White Paper

Experion PKS Reduces Cost, Risk and Schedule during Project Implementation
Executive Summary In a competitive global marketplace, there is a need for businesses to ensure continual improvement. Manufacturing companies are under growing pressure to boost quality, increase productivity, and reduce costs with limited resources. Service organizations must shorten response time, eliminate errors, and ensure customer satisfaction. Industrial plant projects have historically been measured by cost and schedule only. As such, automation technology decisions sometimes are totally cost-driven without consideration for integration, long-term sustainability and maintenance. Yet those technologies determine the overall operating performance of the facility. Many industrial organizations are extending Engineering, Procurement and Construction (EPC) contracts into the operational life of the plant, so the EPC is held accountable for on-time startup as well as actual performance against stated objectives. As a result, process control decisions are now being introduced at the Front-end Engineering Design (FEED) stage, or even earlier. This requires EPCs to engage the engineering talent of automation suppliers to design and engineer the right solution, not only for the project, but also for the lifecycle of the plant. EPC firms and automation suppliers have a shared interest in completing automation projects sooner, with reduced costs and less risk throughout the life of the customers control system investments.

Experion PKS Reduces Cost, Risk and Schedule during Project Implementation

Table of Contents
Background..............................................................................................................................................................................3 Todays Business Challenges.................................................................................................. ................................................................3 Honeywells Proven Solution.................................................................................................. ..................................................................4 Greater Design Flexibility..........................................................................................................................................................................5 Universal channel technology.................................................................................................................................................................5 Efficient virtual infrastructure...................................................................................................................................................................6 Integrated documentation tool.............................................................................................. ...........................................................7 Improved Operational Readiness.............................................................................................................................................................8 Operator effectiveness solutions............................................................................................................................................................8 Seamless upgrades and migration.........................................................................................................................................................8 Enhanced Business Performance............................................................................................................................................................8

Experion PKS Reduces Cost, Risk and Schedule during Project Implementation

Background
Procurement, fabrication, and construction on industrial plant projects represent a complex balancing act between profit making and risk-taking that requires effective planning and control. Otherwise, these activities could severely hinder a companys ability to supply a product, design and construct a plant, and start up a facility on time and within budget. Frequent changes in market conditions, global sourcing, geographically distributed plant design and engineering, and remote locations of construction sites also make the project lifecycle increasingly dynamic by nature. For EPC firms, todays business directives are clear: reduce costs, improve schedules and minimize risks wherever possible. Coupled with these three core requirements, EPCs are also concerned with total installed cost, clean handover and customer satisfaction. EPC projects are highly schedule-driven and frequently massive in scale, utilizing highly skilled employees and complicated methodology/technology, and requiring fast information flow between different phases and close collaboration of multi-disciplines. Failure to meet prescribed performance guarantees can put the future of the firm at risk. Moreover, performance and schedule-liquidated damages can increase costs and potentially erase profits for the entire year or worse.

Todays Business Challenges

On any given control system package, the EPC is tasked with ensuring that the system design meets specified time, budget, ROI and operating cost criteria. Specific challenges include setting scope boundaries by quantifying and justifying the investment required for a given benefit, minimizing changes with better change management, and identifying and planning for project risks early so that actions can be taken to lessen their impact. Plus, it is essential to involve key stakeholders to make certain the system design meets the endusers overall needs and to achieve faster implementation of technology. There are multiple critical factors related to cost on EPC projects in the automation industry. These include: Incomplete FEED packages Mismanaged third-party integration Supporting multiple suppliers Unfamiliarity with supplier and products Inefficient project processes and communication Missed end-user operational requirements Late changes to project requirements Unplanned-for site support costs In terms of project schedule, EPCs want reliability of execution that meets the project timeline and milestones. Major liquidated damages are commonly associated with EPC contracts. Other considerations tied to schedule include: Poor alignment of contracts Supplier inexperienced with EPC needs Misaligned supplier project process and interfaces Supplier document turnaround time System integration issues delaying completion Poor quality of supplier deliverables Poor supplier start-up support

