advanced automation strategies for combined cycle plants...adherence to manual procedures is costly...

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Advanced Automation Strategies for Combined Cycle Plants James Nyenhuis Performance Consultant Emerson Process Management Power & Water Solutions

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  • Advanced Automation Strategies for Combined Cycle Plants

    James Nyenhuis Performance Consultant

    Emerson Process Management Power & Water Solutions

  • Advanced Automation Strategies for Combined Cycle Plants James Nyenhuis July, 2016

  • [File Name or Event] • Emerson Confidential • 7/22/2016 • Slide 2

    Historic Combined Cycle Capacity Factors (%)

    • Source Velocity Suite data for CC Prime Movers from 2004 – 2014

    • Value shown is average capacity factor of all units reporting in each NERC region

    2004 - 2014

    http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRw&url=http://www.epa.gov/cleanenergy/energy-resources/egrid/&ei=NDigVaqwPM-4oQTugaOABw&bvm=bv.97653015,d.cGU&psig=AFQjCNFirJrfpeH9PoTOIH1tjp5C85WYig&ust=1436649904179972

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 3

    SPP Supply Curve

    $17/MWh $29/MWh

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 4

    SPP Supply Curve @ $4.00 mmBtu/Gas

    COAL CC

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 5

    Continuing Impacts of Renewables and Infrastructure Congestion charges at a node depress the price at that node indicating too much generation at that point Cycling off at night may lead to a large economic benefit -$60/MWh

    $0/MWh

    -$20/MWh

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 6

    How Better Automation Can Help • More consistent starts • Reduced fuel use on starts • Increased ramp rates • Duct burners coordinating with ancillary service • Reduced reagent use in NOx control • Better operator oversight of automation activities

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 7

    Determining Optimal Load Paths

    Plants Startup Path

    Startup Complete

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 8

    CC Startup Fuel Variability

    X

    5X

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 9

    Leveraging the Full Asset Capability

    X

    1.5X

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 10

    CT/HRSG Block Startup Fuel Usage vs. HP Drum Pressure

    X

    5X

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 11

    Adherence to Manual Procedures is Costly and Inefficient

    o 7FA.03 Turbine at ~100 MW is using around 20 mmBtu per minute o If an operator spends 5 minutes getting the necessary procedure signed off

    prior to proceeding on with a startup he has just wasted 100 mmBtu of fuel which equates to around $460 at current gas prices.

    100 mm/Btu $460 5 minutes

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 12

    TASK Determination

    First step in implementing the sequence logic is determining what parts of the plant procedures are independent operational TASKS

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 13

    STEP Determination

    Second step in implementing the sequence logic is to determining what the necessary STEPs are associated with each independent TASK

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 14

    ACTION Determination

    The third step in implementing the sequence logic is determining what device level interfaces are needed and turning them into ACTIONs

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 15

    Full Automation Arrangement

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 16

    Optimized CC Plant Operation Implemented Using Sequence Flow Charts (SFC)

    • Simple flow chart based programming

    • Removes operator variability for an optimal start every time

    • Powerful building blocks for unit single pushbutton start

    • Powerful visual sequence definition and HMI capability

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 17

    CC Optimization - Hot Start Fuel Reduction Results

    0%

    10%

    20%

    30%

    40%

    50%

    60%

    70%

    80%

    90%

    100%

    Baseline Host Start Fuel Usage Run 1 Run 2

    100%

    55% 48%

    52%

    Run 1 – Optimized startup and Seq on

    ½ of units

    Savings of $8500 per Hot Start

    Run 2 – Optimized startup and Seq refined

    on ½ of units

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 18

    Poor Bypass Control Strategies Can Increase Startup Costs and Timelines

    By-pass Control Challenges

    What did that 80KPPH of steam you just bypassed really cost and

    why did we need it?

