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A BIG DATA APPROACH TO
ENERGY MANAGEMENT IN RETAIL
www.wiproecoenergy.com
ANALYZE. ACHIEVE. ACCELERATE
2
Table of Content
03 .................................................................................... Abstract
04 .................................................................................... Architecting Success with ‘Better Buildings Challenge’
04 .................................................................................... Going the Big Data Way
05 .................................................................................... Navigating the Terrain
06 .................................................................................... Beyond Energy
07 .................................................................................... About the Author
In this era of rapid transformations, Energy
Management is more of a necessity than a choice.
Retail businesses spend billions of dollars each year
on energy.The industry faces the dual challenge of
not only reducing carbon footprint, but also imbibing
sustainable strategies that balance business
objectives with environmental responsibilities.
Popular energy-saving initiatives entail retrofitting lighting, and
heating, ventilation, and air conditioning (HVAC) assets.
Though these measures ensure savings, they bear the burden
3
Abstract
ANALYZE. ACHIEVE. ACCELERATE
of being capital intensive projects. Savings through operations
in large multi-site scenarios lead to results, though limited by
the extent of visibility.
This paper discusses how the effective usage of Big Data Analytics can
revolutionize energy sustainability initiatives for retailers, driving
consumption pattern analysis, establishing efficiency blueprints and
supporting maintenance efforts. Indeed, Big Data is the harbinger of an
efficient tomorrow, bolstering the retailer’s fiscal as well as
competitive repute in the market, combined with the augmentation of
savings potential.
4
As part of President Obama’s Climate Action Plan, the US
Department of Energy (DOE) is promoting ‘Better Buildings
Challenge’, wherein partners target to reduce their energy
consumption by about a fifth by year 2020. This includes retailers in
many segments such as home improvement, apparel stores, the
electronics, pharmacy and grocery segments who have been
leveraging on Big Data to analyze energy usage.
Recently, a US-based leading consumer electronics enterprise
achieved greenhouse gas reductions of 8% per square foot, with a
cumulative progress rating of 24% towards realizing its energy
efficiency goals. Two other large scale retail outlets with a
nation-wide presence also demonstrated significant energy savings
across their portfolios.
These achievements were the result of a strong synergy between
energy management endeavors and leveraging Big Data.
Architecting Success with
‘Better Buildings Challenge’
The concept here is to collect large volume of data (terabytes of
information) pertaining to energy consumption, costs, asset
operations and business policies, and sift through that to determine
operational savings. Some of the examples include standardizing the
temperature policies across the portfolio, ensuring that unnecessary
lights and air conditioning do not operate when not required and the
efficient working of assets. This data when analyzed over a long term,
allowed retailers to figure out not-so-obvious energy leakages like
chronic equipment efficiency issues, insulation problems with the
building envelope and heat gain through the skylights.
The savings are largely achieved by correcting the operational
deviations and fine-tuning the asset operations through controls in
this kind of program. There are hundreds of ways in which performance
Going the Big Data Way
Just collecting data or having software to analyze does not mean that
one would be able to figure out the savings. Analytics capability
requires collaboration between data analysts and domain experts.
Also, given that data is voluminous, structured methods and toolset is
a must for complete analysis across all sites.
Volume and method depends on the present state of technology
deployed, and how granular you would like the data to be, to
determine deviations. For example, one can determine the store
energy performance through historic monthly invoice data, which
means one sample per month. Better visibility into energy deviations in
near real -time is obtained from half-hourly interval data, that is, 48
samples a day. One gets best actionable insights when asset data is
collected. Let’s say 15 parameters for 10 roof-top units every 30
minutes. That will be 15 x 10 x 48 = 7200 records just for a single store
in a day.
Such data is typically collected via Building Automation Systems,
directly through controllers or through their management application.
Many legacy and proprietary systems do not allow any access to data,
in which case metering and sub-metering analysis have to be used.
Carry out pilot study and determine saving strategies that can be
actioned with data. Savings can range from 4% to over 20% across
sites and could be feasible to implement based on size of spend.
can deviate or can be improved across lighting, electrical, cooking, air
conditioning and refrigeration systems. Hence, one needs access to
data across all sites.
