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© Copyright 2017 OSIsoft, LLC 1 The Digital Transformation Opportunity Dominic John (Ph.D.), VP of Marketing and Technical Communication

The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

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Page 1: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC 1

The Digital Transformation OpportunityDominic John (Ph.D.),

VP of Marketing and Technical Communication

Page 2: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

“You can’t manage what you can’t see”

Page 3: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

“Without data it’s just an opinion”

Page 4: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

“You don’t know what you don’t know”

Page 5: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

We believe People with Datacan Transform their world

Page 6: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Who We Are: Global Leader enabling Operational Intelligence

6

Page 7: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

QualitySafety &

Security

Energy ProductivityRegulatory

Performance

Asset Health

Recovering

640M liters

of treated water

1000+ fewer

paper

documents via

Lifecycle

tracking

Eliminated

5 unplanned

shutdowns in

first year

$3.3 million in annual energy

savings

$20M per year

in preventative

maintenance

and improved

worker safety

Industrial

Demand

Response and

Smart

Manufacturing

Data Is Your Most Important Resource

Page 8: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC 8

Operational Intelligence: Our Opportunity

Operational

Excellence

Digital

Transformation

Reduce

Costs

Page 9: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC 9

Operational

Excellence

Digital

Transformation

Reduce

Costs

Product

Innovation

New

Services

Increase

Revenue

Operational Intelligence: Our Opportunity

Page 10: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC 10

The Challenge: The Operational Data Deluge

Volume Variety Velocity

DTE:

3 million customers

27 million + tags

E.ON:

310,000 tags,250 formats,

140+ locations

SETPOINT Vibrations:

200,000 events /sec

Page 11: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Our Approach for 37 years: Data Infrastructure

Automation/Control

SystemsNew Sensor

Technology

Remote and Mobile

Assets

0

1

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1

0

1

0

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0

1

0

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Enterprise

Operations

Infrastructure

Real-time Monitoring Vendor ApplicationsAnalytics 3rd Party Services

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+

Page 12: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Digital Transformation-

Journey to Opportunity

Page 13: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

The Digital Transformation Journey

13

Sites

Page 14: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

The Digital Transformation Journey

14

Sites

Page 15: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

RESULTSCHALLENGES SOLUTION

Marathon Oil

Reduce the number of days to drill a well in a factory-based drilling model.

“Cost $80,000/Day for on-shore drilling”.

• Remote headquarters engineers

are the ones with the knowledge

to help optimize drilling, but they

didn’t have access to the data

Connected the local data to a

central PI Server, and developed

a drilling optimization package

called MaraDrill

An increase in the rate of

penetration of 40%, resulting in a

reduction of about 1 day to drill a

well

15

Real-Time Drilling Optimization

• Lack of real-time drilling

analytics and guidance

capability at the drill site

• Integration of the PI System

data with TIBCO Spotfire

• Access to 1-second data

• Reduced vibration and damage to downhole tools

• Continuous optimization onsite and retrospective post-well analysis

Page 16: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Marathon oil: Optimizing drilling

Page 17: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Real-Time Drilling Optimization

AcceptableModerate

Severe

Avg.

ROP for

stand is

144 ft/hr

Avg.

ROP for

stand is

201 ft/hr

Driller has taken suggestion

Stick-Slip Identification Stick-Slip Mitigation…few stands later…

40% Sustained Increase in Rate of Penetration (ROP)

17

Page 18: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

The Digital Transformation Journey

18

Sites

Page 19: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

GE01_DT 409510395_Wind Speed QI-109 GE01_DT Cooling Fan-711.Feed Rate

1-8.Net VolumeCoal Motor Load

02F100.TOT.EV

03LBA32CT001-2

DC.SJ.ITLoad.PWR

TI-145 FR2001

TI-178 GE04_OS

FT9001 FT9001

FR5001 AF_NOISE

DC.SJ.PUE TI-102 DC.Zero DY-108 DC.SJ.C1.Z3.R3.PDU1.PF GE01_A_DT

FIC-144 02F100 fasttag

FI-151 0_ENG_AUX_STS

GE05_Energy C1:14AT5AC03.Air Flow FeedBin.Cmt

Boiler Cold Reheat Pressure

B737_FG117 DC.TimeLoad

D-110.Tank Pressure.PVGE04_DT QI-121 GE03_V_WIN

DC.Rk07R DC.Srv06R

GE04_Energy TI-121 FT9001

FAC.OAK.Power-Kh-Val.PV

DY-131DC.SJ.PUE

fic1001.C

GE02_OT

GE01_DT

02F102.1HRAVG BGT001 PI-111 facility_output

FI-101 bf5e1d1d-39c9-4b5b-b3d3-c2ce05fa3a26 DM-05:BW.R AT401

0_CLR_FINAL_OUT_B_TMP F506_E990 339511775_Clear Sky Global Horiz GE01_DT

FI-111

GE01_CON AlarmTest.Input.Float32.1

D-110.Tank Pressure.PV Boiler Feed Pump #1

Boiler-209.Fuel Gas Flow DC.Srv01R 94:GRDIDX.Tr igger AC09.Power

403511195_Wind Speed

DC.C2Z1.Pwr.Ripple GE01_A_DT

1-16.Net Volume CB1992_MS 0_CMP_FLOW_TOTAL GE02_Energy

FeedBin.Cmt

DC.Zone1.Number

DailyTriggerFrqPrbCost_ER

AlarmTest.Input.Float32.1 AQUA2-TI-201.PV DC.SJ.SiteRealTimeITLoad.PWRFT9001

FT9001

DC.Srv01R Boiler-125.Fuel Gas Volume

Anacortes Refinery.Alkylation.Asset Problems B210_FG005.KPIExcursion

1 | Data

Crude Furnace

Draft Pressure: -0.5 WC

Stack Temp: 316 °F

Oxygen: 2.5%

Firebox Temp: 860 °F

Outlet Temp: 840 °F Cold

Oil Velocity: 6 ft/sec

Weather Conditions

Relative Humidity:

