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AEO Authorisation Governance Framework
T MU MD 00007 ST
Standard
Version 2.0
Issued Date: 01 December 2014
Effective Date: 05 January 2015
Important Warning This document is one of a set of standards developed solely and specifically for use on the rail network owned or managed by the NSW Government and its agencies. It is not suitable for any other purpose. You must not use or adapt it or rely upon it in any way unless you are authorised in writing to do so by a relevant NSW Government agency. If this document forms part of a contract with, or is a condition of approval by, a NSW Government agency, use of the document is subject to the terms of the contract or approval. This document may not be current. Current standards are available for download from the Asset Standards Authority website at www.asa.transport.nsw.gov.au. © State of NSW through Transport for NSW S
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Standard governance
Owner: Manager Authorisation, Asset Standards Authority
Authoriser: Principal Manager Authorisation and Audit, Asset Standards Authority
Approver: Director, Asset Standards Authority on behalf of ASA Configuration Control Board
Document history
Version Summary of change
1.0 Issued under standard number TS 1050 on 20 May 2013
2.0 Second issue, number change to T MU MD 00007 ST
For queries regarding this document, please email the ASA at
or visit www.asa.transport.nsw.gov.au
T MU MD 00007 ST AEO Authorisation Governance Framework
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Preface
The Asset Standards Authority (ASA) is an independent unit within Transport for NSW (TfNSW)
and is the network design and standards authority for defined NSW transport assets.
The ASA is responsible for developing engineering governance frameworks to support industry
delivery in the assurance of design, safety, integrity, construction, and commissioning of
transport assets for the whole asset life cycle. In order to achieve this, the ASA effectively
discharges obligations as the authority for various technical, process, and planning matters
across the asset life cycle.
The ASA collaborates with industry using stakeholder engagement activities to assist in
achieving its mission. These activities help align the ASA to broader government expectations of
making it clearer, simpler, and more attractive to do business within the NSW transport industry,
allowing the supply chain to deliver safe, efficient, and competent transport services.
The ASA develops, maintains, controls, and publishes a suite of standards and other
documentation for transport assets of TfNSW. Further, the ASA ensures that these standards
are performance based to create opportunities for innovation and improve access to a broader
competitive supply chain.
The ASA maintains and administers the framework for assessment, authorisation, surveillance,
review and audit of organisations that provide engineering services in relation to the asset life
cycle of NSW transport assets.
This is the second issue of this standard. The changes to previous content include the following:
removal of 'range of engineering disciplines' section
removal of 'AEO framework document tree' diagram
addition of asset life cycle definition
addition of new references to TfNSW standards and International standards
update of authorisation process description
various editorial and referential updates
change of number from TS 10500
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Table of contents
1. Introduction............................................................................................................................................5
2. Purpose...................................................................................................................................................5 2.1. Scope ..................................................................................................................................................................... 5 2.2. Application............................................................................................................................................................. 5
3. Reference documents ...........................................................................................................................6
4. Terms and definitions ...........................................................................................................................6
5. Context and supporting documentation .............................................................................................8
6. Industry benefits of authorisation........................................................................................................8
7. Key AEO requirements..........................................................................................................................9
8. Legal and commercial implications.....................................................................................................9
9. Range of engineering disciplines ......................................................................................................10
10. Engineering service areas ..................................................................................................................10 10.1. Feasibility and concept....................................................................................................................................... 10 10.2. Design .................................................................................................................................................................. 11 10.3. Fabrication and manufacturing.......................................................................................................................... 12 10.4. Construction and installation............................................................................................................................. 12 10.5. Systems engineering and systems integration ................................................................................................ 13 10.6. Inspecting, testing and commissioning ............................................................................................................ 13 10.7. Maintenance ........................................................................................................................................................ 13 10.8. Decommissioning and disposal......................................................................................................................... 13 10.9. Engineering, procurement and construction management............................................................................. 13 10.10. Engineering consultancy services .................................................................................................................... 14
11. AEO authorisation requirements .......................................................................................................14
12. AEO authorisation process ................................................................................................................14 12.1. Submit an AEO application ................................................................................................................................ 15 12.2. Assess an AEO application................................................................................................................................ 15 12.3. Address AEO applicant gaps ............................................................................................................................. 15 12.4. Issue of authority to applicant AEOs................................................................................................................. 16 12.5. Monitoring and auditing of AEOs ...................................................................................................................... 16
13. AEO validity period..............................................................................................................................18
14. Organisational process context .........................................................................................................18 14.1. Procurement ........................................................................................................................................................ 18 14.2. Engineering assurance....................................................................................................................................... 18 14.3. Quality assurance ............................................................................................................................................... 19 14.4. Safety assurance................................................................................................................................................. 19 14.5. Competence management.................................................................................................................................. 19 14.6. Legislation ........................................................................................................................................................... 19 14.7. Regulatory bodies ............................................................................................................................................... 20
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1. Introduction
Transport for New South Wales (TfNSW) is collaborating with industry to reform the engineering
governance of transport projects and to utilise the skilled resources from both government and
industry organisations to the greatest effect. A key initiative is the authorisation of engineering
organisations to take responsibility, on behalf of TfNSW, for assuring engineering services or
products.
