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Achieving Operational Achieving Operational Excellence Excellence March, 2006

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Achieving Operational Excellence. March, 2006. The World Has Gone DIGITAL!. Law Of Accelerating Returns. Analysis shows that Technological change is exponential. My old PC. Disposable printers?. Storage is ‘free’: $65. Greenfield. 34%. Expansion /. Modernization. 66%. - PowerPoint PPT Presentation

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Page 1: Achieving Operational Excellence

Achieving Operational Achieving Operational ExcellenceExcellenceMarch, 2006

Page 2: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 2

The World Has Gone DIGITAL!The World Has Gone DIGITAL!The World Has Gone DIGITAL!The World Has Gone DIGITAL!

Page 3: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 3

Law Of Accelerating ReturnsLaw Of Accelerating ReturnsLaw Of Accelerating ReturnsLaw Of Accelerating Returns

Analysis shows that Technological

change is exponential

Analysis shows that Technological

change is exponential

Page 4: Achieving Operational Excellence

Disposable printers?Disposable printers?

Storage is ‘free’: $65Storage is ‘free’: $65

My old PCMy old PC

Page 5: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 5

Greenfield34%

Expansion / Modernization

66%

We Have To Serve Both Greenfield and Brownfield We Have To Serve Both Greenfield and Brownfield CustomersCustomersWe Have To Serve Both Greenfield and Brownfield We Have To Serve Both Greenfield and Brownfield CustomersCustomersWorld Area O & G Refining Pharma Chemical Power W & W

NA

LA

W Europe

E Europe

ME

Africa

AP

Page 6: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 6

Shell - “Our Vision”Shell - “Our Vision”Shell - “Our Vision”Shell - “Our Vision”

Use the newest technology to create the “Plant of the Future”

Concentrate on safety and environmental concerns – System must be robust

Focus on cost – Low life cycle cost

Manpower training – Must be easy to operate and maintain

Obsolesce resistance – must be based on industry standard software norms

Page 7: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 7

The Technology UniverseThe Technology UniverseThe Technology UniverseThe Technology Universe

Parallel computingParallel computing

Moore’s LawMoore’s Law

.NET.NET

ArtificialIntelligenceArtificialIntelligence

HARTHART

Process DiagnosticsProcess Diagnostics

Predictive AlgorithmsPredictive Algorithms

Energy ScavengingEnergy Scavenging

DSP’sDSP’s

Enhanced EDDLEnhanced EDDL

UltrasonicUltrasonic

Fuel CellsFuel Cells

MP3MP3

802.11 (beyond G)802.11 (beyond G)

802.15.4802.15.4

GPSGPSFoundationFieldbusFoundationFieldbus

.NET.NETModel Base ProgrammingModel Base Programming

MEMSMEMS

ScaleableGraphics - Avalon

ScaleableGraphics - Avalon

MotesMotes

FireFoxFireFox

Advanced Signal ProcessingAdvanced Signal ProcessingOPC UAOPC UA

Smart ObjectsSmart Objects

GPRSGPRS

PATPAT

Security S99Security S99

Bit TorrentBit Torrent

AESAES

RSSRSS

XMLXML

UMLUML

SecuritySecurity

VistaVistaSOASOA

AVALONAVALON

W-bluetoothW-bluetooth

SkypeSkypeOPMLOPML

Page 8: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 8

Operational ExcellenceOperational ExcellenceOperational ExcellenceOperational ExcellenceP

rofit

Co

st

$time

Safer operation Safer operation

Fewer unscheduled outages Fewer unscheduled outages

Shorter scheduled outage

Shorter scheduled outage

Higher sustained production with

minimize costs

Higher sustained production with

minimize costs Longer duration to scheduled outage

Longer duration to scheduled outage

Faster time-to profit Faster time-to profit

Page 9: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 9

Smart cars monitor tire

pressure

Smart cars monitor tire

pressure

Tire icon indicates low pressureTire icon indicates low pressure

Car advises driver of abnormal situation made possible via disruptive technologiesCar advises driver of abnormal situation made possible via disruptive technologies

Page 10: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 10

Smart Car Messages Seat belt Cargo door open Passenger door open Wiper fluid low Turn signal on Right rear tire pressure low Change engine oil Fuel low

