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Operational Excellence in Process Industries PDF
Operational Excellence in Process Industries PDF
solutions overview
Need to improve reputation / brand value
Environmental impact
solutions overview 2
to be put in place. A complete traceability and More often than not, we find that these three
genealogy functionality needs to be enabled as pillars operate in functional silos with little or no
the products move through the manufacturing coordination. Different systems and software are
value chain. Finally, execution details such as used to enable these processes. These systems
consumption, yield, deviation, etc. need to be include various Enterprise systems (ERP, SCM),
communicated with the enterprise systems in plant floor IT systems (MES, LIMS, QMS, Historians
order to close the loop for the production plans. etc) and process control and automation
3. Operational Effectiveness of People, systems (SCADA, PLC, DCS etc). While disparate
Processes and Assets point solutions are required to address critical
In addition to planning and execution, the functionalities associated with planning, asset
effectiveness of people, processes and assets management, quality and execution, without
plays an important role in overall operational interoperability and integration it is extremely
excellence. The overall equipment effectiveness difficult if not impossible to drive operational
(OEE) of assets needs to be monitored at excellence in an on-going manner. A holistic
the plant level. OEE consists of availability, approach that takes an unified systems view, as
performance and quality. Availability reflects depicted in Figure 3, is critical in the drive towards
equipment and process uptime; performance an overall continuous performance improvement.
reports the speed of production as compared 4. Seven Best Practices for Consideration
with design standards; quality indicates process
yield through that equipment. These elements Operational excellence is not a destination, but
constitute benchmark the manufacturing assets a journey. There is no quick and easy way of
effectiveness. Similarly, processes need to be achieving it, nor are there any rules or procedures
leaner, agile and adaptable to change with no that guarantee it. Here we have developed an
waste or non-value added activities. Finally, approach that could be helpful in embarking your
people need to be empowered, trained and journey of Operational excellence.
provided with the right amount of data so as to 1. Integration of Manufacturing Systems:
successfully perform their job functions within One of the first steps towards operational
the organization. excellence is to bridge gaps between
enterprise systems and shop floor systems.
The enterprise planning system creates
production plans and this information needs
Quality
Manufacturing to be passed to the manufacturing execution
Operations
Order
systems. After execution, the shop floor
Scheduling
system has to provide information about
Production
Planning goods produced, yield and other similar
Maintenance
data back to the enterprise system, so that
replanning and adjustments can be done
Figure 2. Traditional Approach
to future plans. It becomes critical for a
ucti on Planning & C
closed loop data exchange between these
Prod ont
rol systems. The complexity would increase if
another supply chain and a quality system
were introduced to the equation. Given the
Ma
F low
ial
nu f
actur
t
Ma
orm
ing Executi on
ati on Flow
Ma
source system while transactional data will
Im
pro
nt
m
e
solutions overview 3
Let us take an example of OEE (overall while Y axis indicates value of the response
equipment effectiveness), which is one of provided. At an initial time, a business event
the major key performance indicators that occurs for any business process. And at a
market leaders in the process industry later time an action is taken to respond to
have been monitoring. OEE = Availability * the event. Notice that the later the action
Performance * Quality. Availability reflects is taken, the lower the value of response
equipment and process uptime. Uptime that is provided. It depicts the latency in a
data regarding the equipment is generally response for a business event.
recorded at the respective control system
Process manufacturers need to respond
level. For example PLCs or Scada. More
quickly to various events taking place
availability means more can be produced from
across the value chain in the organization.
the same set of equipment. Performance
For example, an event such as a material
reports the speed of production as compared
shortage or a machine breakdown needs to
to design standards. Performance data
be immediately addressed, as it could delay
resides in the MES (manufacturing execution
an impending customer order leading to poor
system) wherein data for each production
customer satisfaction. Alerts/notifications
order gets recorded as the orders are
along with access to all critical information
executed and completed on the plant floor.
needs to be delivered to the maintenance
Performance signifies your through-put time
supervisor in real-time so that corrective
and the thorough-put time, the more you can
action can be initiated immediately.
produce within the given design standards.
Additionally, production supervisor needs
Quality indicates process yield through that
to be alerted, so that if possible, the order
equipment. This data is generally recorded
could perhaps be split or moved to a different
at the QMS (quality management system)
production line in order to produce by the
level where quality data gets recorded at
promised delivery dates.
various stages of the production order (In-
process inspection, finished goods inspection, It is of utmost importance to provide real
etc). Overall, PLCs/Scada system needs to time shop floor alerts to various concerned
be connected to OPC servers or historians. personnel with the organization for an agile
They in turn will provide availability or uptime response to an event. Moreover, automated
data. Integration of these OPC servers workflows for escalation should be provided
or historians with MES, QMS and core ERP so that people higher up in the hierarchy
will provide a seamless integrated platform could respond with easy to access tools as
to compute quality and performance the situation warrants. Business workflows
parameters, which can effectively compute can also be triggered based on certain types
the OEE. of events so standardized actions / rules are
applied for problem solving.
