SAP Asset Management Digital Twin and Strategic Asset Management Dean Fitt, Solution Manager, SAP SE 30 April 2018 PUBLIC SAP’s Vision for Asset Management Full Digital Representation of Assets along their Lifecycle delivering an embedded, collaborative and real-time set of Next Generation Processes and Systems Collaborative Base for Industry Extensions Partner ecosystem Opportunity © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Electronics Mechanics Services Real Time Insights Share & Collaborate natively Unified data and processes with PLM, Manufacturing and Service Software Scalable Cloud Platform Based Real Time Connected Digital Disruption Optimization via Prediction Next gen tech Machine Learning, Block chain, 3D printing Adaptable Mobile First / Fiori UX 2 Global Asset Management Trends Transformation to Smart Digital Connected Assets Yesterday Now Selling equipment Pay per use / Equipment as a Service Untrusted & disparate Asset information Collaborative Single source of truth Limited analytical capabilities Real Time Analytics with Simulation Reactive Maintenance Prescriptive maintenance Disconnected Systems and Lifecycle Closed loop Product and Asset Lifecycle Standalone and Isolated Assets Connected and Smart Digital Twins Traditional OPEX-based planning Asset criticality based maintenance strategy Paper-based work instructions Smart work instructions with 3D visualizations Optimized for Physical Structure Mechatronics/Software in Products/Assets © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Pay per use Digital Twin 3D visualization 3 The Network of Digital Twins Digital, physical, conditional, commercial Manufacturer Operator . Product intelligence Collaborative R&D, engineering and manufacturing © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Business Transactions Intelligent Insights Asset intelligence Asset Management, predictive maintenance and service 4 SAP Connected Assets Portfolio Networked best-of-breed applications providing high end-to-end business value for key stakeholders An architecture built for next generation Enterprise Asset Management Digital Core: System of Record Digital Innovation: System of Intelligence Digital Intelligence Asset Strategy & Performance Management Maintenance Management Predictive Maintenance & Service Integration Asset Central Digital Core Corrective, emergency and preventive maintenance planning & execution via notification and order processing in an integrated system • Asset Central – Provides a re-usable asset registry across IoT applications for seamless integration and data consistency Predictive Engineering Insights Asset Intelligence Network S/4HANA & ECC • SAP Asset Intelligence Network Collaborative asset management bringing key stakeholders (operator, OEM, service providers, …) together in a digital ecosystem solving complex execution, predictive and planning activities with centrally managed asset information • SAP Predictive Maintenance and Service Enables enhanced predictive maintenance techniques to optimize EAM business processes for greater asset availability and reduced cost • SAP Asset Strategy and Performance Management SAP Leonardo IoT for Asset Management Define and plan maintenance execution strategies holistically (insight/foresight; insights from network) for improved performance • SAP Predictive Engineering Insights Model and visualize the physical structure of an asset for realtime calculation of stress and fatigue to drive predictions © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 5 SAP Connected Assets – 3 Complementary Digital Twins SAP Asset Intelligence Network © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC SAP Predictive Maintenance SAP Digital Twin for Structural Dynamics 6 SAP Asset Intelligence Network Bringing together Business partners Insurer Service Provider Models / Equipment Manufacturer Operator Regulator SAP Asset Intelligence Network will provide a global registry of equipment; built and shared between multiple business partners and used across the industry by all stakeholders. This will enable new collaborative business models resulting in true Operational Excellence. © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 7 SAP Asset Intelligence Network Enabling collaborative asset management Apps Content Network © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Apps for collaborative processing e.g. equipment lookup, announcements, service bulletins, performance improvement, spare parts management, obsolescence management Combined together to deliver A cloud portal of standardized content that defines and documents models and equipment, shared and stored, for a consistent definition between business partners. A secure network to connect multiple business partners for inter and intra company information exchange and collaboration. SAP Asset Intelligence Network 8 Apps SAP Asset Intelligence Network Collaboration between manufacturers, service provider, and operators Job Instructions Announcements Nameplate info Maintenance strategy Spare Parts Network Content Service bulletins Obsolescence Management Performance Improvement Spare Parts Equipment as a Service Work Collaboration Commissioning & Handover Service bulletin receipt Service bulletin processed Usage information Failure modes Installation information Recalls Bills of Materials Designs and drawings Failure / incident data Design improvements Design recommendations Sensor definition Operating instructions Maint instructions Safety instructions Risks