Smart Car Messages Seat belt Cargo door open Passenger door open Wiper fluid low Turn signal on Right rear tire pressure low Change engine oil Fuel low

Messages I do not get Check engine Big red oil light

Messages I do not get Check engine Big red oil light

Page 11: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 11

Two requirements: - Sensing technology- Presentation to user at the right time

Two requirements: - Sensing technology- Presentation to user at the right time

Page 12: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 12

Early warning

Oil Pressure AlarmOil Pressure Alarm

time

Ca

r P

erf

orm

an

ce

Sequence Of EventsSequence Of EventsSequence Of EventsSequence Of Events

Change Oil Light Change Oil Light

Major Performance Impact

Major Performance Impact

Safety incidentSafety incident

Page 13: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 13

We Help Our Customers Deploy Smart Digital PlantsWe Help Our Customers

Deploy Smart Digital Plants

Page 14: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 14

SMARTMACHINERY HEALTH

MANAGEMENT

SMARTMEASUREMENT

SMARTMEASUREMENT

SMARTANALYTICAL

SMARTANALYTICAL

SMARTSAFETYSMARTSAFETY

Smart Plant ArchitectureSmart Plant ArchitectureSmart Plant ArchitectureSmart Plant Architecture

SMARTASSET OPTIMIZATION

SMARTFINAL CONTROL

SMARTFINAL CONTROL

SMARTDIGITAL CONTROL

SAFETY

Page 15: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 15

Today’s Smart Field Devices Predict Abnormal Today’s Smart Field Devices Predict Abnormal SituationsSituationsToday’s Smart Field Devices Predict Abnormal Today’s Smart Field Devices Predict Abnormal SituationsSituations On-board computing power enables

step changes in functionality

Often have more than one process variable for a single pipe intrusion

Full with diagnostics– health of device is known– health of the application is

monitored– health of the process is monitored

“At 12:45 tomorrow, this valve will fail”“At 12:45 tomorrow, this valve will fail”

Page 16: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 16

Early warning

Device failureDevice failure

time

Pla

nt

Pe

rfo

rma

nc

eIntelligent Devices Report HealthIntelligent Devices Report HealthIntelligent Devices Report HealthIntelligent Devices Report Health

Device alertDevice alert

Process ImpactProcess Impact

Safety IncidentSafety Incident

Page 17: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 17

SMARTMACHINERY HEALTH

MANAGEMENT

SMARTMEASUREMENT

SMARTMEASUREMENT

SMARTANALYTICAL

SMARTANALYTICAL

SMARTSAFETYSMARTSAFETY

Smart Plant ArchitectureSmart Plant ArchitectureSmart Plant ArchitectureSmart Plant Architecture

SMARTASSET OPTIMIZATION

SMARTFINAL CONTROL

SMARTFINAL CONTROL

SMARTDIGITAL CONTROL

SAFETY

Page 18: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 18

Smart Predictive AlertsSmart Predictive AlertsPressure Transmitter ExamplePressure Transmitter ExampleSmart Predictive AlertsSmart Predictive AlertsPressure Transmitter ExamplePressure Transmitter Example

Sensor failureSensor failure

Page 19: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 19

Smart Predictive AlertsSmart Predictive AlertsPressure Transmitter ExamplePressure Transmitter ExampleSmart Predictive AlertsSmart Predictive AlertsPressure Transmitter ExamplePressure Transmitter Example

Process problemProcess problem

Page 20: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 20

Smart Predictive AlertsSmart Predictive AlertsValve ExampleValve ExampleSmart Predictive AlertsSmart Predictive AlertsValve ExampleValve Example

Valve is performing sub-optimallyValve is performing sub-optimally

Page 21: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 21

Smart Predictive AlertsSmart Predictive AlertsValve ExampleValve ExampleSmart Predictive AlertsSmart Predictive AlertsValve ExampleValve Example

Valve needs maintenance Valve needs maintenance

Page 22: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 22

Smart Predictive AlertsSmart Predictive AlertsCompressor Protection ExampleCompressor Protection ExampleSmart Predictive AlertsSmart Predictive AlertsCompressor Protection ExampleCompressor Protection Example