34% Current Temp: 85

°F High: 92 °F

Low: 57 °F

Wind: 8 mph/N

2 | Information 3 | Intelligence

Total

Production

Energy

Efficiency

Downtime

Real-time Decision Support Business/Operation

Analytics

$

Turning Data into Intelligence Through Context

Page 20: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

RESULTSCHALLENGES SOLUTION

The world’s 2nd largest beer provider (by revenue) will reduce water

consumption by 25% and CO2 emissions by 40% in

their brewing facilities between 2008 and 2020

• Needed better tools and data

to collect, manage and

optimize their utility

consumptions and energy use

Using PI AF models and

templates to organize data from

PI and other systems

Have discovered ways to meet

their 2020 goals, based on

information being exposed in new

ways

20

Sustainability – Brewing Savings

• Bringing data together from

multiple sources in an easy-to-

use manner

• PI AF, Analytics and

Notifications for data

management

• PI Client tools for visualization

• PI AF solution has enabled some savings

• Looking to add PI Event Frames and BI tools to find even more savings

Page 21: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Page 22: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Sustainability – Brewing Savings

22

• Key was organizing the Data

According to:

– Water, Electricity or Thermal

Energy

– Departments, Area and

Equipment (Hierarchical

Models)

• Use of Element Templates Allow

Modelling Multiple Elements

Based on the Same Attributes

Page 23: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

The Digital Transformation Journey

23

Sites

Page 24: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

RESULTSCHALLENGES SOLUTION

Abbott, a leading global nutrition company, needed to

reduce the time spent performing manual data

entry and review in each batch cycle.

• Too much time was being

spent in manual batch reviews

and correcting data errors

Used the PI System to interface

with their MES application and to

calculate and communicate

process exceptions

Data integration reduced review

time by decreasing number of

docs to review and number of

errors

24

Reducing Cycle Times

• Need to reduce the total cycle

time

• PI AF, Event Frames, Perf Equations and AF-SDK code enabled the changes

• PI ProcessBook provided visual insight into the process

• Changes enabled Quality

compliance with “first time

right”, “paperless” and “review

by exception” initiatives

Page 25: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Reducing Cycle Times

25

• Visual display of “Review by

Exception” functionality

– Logic added to

automatically identify

errors and exceptions

– Exceptions sent via

interface to the CAPA

system and displayed in

ProcessBook

• Enabled time savings by

reducing manual data entry

time, amount of data review

required and number of

errors to troubleshoot

Page 26: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Page 27: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Page 28: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Page 29: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

The Digital Transformation Journey

29

Sites

Page 30: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

RESULTSCHALLENGES SOLUTION

Hershey has rapid global expansion plans, and they

strive to be a world-class leader in continuous

improvement and quality while

managing manufacturing costs

• Extend the Hershey brand through

• Global expansion and strategic

acquisitions while managing cost and

improving efficiency and quality.

Deliver information end users of

all levels in an EASY to use

manner that requires minimal

training or long term support.

Paperless manufacturing

management of the supply chain

30

Information is Key to a Strong

Supply Chain

• Fully leverage AF to build

flexible, scalable and

configurable data structures

and calculations

• Maintenance costs down 33%

• Throughput losses down 30%

• Quality losses down 22%

• Support aggressive efficient

growth without affecting quality

or expanding costs

Page 31: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Hershey Case Study

Page 32: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Performance Summary Dashboard

32

• Managing the line

performance via dashboards

• Trends are more powerful

than single value data!

Page 33: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC 33

Data Driven Services Opportunity

Page 34: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Data Driven Services

Multiple stakeholders… … a Service Provider perspective

Customer

Customer

Customer

Customer Customer

Remote Monitoring & Diagnostics Center

Enabled by low cost sensors and connectivity…

Page 35: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

And…New Community & Service Models to Support

Your Operations

Emerson’s new remote monitoring service….

Page 36: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Data Driven Services from Multiple Customers

Page 37: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC 37

Product Innovation: Our Opportunity

Page 38: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Technology Providers Innovating: Augmented Reality

Page 39: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

Our Strategy

ENABLE COMMUNITY

CUSTOMER SUCCESS

ENABLE YOUR DATA

INFRASTRUCTURE

39

Page 40: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC 40

Edge

Enterprise

Integration

Cloud

Services

PartnerApplications

Mar

ketp

lace

Digital

Intelligence

Innovation

Product

Innovation

New

Services

Operational

Excellence

Community Data Sharing

Enablement … … Outcome

OSIsoft Strategy Investment

Page 41: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC

30+ Solutions

Published Already

+250 Partners

2600+ Developers

Page 42: The Digital Transformation Opportunitycdn.osisoft.com/osi/presentations/2017-rs-west-palm...a drilling optimization package called MaraDrill An increase in the rate of penetration

© Copyright 2017 OSIsoft, LLC 42

Operational

Excellence

Digital

Transformation

Reduce

Costs

Product

Innovation

New

Services

Increase

Revenue

Operational Intelligence: Our Opportunity