leveraging a digital strategy for sustained growth - oracle · provider to maintain change history,...
TRANSCRIPT
© 2015 WIPRO LTD | WWW.WIPRO.COM | CONFIDENTIAL 1
General Manager, Engineering & Construction Solutions, Americas
Leveraging a Digital Strategy for Sustained Growth Scott Boutwell, LEED AP
© 2015 WIPRO LTD | WWW.WIPRO.COM | CONFIDENTIAL 2
Transformation Challenges are Reflected in E&C Financial Performance
• > 50% • …for 17% of E&Cs
SG&A (% of Net Sales)
• <0% • …for 50% E&Cs
Free Cash Flow (% of Rev)
Drivers to Transform Financial Indicators
• <- 5% • …for 66% of E&Cs
Revenue Growth per Employee
(%)
New Pricing Models and GTM Approaches Required to
Capitalize on Market Opportunities
Fragmented Business Needs; Process and Systems
Optimization to Reduce Operating Expenses
Increase Financial Discipline and Visibility of Project Profitability to
Release Investment Potential
Source: E&C Industry Benchmarking Analysis, 2010-2013 & Wipro internal.
Revenue Growth and Cost Reduction will Lead to Value Creation
© 2015 WIPRO LTD | WWW.WIPRO.COM | CONFIDENTIAL 3
Business Transformation Journey for E&Cs – 2014 Recap
© 2015 WIPRO LTD | WWW.WIPRO.COM | CONFIDENTIAL 4
Why Digital Transformation?
CLOUD
SOCIAL MOBILE
By 2015, 95% of companies will support their applications on personal mobile devices
Most executives believe the cloud will make their organizations more agile and competitive
80% of Fortune 500 executives say enterprise-wide collaboration is the key to success
Text 90% of Fortune 500
companies have big data in place
BIG DATA
© 2015 WIPRO LTD | WWW.WIPRO.COM | CONFIDENTIAL 5
Digital Elements Across the E&C Value Chain
Eng. Design View Design, specification,
BOQ
Technical Analysis (clash, What if, Schedule
Simulation),Cost analysis. ECM
Digitization of facilities & 3D visualization, Virtual
reality
Engineering design tool as a cloud
service
Engineering design tool with EIM, procurement, Planning,
ERP, Bid management system
Engineering design
info
Collaborative Engineering Design – collaboration center
View, Approve PO, Payment, Order delivery tracking
Make Vs Hire analysis Sensitivity analysis
Spend Analytics
RFID based material management, track & trace
Procurement management on
cloud
Procurement with Engineering Design,
planning, inventory, delivery management, ERP
Procurement lifecycle management,
integration with knowledge base
Extended customer /Partner/collaboration, Managed File Transfer
Work Scheduling, view/progress update,
Inspection/& Audit, incident report
Asset/workforce Productivity/Utilization
Stock analysis Cash flow analysis
Asset/People/tool tracking (entry/exist), utilization,
availability CCTV surveillance
Cloud hosted site operations (Men,
machine, material)
Site operations with Planning, ERP, EIM,
EAM systems
SaaS for site operations
Subcontractor/ partner/Supplier collaboration
Handover progress tracking
Progress reporting X-check of As-built drawing with the
facility
Handover on cloud software
Portal integration with EIM, Engineering design, Asset
management system
SaaS for handover
Information/file exchange, Managed File Transfer
Approvals, mobile workforce management
Asset Analytics RT prod. Operation and Process
optimization Spend Analytics
Tools/mobile workforce, asset health
diagnostics, RCM
Mobile workforce management
Asset Management, PM, RCM/ RBI, MDM, ERP, Engineering
design, EIM systems
Workforce management, HR,
mobile Apps
Facility operation center
Procurement
Construction
Commissioning/handover
Maintenance
Mobility Productivity, cost
efficiency
Analytics Operations/Cost efficiency
Automation/IOT Productivity, Efficiency
Cloud Speed,
Cost efficiency
Integration Productivity, Efficiency
Market Services Speed,
Cost Efficiency
Collaboration Productivity, cost Efficiency
JV Capex Opportunities E&C Operations BD, Labor, KM Metrics
