Shell Contracting and Procurement

Remote Inspection Handbook

A Shell Supply Chain Digitalisation Initiative

Shell Global Solutions International B.V. 2020

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Shell Contracting and Procurement Handbook for Remote Inspection Global Implementation on
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Document History

Date Issue Reason for Change Author/Review Approved

Lin, Jenq Ping

Tang, Ming
31 Aug 2020 1 Badoux, Dave
First Issue Laird, Andrew
Teoh, Melissa
Kaldenbach, Michael
Thurgood, John

Amended doc classification to Lin, Jenq Ping

RESTRICTED. Share with Staff, Tang, Ming
18 Sep 2020 2 associated JV parties and selected Badoux, Dave
Laird, Andrew
external parties (Contractors, Teoh, Melissa
Suppliers, Service Providers) Kaldenbach, Michael
Thurgood, John

© Copyright vested in Royal Dutch/Shell Group of Companies

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Contents
Document History ............................................................................................................................................................ 2
1. Introduction ............................................................................................................................................ 4
1.1. The Remote Inspection Core Team .................................................................................... 4
2. Remote Inspection Options: Standard & Advanced ................................................................ 6
2.1. Standard Remote Inspection ............................................................................................... 6
2.2. Advanced Remote Inspection .......................................................................................... 10
3. A Step by Step process guide of implementing remote inspection ............................... 13
4. Resources .............................................................................................................................................. 16
5. Frequently Asked Question & Useful Tips ............................................................................... 17
Appendix 1. Hardware and Software Purchase Options ............................................................................... 20
Appendix 2. HSSE Guidance for Hardware: Head Mounted Device .......................................................... 23
Appendix 3. REALWEAR Head Mounted Device Quick Start Guide.......................................................... 25

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1. Introduction
At Shell, the supply chain for our capital projects and assets spans the globe. Throughout this
extensive supply chain, materials, equipment and construction activities undergoes a stringent
quality control process to ensure the eventual safe and reliable operation of our facilities.

Using the latest developments in wearable technologies we can now use remote inspection to
improve the quality control process – lowering cost, time, safety exposure and carbon footprint,
while greatly extending the reach of our experts.

Figure 1: Concept Model of Remote Inspection

The target audience of this handbook will be the Shell technical and commercial professionals, as
well as the suppliers whom they work with, e.g. EPC Contractors, Third Party Inspectors and
Equipment Suppliers (Refer note 1). 1

Two options for remote inspections will be covered in this handbook, i.e. Standard and Advanced.
Standard remote inspection, which is covered in Section 2.1, includes Live-stream video and
audio between the supplier’s worksite and the client audience. Advanced remote inspection,
which is covered in Section 2.2, supplements the standard remote inspection with software that
has preconfigured inspection procedures, evidence capture and auto-report generating function.
For detailed questions related to the software and hardware products, contact the vendors
(Appendix A).

Section 3 provides a step by step guidance to deploy remote inspection technology and enable
witnessing of inspection activities remotely

1.1. The Remote Inspection Core Team

The remote inspection core team combines expertise from Shell Contracting & Procurement,
System Engineering & Quality, Digital Centre of Excellence. Members of this core team have

Note: 1. This document amounts to “Confidential Information” as defined in respective purchase contracts or non-disclosure
agreements with Shell and in this regard, suppliers of Shell shall be required to adhere to the confidential obligations as set out in
respective purchase contracts or non-disclosure agreements.
1

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executed numerous remote inspections to support good quality and timely delivery from Shell
suppliers to Shell projects and assets. The core team provides advice on scoping and
implementation, collects lessons-learnt and facilitates experience sharing.

▪ Contracting & Procurement

▪ Laird, Andrew
▪ Lin, Jenq Ping
▪ Tang, Ming

▪ System Engineering & Quality

▪ Badoux, Dave
▪ Teoh, Melissa

▪ Digital Centre of Excellence

▪ Kaldenbach, Michael
▪ Thurgood, John

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2. Remote Inspection Options: Standard & Advanced

2.1. Standard Remote Inspection

The standard remote inspection includes, as a minimum, Live-stream video and audio between
the supplier’s worksite and the client audience. At supplier’s worksite, a supplier QC engineer or
an agency inspector operate the video capture equipment. The client audience may be engineers
from Shell, EPC Contractors or another agency inspector.
The results of testing and inspection witnessed in this manner will be captured in inspection
certificates and reports, as per usual procedures. Suppliers of Shell should always:
• Discuss and seek approval from the client audience before executing remote inspection.
• Where necessary, perform functional tests of the remote inspection equipment with client
audience prior to the actual inspection.
• Ensure the inspection is ran efficiently by listing the activities in an agreed script or a
modified inspection procedure for remote inspection.

