December 2013
Interview
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INTERVIEW
– Darrell Smith and Ken Sinclair
Darrell
Smith, Director of Facilities & Energy, Microsoft
Darrell Smith is the Director of
Energy and Building Technology for Microsoft’s Real Estate and
Facilities group. Darrell oversees Microsoft’s Global Energy
Strategy and Programs for Microsoft’s 34 Million square foot real
estate portfolio. In addition, Darrell is accountable for
programming and deploying the Smart Building Technology at Microsoft’s
15 Million square foot headquarters campus in Redmond Washington and is
chartered with broader deployment across the global portfolio.
Darrell has 15 years of industry experience in Facilities, Data Center
Operations, Energy Management, and Manufacturing.
Redmond
Operations Center (ROC)
We
are connected to two million data
“points” across 35,000 building assets, and over a 24 hour period, we
collect 500 Million data transactions every day.
Sinclair:
We have heard of Microsoft’s Smart
Building effort at your HQ Campus, can you provide more context on what
this is about?
Smith:
Our HQ campus in Redmond, Washington has the same scale of a small
city. The Campus consist of 15 Million square feet, 125 buildings
and 58,000 housed personnel. We are connected to two million data
“points” across 35,000 building assets, and over a 24 hour period, we
collect 500 Million data transactions every day. Historically we have
not had the ability to leverage this “Big Data” to optimize our
Campus. In fact, our energy and engineering reporting had been a
manual process (clipboards and spreadsheets). Instead of a
costly, intrusive retrofit, our project was anchored in using software
to extract the information across multiple disparate building systems
(multiple protocols) to make data-driven decision. Aggregating this
data onto a common platform was seamless to the occupants and we added
no hardware or sensors. We are using the operational information from
the building’s systems to optimize our portfolio. With the data
in hand, my Team can take action to reduce energy consumption, optimize
building assets and improve labor efficiencies (reduce windshield
time). After testing multiple-vendor’s solutions across
2.6M square feet for a year, we were excited to see that the technology
could meet our requirements and there was a significant return on
investment. While the vendors performed well, we selected
the vendor that best met our requirements Iconics,
and we are currently at the conclusion of the deployment. We are in a
private cloud (running on Hyper-V servers) and this allows us to
optimize the IT infrastructure and further drive down our energy
consumption (and carbon footprint) which supports Microsoft’s
commitment to carbon neutrality.
Sinclair:
What are the complexities
of an integration at this scale?
Smith: If we could not expose the data across ALL our building systems,
our Smart Building effort would have had less impact. I think of two
activities with regards to building data, encapsulation and conversion.
Encapsulation is about transporting the data, and conversion is translating the
different languages (protocols) to a common language. For the majority of our
building systems, they were BACnet and we were able to consume the data in a
secure way without the need for any conversion. However, with one system,
there was some effort required. In the past, when systems were installed,
there was not a need (or tools) to use the building data. In fact,
building owners may not be aware of what specifications to ask for with regards
to building management systems (BMS). While I would say the Industry is
moving to open standards, our pilot required the smart building vendors prove
they can consume the data from a variety of protocols. Another important area
of integration is the building assets naming convention. We needed to do
clean-up on the naming convention for a couple of buildings. Luckily, the
majority of our naming convention was standardized early on, and we have a
facilities system business rules (FSBR) process that includes the reviewing all
projects meet to assure our standard are met. Within this process, we have
a CMAT table that informs the contractors of what system point we want to control,
monitor, alarm and trend. This investment assures
consistency across our portfolio and is invaluable to the Smart Building
integration. This standard proved invaluable part of the project.
Sinclair:
What were the elements of
the onboarding process?
Smith:
There are three steps to the onboarding process, integration,
configuration and the adding our fault rules. This project has
provided me an appreciation of integration practice, and in a standard
deployment, the integration role is typically provided by a third party
integrator. We leverage CB Richard Ellis (our Facilities
Management firm) to provide the integration function. The overall
process consist of completing a load sheet, and the software vendor
(Iconics) provides the configuration. The next step is our
engineering team adds the fault rules and cost savings algorithms. What
may be surprising was that the initial deployment team consisted of
five individuals and the vendor. The team members included a
project manager, two controls engineers, a mechanical Engineer, and an
IT Manager. As we went through the process, our rhythm was
onboarding two buildings a week. We are now focused on
operationalize the solution.
Sinclair:
What capabilities did this
provide that you lacked before?
