGE PROPOSAL) STEP 8: AGREE ON TERMS OF CP AND IF REQUIRED, CONTRACT AMENDMENT/ADDENDUM STEP 9: IF CP APPROVED, ISSUE AND SIGN CO (CHANGE ORDER) AND CONTRACT ADDENDUM/AMENDMENT (IF REQUIRED) STEP 10: INCORPORATE CHANGE INTO THE EXISTING BUDGET, SCHEDULE AND PLAN STEP 11: PROCESS REJECTION OF THE CHANGE STEP 12: CHANGES ORIGINATING FROM THE SUPPLIER 4 CHANGE CONTROL REVIEW AND MONITORING 4.1 CHANGE PROPOSAL STATUS 4.2 CHANGE REQUEST REVIEW AND ESCALATION 4.3 CHANGE REQUEST MONITORING AND REPORTING

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1 Change Control

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Change Control is the process of managing and controlling any changes to original, agreed upon commitments of the project (including scope, schedule and resources) or associated project deliverables. Changes must be appropriately analyzed so that impacts on the project plan, schedule, budget and deliverables are effectively identified and addressed.

1.1

Definitions

Change is defined as any change, modification, addition, or deletion to, in, or from the System provided that: such Change falls within the general scope of the System; does not constitute unrelated work; and, is technically practicable, taking into account both the state of advancement of the System and the technical compatibility of the Change envisaged with the nature of the System as originally specified in the Contract.

For the purposes of the Change Control Procedure, System can mean the deliverables for: goods and services such as the computerized system for SPAN; or, consulting services such as Business Process Improvement or Change Management.

A Change may involve, but is not restricted to, the substitution of updated information technologies and related services. Change Control refers to the process of managing changes that impact project budget, schedule, plan, resources or previously approved deliverables. Change Control is used to: Determine the impact of suggested changes on overall project scope, schedule and resources. Approve or reject changes based upon analysis of projected impacts. Coordinate integration of approved changes into project budget, schedule, plans, resources and/or deliverables.

1.2

Objectives

The CCB (Change Control Board) established by the Tim Reformasi of the Program RPPN defines the process for managing changes across all critical project areas to ensure the following objectives are met: Maintain a clear and accurate definition of current scope of the project at anytime within the project lifecycle. Allow changes to accepted deliverables to be requested and evaluated, schedule and quality impact assessed, and approved and incorporated or rejected in a controlled manner. Coordinate notification, analysis and decision communication across all applicable parties impacted by a change request. Provide a historic trail of the development activities related to each deliverable, including all requested changes.

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Measure the quality of the initial analysis and requirements gathering phase and assess overall project risk by reviewing the frequency at which requirements change.

The Change Control process is intended to enable timely analysis, management and control of all changes identified throughout the project lifecycle.

1.3

Controlled Deliverables

The following table outlines the project deliverables that are managed under the Change Control Procedure:
Table 1 Project Deliverables Managed Under the Change Control Plan (T Deliverable Project Initiation Report Owner Sub-Team Lead, Vendor Counterpart Sub-Team Lead, Vendor Counterpart Change Control Authorization Required Project Manager, Change Control Board Project Manager, Change Control Board

Project Plan

Change Requests

Sub-Team Lead, Vendor Counterpart Sub-Team Lead, Vendor Counterpart Vendor Counterpart Sub-Team Lead, Vendor Counterpart, Quality Assurance Sub-Team Lead, Project Manager Sub-Team Lead, Vendor Counterpart Sub-Team Lead, Vendor Counterpart

Project Manager, Change Control Board Project Manager

Requirements Document

Design Documents Test Plan

Sub-Team Lead, Project Manager Project Manager, Change Control Board

Communication Plan

Project Manager

Training Plan

Project Manager, Change Control Board Project Manager, Change Control Board

Rollout / Deployment Plan

1.4

Change Order Log

The Change Control Board (CCB) shall keep an up-to-date Change Order Log to show the current status of Change Requests and Change Orders authorized or pending. Changes shall be entered regularly in the Change Order Log to ensure that the log is kept up-to-date. The Supplier (or Contractor or Consultant, herein referred to as Supplier) shall attach a copy of the current Change Order Log in the monthly progress report to be submitted to the Purchaser.

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1.5
1.5.1

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References to Changes
Numbering of Change Documents

Changes shall be referenced by the following numbering system for the various stages of the Change Control process: (1) (2) (3) (4) (5) (6) Where: X Signifies the location where the request originated: o o H: Headquarters or Home Office, so the number will be CR-H-nnn for example S: Site location, so the number will be CR-S-nnn for example Change Request Proposals shall be serially numbered CR-X-nnn. Change Estimate Proposals shall be serially numbered CN-X-nnn. Estimate Acceptances shall be serially numbered CA-X-nnn. Change Proposals shall be serially numbered CP-X-nnn. Change Orders shall be serially numbered CO-X-nnn. Application for Change Proposals shall be serially numbered CS-X-nnn

nnn Signifies the number for the Change Request Proposal, which will be the same number as the Change Estimate Proposal, Estimate Acceptance, Change Proposal, Change Order, and Application for Change Proposal. File Naming Convention for Attachments

1.5.2

Attachments to Change documents shall use the following naming convention: nnn-DD-<<filename>> Where: nnn Signifies the number for the Change Request Proposal as above. DD Signifies the Change document associated with the attachment: o o o o o o CR Change Request CS Application for Change Proposal CN Change Estimate Proposal CA Estimate Acceptance CP Change Proposal CO Change Order

<<filename>> Signifies the filename of the attachment If documents called Module Specifications and Cost Estimate Breakdown were to be attached to the Change Request (CR) and Change Estimate Proposal (CN), respectively, for Change Request No. 5, the filenames for the attachments will be: o o 005-CR-Module Specifications.pdf 005-CN-Cost Estimate Breakdown.pdf

Example:

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1.6 Extent of Changes

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MoF and the Supplier will agree, during development of the Project Plan, to a date prior to the scheduled date for Operational Acceptance, after which the Technical Requirements for the System shall be frozen. Any Change initiated after this time will be dealt with after Operational Acceptance.

