Automation deployment in Victoria International Container Terminal

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1 Building the world s first fully automated container terminal Automation deployment in Victoria International Container Terminal Anders Dømmestrup, CEO, VICT Presentation name / Author 4/30/2018 1

2 Anders Dømmestrup CEO of Victoria International Container Terminal, Melbourne since start of 2015 Previously: Year as COO for Modern Terminal in Hong Kong years with A.P.Moeller group in various management positions within the shipping line and APMT in Asia and the Middle East. 30 April

3 VICT in brief VICT is 100% owned by International Container Terminal Services, Inc. (ICTSI) and the project marks ICTSI's first entry into Australia. Located at Webb Dock East, VICT is the new terminal operator at the Port of Melbourne. Phases 1-2 of the Terminal, completed on 31 December 2016 (phase 1) and to be completed on 31 December 2017 (phase 2), and has two berth of 664 meters fitted with Five Neo-Panamax automated ship-to-shore (STS) cranes, 23.7 hectares of yard area with fully automated operations from the gate to the quayside to deliver an estimated capacity of 1 mill TEUs by 2018 VICT has a key location, downstream from the West Gate Bridge, and designed to cater to larger vessels with a capacity up to 12,500 TEUs (Ne-Panamax 366m/49m). VICT s terminal design has been awarded a Leading rating by Infrastructure Sustainability Council of Australia (ISCA) an achievement we are very proud of. 30 April

4 VICT location in Melbourne CBD Swanson Dock 342m turning basin max. 300m vessel West Gate Bridge Air-draft limitation of 50m Rail Interface Access to rail via Bolte Bridge Melbourne CBD area Yarra River Channel 150m wide <40m wide vessels Webb Dock 450m turning basin 250m channel width

5 Gate: inbound 10 lanes / outbound 3 lanes (Camco) Landside: 10 blocks / 50 truck grids Yard: 10 blocks 3200 TGS (1-over-5 ASC Kalmar) Horisontal transport apron: 11 ACC (Kalmar) Quay : 5 STS (19 across) ZPMC / automation ABB 6 ALP (lashing platform) - Bromma 30 April

6 VICT Project timeline See how our project has evolved over the last +3 years. E2E Live Testing commence from Sep 2017 Live OPS Testing and upgrading continues Navis 3.0 up to (upgrade every 6-8wks) TLS 2.4 up to (upgrade frequency 2-4weeks) 2014 Contract Signed Kalmar Aug 2015 O&A Session Finalised with all Vendors in Jul - Kalmar - Navis - ABB - Camco 2016 Shipment of 11 ACC in March. 1 st shipment of ASCs in April. All 20 ASCs delivered end 2016 Jan/Feb 2017 First trial vessels Stabilisation12-20mph 2017 Optimisation From +20mph! 2018 Civil works commences October 5 STS arrive Jul-Oct April 3 rd First Commercial service ASAL OOCL Busan Infrastructure Construction Finalised in Dec

7 Project challenges The Development Agreement specified a construction programme of 30 months to design, construct and operate phase1. Robust Environmental / Safety Management Plan Community engagement VICT s terminal is 80m from residents Integrated work plan with staged hand-over plans between various contractors for multiple areas Port works, VICT s construction works, equipment commission, live testing and commencing operations all delivered on time and on budget Automation challenges - Integration of software through different vendors - Common understanding of deliverables, functionality and acceptance - Alignment of safety rules internal vendor, cross vendor (interfaces) and location - Maturity of products, contracts and industry - Training, manuals for operations and maintenance - Project versus operational staff for delivery - Union agreement 30 April

8 Business Process Mapping : The Fundamental Building Blocks VICT worked with IGO Solutions both tools and consultants to define all Business Processes for Operations. This was the foundation for:- all requirement discussions with Vendors facilitated the O and A Sessions basis for Standard Operational Procedures basis for Test Case Development defines all the applications required basis for project management 1- Stop SAP Fin System ABB STS CS Quay Crane OCR APS SAP HR N4 Billing Fleetview API Rostering Terminal Operating System (XPS/N4) ASC CS / ACS Interface EIS Kalmar Cargotech Systems Systems (TLS) ASC CS HT CS (ACC) API Fleetview Gate OCR Gate Cargotech Management Systems ASC CS Pedestal 30 April

9 Business Process Mapping : The Fundamental Building Blocks VICT and IGO Solutions developed a number of tools together. This is where we stand today: Aligned processes (web tool to manage process mapping and changes) = SOPs E-learning (i-smile) allowing training, testing and usage review Continued software testing automated test scripts Quality assurance (HP-qc) BI tool (Clikview) One stop VBS DB Link DB Link DB Link N4 Billing SPARCS N4 System One Stop DB DB Link ECN4 XML RDT N4 DB DB Link HR System DB Link/Web Service N4 Billing DB XML RDT Web UI JMS Interface HTCS MTS Rostering System Gate O.S. DB DB Link EIS Camco Gate OCR Camco Gate System ASC CS Fleet view Landside Pedastal Quay crane API ABB CS Crane OCR 30 April

