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BUILDING AN AGILE BUSINESS USING SCADA TECHNOLOGIES Bob Ell 28 September 2017
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BUILDING AN AGILE BUSINESS USING SCADA TECHNOLOGIES

Bob Ell28 September 2017

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Who is Bob Ell ??

• >35 yrs in Real Time Business- SCADA / Controls / Automation / IT

• >15 yrs as consultant / systems integrator• Companies;

- Honeywell – Snr Global Marketing Mgr- Rockwell Automation – CDN Director Oil & Gas- Zedi – Director of Sales – “web scada” service provider- Telvent --VP Marketing and Product Management- TransCanada --IT Architect Realtime Systems- GE / Harris / Westronic --Director Distribution Auto.- Hinz Automation – VP Sales & Marketing --(system Integrator)- Digital Equipment -- Senior Sales CSS- Steel Company -- Electronics Engineer

• Project;- Largest: >$10M - >54,000 eng/project hrs- PLCs (since 79), computers (since 80’s), etc

• Co. sizes -- 4 to >120K people

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Themes for Today’s Session

• Changing needs in the Industry• Introduction a new way to think about Managing Remote Assets• Considering an Integrated Operations Environment• How to Efficiently Manage Geographically Distributed Equipment

- Implement robust asset oriented diagnostics and monitoring - Utilize flexible SCADA templates for asset engineering - Optimize management of field equipment - Equipment Based Configuration & HMI

• Conclusion

• We do need to be careful going forward !

Disruptive Technologies

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

What we hear!

3

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

• Changing energy mix and global supply & demand

• North America business readiness for rising Middle class

• Demand from China, India & Middle East

• Real time performance

• Improve uptime

• More value for money

• Aging Assets

• Retiring experience

• Gap in industry experience & knowledge

• Focus on SAFETY

• Regulatory Pressures

Changing Scenario

Increase in global demand for affordable

energy

Increase focus on capital & operational

costs

Shrinking Pool of Subject

Matter Experts

Increasing government regulations

4

Disruptive Technologies

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

• Less interfaces

• Common display mechanisms

• Cheaper communications

• Better Inventory control

• Better measurement accuracy

• Better Integrity management

Impact of New IT Trends to Watch

Cloud

Analytics IIoT

Enhancing the Connection of People to Assets

Enterprise Scalability and Data Fusion

Enhancing the Connection of People to Assets Enabling New Ways to Serve

Mobility

5

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Changing Roles in the Organization

Need for Change Management!

*

*

*

*

*

Changing Role of the Operator Maintenance

6If you are not

…. Your competition is!!

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Why Would You Need7

estimated OPEX reduction (vs. ‘14) needed within fields in the North Sea to remain vital at current oil prices**

More withLess 40%

average age of production engineers in North America, leading to a 38% forecasted shortage in talent by end of decade*

WorkforceExpertise 51

DataOverload/

Accessibility

of average annual revenue was lost due to not being able to leverage information collected***

22%

MarketPressure

percent of process upsets caused by human error. Increased competition & more frequent market volatility is making uptime even more critical****

40%

Customer Challenges… …Leading to The need to transforming how things are done to remain competitive, taking advantage of: • Business process management and redesign • Industrial Internet of Things / Cloud Enablement• Process optimization • Operational consolidation • Lifecycle cost analysis• Flexible operations • Performance contracting

*Global Energy Talent, 2015 ** PWC, 2014

***Oracle “From Overload to Impact: An Industry Scorecard,” 2015****ARC “Improving Margins with Smart Operations,”2015

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Some examples?

8

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

BusinessPlanning

Warehousing

MaintenancePlanning

AssetManagement

CRM

Accounting

Procurement

Human Res.Management

PersonalTraining

Corporate SystemsBusiness PlanningResource Planning

Transport Management

Gas Accounting & Reconciliation

Transport Nominations

Transport Contracts

Shipper Applications

Nominations Management

Gas Supply Contracts

Gas Receipt Contracts

Management of Change

IncidentManagement

ContractAdministration

CompliancePlan

ComplianceMonitoring

EnvironmentalMonitoring

Regulatory ComplianceIncident & Environmental

ERPRegulatory CompliancePipeline Planning and ServicesControl and Ancillary EquipmentTransportation Movements

