WTIA – TECHNICAL NOTE 24 CHAPTER 1 Page 1

1. TOTAL WELDING MANAGEMENT SYSTEM EXPLAINED

1.1 Introduction

To operate a business successfully and profitably is a major task today for small, mediumand large business enterprises. Over 50% of small and medium enterprises (SMEs) fail intheir first five years and recent experience indicates major failures and extinction of somelarge businesses are almost always due to poor management.

The Australian manufacturing industry in 1999 generated $220 billion annual turnover and$68 billion value addition and employed over I million persons or 12.2% of total employment.It is facing intense competition from overseas imports and significant national andinternational changes. The output from two of its sub-sectors, metal product manufacturingand machinery/equipment manufacturing, is falling. This is impacting on businessperformance and people and is requiring new management skills.

There has been a ground swell reaction to these trends and a call from metals manufacturersand fabrication groups to make improvements by various means. These means have beendiscussed by many organisations from industry and government, including the following:

• Australian Industry Metal Manufacturing Strategies (AIMMS): Initiated by WTIA withleaders in the "welding industry" as a part of the manufacturing, construction and otherindustries;

• WTIA Council, Save Money And Re-engineer with Technology (SMART) Groups andTechnical Panels, Boards and Committees;

• Standards Australia International – Pressure Equipment, Structures and WeldingCommittees;

• Australian Industry Group (AiG)• Institution of Engineers, Australia• Federal Government:– Department of Industry, Tourism and Resources (DITR),– AusIndustry,– Heavy Engineering Infrastructure Action Agenda (HEIAA),– National Infrastructure and Engineering Forum (NIEF);• State Governments:– Departments or groups providing various assistance to business at all levels, particularly on business management for SMEs on OH&S and environmental issues.

These reviews resulted in various initiatives being taken or proposed. They all clearlyshowed the need for improvement in "Total Management" i.e. to cover all of the various typesof management and take a holistic or overall view to give optimum management at all levels.

1.2 What is a Total Welding Management System?

A Total Welding Management System (TWMS) is a system which covers all those importantmatters in a welding business needing management at any level (e.g. by the ManagingDirector or welder) to ensure a business performs successfully.

The WTIA Expert Technology Tool (ETT), MS01-TWM-01, shows how to implement aTWMS. (Refer to the list of WTIA ETTs).

A TWMS manual documents essential elements of the total management system. Thismanual can take any form and be of any depth to suit the size and needs of the particularorganisation and its personnel.

WTIA – TECHNICAL NOTE 24 CHAPTER 1 Page 2

The WTIA TWMS model manual may be used for this purpose. Table 1 shows theoverarching role of TWMS with other detailed ETTs.

1.3 Why Have a Total Welding Management System

Such a system:• primarily aims to help organise, manage and improve business operations;• embodies the wisdom gained from successful and unsuccessful businesses and learning

from local or overseas experiences;• provides balanced working guidelines for operating a business successfully;• documents essential data in a manual (other than highly sensitive material);• integrates and coordinates various management activities by providing basic

communication;• addresses important areas where problems have or are likely to arise, i.e. interfaces

between various groups or sectors, contracts, coordination, conformity assessment,certification and reports, complaints etc.;

• provides evidence to staff and customers of the company’s management capability;• is a repository for important information and feedback for continued improvement;• facilitates training and introduction of changes.

1.4 When to Have a Total Welding Management System and Manual

In all businesses there are a number of management systems in operation but in many thesesystems are incomplete and not well known, coordinated or updated with latest successfulbest practice. Many such systems are not suitably documented to facilitate communicationbetween current and future personnel and customers or to record improved methods.

Documentation of a total welding management system for a welding based organisation ordivision becomes more necessary where:• there are a number of divisions, sections or people involved in operations which are inter-

dependent and need effective communication;• operations are numerous and complex and require coordination;• there is a requirement from customers, authorities or insurance bodies for evidence and

confidence of suitable management skills. Such a manual is essential for most economicconformity assessment;

• there is a higher risk of serious litigation;• experience needs to be retained;• the business intends to be successful for a significant time;• top management believes the cost/benefit from a manual is advantageous.

The decision to develop the TWMS and the manual should not be taken lightly. Any decisionwill also depend on:• how the manual is to be developed, implemented and timed. If done as suggested in

MS01-TWM-01, a manual for an SME of 20 personnel, could be developed within 40man-hours;

• the views of personnel who should be advised of what is being considered and why.Make sure to discuss any negative views before and after making the decision;

• the full input and agreement of Managing Directors, General Manager and ProductionManager and other key personnel.

WTIA – TECHNICAL NOTE 24 CHAPTER 1 Page 3

1.5 Features of a Total Welding Management System Manual

Such a manual should:• contain minimum number of words and be simple to understand and use and with

minimum paperwork;• address all significant elements of the Total Welding Management System and to a level

to suit the competency of staff. Table 1 lists most of the elements;• be suitable for presentation to customers confidentially as a “non-controlled copy” to

demonstrate system and basic approach of the business;• cover elements where major problems have occurred in any known organisations;• ensure, particularly for contracts, a clear understanding of the scope of work and for the

fabricator and customer communicate and to operate effectively;• provide basic information for improving personnel competence and performance;• clearly address "Conformity Assessment" i.e. the newly recognised group of activities

consisting mainly of QA, design verification and fabrication inspection, which may need toinvolve the customer or external independent parties e.g. QAS, NATA, inspection bodiesor inspectors acceptable to the customer;

• make provision for overall improvement and updating;• utilise the concept of welding coordination as shown in ISO 14731:1997 Welding

Coordination - Tasks and Responsibilities.

