Technology ContractingBegin with the End in Mind

MAY 2010

Guiding Vision

Construction; 11%

Financing; 14%

Alterations; 25%

Operations; 50%

40-year Life Cycle Costs

4

Bright Green Buildings

PAST: Technology Managed in Silos

Facilities Department

IT Department

HVAC

AccessControl

Fire/LifeSafety

InternetAccess

PDA

POS Time &Attendance

Finance

Support Services

PatientMonitoring

Building Systems

Business Systems Specialty Systems

NOW: Technology Integration

Facilities Department

IT Department

HVACAccessControlFire/LifeSafety

InternetAccess

PDA

POS

Time &Attendance

Finance

Support Services

PatientMonitoring

Building Systems

Business Systems Specialty Systems

Building and IT Systems are Converging

8

What is …

Technology Contracting?

The single point of responsibility for managing the design, delivery, commissioning and ongoing service of all performance technology systems for your facility.

9

University of Pittsburgh Medical Center

JOHNSON CONTROLS CONTRACT OVERVIEW

Single point of responsibility for installation, integration and commissioning of all low voltage network and building systems (approx. 25 systems)

Technology Refresh Concept: Johnson Controls is responsible for identifying new technologies that will improve the future readiness of the hospital

Retrofit of 2 medical office buildings and expansion and retrofit of chiller plant

$55 Million Technology Contract (Div. 17)

10

UPMC Children’s Hospital

Case Study – UPMC

DESCRIPTION COMPANY

Backbone Cabling Requirements Fiber

Horizontal Cabling Requirements Hubbel Cable

LAN System + Active Network Equip. Alcatel/Lucent

Voice PBX System Avaya

MATV Distribution Comcast

Time and Attendance Kronos

Clock Systems Primex

Electronic Messaging Motorola, Vocera

Nurse Call - Patient Communications Rauland

Video Surveillance System Pelco

Security Access Management Johnson Controls

Patient - Equipment Locator Pango

Intercom - Emergency Systems Stenophone

Audio & Video Systems EEG Johnson Controls

Audio & Video Systems ED Trauma Johnson Controls

Audio & Video Systems Epilepsy Johnson Controls

Audio & Video Systems Audiology Johnson Controls

Auditorium Audio Video Systems Various

Fire Alarm Systems Johnson Controls

Building Automation and Control Johnson Controls

Specialty Lab Controls and Fume Hoods Phoenix

Firestopping Penetrations, Etc Nelson

Parking Control Equipment Zeac

Commissioning of Div 15, 16, & 17 JCI, Aramark

SpectraLinkNetLink

WTS

AccessPoint

AccessPoint

AccessPoint

Wireless Phone

Wireless Phone

Application Layer Integration Layer Communication Layer

Avaya PBX

Fire Alarm

Nurse CallSystem

Facilities Management

Gateway

Nurse CallGateway

Location Services(RFLS)

LAN/WAN

Building AutomationSystem

Cisco Call Manager

EmerginCommunication

Gateway

Overhead Paging

VoceraServer

Alphanumeric PagerPaging

System

Information SystemGateway

SMTPServer

EmerginOrchestrator

Client

EmerginOrchestrator

Client

Security ManagementSystem

TTS-Analog/Digital

OAI-TCP/IP

CIPS-TCP/IP

LBS-TCP/IP

VMI-TCP/IP

TAP/RS-232

TTS-Analog/Digital

11

Technology: Owners want reduced costs and systems that work on day 1

Importance Benefit Description Evidence of Benefit

1Highest

Functionality delivered as intended on Day 1

Ensures all technology components work as effectively and as intended

Reduces delays in technology integration and effectiveness

Ave Maria realized significant construction and ongoing cost savings

Johnson Controls staying on board to maintain all of my systems would be a huge relief to me and my staff

With Johnson Control’s help converging the 32 systems onto a single IP network, we are doing our part to create a better planet

2

Construction cost reduction (capital)

Reduces material costs by eliminating redundancies

Reduces procurement costs by leveraging volume discounts from a single contractor

Decreases project costs by minimizing number of change orders

Ongoing cost reduction (O&M)

Minimizes need for personnel by reducing physical monitoring and maintenance of disparate systems