The witnessing of selected elements of the Inspection and Test Plan (ITP) can be executed with
standard remote inspection, as the performance of the test is always done by the supplier of
equipment or module under fabrication. In addition, it is also possible to witness some of the
tests for Design Validation Testing. Activities include:
-Pre-Inspection Meeting (PIM) with workshop tour
-In-progress inspections, like weld preparation/fit up
-Performance inspections and testing, like pressure testing and NDT
-Final inspection and clearing of punch list items

Figure 2: Remote Inspection conducted by Suppliers’ Inspector at Worksite with live feed to
Client Audience Office

Getting started requires the set-up of software, hardware and infrastructure. The information
below states the minimum requirements for a remote inspection solution. It describes what
such a solution should be able to do, not how the solution should do this or which
systems/hardware to be used.

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i. General system requirements

• Must be able to prevent unauthorized viewing or participation (refer also to item iii).
• Must meet regulatory requirements and restrictions in supplier country and client
audience country
• Must not reduce, prohibit or limit safety barriers at the worksite or Personal Protective
Equipment

ii. Specific Requirements for Hardware

• Video Requirement
o Live-stream video from the inspector at supplier’s worksite to the client audience
at remote location.
o Must enable necessary movement to facilitate different viewing angle and depth
to perform the inspection by the inspector.
o Able to read-off of instruments and equipment tags
▪ Minimum video resolution 720p, good lighting conditions
o Able to observe changes, bubble test, open/close
▪ Preferably video frame rate > 30FPS
o Provide overview and detailed view
▪ Minimum one hardware, preferably one additional fixed mounted
hardware to form multiple cameras.
▪ pan/zoom control can be achieved either manually or is a feature of the
hardware
o Provide stable image for easy viewing
▪ Preferably camera fixture, tripod or gimbal

• Audio Requirements
o Two-way audio between inspector and client audience.
o Clearly transmit voice for questions/response
o Preferably VoIP with analogue backup
o Able to reduce or suppress ambient noise at the worksite

iii. Shell IT Security Side Note

Shell adheres to strict cybersecurity policies to ensure that Data and Personal Information is
safe. To that end when Shell employees are involved with (conference) calls it is
recommended that Shell approved platforms are used.
The following software are approved for use in Shell:
o Skype for Business
o Microsoft Teams
o HPE MyRoom
Any other platform will need to go through a cybersecurity assessment, please contact digital
COE colleagues for assistance.

iv. Examples of Standard Remote Inspection Systems: Software, Hardware and

Infrastructure
The following table explains the possible combination of software and hardware.

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RealWear
Smart Phone
+
+
HPE MyRoom
MS Team
Wearable device controlled
by voice; Hand-hold device;
File transfer, Pointers Easy set up
Key Advantage/Feature Capable of running
Workflow which is Shell's (**Please note that RealWear can also be
advanced inspection used with MS TEAMs)
solution
Smart Phone with Digital
camera (minimum resolution
Required Hardware RealWear HMT -1
720P)
Hardware
+ Stabilizer
and
Software at Software HPE MyRoom Microsoft Team
Inspection
Site Wifi or mobile hotspot Wifi or mobile data
Internet
Upload & Download : >1.5 Upload & Download: >5 Mbps
Connection
Mbps
Required Hardware Normal laptop or desktop Normal laptop or desktop
Hardware
MS Team
and HPE MyRoom
(either install MS Team into
Software at Software (pre-installation and setup
laptop, or use web version
client is required)
without installation)
audience's
Internet
office Download: >5Mbps Download: >5Mbps
connection

v. Standard Remote Inspection Case Example: Hydrotest of A Pressure Vessels

The Shell Singapore Seraya asset team has used Remote Inspection to complete inspection
of pressure vessels fabricated in China. RealWear and HPE MyRoom was used in this project.
Selected items in the Inspection & Test Plan ITP (e.g. Hydrotest) were conducted using the
system and subsequent wet signature sign off by witness is on conventional ITP on paper.