2. Purpose
The purpose of this standard is to set out a framework for the authorisation of engineering
organisations that are engaged to provide engineering services to TfNSW. The framework
allows organisations to self-perform assurance of engineering services or products under their
own engineering assurance system, and to manage the competence of their engineering staff
under their own competence management system.
2.1. Scope
This standard sets out the framework under which engineering organisations can apply for, and
be authorised to provide, specific engineering services to TfNSW.
This standard includes the following areas:
the expected benefits to both TfNSW and the Authorised Engineering Organisations
(AEOs) of the new governance framework
the context of this document with related documentation, including supporting guidance
the engineering disciplines covered
the engineering life cycle service areas applicable over the full asset life cycle
the requirements placed on AEOs to fulfil their authorisation requirements
the AEO authorisation process
the AEO authorisation system
the context of the AEO framework and process with other organisation processes
the AEO validity period
the legal and commercial implications
2.2. Application
The intended audience for this standard includes TfNSW, rail infrastructure managers, rail
transport operators, and suppliers of engineering services to the NSW rail network.
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The audience is expected to understand the requirements of this management standard and the
supporting guidance material, and to have the capability to ensure that the necessary
management arrangements are established that will ensure compliance with the authorisation
requirements under this governance framework.
3. Reference documents
The following documents have been referenced or referred to throughout this document.
International standards
ISO 9001: 2008 Quality management systems - Requirements
ISO 55001: 2014 Asset management - Management systems – Requirements
Australian standards, acts, regulations
AS/NZS 4801: 2001 Occupational health and safety management systems - Specification with
guidance for use
Work Health and Safety Act 2011 (NSW)
Rail Safety National Law (NSW) applied (with modifications) as a law of NSW by the NSW Rail
Safety (Adoption of National Law) Act 2012 .
TfNSW standards
T MU MD 00008 GU AEO Guide to Authorisation
T MU MD 00009 ST AEO Authorisation Requirements
T MU MD 00009 F1 AEO Engineering Services Scoping Matrix Template
TS 10504 AEO Guide to Engineering Management
TS 10503 AEO Guide to Engineering Competence Management
TSR T1 Technical Management (TfNSW Standard Requirements)
4. Terms and definitions
The following terms and definitions apply in this document:
acceptance the result of a competent person validating that a product (including a service)
satisfies a defined requirement. Acceptance means that a product is accepted for use and does
not detract from the accountability that the supplier has for the product or service
accountable the obligation of an individual or organisation to account for its activities, accept
responsibility for them, and to disclose the results in a transparent manner. The job role that is
ultimately responsible for the service or product. Accountability cannot be delegated
AEO Authorised Engineering Organisation
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area of concern a major weakness – in relation to the assessed maturity level; it is a condition
of the AEO status to have the issue addressed in a timely manner and in accordance with the
agreed action plan
ASA Asset Standards Authority
asset life cycle the stages involved in the management of the asset
assurance a positive declaration intended to give confidence
authorisation the conferring of authority, by means of an official instruction, and supported by
assessment and audit, to a supplier, to self perform assurance of the competence of its staff
and the outputs of engineering processes
Authorised Engineering Organisation a supplier of a defined engineering service or product
that has been assessed and granted AEO status by TfNSW.
