Digital Strategy @ Kingspan A process approach to building Digital Skills & Capabilities Tuesday 09 September 2014 Eur Ing John Shaw C.Eng FIEI PE BE MBA PMP CIO Kingspan [email protected]www.kingspan.com Autumn Summit 2014 Croke Park Conference Centre Enterprise Capability: Enabling Digital Business Leadership
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Digital Strategy @ Kingspan · Digital Strategy @ Kingspan A process approach to building Digital Skills & Capabilities Tuesday 09 September 2014 Eur Ing John Shaw C.Eng FIEI PE BE
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Digital Strategy @ KingspanA process approach to building Digital Skills & Capabilities
• Kingspan is recognised as the Global Leader in Energy Efficiency Solutions.
• Across the globe the Transition to Sustainability is underway;
The European Commission has set a goal of 20% Renewable Energy by 2020
In North America, there is exploding demand for Onshore Wind and Solar Power.
China is driving down the price of Renewable Energy via Solar PV technology
• 4 forces drive this transition ;
Climate change
Growing Demand for Energy
Rising Price for Fossil Fuels
Energy Security
Business Context
Driver 1 :
Climate Change
“British adventurer and swimmer Lewis Gordon Pugh has become the first person to swim in the icy waters of the North Pole.”
16 July 2007
2012 : Biggest Arctic Ice Melt in Recorded History
In 2009 China surpassed US to become world’s largest Energy Consumer
Driver 2 :
Exploding Global Demand for Energy
•China is adding 100,000 MW to it’s grid annually
•Equivalent to ‘ Adding Germany ‘ each year
•By 2030, China & India will add ‘ 23 Germanys ‘
Driver 3 :
Rising Fossil Fuel Price
General JN Mattias, USMC
March 2010
Richard Branson, Virgin
Ian Marchant, SSE
February 2010
1,600% Oil Price Rise 1997 – 2007..... Will it do it again by 2020 ?
Driver 4 :
Security of Supply
European Commission has intervened to enable Sustainable Energy
Source: Allianz 2010
Source: EGL 2007
Europe will become dependent on large Gas Imports, Cash Outflows without EC intervention...
... Via a Continent-wide Grid for Natural Gas yet no equivalent for Electricity exists yet
A transition to Sustainable Energy permanently extracts us from the Energy Crisis
Crisis, What Crisis?
“...We can get 100 percent of our energy from wind, water, and solar (WWS) power. And we can do it today—efficiently, reliably, safely, sustainably, and economically...
...The obstacles to this
transformation are primarily social and political, not technical or economic...”
Dr Mark DelucchiUniversity of California
IEEE Spectrum September 2011
Digitisation is key to this transformation
The Big Picture
• Kingspan is recognized as the global leader in Sustainable Building Solutions ;
• Agile Management Model, with rapid decision-making• Entrepreneurial Culture, acting on opportunities as they arise• Partnership approach, delivering ‘ Think Global, Act Local’ • Product Leadership built via Innovation & partnership• Integrated Supply Chain maximises Operational performance
Sustained Sales Growth
Kingspan Success
Kingspan’s Business Model spans 4 Product
Sets ;
Insulated Panels
Insulation
Access Floors
Environmental
58% of Sales Revenue
Insulated Roof & Wall Panel Systems
Integrated Solar PV Solutions
Benchmark Façade Systems
Controlled Environments
Structural Products
Profiles & sections
Door Components
Insulated Panels
Jaguar Land Rover, England
Kingspan Energy
25% of Sales Revenue
Perth Arena, Australia
Insulation
Insulation
Insulation Boards for Roofs, Walls & Floors
HVAC, Piping & Ductwork Insulation
Timber Frame Systems
TEK Building Systems (SIPs)
8 % of Sales Revenue
Environmental
Solar Thermal Systems
Solar Cooling & Heating Systems
Micro Wind turbines
Air Source Heat Pumps
Hot Water Systems
Environmental Rainwater Harvesting Systems
Sustainable Drainage Systems
Pollution Control Systems
Fuel storage systems
Lane Community College, Eugene, Oregon, US
Kingspan Solar
9 % of Sales Revenue
Access Floors
Spectrum Health Medical Group, Grand Rapids, USA
Access Floors
Raised Access Floor Systems
Underfloor Wire & Cable Management
Underfloor Air Distribution
Kingspan Innovation
Kingspan relentlessly drives product improvement
• Kingspan’s capabilities are demonstrated in key successes to date;• €1.79 Billion Revenue for 2013
• 62 Factories, 6,500 employees , 85 Countries
• Kingspan brings value to the Sustainability Sector; Proven track record in delivering product solutions
Acknowledged thought leader on Sustainability
Leading the drive towards reducing energy bills
• Energy Efficiency is what we do at Kingspan;• Product Leadership to maintain market leadership position
• Customer Intimacy to ensure partners are aligned for success
• Operational Excellence to deliver quality products on schedule
96 % of Revenue outside Ireland
Kingspan Capabilities
Manufacturing Locations
Kingspan Global
Global expansion underway
Kingspan Scale
• 62 Kingspan Factories
• 80 Countries with Kingspan activities
• 120 Kingspan locations
In August 2014 Kingspan attained ISO 50001 Accreditation for the Energy Management System at our Group Office & Innovation Centre in Kingscourt. The lead auditor from Certification Europe completed the Stage 2 audit on Friday 15 August 2014.
