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ENERGY MANAGEMENT;
Establishing a foundation for continued
performance
Patrick Verdonck & Steven Meun
Why Care?
Phase 1, the Basics or Low
Hanging Fruit
Phase 2&3 - Techniques to
Drive and Sustain
Performance
Confidential – © Inogen Environmental Alliance 2016
Why Care?
Increased
efficiencies
Enhanced
Brand Image
Reduced Business
Disruption Risks
Less Energy
Usage
Less Waste
Creation
Reduced Water
Consumption
Confidential – © Inogen Environmental Alliance 2016
1678 Mtoe
-20%
objective
Status
today
1842 Mtoe
business
as
usual
2020
Projections from 2007
Projections from 2009
20% Energy saving objective
1474 Mtoe
* Gross inland consumption minus non-energy uses
Primaryenergyconsumption*,Mtoe
1400
1450
1500
1550
1600
1650
1700
1750
1800
1850
1900
2005 2010 2015
GAP
THE OBJECTIVE OF THE EU IS TO CLOSE THE GAP TOWARDS THE
EUROPEAN 20% ENERGY SAVING TARGET
Why Care?
Confidential – © Inogen Environmental Alliance 2016
Pursuing the Ideal State
5
Long-Term
Strategic Plan
Engaged &
Motivated
Employees
Compliance
Focused
Reactive
Anticipatory &
Proactive
Best-In-Class / Leader
• Compliance
Focused
• Cursory
Awareness
• Lack of
Direction
• Minimal
Management
Support
• Engaged Employees
• Goals and
Reporting
• Clear Vision
• Defined
Management
Support
• Strategic Plan
• Executive Accountability
• Performance Data and Trends
• Multi-Stakeholder
Engagement
Confidential – © Inogen Environmental Alliance 2016
The Tale of Two Approaches
Example: a compressed air leak may be discovered and fixed, but monthly energy
usage still increases due to inefficiencies elsewhere and lack of a holistic and
monitored perspective on energy usage.
This discourages employees and leadership.
Antea Group6
Find-and-Fix Approach
Facility pursues energy reductions
in an opportunistic and ‘ad hoc’ manner.
While effective in immediately engaging
employees in ‘hands on’ action…
… successes often do not translate to
positive performance in overall metrics.
Programmatic Approach
Facility establishes a programmatic
approach to energy (water) management.
While potentially more time/resource
intensive to implement…
… the result is strategic, sustained, and
consistent management of energy.
Confidential – © Inogen Environmental Alliance 2016
Following a Practical Path Forward
Antea USA, Inc.7
P H A S E 2
6-9 Months
P H A S E 3
9-18 Months
Define and Deploy KPIs
Create Cross Functional
Energy/Water/Waste Teams
Define and Manage Benchmark
Data
Define and Deploy Reporting
Process
Roll-out Program Across
Enterprise
Define Long-term Stretch Goals
Review Progress and Adjust
Goals and Programs As
Necessary
Formalize into Management
Systems
Create Desired Culture for
Continuous Improvement
P H A S E 1
0-6 Months
Develop Energy Policy
Select Energy Champion(s)
Confirm Short Term Goals /
Targets
Define Facility-Level Baselines
Conduct Assessments
& Implement Quick Wins
(TOP10’s)
Why Care? The Foundation
Phase 1, the Basics or Low
Hanging Fruit
Phase 2&3 - Techniques to
Drive and Sustain
Performance
Confidential – © Inogen Environmental Alliance 2016
Logically Attacking Opportunities
Starting With the Basics to gain momentum…
Housekeeping
Process
Optimization
Raw Material
Substitution
New
Technologies
New Product
Design
Confidential – © Inogen Environmental Alliance 2016
Energy: Top 10 Basics
1. Reduce air pressure
2. Fix air leaks
3. Insulate pipes & valves
4. Shutdown idle equipment
5. Evaluate all set-points
6. Maintain HVAC
7. Collect steam condensate
8. Retrofit plant lighting
9. Fix steam traps and leaks
10.Train & involve employees
Why Care? The Foundation
Phase 1, the Basics or Low
Hanging Fruit
Phase 2&3 - Techniques to
Drive and Sustain
Performance
Confidential – © Inogen Environmental Alliance 2016
HOW DOES MATURITY LOOK LIKE?
