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Customer and Background: The customer is a leading global petrochemical major, with operations across 50 countries and a global workforce of over 30,000. At the forefront of digital transformation in the oil & gas industry, the company is acknowledged for its Environmental, Social, and Governance (ESG) initiatives.
Petrochemical manufacturing involves complex operations with multiple process and equipment units playing a vital role in driving overall plant efficiency. Industry leaders are leveraging Big Data technologies and analytics to foster manufacturing automation in addition to enhancing operational efficiency and boosting productivity. L&T Technology Services (LTTS), with its deep domain expertise in the digital transformation of process industries was the customer’s partner of choice to automate production processes, integrate machinery, track performance, and predict equipment malfunctions.
The Challenges: The customer faced challenges on three fronts, namely-
Limitations of legacy systems: The legacy setup could not proactively address asset breakdowns or plant shutdowns with an appropriate lead time for preparation/mitigation.
Ineffective KPI monitoring: A lack of effective monitoring for critical KPIs led to operational inefficiencies, resulting in material losses and leakages during the manufacturing process.
KPI identification and maintenance issues: Failure to identify the right KPIs to be tracked for each asset and ensuring periodic maintenance.
LTTS’ Approach and Solution: LTTS’ proprietary in-house solution, the Asset Health Framework, has opened doors for collaborations with leaders in the engineering and research & development industry. For this customer, the solution was meticulously developed to address the unique challenges.
Solutions Implemented:
- Implemented an AI advisory decision support system that employs Machine Learning (ML) for detecting anomalies.
- Created individualized anomaly detection models specifically designed for each critical asset.
- Extracted crucial variables from the data to effectively identify anomalies.
- Launched an AI solution that processes live data while incorporating historical and contextual data for anomaly detection.
- Introduced sensor-based classifiers to generate timely alerts for any detected anomalies or failures.
Business Benefits:
- Up to 20 percent reduction in equipment downtime through optimal maintenance scheduling.
- Up to 10 percent reduction in maintenance costs across multiple customer facilities, improving Return on Investment (ROI).
- Up to 15 percent increase in plant productivity, leveraging deeper, real-time analytics and insights from domain experts.
- Reduction in annual incident rates from 30 to 5 (>80 percent drop) within a year of solution implementation, securing significant client recognition for safety improvement.
- 104 critical events across 12 plants were identified with LTTS’ solution, saving the client ~$10 million in the first year of implementation. Previously, such events had otherwise been overlooked.
The petrochemical manufacturer has effectively deployed the solution in 8-10 plants and aims to extend its use to more than 50 plants in the next two years. This planned expansion highlights the substantial advantages and trust in LTTS’ solutions, paving the way for improved operational efficiency and safety.