For retailers, making Big Data work for energy efficiency programs
entails the following:
Set-up Data Collection Mechanism
Analysis Capabilities
Establish Savings Potential
5
ANALYZE. ACHIEVE. ACCELERATE
Navigating the Terrain
A major challenge to Big Data adoption has been the lack of belief in
such programs. The dearth of skilled users to work with data, IT
support as well as security issues are other major concerns in
embracing Big Data.
However, this is changing fast with more retailers increasingly
adopting it. Many retailers who made progress under the ‘Better
Buildings Challenge’ indicated that Big Data Analytics helped them
reap rich gains.
The program has to be strategically positioned for
multiple stakeholders:
Savings result from action and not just insights. In a 500 site portfolio,
if one is able to cover just 20% stores every month, carry out detailed
analysis of 20 and action upon 10 stores, obviously program will not
produce meaningful savings. A retailer needs to touch almost all the
sites for deviations and resolve the high-gain findings every week
across relevant sites. Effort has to be factored in for the activity.
This also involves proactive measures like checking the set points to
take advantage of favorable weather conditions when you are entering
the shoulder months. A simple measure like correcting schedules for a
one-day holiday helped us save $170,000 in just a day for a retailer.
Data analytics-based savings programs don’t just save energy but also
protect the customer experience. The rich data makes stores
completely visible in near real-time. The saving strategies like
correcting thermal profiles across the stores involve standardizing the
temperature policies and schedules across the stores.
Action
Business Operations
Analytics and granular data allows one to enable multiple other
levers for savings like strategic energy procurement, managing the
demand charges and benefiting from demand response programs.
Utilities
Performance data of assets coupled with maintenance history is
essential for achieving energy efficiencies. The same data that is
collected for energy efficiency is also used for improvement of
maintenance activities.
Maintenance
Sustainability reporting requires accurate data pertaining to
consumption. Any errors related to metering can be quickly
identified through analysis and patched. Also, reporting available at
strategic and tactical level helps one reduce the risk of exceeding
energy budgets.
Reporting
Data plays a very important role in planning and prioritizing the
retrofits. One gets exact run-hours when calculating the lighting
replacements. Also, when you deploy operational savings, many
retrofits will have slower payback. As the program minimizes wastage
by reducing unnecessary running of lights, LED replacement will have
slightly longer payback. This brings in prudence in retrofit decisions.
Retrofit savings can be tracked through the years by data. Similarly,
when remodeling stores, retailers can determine which assets are
inefficient and need replacements.
Projects Organization
6
Beyond Energy
Big Data is also being used by retailers to collect and analyze humongous volumes of information to attract more footfalls. Data collected via web
channels when coupled with device and sensor data at store level can potentially be used to ensure much better customer experience.
Analytics is already getting leveraged for improving asset maintenance that help bring down maintenance costs and improve asset life.
The data from in-store devices, video and wearable technology has the potential to improve sales effectiveness and improve workforce productivity.
This will use same foundation as laid for Big Data Energy Management program.
7
ANALYZE. ACHIEVE. ACCELERATE
Ravi Meghani heads the Energy Management Solutions for retail clients at Wipro EcoEnergy. He has been leading
propositions for Energy Efficiency and innovations in managing non-IT devices for Wipro for over 5 years. He has
an extensive experience in M2M, Managed Services, IT Infrastructure and Voice and Data networks with skills in
solution architecting, delivery and product development. With over 18 years of experience, Ravi’s expertise is in
areas of consulting, infrastructure, retail, financial institutions and telecom. He holds a bachelor’s degree in
Electronics Engineering.
About the Author
IND/BRD/JUN 2015–AUG 2016
Wipro EcoEnergy is the energy services business division of Wipro Limited that provides intelligent, sustainable solutions for energy
consumption and management.Utilizing leading edge analytical tools we deliver energy efficient solutions to our clients that reduce their carbon
footprint, energy usage & recover avoidable energy losses.
Wipro EcoEnergy’s Managed Energy Services offering, holistically addresses the entire spectrum of energy and sustainability services providing
sustained energy savings.Wipro EcoEnergy has created a strong local ecosystem of partners in NorthAmerica,Europe &APAC and has deployed
its Energy Management Services solution for a number of clients around the world.These clients have seen substantial energy savings and cost
reduction during the course of their engagement with Wipro EcoEnergy.