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2 Change Control Procedure Summary Flowchart

The diagram below shows the summary flowchart of the Change Control procedure:
RPPN Change Control Procedure Summary
Requester Supplier CCB Advisory Team CCB Decision Making Team Tim Reformasi MoF or Donor/Lending Institution Review

Start

1. Prepare and Record CR (Request for Change Proposal)

2. Validate CR against change criteria Reject if Invalid

CR

4. Prepare and Submit CN (Change Estimate Proposal)

3. Send CR to Supplier

The Request for Change Proposal (CR) can be initiated by: 1. MoF through the Tim Koordinasi Teknis 2. The Supplier/Contractor/ Consultant Recording and updates of the Change Proposals throughout the Change Proposal procedure shall be done by the PIU or Secretariat Sub Team of the Tim Koordinasi Teknis on behalf of the CCB Advisory Team. If a change is proposed by the supplier then the supplier will furnish all information to the PIU for recording and prepare and submit an Application for Change Proposal (CS).

CN

5. Review and Validate CN Reject if Not Accepted or Supplier Objection Accepted

Formulate Decision on CN

Formulate Decision on CN

7. Prepare and Submit CP

6. If CN Accepted, Request CP (Change Proposal) from Supplier

CP

CA (Change Est Acceptance)

8. Agree on Terms of CP and if Required, Contract Amendment/ Addendum Reject if Not Approved

Formulate Decision on CP

Formulate Decision on CP

Formulate Decision on CP

9. If CP Approved, Issue and Sign CO (Change Order) and Contract Addendum/Amendment (if required)

Contract Amendment/ Addendum

Signed CO

End

10. Incorporate Change into the existing Budget, Schedule and Plan

11. Process Rejection of the Change

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3 Change Control Procedure

The steps for the Change Control Procedure outlined in the flowchart above are described in this section.

STEP 1: Prepare and Record CR (Request for Change Proposal)

The Request for Change Proposal (CR) can be initiated by either of the following as the Requester: 1. 2. MoF through the Tim Koordinasi Teknis The Supplier

Recording and updates of the Change Proposals (CP) throughout the Change Proposal procedure shall be done by the PIU or Secretariat Sub Team of the Tim Koordinasi Teknis on behalf of the CCB Advisory Team. The Supplier may from time to time during its performance of the Contract propose to MoF any Change that the Supplier considers necessary or desirable to improve the quality or efficiency of the System. If a change is proposed by the supplier then the supplier will furnish all information to the PIU for recording. Change Proposals initiated by the Supplier are described in Step 12. No change made necessary because of any default of the Supplier in the performance of its obligations under the Contract shall be deemed to be a Change, and such change shall not result in any adjustment of the Contract Price or the Time for Achieving Operational Acceptance When the Requester requests a change that has a potential impact on project budget, schedule, plan, resources, or any previously approved deliverable, a CR is entered into the Change Proposal log by the PIU. The CR must: Identify the impacted project deliverable(s). Clearly describe the change being requested. Include a description of the potential impact of incorporating the suggested change. This gives the Change Control Board and/or key stakeholder a better understanding of why the change is being submitted and what importance it has from the perspective of the submitting party.

The following guidelines outline the data required in completing a new CR:
Table 2 Data Required for Request for Change (CR) 1. 2. 3. 4. 5. 6. 7. 8. 9. Data Item Title of Change Change Request No. Revision No. Date of Request for Change Proposal Originator of Change Name of Requester MoF Signatory Description of Change Brief Description Notes # Decide manual or ID number from system # Will be in printed in the format CR-X-nnn Zero for new requests, sequential number for revision levels Enter date CR is requested MoF or Supplier The name of the signatory authorized to accept the CR on behalf of MoF Enter a concise but meaningful short description for the change being requested. This field will be displayed on summary reports, so the content should represent the essence of the requested change to

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Data Item

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10. Detail Description

11. Reason(s) for Change 12. System or Subsystem or major component affected by requested Change: 13. Technical documents and/or drawings for the request of Change 14. Detailed conditions or special requirements of the requested Change 15. Priority

Notes the extent possible Enter a thorough description of the change being requested. The description should be as specific as possible, clearly identifying impacted project teams and outlining any anticipated impacts to project budget, schedule, plan, resources, or previously approved deliverable(s). In addition to the verbal description of the impacts of the requested change, the description should clearly identify the estimated total number of hours required to fully analyze the impacts of the change request. This information will be critical in understanding the impact analysis on a given change will have on existing project activities. Describe the reason why this change is necessary Where applicable, also specify the phase of the project that will be effected by the change List technical documents and/or drawings for the request of Change, providing descriptions for each document and/or drawing

16. Status 17. Reason for rejection or deferment

Select the appropriate level of priority based on the anticipated impact the change will have on progress and objectives: High The project cant move forward with integrity until this change request is resolved. Medium This change request will impact the projects ability to move forward with integrity in the near future. Low This change request is not impacting the projects ability to move forward, but it is being noted due to long-term considerations for the overall Project. Emergency - The progress of the project will be severely impacted if the change is not implemented. Set to Requested To be filled in Step 11 if CR is rejected or deferred

