BPs Selection and Deployment of a Mobile Workforce and Decision Support System

Mobility as Key Element to an Operations Management System (OMS) to Achieve Operational Excellence
Danny Williams BP Business Information Manager
For Microsoft Global Energy Forum 2/2009

Topics
A bit about BP
BPs Operations Excellence journey What is an operating management system (OMS) Mobility as a Key Element of an OMS
2

BP at a glance
2007 turnover of $284 billion and profit of $21billion Employing approximately 97,600 people in more than 100 countries 11th largest company in the world. 17.7 billion barrels of oil and gas equivalent, 3.8 millions barrels oil equivalent a day. 24,600 petrol stations; 17 refineries and exploration activity in 29 countries

BP Safety Values
no accidents,
no harm to people,

no damage to the environment.

Topics
A bit about BP
BPs Operations Excellence journey What is an operating management system (OMS) Mobility as a Key Element of an OMS
5

Resetting priorities
Major events .

Caused BP to rethink our approach towards Operating

And accelerate our journey to becoming a Great Operator

We have a simple game plan

1. Mitigate major risks and operate in a compliant fashion 2. Establish a common Operating Managing System for use across all BP Operations 3. Reset leadership expectations and behaviours; from responsive compliance to continuous improvement 4. Adopt the continuous improvement philosophy and techniques needed to sustain improvements and achieve sustainable Operational Excellence

Our Commitment to Achieve Operations Excellence across BP

Safe and Reliable Operations

Safe

Responsible
Reliable

and Efficient
Providing:

sustainable competitive business advantage

+ full employee engagement
8

Phasing in Operations Excellence

Sustainable Competitive Advantage

Excellence
Efficiency

Business Impact

Neutral

Compliance

Work that sustains operational fitness

Catastrophic Loss

Significant Risk Mitigation

First priority

Operating Essentials
9

Business Value Destruction

Basic Requirements

Choosing Where to Start

1 7 Leading
(strategise, prioritize develop & engage)

Managing
(evaluate performance status vs. targets)

8 6 4

Doing
(Observe activities & actual conditions)
10

BP's journey to becoming a great operator

Risk Reduction to Tolerable Levels Sustained via CI

Common Operating System (OMS) OMS Practices & Standards

Leadership Development Continuing Dev.

Continuous Improvement (CI) Methodology

Operating Efficiency to Excellence
Wave 1 Start Wave 2 Start Wave 3 Start Others?

Ops Communities active CI Communities active

2006

2007

2008

2009

2010
11

Topics

A bit about BP
BPs Operations Excellence journey What is an operating management system (OMS) Mobility as a Key Element of an OMS
12

Operating Management Systems (OMS) arent new

At the heart of everything is its managing system Vehicles Computers Every living thing

An organizations OMS helps to:

Set priorities Assess/adjust performance Engage people Maintain operations Mobility is a Key Element to an Operations Management System (OMS) to Achieve Operational Excellence

13

OMS is our System of Systems

1. An OMS recognizes that people dont know what they dont know so it:
Outlines clear expectations (essentials): what needs to be managed and how good is good enough Encourages robust measurement of performance Integrates existing standards and management systems Prompts risk elimination and mitigation Encourages continuous improvement

All to deliver safe and competent operations

2. An OMS doesnt
Mandate efficiency or excellence Dictate everything; it depends on local OMS HOWs
14

How is BP going to run?

Strategy / Policy / Technology
Code of conduct

OMS HR IT Finance Integrated Supply and Trading

E&P

R&M

AE

15

BPs OMS includes:

A description of essential operating requirements (Elements of Operating)

A process that drives continuous improvement

A consistent approach to manage local processes Content covering personal safety, process safety and environmental safety An integrated recasting of existing standards and management systems bringing everything into one local controllable system BPs OMS hinges on Microsofts MOSS (Sharepoint/Performance Point)
16

The BP Elements of Operating

Measurement is used to understand and sustain performance We deliver what is promised and openly address issues raised by our stakeholder Our leaders exhibit visible, purposeful & systematic leadership & are respected by the organizations they lead The workforce at all levels of our organization understand and manage risk

We have fit for purpose and agile organizations staffed with competent people and teams.

