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Copyright 2013. All rights reserved Increasing Business Value through Technology & Innovation Owner Operator Forum March 21, 2013 Ray Topping, PE Fiatech Director

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Page 1: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

Copyright 2013. All rights reserved

Increasing Business Value through Technology & Innovation

Owner Operator ForumMarch 21, 2013

Ray Topping, PEFiatech Director

Page 2: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

Copyright 2013. All rights reserved

Fiatech

Page 3: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

Copyright 2013. All rights reserved

Fiatech Mission

Fiatech is a global community of passionate stakeholders 

working collaboratively to lead development and adoption of 

technologies and innovative practices to achieve the highest business value 

throughout the life cycle of capital assets. 

Fiatech  Capital Project Technology Roadmap

Page 4: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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Advancing Capital Project Productivity is a Non Trivial Pursuit

During the time period 2000 – 2008, how much did productivity increase in the US Construction Industry?

A. 4.5%

B. 2 % 

C. 0, no change

D. ‐ 3.5%

Source; McKinsey Report  

Page 5: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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Fiatech’s Members are united by a common goal“…….make a step change improvement in 

productivity in the design, procurement, engineering, construction, and maintenance of capital assets.”

Fiatech ‐ Created by Owner Companies

‐ Includes Members and Partners that represent broad range of industry stakeholders.

Page 6: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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Networking, Collaboration

and Partnerships

Projects develop,

demonstrate and deploy

Technology Exchange,

Events, Outreach & Webinars

Awards Program

Recognitions

Delivering Increased Business Value Advancing Technology & Innovative Practices

Page 7: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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Fiatech Delivers – 2012 Outstanding Year of Progress, Technology Leadership and Value

www.fiatech.org

Highlights described in our 2012 Annual Report

•Over 20 member lead projects 

•Emphasis on business value & implementation by our Members  

• Partnered with industry leaders to leverage resources•Annual Conference, Member’s Meeting and Awards Program

•Active Technology Exchange, Webinars,  Industry Outreach Program

•Global Activities including European Advisory Council 

Page 8: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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20 Projects with Deliverables – 2012/ Q1 2013

– Design Projects ‐ 4 Projects, EELCAT, Spec Automation Ph.1, Supplier Exchange, IIP

– Procurement ‐ 4 Projects, EMSA POC, Productivity Improvement Guide, GM Tracking Case Study, PPI Ph. 1

– Construction – 3 Projects incldg. RTFR and RFID Access Control plus Mobile IT COP

– Project Management – 2 Regulatory Streamlining Projects ‐Autocodes POC, and Digital Signatures

– Operations – ALARA virtual work environment, Avatars

– New Materials & Methods – Augmented Reality

– People/Workforce – User Acceptance of Mobile IT

– Information Management – 4 Projects; Interoperability Vision Paper, 2 Projects iRING/ISO15926/JORD, Structural Steel Interoperability, HEED Ph. 1

Page 9: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

Copyright 2013. All rights reserved

• Guideline for Replicable Buildings – cut plan review time by 80%, TARGET saved over $20M in calendar year 2011

• ePlan Review – goal: cut permit application time by 60%, can save industry $15 billion/year

• Automated Code Checking (Autocodes) – goal: reduce plan review time from months to minutes, cut review time by 80%

Regulatory Streamlining Initiative –A Step Change Improvement in the Review Process

Lead Fiatech Members

Page 10: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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– Specific Automation: – increase productivity and advance interoperability to computer aided design (CAD), building information modeling (BIM)

– Supplier Information Exchange with Design to Support Construction - Standardization of deliverables improves repeatability and productivity to meet design intent.

– Common Design Workflow Checklist, Workflow Mapping Of Engineering Deliverables To Construction – enhance the work processes of Design and the integration with construction

Driving Increased Business Value through Design and Interoperability

Page 11: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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Leadership for Advancing Interoperability• Advancing Interoperability Vision Paper, with Calls to Action • JORD Project and iRING – advancing data interoperability with

PCA • Structural Steel Interoperability for the Building and Process

Plant Industries – with AISC and bSa, led by Chuck Eastman, GA Tech

• HEED Project – data exchange for engineered equipment• Oil & Gas Data Project – demonstration project with MIMOSA• ISO 15926 Project Information Flow- 2nd year, piping data

exchanges from design to construction• IIP Project – with iRING Community, ISO 15926 data mapping• Information Management across roadmap with increased focus on

procurement and operations

Page 12: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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Information Management Data Exchange

How much did a major chemical supplier save in one year by using the ISO 15926 (like BIM) data standard for consistency checking across internal engineering instrument tools?