2. Response & Agility The figure 4 is a value
time curve where X axis indicates time 3. Performance Visibility: Once the integration,
as mentioned above, is achieved, the next
Business important aspect getting the data analyzed,
Value Event
aggregated from multiple systems and to
the right person at the right time. This would
not only give the user with actionable data
Net Value through which various events, workflows can
Action be triggered at the same time. It empowers
Taken
the users to take real time decisions for
the shop floor based on exact factual
data. Moreover, role-based dashboards to
0 Time
operators, supervisors and plant managers
Action Time
will provide them with accurate optimum
Figure 4. Value Time Curve DM Review, Hack- data for enhanced decision support. For
solutions overview 4
example, operator knows the exact batch to the importance of various technological
start, the supervisor has visibility into all the considerations to achieve success. Initially,
batches that are currently running across all after the existing IT systems are studied,
the production lines, plant manager knows white spaces from a functional gaps
if the delivery dates are going to be met for standpoint need to be identified. In certain
the respective batches / orders. cases, point solutions may be required to
bridge the gap between various functional
4. Business & Operational Alignment with
business processes. Even though technology
Scorecards & Dashboards : People within
platform used for single point solutions
the organization are unaware of the business
could be best suited for this requirement, but
objectives or goals that are pursued at the
it may not be ideal for the entire landscape.
CxO level and how these goals or objectives
Hence, the overall landscape of IT systems
get affected by various routine activities
needs to be studied from various angles
performed at the operational level. For
to come up with the best-fit technology
platform for the overall requirement. A
Operator
platform-based approach is always effective
Manager
solutions overview 5
6. Modeling and Simulation : Modeling and 2.0 technologies, as well as constructs
simulation of operations and processes such as blogs, instant messaging, mash-
play an important role in your journey of ups, search, tagging, Wikis, and always-
operational excellence. connected mobile devices could perhaps
be the way forward to address such issues.
Major advantages of performing simulation The new-generation workforce is more often
modeling of key operations include: already exposed to using such gadgets out-
a. Identification of bottlenecks and the ability side the work environment and is more likely
to predict asset maintenance patterns, to adopt if not expect these enablers in their
which helps in optimal asset performance work environment as well.
and utilization. Enterprise 2.0 capabilities provide for
b. Experimentation without distribution to the effective enterprise search and discovery,
production. Design of experiments can be and informs users when enterprise
run on significant factors and its interactions information, that matters to them, has
with each others to decide on optimal been published or updated. It can act as a
settings for maximizing the production yeilds knowledge management tool where people
log their experiences and make it searchable,
c. Ability to test concepts prior to thus providing enhanced discoverability
implementation on the shop floor. of information for other people to benefit
later on. Web 2.0 can be used to collect
d. Effective training of plant technical personnel
and bind the collective intelligence of
in handling abnormal events, leading to
users with blogs and Wikis, and allow
better risk management and improved plant
process manufacturers to add a whole new
safety.
dimension of data sharing and collaboration
e. Helps identify cause and effect relationships, within the existing systems and processes.
and helps a better understanding and control Discussion threads could be started to bring
the process. to the table the collective experience within
an organization. Such valuable information
f. Modeling is key to scale-up and transfer of can be shared across multiple sites across
processes from the engineering domain the globe through shared portals accessible
to the operations domain in an efficient from anywhere including control rooms.
and agile manner. This will also enable the This could perhaps help to reduce the time
realization of designed optimal processes to volume for the entire company and
on the production floor and help continuous also coordinate a new product launches
improvements to the processes based in all markets simultaneously. Higher
on data-driven feedback from production collaboration and knowledge sharing will
operations. provide a more efficient, productive and
intelligent workforce, which is a step toward
7. Collaboration and Management: As
operational excellence.
the industry professionals work in a
rapidly evolving technical field, they gain An Incremental Methodology
tremendous experiential knowledge, only
some of it formally documented and shared. Typical key resource bandwidth and change
With the problem of the aging workforce management reasons would suggest that any
and next-generation workers coming on approach to improving operational excellence be
board, it becomes increasingly important done in an incremental, rather than a big-bang
to effectively transfer the vast knowledge fashions. Starting of course with the low-hanging
and experience of the existing workforce. fruit that can provide immediate benefits. The
There is a growing need for much better intent, also, is to succeed in one plant/area and
collaboration and knowledge management. let that fuel the need for others to follow suit as
The newer trends of Web 2.0 and Enterprise well as apply lessons learnt.
