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Achieving Breakthrough Performance with New Processes

and Technologies
July 11-12, 2013 - NOVOTALL Hotel , Hyderabad, India
www.bharatpetroleum.com

Achieving Excellence in Refinery Operations


Business Performance Management & Intelligence (BPMAI) System
BPCL Success Story

Presentation By:
Mr. M.D. Agrawal
General Manager (IS Mumbai Refinery),
BPCL, India

According to Drucker, we are data literate. Few of us are


information literate
We need to be not inwardly focused but outwardly focused.
The organization of the future is held together by
information. You need to ask yourself what information do
I need to do my job, from whom can I get it and in what
form?
2

Drucker even went so far as to say that not only have computers failed to
impart information, they have damaged it! Data clouds issues, it does not
necessarily inform them. It also makes us inwardly not outwardly focused

He joked that since the invention of the computer in the 1950s,


businesspeople have wanted computers, they just didnt know why. To
this day, he said, computers have not had the impact we thought they
would

IF YOU CANT MEASURE IT, YOU CANT MANAGE


IT
- MANAGEMENT GURU PETER DRUCKER

Transforming Data to Decisions

Our Company Profile


Integrated Petroleum Refining and Marketing Company.
Sales Volume
31.14 MMT

Fortune 500

BPCL Ranks 225

Refining

13.35 MMTPA
at Mumbai

Group Share in
Refining
15 %

9.5 MMTPA
at Kochi
3 MMTPA
62.96% holding

Major JVs
Marketing Infrastructure
Bharat Oman Refineries Ltd
Indraprastha Gas Ltd
Petronet LNG Ltd
Petronet CCK Ltd
Bharat Renewal Energy Ltd
Petronet India Ltd
Central UP Gas Ltd
Maharashtra Natural Gas Ltd
Sabarmati Gas Ltd

Retail Outlets
Oil Installations / Depots
Aviation stations
LPG Plants
Pipelines (Kms)

9289
126
31
49
3000

Group Share in
Marketing
22.49 %
13837
Strong workforce

ISO 9001, 14001, 17025 & OHSAS 18001 Certified Refinery

Downstream Industry Challenges


Lack of predictability
Cant see business performance
to plan, and recommend new
plans to affect results

Demand
Varying process
conditions lead to
Higher energy
use

Board

Production Processes
Shared Information

Fluctuation in Crude
Prices & also to
Maintain Margins

Marketing

Supply Chain
Shipping & Purchases.

S&B

Process Optimization

Optimization Group

REFINERY

REFINERY

CUSTOMER

Dynamic Market
Demand

Product Variability
- Inconsistent quality: by
plant, by product, by shift

REFINERY

Customer
Service
Dispatches

NEW CUSTOMER

No visibility Cant see


plant wide production status
due to 10 - 200 disparate
shop floor info systems

SPOT MARKET
CUSTOMER

Tightening regulations on
petroleum product
specifications

Inflexible production
process contributes to

Missed
Opportunity

ISO 9001, 14001, 17025 & OHSAS 18001 Certified Refinery

Refinery Performance
Measurement
Key Refinery Performance Measures
Crude Throughput
Distillate Yield
Safety
Gross Refinery Margin
Operating cost
Fuel and Loss
Specific Energy Consumption
Training Mandays
Quality Initiatives Process improvement Six sigma
Measurement Frequency Hourly, Daily, Monthly, Quarterly & Yearly

IT Vision for Business

IT Synergy with Business Goals , Process centric IT

Empowerment of users with IT

Knowledge based operation of all units of Business

Real time Data Availability and Performance monitoring

Commitment to Safety / Environment / Society

State of Art Process Automation Software like ERP, MES, RCM

Unified and Integrated view of Diversified processes and systems

Measurement and analysis through decision support system

Adoption of latest Technology for optimization

Practice Best Practice IT governance framework

Build In house Skills, Focus on Project Management and Project


oriented Delivery

Promote Creativity and innovation

Periodic Feedback and strive for continuous improvements

BPCL Refinery Products


LPG

FUEL GAS

NEW
SOLVENT
UNIT
C
R
U
D
E

CRUDE OIL

D
I
S
T
I
L
L
A
T
I
O
N

HEXANE
SBP

TOLUENE

REFORMING

AROMATICS
BENZENE
ATF
KEROSENE

GAS OIL

DIESEL

CRAKING
GASOLINE

FURNACE OIL / LSHS

BITUMEN
BLOWING

BITUMEN

BPCL
Refinery
: Data
& Processes
Map
BPCL Refinery
Broad
Process
&
Linkages : Landscape
Planning