and controls End to end Firmware process Manufacturer © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Measurement documents Telemetry Share Notification/Work Order Info Operator 9 Foundation for a successful, global, single network of assets All business partners need to talk a common language Based on industry standards e.g. ISO14224, ISO15926, ecl@ss, …. Class ? Subclass Manufacturer © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Class ! Subclass Operator Class Subclass Service Provider 10 A Native Collaboration platform within companies and between companies Operator Manufacturer SAP Asset Intelligence Network E-23-8384 Model / Reference Equipment Service Provider Digital Twin/Equipment P78-324 P78-453 P78-820 P78-912 Physical Equipment / CMMS P78-324 © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC P78-453 P78-820 P78-912 11 SAP Asset Intelligence Network Use Case at BASF Ludwigshafen 200 production plants connected to each other by over 2,850 km of pipelines & over 230 km of rail. The goal is to establish a fully integrated and centrally managed, single source asset information repository, ensuring: • Data consistency and availability • Efficiency of engineering and maintenance processes throughout the asset lifecycle. “A more integrated digital approach with our business partners would allow us to easily access the latest and current information when and where needed, leading to quicker and better decision making and in consequence higher asset effectiveness.” Dr. Andreas Wernsdörfer, Senior Vice President, Technical Site Services Ludwigshafen, BASF. © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Link 12 SAP Asset Intelligence Network Applications Admin Apps Business Partners Authorizations Templates .. Master Data Apps Models Equipment Locations Spare Parts Documents Instructions Requests Smart Matcher … Process Apps Performance Improvement Obsolescence Report Error Code Lookup .. © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 13 SAP Asset Intelligence Network Equipment: Features Information – Highlights – Attributes – Model Information – Installation Information – Life Cycle Information Structure and Parts – Structure – Spare Parts Documentation – Documents – Instructions – Announcements Monitoring – Measuring Points – Error Codes – Improvement Cases Time Line © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 14 SAP Asset Intelligence Network SAP Asset Intelligence Network Application – Obsolescence Report Obsolescence Management © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 15 Equipment / Functional Locations Work Orders Announcements Documents Hierarchies Attributes Header Information SAP EAM © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Equipment Object Creation Model Link SAP AIN SAP EAM Plant Maintenance Integrated Objects Equipment only 16 Asset Strategy and Performance Management Asset Strategy and Performance Asset management strategy is influenced by different aspects Overall equipment effectiveness Maximize asset performance Return on assets Unplanned outages Drive safe operations Annual OSHA related incidents Recordable accident frequency rate Reduce costs Annual service and maintenance cost Planned maintenance budget vs. actual cost © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 18 Asset Strategies What are the options? The prime objective of an asset strategy is to achieve the optimum balance between asset performance (which could include also safety and environmental integrity), availability and the cost of maintenance. Asset strategies: • Preventive (time or cycle and based on a “useful life”) • On-Condition • Predictive • Failure Finding (risk-based interval) and if none of the above then defaulting to: • Run to Failure (“Run to Repair”) • Modification (which may also mean accepting degraded performance) The results of your Asset Strategy (whether intentional or not!) will dictate how you care for your assets and is measured by KPIs for performance (inc. safety and environmental), availability and cost. © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 19 Selecting the correct strategy Reliability Methodologies & Technologies Maintenance Strategy Development ▪ ▪ ▪ ▪ ▪ Reliability Centered Maintenance (RCM) Failure Modes and Effects (Criticality) Analysis (FME(C)A) Structured Review (PM Review) Root Cause Analysis (RCA) … Reliability Analytics ▪ ▪ ▪ ▪ Weibull Analysis System RAM Modeling Growth Analysis … © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 20 SAP Asset Strategy and Performance Management Developing a Maintenance Strategy Manage Asset Information Manage Locations, Equipment, Groups, Systems, Failure Modes… Asset Risk & Criticality Assessment Rating assets according to criticality for the business Application of Appropriate Methodology RCM* Reliability-Centered Maintenance Evaluating threats to safety, operations, and maintenance FMEA Failure Modes and Effects Analysis Analyze component failures and associated results on operations PM Review* Preventive Maintenance Review Evaluate the current maintenance plans and their effectiveness Maintenance Strategy Implementation* Create/Change/Delete Maintenance Plans, Task Lists, Inspection, Condition Based Maintenance, Predictive Maintenance, Run to Fail S/4HANA and SAP ERP PdMS Maintenance Strategy Execution Perform Inspections, Condition Monitoring, Predictive Maintenance, … © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Asset Management Monitoring Analyze Cost and Performance *planned 