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 19

    Model-based Steam Temperature • DMC – Dynamic

    Matrix controller • No complex PID

    cascade control • Fuel flow and other

    disturbances accounted for

    • Saturation protection built-in

    Saturation protection

    From HRSG

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 20

    Ovation Model-based Steam Temperature Control

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 21

    Model Based Steam Temperature Control Comparison

    Model Based

    Load Profile

    Benefits • Better control linearization • Actual spray valve coefficient (Cv)

    versus stroke relationship – establish installed characteristic

    • Correction for valve differential pressure change – ideal for changing steam header pressure with load ramps ‐ especially important with duct burner firing

    • Install baseline statistics to provide data on spray valve or nozzle degradation over time

    PID Control

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 22

    Smart CC Unit Load Control Diagram

    Model captures GT to ST

    firing dynamics

    Model captures DB to ST

    firing dynamics

  • [File Name or Event] • Emerson Confidential • 7/22/2016 • Slide 23

    APC Applications for Pump Protection & Best Efficiency Operation

    • Thermal cavitation - minimum flow (Recirc Valves) • High flow cavitation (Run-out) • Net positive suction head (NPSH)

    Minimum flow

    Run-out Flow

    Best efficiency

  • [File Name or Event] • Emerson Confidential • 7/22/2016 • Slide 24

    BFP

    FLOW

    RECIRCFLOW

    FIC

    FE

    A

    RECIRC FLOW + HEADER FLOW = SUCTION FLOW

    TANK

    SUCTION FLOW

    Σ

    MINIMUM FLOWCONTROLLER

    HEADER

    Advanced Applications for Pump Protection - Minimum Flow Recirculation

    • Thermal cavitation during low flow conditions

    • Interaction with Drum level control a problem

    • Regular operator intervention at low loads leads to loss of revenue

    • Ideal candidate for Rule-based control

  • [File Name or Event] • Emerson Confidential • 7/22/2016 • Slide 25

    Advanced Applications for Pump Protection – Minimum Flow Recirculation

    MEMBERSHIP FUNCTIONS

    INTEGRATOR

    FUZZY SIGNAL

    FUZZY SIGNAL

  • [File Name or Event] • Emerson Confidential • 7/22/2016 • Slide 26

    Advanced Applications for Pump Protection – Net Positive Suction Head

    Actual NPSH calculation

    Ovation Steam Tables

  • [File Name or Event] • Emerson Confidential • 7/22/2016 • Slide 27

    What does the future hold? • Plants indicate they are having a hard time finding experienced resources

    • Industry is getting more complicated in terms of unit operations and dispatch

    • Industry needs advancing technology while making it simpler to engage with

    PAST PRESENT FUTURE

    EXPE

    RIE

    NC

    E O

    VER

    ALL

    C

    OM

    PLEX

    ITY

  • Kansas City Tech Seminar • Emerson Confidential • 5/18/2016 • Slide 28

    Questions?

  • New Generation Boiler Drum Water Level Instruments for

    Improved Boiler Safety

    John Michael Harris Consultant

    R-Levels Power Partner LLC

    Jackie Liu Director

    R-Levels Power Partner LLC

  • Maintaining Reliability in Low Margin Markets

    Anthony “Tony” Carrino Manager, Power Studies

    Solomon Associates

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 1

    Maintaining Reliability in Low Margin Markets

    RMEL Plant Management Conference

    July 26-27, 2016 El Paso, Texas

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 2

    Confidentiality Statement

    This presentation is confidential and intended for the sole use of the client to whom it is addressed. The information and methodologies outlined herein are proprietary and their expression in this document is copyrighted, with all rights reserved to HSB Solomon Associates LLC (Solomon). Copying or distributing this material without permission is strictly prohibited.

    M³ – Measure. Manage. Maximize.®, Comparative Performance Analysis™, CPA™, Performance Excellence Process™, Q1 Day 1™, EDC®, EGC®, EII®, CEI™, CWB™, Solomon Profile® II, and others are registered and proprietary trademarks of Solomon. The absence of any indication as such does not constitute a waiver of any and all intellectual property rights that Solomon has established.

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 3

    “A pessimist sees the difficulty in every opportunity; an optimist sees the opportunity in every difficulty.”

    ~ Sir Winston Churchill

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 4

    Today, your Hindsight weakens your Foresight

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 5

    “What the human being is best at doing, is interpreting all new information

    so that their prior conclusions remain intact.”