EngineeringDocumentation

GIS

Linepack &Balancing

DataReconciliation

Corrosion Simulation

EnergyBalancing

Upstream Applications

Nom. Planning(short-term)

Cap. Planning(long-term)

Operations ManagementDecision Support Systems

PerformanceMngmt (KPIs)

AdvancedProcess Control

IntranetServices

CommonUser Interface

Authorization& User Logs

Tank /StorageManagement

Batch / QualityTracking

Reporting

Equipment Health

Management

Steady StateSimulation

Dynamic Simulation

ProcessControl System

SafetySystem

Instrumentation

Cyber Security

Fire & GasSystem

HVAC

Fire & GasDetectors

NetworkLANs

Automation Infrastructure (Primary Automation)Control Systems & Instrumentations

Safety & Security Systems

DataHistorian

Line-pack Calculation

TrainingSimulator

ProcessWANs

SurveillanceSystem

AccessControl System

Personnel Tracking

Tele-communication

Inventory Management

CompressorControls Leak DetectionMetering

Systems

Communication and Messaging Infrastructure / Field-to-Business link

Enterprise-Wide Solutions

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Information Flow Model

Procure-ment

6

Supplier

Vendor Accounting

Purchaser

Material& Energy

Ctrl

OrderProcessing

1

ProductCost

Acc’ting

Mktg & Sales

ProductShippingAdmin

Transport Co.

Customer

ProductInventoryControlQuality

AssuranceProductionControl

Mktg & SalesCorporate

Customer Accounting

ProductionScheduling

Mktg & Sales

External Entities

Plant Functional Entities

Supplier Data

Order

Invoice

Requirements Req

uire

men

ts

Q.A.Result

Prod CostAnn Sales

Order

Payment Release

Incoming

Confirmation

Supplier Perform PO Req

Approvals

Inventory

OrderShipping Cost

Release

Inv

Invoice

Methods

Reservation

Order Status

Courtesy of R. Underwood

Business

IT’sChallenge

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Gas Field Well Meter Project 201611

• From Letter of Intent to first production wells online – 2.5 weeks!• Virtual network and virtual machines provisioned in 2 days

• Equipment template learning curve and development

• Communications infrastructure from cloud to end-devices troubleshooting

• 356 well head meters for 2 flow computer brands

• 50-100 points per well from flow computer

• Communications via private network link with cell network provider & VPN gateways

• Customer accesses secure web site via https in order to view production data

© 2016 by Honeywell International Inc. All rights reserved.

Things to consider?

12

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Many Drivers for “Integrated & Remote Operations”

Productivity• Consolidate personnel• Data/Information more readably

available

Retention/Hiring/Training• Helps alleviate the impact from turnover• Location is more “acceptable” than Slope

(easier to hire)

Leverage Expertise• Industry workforce trends• Power Customer: “We can do what it

would take a team 6 times the size to do in the field”

Regulatory Compliance• Focus on compliance auditing• Better response to tightened safety

and environmental regulation

Reliability• Proactive monitoring• Faster resolution of

problems

Production • Advanced Solutions enable

production improvements• Reduces downtime

Safety• Incident Commission: “Operators must

have effective systems in place for integrating the various corporate cultures, internal procedures, and decision-making protocols”

Knowledge Management• Truly institutionalizing best practices,

and knowledge sharing

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Operations Management - Summary

Deviation, LogBook,

instructions history

Operator’s LogBook

Real time Deviation capture, Categorization, Notification

Operations Monitoring

OPC data sources

Production Data Base

Plant reference

model

DCS & RTDB

Limit Repository

OtherApplications

Operator and other log entries

Production Management:

Operating Instructions, targets

Operator

External notifications

Web Monitoring

displays

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Process & Facility Safety

Alarm Management

Link to Work FlowsLink to Boundary ManagementLink to Asset Surveillance & Diagnostics

Link to Work FlowsLink to Boundary ManagementLink to Asset Surveillance & Diagnostics

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Oil Prod KbblsPerform contractActual average

Jan Mar May Jul Sep Nov

Production vs Plan

20'

25'

30'

35'

40'

45'

Oil

prod

uctio

n ( 1

000

pipe

line

bbls

)

