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MSD Singapore held their First Ever Energy Treasure Hunt Energy Treasure Hunta lean manufacturing process developed by Toyota and refined by GE, combines the best elements of our culture to drive energy efficiency and reduce greenhouse gas emissions across the company. It’s about Kaizen Continuous Improvement applied to energy use. It’s about executing small, but powerful changes that have an impact on the environment, engage employees and cut cost. And perhaps the best part is that you don’t have to be an expert to contribute substantively to the process. MSD Singapore had successfully held its first Energy Treasure Hunt on 17 to 19 November 2013. This event aims to identify energy saving prospects to increase energy efficiency, reduce cost and minimize Greenhouse gas emissions at their Tuas West API Facility. Participation was overwhelming with 100 participants including energy experts from MSD Global Energy Team, MSD Ballydine and MSD Ruthdrum, BMAC partners: Pfizer, Roche, GSK & Novartis along with NEA, Energy Service Providers: Actsys, Schneider, Takasago, & Johnson Control and Equipment's vendors & suppliers: 3M, ABB, Siemens Water, Munters, Lim Kim Hai, Luxicorr, Grenactz, Kaeser Compressor, Intrixrenewable, Hertel, Broad Air, OSK Lighting & Megajoy and MSD Singapore site cross functional team: API West IPT, Quality, SHE, Warehouse, MPS, ADC Lab, IFM and Engineering CoE. A hunt for Treasure! A hunt for Energy Saving! A warm welcome to all participants on a sunny Sunday morning

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MSD Singapore held their First Ever Energy Treasure Hunt

“Energy Treasure Hunt” a lean manufacturing process developed by Toyota and refined by GE, combines the best elements of our culture to drive energy efficiency and reduce greenhouse gas emissions across the company. It’s about Kaizen – Continuous Improvement – applied to energy use. It’s about executing small, but powerful changes that have an impact on the environment, engage employees and cut cost. And perhaps the best part is that you don’t have to be an expert to contribute substantively to the process. MSD Singapore had successfully held its first Energy Treasure Hunt on 17 to 19 November 2013. This event aims to identify energy saving prospects to increase energy efficiency, reduce cost and minimize Greenhouse gas emissions at their Tuas West API Facility. Participation was overwhelming with 100 participants including energy experts from MSD Global Energy Team, MSD Ballydine and MSD Ruthdrum, BMAC partners: Pfizer, Roche, GSK & Novartis along with NEA, Energy Service Providers: Actsys, Schneider, Takasago, & Johnson Control and Equipment's vendors & suppliers: 3M, ABB, Siemens Water, Munters, Lim Kim Hai, Luxicorr, Grenactz, Kaeser Compressor, Intrixrenewable, Hertel, Broad Air, OSK Lighting & Megajoy and MSD Singapore site cross functional team: API West IPT, Quality, SHE, Warehouse, MPS, ADC Lab, IFM and Engineering CoE.

A hunt for Treasure! A hunt for Energy Saving!

A warm welcome to all participants on a sunny Sunday morning

Event was organized by MSD Singapore Energy Management Team lead by Syed Yousuff, Associate Director Engineering - Energy Management & Business Improvement. The 3 full days event kicked off on Sunday with a warm welcome from John Smith, Associate Vice President – MSD Singapore Operation; Thomas Pagliuco, Director of Global Energy & Sustainability CoE; Fergal Quinn, Director – API West Operation and Steven Thong, Director Engineering.

Utilities system overview sharing to all participant's

Monday Sunday Tuesday

Non-prod Start-up Production Production Report-out

Energy Treasure Hunt Process:

The energy treasure hunt will start on a Sunday to view the Plant in the ‘Sleep or Low-activity Mode’ how energy is consumed in a low activity day. The same areas/ systems will be monitored again on a Start-up mode & production mode on Monday to identify energy that can be better conserved by identifying the opportunities and convert them in to Energy prospects with calculated savings and estimated investment, if applicable. All prospects will be re-verified on Tuesday morning. Teams will prepare their presentation and share with all groups & Site Senior Leaderships on the prospects identified together with their calculated savings and simple pay-back period as well as the detailed sharing on the top 3 prospects identified by individual team on Day-3 afternoon.

9 teams were formed to look into areas/ systems such as the Large & Small Scale manufacturing, Water system, Trigen & Steam, Water Chiller system, Compressed Air/Nitrogen/PSA, Non-process buildings, Electrical systems & Glycol system on a beautiful Sunday to identify opportunities in the facility where energy and resources are needlessly in use when operation is “sleep mode or low-activity mode”.

Enthusiastic discussion from all team members

“We’ve found a full list of opportunities!”

Employees were eager to “genchi genbutsu” (go and see) to tackle wasted energy use, while external experts were enthusiastic to share their technology and best-practices in the hunt. By the time teams return from their walk-down, you can sense the buzz: Teams have seen opportunities for improvement, and are realizing how the wasted energy could be translated into costs that the facility can reduce by implementing operational or technology changes to eliminate the waste.

On Monday morning, teams revisited the facility areas when the plant is in its full operation mode. Throughout the day, they continue to quantify their projects, getting cost and savings information from process experts and ideas for operational change from employees that run the operation. By Tuesday, each team has a full list of quantified ideas for energy savings – and most notably, these projects on average have a simple payback of less than two years!

Dropping of Coins equivalent to the worth of identified prospect inside the treasure box

All prospects are quantified according to the amount of saving that can be generated and teams are given the number of coins for the prospects identified. Team members drop the coins into the treasure box to signify the potential amount of savings!

Approximately 100 members participated in our Singapore Energy Treasure Hunt

The event ended successfully on Tuesday, fetching a potential saving of US$9.77MM worth of energy prospects which is equivalent to 40% energy reduction from the site’s current usage. This value has way exceeded the initial target of US$4 million and it will generate 23,300 MT CO2 reductions, which is approximately 10% of Merck GHG emission reduction goal! Which is equivalent to • removal of 7,700 cars from road per year • 116,000 number of trees to offset per year • power up 10,000 HDB 4 Room flats per year

ENVIRONMENT SUSTAINABILITY

We respect and care for the environment in everything we do.

A healthy planet is essential to healthy people and the health of

our business.