Process Automation - History and Future

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1 Christer Rameback Vice President Process Automation Process Automation - History and Future ABB Automation Technology - 1 -

2 Facts about ABB ABB Automation Technology - 2 A leading power and automation technology company with broad industry knowledge and geographic scope About 150,000 employees in more than 100 countries Leading position (1, 2 or 3) in each industry we serve and within our product areas Headquarters: Zurich, Switzerland

3 Process Automation Systems ABB Automation Technology - 3

4 Listening to the users Continuous improvements are customer driven Step changes are R&D driven ABB Automation Technology - 4

5 Step changes are R&D driven ABB Automation Technology - 5 The BIG steps come when R&D engineers understand the users

6 Agenda History of Industrial Automation Current situation Important aspects for the future ABB Automation Technology - 6

7 Simplified business model Process Control Customer orders Raw material Energy Order Fulfillment Time Quality Quantity Energy waste Environmental impact Capital utilization Safety Cost reduction Maximizing Maximizing Customer Customer Satisfaction Satisfaction and and Profit Profit ABB Automation Technology - 7

8 Control systems market History Users Products Large Automotive Process Industry, Power Plants DCS System size Medium Discrete Manufact. Hybrid Industries PLC Hybrid systems ABB Automation Technology - 8 Small Machine Control Binary/Sequential Analog Functionality µplc Advanced Binary/Sequential Functionality Analog Advanced

9 PLC vs DCS History ABB Automation Technology - 9 PLC History Early 1900 electrification! Rolling mills, paper mills, car manufacturing Contactors - Relays Electronic relays with sequences etc Programmable devices PLC s Early 1970 s - Microprocessor based PLC s Simple MMC s (Man Machine Communications) Limited Information Management Capabilities DCS History Automation System Early 1900 oil flow, temperatures etc Oil industry, pulp mills, (power plants) Manual loops - Mechanical controllers - Pneumatic controls - Electronic controllers Single Loop Controllers - DCS s Early 1970 s - Microprocessor based DCS s More advanced MMC s Somewhat more advanced Information Management Capabilities

10 Evolution of digital control systems History ABC ABC ABC Information Management IMS Operator Stations O/E/IM CPU DDC I/O Process Controllers Fieldbus Process Controllers Fieldbus ABB Automation Technology - 10 Centralized 60 s and 70 s Distributed 70 s, 80 s and 90 s Integrated 90 s and 00 s Improved functionality over time Graphics, Alarms, Control, Information Management, Batch, Communication PLC functions vs DCS functions Binary, sequences, speed vs closed loops, alarms etc Integrated systems: PLC <-> < > DCS <-> < > IMS Increased complexity

11 Industrial automation traditional architecture model History ABB Automation Technology - 11 Information Technology (IT) Industrial Automation Business Planning / ERP Manufacturing Execution Systems GAP Process Optimization Process Automation Instrumentation Other Plant(s) Corporate Plant Area Unit Loop Field

12 Industrial automation new architecture model Today Business Planning / ERP Other Plant(s) Corporate Industrial Automation Plant Area Unit ABB Automation Technology - 12 Integrated Systems Loop Field

13 Market Forces Simplified business model Today Process Control Order Fulfillment Time Customer orders Quality Quantity Raw material Energy Energy waste Environmental impact Capital utilization ABB Automation Technology - 13 ATCE/CS- 9 Maximizing Customer Satisfaction and Profit Safety Cost reduction Due to global competition combined with slow market growth, process industries forced to re-evaluate business models and implement continuous improvement initiatives Cutting costs by consolidating, restructuring, and downsizing

14 Control systems market Today Large Automotive Process Industry, Power Plants System size Medium Discrete Manufact. Hybrid Industries ABB Automation Technology - 14 Small Machine Control Binary/Sequential Analog Functionality Advanced

15 Control systems market trends Today ABB Automation Technology - 15 Changes in the competitive structure Consolidation Too many suppliers and low profit levels Mergers and acquisitions Vertical integration Merging market segments PLC vendors enter the OCS market Siemens, Rockwell The hybrid systems market is common ground ABB, Siemens, Rockwell, Fisher-Rosemount, Honeywell Market exits due to increased development costs Shake-out of smaller suppliers Large end users with own control systems outsource

16 Control systems market trends Today ABB Automation Technology - 16 Control systems become commodities Commodity hardware PC, network components, I/O, Decreasing differentiation at basic product level Increasing competition on price Competitive pressure on system components Unbundling New product strategies Broader scope of functionality Unified systems: OCS + PLC + Safety + Scada ABB, Siemens, Honeywell/Rockwell Collaborative systems Plant Automation, Asset Optimization, Business Systems

17 Simplified business model Process Control Customer orders Raw material Energy Order Fulfillment Time Quality Quantity Energy waste Environmental impact Capital utilization Safety Cost reduction Maximizing Maximizing Customer Customer Satisfaction Satisfaction and and Profit Profit ABB Automation Technology - 17

18 ABB Automation Technology - 18 Environmental impact Environmental impact Asset optimization Asset optimization Important factors Trends Operators role Operators role Engineering efficiency Engineering efficiency Advanced control Advanced control Information management Information management System migration System migration Integrated safety Integrated safety Scalable solutions Scalable solutions

19 Trends Internet order ABB Automation Technology - 19 The operator s extended role Maintenance order Alarm Mech Drawing Live Video Eng Spec Operators role Operators role Simplified business model Process Control Order Fulfillment Time Customer orders Quality Quantity Raw material Energy waste Energy Environmental impact Capital utilization Safety Maximizing Maximizing Customer Customer Satisfaction Satisfaction and and Profit Profit Cost reduction ATCE/CS- 19