10 VICT s Testing Strategy Three Environments for testing 1. Supplier Test 2. Lab Testing 3. Collaborative Testing (CTS) and Live Equipment Testing (LET) SUPPLIER Integration Test Supplier Software TEST Lab Base BPM Systems Procurement O&A Sessions Starting Point Final BPM Systems Architecture Test Scenarios Test Scenarios Test Scenarios Test Scenarios ASC/TOS CTS LET Terminal Readiness Key Objectives Structured functional testing of all mission critical systems Identify key defects before ASC commissioning (CTS) Implement workarounds before LET Successful LET is required before Go-Live Live

11 Cost Of Fixing Why testing is important Cost Of Correcting Defects $ 125,000 $ 375, x VICT experience: Requirements: 95% covered Architecture : 95% covered Construction : 95% covered Testing : 80% covered (*) Production : 80% covered (**) (*)+(**)Challenges : first time automation integration project has tine line challenges Soft ware integration : first time now 98% Lack of cross system understanding of functionality, task drivers and messaging $ 2,500 1x $ 12,500 5x $ 25,500 10x 50x Requirements Architecture Construction Testing Production Production : now 95% Safety aspects not aligned with reality Equipment Fault messaging wrongly categorised I,e impact ops or for record Time Detected The National Institute of Standard Technology (NIST)

12 Testing, Testing and then more TESTING. All test cases based on the Business Processes Management (BPM) for all known operational processes to provide best live and real test cases BPM and testing done mostly by future Operational personnel ensures ownership when transitioned to the functional organisation, and minimal rework (customisation) Automated test cases run in advanced Virtual Terminal Vendor Lab, prior to installing new software in test environment on all equipment Exhaustive End-to-End Live Equipment Testing for several months, testing a growing number of scenarios from vehicle bookings through to a dummy vessel created between STS crane legs All Waterside interaction between STS, ACCs and ASCs included full container movement flows to satisfy VICT that all operational processes required from an integrated solution will perform as per requirements prior to the commencement of commercial operations Personnel trained using all the automation during hands-on live testing and now 12 months production and still changing, learning Align and constant update of manuals, SOP s and practices 30 April

13 Testing and commissioning of Equipment with automation Rigorous pre-testing at Vendor locations All Container Handling Equipment (CHE) delivered to site fully-erected All CHE were rigorously quality inspected and pre-tested following a systematic testing protocol and professional testing environment which enabled off-site testing to minimize surprises at final site STS cranes and ASCs tested in China, ACCs tested in Poland Rigorous commissioning and Testing at VICT All Electrical and Mechanical recommissioned Extensive endurance testing with tools built for purpose (i-endurance) All acceptance of equipment tested through TOS All tests were managed in HP/QC VICT s Test Management System CONTINUE SAME LOG AND REPORTING PROCESS DURING OPERATIONAL PHASE 30 April

14 Operational performance to date and targets Functionality gaps System instability / hard recovery Operator experience/training operational performance Functionality delivery System instability / manual recovery Operator usage/training Functionality optimise System stability / automated recovery Operator usage st quarter nd quarter rd quarter th quarter st quarter nd quarter nd half April

15 Service and Maintenance after go-live Automation implementation requires a lot of work in the settling-in period after start up Alarms proper categorization of alarms to ensure equipment continues to work as issues are reported. Accuracy calibration. New equipment will settle over the first year so needs attention PM emphasis versus breakdown approach mostly as access to automated environments during ops is very disruptive Performance reporting Manuals update of manual with functionality, m requirements between terminal and vendor If options become available to engage vendors in the long-term as part of equipment delivery then same should be considered this both for standard engineering, both certainly in the automation space (PLC/software) 30 April

16 Lessons learned It is essential to have a vision and plan agreed on between a skilled and experienced core project team consisting of customer (civil/operational/construction) and vendors choose collaboration! Demystify complexity as an inevitable part of automation; transparency and open communication between the parties, documentation and processes helps to get things done instead of seeking to hide behind complexity or contracts. Design through operational Include automation, equipment and software/hardware delivery as integrated solution. Design, construction, pre-operational Full understanding of safety rules required by vendor, operators and regulators. design Degree of dependencies between the different deliverables increases towards the go-live time and open communication important accountability and collaboration. Pre-operational phase Changes to O&A inevitable. Ensure that changes are controlled and documented simplification instead of customization. Pre-operational phase When mistakes happen, and they will in this new technology integration, discuss them and fix them quickly (all carry their fair share as technology is new). Operational phase 30 April

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