    ~ Warren Buffett

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 6

    Your Business Strategy Can Take Two Paths

    Cost Focus

    Reliability Focus

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 7

    And RELIABILITY is not a cost; it’s an investment

    While inappropriate

    COST CONTROL can starve REVENUE CAPTURE

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 8

    LEADERS LEADERS LEADERS

    Serve Are Consistent Adapt

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 9

    Unplanned Events Create Unreliability

    What is your definition of Reliability?

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 10

    UNPLANNED EVENTS ARE ABNORMAL?

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 11

    Do You…

    look for abnormal or do you let abnormal become normal

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 12

    If you see something ……. what do you do?

    Ignore it?

    Explain it away?

    Hope it gets better?

    Investigate it!

    Challenge it!

    Resolve it!

    OR

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 13

    Do You…

    use data to prevent or data to serve you to practice your CSI skills

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 14

    Pricing 2008 SPPN – Peak and Off-Peak

    0

    20

    40

    60

    80

    100

    120

    1401-

    Jan

    1-Fe

    b

    1-M

    ar

    1-Ap

    r

    1-M

    ay

    1-Ju

    n

    1-Ju

    l

    1-Au

    g

    1-Se

    p

    1-O

    ct

    1-N

    ov

    1-D

    ec

    USD

    /MW

    h

    Above the dashed line, ‘cost of unreliability’ or ‘lost revenue’

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 15

    “The great obstacle to discovering the shape of the earth, the continents, and

    oceans was not ignorance but the illusion of knowledge.”

    ~ Daniel Boorstin, former Librarian of Congress

    Knowledge Inhibits Learning

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 16

    Pricing 2014 SPP – Peak and Off-Peak

    0

    20

    40

    60

    80

    100

    120

    1401-

    Jan

    1-Fe

    b

    1-M

    ar

    1-Ap

    r

    1-M

    ay

    1-Ju

    n

    1-Ju

    l

    1-Au

    g

    1-Se

    p

    1-O

    ct

    1-N

    ov

    1-D

    ec

    USD

    /MW

    h

    SPP Day 2 Market

    Below the dashed line, ‘cost of inflex ibility’

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 17

    RELIABILITY make this your definition of

    Constantly and consistently meet your commitments

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 18

    Only One Culture…

    Maintenance Spending Maintenance costs are driven by reliability…or the lack thereof

    Reliability Cannot cost-cut your way to

    improved reliability

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 19

    … Risk-adjusted Reliability

    The traditional approach just doesn’t work Cutting down maintenance expense is not the answer.

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 20

    Change your Mindset

    Think RELIABILITY

    First

    TO DRIVE PROFIT

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 21

    Unplanned Lost Revenue Analysis Coal Fleet

    Total LRO, US $k 120,811

    (2,498,115 MWh)

    Balance of Plant 23%

    (26%)

    External 1%

    (1%)

    Turb/Gen 5%

    (5%)

    Boiler 71%

    (67%)

    Fuel Delivery

    4% (4%)

    Cooling Water 1%

    (1%)

    Pulverizer 3%

    (3%)

    Precipitator 0%

    (0%)

    Wet Gas Scrubber

    1% (1%)

    Dry Gas Scrubber

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 22

    “Leadership is the art of accomplishing more than the science of management

    says is possible.”

    ~ Colin Powell

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 23

    Difference Between Leadership and Management

    Science (Management) constant, measured, predictable, known, impact the same

    Art (Leadership) engagement, requires an artist, no one way, adaptation, always changing, impact varies

    You have to apply both!

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 24

    "People don't resist change. They resist being changed!" ~ Peter Senge

    “Rough waters are truer tests of leadership. In calm water every ship has a good captain.” ~ Swedish proverb

    “You can only lead others where you yourself are willing to go.” ~ Lachlan McLean

    Times are changing…

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 25

    “A leader is one who sees more than others see, who sees farther than others see, and who sees before others see.” ~ Leroy Eime

    "When you communicate openly, candidly, and transparently, then everyone is on the same sheet of paper and everyone can be part of the potential solution when tough

    times surface.“ ~Vlad Zachary, The Excellence Habit

    Leaders communicate – 2 way

    "The art of communication is the language of leadership."

