Don Clark, Vice President Global Industry Solutions

1. ISA S95 ● What is it? ● Why is it Important? ● Why should Invensy Operations Management Care? Don Clark, Vice President Global Industry Solutions

2. Objectives • ISA S95 Overview/Highlights – A “tutorial” • Why it is important to the process industries • End user • Vendor community • How InFusion maps to S95

3. Topics • The Big Picture • Why was S95 Formed? • Value of S95 to the Industrial Community • Progress-to-Date • What the Standard is, What it Covers, What it Isn’t • Where we are Now: Current Status, Sub-committee Activity, etc. • Application to InFusion • Future Directions • S95 Impacts to Operating Companies • Call to Action!

4. S95 “Sweetspot” S95: Defines Domain between DCS and ERPS95 = “InFusion Core” Functionality Handled well by ERP systems Traditional CIM gap based on time domain of interest Time domain of interest “Invensys Operations Management” InFusion “Core” Years Months Weeks Days Hours Minutes Seconds Mili/micro seconds Corporate/Enterprise Production Operations, or Enterprise Control System Purdue CIM Reference Model Gap of Unmet Needs Plant Control/Automation Systems Handled well byDCS/PLC systems Result: Disconnect between that which is planned and that which is, can, or ought to be done.

5. Reference Model: Why Have a Standard? • Integration of manufacturing control systems with the rest of the business has been one of the more difficult problems to solve • Not only technology issues, but also people and organizational problems • Lack of common terminology (same terms often used for different things by the two groups, or different terms used for the same things) • Lack of consistent representation of data • Viewpoints of what is important differ • Critical success factors are different • At the very bottom, it casts what constitutes the information flows between Levels 3 and Level 4 in the Purdue CIM Reference Model in a way that is commonly available to anyone, vendor and end user • It does not define what constitutes Levels 3 or 4 functionality, per se • Only what constitutes activities between them • This means those functions that are involved in inter-Level 3 and 4 messaging must be likewise defined

6. Value of S95 For End-Users: • Provides reference to model their own business needs • Use to define what components a project needs − incrementally • Use to greatly reduce RFQ pre-work − reduces to selection list • Re-use of IP across businesses • Reduced learning curve for user and technical support: consistency • Reduces costs of inter-vendor interoperability • Used in rational vendor selection evaluation: compare against a “gold Standard” For Solution Providers: • Provides consistent solutions across industry between customers • Allows for lower cost integration services • Faster deployments • Fosters incremental solution deployments • Does allow room for innovation/differentiation within confines of Standard • Lower project bidding costs • Overall lower project costs and time

7. The S95 Standard: The Lay of the Land 2nd rev done! 2nd rev done! Rev 2 update complete for review Out for 1st vote! Rev 2 update complete for review • “Enterprise Control System Integration Part 1: Models and Terminology” • The scope of Part 1 is limited to: a) a definition of the scope of the manufacturing operations and control domain; b) a definition of the organization of physical assets of an enterprise involved in manufacturing; c) a definition of the functions associated with the interface between control functions and enterprise functions; and d) a definition of the information that is shared between control functions and enterprise functions. • “Enterprise Control System Integration Part 2: Object Model Attributes” • The scope of Part 2 is limited to: • the definition of attributes for the Part 1 object models. • the Part 2 standard does not define attributes to represent the object relationships defined in Part 1. • “Enterprise Control System Integration Part 3: Activity Models of Manufacturing Operations” • The scope of Part 3 is limited to: • A model of the activities associated with manufacturing operations and control, Level 3 functions. • An identification of the data that flows among these activities. • “Enterprise Control System Integration Part 4: Object Models and Attributes of Manufacturing Operations Management” • Note: This is a proposed Part 4, defining detailed object models of information that flows between the activities defined in Part 3. • “Enterprise Control System Integration Part 5: Business to Manufacturing Transactions”

8. Progressive Detail & Exposure of S95 Communication Objects • The S95 standard uses multiple models to explain the elements of Enterprise/Control System Integration. • The initial models in the standard are very abstract, and the final models are very detailed and specific. • Each model adds a level of detail and definition and builds on the information in the previous model. • The standard starts with a definition of the domain of manufacturing control and the general activities in the manufacturing domain. • This is followed by a model of the functions within a manufacturing enterprise that relate, or interact, with the actual manufacturing control functions. • The functions that are directly related to the scope of the standard are given additional definition and descriptions, and then the information that flows between these functions is defined.