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2.2. Advanced Remote Inspection

Advanced Remote Inspection is built on top of the standard remote inspection, with incorporation
of an additional software that can pre-define an inspection flow. A pre-configured inspection
script can be uploaded to the Hardware, to guide both the inspector and client audience step by
step, capture evidence and generate inspection report. Over time, Suppliers and Shell can build
up pre-agreed standard inspection solutions and acceptance criteria for replicated products. This
can enhance the effectiveness and efficiency of the inspection activities.

One example of such software is WorkFloPlus, which is described in the following section.

i. Step 1. Select Available WorkFloPlus Script or Configure New

WorkFloPlus has pre-configured inspection scripts, which can be selected from a library.
Alternatively, a user can configure an inspection procedure step by step and define the evidences
required (e.g. a photo or a video) in WorkFloPlus software. 2

ii. Step 2. Execute inspection at site using hardware installed with WorkFloPlus and
Inspection Script.
Subsequently, the inspection script is loaded onto a compatible hardware set(e.g. a RealWear
device). The steps defined in the script are then executed at site by the inspector wearing the
device. As with Standard Remote Inspection it is possible to live-stream the inspection as well as
capture the evidence using the RealWear device according to the workflow defined in the script.

2The digital COE team referred to in contact listed in section 1.1 can be contacted for support.

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iii. Step 3. Auto-generate the inspection report with evidences.

Finally, when the inspection is completed according to the script in WorkFloPlus, a report will
be autogenerated with all the collected evidence attached. The report is in pdf form and can be
emailed to the relevant parties to support final sign-off.

iv. Advance Remote Inspection Case Example:

The Global LNG Terminal Assurance Assessment team used WorkFloPlus to document marine
terminal jetty inspection. Inspection items were following a flow of twenty-seven (27) inspection
steps, such as jetty security access, visitor safety notices, life-saving equipment on jetty, mooring
load monitoring systems etc. Various photos and videos were taken as per planned workflow as
evidences for the successful completion of the inspection. The inspection took about two hours
and it was completed effectively and efficiently. Other experts at different locations participated
in this inspection as part of the assurance process.

Refer to below reporting template from the Marine Terminal Jetty Inspection work.

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3. A Step by Step process guide of implementing remote inspection

Standard flow to deploy Remote Inspection in project/supplier shops
Software / Hardware Shell Remote Inspection
Item Project/Asset Supplier
vendor Team (C&P, Quality, Discipline, IT)

Needs arise for Drive Shell global

Step 1
Remote Inspection
Remote Inspections
Technology

Triggered EFA / key

suppliers to have
Remote Inspections
capability

Step 2
Agreed to equipped Conduct demo
with Remote meetings in supplier
Inspection facilities shop

Step 3 Develop RVI

procedure/work
instructions, with
support from vendor

Step 4
Proposed Remote
inspections scope to
project/Shell RVI team
and revised Inspection
& Test Plan

Invest RVI Organize training to

hardware/software suppliers' key
personnel

Step 5 RVI go-live in supplier

shop with project/EPC
participation

Lessons Learned and

Step 6
feedback to Shell
Remote Inspection
Team

Step 1: Identify the need and feasibility for Remote Inspections

To reap the benefits of HSSE, cost and schedule with the same level of quality assurance, Shell
Projects and Assets Team should analyse the feasibility of conducting remote inspection on
selected parts of Inspection and Test Plan for important contracts. The technology can also serve

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as a project progress visualisation tool. The remote inspection core team can provide advice and
lessons learnt to support the decision.
Alternatively, Shell suppliers and inspection agencies can also propose to Shell Projects and
Assets Team to use remote inspection. Supplier may connect with Shell Category Manager, CP
Lead, Shell’s discipline/package engineer or Contract Holder, using this document to gain
support.
For a project that is currently under execution with a contractor/supplier and Shell team would
like to deploy remote inspection in the inspection scope, contact the respective Category Manager
and Shell Remote Inspection Team (refer section 1.1) to know if a supplier already has Remote
Inspection capability.
If the supplier has proven capabilities for remote inspection, the project should agree on which
items/scope in the Inspection & Test Plan can be changed to Remote Inspection, taking into
account the risk profile of the activities.
If the supplier does not have proven capabilities, engage with the contractor/supplier on the
benefits of the Remote Inspection and the potential increase of the efficiency and cost saving
perspective. Once the contractors/suppliers are interested to support Shell’s initiative on Remote
Inspection, then both parties can work together to achieve below from Step 2 to Step 6.

