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The Register is a Soltius New Zealand initiative to share knowledge and best practices for Asset Intensive industries – from the infrastructure and utilities-related sectors to contracting services and engineering – with insights from New Zealand and around the world.

 
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SAP transforming Canadian power company:

With SAP’s breadth of offerings expanding at a rapid pace over the past five years, and with so many of their new innovations having direct relevance the electricity industry, it can be hard for New Zealand companies to come to grips with how all of this new technology fits together and assess the relevance of solutions unproven under local conditions.

Luckily there is an international example of an electricity distributor operating in a similar environment  to local power companies, albeit at a different scale to most, that is utilising many of the leading edge innovations in their SAP solution set.

With more than a million customers and an asset base in the billions of dollars, Canadian electricity company Hydro One faces some of the same challenges as its New Zealand counterparts, maintaining a geographically spread network in over a rugged and often sparsely populated area and under a strict regulatory framework. Aging infrastructure, economic downturn, regulations and an aging workforce are just a few of the challenges faced Hydro One, a list that will sound familiar anyone working in the New Zealand industry.

As Hydro One CEO Laura Formusa told attendees at last year’s SAP Sapphire NOW conference, the SAP software has been an important enabler for change in the business and the technology is vastly improving their operations. For instance, asset analytics:

The asset analytics solution uses a risk-based approach to prioritize capital and maintenance expenditures, which will help Hydro One manage and identify operations, maintenance and administration requirements.  With the implementation of the asset analytics solution, the utility’s asset management, engineering and planning workforces will have information on the performance of transmission and distribution assets that is time-based and locational. By pulling together the data and information, Hydro One expects to have both improved data quality and advanced predictive analysis capabilities to define the requirements and forecast expenditures needed to maintain the electrical grid at an optimal level.

Bringing together SAP solutions such as Asset Analytics and high speed processing of smart meter data with HANA  has tangibe and measurable results. Where once Hydro One was managing outages by sticking a pin in the map every time a customer called, they are now able to identify outages and map this data to systems that can show the exact geographic location of the fault, dispatching repair crews far more efficiently, reducing network downtime and improving service levels.

Enterprise Mobility is also playing a key role in their future.  Michael Winters, senior vice-president and CIO of Hydro One, clearly feels that mobilising their field workers is the key to improving Hydro One’s operations and empowering their workforce to do a better job, faster.

  “A very large contingent of our employees are actually field workers throughout the province. If I can get them the information that they need to more effectively do their jobs, whether it be work history or maintenance history, or condition information on a particular asset that they need to go in and work on, it gives them more context of what they need to do and how they need to do it.”

Hear what Hydro One has to say about SAP in their own words:

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EAM, SAP, Syclo and iPads dropped from a great height:

With their acquisition of  enterprise mobility app company Syclo earlier this year, SAP sent a strong signal that they intend to become the enterprise mobility leader in all sectors – and given Syclo’s strong track record in utilities, oil and gas, none more so than the asset intensive industries.

As SAP integrates its mobility acquisitions, all SAP and Syclo customers look set to benefit, from the continued investment in the Syclo product set and from the expected enhancements to the Sybase Unwired Platform as Agentry’s features are imported. The SAP/ Syclo and Syclo products were each leaders in the Gartner Mobile Enterprise Application Platform 2012, combined as the ‘SAP Mobile Platform’ they should continue to dominate.

The expectation that employees should be able to access and transact in their enterprise systems where ever they are has driven the enterprise mobility boom for the past few years. In the Enterprise Asset Maintenance arena, SAP’s aggressive moves in acquiring the top players in this space, and the fact that Syclo’s field services and work management apps are recognised as industry leading, is further acknowledgement that key processes don’t take place at a desk in an air conditioned office.

When the the conversation turns away from apps and platforms to mobile devices, the discussion is largely around which consumer products to back or whether to implement a Bring Your Own Device policy. For decision makers in asset intensive industries, however, there is an extra consideration unique to their businesses – whether consumer devices can hack it in the field. > Read More

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SAP gets international award for mobility solutions:

As more enterprises adopt a a Bring Your Own Device strategy,  IT departments are expected to manage a broad variety of devices and operating systems and deploy more applications to this disparate collection of  mobile devices.

In this environment, SAP’s mobility solutions such as Afaria for enterprise mobility management and Sybase Unwired Platform are taking a leading position in the market. International business consultancy Frost & Sullivan has recognised SAP’s innovation in the enterprise mobility space with their Award for Customer Value Enhancement at this year’s Friost & Sullivan Excellence in Best Practices Awards.

The Excellence in Best Practices Awards are presented each year to companies that are predicted to encourage significant growth in their industries, have identified emerging trends before they became the standard in the marketplace, and have created advanced technologies that will catalyze and transform industries in the near future.