… a Maturing Processes Over Time
1. Optimized – Processes are all in place and
continuous improvement is evident
2. Quantitative – Statistic analysis of data
supports process objectives
3. Standardized – Processes are developed
and meeting minimum performance
requirements
4. Managed – Processes are documented to
work instruction level
5. Initial – Processes are being performed,
process owners may have been identified
Confidential – © Inogen Environmental Alliance 2016
… Building on Momentum
13
P H A S E 2
6-9 Months
P H A S E 3
9-18 Months
Define and Deploy KPIs
Create Cross Functional
Energy Teams
Define and Manage Benchmark
Data
Define and Deploy Reporting
Process
Roll-out Program Across
Enterprise
Define Long-term Stretch Goals
Review Progress and Adjust
Goals and Programs As
Necessary
Formalize into Management
Systems (ISO50001)
Create Desired Culture for
Continuous Improvement
P H A S E 1
0-6 Months
Develop Energy, Waste and/or
Water Policy
Select Energy, Waste, & Water
Champion(s)
Confirm Short Term Goals /
Targets
Define Facility-Level Baselines
Conduct Assessments
& Implement Quick Wins
(TOP10’s)
Confidential – © Inogen Environmental Alliance 2016
Tip: Building Teams
 Create a Sustainability Team to lead and
coordinate activities between the various
groups that will need to be involved in
order for the energy project and program
to be successful.
 Establish a clear purpose for the team:
 Create and lead an ongoing
sustainability program
 Perform a one-time energy reduction
assessment
 Involve people with interests in the
program and who know the company.
P H A S E 2
6-9 Months
Create Cross Functional
Energy Teams
Confidential – © Inogen Environmental Alliance 2016
Tip: Data Tools
D ATA C O L L E C T I O N A N D
A N A LY S I S T O O L S
 Identify common savings opportunities
and create handbook of best practices
 Create and use common “calculators” to
ensure consistent analysis
 Create templates for collecting and
analyzing energy, water, and waste data
 Develop and share case studies, including
project analyses
Define and Manage Benchmark
Data
P H A S E 2
6-9 Months
Client Name/Logo
6. Lighting Standards
Lighting Tool - Home Page Template
Navigation
1. To BeginGo To GeneralInformation
2. AddAreaCalculationSheet
3. RollUp Summary Tab
4. LightingToolStepby Step
5. BackgroundInfo: Lamp Types
6. LightingStandards
7. VendorInformation
8. AdditionalFundingInformation
9. UserIcon &Map KeyInformation
10.Instructions
Confidential – © Inogen Environmental Alliance 2016
Tip: Employee Engagement
C O M M O N T E C H N I Q U E S F O R
B U I L D I N G E M P L O Y E E AWA R E N E S S
 Posters
 Training opportunities
 Idea generation contests
 ‘Find the most leaks’ contest or teams
 Incentive and reward programs
 Give out water/energy saving devices for
employees to use at home
 Set up volunteer opportunities
 Tour the local energy supplier
Building employee awareness about why energy is
important and the role all employees play should be
immediate and ongoing.
The awareness program should focus on:
 Building an understanding
 Emphasizing the importance of involvement
 Encouraging active involvement and
communication
Awareness building must be frequent and
continuous in order to generate excitement and
maintain attention!
Create Desired Culture for
Continuous Improvement
P H A S E 2
6-9 Months
Confidential – © Inogen Environmental Alliance 2016
Tip: Benchmarking
B E N C H M A R K I N G T O A S S E S S
M AT U R I T Y
 Develop scorecards to define baseline and
track progress
 Consider internal and external
benchmarking
 Share results – they provide important
feedback
 Dig deep to identify gaps in performance –
technical and cultural gaps
1Antea USA, Inc.