9. Focus of S95 Part 1 & Part 2 Focus of S95 Part 3-5 Focuses on “the product.” The “What” Focuses on “the process.” The “How” S95: Hierarchy Model (Domains) A simplified version of the complete model defined in the Purdue Reference Model for CIM (Computer Integrated Manufacturing), combined with the MESA (Manufacturing Execution Systems Association) model for activities in the manufacturing control domain. Production Operations, or Enterprise Control System Purdue CIM Reference Model

10. Execute-Do S95 Seeks to Formalize and “Generisize” for All Process Markets these Workflow Activities and Functions… Process Manufacturing Operations • Planning • 5 year • Annual • Monthly • Ad hoc • Creates forecastsby product: • - Unit costs • - Volumes • - Plant loads • - Labor needs • - Capital assets • Detailed ProductionScheduling • Done by product • Done monthly • Based on volume plansand average rates • Each process unit/line isscheduled • Real time schedule optimization • Raw Materials Purchasing • Done by product • According to schedule • Accommodates transport lags • Order/deliver • Inventory levels • WIP storage • Warehouse/locator system • Stage • Ship • Production Reporting • Cost • Quality • Volumes • Rates • Waste-by-cause • Forecasts • Actuals • Variance Plan-Report • Shipping/Receiving • Logistics for shipping • Incoming/outgoing goods • Material dispatching • Quality Assurance Operations • Building quality in • Defining metrics • Define standards and procedures • Incoming/outgoing inspections • Make measurements/report • Product Analysis • Production Engineering • Design of Experiments • Improve • Production Tech-support • Production Analysis • Process Engineering • Automation • APC • RtOps • Process/equipment designs • Production Operations • Production Execution • 24/7 support • Daily run time support • Process Monitoring – Six Sigma • Maintenance Operations • PM schedules • Fix/repair/expensed • Improve/capitalized

11. Order Processing Incoming material and energy receipt (1.0) Product Product Cost Shipping Admin Accounting (9.0) (8.0) Finished Goods Inventory Production Pack Out Schedule Scheduling (2.0) Long Term Confirm to ship Release to ship Production Material and Performance and cost Energy Production Capability Production Cost Reqr’ments Production From Plan Objectives Schedule Finished Goods Waiver Short Term Material Material and Production Process Data Product and Energy Requirements Control Energy Control In Process Waiver Inventory Control Request (4.0) (3.0) (7.0) Material and Energy Inventory Standards and Customer Incoming Order Requirements Confirmation Material and Process Data QA Results Energy Requirements QA Results Maintenance Quality Requests and Standards Procurement Maintenance Response and Feedback Assurance (5.0) Product and Process Know How (6.0) Product and Process Information Request Maintenance Standards and Purchase Order Customer Requirements Requirements Product and Process Maintenance Requirements Marketing Management & Sales (10.0) Research Development and Engineering This is What that Looks Like in S95-speak:Functional Enterprise Control Model: Part 1

12. Business planning & logistics information Plant production scheduling, operational management, etc Product definition information (What must bedefined to make a product) Production capability information (What resources are available) Production performance information (What was made and used) Production schedule information (What to make and use) Manufacturing operations & control information Production operations, maintenance operations, quality operations, etc Parts 1 and 2…

13. Parts 1, 2, and 3… INFORMATION FOR MANUFACTURING OPERATIONS MANAGEMENT Schedule/Request information Performance/Response information Production schedule Maintenance request Quality Test request Inventory request Production performance Maintenance response Quality test response Inventory response Manufacturing operations Production operations management Maintenance operations management Quality operations management Inventory operations management Product definition information Maintenance definition information Quality test definition information Inventory definition information Production capability Maintenance capability Quality Test capability Inventory capability Capability information Definition information

14. ISA S95 Manufacturing Architecture ERP PLM CRM SCM Enterprise application integration ANSI/ISA –S95 Part 1 and 2 Object model information Product capability (what and how much is available to make) Product definition (what to make) Product schedule (what to make and use) Product response (what was made and used) ANSI/ISA –S95 Part 3 Activity models of Manufacturing Operations Maintenance Inventory Quality Production Execution Data collection Performance Analysis Tracking Definition Scheduling Dispatching Resource Management Process Control (Field instruments, DCS, PLC, sensors, etc.)

15. Progressive Detail and Exposure Manufacturing Operations Information Models (Part 3) Example

16. Production Model from S95, Part 3

17. Maintenance Model from S95, Part 3

18. Quality Test Model from S95, Part 3

19. Inventory Model from S95, Part 3

20. S95: A Work-in-Progress… It is not a compliance-rich Standard.It is a set of guidelines and a framework: - To align with, not comply to • Difficulties in applying the model in any ‘literal’ way: • No extensive real life industry examples are available through white papers, etc. • Terminology mapping required • S95 describes generic structures (name/value properties) for data exchange but does not address how to enforce the meaning of the contained data • A S95 ‘compliant’ message generated by Vendor A application may not be meaningful to Vendor B’s application which supports S95 ‘compliant’ message interface • Require extra infrastructure to support exchange of data, but simpler than none at all.

21. Vendors and Technology Independence • The problem • Manufacturing enterprises are typically dynamic entities. Continual changes in business processes are necessary to meet changing business and legal environments • The ANSI/ISA S95 series of standards aids in separating business process from production processes. It describes information in a way that is business - and production - process independent • Another value of the standard to business is by separating the exchanged information from specific implementation of manufacturing systems and specific implementations of the business systems. • The solution • Considering the rate of change in business and manufacturing software, a technology independent way is needed to exchange data. XML turns out the right solution at the right time. While multiples technologies can be used to exchange XML documents, the documents themselves can be very stable across generations of technologies. • XML described structured data in one document or application so that it can be used by another application or document. By describing the components and the relationships between them, XML can provide both structure and meaning to any type of data. XML is platform and vendor neutral.