Step 2: Market survey and Demo meetings on available hardware/software

Contractors/suppliers may invite Remote Inspection hardware vendors to conduct a product
demo meeting in their facility. This include the hardware (I.e.: wearable glasses, camera) and
software (online meeting service platform). During the demo meeting, supplier may also request
project team to pilot the session together to ensure the hardware/software is compatible with
client IT requirements. Once all demo meetings completed by the hardware/software vendors,
supplier then make decision to procure a set of the Remote Inspection hardware and software.
Once procurement is made, vendor will arrange with the supplier to train their personnel on how
to effectively use the device during the works.

Step 3: Establishing the Remote Inspection work instructions or procedures

Supplier to establish simple process flow, work instructions or procedures for each of the Remote
Inspection activities to define the flow and steps of the session. This will avoid long hours spent
on the screen by client audience and others involved in the session if they are familiar with how
Remote inspections works. With the proper process flow, work instruction or procedures,
inspector of suppliers can effectively manage the flow of the session. Content of the work
instruction should cover below as minimum:
• Environment and Safety check, including workers’ PPE
• Inspection device and tester validity, parameter and settings verification
• Specifications and procedure verification
• Scope of Work for the session (i.e.: measurements, durations, conditions, temp)
• Personnel and qualification check
• Expected outcome and conclusion.
Should Shell team choose to implement advance remote inspection, supplier may work with
project team to integrate WorkFloPlus into their device to ease the entire inspection works and
reporting the outcome.

Step 4: Approve the Inspection & Test Plan with remote inspection elements

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Supplier to work with project discipline engineer and EPC to jointly review and approve activities
in the Inspection & Test Plan, what could potentially be replaced by using Remote Inspection. For
example, a Witness point “W” can be replaced by Remote Inspection Witness “RIW”. Shell Team
and Suppliers can use the demo or trial sessions in step 2 to verify feasibility or connect with
Remote Inspection Core Team for experience and advice.

Step 5: Plan for actual Remote Inspection as per ITP Witness/Hold points
Supplier to send invitation to the parties involved via online meeting service platform 1 week
prior to the Remote inspection session, such as Shell package engineer, EPC discipline
engineer/inspector, Shell appointed 3rd party inspector, certification body (if relevant). In the
meeting invitation, clearly state the scope and the duration of the session.

Step 6: Feedback and Learnings

Post remote inspection, supplier to seek feedback from parties involved in the Remote inspection
session and work on to continuously improve their process flow/work instruction based on the
learnings. Transmit the relevant video clips, photos and documents shared and snapshotted from
the Remote inspection session to stakeholders and archive files into the project IM folder
accordingly.
Share the learnings from the Remote Inspection application in your project with the project
community, by posting snapshots and highlights in relevant Yammer channels and share any
presentation packs in the Remote Inspection SharePoint (see links in Section 4)

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4. Resources
Remote Inspection Yammer
The place to LEARN and SHARE about using wearables to improve inspection in our projects

Remote Inspection SharePoint

Overview of suppliers, guidelines, success stories and lessons learned

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5. Frequently Asked Question & Useful Tips

Frequently Asked Questions is compiled from the various engagement sessions with
project/asset as well as suppliers.

i. Is the Standard Remote Inspection technology also feasible for other remote
viewing/assistance purposes?
Answer: Yes, the technology was also used for other purposes, e.g. Design Verification Test (DVT),
new supplier facility qualification, design or quality issue investigation, witnessing asset
Risk Based Inspection or Maintenance. The key infrastructure is good internet access
(fixed WIFI or mobile router that can be carried around).