Review Progress and Adjust
Goals and Programs As
Necessary
P H A S E 3
9-18 Months
Category
Leading
Companies
TC Facilities
1. Management Support, Oversight & Defined Responsibilities 3.6 2.4
2. Energy Policies & Commitments 3.3 2.3
3. Energy Review 3.4 2.3
4. Baseline 3.3 2.0
5. Key Performance Indicators 3.3 3.1
6. Objectives, Targets & Action Plans 2.9 2.3
7. Competence, Training & Awareness 3.3 1.6
8. Communication 3.4 2.0
9. Documentation 3.1 1.6
10. Operational Control 3.6 2.0
11. Design 4.0 2.7
12. Procurement 3.0 2.0
13. Monitoring, Measurement & Analysis 3.9 2.1
14. Compliance 3.7 3.7
15. Audits 3.7 1.6
16. Corrective Actions 3.7 1.9
17. Record Control 2.0 1.8
18. Steam Systems 3.2 3.0
19. Motors & Pumps 3.2 3.4
20. Refrigeration Systems 1.9 3.3
21. Auxiliary Utility Systems 1.5 2.8
TOTAL 3.2 2.4
Explanation/information: In this sheet all main questions of the energy benchmarking assessment are presented.
Calculated are the average values of each main question. These averages are divided into two groups: Leading
Companies and TC Facilities.
ENERGY BENCHMARKING TOOL
Confidential – © Inogen Environmental Alliance 2016
Tip: Management System
T I P S F O R P R A G M AT I C A P P R O A C H
T O E N E R G Y M A N A G E M E N T
 Manages all aspects of energy including
procurement and use
 Integration with other management
systems possible
 Ensuring success by:
 Improving energy performance
 In control
 Knowledge of (business) variables
1Antea USA, Inc.
Formalize in Management
System (ISO50001)
P H A S E 3
9-18 Months • Applicable to ALL organisations/companies
• PDCA –cycle and requirements are common sense
• A standard based on existing ISO systems
• Certification possible
• Maintains legal compliance
• It saves energy in a positive manner
• Increase credibility
• Improves communication and cooperation
• Improves Operational efficiency
Confidential – © Inogen Environmental Alliance 2016

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Energy Management - Establishing a Foundation for Continued Performance

  • 1. ENERGY MANAGEMENT; Establishing a foundation for continued performance Patrick Verdonck & Steven Meun
  • 2. Why Care? Phase 1, the Basics or Low Hanging Fruit Phase 2&3 - Techniques to Drive and Sustain Performance
  • 3. Confidential – © Inogen Environmental Alliance 2016 Why Care? Increased efficiencies Enhanced Brand Image Reduced Business Disruption Risks Less Energy Usage Less Waste Creation Reduced Water Consumption
  • 4. Confidential – © Inogen Environmental Alliance 2016 1678 Mtoe -20% objective Status today 1842 Mtoe business as usual 2020 Projections from 2007 Projections from 2009 20% Energy saving objective 1474 Mtoe * Gross inland consumption minus non-energy uses Primaryenergyconsumption*,Mtoe 1400 1450 1500 1550 1600 1650 1700 1750 1800 1850 1900 2005 2010 2015 GAP THE OBJECTIVE OF THE EU IS TO CLOSE THE GAP TOWARDS THE EUROPEAN 20% ENERGY SAVING TARGET Why Care?
  • 5. Confidential – © Inogen Environmental Alliance 2016 Pursuing the Ideal State 5 Long-Term Strategic Plan Engaged & Motivated Employees Compliance Focused Reactive Anticipatory & Proactive Best-In-Class / Leader • Compliance Focused • Cursory Awareness • Lack of Direction • Minimal Management Support • Engaged Employees • Goals and Reporting • Clear Vision • Defined Management Support • Strategic Plan • Executive Accountability • Performance Data and Trends • Multi-Stakeholder Engagement
  • 6. Confidential – © Inogen Environmental Alliance 2016 The Tale of Two Approaches Example: a compressed air leak may be discovered and fixed, but monthly energy usage still increases due to inefficiencies elsewhere and lack of a holistic and monitored perspective on energy usage. This discourages employees and leadership. Antea Group6 Find-and-Fix Approach Facility pursues energy reductions in an opportunistic and ‘ad hoc’ manner. While effective in immediately engaging employees in ‘hands on’ action… … successes often do not translate to positive performance in overall metrics. Programmatic Approach Facility establishes a programmatic approach to energy (water) management. While potentially more time/resource intensive to implement… … the result is strategic, sustained, and consistent management of energy.
