Eduard Marfà, EMEA Portfolio Marketing. Energy & Utilities Overview
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1 Eduard Marfà, EMEA Portfolio Marketing Energy & Utilities Overview Smarter decisions, better products.
2 Energy Industry Trends Power Generation Oil & Gas Fossil Renewables Nuclear Utilities Infrastructure Reliably operate in environments with increasingly more extreme pressures and temperatures Increase % gain in product efficiency to increase operator revenues and be a market differentiator Be lighter, stronger and cheaper to achieve cost parity with traditional energy sources Improve safety and self-regulation to help meet rapidly growing energy and regulatory demands Enhance smart grid intelligence to improve reliability across a broad range of energy sources Develop and execute more advanced designs to improve the structural integrity and increased architectural demands Page 2
3 Energy Industry Trends Interaction across segments enhanced with PLM Owners & Operators How do I operate, evaluate and modernize my assets to leverage them beyond their designed life? EPCs and AECs How do I handle the increase in product complexity and regulatory standards? Services and Equipment How do I make products and services more efficient and reliable? Page 3
4 Energy Industry Trends Key PLM Trends and Challenges in Energy & Utilities Globalization Complexity Emerging Markets Sales and Service Networks Industry Partnerships Production Agility Supply Chain Coordination EtO & Modular Designs Technology Innovation Rapid Change Delivery Sustainability Project Execution Hazardous Conditions Workforce Enablement Equipment Reuse Safety Environment Modernization Compliance Energy Savings Page 4
5 Energy Industry Solutions Great Performing Equipment Requires Thousands of Great Decisions MORE PEOPLE COLLABORATING... SEARCHING FOR MORE INFORMATION... MAKING COMPLEX PRODUCT DECISIONS... WITH LESS TIME TO GET THEM RIGHT. Page 5
6 Energy Industry Solutions Energy & Utilities Process Map R&D Decision: Assemble-to-Order / Engineer-to-Order Customer Order Authorization Order Definition Complete Commissioning & Certification Operations Decommissioning Project Closure Equipment Technology Development Customer Order Acquisition Customer Order Entry & Plan Equipment Design & Manufacturing Installation & Commissioning Operations & Maintenance Decommissioning Sales & Marketing Rulestream Configure Customer Requirements Create Quotation Create Customer Order Create Quotation / Receive Customer Order Change Management Project Management Create R&D Project & Schedule Maintain Project Schedule and Change Management Close R&D Project Estimate E-to-O Project Scope, Time & Cost Projects Create Customer Order Project Systems Engineering Primavera Connector Create Customer Order Schedule Reporting & Analytics Maintain Project Schedule, Change Management & Reporting Multi-CAD, Synchronous & Interoperability Update Installation Plan Update Operations & Maintenance Plan Create Decommissioning Plan Close Customer Project Equipment Engineering Define Requirements (Market, Technical, Service, ) Failure Reporting & Corrective Action and Performance Feedback Issues, Change & CAPA Virtually Design & Simulate Equipment Solutions Test Physical Performance Review and Approve Equipment Design Classification Maintain Standard Equipment Portfolio & Part Classification Define Requirements and Estimate E-to-O Components Requirements Define Requirements (Order, Technical, Service, ) ebom Create Engineering Order Structure Schedule Manager Create Engineering Work Plans Issue Existing Designs and Early Designs for Long- Lead Items SE, NX, Nastran & Plant JT Virtually Design & Simulate New Equipment Solutions Test Physical Performance LMS FMEA, HAZOP and Compliance FMEA & Hazard & Operability Study (HAZOP) Workflows Review and Approve New Equipment Design Maintain Standard Equipment Portfolio & Part Classification mbom / BOP Issue New Designs Content Management & Cortona Technical Publications, Equipment Manuals and Manufacturing & Service Work Instructions Update Unit Configuration (As Built) Design and/or Resolve Field Issues Update Unit Configuration (As Installed) CAPA Design and/or Resolve Field Issues Update Unit Configuration (As Maintained) and Collect Performance Data Identify Equipment Modernizations / Performance Enhancements Decommissioning Order Structure Update Unit Configuration (As Decommissioned) and Collect Performance Data Manufacturing & Supply Chain Management Validate Equipment Design for Manufacturability RFQ & Vendor Management Estimate Procurement Costs & Lead Times Define Lead Times Update Load Plan ERP Integration Procure / Manufacture Parts of Existing Design JT Supplier Collaboration Validate New Equipment Design for Manufacturability CAD/CAM Procure / Manufacture Parts of New Designs Assembly Planning Assemble & Ship Equipment Components & Tooling Kits Field Services Validate Equipment Design for Serviceability Intosite Site Analysis and Planning / Estimate Installation & Field Services Define / Simulate Site Logistics Validate New Equipment Design for Installation Tecnomatix Jack / Virtual Training Assembly and Construction Planning and Simulation Assemble, Install and Inspect Equipment MDL s & Document Transmittals Conduct Commissioning, Certification & Client Acceptance Mobility Operate Equipment MRO Maintain Equipment & Monitor Performance Validate Site Configuration Decommission Site Business Perspective of their Processes Aligned to SPLM Solutions Page 6
