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David Zyla Partner Technical Enablement Specialist Business Analytics Division, IBM Software Group
Anuj Marfatia Program Director Business Analytics Division, IBM Software Group
Agenda
Background & Value
$325,000 avg. deal size for software only; minimum 1:1 software to services ratio PMQ + Maximo is a key differentiator
Partners are a key channel Several upcoming focused events in 2013 (Chicago-Oct.9, Cleveland-Oct. 15, CalgaryOct.22, Toronto-Oct.2?, IOD (Vegas)-Nov.3-7)
Impacts manufacturers & organizations managing field level assets Challenge: organizations reacting and not predicting
What is the impact when a manufacturer encounters a machine failure during a production run? a heavy machinery operator performs unscheduled repair on a bucket wheel excavator? a water main breaks? A transformer fails causing a power outage in an electrical grid?
Vending Machines
o o
Connected Transportation
Heavy Equipment Machinery
o Earth movers, mining equipment, cranes, wind/gas turbines, nuclear plants, solar panel arrays, oil drills, oil rigs
Electrical grids, water/sewage infrastructure, IT systems, telecom lines/cables, security systems
Networks
o
Buildings
o Property, real estate, universities, stadiums, corporate offices, headquarters, field offices
Predictive Maintenance
(based on models of evolution of the condition of assets)
Reactive Maintenance
(machine fails, then fix)
Predictive Maintenance uses analytics to model foreseeable evolutions of the characteristics of individual systems or assets
Source: Gartner
TODAY! Q1 2013
Packaged, cross-IBM, software product (Analytics with real-time data integration)
Accelerate Time-to-Value
Real-time capabilities Big data, predictive, and advanced analytics Quick and accurate decisioning Maximo integration Open architecture Business intelligence
2012
Customizable, cross-IBM, software and services solution (Analytics with real-time data integration)
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Predictive Maintenance and Quality delivers significant value where both the impact of failure and the probability of failure are high
Severity Factors Health and Safety Issues Asset Damage / Repair Costs Loss of Revenue
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IBM Predictive Maintenance and Quality reduces operational costs, improves asset productivity and increases process efficiency
Monitor, maintain and optimize assets for better availability, utilization and performance
Predict asset failure to optimize quality and supply chain processes
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Business Value
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Networks
Buildings
Automotive
Aerospace and Defense Chemical & Petroleum Consumer Packaged Goods Electronics
X X X X X X
X X
X X X X X X X X
-India -China
-North America -China -South Africa -Sweden
Government
X X
X X X
-North America
-US -Japan -Canada -China
-China
-India
Telco
Environment
A global petroleum company wanted to increase asset utilization and reliability in a remote environment IBM helps predict where and when ice presents a threat to existing drilling platforms
Extend Life
A regional utility company needed to maintain an aging infrastructure IBM delivered an industryspecific solution to detect potential problems before they occur
Outcomes:
Produces real-time visualization of ice floe positions and trajectory cone forecasts Predictions determine whether to move platforms providing cost savings
Outcomes:
Outcomes:
Anticipates saving $100,000 per year in staff time spent on capital plan forecasting Expects to reduce costs related to project coordination, operations and capital expenditures
Improved asset maintenance identification 20% productivity gains for service trucks Up to 20% reduction of fuel costs due to fewer truck rolls
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Outcomes:
Reduced the defect rate by 50% in 16 weeks in the production of cylinder heads Increased customer satisfaction
Outcomes:
Significant reduction of the cost for detection rule construction (~1/10) Significant increase of detection coverage (~ x 2-3) Reduction of overall maintenance cost (demonstrated at least 10%)
Outcomes:
Early identification and mitigation of enterprise component and quality issues Provide insight to the health and probability of failure for in-service equipment maximizing uptime
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Solution Stack
End User Reports, Dashboards, Drill Downs
Predictive Analytics
Business Intelligence
Data integration provided by Websphere Message Broker and Infosphere Master Data Management Collaborative Edition, which feeds a pre-built, DB2-based data schema
Process Integration with Maximo automatic work order generation Includes data models, message flows, reports, dashboards, business rules, adapters, and KPIs
(Pre-built data schema for storing quality, select machine and prod data, configuration)
Integration Bus
(Message Broker)
Predictive Maintenance and Quality analyzes data from multiple sources and provides recommended actions, enabling informed decisions
3
Conduct Root Cause Analysis
Data agnostic User-friendly model creation Interactive dashboards Quickly make decisions
Asset Performance
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Real-time capabilities
Maximo integration
Open Architecture
Business Intelligence
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Accelerated Time-to-Value
2013 IBM Corporation
Maximo Upstream Module (Master Data Loading) IBM PMQ can consume master data residing in IBM Maximo IBM PMQ mirrors the asset data that is managed in IBM Maximo. An automated process can be designed to synchronize data between IBM PMQ and IBM Maximo Data that comes from IBM Maximo must be updated and maintained in IBM Maximo. It is not possible for changes that are made in IBM PMQ to be propagated back to IBM Maximo Maximo Downstream Module (Work Order Creation) IBM PMQ generates recommended actions which can be passed to IBM Maximo IBM PMQ can be customized to import IBM Maximo work orders as events to record activities such as inspections and repairs.