Compressor needs maintenanceCompressor needs maintenance

Page 23: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 23

10 Year Old Plants Do Not Have Predictive 10 Year Old Plants Do Not Have Predictive CapabilitiesCapabilities10 Year Old Plants Do Not Have Predictive 10 Year Old Plants Do Not Have Predictive CapabilitiesCapabilities

Process view is fuzzyProcess view is fuzzy Process view clearProcess view clear

Page 24: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 24

A Real Case Of Not Seeing What Is A Real Case Of Not Seeing What Is HappeningHappeningA Real Case Of Not Seeing What Is A Real Case Of Not Seeing What Is HappeningHappening

The explosion was caused by flammable hydrocarbon liquid continuously being pumped into a process vessel that, due to a valve malfunction, had its outlet closed.

The explosion was caused by flammable hydrocarbon liquid continuously being pumped into a process vessel that, due to a valve malfunction, had its outlet closed.

A control valve being shut when the control system indicated it was open.A control valve being shut when the control system indicated it was open.

Page 25: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 25

SMARTMACHINERY HEALTH

MANAGEMENT

SMARTMEASUREMENT

SMARTMEASUREMENT

SMARTANALYTICAL

SMARTANALYTICAL

SMARTSAFETYSMARTSAFETY

Should All These Alarms Go To The Operator?Should All These Alarms Go To The Operator?Should All These Alarms Go To The Operator?Should All These Alarms Go To The Operator?

SMARTASSET OPTIMIZATION

SMARTFINAL CONTROL

SMARTFINAL CONTROL

SMARTDIGITAL CONTROL

SAFETY

??

Page 26: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 26

Motor OverheatingMotor Overheating

time

De

vic

e P

erf

orm

an

ce

Alarms To Operator?Alarms To Operator?Example shown: NOExample shown: NOAlarms To Operator?Alarms To Operator?Example shown: NOExample shown: NO

Impellor ImbalanceImpellor Imbalance

Process ImpactProcess Impact

Time For Action > 6 months

Early alarm to MAINTENANCE only as there is a long time before process impact.

Early alarm to MAINTENANCE only as there is a long time before process impact.

Page 27: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 27

time

De

vic

e P

erf

orm

an

ce

Alarms To Operator?Alarms To Operator?Example shown: NO (long time before failure)Example shown: NO (long time before failure)Alarms To Operator?Alarms To Operator?Example shown: NO (long time before failure)Example shown: NO (long time before failure)

Valve frozen open in utilities plant

Valve frozen open in utilities plant

Process impactProcess impact

Time For Action > 1 year

Early alarm to MAINTENANCE only as there is long time before process impact

Early alarm to MAINTENANCE only as there is long time before process impact

Page 28: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 28

time

De

vic

e P

erf

orm

an

ce

Failure of a Failure of a CriticalCritical Valve Column Valve Column Impacts The Process ImmediatelyImpacts The Process ImmediatelyFailure of a Failure of a CriticalCritical Valve Column Valve Column Impacts The Process ImmediatelyImpacts The Process Immediately

Valve frozen open in distillation column

Valve frozen open in distillation column

Process impactProcess impact

Time For Action < 30 minutes

Early alarm to MAINTENANCE and OPERATOR as action is required immediately to prevent

process problems

Early alarm to MAINTENANCE and OPERATOR as action is required immediately to prevent

process problems

Page 29: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 29

Plants Must Have An Alarm Message MapPlants Must Have An Alarm Message MapPlants Must Have An Alarm Message MapPlants Must Have An Alarm Message Map

Cost of Ignoring

Alarm

Time To Avoid Process/Safety Impact

Alarm Destination MapAlarm Destination MapAlarm Destination MapAlarm Destination Map

High PriorityHigh Priority Medium PriorityMedium Priority

Low PriorityLow PriorityMedium PriorityMedium Priority

• Operator• Operator

• Maintenance• Optimization Personnel• Safety Personnel

• Maintenance• Optimization Personnel• Safety Personnel

• Maintenance• Optimization Personnel• History Collection

• Maintenance• Optimization Personnel• History Collection

• Operator• Maintenance• Safety Personnel

• Operator• Maintenance• Safety Personnel

Page 30: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 30

The Importance Of Alarm HandlingThe Importance Of Alarm HandlingThe Importance Of Alarm HandlingThe Importance Of Alarm Handling