An Envelope Approach to Energy Efficiency Management was taken at the facility, enabling a Carbon-Negative Building via 8 key Innovations;
• Kingspan’s Enterprise Computing is designed and implemented in line with a set of 8 Design Principles chosen to deliver Business Value.
• 8 Design Principles ;
I. Build technology solutions to meet our business reality – agile, global, growth, 24 x 7, innovative
II. Build for Service & Security Excellence - ensure decisions made in the short-term are future-proof
III. Partner with Innovative Technology Companies - follow the Enterprise Architecture Roadmap to minimise the costs of technology integration, upgrading, training, issue resolution, change
IV. Standardised and Integrated Enterprise Computing Assets and Processes - Aggregate services to minimise cost, to protect investment, to leverage best practices, integrated business analysis
V. Configuration not Customisation – Follow Technology Roadmap, avoid bespoke code, avoid single points of failure to minimise waste, minimise risk
VI. Leading Edge not Bleeding Edge – implement new technology when it is proven elsewhere first, to minimise disruption.
VII. Automate & Outsource repetitive activities – manage via Master Service Agreements to control costs and to maximise service performance
VIII.Cloud First for all decisions on hosting
8 Design Principles consistently followed
Step 4: Enterprise Computing Principles
Step 7: Identify Digital Quick Wins
Source: John Daly, 1996
OPTIMISM
PESSIMISM
SKEPTICISMBELIEF
Cheerleaders
Cynics
Naïve Followers
Adversaries
Inform & Involve Innoculate
Abandon Inform & Persuade
‘ The Stock Market runs on Optimism, Skepticism, Criticism’ Jak Zoudi
• Sustainability : Shifting to Renewable Energy• Micro-Generation : Converting Buildings into Power Plants [1]• Storage : Hydrogen and Other Energy Storage Technology• Digitisation : Smart Grid Technology• Electric Vehicles : Plug in, Electric, Hybrid, Fuel Cell based
1st Industrial Revolution :
Steam Engine + Coal = Factories
2nd Industrial Revolution :
Oil + Electricity = Suburbia
3rd Industrial Revolution :
Internet + Renewable Energy = Distributed Capitalism
The Third Industrial Revolution is based upon 5 Pillars:
2. Sustainable Energy Supply1. Secure Grid connection
2. Micro-Generation PV & Wind
3. Carbon Negative model
3. Sustainable Energy Distribution1. UPS is a storage medium
2. DC powered Servers
3. DC in, DC out
4. Sustainable Energy Use1. Energy Efficient Management
2. Virtualisation
3. Certified Devices
5. Sustainable Building1. Low carbon Design
2. Low carbon Materials
3. LEED Certified
Sustainable Cloud Computingis the
delivery of computing as a service
over the internet
in a manner which
utilises renewable energy sources,
energy efficient technology and low-
carbon footprint hosting facilities
to deliver
Highly Available, Secure and
Confidential Services.
Sustainable + Cloud
All Elements of Sustainable Cloud already exist…
Conclusion
Kingspan is the world leader in
Energy Efficiency Solutions
Every Business is a Digital Business
Sustainable Cloud
is on the way
Presenter
John Shaw is CIO at Kingspan, the world leader in sustainable building products, and is based at Kingspan’s Global
Headquarters in Kingscourt, Ireland.
Kingspan’s 2013 revenue exceeded €1.7 Billion across 4 product groups. The company employs over 6,500 staff in 80
countries across the globe. With 48 factories, Kingspan’s business is rapidly expanding to meet global demand for
sustainable, smart and energy efficient building products. A full list of Kingspan’s products can be seen at
Kingspan.com
John joined the company in June 2013 to lead Kingspan’s IT Strategy. A Chartered Engineer ( C Eng FIEI ) and a
registered European Professional Engineer ( Eur Ing ) with 25+ years’ experience in Energy, Pharma and Manufacturing
sectors. John holds an MBA in Technology Management and a Bachelor's Degree in Electronics Engineering from
University College Dublin. A senior member of the IEEE, ( PE ), John joined Kingspan from Mainstream where he was
hired as CIO during the start-up phase, having previously held senior IT executive positions in Pfizer, Accenture and
General Electric.
IT Strategy at Kingspan aims to deliver business value via fast replication of learning, efficient workflow, a single version
of the truth, faster decision making and increased team productivity. Strong strategic partnerships are central to this
approach. Kingspan’s IT team have strong technical skills and work closely with 4 strategic partners to deliver
technology for the rapidly expanding Kingspan organization.
Contact:
Eur Ing John P. Shaw C.Eng FIEI PE BE MBA PMP Phone: +353 42 969 8000CIO Mobile: +353 87 283 6499Kingspan Group plc, Skype: john.shaw.kingspanDublin Road, eMail: [email protected], Co. Cavan Linkedin: John ShawIreland Website: Kingspan.com