Sustain.Ability Honeywell Users Group Americas. Don Morrison, John Escarcega Enhancing and Sustaining APC Benefits

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Sustain.Ability. 2012 Honeywell Users Group Americas Don Morrison, John Escarcega Enhancing and Sustaining APC Benefits 1

Agenda APC Benefits Industry Challenges Meeting the Challenges How Can Honeywell Help? Case Studies Wrap-up 2

Tangible APC Benefits Advanced Control and Optimization benefits are field proven and generate high rates of return on investment. Typical Benefits: Increased Throughput Improved Yields Decreased Operating Costs Improved Quality Consistency Increased Operating Flexibility Improved Process Stability Typical Payback: Oil and Gas Refining Chemicals Petrochem MMM Pulping/Paper Industrial Power 0 to 2 months 3 to 6 months 4 to 6 months 6 to 8 months 10 to 12 months 3 Advanced Process Control provides lucrative returns in any economy

Intangible APC Benefits Intangible benefits are harder to quantify but can be quite significant depending on the project under evaluation. Improved Process Safety Process Watchdog Earlier Identification of Problems Improved Operator Effectiveness Focuses on key operating parameters Reduced Downstream Unit Variability Fewer Process Upsets Better Process Information Increased Process Understanding 4

Why aren t these benefits sustained? Attractive investment with good initial benefits 100 Potential for rapid degradation of benefits without proper monitoring/maintenance Benefits (% of Original) 50 Legend Combination of tools and work process needed to sustain benefits No Maintenance Basic Maintenance Reactive Mantenance Proactive Maintenance Opportunity Assessment 6 12 18 Time (Months) applications which are designed to make money can quickly degrade over a period of 18 months to yield nominal benefits (<25%) if they are not properly monitored and maintained from the time of installation. Honeywell APC Customer, Profit Suite Strategic User Forum 5

Agenda APC Benefits Industry Challenges Meeting the Challenges How Can Honeywell Help? Case Studies Wrap-up 6

Current Challenges Scarce Capital Qualified Resource Pool Sustaining Application Acceptance and Benefits Leveraging APC investments Beyond the traditional benefit areas 7

Agenda APC Benefits Industry Challenges Meeting the Challenges How Can Honeywell Help? Case Studies Wrap-up 8

Meeting the Challenges Cost Effective Deployment and Sustainment Making the Operator More Effective Renewed focus on support infrastructure Integration of Applications Leveraging Enabling Technology Multi Unit / Plant Wide Optimization Streamlining Work Flow 9

Cost Effective Deployment / Sustainment Tools for Reducing overall plant test time Closed-loop Automated Step Testing Model quality, diagnostics Leverage estimated matrices from simulations Faster deployment because of a quicker diagnose/analyzeidentify-update work flow during commissioning 10 Rethinking Traditional Methodologies

Making the Operator More Effective Analytical Tools and Decision Support Capabilities What-if scenario support Easier problem identification and faster diagnostics Dash board for the currently connected application Visualization Presentation of information Integration / Access to non- APC information 11 Operational Excellence - Empowering the Operator

Integration of Applications Simulation Steady state simulation Off-line simulation of control schemes Leverage models on-line for control and optimization Dynamic Simulation Re-use investment in the virtual plant Design Deploy Maintain Advanced integration features for testing Reduce implementation time Testing control schemes Initial controller models Improve APC Uptime Operator training improve acceptance Performance validation / troubleshooting 12 Common tools drive improved efficiency and long-term sustainability

Leveraging Enabling Technology Virtualization Reduce hardware footprint and maintenance costs Needs to be supported by DCS for onprocess use Remote Collaboration Cost effective sustainment Knowledge Management within an organization 13

Multi Unit / Plant-Wide Optimization Beyond single unit optimization to maximize business results Global optimization of constrained and unconstrained systems Dynamic optimization can deliver significant sustained benefits, especially when integrated with APC Optimum * 14

Unified Technology Platform Continuum of Control Solutions Single Variable Linear Control Multi-Variable Non-Linear Control and Optimization Technology based on a common workflow Control to user specified constraints (limits) Optimize operations (economics) Standard infrastructure and common features Extensible and customizable 15 Flexible, scalable solution to cover a wide range of applications

Streamlining Workflow Profit Design Suite Engineering Studio Studio Profit Stepper CPM+ PE Detect Diagnose Identify Update Deploy Runtime Metrics Diagnostics and Analysis Real-time CLiD Real-Time Update Runtime Infrastructure Automate tasks where sensible Result: Improve Overall Sustainability Enable Remote Serviceability Enable Remote Collaboration 16

Agenda APC Benefits Industry Challenges Meeting the Challenges How Can Honeywell Help? Case Studies Wrap-up 17

How can Honeywell help? Experienced personnel Familiar with the right technology Deliver the necessary services Ensure long-term sustained benefits 18

Profit Suite for Control & Optimization Honeywell is the Market Leader in APC and RTO* 150+ Higher Level Optimization Applications 3200+ Multivariable Controller Applications 1000+ Major Unit Implementations (MPC-Based Optimization) 550+ Industrial Sites 300+ Customers Worldwide Estimated $5 Billion in Benefits since 1996 19 * ARC 2009 Report - Real-time Process Optimization and Training Worldwide Outlook