  • 7. Confidential – © Inogen Environmental Alliance 2016 Following a Practical Path Forward Antea USA, Inc.7 P H A S E 2 6-9 Months P H A S E 3 9-18 Months Define and Deploy KPIs Create Cross Functional Energy/Water/Waste Teams Define and Manage Benchmark Data Define and Deploy Reporting Process Roll-out Program Across Enterprise Define Long-term Stretch Goals Review Progress and Adjust Goals and Programs As Necessary Formalize into Management Systems Create Desired Culture for Continuous Improvement P H A S E 1 0-6 Months Develop Energy Policy Select Energy Champion(s) Confirm Short Term Goals / Targets Define Facility-Level Baselines Conduct Assessments & Implement Quick Wins (TOP10’s)
  • 8. Why Care? The Foundation Phase 1, the Basics or Low Hanging Fruit Phase 2&3 - Techniques to Drive and Sustain Performance
  • 9. Confidential – © Inogen Environmental Alliance 2016 Logically Attacking Opportunities Starting With the Basics to gain momentum… Housekeeping Process Optimization Raw Material Substitution New Technologies New Product Design
  • 10. Confidential – © Inogen Environmental Alliance 2016 Energy: Top 10 Basics 1. Reduce air pressure 2. Fix air leaks 3. Insulate pipes & valves 4. Shutdown idle equipment 5. Evaluate all set-points 6. Maintain HVAC 7. Collect steam condensate 8. Retrofit plant lighting 9. Fix steam traps and leaks 10.Train & involve employees
  • 11. Why Care? The Foundation Phase 1, the Basics or Low Hanging Fruit Phase 2&3 - Techniques to Drive and Sustain Performance
  • 12. Confidential – © Inogen Environmental Alliance 2016 HOW DOES MATURITY LOOK LIKE? … a Maturing Processes Over Time 1. Optimized – Processes are all in place and continuous improvement is evident 2. Quantitative – Statistic analysis of data supports process objectives 3. Standardized – Processes are developed and meeting minimum performance requirements 4. Managed – Processes are documented to work instruction level 5. Initial – Processes are being performed, process owners may have been identified
  • 13. Confidential – © Inogen Environmental Alliance 2016 … Building on Momentum 13 P H A S E 2 6-9 Months P H A S E 3 9-18 Months Define and Deploy KPIs Create Cross Functional Energy Teams Define and Manage Benchmark Data Define and Deploy Reporting Process Roll-out Program Across Enterprise Define Long-term Stretch Goals Review Progress and Adjust Goals and Programs As Necessary Formalize into Management Systems (ISO50001) Create Desired Culture for Continuous Improvement P H A S E 1 0-6 Months Develop Energy, Waste and/or Water Policy Select Energy, Waste, & Water Champion(s) Confirm Short Term Goals / Targets Define Facility-Level Baselines Conduct Assessments & Implement Quick Wins (TOP10’s)
  • 14. Confidential – © Inogen Environmental Alliance 2016 Tip: Building Teams  Create a Sustainability Team to lead and coordinate activities between the various groups that will need to be involved in order for the energy project and program to be successful.  Establish a clear purpose for the team:  Create and lead an ongoing sustainability program  Perform a one-time energy reduction assessment  Involve people with interests in the program and who know the company. P H A S E 2 6-9 Months Create Cross Functional Energy Teams