Documents Produced 1. 2. 3. 4. Request for Change Proposal (CR) Application for Change Proposal (CS, if Change requested by Supplier) Supporting documents for the CR Supporting documents for the CS (if Change requested by Supplier)

Updates to the Change Proposal Log 1. New CR added with information from the table above 2. Upload softcopies of supporting documents for the CR or CS (if Change requested by Supplier)

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STEP 2: Validate CR against Change Criteria

The Change Proposal Log is reviewed by Project Manager regularly during the week. The Project Manager is responsible for reviewing each newly submitted change request and determining: 1. 2. 3. If the change request is a valid (meets the criteria for change, not a duplicate, or not simply an issue or risk); and, Whether or not further clarification is required. The change is required for the project to achieve its agreed objectives; or The change is required to remove significant risks to the projects success; or The change will produce substantial efficiencies or benefits

A CR will be considered only if one or more of the following criteria are proven:

If the change is a duplicate, the Project Manager contacts the requestor to inform them and deletes the change. If the change request is determined to be invalid (should be handled as an issue or risk), the Project Manager sets the status to Rejected in the Change Request Log and informs the requestor of the reason the change request was rejected. If the change request requires additional detail or clarification, the Project Manager works with the requestor to add sufficient information to the change request form. If the change request is clearly and thoroughly documented, the Project Manager brings the change request to the Project Team meeting. On a weekly basis, new change requests (those with status set to Requested) are assessed by the Project Team on the basis of scope of the change being requested, its potential impact on the project, and the hours required to analyze the requested change. If a Change Request is required to be assessed in an accelerated manner then the Project Manager will call an emergency meeting to review. Decision on CR If the CR is rejected, the reason(s) for the rejection must be documented then proceed to Step 11, otherwise proceed to the next step. Documents Produced 1. CR Signed on behalf of MoF 2. Additional supporting documents for the CR (as required) Updates to the Change Proposal Log 1. Update Status to CR Accepted 2. Upload softcopies of additional supporting documents for the CR

STEP 3: Send CR to Supplier

After the CR is validated the CR as well as relevant supporting documents is sent to the Supplier, requiring the Supplier to prepare and furnish as soon as reasonably practicable a Change Proposal (CP). Updates to the Change Proposal Log 1. Update Status to CN Analysis

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STEP 4: Prepare and Submit CN (Change Estimate Proposal)

Prior to preparing and submitting the CP, the Supplier shall submit a Change Estimate Proposal (CN), which shall be an estimate of the cost of preparing the Change Proposal, plus a first approximation of the suggested approach and cost for implementing the changes. The Supplier begins coordinating and working with representatives from each impacted business area to investigate the change request, using reasonable efforts to analyze the impact of the requested change for the preparation of the Change Estimate Proposal or CN. The analysis resulting from the investigation must address all impacts of the requested change on project budget, schedule, plan, resources, and/or in-flight or previously approved deliverables. The pricing of any Change shall, as far as practicable, be calculated in accordance with the rates and prices included in the Contract. If the nature of the Change is such that the Contract rates and prices are inequitable, the parties to the Contract shall agree on other specific rates to be used for valuing the Change. The following guidelines outline the data required for completing the CN:
Table 3 Data Required for Change Estimate Proposal (CN) 1. 2. 3. 4. 5. 6. 7. 8. Data Item Title of Change Change Request No. Revision No. Brief Description of Change Supplier Signatory Date of Change Estimate Proposal Change Elements Initial Cost Estimate of Change Impact of Change on Schedule Notes As in Table 2 The name of the authorized signatory for the CN on behalf of the Supplier Date CN is issued Initial cost estimate of implementing the change in currencies of the contract The duration of implementing the change The amount of time the project will be delayed or finish early because of implementing the change The amount of additional resources required such as: number of MoF counterpart resources facilities (rooms, office equipment, etc) Describe the impact of the change on the projects objectives Describe whether the change will cause minor or major renegotiation of contract terms Describe the potential impact of the change to other projects budget, schedule, resources, objectives, or commitments according to the guidelines specified above Estimated cost of preparing the Change Proposal in the currencies of the Contract. Provide details in terms of breakdown of prices, rates, and quantities Describe the effect or impact that the change will have on the Functional Guarantees in the contract

9.

Impact of Change on Resources

10. Impact of Change on Project Objectives 11. Impact of Change on Commitments 12. Impact of Change on Other Projects

13. Cost for Preparation of Change Proposal 14. Effect on the Functional Guarantees

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If before or during the preparation of the CN or the CP (Change Proposal) it becomes apparent that the aggregate impact of compliance with the CN and with all other COs (Change Orders) that have already become binding upon the Supplier would be to increase or decrease the contract price by more than fifteen (15) percent, the Supplier may give a written notice of objection to the CR prior to furnishing the Change Proposal. Documents Produced 1. CN signed by the Supplier: 2. Supporting documents for the CN 3. If Supplier Objects to the CR, Notice of Objection to Request for Change Proposal Updates to the Change Proposal Log 1. Change Proposal Log updated with items 7 to 13 above 2. Upload supporting documents for the CN 3. If Supplier Objects to the CR, Update CR Accepted by Supplier to No