In the last 11 minutes before explosion, the operators had to recognize, acknowledge and act on 276 alarms

In the last 11 minutes before explosion, the operators had to recognize, acknowledge and act on 276 alarms

Milford Haven was 25x the recommended maximum

Milford Haven was 25x the recommended maximum

Page 31: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 31

SMARTMACHINERY HEALTH

MANAGEMENT

SMARTMEASUREMENT

SMARTMEASUREMENT

SMARTANALYTICAL

SMARTANALYTICAL

SMARTSAFETYSMARTSAFETY

Alarm Messaging MapAlarm Messaging MapAlarm Messaging MapAlarm Messaging Map

SMARTASSET OPTIMIZATION

SMARTFINAL CONTROL

SMARTFINAL CONTROL

SMARTDIGITAL CONTROL

SAFETY

Predictive Abnormal Situation Alarms

Predictive Abnormal Situation Alarms

Degraded Safety Alarms

Degraded Safety Alarms

Asset HealthAsset Health

Page 32: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 32

SMARTMACHINERY HEALTH

MANAGEMENT

SMARTMEASUREMENT

SMARTMEASUREMENT

SMARTANALYTICAL

SMARTANALYTICAL

SMARTSAFETYSMARTSAFETY

All Critical Alarms – To OperatorAll Critical Alarms – To Operator(Regardless of whether a device or controller created them)(Regardless of whether a device or controller created them)All Critical Alarms – To OperatorAll Critical Alarms – To Operator(Regardless of whether a device or controller created them)(Regardless of whether a device or controller created them)

SMARTASSET OPTIMIZATION

SMARTFINAL CONTROL

SMARTFINAL CONTROL

SMARTDIGITAL CONTROL

SAFETY

OPERATOR INTERFACEOPERATOR INTERFACE

Page 33: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 33

PT-101

Alert The Operator Before Process ImpactAlert The Operator Before Process Impact

Operator InterfaceOperator Interface

Page 34: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 34

SMARTMACHINERY HEALTH

MANAGEMENT

SMARTMEASUREMENT

SMARTMEASUREMENT

SMARTANALYTICAL

SMARTANALYTICAL

SMARTSAFETYSMARTSAFETY

All Asset Alarms To MaintenanceAll Asset Alarms To MaintenanceAll Asset Alarms To MaintenanceAll Asset Alarms To Maintenance

SMARTASSET OPTIMIZATION

SMARTFINAL CONTROL

SMARTFINAL CONTROL

SMARTDIGITAL CONTROL

SAFETY

ASSET INTERFACEASSET INTERFACE

Page 35: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 35

Maintenance / Reliability Dashboard

Maintenance / Reliability Dashboard

Page 36: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 36

SMARTMACHINERY HEALTH

MANAGEMENT

SMARTMEASUREMENT

SMARTMEASUREMENT

SMARTANALYTICAL

SMARTANALYTICAL

SMARTSAFETYSMARTSAFETY

All Safety Alarms To Safety PersonnelAll Safety Alarms To Safety PersonnelAll Safety Alarms To Safety PersonnelAll Safety Alarms To Safety Personnel

SMARTASSET OPTIMIZATION

SMARTFINAL CONTROL

SMARTFINAL CONTROL

SMARTDIGITAL CONTROL

SAFETY

Degraded Safety Alarms

Degraded Safety Alarms

Page 37: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 37

Safety Personnel Are RoamingSafety Personnel Are RoamingSafety Personnel Are RoamingSafety Personnel Are Roaming

Cell phone, pager, email… Detailed Summary

Page 38: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 38

Best Practices For Operator Alarms EEMUA Best Practices For Operator Alarms EEMUA 191 Benchmarks191 BenchmarksBest Practices For Operator Alarms EEMUA Best Practices For Operator Alarms EEMUA 191 Benchmarks191 Benchmarks