  • 15. Confidential – © Inogen Environmental Alliance 2016 Tip: Data Tools D ATA C O L L E C T I O N A N D A N A LY S I S T O O L S  Identify common savings opportunities and create handbook of best practices  Create and use common “calculators” to ensure consistent analysis  Create templates for collecting and analyzing energy, water, and waste data  Develop and share case studies, including project analyses Define and Manage Benchmark Data P H A S E 2 6-9 Months Client Name/Logo 6. Lighting Standards Lighting Tool - Home Page Template Navigation 1. To BeginGo To GeneralInformation 2. AddAreaCalculationSheet 3. RollUp Summary Tab 4. LightingToolStepby Step 5. BackgroundInfo: Lamp Types 6. LightingStandards 7. VendorInformation 8. AdditionalFundingInformation 9. UserIcon &Map KeyInformation 10.Instructions
  • 16. Confidential – © Inogen Environmental Alliance 2016 Tip: Employee Engagement C O M M O N T E C H N I Q U E S F O R B U I L D I N G E M P L O Y E E AWA R E N E S S  Posters  Training opportunities  Idea generation contests  ‘Find the most leaks’ contest or teams  Incentive and reward programs  Give out water/energy saving devices for employees to use at home  Set up volunteer opportunities  Tour the local energy supplier Building employee awareness about why energy is important and the role all employees play should be immediate and ongoing. The awareness program should focus on:  Building an understanding  Emphasizing the importance of involvement  Encouraging active involvement and communication Awareness building must be frequent and continuous in order to generate excitement and maintain attention! Create Desired Culture for Continuous Improvement P H A S E 2 6-9 Months
  • 17. Confidential – © Inogen Environmental Alliance 2016 Tip: Benchmarking B E N C H M A R K I N G T O A S S E S S M AT U R I T Y  Develop scorecards to define baseline and track progress  Consider internal and external benchmarking  Share results – they provide important feedback  Dig deep to identify gaps in performance – technical and cultural gaps 1Antea USA, Inc. Review Progress and Adjust Goals and Programs As Necessary P H A S E 3 9-18 Months Category Leading Companies TC Facilities 1. Management Support, Oversight & Defined Responsibilities 3.6 2.4 2. Energy Policies & Commitments 3.3 2.3 3. Energy Review 3.4 2.3 4. Baseline 3.3 2.0 5. Key Performance Indicators 3.3 3.1 6. Objectives, Targets & Action Plans 2.9 2.3 7. Competence, Training & Awareness 3.3 1.6 8. Communication 3.4 2.0 9. Documentation 3.1 1.6 10. Operational Control 3.6 2.0 11. Design 4.0 2.7 12. Procurement 3.0 2.0 13. Monitoring, Measurement & Analysis 3.9 2.1 14. Compliance 3.7 3.7 15. Audits 3.7 1.6 16. Corrective Actions 3.7 1.9 17. Record Control 2.0 1.8 18. Steam Systems 3.2 3.0 19. Motors & Pumps 3.2 3.4 20. Refrigeration Systems 1.9 3.3 21. Auxiliary Utility Systems 1.5 2.8 TOTAL 3.2 2.4 Explanation/information: In this sheet all main questions of the energy benchmarking assessment are presented. Calculated are the average values of each main question. These averages are divided into two groups: Leading Companies and TC Facilities. ENERGY BENCHMARKING TOOL
  • 18. Confidential – © Inogen Environmental Alliance 2016 Tip: Management System T I P S F O R P R A G M AT I C A P P R O A C H T O E N E R G Y M A N A G E M E N T  Manages all aspects of energy including procurement and use  Integration with other management systems possible  Ensuring success by:  Improving energy performance  In control  Knowledge of (business) variables 1Antea USA, Inc. Formalize in Management System (ISO50001) P H A S E 3 9-18 Months • Applicable to ALL organisations/companies • PDCA –cycle and requirements are common sense • A standard based on existing ISO systems • Certification possible • Maintains legal compliance • It saves energy in a positive manner • Increase credibility • Improves communication and cooperation • Improves Operational efficiency
  • 19.
  • 20. Confidential – © Inogen Environmental Alliance 2016