Sales& Distribution

Supply &
Distribution

Finance/Accounts
Plan

Refinery-Wide
DBMS
Planning/Economics
Yield Accounting and Gross margin

Plans

Schedules/
Tasks

Targets/Recipes
Shipments/Receipts

Reconciled Data
Material Balance

Operations Monitoring

Unit
Optimization

Shipping Data
Movement Data

OM&S,LIMS,&
Shipping Systems

Data Reconciliation
Operations
Monitoring

Shipments &
Receipts

Lab
Analysis

Real-Time
DBMS
Process
Operations Data
(Measurements,
Setpoints,Status,
Calculated (KPI),etc..)

Instrumentation

Utilities
Optimization

Constraints
Targets

LIMS Data
Process History
(Raw, Corr

Weeks

Refinery Scheduling

Operating Modes

Quality Giveaway

On-line Opt.
APC
Setpoints

DCS

Regulatory Control

Utility
Control

Days

Blending
Optimization

Targets

Oil Movt.
Instructions

Recipes
Hours

On-line Opt.
APC
Setpoints

Utilities
System

On-line Opt.
APC
Ratios
Rates

Movement
System

Blending
System

Blend
Control

Oil
Movements

Monitoring & Information

Months

Refinery Production Planning

Yield / Assay Data

Schedules/Instructions
Cal.Def/ KPI
Cal. Def./KPI

Plan

Requirements

Planning& Control

Minutes

Seconds

Movement
Control

** Above Landscape does not include other processes like Safety, Security, Energy, Maintenance, Energy, HR, Advsory,
Procurement, Dispatch

Networked Refinery
MES / Networked Refinery
PIMS

RefSked

Scheduler
Production
Planner

Integrated
Database

MES integrated
SAP R/3
AtPO /
OM

Advisor

Blender

Yield Accountant
IP21

LIMS

Engineer

DCS

Plants equipped with


DCS /Advance process
control

Lab Technician

Offsite
Operator

with

Process
Industry
Modeling
System
(PIMS) software for
optimal crude selection
and maximizing value
addition
Online
laboratory
information
process
data for quick decision
making

ISO 9001, 14001, 17025 & OHSAS 18001 Certified Refinery

Process Based KM Map for BPCL Refinery


Portal
Supporting Processes
Safety

Refinery Core Process


Refinery Production Planning

Services

HR & PR Services
Customer Services

Technology

Refinery Scheduling

IT Services

Finance

Laboratory Testing

Procurement

Learning & Education


Health Services

Quality

Production / Transfer & Storage

Maintenance

Security & Surveilliance

Supply , Distribution &Sale

Admin Services

Projects
Linkages With Business

Environment Control

Welfare & Community

Communication & Relationship

Value Added Systems for key Refinery functions


(with SAP Connect Interfaces)

Functional Process Life Cycle of Refinery Systems

Glimpses of our Portal

Emerging
Spaghetti and silos
:
Heterogeneous
Systems
leading to
Need for Integration Framework and
Refinery Automationn & Enablement
simplified approach.
Safety &
Security

Supply
Chain

Reliability

MES
App
Daily Stmt
SAP
AIMS
Attendance
System

Tank
Dip

Energy

Gate
Mgmt
Permit
System

Emission
IRIS Monitoring

Quality RPC

ORB

RCM
Shipping App MOC

LIMS

Quality
Process Units

Crude
Outturn

Inventory
Mgmt
Download
Stock
file
Sheet

Mass
Bal
Hazardous

CIMIO
APPC

Plant
Maintenance

Production
ISO 9001, 14001, 17025 & OHSAS 18001 Certified Refinery

Business Requirement
Earlier Scenario of Information System including MES
Finding Key
Information

Data Analysis

Performance Analysis

Real-Time
Visibility

Real-Time Business
Monitoring

Disperse
Systems and Information base

SAPMM,FI,CO,PM..