We document and rigorously follow procedures for safe and effective operating

Our operations are continuously optimized to improve performance and delivery from our assets

Our plants, facilities and assets are fit for purpose throughout the lifecycle of the operation

17

Topics
A bit about BP
BPs Operations Excellence journey What is an operating management system (OMS) Mobility as a Key Element of an OMS
18

Collaboration and Decision Support to Operations Management

The 1990s
Operator

The 2000s Production Worker Roles

Operations

Engineering

Maintenance

HMI Displays

Information / Collaboration

Reliability & Safety

Plant Mgt & IT

HMI

Mobile Devices

Web Based Reports

KPI Dashboards

PLCs

Data Sources
Maintenance Applications

PLCs

Databases

Planning Systems

Lab Systems

Machines

Production Assets
Rotating and Fixed Equipment

Lines

IntelaTrac - Adaptive Process Management Workflow

Superusers System Administration Field Workers

Superusers
Creating Procedures Managing Task Lists Scheduling

Field Workers
Operator Rounds inspections Work Requests

System Administration User Rights

Management

Adaptive Process Management

Supervisors

Creating Procedures Managing Task Lists Scheduling

Performance Monitoring, Data Visualization, KPI / Web Reports

Operator Rounds inspections Work Requests

Review Rounds Approve Rounds Edit Field Data

Process Historians and Console Operator

CMMS (SAP, Tabware, etc)

Key Concept - Moving to Intelligent Workflow

Linear Procedures VS
Step 1 Check Pump
Manual Data

IntelaTrac Approach
Manual Operation
Manual Input

Task Specific Decision Tree Check Pump

Step 2 Oil Condition Good Step 3 Oil Condition Bad

Step 4 Temp Good Step 5 Temp Bad

Oil Condition Good OR Bad

YES
Predefined Decision Trees By Predefined Role, Process, Task Decision Trees By Predefined Role, Process, Task Decision Trees By Role, Process, Task

NO

IF OIL GOOD GO TO NEXT TASK

CHECK TEMP Good OR Bad

ADD OIL THEN GO TO NEXT PUMP Decisions

SHUTDOWN THE PUMP

Key Concept - IntelaTrac Supports Cross Functional Field Applications Operations: rounds Maintenance and I&E: inspections HSE: safety & environmental rounds Learning: mobile learning on the job

Projects/Turnarounds: status/details
QA: time stamped lab samples

Microsoft Technology Stack and IntelaTrac

Selecting IntelaTrac
Satisfying key requirements:
Support on wide selection of rated devices and infrastructure
Class 1, Div 2 Handhelds and RFID readers Proven scalable wireless success for multiple wireless backplanes

Functional and technical fit

Rated better than competitors Procedure decision trees/workflow

Calculations
Strategic integrations Architecture and standards alignment

Company product/roadmap priorities

IntelaTrac is the Most Competent Field Force Automation Solution Frost & Sullivan

IntelaTrac

WMSs flagship mobile technology is IntelaTrac, a Mobile Workforce and Decision Support System that enables the critical steps of connecting, aligning, and dynamically managing mobile work processes to ensure consistent delivery of best practices

Implementation Team (Whiting example)

WBU Business Info Manager Path 1 Rollout Team Danny Williams Carson / Whiting oversight Andy Grimes IT Project Manager Path 2 Rollout Team App Admin Bill Training Rollout Coach 1

Availability Steering Committee (Chair: Asset Manager Catalytic)

Bob Availability Project Manager

Roberto Rounds Engineer

Lora Rounds Engineer

Mark Technical Configuration

Donovan Test Manager

Dave Rollout & Tech Manager

Tom Training Dev and RFID

Area Programmer (Judy, 12 PS)

Dennis Rounds Consultant Coach

Darlene Rounds Consultant

Area Programmer (Lakefront)

Craig Telecom Manager

Marc Operations Consultant

Greg Data Base Administrator

Rotating and Fixed Equipment

HSSE

CMS and Analyzers

Operators

Optimization Engineers Romney Network Engineer Gideon Server Admin

Process Engineers

Others

DCS Specialists

Subject Matter Experts

Technology and Infrastructure Team

Data and Round Development Team

Structured Round Building (Whiting)

