2009 Standardization ConferenceSC18 Committee on Quality Standards

San Antonio, TexasJanuary 21, 2009

API Monogram ProgramStatus Report

1220 L Street, NW, Washington, DC 20005www.api.org

API Monogram ProgramStatus Report

2008 Activities

Program Status

Workload Solutions

Additional activities

• Management Transition• API Spec Q1 Eighth Edition Transition• Finalized Alternate Marking Agreement Program• Auditor Summit 2008• Internal Procedural Revisions• Paperless Filing System (Alchemy)• Abbreviated Renewal Application [location/name

changes]• Website Notices

Monogram Program Activities 2008

http://www.api.org/certifications/monogram

Program Status

API Monogram Program

Asia Pacific; Licensees; 1041; 41%

North America; Licensees; 611;

24%

Europe; Licensees; 361; 14%

South Asia; Li-censees; 179; 7%

South East Asia; Licensees;

106; 4%

South America;

Licensees; 102; 4%

Middle East; Licensees; 92;

4%Africa; Licensees; 42;

2%Asia PacificNorth Amer-icaEuropeSouth AsiaSouth East AsiaSouth Amer-icaMiddle EastAfrica

Total Licensees (January 2009) 2561Licensees 70 Countries

1. China 878 2. US 493 3. India 164

API Monogram Program

Asia Pacific; Licenses;

1615; 38%

North America; Licenses; 921;

22%

Europe; Licenses; 648; 15%

South Asia; Licenses; 326; 8%

South East Asia; Li-censes; 210; 5%

South America; Licenses; 182; 4%

Middle East; Licenses; 223; 5% Africa; Licenses; 73; 2%

Asia Pacific

North America

Europe

South Asia

South East Asia

South America

Middle East

Africa

Total Licenses(January 2009)

4239 Licenses70 Countries

1. China 1352 2. US 744 3. India 301

Program Growth Licensees/Licenses

2005 2006 2007 2008 20090

50010001500200025003000350040004500

2005; Li-

censes; 2790

2009; Li-

censes; 4225

2005; Li-censees;

1697

2009; Li-censees;

2562

LicensesLicensees

Most Popular Licenses

5CT 6D 6A 5L 7-1 7 16A0

100

200

300

400

500

600

700

Applications 2008

2009

Current Applications

China; Sales; 539; 59%

USA; Sales; 74; 8%

India; Sales; 41;

5%

Italy; Sales; 30;

3%

South Ko-rea; Sales;

29; 3%

Indonesia; Sales; 19;

2%

Canada; Sales; 19;

2%

33 Other; Sales; 158;

17%

China

USA

India

Italy

South Korea

Indonesia

Canada

33 Other

Total Applications 797 New Facilities112 License additions

Reaudits and Suspensions

2005 2006 2007 20080

20

40

60

80

100

120

140

ReauditsSuspensions

Suspensions, Cancellations, and Withdrawals

• 39 Suspensions• 89 Withdrawals• 48 Cancellations

• Most Commonly Suspended Specs: 6D, 6A, 7-1• Most common reasons for Suspension: Audit nonconformances, no renewal

agreement, no longer manufacturing product

• Most Commonly Cancelled Specs: 5CT, 6D, 6A• Most common reasons for Cancellation: Audit nonconformances,

nonpayment, facility closure

• Most Commonly Withdrawn Specs: 5CT, 5L, 7-1• Most common reasons for Withdrawal: Facility closed, facility request,

facility is no longer manufacturing product

Most Popular Licenses

5L 5CT 6A 6D 7-10

2

4

6

8

10

12

14

WithdrawnSuspendedCancelled

Workload Solutions

Immediate Workload Solutions

• Standardizing letters• Automating responses• Automatic letter generators• Offsite QM reviews• Goal set to clear the actions backlog by Mid 2009

Long Term Solutions• Customer specific interactive webpage• Immediate audit assignments; responses are reviewed

with the initial audit packages• Paperless audit process, from Application through Audit• Update the audit review process /streamlining

administrative tasks• Real time correspondence• Web driven workplace activities• Web based data queries, providing better tracking ,

more and useful metrics Bottom line……..efficient, fast, responsive

Additional Activities

Revised Specs [Effective in 2009]• API Spec 17J – Specification for Unbonded Flexible Pipe 7/7/08 [1/1/09]• API Spec 12B – Specification for Bolted Tanks for Storage of Production

Liquids 10/8/08 [3/31/09]• API Spec 12D – Specification for Field Welded Tanks for Storage of

Production Liquids 10/8/08 [3/31/09]• API Spec 12J – Specification for Oil and Gas Separators 10/8/08 [3/31/09]• API Spec 12K – Specification for Indirect Type Oilfield Heaters 10/8/08

[3/31/09]• API Spec 12L – Specification for Vertical and Horizontal Emulsion Treaters

10/8/08 [3/31/09]• API Spec 12P – Specification for Fiberglass Reinforced Plastic Tanks 10/8/08

[3/31/09]• API Spec 12F – Specification for Shop Welded Tanks for Storage and

Production 10/8/08 [3/31/09]• API Spec 11E – Specification for Pumping Units 11/25/08 [5/1/09]• API Standard 608 - Metal Ball Valves- Flanged, Threaded and Butt-welding

Ends 12/7/08 [6/1/09]

Handling Fraudulent Activity

Minor Cases Misuse letter - inaccurate license claims, misuse of monogram

on documentation, sales, incomplete license numbers, websites

Taking action on Fraud Issue warnings Periodic Audits (result of product falsely monogrammed) C&D letter Cancel current license & applications 2 year ban from the program Add to website list of nonlicensees Legal Investigation

API Certification Programs

THANKS!

For more information:• API’s Composite List: http://compositelist.api.org • API Certifications Dept.: +1-202-962-4791• Don Whittaker : whittakerd@api.org