7 Energy Industry Solutions Solution Overlay R&D Decision: Assemble-to-Order / Engineer-to-Order Customer Order Authorization Order Definition Complete Commissioning & Certification Operations Decommissioning Project Closure Equipment Technology Development Customer Order Acquisition Customer Order Entry & Plan Equipment Design & Manufacturing Installation & Commissioning Operations & Maintenance Decommissioning Sales & Marketing Project Management Equipment Engineering Manufacturing & Supply Chain Management Field Services Create R&D Project & Schedule Define Requirements (Market, Technical, Service, ) Failure Reporting & Corrective Action and Performance Feedback Issues, Change & CAPA Rulestream Configure Customer Requirements Create Quotation Create Customer Order Capital Project Management Change Management Reporting & Systems Primavera Analytics Projects Engineering Connector Maintain Project Estimate E-to-O Maintain Project Schedule and Create Customer Create Customer Close R&D Project Project Scope, Time Schedule, Change Update Installation Change Order Project Order Schedule & Cost Management & Plan Management Reporting Multi-CAD, Synchronous & Interoperability Information and Process Management Content Classification SE, NX, FMEA, HAZOP Management Requirements Schedule Nastran & and ebom & Cortona Manager Plant JT Compliance Workflows Define Define Virtually Design & Maintain Standard Issue Existing Virtually Design & Technical Publications, Review and Approve FMEA & Hazard & Maintain Standard Design and/or Update Unit Requirements and Requirements Create Engineering Simulate Equipment Equipment Portfolio Create Engineering Designs and Early Simulate New Review and Approve New Equipment Manuals and Equipment Design Operability Study Equipment Portfolio Resolve Field Configuration (As Estimate E-to-O (Order, Technical, Order Structure Solutions & Part Classification Work Plans Designs for Long- Equipment Equipment Design Manufacturing & Service (HAZOP) & Part Classification Issues Installed) Components Service, ) Lead Items Solutions Work Instructions mbom / BOP Update Unit Test Physical Manufacturing, Test Physical Issue New Designs Configuration (As Performance Performance Built) LMS Model-Centric RFQ & Vendor ERP Assembly CAD/CAM Management JT Integration Planning Construction & Assemble & Ship Validate Equipment Estimate Procure / Validate New Equipment Procure / Supplier Equipment Design for Procurement Costs Define Lead Times Update Load Plan Manufacture Parts Design for Manufacture Parts Collaboration Components & Manufacturability & Lead Times of Existing Design Manufacturability of New Designs Engineer-to-Order Tooling Kits Supply Chain Intosite Tecnomatix MDL s & Jack / Virtual Document Transmittals Design Training Site Analysis and Conduct Validate Equipment Planning / Estimate Define / Simulate Assembly and Assemble, Install Validate New Equipment Commissioning, Design for Serviceability Installation & Field Site Logistics Construction Planning and and Inspect Design for Installation Certification & Client Services Simulation Equipment Integration Acceptance Update Operations & Maintenance Plan CAPA Design and/or Resolve Field Issues Mobility Operate Equipment Update Unit Configuration (As Maintained) and Collect Performance Data MRO Maintain Equipment & Monitor Performance Identify Equipment Modernizations / Performance Enhancements Create Quotation / Receive Customer Order Create Decommissioning Plan Decommissioning Order Structure Validate Site Configuration Decommission Site Close Customer Project Update Unit Configuration (As Decommissioned) and Collect Performance Data Virtual to Physical Construction and O&M PLM as a Platform Visualization Security Workflow Product Structure Document Collaboration Schedule Management Change Management Open Architecture Page 7
8 Energy and Utilities Solution Pillars Intelligently Integrated Information Equipment Design and Manufacturing Future-proof Architecture HIGH-DEFINITION User Experience Plant Design and Construction Capital Project Management Plant Operations and Maintenance Page 8
9 Essentials for Excellence in Energy Key Message Energy and utilities companies should benefit from PLM solutions to deliver a single source of plant, product and process information that manages the innovation lifecycle across all of its stages. Page 9