BCA Building Code of Australia
compliance the state or fact of according with, or meeting, rules, requirements or standards
framework a basic structure underlying a system, concept, or text
governance the rules, processes, or laws by which a business is operated, regulated, and
controlled. The exercise of authority and control between accountable and responsible entities
such that planned outcomes are achieved
GSM Global System for Mobile communications
ISO International Organization for Standardization
ITSR Independent Transport Safety Regulator
review a method to provide assurance by a competent person that an engineering output
complies with relevant standards and specific requirements, is safe, and fit for purpose.
responsible (that is, assigned responsibility) a duty or obligation to satisfactorily perform or
complete a task (assigned by someone, or created by one's own promise or circumstances) that
one must fulfil. This may be the job role that is 'responsible' for producing the service or product
but not ultimately accountable. Responsibility can be delegated.
supplier a supplier of engineering services or products. Defined as an 'applicant' until such time
as it has been granted AEO status, after which it is referred to as an AEO
TfNSW Transport for New South Wales
verification the process carried out to ensure that the engineering output of each stage in the
system life cycle meets the stage input requirements
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5. Context and supporting documentation
A set of documents exists that support this authorisation governance framework:
T MU MD 00009 ST AEO Authorisation Requirements support this authorisation
governance framework, and will populate the authorisation system that is used to record
evidence of compliance
The T MU MD 00008 GU AEO Guide to Authorisation supports this authorisation
governance framework, and refers to the T MU MD 00009 ST AEO Authorisation
Requirements and TS 10504 AEO Guide to Engineering Management
TS 10504, which adopts a systems engineering approach, is supported by a suite of
guidance documents on elements of systems engineering
6. Industry benefits of authorisation
The authorisation framework is expected to achieve the following benefits to industry:
provide assurance of the technical integrity of the NSW transport network
remove dependence on limited review resources within transport agencies and TfNSW
improve project delivery efficiencies (reduced spent on authorising individuals)
reduce the adverse effects of technical review turnaround delays on project time and costs
facilitate effective and efficient decision making
reduce the overheads to the procurement process
reduce the supply chain risk (in particular delays to the overall review and acceptance)
reduce the risk of missing planned possessions due to design review acceptance delays
reduce the risk associated with preferential engineering or over engineering of solutions
assure consistent engineering service or product quality standards across the industry
adopt a commonly accepted objective view of competence and engineering assurance
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7. Key AEO requirements
A supplier of services is expected to meet the following requirements to become an AEO:
provides formally qualified and experienced personnel to provide the service
manages the competence of its staff
manages their own engineering assurance, supported by systems engineering,
configuration management, and technical data management
establishes and maintains a system of processes and procedures of how it conducts its
engineering activities including continuous process and product improvement
communicates and collaborates with the ASA to develop best practices
establishes and maintains a quality management system complying with ISO 9001: 2008
Quality management systems - Requirements
establishes and maintains a safety management system complying with
AS/NZS 4801: 2001 Occupational health and safety management systems - Specification
with guidance for use or OHSAS 18001, the Work Health and Safety Act 2011 (NSW), and
the Rail Safety (Adoption of National Law) Act 2012 (NSW)
demonstrates the 'safety in design' and 'sustainability in design' which are key components
of the activities for a design AEO
8. Legal and commercial implications
The AEO is expected to be responsible or accountable for the following activities:
responsible for assuring the competence of its own engineering staff
accountable for assuring the effectiveness and quality of its engineering services
accountable for delays in design delivery up to approved for construction
accountable for the safety and reliability of its engineering services
responsible for demonstrating compliance with engineering standards
accountable for all statutory and regulatory compliance of its engineering services
The former RailCorp competence and design assurance regime that previously managed the
legal and commercial implications associated with the liability for engineering competence and
design reviews is replaced by a regime that is self-managed by the AEO.