Shutdowns

Shutdown

Adv Control Commissioned

Shutdown WellProblems

Production Excellence: Improving Operational Efficiency

• Advanced Control- Production Increases >2%- Business Impact

$10MM / year (2% increase on a 45 KBPD platform @ $30/BBL)

• Slug Mitigation and Management- Production Increases of 2 - 5%- Stabilizes production with fewer

Shut Downs- Business Impact

$10MM - $20MM / year (2-5% increase on 45KBPD platform @ $30/BBL)

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Equipment Effectiveness – Summary

CMMS/ERP Integration

Maintenance.Reliability, & Engineering Template-driven Process & Performance

Calculations, Rule Processing, Symptoms, Fault Models & Health Assessment

Asset Manager

Visual Inspections

Smart Instruments

Asset Data Sheets

DCS & Historian

CorrosionMonitoring

Condition Monitoring

OtherApplications

ManagementReporting & KPI’s

Operator

UniSim or Excel

OperatingBoundaries

Target Low

Target High

Standard Low

Standard High

Critical Low

Critical High

Range High

Range LowURL’s

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Production Excellence: Production & Process Modeling; Operator Training

To/from Asset Surveillance

Link UniSim to Petex

Operator Training & Competency

UniSim models for design or real time

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Visualization

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How it could look?

20

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

What if ?

• What if you could leverage vast amounts of data provided by modern automation and control systems?

• What if you could provide operations personnel with improved remote monitoring, diagnostic and asset management capabilities?

• What if you could enhance data collection even in the most dispersed enterprises? • What if you could make better decisions about the actual health of assets? • What if you could reduce configuration/commissioning time and effort? • What if you could minimize the need to troubleshoot device issues in the field? • What if you could bring new production fields online faster?

After years of relying on basic data collection and local control, ………… it’s time for a new way of thinking:

What if your competition has reacted to these solutions and now becomes the lowest cost provider, or can adapt their business faster to the changing needs …….. Will you be ready?

22

Take ControlHoneywell Operate empowers your field operations to get all the detail they need to track performance, troubleshoot and take control action while they are on the move

23

Access my runs… more easilyView equipment assigned to a single List or Asset

Tap the heading of the Equipment Summary to open the Filter dropdown

Select the chosen list or asset to automatically filter the visible equipment

Equipment filter and ability to clear all filters (see all equipment in SOR) is also available here

Alarm indication including count

Equivalent to Experion equipment filter drop-downs on desktop

1

2

2

1

3

1

2

3

Q: Is it valuable to see aggregated parameter values for a list? e.g. Gas Flow Total

4

4

View well performance… more effectivelyTrend single parameter

1

Tap a parameter on summary or detail

Single parameter trend loads over the topof the current screen

Tap to view value at particular point. Pinch to zoom, swipe to pan

Select another piece of equipment from the current filtered list to view the same parameter trend

Quickly view the selected trend for multiple pieces of equipment

Switch to control faceplate (editable parameter only)

Close popup (return to previous page)

2

1

3

4

5

2

3

4 5

6

6

Animates up 7

7

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

A Vision of The Future.Wearable technology with more intelligence makes everyone more effective from day one. Delivering advice, guidance and decision support from cloud analytics to empower every operator.

“Mentor, I need the teardown steps for a Honeywell Series 3000 MKII transmitter”

“Hello, found step-by-step guide for Honeywell Series 3000 MKII transmitter?”

“Say Start to begin”

With Honeywell Mentor, everyone can be an expert.By using voice commands Mentor can help you with anything including equipment procedures, process control advice and general plant information like safety requirements and layout.

“Start!”

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Generic Architecture27

End-device

Honeywell CloudServices &

Applications

Site A

Internet

Site B

Local Network and Devices

VPN Gateway / Edge Device

Cell modem, VSAT

Telco NetworkEnd-device

Flow computer, PLC, RTU, Other

Flow computer, PLC, RTU, Other

Site n

Local Network and Devices

Central Control

External Client(s)

Https, MFA as required

Clients

Private, Secure Tunnels

Experion A/B

Hardware within Site N could be end-devices, software or Experion

Servers (DSA, PHD collection)...including Clients for

data consumption

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Predictable Costs | Continual Support | Always up-to-date