10 Key Industry Challenges by Segment Power Generation WPG Oil & Gas Fossil Renewables Nuclear Utilities Infrastructure Reliably operate in environments with increasingly more extreme pressures and temperatures Increase % gain in product efficiency to increase operator revenues and be a market differentiator Be lighter, stronger and cheaper to achieve cost parity with traditional energy sources Improve safety and self-regulation to help meet rapidly growing energy demands Enhance smart grid intelligence to improve reliability across a broad range of energy sources Designs are becoming increasingly complex requiring more advanced tools to design and manufacture Page 10
11 Wind Turbine Industry Overview Growing energy demand, global warming, and CO2 emissions - Sustainable energy need of the hour Government policies fueling growth Subsidies to continue In recent years, the production of wind turbine systems has enjoyed growth rates exceeding 25% over last 5 years Demand for increased generation drives increase in turbine size Competition among wind turbine OEMs is rapidly intensifying as growth extends to new regions, encouraging start-ups of new manufacturers Moving on 2 MW and above segment: Vestas and Enercon are aiming to protect their share of this market. However, multiple proven machines from Gamesa, Siemens, Suzlon/REpower, Alstom and others are providing buyers more options. Page 11
12 Wind Power Trends Requirement to reduce blade weight, strong emphasis on the need for stronger and lighter materials, improved blade design, and more efficient processing. Wind is Intermittent and hence need for storage of excess energy produced in the form of - Batteries - Hydro Reservoirs - Direct connection to HVDC Lines - Connecting more farms to balance the instability and minimize the loss More OEMs Taking the Direct (Drive) Approach for Wind Turbines Development of modern wind technology can now be operated effectively at a wider range of sites suitable to high as well as low wind speeds A new technology for using the wind s power is being developed for densely populated cities where buildings are virtually stacked on top of one another. This new technology has been dubbed urban turbines. Page 12
13 Wind Turbine Lifecycle 0-2 YRS 4-6 YRS 20 YRS Page 13
14 Integrated Product Development Design & Engineering Seamless flow of information Early analysis of designs Reduced manufacturing time and cost Increased re-use and adaption Continuous collaboration Page 14
15 Connect the Manufacturing Team Connect the TEAM with: Automated manufacturing Process simulation Human safety Energy management Robotics simulation Real-time collaboration Multidisciplinary impact analysis Page 15
16 Empower the SUPPLY CHAIN Common project schedules Resource visibility Process automation Managed deliverables Interoperable technologies Real-time dashboards ensure quality and reliability Page 16
17 Ensure Quality and Reliability of Maintenance Configuration based asset lifecycle management Structured O&M documentation Virtual maintenance manuals Safety procedures Closed loop to design Page 17
18 Key Industry Challenges by Segment O&G Power Generation Oil & Gas Fossil Renewables Nuclear Utilities Infrastructure Reliably operate in environments with increasingly more extreme pressures and temperatures Increase % gain in product efficiency to increase operator revenues and be a market differentiator Be lighter, stronger and cheaper to achieve cost parity with traditional energy sources Improve safety and self-regulation to help meet rapidly growing energy demands Enhance smart grid intelligence to improve reliability across a broad range of energy sources Designs are becoming increasingly complex requiring more advanced tools to design and manufacture Page 18
19 Oilfield Services & Equipment Trends Dynamic and Growing Industry Complex Global Delivery Models Competition coming from new global reserve discoveries Design anywhere, deliver anywhere strategy 75% of global exploration and production is outsourced (Source: The Star) Innovation Driving Growth in Reserves Increased demand for premium services (Source: WSJ) 15% CAGR O&G CAPEX growth in 2013 Rise of small independent service companies driving innovation Need for Safer More Reliable Services HSE critical with increase in off-shore and more remote oil and gas sites Increased compliance and environmental regulations affecting delivery and cost Increasing complexity is making reliable delivery more complex Demand for Knowledge Workers Increasing equipment and system complexity drives steeper learning curves Real-time access to information needed for safe and reliable decision making Improved operations and maintenance procedures required for next generation Page 19