22. B2MML – XML Schemas for ISA S95 • An XML schema is an agreement between businesses on how data should be expressed in XML • In late 2001, a working group under the auspices of the World Batch Forum (WBF) was formed to produce a set of XML schemas for the data models defined in ISA-95.00.01/2 • B2MML provides a set of XML schemas based on ANSI/ISA-95 • B2MML may be used to integrate business with manufacturing systems • Will be revised per Part 3 once formally completed to include those XML schema as well – done

23. Where We Are Today… • Parts 1-4 in final stages in re-do • Have rationalized Parts 1 – Parts 5 • Have formal interaction Committees on inter-Standard Alliances: • MESA – possible marketing arm of S95 Committee • S88WBF – batch harmonization – Tech paper completed • MIMOSA – Maintenance Data access model • SCOR – Supply Chain Reference Model • S99 – Cybersecurity • S100 – Wireless • S106 – Procedural Automation for Continous Processes

24. Commercial Distribution of Personnel R&D Manufacturing Administration I/S Supply Chain Engineering What's Unique about the Process Industry? Manufacturing is the best place to leverage labor productivity gains! 1. Manufacturing is the location of a process company's "value add" 2. Manufacturing has the greatest concentration of deployed capital in assets 3. Manufacturing employs the largest number of people

25. Asset Map for Process Industries Asset Base Capital Deployed Labor Material/inventory Energy Intellectual Knowledge Information Value-Add $ Material Value EBIT Enterprise Operations Integration ERP System Inbound Logistics Outbound Logistics Order Fulfillment Purchasing Manufacturing Outside of R&D, manufacturing is the only segment of a chemical company's supply chain where value is added. Manufacturing is the largest financial lever under a chemical company's control.

26. Enterprise Business Systems (ERP, Customer Relationship Management) Automate Transactions Enterprise S-95 Model for MES Manufacturing Network Work Requirements Work Responses Work Definition Management ProductAnalysis (QA) Work Scheduling ProcessAnalysis Resource Management Work Tracking Automate Events Historical Data Management Work Dispatching Work Execution ProductionAnalysis Personnel, Equipment, Materials Plant Process Equipment Process Control Systems (Continuous, Batch, Discrete, SCADA) Sensing and instrumentation Automate Equipment The Next Opportunity is Between the Control Room and the Board Room Operational Excellence

27. Enterprise Business Systems (ERP, Customer Relationship Management) Automate Transactions Enterprise S-95 Model for MES Manufacturing Network Work Requirements Work Responses Work Definition Management ProductAnalysis (QA) Work Scheduling ProcessAnalysis Resource Management Work Tracking Automate Events Historical Data Management Work Dispatching Work Execution ProductionAnalysis Personnel, Equipment, Materials Plant Process Equipment Process Control Systems (Continuous, Batch, Discrete, SCADA) Sensing and instrumentation Automate Equipment Operational Excellence: InFusion Invensys Solution Footprint in the Process Industries InFusion

28. Transactional Intelligence Engine Industrial Data Warehouse Real Time The InFusion Vision Enterprise Control System Business Applications Business Operations Management Manufacturing Operations Management Core Control Controls Field Devices Advanced Applications • InFusion becomes the standard for Enterprise Control • Delivering integrated solutions that will unify the production and business environments • It will be as pervasive to the production environment as Microsoft Office is for the desktop • Allowing our clients to: • Improve business & productivity By unifying disparate business systems that allow our clients a common view from which they can drive their operation • Outperform the competition By improving supply chain efficiencies across a multi site operation

29. Transactional Engineering Environment Application Environment InFusion Historian Active Factory Information Server Access Real Time How We will Do It Enterprise Control System Business Applications Core Control

30. Enterprise Control System Real-time Operations Management “Marketecture” PLCs Vertical Industry Applications Ecosystem Partners Application Space Visualization (HMI) Config. Tools ERP Integration Historian IA Apps Apps Real-time Operation Management Asset Performance Optimization MES EMI Apps Common Infrastructure Software System Platform “Core”technologies Small System Controllers (EU) Large System Controllers (IPS) Safety Controllers (IPS) Non-Invensys Devices Scalable

31. S95’s Impact on Operating Companies • Provides for rigorous documentation around common standards • Supports common workflow processes • Faster scale ups/shorter ‘learning curves’ due to standardization • Reduces documentation costs • Allows for cross-industry migrations quickly • Provides equal footing for end-user and regulatory agencies in communications • Promotes repetitive activities in support of standard • Tighter linkage – repeatable, documented – between control/execution and reporting/planning

32. Call to Action • Need for more end-user participation and involvement • Participation is free, and open to any interested party • Every company is entitled to one vote • Contact either: • Keith Unger, Chair: djkunger@hotmail.com • Don Clark, Co-Chair and US rep to ISO/IEC Committees: don.clark@invensys.com • Dennis Brandl, Editor: dnbrandl@brlconsulting.com • Charley Robinson, ISA Standards Director: crobinson@ISA.org