Profit Suite Services & Support Development/Product Management 50+ developers world-wide Project Services 150+ representatives globally Advanced Application Aftermarket and Support Services 60+ dedicated AppTech personnel Worldwide Service and Support Capabilities Depth of education, experience and knowledge in technology and domain expertise spread across all functions "Local expertise, globally networked (3 rd Party implementation where appropriate) 20

Honeywell APC Experience Refining Processes Alkylation Catalytic Cracking Coking Crude Distillation Hydrocracking Hydrotreating Isomerization Lubes Reforming Petrochemical Aromatics Butadiene Ethylene VCM PTA Industrial Utilities Co-Generation Power/Steam Pulp & Paper MD Control Bleaching Lime Kiln ClO2 Generation O2 Delignification Kamyr Digester (R&D) Thermo-Mechanical Pulping (TMP) Polymers Nylon Polyethylene Polypropylene Polystyrene Oil & Gas NGL Plants LNG Plants Off-Shore Production Chemicals Acetic Anhydride Methanol Ammonia Semiconductor Discrete Manufacturing Control Mining & Minerals Grinding Mill Control Ball Mill Control Digestion Precipitation Evaporation Bayer Circuit Heat Interchange Bauxite Clarification Mills 21

22 Profit Suite for Control & Optimization

Delivering Value as a Cohesive Solution Profit Controller Past Future UniSim Lifecycle Simulation Tools CV Optimal Response Setpoint Predicted Control Performance Monitor Unforced Response Control Funnel MV Assumed Values TaiJi PID Profit Stepper Minimum Effort Move Profit Optimizer: Real-time, Dynamic Optimization Optimum * 23

Profit Suite R410 Major Release Increase Engineering Efficiency Increase Process Performance Sustain Simplify Migration New Engineering Environment Automate key tasks Novel MVC for Power, OAG Enhanced Operator Interface Simplified Maintenance Integrate Matrikon and HPS Technologies Collaborative Remote Services Programs 24 Simplified Migration and Improved Maintenance Tools Sustain Investment

Design for Migration/Maintainability Deliver high-value functionality faster Functional enhancements delivered as incremental release* Cumulative over release cycle Reduce Migration Effort/Risk Final update provides all new release functionality No uninstall/reinstall 25

Advanced Application Project Services Consulting Feasibility Studies Master Plans Benefits Audits More than 3,500 Man-Years Process Industry Experience Project Implementation Design Implementation Commissioning Start-up Training Programs Operator Training Process Simulation SAFE Programs Outsourced Automation Technology Refresh 26

Optimal Performance Services Application Upgrade Services On-site Features Training On-site Services Migration Sustained Benefits Programs Remote Monitoring Onsite Services Site Resident Engineering Application Services Agreements (combined licensing and services) Attainment Opportunity Assessment Revive BG-Max Proactive Reactive Expanded Training Offerings Profit Controller Maintenance Course Advanced Profit Controller Implementation Profit SensorPro 27

Agenda APC Benefits Industry Challenges Meeting the Challenges How Can Honeywell Help? Case Studies Wrap-up 28

Case Studies Saudi Aramco: Finding the Needle in the Haystack Effective use of Technology and Work Processes Kairos: A Partnership Model for Life Cycle Support Remote Collaboration 29 Establish value, accountability, and authority; then execute!

Saudi Aramco Process Optimization Saudi Aramco, Saudi Arabia: Issues with base level regulatory control availability (>50% of loops in non-normal mode) at various facilities 5 refineries 8 gas plants Impact on performance of existing APC applications (over 130) No standard processes for monitoring and maintaining critical assets No processes to prioritize maintenance Solution Applied Standard, consistent program to monitor APC as assets across facilities CPM dashboard to allow for wide access to results Key Benefits Significant increase in loops in normal mode Significant increase in APC service factors Measurable increase in economic performance of key automation assets (PID, APC) across enterprise 30

Kairos Partnership Model for Life Cycle Support 60% 40% Mission Statement To deliver integration, installation and startup services, plus the lifecycle support of the automation and control systems that ensure satisfactory results to the clients. Foundation date December 12th, 2006 Business Area Automation processes for mining industry 31

Remote Collaboration Monitoring and Support Real time access to Concentrator Plants Automation systems Technical Support 7 x 24 Continuous monitoring of the Advanced Control infrastructure Integrated vision of Processes and KPI s Lifecycle support for Advanced Control applications Platform for development of Operators and Process Knowledge 32

Agenda APC Benefits Industry Challenges Meeting the Challenges How Can Honeywell Help? Case Studies Wrap-up 33

Wrap-up APC benefits are clear, but are often not sustained A workflow that integrates all aspects of the APC lifecycle is necessary to sustain APC benefits Honeywell has the personnel, experience and technology to help you sustain and improve APC benefits 34 Global leader - What can we do for you?

Continue the Conversation Online Twitter @hwusers #HUG12 Website HUG Live Flickr LinkedIn Facebook YouTube Honeywell Users Group 35