Permits easier management and operability of energy systems

3 Efficient ongoing support

Simplifies the maintenance process by being a single point of contact for owner

Ensures a reputable source manages Day 2 maintenance

4 Future-proofing knowledge Provides thought leadership to ensure

technology relevance over a long period of time

5 “Green” compliance

Allows for more efficient operability of energy systems

Reduces amount of material used by eliminating redundancies

SOURCE: Expert interviews, customer interviews; team analysis

Johnson Controls EcoSystemWe have built the industry’s foremost group of technology partners

Day One Expectations

■ Backward integration with their existing technology platforms

■ Insurance against technology obsolescence at implementation

■ Coordinated start-up & commissioning of all technology systems

■ Composite integrated technology as-built package

■ A technology refresh offering

■ Best-of breed solutions

Cisco Alcatel-LucentAvaya-Nortel

CommScope/Andrew MobileAccess

Motorola

Ortronics Firetide

ADC

PanduitMeru

Alvarion

Tropos

HP

BelAir

Dell

BridgeWave

Proxim

Juniper

Brocade-Foundry

Extreme

NetGear SkyPilot

Wavieon

Dynamics Xirrus

Colubris

F5

Dragon-Wave

ArubaBelden Belden-Trapeze

Siemon

PowerWave

AMPADC RFS (A-L)

Ericsson

AMX

Crestron

VMWare

Tessco

Anixter

CTI GTRI

Calence

Ingram

ItronAxis

Centrak

Radianse

NetAppAPC

Zebra

Nevotek

Versus

Alairis

Identiprise

X Mark

Sonitor

AeroScout

Intel-Insights

Ecahau

Mitel

Avaya-Nortel

MIR3HP

GlobeStar

Conxx

Westcon-ComstorAdvance2000 ComNet

IBM

SecureMatics Techdata Synnex

Avrio

Tandberg

AmericanTower

Oracle-Sun

Vocera

Polycom-Spectralink

Motorola-SymbolNeptune

Intermec

Badger

Psion

ZeroSurge

Ascom

BRG

Checkpoint

Morse-Com

Vital-Systems

Big-Fix

HP-EYP

HP-ProCurve

3

2

1

1

2

3

Market technology leaders with a formal partner agreement (or in process)

2nd or 3rd tier where we actively develop joint sales

2nd or 3rd tier where we have a working relationship (primarily opportunistic)

13

Importance Benefit Description Evidence of Benefit

1Highest

Functionality delivered as intended on Day 1

Ensures all technology components work as effectively and as intended

Reduces delays in technology integration and effectiveness

Ave Maria realized significant construction and ongoing cost savings

Johnson Controls staying on board to maintain all of my systems would be a huge relief to me and my staff

With Johnson Control’s help converging the 32 systems onto a single IP network, we are doing our part to create a better planet

2

Construction cost reduction (capital)

Reduces material costs by eliminating redundancies

Reduces procurement costs by leveraging volume discounts from a single contractor

Decreases project costs by minimizing number of change orders

Ongoing cost reduction (O&M)

Minimizes need for personnel by reducing physical monitoring and maintenance of disparate systems

Permits easier management and operability of energy systems

3 Efficient ongoing support

Simplifies the maintenance process by being a single point of contact for owner

Ensures a reputable source manages Day 2 maintenance

4 Future-proofing knowledge Provides thought leadership to ensure

technology relevance over a long period of time

5 “Green” compliance

Allows for more efficient operability of energy systems

Reduces amount of material used by eliminating redundancies

SOURCE: Expert interviews, customer interviews; team analysis

14

Removing inefficiencies from the construction process, we can save our clients 8-13% of first cost

Total Waste in process

Loss of procurement benefits

Change orders to integrate disparate systems

Potential delays in building completion due to integration errors

Duplicate labor

Redundant materials 3 - 4

Key drivers of waste in the traditional model

Estimated wastePercent of total technology spend Common cabling and wiring

for all low voltage systems, reducing amount of material

Integrated project management and minimized integration efforts after implementation reducing labor

Leveraging JCI volume and competitive bid process helps procure these systems for lower prices

orders

Upfront integration and issue resolution, prior to implementation reduces sources of errors and change orders

2 - 3

TBD

2-3

1 - 2

8 - 13

15

Ave Maria UniversityAn integrated building also provides substantial operations savings

BACKGROUNDAve Maria University is a brand new, 500,000 square foot university spread

across 900 acres in Southwest Florida

After reviewing proposals from Siemens, Honeywell and Johnson Controls, the University’s VP of Technology chose Johnson Controls to be its full scale technology contracting partner

