“Freedom to Choose. Power to Integrate” FIELDBUS FOUNDATION © 2004 Fieldbus Foundation 1 Best Practice for Maximizing the Value of Fieldbus Implementation

“Freedom to Choose. Power to Integrate”FIELDBUS FOUNDATION

© 2004 Fieldbus Foundation

1

Best Practice for Maximizing the Value of Fieldbus Implementation

End User Seminar 2004

Singapore PolyTechnic

July 07 & 08, 2004

Presented By: William WooFoundation Fieldbus Marketing Society Singapore July, 2004

Source:ARC Advisory Group [email protected]



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Presentation Outline

• Fieldbus in Context• Fieldbus Justification Goes Beyond Initial Cost, TCO• Upfront Planning Is Essential for Success• Choosing the Right Partner• Use Fieldbus as a Path to Superior Asset Management• Use Fieldbus as a Path to High Availability Control• Summary & Recommendations



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Fieldbus & Device Network Applicability

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FF Reaches Critical Mass

• HSE Spec Defined• HSE Linking Devices Available • End User Council Provides Input for Future Development• More Than 4,000 FF-Compatible Systems Installed Worldwide• Close to Quarter Million FF-Compatible Devices Installed

Worldwide• All Major Suppliers Passed Host Interoperability System (HIST)

Testing• FF Part of Purchase Spec. of Major Users



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Cost Justification and Applicability

• Fieldbus Justification Must go Beyond Traditional Cost View

• Payback – the Rewards are High• Where to Apply? New Installations or

Revamps/Upgrades?



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Fieldbus Justification Must go Beyond TCO, Reduced Installation Costs

Superior Return

on Assets

Creation of Knowledge Workforce

Abnormal Situation

Avoidance

Reduction of

Unplanned Downtime

MaintenanceCost

Reduction

Successful Fieldbus Justification

Operational Excellence

Reduced Hardware/Wiring Costs No Longer Primary Justification or Value Proposition



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Initial Cost Can be Higher…

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Initial Cost Installed Cost Cost Over 5 years

Equal to a Conventional System

Less Than a Conventional System

More Than a Conventional System

First Time Learning Curve is Driving This Perception



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Installed Cost Benefits Are There – Don’t Ignore Them!

FuRIOS Study Shows Significant Fieldbus Installed Cost Reduction

(all values in EURO) Costs RIO Costs fieldbus FF vs RIO Saving (%)

Electrical 140,000 140,000 0 0.0%

Analysis devices 140,000 140,000 0 0.0%

Project handling 280,000 280,000 0 0.0%

Field devices 770,000 774,489 4,489 0,6%

I/O System 420,000 343,788 -76,212 -18.1%

DCS incl. Engineering 525,000 500,205 -24,795 -4.7%

Installation 700,000 689,268 -10,732 -1.5%

Calibration / Quality 140,000 134,024 -5,976 -4.3%

IBS 105,000 102,600 -2,400 -2.3%

Engineering 280,000 270,924 -9,076 -3.2%

Total all Process I&C 3,500,000 3,375,298 -124,702 -3.6%



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..But Lifecycle Cost Savings can be Significant

Over 45 Percent of Users See Payback in 1-2 Years

29.5%

23.0%21.3%

13.1%

11.5% 1.6%

Don't Know

Over 2 Years

1-2 Years

6-12 Months

1-6 Months

Other



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Fieldbus Not Limited to New Installations

Look for More DCS Add-Ons, Replacements Over Time

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

New Installation

Conventional DCS Replacement

Conventional DCS W/HART Replacement

PLC Replacement

Single/Multiloop Controller Replacement

Pneumatic Replacement

Other

Conventional DCS Add-on

DCS w/HART Add-on

PLC Add-on

Now

Future

No Plans



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Upfront Planning Essential for Success

• Management & Employee Buy-In Critical• Challenges in Engineering Phase• Managing the Flow of Information• Form a Fieldbus Team• Fieldbus Creates Knowledge Workers• Importance of Proper Training & Education



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Management & Employee Buy-In Critical

Fieldbus Value Proposition Should Meet Corporate Objectives.