28

Secure:Cyber & Physical

Rapid Project Cycle Lower Cost of

Entry: OpEx Potential

Always Latest Software & Features

Less Onsite ‘SCADA Team’ Less IT

Flexible / Scalable

Best Global Resources

Access Anywhere

Reliable

ElevateExperion

Real-time SCADA delivered as a secure and scalableservice

Benefits

Remote Control Centers

Integrated Supply ChainSurveillance Centers

Centralized Support/Collaborative Work Centers

• Standardization: Faster and more consistent deployment of value based applications

• Unified support model with lower TCO• Ability to leverage subject matter expertise

• Reduce operational staffing• Increase safety• Better standardize operational practices• Better scalability, people retention

• Prevent production losses• Reduce equipment failure and downtime• Increase people efficiency • Shift from reactive monitoring to proactive

monitoring

▪ Real time optimisation of inter-connected assets

▪ Visibility across the supply chain▪ Agility to market opportunities

Process?

30

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Timeline

Horizon 1

Horizon 2

Horizon 3

ROC Blueprint & WBSDEFINE Phase: Discover Stage• Output

• Discover stage Output• Establish Programme Office• Deploy ROC Workbench (Use POC + • Prog Office activities)• ROC Practice documents

• Scope• Corporate• Assets

• Dependencies• Enterprise/Basic ROC Workbench license• Core team in place

• Duration• Two (2-4) Months

ROC Shaping & MandateENVISION Phase• Shaping, & Concept Validation• POC DevelopmentCommence Define Phase• Alignment Workshop

• Mandate, Definitions & Plan• Executive Level Agreement

• Duration• Two (2-3) Months

1

2

3

ENVISION

0

XFORM SHAPE VALIDATE ENGAGEVERIFY PROGRESS

DEFINE

1

XALIGN DISCOVER MEASURE

ROC Prioritisation & Quick Gains DEFINE Phase: Measure Stage• Output

• MEASURE Stage Outputs (Maturity & Impact Assessments etc)• 2-3 Prioritised Gain Projects• ROC Practice Documents

• Scope• Corporate• Assets

• Dependencies• Duration

• Four (4-6) Months

Quick win Projects Commence (e.g.)1. Production Surveillance & Optimization2. Mobility3. Wireless4. Integrated Planning

ROC Initiative - What & When?Achievable outcomes with tollgate horizons

Valu

e, Q

ualit

y, A

sset

Effe

ctiv

enes

s

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

DELIVER

2

XBASELINE DESIGN MODEL BUILD INTEGRATE TRANSFORM ACCEPT

3

REALISE

XTUNE EMBRACE SERVICE VERIFY

PROSPER

4

EVALUATE EXTEND EVOLVE ADVANCES

ENVISION

0

XFORM SHAPE VALIDATE ENGAGEVERIFY PROGRESS

DEFINE

1

XDISCOVER MEASURE ANALYSE ARCHITECTIMPROVE COMMITALIGN

Valu

e, Q

ualit

y, A

sset

Effe

ctiv

enes

s

Horizon 4

Horizon 5

4

5

DISCOVER MEASURE

FULL ROC DEFINITIONDEFINE Phase: Analyse, Improve, Architect, Commit Stage• Output: Programme Description, Practice Documents, Business Case• Scope: Corporate & Assets• Duration

• Four (4-6) Months

COMMITARCHITECTIMPROVEANALYSE

INITIATION OF ROC FUNCTIONAL BUILD-OUTDELIVER, REALISE & PROSPER Phase• Output

• Functional DOF Workbench & Prog Office Transitions to ROC Service Team• ROC Enterprise License & Complete Practice documents

• Scope: List of Projects from MEASURE Stage• Duration

• Eight (8-12) Months

Horizon 66OPERATIONALISED ROCQualified Performance & Practice Best in Class• Embedded ROC Service Team• ROC Collaborative Workbench• Complete Set of Practice documents• 2-3 Completed Quick Gain ROC Projects• E&P Operational Gaps being closed in routine OPMs• Build out ROC & Collaboration Centre

Timeline

ROC Initiative - What & When?Achievable outcomes with tollgate horizons

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Key Lessons Learned▪ Understand, Track and Report gains▪ Look for production gains:

▪ Value from production and reliability gains will typically exceed benefits from headcount reduction▪ Allow time for benefits to fully develop:

▪ It can take 2-3 years before processes are fully adopted and significant benefits are realized

▪ Integrated Operations can be an organizational a symbol of positive change:▪ An IOC is a new way of working or a commitment to technology, and can be incorporated as part of

a broader change management initiative▪ Requires strong Operations ownership:

▪ Operations must drive the new operating model with both front-line and centralized resources in a coordinated manner. Rotating site personnel through the centre can help bridge this gap

▪ Technologic advances are accelerating and creating new opportunities:▪ Telecommunications has been the enabler, but new IIoT concepts will accelerate incremental

change. ▪ Remote IT systems and cyber security are key requirements:

▪ More important as technology enablers develop.

