Energy Efficiency, Enabled by The Industrial Internet-of-Things

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Industrial Internet in the US is moving pretty fast, I have experienced rapid change within 5 years.  Before, we used to input the data using spreadsheets with only two weeks frequency of measurement to present a profile for the entire year. Now, it can be done simply by clicking the button, then you get the profile with 15 minutes of interval data. No required manual data entry which just makes everyone living in the Industrial sector easier

The statement above is from Virdiansyah Permana, an Indonesian who has 15 years of experience as an engineer and researcher in the energy sector of United States. He’s continually exposed to a data-driven process for strategic energy management, enabled by sensors installed on the machines: an implementation of Industrial Internet of Things.

Thanks to these Industrial Internet of Things sensors, Virdi can easily diagnose the asset performance and energy usage by shortening two weeks’ worth of work into less than an hour. Rapidly improving productivity and efficiency of energy management on the projects he’s working on.

A Rapid Growth of Industrial Internet in the USA

According to his experiences, there are three key factors driving the shift from conventional data recording in the industrial sector (data recorded in the paper) towards the Industrial Internet powered by sensors.

  1. More (CHEAP) Sensors
    As with any other technology, sensors become cheaper as time goes by, So, it becomes more affordable to place sensors in the facilities that can help reduce energy consumption.
  1. USA Regulation on the Energy Consumption
    In the USA, the government serves incentives to companies that manage to reduce their energy consumption. Such as giving discounts on their taxes.
  1. Efficiency of Labor Cost
    Hiring workforce is expensive. Automation makes it possible to hire fewer workers but having the same level of productivity

The way we see it is very receptive within our industry, people are really accepting the new trend because now we can provide a lot of information, and we can use that as a tool to enhance their existing industrial installation instead of replacing them. Virdi added.

The Beginning of Industrial Internet Era in Indonesia

There is a distinctive treatment to entering the Industrial Internet era in Indonesia. Recently, the concept of Industrial Internet can be implemented only for the industry with a capital intensive asset such as; oil & gas, power generation, and mining. It is all about infrastructure where the production expense is very high compared to other industries.
As their assets are so expensive, even the smallest damage (let alone equipment replacement) can cause significant impact towards their revenue.

However, there are some challenges in implementing the Industrial Internet concept in Indonesia, amongst them are:

  1. The Energy Efficiency is not a Priority
    Indonesia is still focusing on producing more energy, considering 20% of Indonesia still don’t have access to electricity.
  2. Short-Term Outlook
    Most of the industrial companies are still operating the conventional machines as the mindset is “why to buy those advanced technology machines when the old ones work just fine”. There is no willingness to invest for future advancement.
  3. An Abundant Supply of Workforce.
    Labor cost in Indonesia is still considerably cheap, so the industry can still rely on a more conventional but labor-intensive methods, instead of having to invest in the capital-intensive automation process.
  4. Higher Sensor Implementation Cost
    In Indonesia, the sensors are also affordable. However, a lot of technical complications due to the fact the sensors cannot be properly integrated into “old” machines makes the total operational cost more expensive.

As we all know, we are living in the era where data is the new oil. It is the key to unlocking insights on how to improve everything we do. Without implementing these IIOT sensors, there is no way for the industrial sectors to leverage Big Data to enhance their competitiveness.

Here in Dattabot, we are aiming to give a high impact on the custom solutions for Industry. How much benefits that we can bring to them in terms of revenue, as well as productivity in everything. If we can make them see, the revenue can be driven by the Industrial Internet


Get to know Virdi!

Within more than 15 years of his experience as an engineer and researcher in the energy sector, Virdi has been continually exposed to a data-driven process for strategic energy management. Helping major institutions to be more energy efficient through his technical expertise using intelligent control, thermal modeling, and data analytics in Industrial Internet platforms.

After spending more than a decade advancing his career and engineering credentials in the United States -where he attained his Bachelors and Master degree at Colorado School of Mines, and his Ph.D at the University of Denver- he returns to Indonesia in 2016 to lead the development of Industrial Internet vertical at Dattabot – a major Indonesian Data Analytics company.

He also made the time to engage in various leadership and mentorship roles, contributing to growth and development of clients as well as fellow energy analysts, junior engineers, and summer interns through mentoring and training.

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