STEP 5: Review and Validate CN

Upon receipt of the CN from the Supplier, the CCB Advisory Team shall validate, review, and make a decision whether to accept or reject the CN. The decision making process shall take into consideration, if deemed necessary, trade-offs between current time, function and resources may be made in an attempt to mitigate the effects of change to the existing project plan and schedule. However, in no circumstances will changes be approved without sufficient consideration of their associated schedule implications. The CCB Advisory Team may take the decision on whether to accept or reject the CN if it has no negative impact on any of the change elements described in the CN. The table below shows the guidelines for determining no impact to change elements:
Table 4 Guidelines for Determining No Negative Impact to Change Elements Change Element Initial Cost Estimate of Change Impact of Change on Schedule Impact of Change on Resources Impact of Change on Project Objectives Impact of Change on Commitments No negative impact if There is no cost for implementing the change The change will not affect the schedule or will cause activities to finish earlier than scheduled The change will not require additional MoF resources (financial, manpower, or facilities) The change will not affect the projects objectives The change will not cause a renegotiation of contract terms nor will it cause MoF or RPPN stakeholders to miss an important, externally mandated event or commitment date The change will not impact other projects budget, schedule, resources, objectives, or commitments There is no cost for the preparation of the Change Proposal

Impact of Change on Other Projects Cost for Preparation of Change Proposal

If there is a negative impact to any of the change elements above or the Supplier has sent a Notice of Objection to Request for Change Proposal then the following steps are followed: Step 5.1 Escalate CN to Decision Making Team The CCB Advisory Team shall provide the necessary information that will allow the CCB Decision

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Making Team to make a decision on the CN through the following steps:

Step 5.1.1 CR/CN Review by the Decision Making Team

The Decision Making Team may take the decision on whether to accept or reject the CN or the Notice of Objection to Request for Change Proposal if all of the change elements are within the Teams authorized limits or are true as described in the table below. The limits are classified as: Quantitative Limits For change elements that can be measured quantitatively, the limits are based on the amount of contingency for the change element Qualitative Limits For change elements that cannot be measured quantitatively, the limits are based on whether specific conditions for the change element are true or false
Table 5 Authorized Limits for Change Elements Change Element Quantitative Limits 1. 2. Cost Schedule Authorized Limit The authorized limit is ten percent (10%) of the remaining cost 1 contingency from the accumulation of previous changes The authorized limit is ten percent (10%) of the remaining schedule 2 contingency from the accumulation of previous changes

Resources 3. Qualitative Limits Objectives 4.

To be determined The scope deletion or the deviation from agreed quality still achieves the projects objectives or is still within the expectations of the Tim Reformasi and major stakeholders The change will not cause major, complex, or extended renegotiation of contract terms; and The change will not cause MoF or RPPN stakeholders to miss an important, externally mandated event or commitment date

Deletion from the agreed scope Deviation from the agreed quality Contract Terms & Commitments External Event or Commitment Date

Comment [MVG1]: The PIU for Subcomponent A.3 should calculate and declare what is the total cost contingency for all projects and/or the contingency ceiling for each project (SPAN, BPI, CMC) based on the Subcomponent A.3 cost table allocation. If reallocation is needed, the Subcomponent should propose that so that NOL can be obtained from the WB. This should be disclosed somewhere in this document so that everyone knows what is the contingency amount. Comment [MVG2]: As in the case of cost contingency, the original schedule and the contingency limits for each project also needs to be disclosed from the very start. Comment [TI3]: Notes above entered as footnotes

Commitments 5.

6.

Other projects

The change will not negatively impact another projects budget, schedule, resources, objectives, or commitments according to the guidelines specified above

If the authorized limit of any of the change elements above is exceeded (for quantitative limits) or false (for qualitative limits) then the following steps are followed:
Step 5.1.2 Escalate CN to the Tim Reformasi

The Decision Making Team shall provide the necessary information that will allow the Tim Reformasi to make a decision on the CN or the Notice of Objection to Request for Change Proposal through the following steps:

The PIU for Subcomponent A.3 should calculate and declare what is the total cost contingency for all projects and/or the contingency ceiling for each project (SPAN, BPI, CMC) based on the Subcomponent A.3 cost table allocation. If reallocation is needed, the Subcomponent should propose accordingly so that a NOL can be obtained from the WB. The original and remaining cost contingency should always be included as a supporting document for every Change Request that has a cost impact.
1

As in the case of cost contingency, the original and remaining schedule contingency should always be included as a supporting document for every Change Request that has a schedule impact.
2

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Step 5.1.2.1 CR/CN Review by the Tim Reformasi

The Tim Reformasi may request additional information from the Advisory or Decision Making Team during the review process.
Step 5.1.2.2 Formulate Decision on CR/CN by the Tim Reformasi

Based on the results of the review and any additional information provided by the Advisory and Decision Making Teams, the Tim Reformasi shall formulate and document the decision on the CN or Notice of Objection to Request for Change Proposal. Step 5.2 Advise Supplier to Review and Resubmit CR/CN During the CR/CN review process the CCB may request the Supplier to review and resubmit the CR or CN if information is insufficient or inadequate for the CCB to formulate a decision or if any part of the CN is unacceptable. Decision on CR/CN If the CR/CN is rejected or the Notice of Objection to Request for Change Proposal is accepted, the reason(s) for the rejection must be documented then proceed to Step 11, otherwise proceed to the next step. Documents Produced 1. Supporting documents from review process and decision results Updates to the Change Proposal Log 1. Update: a. Date CN Received with CN receipt date b. Status to CN Review upon receipt of CN from supplier c. Status to CN CCB Review and Escalated to CCB to Yes if CN is escalated to the Decision Making Team d. Status to CN Tim Reformasi Review and Escalated to Tim Reformasi to Yes if CN is escalated to the Tim Reformasi

