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Innovation in Polyolefin Operational Excellence and R&D - A local and global perspective

Innovation in Polyolefin Operational Excellence and R&D - A local and global perspective. Saudi Arabian Section of American Institute of Chemical Engineers 27 th February 2012. CONTENTS. 1. Introduction – Who are Impact Solutions? Background History in KSA

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Innovation in Polyolefin Operational Excellence and R&D - A local and global perspective

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  1. Innovation in Polyolefin Operational Excellence and R&D - A local and global perspective Saudi Arabian Section of American Institute of Chemical Engineers 27th February 2012

  2. CONTENTS • 1. Introduction – Who are Impact Solutions? • Background • History in KSA • 2. Polyolefins Landscape and Value Chain • 3. Impact Experience and Capabilities • 4. Polyolefins Operational Excellence • 5. Polyolefins R&D • 6. Key Point Summary • 7. Questions

  3. 1. Introduction

  4. 1. Who are Impact Solutions? • Founded in 2002 as a spin-out from BP Chemicals • 30 year history in all aspects of the plastics industry from “Reactor to Recycle” • Projects around the globe working with major brand owners. • Based in the Grangemouth petrochemicals complex, Scotland, UK • UKAS accredited laboratory for innovation and product testing.

  5. 1. Impact in KSA and the Region • Presence in KSA since 2007 • Examples of activities….. • Operations Optimization • Laboratory Design and Optimization • Capability Development (training) • Currently delivering projects across the local region KSA, Qatar, India, Oman

  6. 1. Impact in KSA and the Region – Supporting the Country 5 Industrial Cluster Groups in KSA • Minerals and Metal Processing • Automotive cluster • Plastics and Packaging cluster • Home Appliances cluster • Solar Energy cluster Resources Developing Downstream Industries Employment Economic Growth

  7. 2. The Polyolefins Landscape and Value Chain

  8. 2. Polyolefins Landscape and Value Chain – Olefin Capacities Forecasted Olefin Capacity Changes (Millions of tonnes, 2011 – 2017)

  9. 2. Polyolefins Landscape and Value Chain – Petrochemical Capacities Millions tes/a

  10. 2. Polyolefins Landscape and Value Chain - Olefin Use Ethylene Propylene

  11. 2. Polyolefins Landscape and Value Chain - Polyethylene

  12. 2. Polyolefins Landscape and Value Chain- Polypropylene

  13. 2. Polyolefins Landscape and Value Chain - Polypropylene

  14. 2. Polyolefins Landscape and Value Chain

  15. 2. Polyolefins Landscape and Value Chain Industries Packaging Transport Utilities/Pipe Oil & Gas Construction R&D Design & develop: New Products New Processes New Applications Develop IP/Labs Operations Productivity Quality Cost Service Speed Marketing Support Develop Brand Service Feedback to R&D IP IP IP $ $ $

  16. 3. Services, Experience and Capabilities

  17. 3. Services, Experience and Capabilities Reliability, Costs, Productivity Technology Solutions $$$ Performance Information Information Gaps Problems People Training Your Technology Regulatory & Social Impact’s 30 Years of Expertise in Operational Excellence Quality and HSE Creating and Sustaining Value in Partnership

  18. 3. Services, Experience and Capabilities

  19. 3. Services, Experience and Capabilities • Specific Technologies • Refining • Olefins and Derivatives (e.g. EO, VA, Styrene) • Polyolefins Production • Polyolefins Compounding • Recent Project Examples • Cracker yield optimization • Polyolefin quality improvement • Polyolefin catalyst choice and optimization • Polyolefin product development (R&D, TS&D) • QC/QA Performance Improvement (polymers, refining, olefins) • Customized Training Programmes • Laboratory design and commissioning

  20. 3. Services, Experience and Capabilities • Impact’s engineers are currently working on a range of optimization projects in Europe, • MENA and India • Novolen PP • Amoco PP • Unipol • Spheripol • Innovene PP and PE • Basell multi-reactor HDPE • LLDPE, gas phase and tubular • Phillips slurry Depth and Diversity Fast Value!

  21. 4. Polyolefin Operational Excellence

  22. 4. Polyolefin Operational Excellence What do we mean by Operational Excellence?? “ Operationally Excellent Companies are committed to continuous improvement and deliver a combination of Quality, Price, Service and Product and Application Expertise that no-one else in the Market can match ……..” Examples of World Class Companies include - Toyota, Proctor and Gamble, Dow, BASF……….

  23. 4. Polyolefin Operational Excellence - Categories

  24. 4. Polyolefin Quality Improvement – An example Case Study The Difference between “Ok Quality ” and “Top Quartile” Quality…………… Target • Customers have an ever-increasing choice of resin suppliers……………….…. • Customers will CONTINUE to buy fit-for-purpose, CONSISTENT resins…….. • Customers will TURN-AWAY from INCONSISTENT resins…….. • Variability = $$$$$$$ Why Start with Quality??? If you can’t sell it, you’re not in business…..get the quality right, then costs can be worked on…..