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Positioning
Targeting and Qualifying the right customer with the right problems
Operating high cost, high value assets OR sufficient quantities of lower cost assets with recurring failures that could be predicted and prevented Sufficient investment or desire for asset instrumentation and maintenance / asset history to populate models Reasonably mature maintenance processes Primarily enterprise organizations
Pricing based on fixed price (by asset type) and a variable data point price
Leverage the Industrial Internet of intelligent devices, assets, and content/data sources Applying principles of Big Data Analytics to a maintenance setting
Closed Loop Integration with Maximo
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Partner Strategy
Traditional Maximo implementation and resale partners
Critical to expand deployment options beyond IBM Leverage their existing customer relationships Partners want to be able to add more value and differentiated solutions Partners to provide industry focus/customization
Embed PMQ as part maintenance support contracts for manufactured or re-manufactured assets
Partners with expertise in Business Analytics or Maximo will find most value
Software will need to be configured to customers data
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HVAC manufacturer
Reduced warranty claim processing times by 20 to 30 percent, increasing internal efficiency and boosting customer satisfaction Enabled the company to identify fraudulent claims prior to payment and minimize financial losses Reduced support personnel required to maintain multiple warranty systems by 5 to 10 percent, eliminating duplicate efforts and lowering costs
Energy provider
Reduced costs by up to 20% by avoiding the need to restart turbines after an outage an expensive process. Saved approximately USD 75,000 in fuel costs per turbine by identifying inefficient fuel usage. Increased the efficiency of maintenance schedules, costs and resources, resulting in fewer outages and higher customer satisfaction. Provides early warning of certain types of failure up to 30 hours before they occur, instead of 30 minutes.
Water utilities
36 percent reduction in customer calls through increased preventive maintenance and implementation of automated meter reading s Increased percentage of emergency investigations dispatched within 10 minutes from 49 percent to 93 percent Ability to generate reports for regulatory compliance and management review in seconds versus days Significant reduction in asset downtime
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Value Drivers
Revenue Growth
Higher Productivity
Shareholder Value
Operating Margin
% scheduled
Mean Time Between Stops Mean Time to Repair
Parts consumption
Number of Spares
Fixed Asset Fewer Spares TCO Per Spare Infrastructure Inventory
Capital Efficiency
Improved efficiency of capital outlays Reduced Risk
Dedicated Shop space Average Spare Parts / Components Inventory % field repairs Average inventory value Spare Parts / Components Inventory
Risk Mitigation
Safety / Compliance
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1. the value of PMQ and which organizations would benefit from it 2. which IM and BA components are included in the solution 3. whats required to build sales & services practices around PMQ
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Questions
? ? ?
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Resources
Business Analytics area on PartnerWorld
Business Analytics competitive resources Self Paced Virtual Classroom Program for Business Partners
You Pass, We Pay IBM Business Partner Locater Tool IBM Business Partner Communities
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