1.6 Implementation of a Total Welding Management System

Implementation, including development, can be by any method, preferably like any normalproject. To do it more profitably, the following sequence is recommended:

Preliminary Stage• the Board/MD/GM and Production Manager must be in full agreement and set the

example to all;• a brief "develop and implement program" should be agreed with flexibility provided;• time the preparation and implementation when some resources, staff, time and money

are available e.g. in between major jobs;• use the model TWMS Manual (Ref: MS01-TWM-01) as a first draft;• select a leader to manage the overall process and leaders for each section with detailed

knowledge of that section and with ability to use available help from colleagues;• different sections can be tackled at different times;• identify your organisation structure, positions, responsibilities and authorities;• then use these to replace those in the model TWMS manual;• use the CD that has been designed (Ref: MS01-TWM-01) to simplify changes to the

model manual to suit your requirements.

Review Draft• issue the second Draft Manual for review by nominated leaders;• use, as far as possible, your existing forms and procedures - a list of these should be

made to assist. These are critical documents. During review, improvements orsimplifications might become clear and can be timed to suit;

• any desired change in content, style and presentation should be agreed early to reducelater revision. Avoid change for change sake;

• tackle first those sections which cover matters of immediate importance and can becompleted quickly;

• remember to keep words and staff time to a minimum;

WTIA – TECHNICAL NOTE 24 CHAPTER 1 Page 4

• review the second draft while trying the system for about 3 to 6 weeks to indicate thechanges needed to the manual;

• involve interested personnel and adopt useful comments in revising the manual;• the Knowledge Resource Bank shown at the end of each section of the sample manual

can provide you with the technical support you may need to implement your TWMS.

Revise Manual• if you are confident, then formally introduce the manual for implementation to an agreed

program• if using external consultants, get clear evidence of their competence in terms of achieving

the final output economically• after approximately 6 months, revise the manual to make any changes to reference forms

and procedures where necessary

1.7 Recommendations

1. Since almost all problems, their resolution and continuing improvement involvemanagement at various levels, it is strongly recommended that a TWMS be adoptedwhere justified.

2. The model manual and above information should be used to document the essentialelements of your system in a TWMS manual

3. Development and implementation of the total system should aim at minimum cost, time,effort and paperwork

4. The TWMS manual is not an end in itself but a powerful tool to help progress a business

WTIA – TECHNICAL NOTE 24 CHAPTER 1 Page 5

Table 1: WTIA TOTAL WELDING MANAGEMENT SYSTEM supported by KNOWLEDGE RESOURCE BANKTOTAL WELDING

MANAGEMENT SYSTEMMANUAL

KNOWLEDGE RESOURCE BANKi.e. resources for the Total Welding Management System (Notes 1 and 2)

ETT: MS01

(Including Welding QualityManagement System)

ETTs: MANAGEMENTSYSTEMS

ETTs: OTHERRESOURCES

ETTs: STANDARDS

ELEMENTS:

1. Introduction

2. References

3. Management SystemTN19 Cost Effective Quality Management

AS/NZS ISO 9001AS/NZS ISO 3834

4. Management Responsibilities(incl. Risk Management)

AS 4360

5. Document Control

6. Production Planning

7. Contracts

8. DesignTN6 Control of Lamellar TearingTN8 Economic Design of WeldmentsTN10 Fracture MechanicsTN12 Minimising CorrosionTN13 Stainless Steels for Corrosive EnvironmentsTN14 Design & Construction Steel Bins

AS 4100AS 1210BS 7910

9. Purchasing (incl. Sub-contracting)

10. Production & Service Operations

TN1 Weldability of SteelsTN2 Successful welding of AluminiumTN4 Hardfacing for the Control of WearTN5 Flame Cutting of SteelsTN9 Welding Rates in Arc WeldingTN11 Commentary on AS/NZS 1554TN15 Welding & Fabrication Q&T SteelsTN16 Welding Stainless SteelsTN17 Automation in Arc WeldingTN18 Welding of CastingsTN21 Submerged Arc Welding Videos – Welding Parts A & BPG02 Welding Stainless Steel

AS/NZS 1554

AS 1988

11. Identification and Traceability TN19 Cost Effective Quality Management

12. Welding CoordinationISO 14731

13. Production Personnel

14. Production Equipment

15. Production ProceduresTN1 The Weldability of SteelTN9 Welding Rates in Arc WeldingTN19 Cost Effective Quality Management

16. Welding ConsumablesTN3 Care & Conditioning of Arc Welding Consumables

17. Heat TreatmentAS 4458

18. Inspection and TestingPG01 Weld Defects AS 2812

19. Inspection, Measuring and TestEquipment

20. Non-Conforming Product

21. Corrective ActionTN20 Repair of Steel Pipelines AS 2885

22. Storage, Packing and Delivery

23. Company RecordsTN19 Cost Effective Quality Management

24. Auditing

25. Human Resources

26. Facilities

27. Marketing

28. Finance

29. OHS&RMS02 OHS&R – Managers HandbookMS03 OHS&R – ProceduresMS04 OHS&R – Work InstructionsMS05 OHS&R – Forms & Records

TN7 Health & Safety in WeldingTN22 Welding Electrical SafetyFume Minimisation GuidelinesVideo Fume Assessment

AS 4804

30. EnvironmentMS06 Environmental Improvement MS TN23 Environmental Improvement

Guidelines for WeldingAS/NZS 14001

31. Information Technology

32. Innovation, Research andDevelopment

33. Security

34. Legal

NOTE 1: Examples of ETTs listed are not all-embracing and other ETTs within the globalinformation supply can be added. ETTs can be formatted in a range of media.

NOTE 2: Dates and titles for the ETTs listed can be obtained from WTIA or SAI.