SCOPEJohnson Controls converged 23 systems onto a single IP network including the following:

Fire, security, HVAC and building automation, lighting, communication and specialty systems

Reduced Utility Costs - $600,000/year reductionThe integration links information from many different systems (class schedules, occupancy, etc.) to optimize comfort and maximize energy savings

Reduced Staffing Costs - $350,000/year reductionThe entire campus operations (facility and IT) are managed with just 7 full-time employees – versus 24 people in anon-integrated campus

How a building becomes “Intelligent”

Strategic

Intelligent

Interconnected

Instrumented

Physical assets, including IT

Policy Management, Decision Tools, Visibility, Reporting

Business Intelligence, Analytics; Building Modeling -> insights for decision support and actions.

Policy/decision deployment, Automation;

Orchestrate Decisions, Actions

Integrated , Interoperable Systems, Aggregated Data

– a building, a campus, an enterprise Networked Systems, Data Warehouse

• Control & Communication Systems,• Sensors & Meters

Heating, Cooling, Lighting, Water, ‘Brick & Mortar’, Technical Systems

Open Standards

17

• CCTV

• Public address system

• Telephone system

• BMS system

• Wireless coverage

• Access management system

• Water leakage detection system

• Central metering system

• BAS system

• Security gate system

• Car park management system

• Fire alarm system

• Key box system

• MATV/CATV system

Shanghai World Financial Center

18

Technology Contracting Delivery

Delivered in four distinct, yet cohesive, phases

Construction Services

Ideation Services

Pre-Construction Services

Post-Construction Services

PRE

POST

IDEA

CONST

Equipment and System Selection Tools

Green Compass v3 LEED Assessment and Planning Tool

Benchmark your Existing Building against LEED for LEED Operations & Maintenance 2009

USE the tool to build a scorecard for New Construction

20

Questionnaire specifically targeting LEED credits

Covers all categories of LEED - has a slide for each credit.

22

Easy to use scorecard

23

Technology ContractingBegin with the End in Mind

MAY 2010

25

P2000 system server - JCI

Emergin Enterprise Service Bus

Emergin facilities management

gateway

Emergin Nurse call adapter

Emergin Information

systems adapter

Visitor management -Easy Lobby-

Parking field controller - JCI

Intercom system - Zenitel

SMS field controllers -

JCI

CCTV system – Pelco Endura

BAS - JCI

Security Badging - JCI

HR Database

ADT Databse

Fire Alarm- JCI

MIPT deviceALCATEL

RF paging – USA Mobility

RFID/ RTLS - Ekahau

PBX - ALCATEL

Vocera

N/C Responder Net -

Rauland Borg

RS232 TAP

Nurse Call System –

Rauland Borg

RS2329 analog

lines

OH paging - Atlas

NDDI

T1 (2)

WirelessIP

IP

RS232 ASCII

RS232 o/ IP

IPIP

IP

IP

IP

IP IP

IP

IP

IP / HL7

Parking System Direct connection (relay)

Security Management

Nurse Call Events

Text alerts to Spectralink

(currently under development)

Voice communications channel, including N/C

general alarm data

voice channel for N/C

alarm data, out to FMG

patient information to

the VMS

cardholder data

entry authorization through the SMS

system

alarm data, camera position

command from SMS to CCTV

motion alerts from CCTV to

SMS

alarm data to the SMS and CCTV

BAC_Net o/ IP

IP SMTP server

IP

Emergin Vocera adapter

IP

voice channel

IP

IP

IP / HL7

IP

PBX

voice channel

IPwide area

patient info for tag

assignment

event notification

IP

call initiation

from command

center

zone alarm

SMTP server

OPTIONAL

FA/device automation

control

event notification(optional feature)

Phoenix Air Valves

Back-Up Generators

Fuel Oil System

GE Electrical Gear

York / Carrier Chillers

Liebert CRAC Units

DigiIP

Digi

Digi

Emergin Orchestrator

Client (2)

IP

IP

RS232

Digi

RS 232 OPTIONAL

IP

event notification (optional feature)

ESB-P2000 - UNAVAILABLE, FUTURE DEVELOPMENT,OPTIONAL FEATURE

currently under development

(optional feature

26

Technology Contracting Delivery

Delivered in four distinct, yet cohesive, phases

Construction Services

Ideation Services

Pre-Construction Services

Post-Construction Services

PRE

POST

IDEA

CONST