ii. Must I use the software and hardware specified in this document only? Can smart
phones be used as an alternative for RVI?
Answer: For cyber security reasons, software used for Remote Inspection must be assessed
and approved by Shell IT. Other hardware such as Toshiba DynaEdge, software such as
Skype for Business are also available in the market. For certain type of activities, smart
phone as a hardware may be used in conjunction with approved software (e.g. Skype
for Business or Ms Teams) but please bear in mind there are other HSSE considerations
e.g. situations where inspector needs to be handsfree to perform the tasks or to
manoeuvre at height.

iii. What are the key challenges when introducing Remote Inspection?
Answer: The actual procurement and integration of hardware and software by suppliers can be
challenging and take time before ready to use. Hence this handbook provides integrated
system options in Appendix A. In addition, both Shell teams and Suppliers takes time to
familiarise with the concept, trial and take small steps before implementing to more
areas of the ITP. Hence, the inspection and test plans can be modified along the way to
increase coverage of remote inspection following the familiarity of the Shell Team and
Suppliers.

iv. Any feedback from the discipline engineers who have confident to sign off FAT
remotely?
Answer: Good example is Design Validation Test kicked off by SME for DHV Valves and Neway
Valves. Quality and C&P are also worked with fabrication category team to pilot
fabrication scope for remote video inspections in Yanda for existing project.

v. Does that mean we will not need Second-Party or Third-Party Inspectors to be at

site anymore?
Answer: There is a provision in Enterprise Framework Agreement with the Inspection agencies
(Applus, Intertek, SGS, Bureau Veritas & DNVGL) to utilize and support remote
inspection. But we do recognise that there may be situations where not all activities can
be done remotely for this point of time, hence may need second-party or third-party
inspectors to be at site especially for inspection scopes deemed necessary or critical. In

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some cases, a possible solution would be to hire 2nd party inspector (e.g. a local Brazilian
SGS inspector based in Rio De Janeiro) to be physically present at supplier site in Brazil,
while supplier execute remote inspection which can involve more Shell experts (e.g.
based in Houston and Kuala Lumpur).

vi. Is there a hardware suitable for remote inspection to be performed offshore?

Answer: There are ATEX certified intrinsically safe hardware available in the market, e.g.
RealWear HMT-1Z1 which is more expensive than the non-ATEX certified ones. In
offshore environment, stable internet connectivity is also a requirement for the tool to
be connected. For most cases covering inspection at supplier's workshops, there will
usually be no hydrocarbons in the workshops.

vii. How do I choose a hardware (e.g. RealWear or Toshiba DynaEdge)?

Answer: There are different hardware (different video resolutions, intrinsically safe capability
etc.) in the market. Suppliers need to know project's needs and can invite vendor to hold
a demo session. Bandwidth of the internet connectivity infrastructure may affect
performance of different hardware.

viii. What are the key success elements of implementing Remote Inspection?
Answer: Key success elements are Technology, Behaviour and Procedures. Technology elements
includes network connectivity, correct hardware with high resolution pictures and noise
cancellation capability. Both Shell and Suppliers needs to have a “can-do” mind-set to
overcome various technical glitches before reaching smooth implementation. Inspectors
needs to be trained and should be skilful to use the technology and assess the scenario
from HSSE point of view. Lastly it is critical to have a pre-agreed a
checklist/workflow/work instruction in place to be followed correctly by both Shell
team and suppliers. With such agreed flow, client audience can avoid looking at the
screen when inspector is transiting between witness activities, as client audience may
feel dizzy during transit times. An additional fixed mounted camera is optional but can
provide comfort and overview of the test set up.

ix. What should I do if I experiencing technical breakdown during the Witness/Hold

point with my project stakeholders remotely?
Answer: Suppliers’ IT department should be trained and be the first point of support contact.
Contact also the software and hardware vendor for technical support. If supplier have
more than 1 set of devices it will be a useful buffer. Discuss with stakeholder if a video
recording can be useful alternative as an unplanned mitigation action. Lastly, if
necessary, you may need to reschedule the session until you resolve the technical
problem. Since it is virtual, the impact should be minimal though undesirable.

x. Some software (e.g. HPE MyRoom) has video recording function, what’s the
generally steer from Shell on how to keep these recording.
Answer: Unless otherwise specified for critical reasons, video recordings are not necessary to
support inspection close out for Standard Remote Inspections. This is the same for
advanced remote inspection. For Advanced Remote Inspections, software such as
WorkfloPlus should be configured such that all documents, screenshots, videos (if

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necessary and critical) captured during the remote inspection session shall be safely
stored and archived as per Shell Record Management policy, contact Digital COE for
detail information. While other software (e.g. HPE MyRoom) has the capability to share
documents, record snapshots and videos as an evidence of the Inspection, Suppliers need
to observe the Confidentiality and Intellectual Property obligation of the contract with
Shell in managing these data.