For more information please visit: www.wiproecoenergy.com or reach us at ecoenergy.info@wipro.com
About Wipro EcoEnergy
© WIPRO LTD 2015

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A big-data-approach-to-energy-management-in-retail

  • 1. A BIG DATA APPROACH TO ENERGY MANAGEMENT IN RETAIL www.wiproecoenergy.com ANALYZE. ACHIEVE. ACCELERATE
  • 2. 2 Table of Content 03 .................................................................................... Abstract 04 .................................................................................... Architecting Success with ‘Better Buildings Challenge’ 04 .................................................................................... Going the Big Data Way 05 .................................................................................... Navigating the Terrain 06 .................................................................................... Beyond Energy 07 .................................................................................... About the Author
  • 3. In this era of rapid transformations, Energy Management is more of a necessity than a choice. Retail businesses spend billions of dollars each year on energy.The industry faces the dual challenge of not only reducing carbon footprint, but also imbibing sustainable strategies that balance business objectives with environmental responsibilities. Popular energy-saving initiatives entail retrofitting lighting, and heating, ventilation, and air conditioning (HVAC) assets. Though these measures ensure savings, they bear the burden 3 Abstract ANALYZE. ACHIEVE. ACCELERATE of being capital intensive projects. Savings through operations in large multi-site scenarios lead to results, though limited by the extent of visibility. This paper discusses how the effective usage of Big Data Analytics can revolutionize energy sustainability initiatives for retailers, driving consumption pattern analysis, establishing efficiency blueprints and supporting maintenance efforts. Indeed, Big Data is the harbinger of an efficient tomorrow, bolstering the retailer’s fiscal as well as competitive repute in the market, combined with the augmentation of savings potential.
  • 4. 4 As part of President Obama’s Climate Action Plan, the US Department of Energy (DOE) is promoting ‘Better Buildings Challenge’, wherein partners target to reduce their energy consumption by about a fifth by year 2020. This includes retailers in many segments such as home improvement, apparel stores, the electronics, pharmacy and grocery segments who have been leveraging on Big Data to analyze energy usage. Recently, a US-based leading consumer electronics enterprise achieved greenhouse gas reductions of 8% per square foot, with a cumulative progress rating of 24% towards realizing its energy efficiency goals. Two other large scale retail outlets with a nation-wide presence also demonstrated significant energy savings across their portfolios. These achievements were the result of a strong synergy between energy management endeavors and leveraging Big Data. Architecting Success with ‘Better Buildings Challenge’ The concept here is to collect large volume of data (terabytes of information) pertaining to energy consumption, costs, asset operations and business policies, and sift through that to determine operational savings. Some of the examples include standardizing the temperature policies across the portfolio, ensuring that unnecessary lights and air conditioning do not operate when not required and the efficient working of assets. This data when analyzed over a long term, allowed retailers to figure out not-so-obvious energy leakages like chronic equipment efficiency issues, insulation problems with the building envelope and heat gain through the skylights. The savings are largely achieved by correcting the operational deviations and fine-tuning the asset operations through controls in this kind of program. There are hundreds of ways in which performance Going the Big Data Way Just collecting data or having software to analyze does not mean that one would be able to figure out the savings. Analytics capability requires collaboration between data analysts and domain experts. Also, given that data is voluminous, structured methods and toolset is a must for complete analysis across all sites. Volume and method depends on the present state of technology deployed, and how granular you would like the data to be, to determine deviations. For example, one can determine the store energy performance through historic monthly invoice data, which means one sample per month. Better visibility into energy deviations in near real -time is obtained from half-hourly interval data, that is, 48 samples a day. One gets best actionable insights when asset data is collected. Let’s say 15 parameters for 10 roof-top units every 30 minutes. That will be 15 x 10 x 48 = 7200 records just for a single store in a day. Such data is typically collected via Building Automation Systems, directly through controllers or through their management application. Many legacy and proprietary systems do not allow any access to data, in which case metering and sub-metering analysis have to be used. Carry out pilot study and determine saving strategies that can be actioned with data. Savings can range from 4% to over 20% across sites and could be feasible to implement based on size of spend. can deviate or can be improved across lighting, electrical, cooking, air conditioning and refrigeration systems. Hence, one needs access to data across all sites. For retailers, making Big Data work for energy efficiency programs entails the following: Set-up Data Collection Mechanism Analysis Capabilities Establish Savings Potential