    ~ James Hume

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 26

    Change the Way You Communicate

    • Unplanned events are abnormal

    • Know the changing conditions and competition

    • Describe the changes in business to your team

    • Explain the challenges and gaps with data

    • Proactive – We need to do something about these

    • Only reward proactive behavior

    • Celebrate accomplishing what you need to do

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 27

    Framing the Commercial Problem In 2008, your total household income was 100,000. You took a vacation, maybe got a new car, went out to eat weekly. In 2015, your household income is 20,000. Income is now 20% of what it was. Do you maintain the same lifestyle?

    Electric margins are less than 20% of what they were. Do you maintain the same budget?

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 28

    Optimum Maintenance Spending Research for a Specific Coal Peer Group

    Cost

    , U

    SD/M

    Wh

    *Assuming no “ACQS install projects”

    50 60 70 80 90 100

    14

    Averaged EAF*, %

    0

    2

    4

    6

    8

    10

    12

    Total Maintenance

    Cost

    LRO

    Total Cost

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 29

    Optimum Maintenance Spending Research for a Specific Coal Peer Group

    Cost

    , U

    SD/M

    Wh

    *Assuming no “ACQS install projects”

    50 60 70 80 90 100

    14

    Averaged EAF*, %

    0

    2

    4

    6

    8

    10

    12

    LRO’

    LRO

    Total Cost’

    Total Cost

    Total Maintenance

    Cost

    Total Maintenance Cost’

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 30

    Two Control Knobs Create Reliability

    Organization, Behaviors,

    and Practices (Culture)

    Targeted Spending

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 31

    Value of a Dollar Is every Dollar you spend “equal”? Consider the benefits of a…

    “C M D ” • value is ___________________

    “P (h -b ) M D ” • value is ___________________

    “P (c l ) M D ” • value is _________________ (________ years)

    “M P D ” • value is _________________ (________ years) and g_______ r________!

    “E H D D ” • c and r i without s_______ t___ u_____ d____

    What is the longevity of a Dollar spent on O or M S T or on S T ?

    Changing strategies have to apply this logic!

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 32

    But My Plant is Different!

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 33

    Equivalent Generation Complexity Cost Drivers Considered in EGC Spending Normalization

    Technology

    Size

    Age

    Equipment Installed

    Configuration Factors

    (what you have)

    Heating Value

    Charac- teristics

    Fuel Factors (what you put

    through it) Number of Starts

    Service Hours

    Production Levels

    Net Output Factor

    Net Capacity Factor

    Utilization Factors (how you run it)

    EGC

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 34

    Equivalent Generation Complexity Example Generating Units Shown

    0

    1

    2

    3

    0 25 50 75 100

    Tota

    l Cas

    h le

    ss F

    uel,

    Emis

    sion

    s/E

    GC

    Percent of Units in Study

    Over Spending

    Under Spending

    Pacesetter

    350 MW Coal 200 MW CCGT

    175 MW Cogen

    425 MW PRB

    225 MW Lignite

    EFOR Volatility

    EGC allows evaluation of spending relationship to performance…

    … to evaluate “right” level of spending for a given asset…

    … to determine if wasting resources, maintaining investment in asset or using up value

    We’ve seen these curves changing the last few years!

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 35

    Unplanned Lost Revenue Cause Codes Coal

    Cause Code

    # Events

    Total LRO, US $k

    # Plants

    # Units

    1000

    35

    31,095

    4

    10

    Water Wall Leaks

    3620

    4

    11,931

    1

    2

    Main Transformer

    1060

    10

    8,669

    5

    4

    First RH Leaks

    1040

    3

    5,734

    2

    2

    First SH Leaks

    1090

    61

    3,983

    3

    6

    Other B T Leaks

    1070

    3

    3,530

    2

    3

    Second RH Leaks

    1455

    28

    3,434

    3

    7

    ID Fans

    0

    30

    35

    LRO

    , U

    SD M

    5

    10

    15

    20

    25

    This information can be used regularly for Capital Spending prioritization…

    or

    for lower-cost program, procedure, or training adjustments

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 36

    Asset Management

    >> >>

    >>

    >>

    >>

    Relating to allocation of financial & human resources,

    While understanding constraints,

    Making business decisions,

    To achieve desired performance objectives,

    While addressing acceptable risk,

    Which determine

    Asset Management is:

    Business Success

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 37

    Example of Cost/Reliability Trade-Off

    Solomon Associates Comparative Performance Analysis

    Coal Units >549 MW Two-Year

    Average EFOR Lowest Quartile

    Coal Units >549 MW Two-Year

    Average EFOR Second Quartile

    Coal Units >549 MW Two-Year

    Average EFOR Third

    Quartile

    Coal Units >549 MW Two-Year

    Average EFOR Highest Quartile

    Utilization and Age

    2 Year Net Capacity Factor (NCF), % 77.0 79.0 75.3 67.1

    Unit Age, years 28.0 27.1 31.3 32.2

    Key Performance Indicators (KPIs)

    Commercial Unavailability, % 5.91 8.90 12.90 25.61

    Unplanned Commercial Unavailability, % 3.16 4.15 6.66 14.91

    2 Year Equivalent Forced Outage Rate (EFOR), % 3.0 5.1 6.9 13.4

    2 Year Equivalent Unavailability Factor (EUF), % 10.8 11.3 16.5 24.6

    Total Cash less Fuel & Emission, US $/kEGC 1.08 0.95 1.01 1.12

    Plant-Manageable Expenditures, US $/MWh 5.42 4.44 5.27 6.70

    Maintenance Index, US $/MWh 3.66 2.98 3.56 4.09

    Total Effective Personnel per 100 MW 25.9 23.4 28.2 27.2

    Current Year Equivalent Unplanned Factor (EUOF), % 5.0 5.3 8.1 16.2

    2 Year Non-Overhaul Index, US $/MWh 2.88 2.10 2.43 2.93

    Overhaul Index, US $/MWh 0.78 0.88 1.12 1.16

    Memo: Major Overhaul Project Index, US $/MWh 0.45 0.54 0.41 0.62

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 38

    Did our ‘market mission’ change? Are we still ‘high availability, base load’? or ‘load-following’? ‘ancillary services provider’? ‘5 x 16’? ‘2 x 4’? ‘low-cost producer’?

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 39

    Have we changed?

    VP of Asset Management

    Plant Manager

    Corporate

    Engineer Maintenance Technician

    Commercial Operations Technician

    H,S,&E Professional

    Chief Risk Officer Planner

    Chemist

    CFO

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

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    Asset Management & Optimization Summary

    Communicate metrics across technical, commercial, and financial KPIs, and across stakeholder groups

    Collect, monitor data to drive business decision-making

    Review and revise key “Market Mission” for each asset, given the new competition, new market conditions

    Choose KPIs that represent “Market Mission” success

    To optimize an asset or group of assets:

    1 2 3 4

    Data is Objective, look for new ways to use data, it provides better business decisions.

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

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    Asset Management & Optimization Summary

    5 6 7

    Watch changing constraints; avoid “narrow focus” metrics

    Understand the trade-offs, select secondary performance indicators that are controllable and contribute to success

    Make informed decisions using detailed, quality data

    To optimize an asset or group of assets:

    Quality Data is cheaper than ‘open and inspect’, it helps you steer your business.

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 42

    To fill in the blanks, to answer questions w ith data, and to find your next best opportunities, contact:

    One Lincoln Centre Suite 1400 5400 LBJ Freeway Dallas, Texas 75240

    Ed Platt Vice President Power Generation Phone: 972-739-1757 Fax: 972-726-9999 Email: [email protected]

    Tony Carrino Manager – Power Studies Phone: 972-739-1725 Fax: 972-726-9999 Email: [email protected]

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 43

    Enhanced Data-Based Performance Analysis

    We identify the changing trends as many companies repeat participation study after study.

    We show clients where their operations stand compared to the spectrum of their competition.

    Our data is proprietary, not pulled from inconsistent, publically available sources.

    Comparative Performance Analysis Provides “apples to apples” comparisons – permits you to truly identify the areas where your facilities could improve.