Data from fieldbus devices will be used by operations AND maintenance. Make sure you get maintenance as well as operations involved from the start.



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Engineering Phase Challenges

• A different approach to engineering work processes.

• Is your engineering partner ready?• Preserve the knowledge of the engineering team. • Use Foundation resources like System

Engineering Guide.



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Managing the Flow of Information

• Lots of information, but how much do you need to know and who needs to know it?

• Plan information flows prior to installation and startup

• Consider a Plant Asset Management strategy• Care must be taken in configuration of device

alerts and alarms in PAM applications



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Form a Fieldbus Team

• Collaborative team consisting of members from both supplier, systems integrator, and user organization.

• Team provides feedback mechanism and ensures ongoing achievement of end user goals re: fieldbus.

• Smoother project implementation.• Reduced startup times.• Less surprises.



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Fieldbus Enables Creation of a Knowledge Workforce

Work Processes Must Change to Accommodate Knowledge Workers

Remote Diagnostics, Device I nformation,

& Calibration

Wireless Connectivity

Embedded Device Level Control

Devices Located Closer to Process or

Close Coupled to Pipes

Remote Diagnostics, Device I nformation,

& Calibration

Wireless Connectivity

Embedded Device Level Control

Devices Located Closer to Process or

Close Coupled to Pipes



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Proper Training & Education Essential

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Not enough products available

Lack of supplier support/commitment

Initial cost is too high

Not proven in mission critical apps

Multivendor interoperability issues

Insufficient host system functionality

Increased training costs

Lack of field workforce knowledge

Lack of employee buy-in

Lack of management buy-in

No single standard available

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

Lack of field workforce knowledge is key limiting factor

in fieldbus implementation



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Partner & System Selection Criteria

• Choosing the right partner• Fieldbus system selection criteria



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Finding the Right Partner is Critical to Success

PartnerProducts

Services &Project

Coordination

Registered Devices &Systems

Industry Expertise

Successful Fieldbus Partners

PartnerProducts

Services &Project

Coordination

Registered Devices &Systems

Industry Expertise

Successful Fieldbus Partners

What is Your Supplier’s Commitment to Fieldbus?



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Key Factors in Fieldbus Partner Selection

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Integration of process & discrete networks

Integration of fieldbus & conventional devices

Supplier commitment to fieldbus technology

Remote diagnostics & maintenance capabilities

Reduced wiring costs

Improved regulatory compliance

Reduced I/O

Device-embedded PID control

Operator empowerment

Need for latest technology

Device interoperabilty

Availability of remote I/O

Reduced real estate/footprint

Extremely Important

Very Important

Somewhat Important

Important

Not Very Important

Not Important At All

Supplier commitment to fieldbus technology is a major selection criterion



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Fieldbus as a Path to Superior Asset Management

Primary value proposition of fieldbus is as a plant asset management (PAM enabler

19.3%

29.8%

50.9%

I currently use PAMapplications with fieldbus

I have no plans to use PAMappliations with fieldbus

I plan to use PAM applicationswith fieldbus

Most Users Plan to Deploy Fieldbus in Conjunction with a PAM Application



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PAM Used with Fieldbus has Significant Impact on Cost

-60 -40 -20 0 20 40

Unplanned Breakdowns

Inventory Costs

Downtime

Defects

Equipment Life

Workforce Efficiency

Equipment Productivity

% Improvement vsTraditional Maintenance

-60 -40 -20 0 20 40

Unplanned Breakdowns

Inventory Costs

Downtime

Defects

Equipment Life

Workforce Efficiency

Equipment Productivity

% Improvement vsTraditional Maintenance



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Summary

• Fieldbus is ready today• Value proposition goes beyond initial cot or even

installed cost• Fieldbus enables superior return on assets and lifecycle

cost savings• Fieldbus requires intensive upfront planning• PAM and asset management strategy are key part of value

proposition



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Questions?

Documents

“Freedom to Choose. Power to Integrate” FIELDBUS FOUNDATION © 2004 Fieldbus Foundation 1 Best Practice for Maximizing the Value of Fieldbus Implementation