Smith: I’m excited about the vendor’s ability to build on Microsoft
technology and the ability for the software platform to provide new and
exciting capabilities. For example, the vendors are
building on .NET, SQL, Windows Server, Office 365, Azure, Bing Maps,
and as Microsoft comes out with new fetchers, the vendors can building
new capabilities to into their products. It’s important to note
that while we are providing a software layer across multiple building
systems and taking the data to a common platform, I still need the
Controls OEMs to build solid solutions. That said, one of the
capabilities that is driving down a significant amount of energy
consumption is Fault Detection. Fault Detection has been around
for several years, and we are using the software to “cast a net” across
the campus and detect when equipment is either not running as designed
or when system set-points have been made outside our
standards. When we integrated the first building, we fixed
all the anomalies we found. We then realized, at this rate, it would
take us 10 years to complete the deployment. We shifted to the
80/20 rule and focused on the faults that either had the highest energy
savings or had the largest risk to the business. From a work stream
standpoint, the value of creating “rules” and cost savings algorithms
is to prioritize our work. It was not about hiring more labor to
address the faults we were finding, the “tool” allowed us to prioritize
our work based on energy wasted (costs) or business impact (unplanned
downtime) and 48% of the faults we were finding could be corrected in
60 seconds or less. For the other 52%, we had to physically make
a repair. For an example of a common fault, a terminal unit has the
damper stuck open and is overcooling the space and the heating side
comes on to compensate for the cooling. This condition is known
as
“simultaneous heating and cooling”. In most cases, the occupant
is unaware as the space is within designed set-point and we
(maintenance) are unaware because this is not an “alarm” condition.
These types of faults are invisible and can occur frequently. When
faults occur in larger assets, this can lead to higher energy
waste. Another key benefit is the reporting capability.
While some of the systems did have the ability to create trend logs and
extract the data, it was not consistent across all systems, typically
was a manual effort. With the software, we can automate asset
performance reporting. Our air-handler (AHU) report looked at how
the system performed over time and across seasons and it could take 4-6
hours to create. Now the same report can be done in two minutes and we
have 750 AHUs across the campus. If it takes 4-6 hours per report, it
would take many years to complete the reporting for all units across
the campus, now the reporting can be completed in hours, not years.
Sinclair:
What was the business case?
Smith:
The “tool” is changing how we manage our campus. Having this data
at our fingertips is allowing the ability to commission (or “tune”) the
buildings in real time. This allows us to save energy immediately
and focus our labor more effectively. Before our rhythm was to
retro-commission (or tune) each building once every five years. This was a
manual process and covered 20% of the campus each year and tuned 200
assets. This resulted in ~$250K of energy reduction each year. Now,
because we have the data at our fingertips, we can automate the process
and commission the entire campus in one year, and instead of touching
200 assets, we can address 35,000 assets. Once a building is
commissioned, we have optics in real-time, and if the building’s assets
(mechanical systems) start to run out of “tune”, we catch it as it
occurs. The power of software and leveraging our Partner eco-system
provides tremendous efficiencies and I feel is positioned to change the
Facilities Management industry. The result has been a $2M
reduction of energy in the first 12 months after the deployment was
completed, an ROI of less than 18 months for the program. Note:
Washington State is the third lowest energy cost (per unit) in the
US. If we can achieve an 18 month return here, image the return
in a State with a higher cost of energy. The tool also
provides persistence. After we “tune” a building, if set-points
are made that degrade performance they are flagged and corrected.
We don’t wait five years for the next retro-commissioning cycle, and
this is huge for me.
[an error occurred while processing this directive]Sinclair:
How would you characterized
the solutions on the market today and what is your call to action?
Smith:
When I first started my research in this area in 2009, my concern was
the solutions on the market were not mature enough and we would need to
pause our procurement process until the market matured. After
completing our gap analysis with Smart
Buildings Inc, we applied our
principles: the solution has to be beneficial, practical, and scalable,
supported. The good news is our pilot project proved there are
several off-the-shelf solutions that met our principles. For others who
want to pursue this path, my recommendation is to select a
strategy/solution that meets what you’re trying to solve for (one shoe
may not fit all). There are Software and Service (SaaS) solutions like Ezenics where the building system data is sent to a “cloud” and they
provide the engineering and analytics for their customers. Other
solutions include on premise solutions like Iconics where the software
is installed within the company firewall. Not only are there
different network architecture solutions, the depth of the solutions
varies. For example, there are cost effective solutions, like SwitchAutomation, who is a cloud based solution that provides analytics
on the utility and weather data. As part of our ongoing testing
of market solutions, SwitchAutomation integrated over 180 of our
utility power meters in two days, pretty impressive. I’m very
fortunate to the extent that I have a 15 million square foot lab and
the latitude to experiment. My call to action is for companies, building owners and
building operators to take action, do something. There is a range
of solutions on the market today and consultants who can assist with
setting strategies and tactics. We are at a time where taking no action
is no longer acceptable.
Further related reading:
88 Acres How Microsoft Quietly Built the City of the Future
http://www.newdaedalus.com/articles/2013/3/6/energy-and-the-microsoft-roc.html
http://www.greentechmedia.com/articles/read/microsoft-takes-a-step-toward-programming-the-city-of-the-future
http://www.realcomm.com/advisory/advisory.asp?AdvisoryID=579
http://smartcitiescouncil.com/article/microsoft-smart-campus-makeover-saving-millions-energy-costs
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