20 Improved car worker efficiency Trends 1. Assembly robot stops 2. Operator calls maintenance personnel 3. Wait 15 min 4. Maintenance person inspects control program 5. Maintenance person fixes the problem Simplified business model Process Control Order Fulfillment Time 50% utilization level of manufacturing equipment ABB Automation Technology - 20 ATCE/CS- 19 Customer orders Raw material Energy Maximizing Customer Satisfaction and Profit Operators Operators role role Quality Quantity Energy waste Environmental impact Capital utilization Safety Cost reduction 1. Assembly robot stops 2. Operator checks with local PCn 3. The system is guiding the operator to root cause 4. Operator fixes the problem

21 Asset Lifecycle and Engineering Simplified business model Customer orders Process Control Planning & Scheduling Order Fulfillment Time Quality Business Systems Raw material Energy Plant Engineering Quantity Energy waste Environmental impact Design Process Engineering Operations Capital utilization Safety Plant Centric Information Maintenance Plant Floor Trends Asset Optimization Maximizing Customer Maximizing Customer Cost reduction Satisfaction Satisfaction and and Profit Profit ABB Automation Technology - 21 ATCE/CS- 19 Asset optimization Asset optimization Engineering efficiency Engineering efficiency

22 Re-Use of solutions Trends Engineering Efficiency taken to the Next level: Re-use of solutions with ALL Aspects included Libraries of Typical Solutions with ALL Aspects Copy & Paste of complete process areas Inheritance -> Update type and all instances are updated! Old projects Identify Solution Standard libraries Create solution Project library Implement solution Operation - Decommissioning ABB Automation Technology - 22 Engineering efficiency

23 Trends ABB Automation Technology - 23 Plant Modeling - Object Hierarchies Valve Heating System Reactor Engineering efficiency Engineering efficiency

24 Highly Scalable Solutions Trends ABB Automation Technology - 24 Modular design scaled on Process Control System size Functionality Required performance Energy Benefits ATCE/CS- 19 Simplified business model Customer orders Raw material Safety Incremental Capital Investment Maximizing Customer Satisfaction and Profit Flexible Expansion Order Fulfillment Time Quality Quantity Energy waste Environmental impact Capital utilization Cost reduction Pay for what you need. Use the same software for Engineering & Operations irrespective of solution size. Large Medium Small Very Small Very Large System migration Scalable solutions

25 Market Forces Over $20 Billion USD, or almost 5% of total North American production is lost each year due to unscheduled downtime. ARC Insights Due to global competition, process Process Control industries forced to re-evaluate Time Quality business models and implement continuous improvement initiatives Cutting costs by consolidating, restructuring, and downsizing Safety Traditionally, companies view ATCE/CS- 19 Simplified business model Customer orders Raw material Energy Maximizing Customer Satisfaction and Profit maintenance as necessary evil and not strategic opportunity Order Fulfillment Quantity Energy waste Environmental impact Capital utilization Cost reduction Trends ABB Automation Technology - 25 Asset optimization Viewed as overhead, Maintenance is target of management s cost cutting strategies Yet, unexpected failures and poor quality product can be devastating to profit goals

26 Achieving Operational Excellence Trends ABB Automation Technology - 26 Plant Asset Management systems providing real-time asset performance information to operations and maintenance will increase Return on Assets (ROA) and lead to operational excellence. ARC Insights Asset optimization Balancing act between high availability and low cost demands requires a proactive business strategy with clearly defined metrics Continuous Improvement programs require real-time assessment of Key Performance Indicators (KPI) Measure asset performance and identify performance gaps and opportunities Unfortunately, traditional maintenance systems lack real-time information Provide schedule-based functions

27 Traditional Operation and Maintenance Trends OCS CMMS Operations Maintenance ABB Automation Technology - 27 In a typical day, maintenance will waste 40% of its time determining root causes of problems Asset optimization

28 Trends Real-Time Plant Asset Management (PAM) system OCS Asset Condition Reporting System Simplified business model Customer orders Process Control Order Fulfillment Time Quality CMMS Quantity Raw material Energy waste Energy Environmental impact Capital utilization Operations Operations ATCE/CS- 19 Maximizing Customer Satisfaction and Profit Modern automation systems Maintenance Maintenance Safety Cost reduction ABB Automation Technology - 28 Field Devices Asset optimization Asset Health Assessment Advanced Process Performance Assessment

29 Can you supply 2 tons in 10 days for 945 dollars? Answer in ten minutes. Industrial automation new architecture model Today Business Planning / ERP Other Plant(s) Corporate ABB Automation Technology - 29 Information management ATCE/CS- 14 Industrial Automation Integrated Systems Plant Area Unit Loop Field

30 Safety first! Trends Safety is is playing an an increasingly important role both for for Process Industries and Manufacturing Industries Avoiding Human AND Environmantal impact ABB Automation Technology - 30 Integrated safety Integrated in in control systems Moving away from hard wired solutions

31 Environmental regulations Trends Environment is is not free anymore! Environmental fees are being charged to to companies ABB Automation Technology - 31 Environmental impact Tracking, reporting and REDUCING!

32 Summary ABB Automation Technology - 32 Integrated systems DCS PLC IMS ERP Increased complexity Increased competition Users Suppliers Operator s extended role Information Management Asset Management Scalable Solutions ATCE/CS- 19 Simplified business model Order Fulfillment Process Control Time Customer orders Quality Quantity Raw material Energy waste Environmental impact Energy Capital utilization Maximizing Customer Satisfaction and Profit Safety Cost reduction

33 Christer Rameback Vice President Process Automation Process Automation - History and Future ABB Automation Technology

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