LIMS
ATOMS
SCO

IP21 / Scada / DCS


Advisor

In-House IT
Applications

BIW
APC

PLANT
SYSTEMS (MR/KR)

CMT

BUSINESS
SYSTEMS
(SAP R/3)

Purpose of BPMAI Best Practices

Drivers for Change leading


to Excellence
Drivers for Excellence
Better Service to Customers
Safety & Reliability
Best Practices Adoption
Attaining Competitive Edge
Effective Operations
Reduce Maintenance Cost
Plan V/s Actual
Safety and Reliability
Faster Response
Informed Decisions
Increased productivity
Quality improvement
Reduction in customer complaints

Business Requirements &


Need of BPMAI
Integrated View of Refineries Business Performance

Requirement for Senior management Dashboard to monitor Refinery performance and KPIs

Need of Integration of information in Refinery Systems and Business Applications.


(e.g DCS, IP21, MES, ATOMS, ADVISOR, LIMS, SAP, In-House applications etc)

Data maintained in Excel files and spread across user machines


(e.g Maintenance, Safety, Utilities etc)

Multiple reporting systems for MIS reports generation and Decision making
Delay in getting consolidated data from different entities
Strong need for a tool for facilitating analysis
More time spent on searching and compiling data.
Single view to monitor and manage all critical business processes and activities.
Cross functional / department information on time for better decision making
Role Based Group of Information Viewing capabilities

Information Flow in Enterprise

19

3 Types of Processes

Framework of BPM - Merits of XHQ

Organisation Commitment

Organisational Commitment

Practice of BPM requires a significant organizational commitment

Management of end-to-end business process crosses organisational boundaries

New roles and responsibilities are introduced, such as process owners, designers and architects

Individuals responsible for end-to-end process design must interact with traditional functionally based
managers

New governance structures need to be introduced which may change the way organisations make
decisions and allocate resources

Without organisational commitment, the practice and benefits of BPM is unlikely to mature within an
organisation

Without supporting leadership, values, beliefs and culture, BPM is unlikely to successfully take hold
within an organisation

Mumbai Refinery 13 DOMAINS

Supply Chain

Production

Quality
Economics

Process Unit

KPI

Energy

Mumbai Refinery
Overview

Reliability
Maintenance
Utilities

HSSE

Support
Services

BPCL Refinery Overview

Domains: KPI

Domain: Process Units

PROCESS RE-ENGINERRING
Bridges the GAP

BPMAI SYSTEM

Web Based Solution


In-House Developed

EXISTING SYSTEMS

IP21, SAP, MES, LIMS, CMT, DCS, etc.


VSupport Applications Welcome Slip,
Work Permit, IRIS, Lorry Tracking, EHMS, etc

MANUAL SYSTEMS / DATA


OWNED BY INDIVIDUALS
MR DATA BANK
Key Differentiator
SYSTEM
(Unstructured
Data)
A generic Web based Solution.
Easy to configure and migrate Excel based file.
Unstructured data and Manual systems owned by
individuals removed

Through Process Re-Engineering

Single Version of Information is made available


Business Processes has been streamlined and several jobs have been combined into one
Checks and controls are reduced/improved
Staffs are empowered with meaningful information to make proactive and re-active decisions.
Around 90 different applications Configured in short span of time under MR Data Bank
Unstructured data is NOW being captured in a structured format
HELPS IN BETTER MONITORING of KPIs, COPs and KOPs AND DECISSION MAKING.

Trending & Analysis


Stream Production from
Unit

Quality
Measure

Stock &
Quality
Parameters

INTEGRATION & DATA FROM


DIFFERENT SYSTEMS
Data from
ATOMS

Configuration
Data from
Advisor /
Manual Entry

Sample
Results
Data from
LIMS
Data from
IP21

Data from
IP21, ATOMS,
LIMS

Raw
Water Balance
Raw Water Balance

Plan V/s Actual

Plan Vs Actual

Column Pressure Monitoring


Napahtha Control

Process Units Summary

Advanced Features

Analysis

Trending

Graphics

Shapes

Alerts /
Notification

Charting

Daily Morning Meeting Discussion, Directors, GMs, DGMs

Business Performance Management


Business
Performance
and Intelligence
SystemManagement

BPMAI System
Finding Key
Information

Data Analysis

Real-Time
Visibility

Improved
Decision-Making

Integrated System
(BPMAI)