A need for corrective or improvement actions may be identified during AEO assessments and
audits. These corrective actions have to be managed with sensitivity, to balance a need to
manage risks presented to TfNSW and the NSW transport network, with the potential damage
to the AEO's reputation. Section 12.5.4 includes details of corrective actions.
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Arrangements will be established for early and efficient escalation and resolution of disputes,
including negotiation, mediation, arbitration, and finally litigation as the action of last resort.
9. Range of engineering disciplines
Engineering service areas that relate to asset life cycle stages are to be referenced from
T MU MD 00009 F1 AEO Engineering Services Scoping Matrix Template.
This matrix allows the AEO to accurately scope and agree the range of disciplines and services
to be provided over defined stages over the asset life cycle. It is accompanied with the user
guide and supporting guiding materials defining disciplines and services.
10. Engineering service areas
This governance framework covers the full range of engineering services over the full asset life
cycle from concept design to asset disposal as described in ISO 55001: 2014 Asset
Management Systems Requirements.
Authorisation can now be applied for and granted for engineering services in the following
areas:
feasibility and concept design
detailed design
fabrication and manufacturing
construction and installation
systems engineering and systems integration
inspecting, testing and commissioning
maintenance
decommissioning and disposal
general engineering consulting services (not asset life cycle stage specific)
10.1. Feasibility and concept The feasibility and concept stage (also referred to as the exploratory stage), requires specialist
consulting services. These services include transport modelling, operational and maintenance
concept development, business requirement development, system requirement development,
feasibility studies, optioneering, value for money studies, initial safety analysis, performance
modelling, and reliability, availability, and maintainability.
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10.2. Design The design and planning stages cover the activities that take place after the development of the
reference design during the concept stage. These services span the system definition review,
the preliminary design review, the critical design review, and the approved for construction
design. They also cover ongoing design support during the implementation stages, which are
construction, integration, test and commissioning.
10.2.1. Single-discipline design
Smaller single-discipline design consultancies often provide specialist design services in one of
the engineering disciplines. These may include designer, checker, verifier or independent
verifier roles.
10.2.2. Multi-discipline design
Multi-discipline design covers medium size, multi-discipline, design only companies that provide
design services in two or more of the engineering disciplines. These may include designer,
checker, verifier, or independent verifier roles and services.
10.2.3. Design assurance
Design assurance involves the technical checking and verification of designs by a subject
matter expert who has been assessed as competent in that particular discipline and who has
not produced the design.
The design checker should be assessed at a higher competence level than the designer, and
the verifier should be assessed at a higher competence level than the checker.
Design AEOs are expected to provide both design production and design assurance services.
However there may be specific contractual arrangements with TfNSW, whereby one AEO will
provide design production services, while another AEO provides design assurance service
(example, independent verifier)
Design production roles are described in Section 10.2.1 and Section 10.2.2.
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10.3. Fabrication and manufacturing
AEOs providing off-site fabrication, manufacturing, and assembly of configuration items at the
component, module, assembly, and subsystem or system level at original equipment
manufacturer premises prior to transport to site, include, but are not limited to:
rolling stock vehicle manufacturers; these vehicles include, locomotives, wagons, electrical
multiple units, diesel multiple units, or light rail vehicles
track component manufacturers; these are typically rail and rail fixing producers and
concrete sleeper manufacturers
point and crossing manufacturers; these could also be track component manufacturers
signalling equipment manufacturers; this equipment includes interlocking, control systems,
signals, point machines, train detection systems, and similar equipment
communications equipment manufacturers; this equipment includes optical fibre,
communications switching equipment, GSM, other radio systems, telephone systems, and
similar equipment
traction power equipment manufacturers; this equipment includes transformers, rectifiers,
protection and other switchgear, feeder equipment, and similar equipment
civil and structural component manufacturers; these components include overhead wiring
structures, precast concrete products, lattice and preformed structures, bridge
components, pipes, chambers, and similar components
In some cases, the fabrication and manufacturing services may be performed by the same
company providing on-site construction services.