  • Proprietary and Confidential © 2016 HSB Solomon Associates LLC

    www.SolomonOnline.com 44

    Pursuit of Excellence™ Solomon, the leading performance improvement company for the global energy industry, helps clients pursue operational excellence by increasing efficiency, reliability, and profitability, providing benchmarking and advisory solutions.™

  • Engineering Resources/Workforce Management Panel

    PNM’s Rotational Engineering

    Program

    Aubrey Johnson VP, New Mexico Operations

    PNM Resources

  • PNM Entry Level Rotational Engineer Program

    JULY 27, 2016

  • SLIDE 2

    OBJECTIVES OF OUR PROGRAM

    • Support • Workforce Development initiatives

    • Attract & Stimulate • Providing broad exposure within PNM

    • Development • Fast-track development of workforce

    • Acclimate • Into a diverse & dynamic work environment

  • SLIDE 3

    PROGRAM DESIGN

    • Program started in January 2014 • Each rotation typically 6 months • Participants are in the program for 2 years • Program capacity is 4 to 8 participants • Engineers report out to VP and COO at end of

    each rotation to ensure continued program quality

  • SLIDE 4

    PROGRAM ADMINISTRATION

    • Participants report to Director, Business Operations during program participation

    • Informal Mentor of Mentors • Growth opportunity for the mentors too

    • Assignment of Mentor for each participant • Mentor supports participant for duration of 2-year

    program • Included in all performance reviews • Primary goal is to help ensure success of participant

  • SLIDE 5

    PROGRAM DESIGN

    • Recruitment focuses on: • PNM’s future technical needs • Recent graduates from regional universities (NM and

    surrounding states) • Electrical, civil and mechanical engineers

    • Rotations and end of program assignments are a balance of business need and participant preference

  • SLIDE 6

    ROTATIONS

    • Areas of Rotation: • System Engineering • Project Management • Protection & Controls • Distribution Planning • Transmission Planning • System Operations • New Service Delivery • Gas Generation • Customer Owned Renewables

  • SLIDE 7

    INTERVIEW PROCESS IS VERY IMPORTANT

    • Resumes screened & short-listed (generally 12 – 16 selected for interviews)

    • Graduated within prior 12 months or in upcoming graduation

    • Regional ties (family, residence, school, etc.) • Electrical, Civil or Mechanical Engineer

    • Friday night Meet & Greet • Saturday morning speed- interviews • Offers generally made Monday or Tuesday

  • SLIDE 8

    2 ½ YEARS LATER…

    • Program has been very successful • Successfully graduated and placed 4 participants • Widespread ownership of and interest in program

    across many departments • Expansion of rotations into other departments and

    development of program at TNMP

  • SLIDE 9

    PROGRAM BENEFITS

    • Supports PNM Workforce Development • Proactive recruiting of engineers • Provides mentorship and knowledge transfer

    opportunities

    • Provides leadership development for mentors • Participants are well-rounded and acclimated to

    PNM before permanently placed

  • SLIDE 10

    QUESTIONS AND DISCUSSION

  • Engineering Resources/Workforce Management Panel

    Training Entry Level Engineers for

    a Career in Fossil Generation

    Brent Gifford Manager, Major Project and New Generation

    Arizona Public Service

  • Training Entry Level Engineers for a Career in Fossil Generation

    The New Engineer in Operations (NEO) Program

    J. Brent Gifford, PE, PMPJuly 27, 2016

  • Agenda

    • Program objectives• Program outline• What the NEO’s have to say• Lessons learned

    2

  • Program Objectives

    • Better engineers– first hand operations knowledge

    • Better operators– elevated technical skills

    3

  • Program Outline

    Months What Assessment Salary

    3 CHQ None Engineer I

    6 Shadow auxiliary operator Systems presentation Engineer I

    6 Shadow control room operator Online + 3%

    6 Shadow shift supervisor (SS) Verbal/situational + 4%

    12 SS Traditional Front line leader (SS)

    Stay in Ops as an SS

    Come to engineering

    Front line leader (SS)

    Engineer II

    4

  • Lessons Learned

    • Recruiting• Educating the crews• Educating the NEO to be part of a crew

    6

  • Questions

    Brent [email protected]

    602-320-4037 clinkedin.com/in/brentgifford