21 Equipment List Showing Risk, Criticality and Recommended Action © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 22 Equipment: Risk and Criticality Information © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 23 Equipment: Review Highlight Cards © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 24 Equipment: Review Risk & Criticality Matrix © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 25 Equipment: Review Risk Assessments and Questionnaire © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 26 FMEA Assessment: Review Assessment – Maintenance Strategy © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 27 SAP Asset Predictive Maintenance and Service Maintenance Journey & Asset Optimization Where are maintenance and service heading? Asset Collaboration across Supply Chain Reactive Wait until a machine fails and then undertake maintenance. Preventive Perform maintenance at regular intervals, based on observations of abnormalities. © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Conditionbased Continuously observe the status of assets and react to predefined conditions and events. Predictive Apply advanced analytics of operational and business data to help determine the condition of specific equipment and predict when to perform maintenance. Digital Twin 29 Technology is changing our approach to maintenance *Use of Maintenance Strategy – Today Run to Failure Preventive On-Condition Predictive *Use of Maintenance Strategy – Future Run to Failure Preventive The Internet of Things is leading to increased use of on-condition and predictive maintenance strategies On-Condition Predictive Although still relevant, preventive maintenance typically results in over-maintaining assets and high cost The goal is to increase our use of advanced maintenance strategies and reduce reactive maintenance events *Proportion of maintenance strategies are for illustration purposes only and will vary based on many factors © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 30 SAP Predictive Maintenance and Service From Sensor to Insight to Outcome Sensor Data Insight Action Outcome Connected assets IT/OT Convergence Data analysis Maintenance activities Business Value • Onboarding • Big Data ingestion • Root cause analysis • Customer experience • Connectivity • Big Data infrastructure • Asset health monitoring • Device management • Merging sensor data with business information • Machine learning • Prioritized maintenance and service activities • Optimized warranty and spare parts management • Security • Anomaly detection • Triggering of corrective actions © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC • Prescriptive Maintenance • Quality improvements • Increased quality • Lower costs • Operational efficiency • R&D effectiveness • Material procurement 32 SAP Predictive Maintenance and Service Solution components and value drivers Actions Insights Logistics & Maintenance Execution Systems SAP Predictive Maintenance and Service Explorer Business User Domain Expert Details Machine Learning Engine Raw Data SAP Leonardo IoTFoundation Foundation SAP Leonardo SAP Leonardo IoT Edge SAP Leonardo for Edge Computing Machine Data © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Business Data Flexible extension concept for customers to build industry or customer specific models and analytics Data Scientist A scalable Machine Learning Engine that drives data science insights into our business processes Data Manager Flexible visualizations via Analysis Tools Catalog Analysis Tools Catalog Alerts Enables a data science driven approach to condition monitoring End-to-end process integration… Alert, Discover, Remedy 33 SAP Predictive Maintenance and Service System and component level visualizations Logistics & Maintenance Execution Systems Asset Health Control Center SAP Predictive Maintenance and Service Asset Health Control Center Asset Health Fact Sheet Insight Provider Catalog Machine Learning Engine Asset Health Fact Sheet SAP Leonardo LeonardoFoundation Foundation SAP Leonardo Leonardo for SAP forEdge EdgeComputing Computing Machine Data © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Business Data 34 Optimization of maintenance and service Bring business context to your operational data Predictive Maintenance and Service Asset health control center Create maintenance or service order Schedule order Increase effectiveness with valuable insights from operational systems Business Systems Fault pattern recognition Machine health prediction Execute order on mobile device Visual support Order status IT and OT connectivity Increase efficiency with business processes for maintenance and service © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC © 2016 SAP SE or an SAP affiliate company. All rights reserved. Public 35 35 SAP Predictive Maintenance and Service Customer Example: Train Operator Company Process and Technology Innovation The company owns and operates a fleet of around 2,000 electrotrains, 2,000 locomotives, and 30,000 coaches and wagons. Situation: Some 40% of maintenance effort is for corrective maintenance. Maintenance of rolling stock has been identified as one aspect of the digital transformation. Solution • • • • • • • Custom solution on SAP HANA software Data fusion between IT and OT data Multidimensional description of assets Remote train diagnostics Engineering rules and predictive models Indicator-based planning Dynamic optimization of maintenance schedules © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Benefits • Higher asset availability, leading to greater passenger satisfaction • Less effort for corrective maintenance 36 SAP Predictive Maintenance and Service Customer Example: Compressor manufacturer Company One of the largest providers of compressed air systems and compressed air consulting services. Solution • Compressors equipped with sensors • SAP Predictive Maintenance and Service solution with machine health fact sheet • SAP HANA software • SAP Customer Relationship Management (SAP CRM) application: Service on SAP HANA © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Predictive Maintenance and Service IT and OT connectivity Asset health control center Create maintenance or service order Schedule order Fault pattern recognition Machine health prediction Execute order on mobile device Visual support Order status Situation: Changed the business model from selling compressors to selling compressed air Process and Technology Innovation Business Systems Benefits • IoT as an enabler for the new business model • Improved availability of compressor stations • Move from unplanned to planned maintenance 37 SAP Predictive Engineering Insights Predictive Engineering Insights Enable digital insights of industrial assets based on real-time and predictive engineering analysis © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 39 Value and ROI examples SAP Predictive Engineering Insights Use Case Offshore 6MW Assumed power production: 26280 MWh/year (50%idle, 50% at capacity) Energy price 50€/MWh Dec ‘17, N2EX indicator Turn-over 1 314 k€/year Maintenance cost 8€/MWh Life time: 20 years Assumed Asset profit margin 15% Stipulated subscription fee 10k€/year Value Proposition* Lifetime extension A lifetime extension of 1 year will cover the lifetime cost for the monitoring solution and lead to one additional year of cash-flow. Efficiency Increase An efficiency increase of 0.75% will cover the subscription fee Maintenance Cost Reduction A 5% cost reduction due to fewer and more efficient maintenance operations will cover the subscription fee *The examples above are based on no combination effects. In real life synergies can be expected. © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 40 Product Components SAP Predictive Engineering Insights Maintenance Execution Systems FEDEM (Finite Element Dynamics in Elastic Mechanisms) The FEDEM code is a very quick and advanced Finite Element Analysis (FEA) code, perfectly suited for IoT applications Features Vibrational Diagnostics Foundation SAP Predictive Engineering Insights Machine Learning Structural Behavior FEA in real-time Finite Element Analysis is a standard engineering methodology for calculating forces and stresses in structures of any kind. The methodology is typically used in design. SAP Predictive Engineering Insights enables it to run in real time on the cloud, thus linking design and operations. Fedem Simulation Additional features The FEDEM solver includes effects of hydro- and aerodynamics, soil stiffness and advanced external forces. It even includes the effect of control systems (hydraulic, pneumatic and the control logic behind it. SAP Data Hub on SAP Cloud Platform Sensor Data © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Business Data 41 Product Components SAP Predictive Engineering Insights Insights (What is happening now) ▪ degradation of performance due to structural failure ▪ Insights: Stresses, strains, forces (axial, shear), bending moments, torque, oscillations, vibrations, modal analysis (Fourier-transformations) Hindsight ▪ record of structural loading (accumulated fatigue damage) ▪ overview and counting of extreme events and fatigue (used/remaining lifetime) ▪ verification of design methods hindsight insight foresight Simulation of different options Foresight (Simulation & Prediction) ▪ simulation of proposed extended operation scenarios: Side steps, extended testing, ▪ evaluation of structural loading as a consequence of a control decision © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 42 Product Components SAP Predictive Engineering Insights Maintenance Execution Systems Features Vibrational Diagnostics Foundation SAP Predictive Engineering Insights Machine Learning Structural Behavior Fedem Simulation SAP Data Hub on SAP Cloud Platform Sensor Data © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Business Data 43 Product Components SAP Predictive Engineering Insights Maintenance Execution Systems Features Vibrational Diagnostics Foundation SAP Predictive Engineering Insights Machine Learning Structural Behavior Fedem Simulation SAP Data Hub on SAP Cloud Platform Sensor Data © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Business Data 44 Customer Examples SAP Predictive Engineering Insights Company and Situation Arctic Wind operates the northernmost wind farm in the world. The farm consists of 16 turbines built in 2003 and due to the remote location, maintenance inspections are challenging and at times even impossible. Scenario • • Problem: Lack of engineering insights for better decision support in operations and maintenance Solution: Real-time engineering simulation based on sensor-feeds and a Finite Element Solver Benefits • • • Maintenance cost reduction through predictive qualities Lifetime extension through a full load history Improved operational efficiency © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 45 Getting Further Information www.sap.com/eam © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 46 Thank you.