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Appendix 1. Hardware and Software Purchase Options

There are options that you can get started quickly. Flexible purchasing option in the market
include:
A) One-stop-shop integrated solution vendor
B) Buy direct compatible software and hardware from individual vendors (e.g. HPE MyRoom
and RealWear etc.) and other retailers.
These purchase options are only for information and is not an endorsement of Shell of any specific
product. You are required to carry out your own due diligence prior to making any purchase and
ensure that it is compatible with your respective systems. Any commercial purchase transactions
carried out by Suppliers of Shell in accordance with this document are carried out at Suppliers’
sole risk and cost.
This document amounts to “Confidential Information” as defined in your respective purchase
contracts with Shell and in this regard, suppliers of Shell shall be required to adhere to the
confidential obligations as set out in your respective purchase contracts, or non disclosure
agreements.
Some examples of the vendors are listed below:
1. Example Integrated Solution Vendor: Standard Remote Inspection & Advanced
Remote Inspection
i. Standard Remote Inspection (Indicative pricing for Aug 2020 as below, please
directly enquire from VMatch):

ii. Advanced Remote Inspection

WorkfloPlus Add On: (Indicative pricing for Aug 2020 as below, please directly
enquire from VMatch):

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iii. Contact Details

This one-stop-shop integrated solution vendor can help to deploy Shell’s remote
inspection options (standard or advanced), get answers on equipment, service
platform solutions, buying vs renting, pre-configuration, user training & onboarding,
24/7 support, automated reporting requirements, safe data storage and proof-of-
concepts to establish viability and scalability of the solutions.
o Richard Baars
o Email: [email protected];
o Mobile: +31651277521
o Website: https://vmatch.nl

2. Example Software Vendor: HPE MyRoom

HPE MyRoom License Typical Amount (USD) Some contacts to request for
Cost Structure quotation
ChatRoom (number of Refer to Link https://www.myroom.hpe.c
participants per session) om/Products
VRG License Refer to Link
Total Annual Fees Refer to Link

3. Example Hardware Vendor: RealWear

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Basic Hardware List Amount (USD) Some contacts to request for

quotation
RealWear HMT-1 Refer to Link
RealWear HMT-1Z1 Refer to Link https://shop.realwear.com/
(ATEX Certified – Intrinsically
Safe) https://www.realwear.com/
Cost Refer to Link contact-us/
Choose Either One

4. Example Software Vendor: Workflo Plus

Amount (USD) Some contacts to request for

quotation
Business (per month) Refer to Link https://www.intoware.com/
Enterprise Refer to Link contact
Total Annual Fees Refer to Link
Choose Either One https://www.intoware.com/
pricing

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Appendix 2. HSSE Guidance for Hardware: Head Mounted Device

3.1 General

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3.2 Human Factor Guide

3.3 Cleaning Guide

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Appendix 3. REALWEAR Head Mounted Device Quick Start Guide

The following section are reproduced from public materials of REALWEAR and has obtained

FW_ Shell_ Use of UG

content_.msg
written approval to be reproduced here.

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Bibliographic information

Security Classification RESTRICTED

Report Number 002

Title Shell Remote Inspection Handbook

Subject For Shell Internal Use and Shell Suppliers who have
existing purchase contract or non-disclosure agreement

Keywords Remote Inspection, Contracting & Procurement

Lin, Jenq Ping
Author(s)
Tang, Ming
Badoux, Dave
Teoh, Melissa
Kaldenbach, Michael
Thurgood, John
Publish Date August 2020

Export Control

Approved Laird, Andrew

Issuing Company Shell Global Solutions International B.V.

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