A.$1M

B. $8.4M

C. $11.3M

D.$28M

Page 13: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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• CII studies have shown that materials and installed equipment can comprise 50-60% of a project’s total cost and control 80% of its schedule (Ibn-Homaid 2002)

• The construction industry only invests 0.15% of its costs in materials management and control, (Marsh,1985),versus 1% for the manufacturing industry (Formoso and Revelo 1999).

Procurement & Materials ManagementOpportunities

CII sources: IR7‐3, EM7‐21, EM7‐21A, RS7‐2, RS7‐1, SD‐92, IR 166_3_v2

Page 14: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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Procurement, Materials Management• Enable substantial materials management productivity improvement through end-to-end

increase in visibility, predictability, accountability, traceability & control

Projects•Automating Equipment Information Exchange (AEX)•Global Valve Cross‐Reference e‐Catalog (GVCC)•RFID Valve Tagging Case Study•RFID for Materials Management & Productivity Improvement•Materials Management Productivity Improvement Guide•Global Materials Tracking Case Study•Next Generation Project Performance Predicting•Life Cycle Materials Risk Mitigation•Expediting Equipment & Material Selection and Acquisition (EMSA)

Page 15: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

Copyright 2013. All rights reserved

Our Vision: A committed, integrated team skilled in working withadvanced, user‐friendly technologies at that enabling high levels of quality and productivity through the life‐cycle of capital projects.

Technology Enabled Workforce

• 3D ALARA Planning Tool – step change productivity advancement for hazardous environments; huge potential for operations training

• Augmented Reality Project• Best practices recruitment of people in technology‐related fields• Attracting the Next Generation • Developing Core Technology Competencies • Leveraging Technology to Improve Construction Productivity • User Acceptance of Mobile IT Report• Introduction to ISO 15926 Report and Training• Training Course for Implementing Regulatory Streamlining

Page 16: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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Our Vision for Intelligent & Automated Construction Sites

The  construction process and project site are re‐engineered to make use of emerging information and automation technologies to 

• minimize capital facility delivery costs, • expedite facility delivery time, • improve delivered quality, • eliminate re-work, and • minimize lifecycle costs.

“…data from megaprojects shows that 65 percent …failed to meet business objectives.”

paraphrased  ‐ …70% of Energy projects have not met budget and 85% have not met schedule

Page 17: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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Intelligent and Automated Construction Sites

and Integrated Handover/ Turnover/CommissioningConstruction•Real Time Field Reporting Using Smart Devices – Enhance Construction Productivity and increase effectiveness of Design Coordination•Mobile IT Community of Interest – sharing of advancing practices by our members and our partner COMIT for automating Field Services•RFID Access Control Systems International Case Studies – Global Review of Emerging High Value Practices•User Acceptance of Mobile IT – Assessment of Best Practices for increasing the Use and Benefit for Mobile IT Devices•Real-Time Field Reporting Using Smart Devices – Review of Emerging High Value PracticesHandover/ Commissioning•General Buildings Information Handover Guide•Capital Facilities Information Handover Guide

Page 18: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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Focus Areas of Project Activity for 2013

• Interoperability including Handover and Facilities Management

• Mobile Field Devices and Automation for Construction Site

• Regulatory Streamlining including AutoCodes• Procurement/ Materials Management• Project Management Information Systems• Workforce• Technology Advances including Augmented

Reality and Avatars• New Materials & Method

AutoCodes

Page 19: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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Networking, Collaboration and Partnerships

Peter Blake, Hatch – “Through discussion with an expert that we only have access to through Fiatech, we were able to save over $250,000 on one project.”

Major EPC firm – Fiatech’s member driven project approach gains us access to experts we would not normally have available and leverages our development investment at least 10 to 1.

The Mobile IT Community of Interest in partnership with COMIT is sharing advanced practices for field automation, delivering productivity improvements for our construction practices. – Fiatech Member

Page 20: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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The White House, Office of Science and Technology (OSTP) Grand Challenge

“Bring innovation and technology into engineering & construction to stimulate economic recovery and sustainability, public safety and disaster resiliency.”

Page 21: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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• Portfolio of Member Led Projects

• Networking & Collaboration

• Technology Exchange

• Awards & Recognitions

SummaryDriving Productivity Improvement and Business Value

http://fiatech.org/

Page 22: Increasing Business Value through Technology & Innovation...Title: TITLE GOES HERE TWO LINES LONG Author: SEAN CARNEGIE Created Date: 4/13/2013 7:59:08 PM

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Join Us! March 25-27