Frost & Sullivan say that SAP has leveraged the existing Sybase assets to offer a complete mobile enterprise application management platform:

By integrating various mobility application management and device management features through Sybase’s Afaria platform and engaging the Sybase Unwired Platform (SUP), SAP has enhanced value for enterprise customers that have embraced mobility as a fundamental corporate strategy….

… SAP has made concentrated and results-oriented advances in enterprise mobility. The company has scaled their expertise in a vast array of vertical specific and horizontal applications and strengthened this with the acquisition of Sybase to mobilize these applications, leveraging market leading middleware solutions from Sybase. SAP has stayed on the pulse of market demand for enterprise mobility and consistently innovated to provide effective mobility solutions aligned to existing customer requirements.

Read the full Frost & Sullivan award citation.

Frost and Sullivan Award

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Adding a third dimension to asset maintainance:

When SAP acquired innovative Kiwi company Right Hemisphere last year, the applications for their 3D modelling software in product development were well established. Everyone from shoe manufacturers to car companies use 3D modelling to design their new products, and Right Hemisphere has a strong track record, even working with Boeing to create the visualisations for the development of their new 777 airliner.

While he acquisition is recent, the integration of Right Hemisphere’s software with SAP solutions is nothing new. SAP’s Product Lifecycle Management application has been taking advantage of the 2D and 3D tools since 2009.

Now the tools are leaving the realm of R&D and engineering labs and being put to use in the rough and tumble world of asset maintenance. Over the past few months SAP has been enthusiastically demoing Visual Enterprise, the software they gained with the acquisition, and its ability to view complex machinery in 3D to identify components, showing the potential for maintenance and repair activities.  But it’s not just plant and machinery – it seems SAP has a far grander vision for 3D visualisation.

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Managing EAM documents – you might already have the solution:

Having the right data and documentation on an asset available when it is required is crucial in asset intensive industries.

Equipment and assets accumulate a range of specification and maintenance documents over time and if these documents are not stored in a way that makes them easily associated with the asset, important facts get missed, equipment fails and the organisation bleeds money. If the document that shows a spare part has been modified is stuffed in the bottom of a filing cabinet at the back of the workshop, for example, maintenance staff may unknowingly install something that is no longer fit for purpose. > Read More

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Can data, technology drive energy efficiency if consumers are confused?:

New technologies such as smart meters have potential energy efficiency benefits for a world confronting climate change. But international research shows that consumers are struggling to see how their power usage fits into the big picture.

With one of New Zealand’s first smart meter roll out now under way in the Waikato by WEL Networks – as of February, WEL  had already installed the technology in 3000 of its customers’ homes  -  electricity consumers and companies will eventually have access to unprecedented amounts of information on individual energy usage. The potential is huge for power generators and distributors. Being able to monitor customers by the hour, or even by the minute, could enable the electricity sector to manage their networks more efficiently than has ever been possible before – assuming they can turn all of that data into actionable insights.

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Top Energy selects SAP:

Northland power company Top Energy will become the latest in the electricity sector to run on SAP after selecting SAP Business All-in-One this week with Soltius New Zealand Ltd as their implementation partner.

Top Energy will use the SAP solution for Finance, Logistics, Enterprise Asset Management and Project Management, replacing their Microsoft Navision software and automating a range of manual processes. They are the third mid-size company from the electricity sector to select SAP since late 2010.

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A look at the challenges facing NZ’s energy sector:

From climate change to skills shortages, the New Zealand energy sector is facing big challenges as well as great opportunities and, according to an article in this month’s  NZ Management Magazine, no less than the economic fate of the country may be at stake.

The top 200 New Zealand companies across all sectors had a total revenue of $152 billion last year with the seven main energy companies alone accounting for $11 billion of that total. This highlights importance of the sector to economic growth and also the challenges facing a sector undergoing unprecedented change. > Read More

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How does the New Zealand utilities sector stack up?:

Data from SAP is enabling utilties companies to compare themselves against the best performing companies in their sector.

SAP’s Value Engineering is an in depth methodology to evaluate the potential return on investment of a systems replacement in dollar terms. These Value Engineering exercises have resulted in a huge amount of data from around the world that can be used as industry specific benchmarking, for example for the utilities sector. > Read More

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Mythbuster survey targets SAP Plant Maintenance:

SAP Enterprise Asset Management (EAM) and Plant Maintenance (PM) has been criticised for not adequately supporting the full range of work processes in a plant environment, but a recent survey of  users has dispelled this myth. 

The survey of 700 maintenance managers was carried out by Reliabilityweb.com, an independent news site for asset intensive industry professionals, and found that 66% these  users rated SAP EAM/PM as good to excellent, while only 7% thought it was poor for execution of maintenance activities. > Read More

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