STEP 6: If CN Accepted, Request CP (Change Proposal) from Supplier

If the CN is accepted, the Advisory Team shall prepare, sign, and send the CA (Estimate Acceptance Form) to the Supplier to advice the Supplier to proceed with the preparation of the CP (Change Proposal). The data required for the CA is shown in the table below:
Table 6 Data Required for Estimate Acceptance Form (CA) 1. 2. 3. 4. 5. 6. 7. 8. Data Item Title of Change Change Request No. Revision No. Change Estimate Proposal No. Estimate Acceptance No. Brief Description of Change Other Terms and Conditions Status Notes As in Table 2 Same number as Change Request No. Format CN-X-nnn Same number as Change Request No. Format CA-X-nnn As in Table 2 Specify if applicable CN Accepted

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Notes Date CN is accepted

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Data Item Date of Estimate Acceptance

Documents Produced 1. CA (Estimate Acceptance Form) signed on behalf of MoF 2. Supporting documents for CA and/or decision results on CN Updates to the Change Proposal Log 1. Change Proposal Log updated with items 7 and 9 above 2. Upload softcopies of supporting documents for CA and/or decision results on CN

STEP 7: Prepare and Submit CP (Change Proposal)

Upon acceptance of the CA the Supplier shall prepare the CP (Change Proposal) by finalizing the work initiated in the preparation of the CN (Step 4). The data required for the CP is shown in the table below:
Table 7 Data Required for Change Proposal (CP) 1. 2. 3. 4. 5. 6. 7. 8. 9. Data Item Title of Change Change Proposal No. Revision No. Date of Change Proposal Originator of Change Name of Requester Brief Description of Change: Reason(s) for Change System or Subsystem or major component affected by requested Change: Technical documents and/or drawings for the request of Change Estimated increase/decrease to the Contract Price resulting from the proposed Change Total lump sum cost of the Change Finalized Cost for Preparation of Change Proposal Notes As in Table 2 Same number as Change Request No. Format CP-X-nnn Zero for new Change Proposals, sequential number for revision levels Date CP is issued As in Table 2

As in Table 2, updated for the Change Proposal

10. 11.

Estimated increase/decrease in currencies of the contract In currencies of the contract Finalized cost of preparing the Change Proposal in the currencies of the Contract. Provide details in terms of breakdown of prices, rates, and quantities Specify the amount of additional time required in days for achieving Operational Acceptance required due to the Change Describe the effect or impact that the change will have on the Functional Guarantees in the contract Describe the effect or impact that the change will have on other terms and conditions of the contract Specify the period in days the Change Proposal will be valid after the receipt of the Change Proposal by MoF

12. 13.

14. Additional Time for Achieving Operational Acceptance required due to the Change 15. Effect on the Functional Guarantees 16. Effect on the other terms and conditions of the Contract 17. Validity of Change Proposal

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Documents Produced

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1. CP signed by the Supplier: 2. Supporting documents for the CP Updates to the Change Proposal Log 1. Change Proposal Log updated per Table 7 above 3. Upload supporting documents for the CP

STEP 8: Agree on Terms of CP and if Required, Contract Amendment/Addendum

Upon acceptance of the CP by MoF, MoF and the Supplier shall mutually agree upon all matters contained in the Change Proposal. MoF shall, if it intends to proceed with the Change, issue the Supplier a Change Order within fourteen (14) days after such agreement. If MoF decides not to proceed with the Change for whatever reason, it shall, within the said period of fourteen (14) days, notify the Supplier accordingly. Under such circumstances, the Supplier shall be entitled to reimbursement of all costs reasonably incurred by it in the preparation of the Change Proposal, provided that these do not exceed the amount given by the Supplier in its Change Estimate Proposal. If changes to the contract are required then a contract amendment or addendum shall be prepared. For the purposes of this procedure, CP will refer to both the CP and if required, the contract amendment or addendum. The CCB Advisory Team may take the decision on whether to mutually agree with the Supplier then approve or reject the CP if it has no negative impact on any of the change elements described in the CN and CP per the guidelines in Table 4, otherwise the following steps are followed, where at any point during the CP review process, the CCB may request the Supplier to review and resubmit the CP if information is insufficient or inadequate for the CCB to formulate a decision or if any part of the CP is unacceptable: Step 8.1 Escalate CP to Decision Making Team The CCB Advisory Team shall provide the necessary information that will allow the CCB Decision Making Team to make a decision on the CP through the following steps:
Step 8.1.1 CP Review by the Decision Making Team

The Decision Making Team may take the decision on whether to approve or reject the CP if all of the change elements in the CN and CP are within the authorized limits or are true as described in Table 5, otherwise the following steps are followed:
Step 8.1.2 Escalate CP to the Tim Reformasi

The Decision Making Team shall provide the necessary information that will allow the Tim Reformasi to make a decision on the CP through the following steps:
Step 8.1.2.1 CP Review by the Tim Reformasi

The Tim Reformasi may request additional information from the Advisory or Decision Making Team during the review process.
Step 8.1.2.2 Formulate Decision on CP by the Tim Reformasi

Based on the results of the review and any additional information provided by the Advisory and Decision Making Teams, the Tim Reformasi shall formulate and document the decision on the CP.