solutions overview 6
Figure 7 shows an incremental approach for are loosely coupled in nature; i.e., the service
moving from a budding stage to an advanced interface is independent of the implementation.
stage in achieving operational excellence Application developers or system integrators
benefits. Initially, you may want to look at the can build applications by composing one or more
white spaces to bridge the gap among systems services without knowing the services underlying
implementations. This allows enterprises to plug
in new services or upgrade existing services in
a granular fashion to address the new business
requirements, thereby safeguarding existing
IT infrastructure investments. With such
a framework in place, it becomes easier for
process manufacturers to respond with agility to
changing business needs.
From a platform-based point of view, more and Automated tasks, alerts, notifications
for proactive resolution.
more process manufacturers are considering
service oriented architectures (SOA) wherein an Fast access to relevant data from
multiple sources.
applications business logic or individual functions
are modularized and presented as services for 3. Compliant Operations
consumer/client applications. These services
Reduced cost of quality (rejects, capabilities should be incorporated for an
reworks, etc). efficient, productive and intelligent workforce.
Reduced cost of compliance. A phased approach in achieving excellence
maturity is beneficial, as lessons learned can
Delivering high-quality products
and services with integrated quality be incorporated in the future stages and hence
standards. reduce the risk of failures.
Integrated quality management with
operations, ensuring regulatory, legal Cognizants Footprint
and environmental standards.
Cognizant has very strong experience and
4. Industry Leadership
expertise in delivering operational excellence
Improved customer service by solutions in the process industry. Cognizant
delivering on promises.
has strong expertise in the manufacturing IT
Sustained superior performance by landscape, from the L1 - sensor level to the L4
ensuring continuous improvement of
processes and systems. enterprise level.
Conclusion L2
Implemented Optimized Automated Test
Providing sustenance services for all DCS HMI/ SCADA
solutions of a leading automation player A U T O M A T I O N N E T W O R K System for Safety Critical product of a
PLC / DCS leading automation player
One of the major market pressures today in DCS Migration from Windows XP to
Windows 7 platform
Developed drivers to integrate D I S C R E T E & P R O C E S S D E V I C E
L0
solutions overview 8
Mitsubishi Polyester Film LLC (MPF) is the U.S Better control to prevent wrong
operation of Mitsubishi Polyester FilmGroup and disposition.
is one of the worlds largest merchant market Better conversion and yield information.
producers of polyester film.
Improved tractability.
Systems used: User friendly and ease of maintenance.
Enterprise level: SAP Financials, third-
party planning and scheduling system, Solution Accelerators
custom-built applications.
Cognizant has built accelerators to help
Factory level: Rich manufacturing customers mitigate the risk of adoption and
environment with supervisory control to help reduce implementation efforts with
(SCADA) and distributed control resuables and templates.
systems (DCS).
Need for achieving operational excellence The following is a list of solution accelerators
maturity: build:
solutions overview 9
Solution Architecture Solution Highlight
Easy and single-window access to all relevant
data associated with an order execution.
Fast response to customer queries and
compliance with regulations.
Standardized search functions to assist in
processing information.
Contextualization of business data with
process data and analytics.
Data access from multiple data sources and
meaningful information visualization.
Traceability from recipe creation to execution.
Figure 10. Solution Architecture
Sample Dashboards
References
1. http://www.pharmamanufacturing.com/
About Cognizant
Cognizant (NASDAQ: CTSH) is a leading provider of information technology, consulting, and business process
outsourcing services, dedicated to helping the worlds leading companies build stronger businesses. Headquartered in
Teaneck, New Jersey (U.S.), Cognizant combines a passion for client satisfaction, technology innovation, deep industry
and business process expertise, and a global, collaborative workforce that embodies the future of work. With over 50
delivery centers worldwide and over 118,000 employees as of June 30, 2011, Cognizant is a member of the
NASDAQ-100, the S&P 500, the Forbes Global 2000, and the Fortune 500 and is ranked among the top-performing and
fastest growing companies in the world.
Copyright 2011, Cognizant. All rights reserved. No part of this document may be reproduced, stored in a retrieval system, transmitted in any form or by any
means, electronic, mechanical, photocopying, recording, or otherwise, without the express written permission from Cognizant. The information contained herein is
subject to change without notice. All other trademarks mentioned herein are the property of their respective owners.