1.4. Quality Management

The quality management system of PJSC Gazprom enables the Company to make most effective management decisions, control quality of production and services at all stages, and improve business processes.

The quality management activities cover all governance levels of PJSC Gazprom, from the Board of Directors to the subsidiaries, suppliers and contractors. The Deputy Chairman of the Management Committee acts as a quality assurance officer representing the senior management team. There are a Quality Assurance Council and a Quality Assurance Working Group in place.

PJSC Gazprom’s key document in the sphere of quality management is the Quality Assurance Policy of PJSC GazpromApproved by order of PJSC Gazprom No. 643 dated September 20, 2017.

As part of its efforts to improve the efficiency of quality management, PJSC Gazprom implemented and certified the Quality Management System (QMS) compliant with ISO 9001:2015. The QMS is based on a comprehensive approach, which includes a PDCA (Plan-Do-Check-Act) cycle, and a risk-oriented thinking. 2019 saw the first- and second-party audits of PJSC Gazprom’s QMS.

In 2019, PJSC Gazprom adopted new versions of its quality assurance standards and expanded the scope of the QMS application.

Gazprom imposes stringent quality requirements on both its suppliers and contractors. One of the criteria for assessing bidders during procurement procedures is the availability of a quality management system compliant with the STO Gazprom 9001 standard.

Gazprom has its own voluntary certification system — INTERGAZCERT, which is one of the key tools used to assess the compliance of goods, works or services sourced by PJSC Gazprom’s production facilities with the Group’s requirements for materials and equipment. Gazprom uses INTERGAZCERT as an addition to the mandatory state certification system.

About 70% of significant product and service categories undergo quality control. To assess the compliance of goods, works and services with the existing requirements, PJSC Gazprom uses a set of corporate standards and recommendations ensuring the consistency of measurements.

Gazprom continues improving its QMS. The plan is to create a vertically integrated corporate QMS to align the QMS of PJSC Gazprom and quality management systems of its subsidiaries based on a single methodology, thus improving the efficiency of the Group as a whole.

For 2020, it is planned to start using the INTERGAZCERT voluntary certification system for authorizing contractors to perform works or render services at Gazprom’s facilities, as well as for controlling their compliance with the process safety requirements.