Plant Alarms #Average Alarm rate (over 10 minutes) 1

Alarms after plant upset (over 10 minutes) 10

Average number of standing alarms 10

Average number of shelved alarms 30

Configured Alarm Priority Mix #Critical alarms < 1%

High Alarms 5%

Medium Alarms 15%

Low Alarms 80%

Milford Haven was 25x the recommended maximumMilford Haven was 25x the recommended maximum

Page 39: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 39

Exceed EEMUA guidelinesExceed EEMUA guidelines

Alarm Analysis Dashboard

Alarm Analysis Dashboard

Page 40: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 40

In A Smart Plant, Does The Number Of Alarms To In A Smart Plant, Does The Number Of Alarms To the Operator Increase?the Operator Increase?In A Smart Plant, Does The Number Of Alarms To In A Smart Plant, Does The Number Of Alarms To the Operator Increase?the Operator Increase? No

– Best practices are established in the design of the alarm system• EEMUA

• Alarm Map– Early warning alarms

properly acted on may actually decrease the incoming alarms as process alarms may be avoided

Page 41: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 41

Poor Health Delivers Unsatisfactory Results At 200 Poor Health Delivers Unsatisfactory Results At 200 kph !!!kph !!!Poor Health Delivers Unsatisfactory Results At 200 Poor Health Delivers Unsatisfactory Results At 200 kph !!!kph !!!

Page 42: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 42

Mercury FilledTransmitters & Switches

DisconnectedDamper Drive

Leaking ValveBody

Expect Poor Performance In Plants With Poor Asset Expect Poor Performance In Plants With Poor Asset HealthHealthExpect Poor Performance In Plants With Poor Asset Expect Poor Performance In Plants With Poor Asset HealthHealth

Poor Equipment Results in Poor Performance and Unsafe PlantsPoor Equipment Results in Poor Performance and Unsafe Plants

Page 43: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 43

Expect Poor Performance In Plants With Poor Asset Expect Poor Performance In Plants With Poor Asset HealthHealthExpect Poor Performance In Plants With Poor Asset Expect Poor Performance In Plants With Poor Asset HealthHealth

Poorly performing control is identifiedPoorly performing control is identified

Advanced Control Dashboard

Advanced Control Dashboard

Page 44: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 44

Field Level, Instrumentation

DCS, Basic Automation

PIMS, PIMS interfaces

Soft Sensors, Model Based Supervision

Advanced Process Control (APC)

SchedulingOnline Optimization

Expect Poor Performance In Plants With Poor Asset Expect Poor Performance In Plants With Poor Asset HealthHealth

Enterprise Integration: Validated Data (Inventory, Loss, etc) Is

transmitted to SAP Asset alerts are transmitted to SAP for

scheduling

Enterprise Integration: Validated Data (Inventory, Loss, etc) Is

transmitted to SAP Asset alerts are transmitted to SAP for

scheduling

Integrating Transactions is Easy Reversing them (on bad data) is very

difficult

Integrating Transactions is Easy Reversing them (on bad data) is very

difficult

Page 45: Achieving Operational Excellence

Some Smart Plant BuildersSome Smart Plant BuildersSome Smart Plant BuildersSome Smart Plant BuildersShell- Deer Park,Tx** $32M*(vs. HW)- FCCU, Hydrocracker Petrobras Brazil(3)** $17M(displaced Bailey)- Coker, Blending, CrudePemex- Tula $3M(displaced HW)- Alkylation UnitShell Motiva Norco $17M*(displaced HW)- Reformers(2), DHT, NHT, SMR, HCPdvsa, Curacao** $5M*(displaced Foxboro)- SRU(4), H2 Plant, HydrocrackerMOL PLC, Hungary $10M*(vs. YEW, HW)- Diesel Hydrotreater, Sulfur PlantRompetrol(Romania) $20M(Modernization)- Entire RefineryBP SECCO $30M(vs. YEW)- Ethylene ComplexCenex, Montana $1.5M(vs. Moore)- DesulfurizationScanraff, Lysekil $1M(vs HW)- Merox, Propylene, FCCU***Yukos, Odessa $2M(vs HW, YEW)- Isomerization, Reformer*-MAC Scope of supply **- Facility in operation ***- Portion of FCCU