% of new JV opportunities worldwide % improvement in profitability % reduction in safety incidents % improvement in billability
% + success rate in PEC, RSC % timely project delivery
% improvement in proc. Efficy % Timely project delivery
% improvement in proc. Efficy % improvement in Bid Wins
$ cost savings on Eng Collab. % Enhanced Production
% increase in Asset Utilization % increase in Asset Utilization # of Knowledge base Assets % increase in Operational Readiness
© 2015 WIPRO LTD | WWW.WIPRO.COM | CONFIDENTIAL 6
Digital Transformation of Key Engineering & Construction Functions
1. Planning, Management and Control
2. Design and Engineering
3. Construction Management
4. Back Office
© 2015 WIPRO LTD | WWW.WIPRO.COM | CONFIDENTIAL 7
Digital Transformation of Planning, Management & Control
Standalone and File Based Limited Collaboration Features Limited Resource Management Capability No Integration Capability with Estimation
and Design No Capability to Fetch Cost Data from
ERPs
Lack of Collaboration b/w Planners and External Stakeholders Manual and Time Consuming Project
Status Reporting Excel-based Resource Management Manual Risk Assessment on Schedule
and Cost Overruns Multiple Versions of Schedule
Traditional Standalone Planning
Built in planning & management reporting seamlessly Substantial cost reduction with improved
system performance Monitor and visualize project performance
Anytime Anywhere Access Middleware Based Integrations (Gateway)
with ERPs PPM to EPPM Mobile Ready Interface
Cloud Enabled Project Mgt Enterprise PPM
Multiple Planners can Collaborate on Same Schedule Automated & Enhanced Project Status
Reporting Enterprise Resource Management. Earned Value Analysis Integrated Issue & Risk Management
Stores all Projects in a Single Database Adapters Available for Integration with
Major ERPs Version Comparison & Agile Scheduling Optional Integration with Estimation Tools Enhanced Security & Access Control Integration with Document Management
Systems
Standalone to EPPM
Cloud Enablement
© 2015 WIPRO LTD | WWW.WIPRO.COM | CONFIDENTIAL 8
Digital Transformation of Design & Engineering Traditional Standalone CAD Tools
Standalone and File Based File Based Model and Single User
Accessible No Interoperability or Cross Application
Interfaces Paper and Document (xls/doc) Based
Collaboration
Lack of Collaboration b/w Planners and Manual Quality Checking and Design Validation Complex and Document Intensive
Physical Handover Challenges in Clash Detection Paper Based Design Collaboration
Model file .dwg .dgn
Increased Quality Aspects by Auto Validation Electronic Data and Document Handover Easy Relocation and Work Sharing Automated Clash Detection Improved Engineering Information
Management and Collaboration
Data Based Model and Multi User Accessible Information Data Interoperability Across
Disciplines Integrated Cross Application Interfaces
Integrated Data Centric & Intelligent Model
File to Data Centric
Integrated Design Validation and Quality Management Minimal or Zero Plant Data Handover Re-use of Information and Digital
Coordination Information Shared Across Organization Design Collaboration Across Globe and
Real-time Data Management
Global Operational Access to Model Full Access to Project Ecosystem Highly Digital Collaborative Environment
Cloud Based Collaborative Design
Cloud Enablement
© 2015 WIPRO LTD | WWW.WIPRO.COM | CONFIDENTIAL 9
Digital Transformation of Construction Management Local Construction
Multiple Standalone Applications No Interoperability or Cross Application
Interfaces No Version Management, Effort Duplicity No Tool for Work Package Lack of Construction Sequence
Visualization at Site
Lack of Integration b/w Construction, Procurement, Engineering and Design Office = Poor Site Visibility Manual Process Flow QA/QC Complexity in Quantity Tracking Paper and Document (xls/doc) Based
Collaboration Lack Visibility on 3M (Man, Material,