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Comment [MVG4]: In the event that a change proposal will require additional funding which exceeds the contingency fund available from Subcomponent A.3 allocation, the Tim Reformasi shall decide whether the additional funding requirements will be meet with the use of GOI (Rupiah Murni funds, or through the reallocation of unallocated GFMRAP loan funds. If it is the former, the standard procedure for request for additional rupiah budget will apply. If the shortfall will be funded from the unallocated GFMRAP funds, Subcomponent A.3 shall request WB approval for the allocation of the unallocated funds for its needs, through proper channels. The request will be sent by Subcomponent A.3 to the Secretary General, who will endorse the request to DG Debt Management. After an interagency meeting involving MOF and Bappenas officials, DG Debt Management will endorse the request to the World Bank. The WB will issue a NOL if the request is approved. Comment [TI5]: Comment above added as footnote

Step 8.2 If Required, Submit CP for Final Review Depending on the funding source of the project, the applicable procurement guidelines may require a final review by an authorizing committee at MoF or the donor or lender institution 3. In such cases, the appropriate documents required by the authorizing committee such as a Request for No Objection shall be prepared then processed through the following steps:
Step 8.2.1 CP Final Review

The authorizing committee at MoF or the donor or lender institution may request additional information from the Advisory or Decision Making Team during the review process.
Step 8.2.2 Formulate Decision on CP

Based on the results of the review and any additional information provided by the Advisory and Decision Making Teams, the authorizing committee at MoF or the donor or lender institution shall formulate and document the decision on the CP. Step 8.3 When Required, Notify Supplier Timeframe for Decision on CP If MoF is unable to reach a decision within fourteen (14) days after mutually agreeing with the Supplier all matters contained in the Change Proposal, it shall notify the Supplier with details of when the Supplier can expect a decision. Decision on CP If the CP is rejected or the CCB decides not to proceed with the Change for whatever reason, the reason(s) for the rejection must be documented then proceed to Step 11, otherwise proceed to the next step. Documents Produced 1. Minutes of negotiation 2. If required, contract addendum or amendment 3. Supporting documents from CP review process and decision results Updates to the Change Proposal Log 1. Update: a. Date CP Received with CP receipt date b. Status to CP Review upon receipt of CP from Supplier c. Status to CP CCB Review and CP Escalated to CCB to Yes if CP is escalated to the Decision Making Team d. Status to CP Tim Reformasi Review and CP Escalated to Tim Reformasi to Yes if CP is escalated to the Tim Reformasi

In the event that a change proposal will require additional funding which exceeds the contingency fund available from Subcomponent A.3 allocation, the Tim Reformasi shall decide whether the additional funding requirements will be meet with the use of GOI (Rupiah Murni) funds, or through the reallocation of unallocated GFMRAP loan funds. If it is the former, the standard procedure for request for additional Rupiah budget will apply. If the shortfall will be funded from the unallocated GFMRAP funds, Subcomponent A.3 shall request WB approval for the allocation of the unallocated funds for its needs, through proper channels. The request will be sent by Subcomponent A.3 to the Secretary General, who will endorse the request to DG Debt Management. After an interagency meeting involving MOF and Bappenas officials, DG Debt Management will endorse the request to the World Bank. The WB will issue a NOL if the request is approved. All documentation from this process shall be included as supporting documentation for the Change Request.
3

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e. Status to CP Final Review and CP Final Review to Yes if CP is escalated for final review

STEP 9: If CP Approved, Issue and Sign CO (Change Order) and Contract Addendum/Amendment (if required)
If the CP is accepted, the Advisory Team shall prepare, sign, and send the CO (Change Order) to the Supplier to advice the Supplier to proceed with the Change. The data required for the CO is shown in the table below:
Table 8 Data Required for Change Order (CO) 1. 2. 3. 4. 5. 6. 7. 8. 9. Data Item Title of Change Change Request No. Revision No. Change Proposal No. Revision No. Originator of Change Name of Requester Status Disposition Notes As in Table 2 As in Table 7 As in Table 2 CP Approved Approved Date CO is issued Authorized Price for the Change In the currencies of the contract Specify the agreed adjustment of Time for Achieving Operational Acceptance due to the Change Specify description of time adjustment, if applicable Describe other effects or impacts due to the Change

10. Date of Change Order 11. Authorized Price for the Change 12. Adjustment of Time for Achieving Operational Acceptance 13. Description of Time Adjustment 14. Other effects

Documents Produced 1. CO signed by the MoF and the Supplier 2. If required, Contract Addendum/Amendment signed by MoF and Supplier 3. Supporting documents for the CO Updates to the Change Proposal Log 1. Change Proposal Log updated per Table 8 above 2. Upload supporting documents for the CO

STEP 10: Incorporate Change into the existing Budget, Schedule and Plan
Once the Change is approved, the impact of the change is incorporated into the existing budget, schedule and plan and re-baselined as appropriate by the relevant Project Manager, understanding the impact of the change on other project plans in discussion with the Tim Koordinasi Teknis and the appropriate Project Manager for the other projects. The work associated with the approved change is managed according to the standard project management methods. The budget and work effort associated with an approved change are incorporated in project performance metrics, but they can be reported on independently as necessary. Once the change has been fully implemented, the Project Manager updates the Change Order Log status to Completed. Documents Produced

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1. Supporting documents for implementing the Change Updates to the Change Proposal Log 1. Update Status to Implement 2. When implementation is completed, update Status to Completed

STEP 11: Process Rejection of the Change

The Change may be rejected during the following steps: 1. 2. 3. 4. Step 2: Validate CR against Change Criteria Step 4: Prepare and Submit CN Step 5: Review and Validate CN Step 8: Agree on Terms of CP and if Required, Contract Amendment/Addendum