Approach: Build templates first, using SME developed protocol, per equipment category Best practice rounds Management of Change bracketed rollouts Template Protocol
Level 1 2 2 Templates Analyzers General H2S Stack Opacity

Equipment Categories

2 2

Templates

Key Pros and Cons:

Does not preclude early and heavy operator involvement Consistency in rounds from unit to unit; aids operator cross unit, qualifications Can be over engineered

Process Unit Info

IntelaTrac Procedures (Rounds)

Grass Roots Round Building (Carson)

Approach: Maximize operator input and field

presence

Emphasize capturing existing practices

Key Pros and Cons: Operator adoption Does not preclude structured approach

May lack some efficiency of template approach

Key Conclusion: A hybrid, programmatic approach, that combines grass roots and structured approach elements, may be the best path forward

Business Challenges
Aging / retiring workforce influx
Institutionalizing knowledge

Paper to electronic standard

Compliance environment
Anticipate not react Documented asset inspections

Business Challenges
Op gap is the amount of money left on the table due to decreased throughput or availability For a 400 MBPD refinery, Op Gap can correlate to millions (USD, order of magnitude), per annual percentage drop in availability

Justifying IntelaTrac
Multi-million dollar projects with multimillion dollar benefits (mainly availability) Improving operator rounds is a key step in helping reduce Op-Gap and being a compliance leader Improving Operator Rounds requires technology step-change Post Execute stage, Whiting (similar for Carson):
NPV > $10MM and IRR% > 40%

Infrastructure and Milestones

Synch Server Synch Server

Carson LAN

Whiting LAN

=
Infrastructure design, build, test Jun 2006 to Mar 2007 Application design, build, test Oct 2006 to Oct 2007 Whiting pilot May to Oct 2007 Rollouts Oct 2007 through 2008

4 Web & DB machines:

PROD and TEST Database PROD and TEST Web Server

Corporate Data Center

Designing implementation benefits: RFID

RFID installed via ferrule secured, cable lanyards

Unlocking keys
Required scan for status Changes to status affect Sub Task Groups

Keys to Achieving results

Training and Support
Classroom, hands-on, and work process integration Field coaching

Leadership Support Adjust based on closed loop monitoring:

Incentives Round & task completions (AuditorPlus, WebReports)

Surveys and Support model performance and tickets

Future Vision / Concepts

Handheld delivered documents (e.g. Procedures, permits)

Real-time field data via complete wireless

TAR, maintenance, and compliance interfaces

TAR and SOPs

SAP Maximo
Or

Compliance

(Essential)

Leak Detection

Work control & permits

Eliminating manual and redundant steps (e.g. completions in Essential & IntelaTrac)

Logbook for Shift Handover

Service Oriented Architecture integration

DCS

Improved coordination (scheduling, MRO, etc)

Support Staff and Operator Handheld databases

IntelaTrac Database

Plant Historian Database

7 Key Points to Take Home

1. Done right, its well worth it

2.
3. 4. 5. 6.

Doing it right requires upfront planning and good project managment

Align the approach with the big picture situation Testing is important Ensure management buy-in Staff teams with IT, engineering, and particularly operations types (Operations should own the system) Plan for changes due to TARs, etc.

7.

Business Results
Multi-million dollar projects with multi-million dollar benefits (main benefits around improved availability) Improving Operator Rounds is a key step in helping reduce Op-Gap and being a compliance leader

Payback - Post Execute stage, BP Whiting, IN Refinery Results = NPV > $10MM and IRR% > 40%
(similar for Carson, CA Refinery) IntelaTrac identified as BP game changer which means IntelaTrac is expected to drive > $150M in hard dollar cost savings annually for BP Downstream (refining/chemicals)

What Does Success Look Like?

Institutionalized work processes

Lifts performance of all workers

Integrated messaging drives instant changes Integrated remote data Auditable regulatory compliance Model for progress

Questions
Daniel Williams Business Information Manager

BP North American Products, Carson Refinery