Performance
Measurement

Real-Time Business
Monitoring

Correlation & Visibility of Real-Time


Information

Real-Time
Operations Intelligence

PLANT
SYSTEMS

BUSINESS
SYSTEMS

An iBPMS Has 10 CoreGsrtner Components


45

BPCL BPMAI Solution : Bench mark with Gartners Framework for iBPMS:

A process orchestration engine to drive the progression of work in structured and


unstructured processes or cases
A model-driven composition environment for designing processes and their supporting
activities and process artifacts
Content interaction management to support the progression of work, especially cases, based
on changes in the content itself (such as documents, images and audio)
Human interaction management to enable people to naturally interact with the processes they
are involved in
Connectivity to link processes to the resources they control, such as people, systems, data,
event streams, goals and key performance indicators (KPIs)
Active analytics (sometimes called continuous intelligence) for monitoring activity progress,
and analyzing activities and changes in and around processes
On-demand analytics to provide decision support or decision automation using predictive
analytics or optimization technology
Business rule management to guide and implement process agility and ensure compliance
Management and administration to monitor and adjust the technical aspects of the iBPMS
A process component registry/repository for process component leverage and reuse

Benefits
achieved
Key
Benefits

In Morning Operations meeting BPMAI system is used for discussions and


taking actions
Standardisation and streamlining of Business Processes
Utilities and Energy Consumption pattern is being effectively monitored and
controlled (Steam consumption, Fuel Gas Consumption etc)
Data Consistency is maintained and inaccuracy noticed is being sorted out
Unstructured data is now being captured in a structured format
Better monitoring of business KPIs, COPs and KOPs and decision making.
Reduction in No. of Issues / Complaints
Enables proper accounting (i.e Raw Water Consumption, Fuel Gas
accounting etc)

Challenges In Implementation

Key Challenges
Integration with SAP R/3 System to populate data
Non-availablity of direct connectivity
Multiple ABAB developments to be done at SAP R/3
Required data may not be available easily from SAP R/3
Bring into a central system all data maintained in Excel, Word, e-mails etc
Clarity on Business logic
Changes and more enhancements after seeing the output on the screen
Proper support from vendor for development and implementation
Susataince and continuos usage of the system by end-user
Parallel system running and users are not comfort with new system

Nasscom IT User Awards 2012


WINNER AWARD FOR PROJECT BPMAI IMPLEMENTATION
Energy - Oil & Gas Sector
Theme IT as a Strategic lever enabling business growth and customer service.
This award creates a
Catalytic impact by recognizing the leaders in IT
adoption and acknowledges organizations which
have successfully leveraged Information Technology
To deliver significant business value to their
customers, stakeholders, and
Have demonstrated the transformational impact of IT
in achieving excellence in their business operations.

Criteria and basis for the Award Selection:


Business goals achieved/ Business impact by
dint of IT implementation
Innovation and Thought Leadership
Scale of Project and impact
Strategic Approach to IT Implementation
IT Governance
Mr. MD Agrawal General Manager (IS), receiving the award from
Shri. Sachin Pilot, Honorable Minister of state (Communication and IT)
along with his team Mr. PLN Murthy and Mr. D.Shrrikumar.

Vision of BPMAI System


Future Integrated Scenario of Refineries - BPMAI
Senior
Management

SCO Users

International
Trade

Integrated BPMAI
Common System

MUMBAI
REFINERY

BORL
REFINERY

End Users

MMBPL
Pipeline

NRL
REFINERY

KOCHI
REFINERY

Future Integrated Architecture for


BPCL Group Of Companies (BPMAI)

Senior
Management

International
Trade

SCO Users

End Users

Information Flow

Corporate

Centralized Information and Decision making Server (BPMAI)


Contain Common Information pertaining to MR / KR/ NRL / BORL

Integration of
BPMAI System
MR
MES

SAP

KR
MES

SAP

CDC

IP21

MES

SAP

CDC

IP21
LIMS

Applications

MES

Applications

SAP

CDC

IP21
LIMS

BORL

NRL

LIMS

Applications

CDC

IP21
LIMS

Applications

Are we Ready for Change?

- Charles Darwin

THANK

YOU

Mr. M. D. Agrawal,
General Manager, IT Systems, Refinery,
Bharat Petroleum Corporation Limited, Mumbai, India
agrawalmd@bharatpetroleum.in, murliagrawal@gmail.com
Tel: +91 22 25548823 , +91 22 25533517
Mob: +91 98205 36302
Web Site: www.bharatpetroleum.com

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