If analysis reveals that the impacts of the Change outweigh the perceived benefit, the CCB or the Supplier may reject the Change request. This Change Control Procedure specifies in the steps 1 to 10 above that if the Change is rejected, the reason(s) for the rejection must be documented. All supporting documentation regarding the Change, including the reason(s) for rejection, are compiled and recorded in the Change Log. Processing the rejection of the Change involves identifying the step where the Change was rejected and documenting and recording the reason(s) for rejection. If the Change is requested by MoF and if, based on the decision in Step 8 where the Supplier has prepared and submitted in Step 7 the CP (Change Proposal) as agreed by MoF in the CA (Estimate Acceptance Form), MoF rejects or decides not to proceed with the Change for whatever reason, it shall, within the said period of fourteen (14) days in Step 8, notify the Supplier accordingly. Under such circumstances, the Supplier shall be entitled to reimbursement of all costs reasonably incurred by it in the preparation of the Change Proposal, provided that these do not exceed the amount given by the Supplier in its CN (Change Estimate Proposal) submitted in Step 4. If MoF and the Supplier cannot reach agreement on the price for the Change, an equitable adjustment to the Time for Achieving Operational Acceptance, or any other matters identified in the Change Proposal, the Change will not be implemented. However, this provision does not limit the rights of either party under the appropriate Settlement of Disputes clause in the contract. If the Change is requested by the Supplier but MoF rejects or chooses not to proceed with the Change or MoF and the Supplier cannot come to agreement on the Change during any validity period that the Supplier may specify in its Change Proposal, the Supplier shall not be entitled to recover the costs of preparing the Change Proposal, unless subject to an agreement between the MoF and the Supplier to the contrary. The data required for the notification of the rejection of the Change (NR) is shown in the table below:
Table 9 Data Required for NR (Notification of Rejection of Change) 1. 2. 3. 4. 5. 6. 7. 8. Data Item Title of Change Change Request No. Revision No. Date of Rejection Brief Description of Change Status Disposition Change Rejected by Notes As in Table 2 Enter date NR is issued As in Table 2 Change Rejected Rejected MoF or Supplier

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Data Item Rejected at Step

10. 11. 12. 13.

Change Estimate Proposal No. Estimate Acceptance No. Change Proposal No. Reason(s) for Rejection

Notes Specify step where Change is rejected 1. CR Change Request 2. CN Change Estimate Proposal 3. CP Change Proposal As in Table 3, if CN submitted As in Table 6, if CN accepted As in Table 7, if CP submitted Specify reason(s) for rejection of Change

Documents Produced 1. Notification of Rejection or Acceptance to Objection 2. Supporting documents for rejection Updates to the Change Proposal Log 1. Change Proposal Log updated per Table 9 above 2. Upload Supporting documents for rejection

STEP 12: Changes Originating from the Supplier

If the Supplier proposes a Change, the Supplier shall prepare and submit an Application for Change Proposal (CS). The CS will contain the same information as the CN (Change Estimate Proposal) in Table 3, with the addition of the Date of Application for Change Proposal. Upon receipt of the CS by MoF, MoF will prepare the CR as in Step 1 then the process will proceed normally. Should MoF choose not to proceed or MoF and the Supplier cannot come to agreement on the change during any validity period that the Supplier may specify in its Change Proposal, the Supplier shall not be entitled to recover the costs of preparing the Change Proposal, unless subject to an agreement between the Purchaser and the Supplier to the contrary. The following guidelines outline the data required for completing the CS:
Table 10 Data Required for Application for Change Proposal (CS) 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. Data Item Title of Change Change Request No. Revision No. Brief Description of Change Supplier Signatory Date of Application for Change Proposal Change Elements Initial Cost Estimate of Change Impact of Change on Schedule Impact of Change on Resources Impact of Change on Project Objectives Impact of Change on Commitments Impact of Change on Other Projects Cost for Preparation of Change Proposal Effect on the Functional Guarantees Notes

As in Table 3

Date CS is issued

As in Table 3

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1. CS signed by the Supplier: 2. Supporting documents for the CS Updates to the Change Proposal Log 1. Change Proposal Log updated per the table above 2. Upload supporting documents for the CS

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4 Change Control Review and Monitoring

4.1 Change Proposal Status

In review, the change proposal status values that mark the progression of a change request through the Change Control process are summarized as follows:
Table 11 Change Proposal Process Status Values

Status Value Requested CR Accepted CN Analysis: CN Review CN CCB Review CN Tim Reformasi Review CN Accepted

Description The change request has been identified and logged in the Change Request Log. The CR has been validated and signed on behalf of MoF. The CR has been sent to the Supplier for preparation of the CN (Change Estimate Proposal). The CN has been received from the Supplier and is being reviewed by the CCB Advisory Team. The CN review has been escalated to the CCB Decision Making Team. The CN review has been escalated to the Tim Reformasi.

The CN has been accepted and the CA (Estimate Acceptance Form) signed on behalf of MoF and sent to the Supplier for preparation of the CP (Change Proposal). The CP (Change Proposal) has been received from the Supplier and is being reviewed by the CCB Advisory Team. The CP review has been escalated to the CCB Decision Making Team. The CP review has been escalated to the Tim Reformasi.

CP Review CN CCB Review CN Tim Reformasi Review Final Review CP Approved: Implement

The CP is undergoing final review by the authorizing committee of MoF and.or the donor/lender institution. The CP is approved and the CO (Change Order) is signed on behalf of MoF and sent to the Supplier for implementation. The impact of the change is incorporated into the existing budget, schedule and plan as appropriate, the project is re-baselined, and the change is in process of being implemented.

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Status Value Completed: Rejected

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The approved change request has been incorporated into all applicable project deliverables. The Change has been rejected either by MoF or the Supplier

4.2

Change Request Review and Escalation

The Project Manager proactively manages change requests. The Project Manager meets weekly with the Project Team to focus on changes that meet the following criteria: All change requests with Priority set to High All change requests in the Requested or Review states Change requests with a Decision Date in the next week (or past due) Approved change requests with target dates in the next week (or past due).