-64 Refineries with PlantWeb last 30 months, over 500 PlantWeb installations in Refining-Process units: FCCU, Hydrotreaters(Diesel and Naphtha), SRU, H2 Plant, SMR, Alkylation Units, Crude Unit, Vacuum Unit, Asphalt unit, Delayed Coker, Hydrocracker,Reformer

Page 46: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 46

Shell Deer Park Revamp 2003Shell Deer Park Revamp 2003Shell Deer Park Revamp 2003Shell Deer Park Revamp 2003

Page 47: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 47

Shell Deer Park Refining CompanyDeer Park Refining Limited Partnership

““Our Vision” – Shell Deer ParkOur Vision” – Shell Deer Park““Our Vision” – Shell Deer ParkOur Vision” – Shell Deer Park

Use the newest technology to create the “Refinery of the Future”

Concentrate on safety and environmental concerns – System must be robust

Focus on cost – Low life cycle cost

Manpower training – Must be easy to operate and maintain

Obsolesce resistance – must be based on industry standard software norms

Page 48: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 48

Control RoomControl RoomControl RoomControl Room

BEFOREBEFORE AFTERAFTER

Shell Deer Park Refining CompanyDeer Park Refining Limited Partnership

Page 49: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 49

CabinetCabinetCabinetCabinet

BEFOREBEFORE AFTERAFTER

Shell Deer Park Refining CompanyDeer Park Refining Limited Partnership

Page 50: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 50

Field JunctionField JunctionField JunctionField Junction

BEFOREBEFORE AFTERAFTER

Shell Deer Park Refining CompanyDeer Park Refining Limited Partnership

Page 51: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 51

Control Valve DiagnosticsControl Valve DiagnosticsControl Valve DiagnosticsControl Valve Diagnostics

ValveLink diagnostics prior tocutover found a hidden problem.

This valve has notbeen in automatic for years!

ValveLink diagnostics prior tocutover found a hidden problem.

This valve has notbeen in automatic for years!

Roger Erfurdt, Deer Park Control Systems manager, has stated that

getting this loop to run in automatic has paid for the entire

investment in diagnostics.

Roger Erfurdt, Deer Park Control Systems manager, has stated that

getting this loop to run in automatic has paid for the entire

investment in diagnostics.

Page 52: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 52

Results DeliveredResults DeliveredResults DeliveredResults Delivered Operational Excellence

– Safety: No OSHA’s– Environmental: No Incidents– State of the art operating interfaces

Financial– 1% maintenance cost reduction achieved

(3%+ is believed possible)– Overall 1-3% utilization improvement– Improved unit reliability– Greatly improved maintenance effectiveness– Huge project savings by reutilizing previous engineering

Page 53: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 53

BARRIERS BARRIERS To Operational ExcellenceTo Operational ExcellenceBARRIERS BARRIERS To Operational ExcellenceTo Operational Excellence Overly aggressive focus on

CAPEX

The technology change is the easiest

In plant visionaries are necessary and hard to find

Management support is critical

The human resistance to change is greater than you think

Page 54: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 54

Satellite Service Providers Know Tire Pressure…Satellite Service Providers Know Tire Pressure…Satellite Service Providers Know Tire Pressure…Satellite Service Providers Know Tire Pressure…

What use is there for the old-fashioned tire gauge?

What use is there for the old-fashioned tire gauge?

Page 55: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 55

““Change Or Be Changed”Change Or Be Changed”““Change Or Be Changed”Change Or Be Changed” There are two kinds of organizations in today's world:

– those that are changing – those that are going out of business

Similarly, there are also two kinds of people– Those who are changing – Those who are setting themselves up to be victims of change

Jim Clemmer http://www.clemmer.net

Page 56: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 56

Cannot Be Done Without TechnologyCannot Be Done With Technology Alone

Cannot Be Done Without TechnologyCannot Be Done With Technology Alone

Page 57: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 57

Technology And Experience Deliver PerformanceTechnology And Experience Deliver Performance

Page 58: Achieving Operational Excellence

Copyright – Emerson Process Management, March 2006, Slide 58