  • 5. 5 ANALYZE. ACHIEVE. ACCELERATE Navigating the Terrain A major challenge to Big Data adoption has been the lack of belief in such programs. The dearth of skilled users to work with data, IT support as well as security issues are other major concerns in embracing Big Data. However, this is changing fast with more retailers increasingly adopting it. Many retailers who made progress under the ‘Better Buildings Challenge’ indicated that Big Data Analytics helped them reap rich gains. The program has to be strategically positioned for multiple stakeholders: Savings result from action and not just insights. In a 500 site portfolio, if one is able to cover just 20% stores every month, carry out detailed analysis of 20 and action upon 10 stores, obviously program will not produce meaningful savings. A retailer needs to touch almost all the sites for deviations and resolve the high-gain findings every week across relevant sites. Effort has to be factored in for the activity. This also involves proactive measures like checking the set points to take advantage of favorable weather conditions when you are entering the shoulder months. A simple measure like correcting schedules for a one-day holiday helped us save $170,000 in just a day for a retailer. Data analytics-based savings programs don’t just save energy but also protect the customer experience. The rich data makes stores completely visible in near real-time. The saving strategies like correcting thermal profiles across the stores involve standardizing the temperature policies and schedules across the stores. Action Business Operations Analytics and granular data allows one to enable multiple other levers for savings like strategic energy procurement, managing the demand charges and benefiting from demand response programs. Utilities Performance data of assets coupled with maintenance history is essential for achieving energy efficiencies. The same data that is collected for energy efficiency is also used for improvement of maintenance activities. Maintenance Sustainability reporting requires accurate data pertaining to consumption. Any errors related to metering can be quickly identified through analysis and patched. Also, reporting available at strategic and tactical level helps one reduce the risk of exceeding energy budgets. Reporting Data plays a very important role in planning and prioritizing the retrofits. One gets exact run-hours when calculating the lighting replacements. Also, when you deploy operational savings, many retrofits will have slower payback. As the program minimizes wastage by reducing unnecessary running of lights, LED replacement will have slightly longer payback. This brings in prudence in retrofit decisions. Retrofit savings can be tracked through the years by data. Similarly, when remodeling stores, retailers can determine which assets are inefficient and need replacements. Projects Organization
  • 6. 6 Beyond Energy Big Data is also being used by retailers to collect and analyze humongous volumes of information to attract more footfalls. Data collected via web channels when coupled with device and sensor data at store level can potentially be used to ensure much better customer experience. Analytics is already getting leveraged for improving asset maintenance that help bring down maintenance costs and improve asset life. The data from in-store devices, video and wearable technology has the potential to improve sales effectiveness and improve workforce productivity. This will use same foundation as laid for Big Data Energy Management program.
  • 7. 7 ANALYZE. ACHIEVE. ACCELERATE Ravi Meghani heads the Energy Management Solutions for retail clients at Wipro EcoEnergy. He has been leading propositions for Energy Efficiency and innovations in managing non-IT devices for Wipro for over 5 years. He has an extensive experience in M2M, Managed Services, IT Infrastructure and Voice and Data networks with skills in solution architecting, delivery and product development. With over 18 years of experience, Ravi’s expertise is in areas of consulting, infrastructure, retail, financial institutions and telecom. He holds a bachelor’s degree in Electronics Engineering. About the Author
  • 8. IND/BRD/JUN 2015–AUG 2016 Wipro EcoEnergy is the energy services business division of Wipro Limited that provides intelligent, sustainable solutions for energy consumption and management.Utilizing leading edge analytical tools we deliver energy efficient solutions to our clients that reduce their carbon footprint, energy usage & recover avoidable energy losses. Wipro EcoEnergy’s Managed Energy Services offering, holistically addresses the entire spectrum of energy and sustainability services providing sustained energy savings.Wipro EcoEnergy has created a strong local ecosystem of partners in NorthAmerica,Europe &APAC and has deployed its Energy Management Services solution for a number of clients around the world.These clients have seen substantial energy savings and cost reduction during the course of their engagement with Wipro EcoEnergy. For more information please visit: www.wiproecoenergy.com or reach us at ecoenergy.info@wipro.com About Wipro EcoEnergy © WIPRO LTD 2015