20 Intelligently Integrated Information for Energy & Utilities Owner Operator Assess Project ROI & Initiate Tender Approve Basic Design Approve Detailed Design Monitor Project Progress & Risks Maintain Asset Information Repository Operate and Maintain Plant Centric Perspective Engineering, Procurement & Construction (EPC) Front-end Engineering & Design (FEED) Engineering Procurement Construction Commissioning & Handover Project Centric Perspective Submittals/ Data Exchange Handover Equipment Manufacturers Order Engineering Equipment Design Manufacture & Ship to Site Installation & Commissioning Equipment Centric Perspective Maintain Asset Page 20
21 Alignment to solution pillars Discrete Product Design & Manufacturing Plant Design & Construction Capital Project Management Plant Operations & Maintenance Design and Manufacture of: Oil & Gas Upstream equipment Power Generation equipment (Nuclear, Turbines, Generators, Wind, Photovoltaic, Hydro, etc.) Transmission & Distribution equipment Design and Construction of: Oil & Gas rigs LNG piping Power plants Wind Farms Other facilities and utilities Planning & Execution of: Oil & Gas rigs LNG piping Power plants Infrastructure Other facilities and utilities Operations & Maintenance of: Oil & Gas Upstream equipment Oil & Gas rigs LNG piping Power Generation equipment (Nuclear, Turbines, Generators, Wind, Photovoltaic, Hydro, etc.) Power plants Transmission & Distribution equipment Other facilities and utilities Page 21
22 Alignment to solution pillars Discrete Product Design & Manufacturing Plant Design & Construction Capital Project Management Plant Operations & Maintenance Owner / Operators EPC s & AEC s Equipment Manufacturers Value Drivers BOM-centric design Integrated design to manufacturing process Global concurrent engineering Open & unified architecture Data interoperability across 2D/3D design disciplines Design tools optimized to specific disciplines Supplier management and design collaboration Secure structured and unstructured document collaboration and tracking Schedule planning and execution linked to deliverables Mobility Efficient configuration data management Maintenance planning, documentation and training Mobility Page 22
23 Key Industry Challenges by Segment Power Generation AEC Oil & Gas Fossil Renewables Nuclear Utilities Infrastructure Reliably operate in environments with increasingly more extreme pressures and temperatures Increase % gain in product efficiency to increase operator revenues and be a market differentiator Be lighter, stronger and cheaper to achieve cost parity with traditional energy sources Improve safety and self-regulation to help meet rapidly growing energy demands Enhance smart grid intelligence to improve reliability across a broad range of energy sources Designs are becoming increasingly complex requiring more advanced tools to design and manufacture Page 23
24 Key Industry Drivers Predictability & Profitability Accuracy of quote Reduce issues on site Schedule overruns Client & stakeholder pressure Government push Available technology Benefits understood Page 24
25 AEC Trends Pre-Fabrication Collaboration Complexity By moving from onsite construction to manufacturing in a controlled factory environment, we can drive down costs while increasing quality Economic pressures are forcing companies to work globally, increasing the demand for collaboration tools and driving the need for effective digital communication Complex projects put more pressure on companies to perform. When ROI figures are often around two to five percent, cost overruns, delays and mistakes can result in financial loss Page 25
26 AEC Maturity Lack of project definition Requirements 2D tools Error prone Lacking information Ambiguous Inadequate Data Management Windows folder structures Excel Lack of revision control No traceability Fragmented delivery organization Client Design company Specialist design agencies Contractors Suppliers Building occupier Page 26 Islands of excellence Infrastructure 4D & 5D simulation Plant design Visualization
27 Product Lifecycle Management for AEC Adding value with PLM Complexity Regulations Customer requirements Permits / Licenses Documents Analysis and simulation Improved project definition results in creation of more data Project and Process Schedule deliverables Transmittals Collaboration Change control Handover Page 27
28 Take-aways Siemens PLM is committed to Energy The strong position of Siemens AG provides us with unrivalled access to industry information Open Philosophy Our open solutions approach enables the integration with other software tools ERP, Program Management and Authoring Support the entire lifecycle PLM has a role to play throughout the Energy industry lifecycle, from portfolio planning through to product decommissioning Page 28
29 Thank You Restricted Siemens AG 2013 All rights reserved. Smarter decisions, better products.
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