Business Intelligence System for Controlling and Managing Energy Savings for SIBUR Holding
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1 Business Intelligence System for Controlling and Managing Energy Savings for SIBUR Holding
2 Customer profile from gas processing and the production of monomers, plastics, and synthetic rubbers to the processing of plastics. The holding employs over 30,000 people across twenty Russian regions. The holding sells its products to approximately 1,500 consumers in energy, automotive, construction, retail, and other sectors across sixty countries. sibur.com As the largest petrochemical holding of Russia and Eastern Europe, SIBUR conducts activities across the entire petrochemical process chain, description Toward the goal of greater energy efficiency, and in the context of rising energy prices and an evolving regulatory landscape, SIBUR Holding, a large industrial energy consumer, required a cuttingedge Business Intelligence solution for reducing energy costs while integrating and organizing the company s large existing pool of energy data. Prognoz designed a Business Intelligence system for SIBUR that ensures energy efficiency through the planning, monitoring, and analysis of various energy-savings programs, with integration of information and analytical support for effective decision making in energy management. 2
3 Background SIBUR Holding identified a series of factors that negatively impacted energy efficiency: Lack of a common information space (integrated information resources, responsible divisions, and online communication on energy efficiency issues) Unavailability of powerful software tools to support energy management decisions Vague responsibilities, such as ambiguous competences of energy efficiency managers at different levels Lack of a unified standard for reporting and planning energy costs and energy consumption, and untimely reports to management on the energy efficiency situation across SIBUR holding Erroneous and delayed information Lack of online control over the implementation of the energy efficiency program No exchange of best practices in energy savings among divisions Limited user access to information on situation on energy saving 3
4 In response, a new central committee called the Energy Efficiency Engineering Center (EEEC) was convened to provide efficient management and control of energy consumption and assess various energy-savings measures. Scope The Prognoz solution was designed to automate the following key business processes in energy management for the EEEC: Planning. The solution standardizes the procedures and controls the timelines for coordinating and approving energy-savings programs. Preparing analytical materials to support managerial decisions. The solution enables the EEEC to analyze information about energy-savings measures online; monitor energy efficiency indicators using dashboards, charts, maps, and reports, with the capability to drill down into any specific indicator; perform multidimensional 4
5 analysis; export analytical materials to external formats; and analyze energy efficiency indicators from mobile devices. Generating reports. This functionality enables the EEEC to generate reports on an ad hoc basis or according to a regular schedule. Monitoring and analyzing energy consumption. The solution assesses energy consumption across the company as a whole or within individual enterprises. Monitoring and analyzing energy-savings programs. In addition, the solution maintains a schedule to guarantee timely reporting on the effectiveness of these programs. Maintaining a unified company-wide database of best practices in energy savings and using it to plan energy-savings measures. SIBUR provided a selection of best practices in energy savings at the beginning of system development. Prognoz experts clustered, structured, and augmented these practices for the system database. The database currently contains over 100 best practices, and, because the database is fully extensible, it can easily accommodate future growth and refinement. The EEEC may use this database to search for best practices by directorates and enterprises, cluster best practices by energy sources and topics, and exchange best practices with other divisions. Training and certifying energy efficiency staff. This functionality was not part of the original scope of the project. SIBUR and Prognoz identified it as a potentially valuable enhancement to 5
6 the system during the development stage, and Prognoz subsequently incorporated it into the solution plan. With this addition, the EEEC may design tests on energy efficiency, conduct online training, assess qualifications of staff members, and collect statistics on changes in qualifications. The development and implementation life cycle including conceptual design development, software development, training, and beta cycle lasted for six months. The BI system was put into commercial operation at the end of Key features The solution offers advantages such as the following: The system covers specifics of all energy efficiency management processes. The system has an extendable knowledge database of best practices. The system supports up to 100 concurrent users. The centralized data warehouse is accessible to all energy efficiency managers via the Web. Access is delimited for staff of subordinate divisions, analysts, and senior management. The system is easily extensible. In the future, it is envisaged to add tools for strategic analysis of pricing policy, analysis of specific energy consumption rates, comprehensive assessment of energy consumption, and identification of best energy sources, as well as to develop a system for modeling energy consumption indicators. 6
7 Results of the implementation of the system With the Prognoz BI solution at its core, SIBUR s comprehensive approach for managing energy efficiency enabled the company to attain the following: Reach 5.6% reduction of company-wide energy costs versus the targeted 2.4% Reduce the labor input needed to plan energy saving measures and prepare reports and presentation materials by 30%, and for reporting by 80% Increase insight into and assess all processes associated with energy consumption and energy costs; plan, monitor, analyze, assess, and control all energy efficiency indicators in an effective way; and quickly generate reports on any indicator or energy-savings measure Reduce the time needed to make managerial decisions by 30% by providing comprehensive BI support to energy efficiency managers and senior management Build a knowledge base containing 100 best practices in energy savings, thirty-three of which served as a basis for 110 energy-savings measures, which represents a doubling of such measures as opposed to the period when no system was in use Automate the assessment and advancement of qualifications held by energy efficiency staff members Provide access to analytics, including from mobile devices, for faster reporting to executives and staff on energy efficiency issues. 7
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