Machine) Lack of As-built Incorporation at Site
Global Construction
Complex Integration of Multiple Applications Limited Remote Network Based Access Specific Business Process Flows Integrated Approval Process from Customer Near Real-time Site Transparency Mobility and Federated Information Access Better Decisions, Effective Use of
Resources Network Dependent, Latency in Data
Accessibility
Enterprise Level Integration Collaborative, Interoperable, Mobile
Platform Track Construction Progress and System
Status Visually in the Model at Site Office Seamless Data Integrity User Defined Customized Reports Easy Work-sharing for Multi-discipline
Location Independent, No Capex Infrastructure, Fully Scalable Built in Dashboards with Customized
Business Processes Integrated Process Flows Reduced Latency Accessing Data Zero Cost Site Specific Installation and
Maintenance Real-time Site Visibility and Transparency Construction Simulation and Collaboration
b/w Office, Site, and Field
PPM to EPPM Web Based 3-tier Architecture In-network to Cloud, Platform Independent Cost Effective Installations All in One, Access from Anywhere
Collaborative Construction
Integrated Cloud Enablement
© 2015 WIPRO LTD | WWW.WIPRO.COM | CONFIDENTIAL 10
Digital Transformation of E&C Back Office
Standalone and File Based Time Consuming Implementation and Deployment High Risk/Impact on Customizations due to Upgrades Required to Maintain Change History, Back-up and System
Configuration High OPEX for Data Center, H/W, Infrastructure, etc. Limitation on Remote Access
Required Dedicated Internal IT and Infra Support Team Required Mandatory Support and Maintenance from Respective
Vendor High License Cost for Each S/W, H/W, OS, Antivirus Requireed Renewals, Upgrades
On-Premise Based Integrated ERP Environment
Easy, Less Time Consuming Implementation and Deployment Continually Upgraded by Provider with Previous Customization
and Integration Provider to Maintain Change History, Back-up, System
Configures Real-time Data Accessible Via the Internet, Anywhere Any Time Benefit of Using the Latest, Most Advanced Version
Internal IT Needs Minimized Providers Have All Necessary Industry Standard Data Security
Certifications and Compliances No License and Operation Cost, System Pay Subscription Pay-
as-you-go Social Collaboration and Mobile First as an Embedded, Integral
Part of Our Product Design System Easily Rolled Out Across Multiple Regions, Subsidiaries
and Divisions
Cloud Based ERP
Cloud Enablement
© 2015 WIPRO LTD | WWW.WIPRO.COM | CONFIDENTIAL 11
Data Center Virtualization/ Private Cloud
The New Challenge…Cloud Integration
FMS
HCM Procurement MDM
Knowledge Mgmt
EAM
Enterprise Systems
Project Controls Cost
Control Planning & Scheduling
Progress Monitoring
Change Mgmt
Engineering & Design Elec. & Inst.
Mechanical
Piping Civil
Structural
Site People Machinery
Materials HSE
© 2015 WIPRO LTD | WWW.WIPRO.COM | CONFIDENTIAL 12
Based on Industry Best Practice Processes (L0-L5) Across Front Office & Back Office
Pre-Configured Oracle Based Solution: Planning & Management (P6 EPPM ) Integrated with BIM Enabled Estimation Tools Integrated with Contract Management and Cost Control
Cloud and On-Premise Availability Choice of Business Processes and Relevant System
Components PaaS Model with Optional Project Management Services
Automated Sites Integrated with Back Office and
Collaboration Systems Automated and Integrated Engineering Cost Control and Contract Management Integrated with Sites
and Back Office Standardized Processes with Seamless Integrations to Sites,
Partners, Suppliers & Customers Enabling Internal/ External Collaboration, EIM and KM
Wipro ProjectInsight Enables the Digital Enterprise…
Benefits
Achieve Collaboration, Compliance and Control
© 2015 WIPRO LTD | WWW.WIPRO.COM | CONFIDENTIAL 13
Thank You Scott Boutwell, LEED AP