Attendees are responsible for discussing changes meeting the above criteria which impact their areas of responsibility as well as for communicating change request approval and rejection decisions to their teams as appropriate, therefore it is important for all project areas to be represented in these weekly meetings. Change requests requiring Project Sponsor approval are identified in the weekly meetings and escalated as appropriate.

4.3

Change Request Monitoring and Reporting

All change requests are recorded and tracked in the Change Request Log. The spreadsheet can be sorted by all the columns i.e. date entered, target date, requestor, status etc. Each reporting period statistics can be gathered from the spreadsheet and entered into the Project Status Report.

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Change Control Procedure Detail Flowchart

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CCB Advisory Team

CCB Decision Making Team

Tim Reformasi

MoF or Donor/Lending Institution Review

Start

CR Supporting Docs

CR

1. Prepare and Record CR (Request for Change Proposal)

Add CP Status: Requested
CR Supporting Docs

2. Validate CR against change criteria

CR

CR

4. Prepare and Submit CN (Change Estimate Proposal)

CR meets change criteria?

No

The Request for Change Proposal (CR) can be initiated by: 1. MoF through the Tim Koordinasi Teknis 2. The Supplier/Contractor/ Consultant Recording and updates of the Change Proposals throughout the Change Proposal procedure shall be done by the PIU or Secretariat Sub Team of the Tim Koordinasi Teknis on behalf of the CCB Advisory Team. If a change is proposed by the supplier then the supplier will furnish all information to the PIU for recording and prepare and submit an Application for Change Proposal (CS).

CN Supporting Docs

Yes

CN

3. Send CR to Supplier
Update CP Status: CN Analysis

Aggregate impact > +/- 15%

No

Yes

C
CN Supporting Docs CR Supporting Docs

No

Object to CR?

CR CN

Yes

4.1 Prepare and Submit Notice of Objection to CR

5. Review and Validate CN

Update CP Status: CN Review

Notice of Objection to CR

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CCB Advisory Team A

CCB Decision Making Team

Tim Reformasi

MoF or Donor/Lending Institution Review

CN Supporting Docs CR Supporting Docs

CR CN
Estimate Acceptance Form (CA)

CN Supporting Docs CR Supporting CN has Negative Impact to Change Elements? Docs

CN Supporting Docs CR Supporting Docs

CR CN

CR CN

No

Yes

7. Prepare and Submit CP (Change Proposal)

5.1 Escalate CR/CN to Decision Making Team

Update CP Status: CN CCB Review

5.1.1 Review CR/CN

5.1.2.1 Review CR/CN

CP

D
CN Accepted?
No

No

CN Beyond Auth Limits?

Yes

5.1.2.2 Formulate Decision on CR/CN

E
Yes

5.1.2 Escalate CR/CN to Tim Reformasi

Update CP Status: CN Tim Reformasi Review

6. Advise Supplier of Acceptance of CN and Preparation of Change Proposal

Update CP Status: CN
Decision Accepted Supporting Docs (File) Estimate Acceptance Form (CA)

5.1.3 Formulate Decision on CR/ CN

D
Changes Required in CN?
No Yes

5.2 Advise Supplier to Review and Resubmit CN

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CCB Advisory Team

CCB Decision Making Team

Tim Reformasi

MoF or Donor/Lending Institution Review

11. Process Rejection of the Change

Update CP Status: Rejected (by MoF or Supplier)

Decision Supporting Docs (File)

CR/CN/CP Rejected Notification of Rejection or Acceptance to Objection

Stop

Changes to contract terms? No

Yes

CR/CN Supporting Docs

CR

CN CP

7.1. Prepare Contract Amendment/ Addendum

Contract Amendment/ Addendum

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CCB Advisory Team

CCB Decision Making Team

Tim Reformasi

MoF or Donor/Lending Institution Final Review

F
Contract Amendment/ Addendum

Minutes of Negotiation
Contract Amendment/ Addendum

Minutes of Negotiation CP
Contract Amendment/ Addendum

Minutes of Negotiation CP
Contract Amendment/ Addendum

CP

CP

8. Agree on Terms of CP and if Required, Contract Amendment/ Addendum

Update CP Status: CP Review

8.1.1 Review CP/ Contract Amd/ Add

8.1.2.1 Review CP/ Contract Amd/ Add

8.2.1 Review CP/ Contract Amd/ Add

Minutes of Negotiation

No

CP Beyond Auth Limits?

Mutual Agreement Reached?

No

Yes

8.1.2.2 Formulate Decision on CP/Contract Amd/Add

8.2.1 Formulate Decision on CP/ Contract Amd/ Add

Yes

CP has Negative Impact to Change Elements?

No

8.1.2 Escalate CP/ Contract to Tim Reformasi

Update CP Status: CP Tim Reformasi Review

Yes

8.1 Escalate CP/ Contract Amd/Add to Decision Making Team

Update CP Status: CP CCB Review
MoF or Donor/Lender Final Review? Yes No

8.1.3 Formulate Decision on CP/ Contract Amd/ Add

8.2 Submit for Final Review

Update CP Status: CP Final Review

> 14 days since mutual agreement?

Yes

No

8.3 Notify Supplier Timeframe for Decision on CP

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CCB Advisory Team

CCB Decision Making Team

Tim Reformasi

MoF or Donor/Lending Institution Review

CP Approved?
Yes No

9. Issue and Sign CO and Contract Addendum/ Amendment (if required)

Update CP Status: CP Approved

Contract Amendment/ Addendum

Signed CO

C
CN Supporting Docs

CN

Signed Contract Amendment/Addendum (if reqrd)

Signed CO

10. Incorporate Change into the existing Budget, Schedule and Plan
Update CP Status: Implement Update CP Status: Completed (when Change implementation complete)

STOP

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