Experion PKS Reduces Cost, Risk and Schedule during Project Implementation

Issues with handover/acceptance There are also many factors contributing to risk for EPCs, such as: Poor alignment of project safety processes Poor alignment of supplier T&Cs Equipment not meeting performance specifications Supplier project staff turnover Introduction of new technologies Multiple supplier interfaces Incompatible products and technologies Managing the entire process of getting a plant up and running or revamping an existing facility, is further complicated these days by a shortage of experienced personnel. Within a few short years, a good portion of baby-boomer-age engineers with deep knowledge of plant technology will leave the workforce. Some project teams once had a short-term perspective when it came to initial purchased price versus total installed cost. Those teams primarily cared about meeting the schedule, passing inspections, and coming in at/or under budget. Their focus during the procurement process was on getting bids that helped them stay under budget, and consequently, an innovation that paid off later in the lifecycle got little attention, and could even be viewed negatively, if it had a higher first cost. However, supplier execution capabilities are increasingly important in the selection criteria. EPCs are less concerned about lifecycle costs than past costs incurred on projects due to poor vendor performance. In the current environment, most EPCs seek to choose plant automation technologies providing the best overall business value, which comes from predictable costs, reduced cycle times, low capital expenses, and project risk mitigation. At the same time, compromising safety is not an option.

Honeywells Proven Solution

In the 1970s, Honeywell helped pioneer the Distributed Control System (DCS), which revolutionized plant-wide operations, performance and asset utilization in large process industry operations. Three decades later, Honeywell has led another breakthrough in industrial automation with Experion PKS (Process Knowledge System), the first enterprise-wide solution designed to unify people with process, business requirements and asset management. Experion PKS is an innovative automation solution that captures the knowledge of plant personnel and their workflows to deliver sustainable efficiencies to industrial organizations. It is designed to merge traditionally disparate functions and systems across the manufacturing enterprise. This union streamlines information flow to the right place, at the right time by the right people. It also eases configuration, visualization, maintenance and optimization of processes and critical plant equipment, enabling organizations to address key market drivers such as productivity, innovation, globalization and sustainability. Honeywells latest Experion release, Experion PKS Orion, offers advantages that help EPC firms improve the operational and business performance delivered to customers. This includes unique capabilities holistically designed and embedded into the system to reduce cost and risk to projects, keep automation systems off the critical path, and align supplier schedule with overall project schedule

Experion PKS Reduces Cost, Risk and Schedule during Project Implementation

Honeywells Experion PKS Orion solution helps EPC firms improve operational and business performance.

Experion PKS Orion supports flexible and efficient project execution, as well as greater options and agility in management of change throughout the system lifecycle. For example, it leverages an innovative Universal I/O solution to accommodate design refinements well into construction activities. All process and safety I/O are certified for Class I, Division 2 locations and ATEX Zone 2. Tight integration with instrumentation design packages allows data to flow seamlessly during configuration. Experion also offers a complete virtualization solution driving improvements in cost and schedule for development and testing, and a best-in-class OPC capability via solutions Powered by Matrikon for easier and low-risk integration of third-party packages. Other important features of Experion PKS Orion include integrated safety, security, supervisory control and data acquisition (SCADA) and electrical controls, as well as new high-availability architecture options.

Greater Design Flexibility

Experion PKS Orion was developed from the ground up to provide options at every stage of the plant and system lifecycle. This includes greater flexibility during the system design phase by incorporating all industry standard protocols, including smart fieldbuses; OPC; TCP/IP; wireless; and fully integrated SCADA, including DNP3 and IEC 61850. Experions ASM graphics can be designed once and deployed on multiple types of operator stations without reengineering of any kinddepending on whether the user requires critical local plant control or remote access. Honeywells patented Distributed System Architecture (DSA) is an industry unique capability allowing for quick and seamless integration of plant subsystems. Once networks are connected, all data are automatically available to any Human-Machine Interface (HMI) or application. This saves costs by eliminating additional integration engineering. DSA works over most any communication media (i.e., microwave, radio, satellite, or standard networks) and is auto-optimizing. It also supports step-wise planned migration of systems to provide maximum system lifecycle and flexibility. In addition, Honeywell pairs Experion PKS with MatrikonOPC integration products, tools and technical knowledge to dramatically lower project risk. Proven tight integration between MatrikonOPC solutions and Experion provide best-in-class connectivity.

Universal channel technology

Honeywell is the first automation supplier to use Universal Channel Technology for both process and safety I/O, which allows for key modifications after control systems are commissioned and online. This approach drives on-site delivery schedules, since system engineering can be completed without impact from external design dependencies. Universal Channel Technology completely liberates safety I/O, process I/O and control cabinets from channel-type dependency. Universal I/O modules for both control and safety systems enable common design paradigms across an integrated control and safety system (ICSS). Any signal type can be connected to any channel without the need for additional hardware or interfacing modules. It also eliminates the need for custom hardware alignment with different I/O types; cabinets can be standardized, since any standard field signal can be connected to any I/O channel.

Experion PKS Reduces Cost, Risk and Schedule during Project Implementation

Because Universal I/O can accept any signal type (analog, digital, input, or output), late arriving changes in the instrumentation package, as is commonplace in automation projects, can easily be accommodated through software configuration versus having to change out the hardware. With Universal I/O for both safety and process, project teams need only worry about I/O count and not I/O mix.