▪ Align leadership early:▪ Align leadership, you need adequate support (time) to capture the full value from the

numerous iterations

Value Assurance

CulturalAdoption

Technology

ProjectStewardship

Honeywell Confidential - © 2017 by Honeywell International Inc. All rights reserved.

Conclusion

34

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Why Honeywell?

Low Risk, Optimize Performance

Best Practices Pre-built into the System for Optimal Operation

35

Leverage pre-built templates for major pieces of equipment and implementation for standardization of views & operations

LEAP Technologies• Universal I/O• Virtual Platform • Cloud-based Development Environment

Graphics, Alarm Response and Operating Procedures from Technical Knowhow built into the system

Pre-built start-up procedures based on knowhow built into SCADA for faster and

smoother start-up

Hooks and Handles to seamlessly Integrate F&G and Industrial Security and Access control

Optimizing the design & implementation of the control areas

Training Management Contractor –Comprehensive Competency Program

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Potential Benefits?36

Embedded knowledge provides value throughout the facility lifecycle

20% to 30% reduction in costs & project schedule

Reduced Engineering Time

Full Capacity Sooner

Approach target capacity

6 months earlier

1% increase in throughput

Operations Excellence

2% increase in service availability

Improved Operator Effectiveness

5% reduction in lifecycle costs

Cost Advantage

Benefits to Operators

IMAC approach and LEAP

Improved HMI ergonomics and PHSMA compliance

Best in class Operational Applications

Dynamic Alarm Handling & Rationalization

Purpose built products & software

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Serving Customers Worldwide

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Controllers, PLC, RTU, Safety Shutdown systems

Loading gantries, skids& controllers

Comprehensive Portfolio

Solutions to improve safety, efficiency, reliability

Operational Data• Process History & Analytics

Production Excellence• Operations Management• Integrated Planning• Production Management• Operator Competency • Process Control & Optimization

Production Surveillance• Well Test Validation• Well Surveillance• Well Test Management

Process Safety• Alarm Management• Shut-Down Analysis• Safety Valve Analysis• Barrier Testing

Equipment Effectiveness• Equipment Integrity• Transmitter Monitoring• Control Valve Performance• Corrosion Prediction

Operational Performance• Enterprise Collaboration• Performance Management

Oil & Gas Suite

Flow computing and analysers

Metering

Meter provers, valvessensing ,corrosion

Engineering & Support Services

38

Honeywell Proprietary - © 2017 by Honeywell International Inc. All rights reserved.

Jan. 2007

Jul. 2008

Jul. 2010

HYSYS, OTS2004 Aug. 2006

Global Alliance

Jan. 2010

Shell’s OTTERTechnology

Oct. 2007

2003

Partnership with Wood Group for

integrated Turbine Control

Acquisitions and Alliances

Sep. 2009

Partnership with Synengco to sell SentientSystem advanced control

for utility power

Jul. 2005

Zellwegeracquisition of hazardous,

flammable & combustible

gas & fire detection systems

InterCorracquisition of online

corrosion detection & prevention systems &

related services

Jun. 2007

Enraf acquisitiondelivering

comprehensive solutions for

transportation, storage & blending

operations

Callidusacquisition

providing design, supply &

commissioning of environmental &

combustion equipment &

services for O&G & petrochemicals

Dec. 2008

RMGacquisition a Germany based global leader in natural gas measuring,

control & analyzing equipment, services, &

integrated solutions

Jun. 2009

Dec. 2005

UOP acquisitiondelivering improved refinery operation solutions and the development of

renewable energy & chemicals group Nov. 2007

Maxon acquisition delivering combustion burners, gas valves, low Nox burners, & engineered

systems that provide industrial businesses with energy & environmental solutions

Oct. 2012


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