Suppliers of these services will need to demonstrate an established capability to competently
assure these services.
10.4. Construction and installation
The construction and installation stages include on-site construction, fabrication, assembly,
installation and integration services. This may involve setting up a temporary construction site.
These stages are generally provided by large, multi-discipline construction companies. The
services of smaller, specialist construction companies that sub-contract to large engineering
construction companies are also included, but the focus remains firmly on construction only
services. Suppliers of these services will need to demonstrate an established capability to
competently assure these services.
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10.5. Systems engineering and systems integration
AEOs offering systems engineering or integration services for all of, or most of, the asset life
cycle from concept through to commissioning, need to demonstrate assurance of the following:
systems engineering and systems integration management capability across multiple asset
life cycles and multiple disciplines
a well developed knowledge of all of the relevant disciplines, asset groups and associated
sub-systems
a well developed knowledge of the way these disciplines, asset groups and sub-systems
function in an integrated fashion to achieve the emergent properties (functional and
performance) of the integrated railway system
10.6. Inspecting, testing and commissioning
Single or multi-discipline AEOs that provide factory and site inspection, equipment and sub
system or system testing and commissioning services, will need to demonstrate an established
capability to competently assure these services. Some manufacturing and construction AEOs
are also capable of providing these services.
10.7. Maintenance
AEOs offering dedicated asset management and maintenance services will need to
demonstrate an established capability to competently assure these services. These include
operating agencies but also include private sector maintenance engineering service contractors.
10.8. Decommissioning and disposal
Decommissioning and disposal will generally be performed by the same AEOs that perform
construction and installation services, but could include companies that specialise only in
decommissioning, demolition and disposal. They will need to demonstrate an established
capability to competently assure these engineering services. Decommissioning and disposal is
also referred to as retirement.
10.9. Engineering, procurement and construction management
Multi-service, multi-discipline engineering services AEOs are often able to provide most or all of
the whole-of-asset life cycle services covering both the full project delivery life cycle and
ongoing asset management through to decommissioning.
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10.10. Engineering consultancy services
Specialist engineering consultancy AEOs provide specialist services at specific asset life cycle
stages. These are often in the concept stage, for example, modelling, requirements analysis,
and BCA compliance. They may also provide whole-of-life cycle services, such as establishing
and managing systems for configuration management, asset management, safety management,
and quality management.
11. AEO authorisation requirements
Engineering organisations are expected to demonstrate that they have engineering specific and
engineering related management arrangements in place in order to achieve authorisation.
The associated document T MU MD 00009 ST AEO Authorisation Requirements details
engineering management requirements for all AEOs.
Note that not all the engineering management requirements are applicable to AEOs
that provide certain engineering services. AEOs should read the guidance associated
with each mandatory requirement to determine if it applies to the particular
engineering services they wish to provide.
12. AEO authorisation process
Authorisation involves an assessment by the ASA to determine if a supplier organisation can
demonstrate the capability and competency necessary to undertake engineering work on NSW
transport infrastructure and assets, and to provide assurance that it performs those services at
the necessary level of capability.
Authorisation is an assessment and ongoing surveillance process, which assesses a supplier's
engineering assurance arrangements with the objective of granting it AEO status. Initial granting
of AEO status is followed by periodic surveillance activities (including audits) of the engineering
outputs of an authorised organisation. The surveillance is based on any residual risk identified
in the original assessment (level of maturity rating), service delivery risks and issues of a
systemic nature identified through other sources.
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12.1. Submit an AEO application
Submitting an application includes registering the organisation name, type, business address,
ABN, primary contact details, details of sub-contractors and suppliers. The application also
includes the details of the scope of authority requested, that is, the services to be provided as
an AEO.