Universal Channel Technology provides flexibility to manage change over the automation lifecycle.

The Universal Channel approach not only reduces or eliminates the need for marshalling, but most importantly, also allows immediate remote configuration. This simplifies engineering and configuration during the design stage of a project, and can save up to 33 percent of the installation costs. Late configuration changes can be done through remote access (rather than having someone manipulating hardware in the field), so they can be handled in minutes rather than days.

Efficient virtual infrastructure

Virtualization is a game changer in the way it addresses todays plant operating challenges, and Honeywell has taken a unique approach to delivering the benefits of this technology for the industrial domain. The companys comprehensive virtualization solution for Experion PKS Orion holds the key to consolidating server environments, standardizing computer platforms and optimizing system management. This, in turn, delivers the flexibility needed to quickly respond to changing business demands. In simple terms, virtualization is intended to emulate the various layers of a typical computing environment. Through a process of abstraction, it removes many of the limitations experienced when dealing directly with these layers. In the context of process control systems, manufacturers require separate servers to support different applications. Virtualization allows a single server to simultaneously run multiple operating systems and applications. It does this while insulating virtual machines (VMs) from t he underlying hardware and also from each other. In an industrial plant setting, virtualization enhances ownership of process control systems through reduced PC hardware requirements, fewer disruptive operating system and hardware changes, easier overall system management, and ensured availability and reliability of critical assets.

Experion PKS Reduces Cost, Risk and Schedule during Project Implementation

Virtualized infrastructure enhances ownership of process control systems.

By applying targeted virtualization technology, plants under construction can minimize upfront installation hardware requirements, which subsequently reduces space and weight. They can also extend design freeze dates, providing valuable time for engineers to make configuration changes. Plus, the technology enables a virtual FAT that avoids or significantly reduces costly travel, staging and labor by validating configurations remotely. With virtualization, the EPC and/or end-user can have secure remote access for early validation of HMI displays, as well as simplified snapshots/rollback, automatic system backup, patch management, cyber security, etc. This capability can result in a 50-70 percent reduction in time and labor (T&L) for these activities and is particularly helpful on large distributed projects, where virtual teams can collaborate and perform tasks more progressively. For existing control systems, virtualization reduces the frequency of hardware refreshresulting in a compounding decrease in the quantity of hardware. It allows hardware to be upgraded or replaced without having to take a node offline, eliminating costly interruptions to process operations. Virtualization even provides facility and utility savings in the areas of space, power, cooling and maintenance.

Virtualization optimizes functional design workflows on a typical automation project.

Integrated documentation tool

Honeywell also optimizes the control system design and configuration process with its Experion SmartPlant Instrumentation (SPI) Adapter tool. This adapter has been developed using SmartPlant Foundation (SPF) client technologies and is certified compliant by Intergraph. The bi-directional interface allows control system tag information to be exchanged between design and configuration databases, thus improving engineering productivity on projects and across the lifecycle of the facility.

Experion PKS Reduces Cost, Risk and Schedule during Project Implementation

An integrated I/O catalog allows designers to complete field hardware designs within SPI and then simply load I/O allocations to Experion. Site modifications for Experion loops can be efficiently published to SPI to complete as-built documentation. As a result, documentation of the Experion system and wiring can be prepared in a faster and more consistent manner.

Improved Operational Readiness

Experion PKS Orion includes a true fully integrated HMI designed to ensure utmost operational readiness at all stages of a plant automation project. The HMI not only provides any operator station with a view to normal control graphics, but is also the window to the entire system with advanced applications, diagnostics and engineering tools. This includes components such as asset management systems, alarm management, SOE, historian, video, wireless, networks, engineering tools, physical security systems and all other advanced applications as provided by Honeywell. All features are available on every console no additional station licensing is required.

Operator effectiveness solutions

Honeywells Experion solution, with the fully integrated UniSim operator training solution (OTS) and Profit Suite advanced control capabilities, makes it possible to have fully qualified operators able to safely drive production from day one as well as handle difficult situations. UniSim OTS is cost-effective to deploy and representative of the target live system, using the same displays and database, and leveraging standard training activities such as speeding up, slow control operations, pausing, rewind, etc. Profit Suite, which keeps throughput and efficiency at the highest possible level, fully integrates into the training system so operators are trained in full context with model-based control and are comfortable with the live system. In addition, Experion provides a well-integrated Procedural Operations capability, which allows plant personnel to turn manual procedures written on paper and stored in a binder into automated or semi-automated procedures. Automated procedures can run in real-time Experion controllers and prompt operators through the same human graphical interface they are accustomed to using for standard operations.

