Automation in Industry The People make the Difference!

1. Automation in Industry The People make the Difference! Steve Huffman Vice President, Mead O’Brien, Inc. St. Louis, MO Chairman, Gov’t Relations, Automation Federation

2. Do you ever think about helping to solve the biggest challenges our world faces? People are the value proposition, as they have been forever.

3. What are the World’s biggest challenges? • Energy • Water • Food • Environment • Health • Chemicals • Minerals • Material goods

4. A career in industrial automation will be a career designed to help meet and solve these daunting challenges! In order to see the future, one must recall the past and how we got here.

5. History of The Value of People in Industry • Era 1 - Early manufacturing • Era 2 - Industrialization • Era 3 - Automation • Era 4 - Technology • Era 5 - Empowerment

6. The Earliest Industries People were the heart of the business Manager Miller Buyer Sales Marketing Maintenance

7. Role and Value of People • Era 1 - Early manufacturing • Era 2 - Industrialization • Era 3 - Automation • Era 4 - Technology • Era 5 - Empowerment

8. Exponential Increase in Complexity

9. Buyer Engineering Management Accounting Operations Maintenance Specialization Sales Shippingg

10. People were in Control! Desired value --- Set point Controller Process Measurement Process Valve Instrument Mission – Safely increase efficiency

11. Role and Value of People • Era 1 - Early manufacturing • Era 2 - Industrialization • Era 3 - Automation • Era 4 - Technology • Era 5 - Empowerment

12. Fewer Operators – Broader View Becoming Information Craftsmen

13. “They replaced me with a controller”

14. Solution Perspective Talent Challenge Solution Technology enabler

15. Role and Value of People • Era 1 - Early manufacturing • Era 2 - Industrialization • Era 3 - Automation • Era 4 - Technology • Era 5 - Empowerment

16. A Change in Perspective Occurred From Challenge What Is the Solution? Technology enabler To New Technology Find a Problem

18. Throw Technology at It! Artificial Intelligence Bandwidth MAP Expert Systems SPC-SQC Dashboards OPC 6s Scorecards 3D Graphics CIM Pixel Resolution Object Orientation Lights-Out Internet Intelligent Instruments Fieldbus Ethernet Client-Server E-Manufacturing.com Technology has great value – only if applied to solve a problem!!!

19. Executive Concerns • Experience drain – Graying of workforce • Difficult to attract/retain high performing staff • Engaging the employees in the business • Helping employees understand their value • Attracting new employees

20. Real-time is the final frontier Right Markets Right Customers Right Suppliers Right Profits . . . Right Quality Right Location Right Quantity Right Cost Right Product Mix . . . Right Temperature Right Chemistry Right Energy Cost, Etc. STRATEGY BusinessControl Quarters Months Weeks . . . Hours Minutes Seconds Production Control ProcessControl EXECUTION

21. Conquering the Real-time frontier

22. Reliability, Cyber Security, Sustainability,… to name a few Reliability… “Top performing plants spend an average of 1.4% on maintenance. A $1 billion plant = $14 million whereas poorly performing plants spend 3.5 times more = 49 million!” R. DiStefano, Reliability Consultant, Emerson Cybersecurity…. “If an industrial control system or critical infrastructure is attacked, or even unintentionally compromised, the result could include regulatory violations, equipment damage, production loss, harm to the environment, and even public endangerment.” S. Huffman, Automation Federation Sustainability…. Meeting the needs of the present without compromising the ability of future generations to meet their own needs. Automation Competency Model, USDOL

23. Why Empowerment – a time problem! 2015 1990 Management (Transactional) Profit Quality Asset Environmental Profit Control (Real Time) Asset Quality Safety Environmental Safety Efficiency Efficiency When You Can Control – Do When You Cannot Control - Manage

24. Enterprise Control principles STRATEGY Business control Operations control Process control EXECUTION

25. Optimizing Profitability and Efficiency Enterprise $ Business Empowerment Business Business Measurement Business Control Process Empowerment Plant Process Measurement Process Control Energy Consumption Production Volume Materials Consumption

26. Cascade of Operational Performance “Loops” Enterprise Business Control Plant Business Control Advanced Control Process Control Industrial Plant

27. “Workplace Departures” • Increasing Baby Boomer retirements • 10,000 per day for next 20 years • 400,000 years of experience being lost per day • Huge amount of experience leaving workforce • Hiring was suppressed through the last 15 years • Lack experienced workers to fill the gap Boomers

28. Characteristics of Millennials (1980-95) • Meaningful careers • Tech Savvy • Diverse • Cyber Literate • Collaborative – part of team • Environmentally Conscious • Innovative • Realistic Millennia's have the characteristics for success!

29. Cemex Balcones Plant Millennials are ideal- Looking for meaning in their work Measuring the real value of every person in the operation

30. Millennial’s are ideal – Team-based, collaborative, desiring to know their work contributes to the bigger picture

31. Millennials are ideal – Tech-savvy, collaborative, networked, multitasking, balancing work/home life Not Your Father’s Automation Industry!

32. Millenniels Want a Career with Meaning • Help solve world energy • Help provide clean water • Help solve world hunger • Help clean and sustain the environment • Help meet chemical & mineral needs • Help provide material goods It would be difficult to find a career with greater impact!