Applications can be for the following:
new applications, including the service areas and disciplines to be provided, or specific
project to be carried out
renewal applications, made just prior to the natural expiry of an existing AEO authority
upgrade applications, to add or remove service areas or disciplines to an existing AEO
status or to upgrade from 'project limited' to 'full' AEO status
The documents applicable to the AEO application include the following:
T MU MD 00008 GU AEO Guide to Authorisation
AEO application form
T MU MD 00009 F1 AEO Engineering Services Scoping Matrix Template
12.2. Assess an AEO application
The documents applicable to the assessment of an AEO application include the AEO
assessment checklist.
The assessment team will review the applicant's management framework (plans, procedures,
tools, records, and other supporting evidence) in accordance with the assessment checklist and
scope of engineering services as defined in the applicant's engineering scoping matrix as part of
an AEO assessment. Gaps will be communicated to the applicant, necessary actions and a
timescale to implement the necessary improvements will be agreed.
12.3. Address AEO applicant gaps
Agreed actions arising from assessments will form a condition of AEO authorisation and shall be
addressed by the applicant in a timely manner. Actions completion will be verified with
subsequent audit or audits as part of the ASA AEO surveillance program.
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12.4. Issue of authority to applicant AEOs
Upon successful completion of the audit, the assessor recommends the issue of a letter of
authorisation (normally signed by Director ASA) covering the engineering service areas and
disciplines for which the applicant is deemed competent to deliver. This confirms the relevance
and adequacy of the applicant's management plans and process documentation to comply with
T MU MD 00009 ST AEO Authorisation Requirements.
12.5. Monitoring and auditing of AEOs
After an engineering service provider is granted AEO status, a surveillance process is activated
in order to assure TfNSW that the AEO consistently delivers its services in conformance with its
authorisation. This surveillance commences with any identified action management required by
an AEO arising from the initial assessment findings, including monitoring and progressing any
caveats placed upon the granted authorisation.
Ongoing surveillance will cover periodic assessment of evidence generated by AEO technical
reviews, and scheduled or incident driven surveillance of AEO engineering activities against
declared plans.
12.5.1. Surveillance audits
Systems auditors or assessors will periodically perform surveillance audits of the artefacts of an
AEO's engineering assurance process over the service areas for which it has authorisation. This
ensures that both process and product are compliant with AEO authorisation requirements.
12.5.2. Regular and random audits
Audits may cover processes, products, or facilities, depending on the engineering service.
Audits will be carried out against predetermined criteria defined in standard audit checklists that
are developed from the AEO specific service areas.
Audits will also determine how an AEO assures its supply chain. An AEO supply chain includes
sub-contractors or suppliers, who may or may not be AEOs themselves.
The ASA will maintain records of all audits, including audits findings.
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12.5.3. Surveillance frequency and depth
The frequency and depth of surveillance audits will be risk based. An AEO that establishes and
continues to maintain a reputation for consistent and compliant delivery in the service areas for
which it is granted AEO status will be subject to a lower frequency and depth of surveillance.
In the event of an 'area of concern' being raised during a scheduled audit or as a result of an
incident outside the scheduled audit program, the frequency and depth of surveillance will
increase in proportion to the level of the risk.
12.5.4. Corrective actions
The purpose of the corrective action process is to identify assessment or audit findings, consult
and agree on action plans with the AEO, and set agreed timeframes.
It is ultimately the responsibility of the AEO with regard to what action is taken and whether it
can be completed in the proposed and agreed timeframe. In this regard the AEO must respond
to each identified 'opportunity for improvement' and 'area of concern' with details of proposed
actions and reasonable timeframes for completion.
The AEO may propose alternative solutions to any corrective actions proposed by the assessor
or systems auditor for consideration. These may be adopted if mutual agreement is reached on
the benefit gained.
12.5.5. Unacceptable performance of an AEO
In the event of consistently poor performance by an AEO in a service area for which it has been
authorised, the ASA may consider a range of actions, depending on the associated risk to
safety, environment or business. Actions can include the following:
recommending future improvements, where the general level of compliance is adequate
requiring corrective actions, with timescales for the implementation of the corrective action
withdrawing selected service areas or disciplines from the AEO status for a specific project
or engagement with TfNSW
withdrawing selected service areas or disciplines from the AEO status for all projects or
engagements with TfNSW
withdrawing the entire AEO status completely and define supplier corrective actions
needed to reapply for AEO status
withdrawing the entire AEO status completely on a permanent basis
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12.5.6. Escalation of grievances
The AEO will be provided with a means to escalate a justifiable grievance related to an adverse
audit or assessment outcome, to an external review board.