  25. 4. Polyolefin Quality – An example Case Study • First step in Impact Quality Solution is basic Lean 6-Sigma Training

  26. 4. Polyolefin Quality – An example Case Study Poor Cp and Cpk Good Cp, poor Cpk Good Cp and Cpk

  27. 4. Polyolefin Quality – An example Case Study Polyolefin Industry Tiers and Operational Excellence Journey R&D Most effective here • Continuous Improvement in “DNA” • Effective use of APC techniques • Top Quartile QC Laboratory • Developing Improvement Culture • Effective use of data • Basic approach to Quality • Within “limits will do” • Poor discipline and practice

  28. 4. Polyolefin Quality – An example Case Study Performance Improvement Audit • Productivity and Quality Baseline • Current Cp and Cpks • Transition performance (times and consistency) • Catalyst productivity Plant Data Analysis Identify Opportunities Performance Improvement • Capability Baseline • Machines • Technicians • Processes Identify Opportunities QC Lab Performance Assessment

  29. 4. Polyolefin Quality Improvement – An example Case Study The Simple Equation………………………………….. Total Product variability Plant variability Lab variability • Key simple Quality Control Parameters • Molecular weight (Melt flow rate) • Molecular weigh distribution (MFR ratio) • Density (PE) • Stereo-regularity (PP)

  30. 4. Polyolefin Quality Improvement – An example Case Study Why QC Laboratory Capability (Cp) is critical to competitiveness……………………. Manipulated variables Reactor Product Reactor Composition and Conditions Control variables Feedback Operator based decisions or APC QC Lab

  31. 4. Polyolefin Quality – An example Case Study Catalyst supply and handling • Key Quality Actors • In-grade quality control • Transition time and consistency • Catalyst variability and productivity Guidelines and Operator Actions Grade wheel Prime Product Wide specification product Off-grade $$$$$

  32. 4. Polyolefin Quality – Effective Use of Data drives Improvement • Customised Analyses • Powerful Optimization Tool • Customized KPI dashboards “Plant Health” Performance Monitor • Integrates data from multiple sources, generating user defined trends, calculations and KPIs • Links DCS and Laboratory systems (or any data sources) • Plots quality parameters vs. key control variables on-line, leading to better operator decisions • Calculates Cp/Cpk values, in spec % and transition periods in real time • Can calculates variable costs in real-time (deviations from targets) • Drives continuous performance improvement • Totally customizable – can generate and report any required KPI

  33. 4. Polyolefin Quality – Effective Use of Data drives Improvement Typical single reactor screen-shot……….

  34. 4. Polyolefin Quality – Effective Use of Data drives Improvement Multi-step reactor screen-shot……….

  35. 4. Polyolefin Quality – Effective Use of Data drives Improvement Financial indicator screen-shot……….

  36. 4. Polyolefin Quality – Reactor MFR Control Used detailed non-linear procedures and Plant Health Start of procedure trial Cp/Cpk = 0.5 During trial Cp/Cpk = 0.7 At end of trial Cp/Cpk = 1.1

  37. 4. Polyolefin Quality Improvement – An example Case Study Back to the Simple Equation………………………………….. Product variability Plant variability Lab variability

  38. 4. Polyolefin Quality Improvement – An example Case Study QC Optimization Statistical Rules Result Validation Capability • Lab Health • Monitors and reports consistency • Performance by product, machine, shift and technician • Monitors and reports compliance • Does the result make sense? • Re-sample? • Re-check? • Track errors • People • Equipment • Procedures • Visibility • Leadership

  39. 4. Polyolefin Quality – An example Case Study – Lab Health

  40. 4. Polyolefin Quality – An example Case Study – Lab Health

  41. 4. Polyolefin Quality – An example Case Study – Lab Health • Lab Health calculates moving confidence limits • The tuning factor in the calculation is derived from Laboratory Capability (Cp) • Lab Health prompts the technician to take action • Discuss with panel, re-check…. • Lab Health records the action taken MFR USL LSL

  42. 5. Polyolefin Quality – An example Case Study • Production result • Increased stability led to sustained higher rates, better procedures led to shorter consistent • transitions • Quality result: • 50% reduction in variability, less customer complaints, less wide spec product • Overall financial benefit can be > $10m per production line

  43. 4. Polyolefin Quality Improvement – An example Case Study • Variable Catalyst Activity affects costs and Quality • Consistency of supply, handling and the specific reactor conditions are critical to Optimization • In this example Impact helped close a 20% productivity gap, worth circa $10m per annum CONDITIONS SUPPLY HANDLING

  44. 4. Polyolefin Quality Improvement – Capability Development • The role of on-going Training in the journey towards Operational Excellence is key • Both Technical and Delivery-oriented Training is required • This must be accompanied by overall Organizational Development Lab Methods & Techniques Process Control Lean 6-Sigma Problem Solving Project Management High Performing Teams Material Science

  45. 4. Key Messages in Operational Excellence • Operational Excellence starts with the BASICS………………….. • It requires effective capture and utilization of data………….. • It requires a longer-term view……..(not just fire-fighting)……. • It requires commitment from Leaders to CREATE and SUSTAIN a continuous improvement culture…….. • It requires effective Knowledge Management……… • It requires continuous Development of People……….. • It requires State of the Art Systems to help lock-in improvement ……….

  46. 5. Polyolefins R&D

  47. 5. Polyolefins R&D Industries Packaging Transport Utilities/Pipe Oil & Gas Construction R&D Design & develop: New Products New Processes New Applications Develop IP/Labs Operations Productivity Quality Cost Service Speed Marketing Support Develop Brand Service Feedback to R&D IP IP IP $ $ $

  48. 5. Polyolefins R&D……starts with facilities and standards • R&D and QC Labs -Design, Build and Commission • Equipment selection • Introduction of ISO 17025 standards • Pilot Plant Design and Operation • High Throughput Experimentation

  49. 5. Effective R&D works across the supply chain…… Impact example in KSA…… High Performance Pipe

  50. 5. Impact R&D Activities……….Some Examples…… Construction • Development of WPC for decking • Work on nano-composite blends • Development of intumescent formulations • Fibre polymer blends from post consumer waste Transport Oil &Gas • Spray control for trucks • Under bonnet bottles • W&C polymer systems for Oil and Gas • Polymers in Umbilicals used in production • Pipe lining for anticorrosion Utilities Polymers • Assessment of service life • Development of NDT for welds • Design of bimodal Polymers • Polyketone • PEEK pipe

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