Seamless upgrades and migration

Honeywell has a well-earned reputation for guarding customer investments in its TDC 2000, TDC 3000 and TotalPlant Solution (TPS) systems by providing an easy upgrade path to the latest control system technology. The company also has extensive experience in migrating legacy control and safety systems, no matter who the manufacturer, forward to Experion. The Experion On-Process Migration solution makes it easy to update systems to obtain the latest high-value capabilities, or just move to a new supported hardware platformeven across multiple releaseswithout the need to bring down the plant. End-users who virtualize their systems obtain additional migration workflow benefits and safeguards.

Enhanced Business Performance

Around the world, Honeywell works closely with EPC firms and understands the unique challenges they face. Its project implementation services help ensure process control projects meet expectations and adhere to technical specifications. The company has a proven track record for success with over 3000 major automation projects executed every year. Honeywells extensive domain expertise ranges from refining, oil & gas, power and energy, and life sciences, to pulp, paper, printing, chemicals, metals, minerals and mining. This experience and insight can reduce change orders to less than 10 percent on a typical project. More than 2,700 Honeywell project engineers and designers work worldwide through a globally linked network of more than 50 design centers. Honeywells project services are also supported by a host of industry-leading partners, including Microsoft, VMWare, CISCO, IBM, SAP and UOP. Honeywell reduces EPC schedule risk with proven expertise in delivering large, complex global projects. It provides additional value through an Integrated Main Automation Contractor (I-MAC) strategy, which aligns business and project objectives to target operational and business readiness requirements to achieve flawless project startup and first year operations.

Experion PKS Reduces Cost, Risk and Schedule during Project Implementation

Honeywells engineering and installation services include: Field surveys Analytical and field instrument design and installation Hot cutover Plant-wide process control network design Wireless technology to reduce cost and commissioning time Control room design Hardware architecture design Field design documentation Regulatory and complex loop configuration Safety and F&G system design PLC and SCADA system design Subsystem integration Factory and site testing Commissioning Based on its approach to strategic procurement, Honeywell can lower the EPC total installed costs through: Reduction in EPC engineering requirements for procurement specifications and vendor evaluation through collaborative engineering, producing optimized solutions Reduction of supplier engineering through reuse of these optimized solutions on subsequent projects Reduction/elimination of data-related supplier change orders and rework through integrated work processes and engineering data management Reduction in system acceptance testing and staging costs through collaborative workflows and virtual validation environments Honeywell combines the best practices of leading international companies with its own set of experience-based internal best practices, then augments them with an extensive suite of tools and knowledge databases that enhance productivity, accuracy, and consistency. Improved operational efficiency leads to reduced risk for the EPC as well as limiting change requests. This is facilitated by standardbuilds for everything from cabinets to graphics and databases with extensive use of common tools to limit human error. The ability to deliver project efficiency improvements results in as much as 15 percent overall savings.

Honeywell reduces EPC risk through a proven track record of delivering large, complex global projects.

Experion PKS Reduces Cost, Risk and Schedule during Project Implementation

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Honeywell further reduces EPC execution risk through standardized work process tool alignment and collaborative engineering data management. An integrated team approach reduces EPC schedules where possible with local content and improved customer acceptance. Standardized procedures and tools can also reduce customer handover issues by 20 percent. Honeywells project engineering solution even enables remote access to the control system during the development of a project. T his is a method whereby end-users can maintain project oversight and monitoring of deliverables while the system is still being built, saving EPC firms from expensive T&L costs. With the assistance of Honeywells Global Technical Assistance Center (TAC), industrial operations also gain greater confiden ce in their automation solutions. Global TAC enables plants to avoid revenue loss by providing faster problem resolution, with remote diagnostics to help proactively manage control networks and systems.

Experion is a registered trademark of Honeywell International Inc. Experions ASM is a registered trademark of Honeywell International Inc. UniSim is a trademark of Honeywell International Inc. TotalPlant is a trademark of Honeywell International Inc.

For More Information Learn more about how Honeywells Experion PKS solution can improve project execution, visit our website www.honeywellprocess.comor contact your Honeywell account manager. Honeywell Process Solutions Honeywell 1250 West Sam Houston Parkway South Houston, TX 77042 Honeywell House, Arlington Business Park Bracknell, Berkshire, England RG12 1EB UK Shanghai City Centre, 100 Junyi Road Shanghai, China 20051 www.honeywellprocess.com
WP-12-14-ENG June 2012 2012 Honeywell International Inc.