13. AEO validity period
The validity of the AEO authorisation status and renewal will be performance based, as verified
by means of the ongoing surveillance audit regime.
An AEO applying for future TfNSW projects can be granted AEO status with a maximum period
of three years before a surveillance audit is conducted, although this may be adjusted
depending upon the risk profile of any of the corrective actions or contracted scopes of work.
A project limited authorisation may also be granted to support the procurement program or in
response to different service delivery mechanisms, for example an alliance project or joint
venture. Any such authorisation is not transferrable and will be constrained by the services
scope and duration and will be subject to surveillance by the ASA.
14. Organisational process context
This AEO authorisation framework has a number of interfaces with other management
processes and stakeholders.
14.1. Procurement
The AEO authorisation process is a precursor to the TfNSW procurement process and
associated systems. A supplier must have AEO status prior to being considered eligible to
respond to invitations to tender relevant to the engineering services for which it has been
granted authority.
If a serious 'area of concern' is raised that relates to the criteria for AEO status during the
course of a contract awarded to an AEO by TfNSW, this will be reported by TfNSW to the ASA
for corrective action. Corrective actions are discussed in Section 12.5.4.
14.2. Engineering assurance
The AEO authorisation process is closely linked to the engineering assurance arrangements
and processes in TfNSW and in the AEO. The AEO is expected to demonstrate that it has an
established engineering assurance regime and is effectively applying it across all engineering
service areas and disciplines for which the AEO is seeking or has obtained AEO status.
For instance, the engineering assurance group within TfNSW Transport Projects Division has a
process that will rely on the AEO's internal engineering assurance, and will require evidence
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that all activities have been carried out under the AEO's conditions of authority. Refer to
TSR T1 Technical Management (TfNSW Standard Requirements).
14.3. Quality assurance
Two significant elements of AEO authorisation requirements, engineering assurance, and
competence management, are also key requirements of ISO 9001 and are required to be part of
both the TfNSW and the AEO quality management systems.
In addition to the other requirements for AEO status, these elements will be subject to audit and
assessment activities appropriate to the engineering service offered. Increased emphasis will be
placed on the AEO to demonstrate that it has established and maintains an effective quality
management system that meets all of the requirements of ISO 9001 relevant to the service or
products for which the AEO is authorised.
14.4. Safety assurance
Safety and its assurance remains the most significant element of the organisation management
process change associated with this AEO authorisation governance framework.
The safety risk, associated with 'safety in design' and the changes in responsibility for
competence assurance and engineering assurance, will be managed as part of the AEO safety
management system.
14.5. Competence management
A fundamental relationship exists between the concept of an AEO and the need to manage the
competency of its staff to ensure that staff members are competent to undertake the relevant
engineering tasks. The AEO will need to establish and maintain a competence framework and
plan that is sufficiently robust to support the engineering services for which it is authorised.
Despite this, the AEO are still obliged to comply with regulatory and legislative requirements
necessary to support any of the contracting entities regulatory accreditations.
Competence management requirements are defined in T MU MD 00009 ST AEO Authorisation
Requirements and guidance is provided in the TS 10503 AEO Guide to Engineering
Competence Management.
14.6. Legislation
The Work Health and Safety Act 2011 (NSW) and associated regulations affect the manner in
which TfNSW manages governance of safety responsibilities, including authorisation of AEOs.
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14.7. Regulatory bodies
In order for TfNSW and the ASA to discharge its safety responsibilities under the conditions of
accreditation with the Office of the National Rail Safety Regulator, all changes in governance,
including changes to engineering authority that affect the safety of the transport network need to
support the National Rail Safety Regulator accreditation requirements.
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