Profit Maximization Techniques for Operating Chemical Plants

A systematic approach to profit optimization utilizing strategic solutions and methodologies for the chemical process industry

In the ongoing battle to reduce the cost of production and increase profit margin within the chemical process industry, leaders are searching for new ways to deploy profit optimization strategies. Profit Maximization Techniques For Operating Chemical Plants defines strategic planning and implementation techniques for managers, senior executives, and technical service consultants to help increase profit margins.

The book provides in-depth insight and practical tools to help readers find new and unique opportunities to implement profit optimization strategies. From identifying where the large profit improvement projects are to increasing plant capacity and pushing plant operations towards multiple constraints while maintaining continuous improvements--there is a plethora of information to help keep plant operations on budget.

The book also includes information on:

• Take away methods and techniques for identifying and exploiting potential areas to improve profit within the plant

• Focus on latest Artificial Intelligence based modeling, knowledge discovery and optimization strategies to maximize profit in running plant.

• Describes procedure to develop advance process monitoring and fault diagnosis in running plant

• Thoughts on engineering design , best practices and monitoring to sustain profit improvements

• Step-by-step guides to identifying, building, and deploying improvement applications
  For leaders and technologists in the industry who want to maximize profit margins, this text provides basic concepts, guidelines, and step-by-step guides specifically for the chemical plant sector.

Auteur

Sandip Kumar Lahiri, PhD, has over 26 years of experience in operation, process engineering and technical services for the leading petrochemical industries across the globe. He has carried out technical consultancy to leading Fortune 500 petrochemical plants across the globe as a technology advisor and is cited in World Who's Who as a significant contributor and achiever in the chemical industry. He has over 35 technical publications in leading international journals in chemical engineering covering subjects such as modelling and simulation, artificial intelligence, process design, optimization, fault diagnosis, CFD etc. He has authored two books on Applications of Metaheuristics in Process Engineering and Multivariable Predictive Control and holds a US patent on Online Fault Diagnosis in Chemical Plant. His interest includes refinery and petrochemical technology, applications of artificial intelligence in process industries, OPEX and CAPEX optimization, energy and water conservation, sustainable manufacturing, Industry 4.0, process safety and risk management; process design optimization, manufacturing excellence. He holds a position as Vice President, Technology at Haldia Petrochemical Ltd, India. Currently he is engaged with National Institute of Technology, Durgapur, India as Associate Professor.

Contenu
Figure List xix

Table List xxv

Preface xxvii

1 Concept of Profit Maximization 1

1.1 Introduction 1

1.2 Who is This Book Written for? 3

1.3 What is Profit Maximization and Sweating of Assets All About? 4

1.4 Need for Profit Maximization in Today's Competitive Market 7

1.5 Data Rich but Information Poor Status of Today's Process Industries 8

1.6 Emergence of Knowledge-Based Industries 9

1.7 How Knowledge and Data Can Be Used to Maximize Profit 9

References 10

2 Big Picture of the Modern Chemical Industry 11

2.1 New Era of the Chemical Industry 11

2.2 Transition from a Conventional to an Intelligent Chemical Industry 11

2.3 How Will Digital Affect the Chemical Industry and Where Can the Biggest Impact Be Expected? 12

2.3.1 Attaining a New Level of Functional Excellence 12

2.3.1.1 Manufacturing 13

2.3.1.2 Supply Chain 14

2.3.1.3 Sales and Marketing 14

2.3.1.4 Research and Development 15

2.4 Using Advanced Analytics to Boost Productivity and Profitability in Chemical Manufacturing 15

2.4.1 Decreasing Downtime Through Analytics 16

2.4.2 Increase Profits with Less Resources 17

2.4.3 Optimizing the Whole Production Process 18

2.5 Achieving Business Impact with Data 19

2.5.1 Data's Exponential Growing Importance in Value Creation 19

2.5.2 Different Links in the Value Chain 20

2.5.2.1 The Insights Value Chain Definitions and Considerations 21

2.6 From Dull Data to Critical Business Insights: The Upstream Processes 22

2.6.1 Generating and Collecting Relevant Data 22

2.6.2 Data Refinement is a Two-Step Iteration 23

2.7 From Valuable Data Analytics Results to Achieving Business Impact: The Downstream Activities 25

2.7.1 Turning Insights into Action 25

2.7.2 Developing Data Culture 25

2.7.3 Mastering Tasks Concerning Technology and Infrastructure as Well as Organization and Governance 25

References 26

3 Profit Maximization Project (PMP) Implementation Steps 27

3.1 Implementing a Profit Maximization Project (PMP) 27

3.1.1 Step 1: Mapping the Whole Plant in Monetary Terms 27

3.1.2 Step 2: Assessment of Current Plant Conditions 27

3.1.3 Step 3: Assessment of the Base Control Layer of the Plant 28

3.1.4 Step 4: Assessment of Loss from the Plant 29

3.1.5 Step 5: Identification of Improvement Opportunity in Plant and Functional Design of PMP Applications 29

3.1.6 Step 6: Develop an Advance Process Monitoring Framework by Applying the Latest Data Analytics Tools 30

3.1.7 Step 7: Develop a Real-Time Fault Diagnosis System 30

3.1.8 Step 8: Perform a Maximum Capacity Test Run 30

3.1.9 Step 9: Develop and Implement Real-Time APC 31

3.1.10 Step 10: Develop a Data-Driven Offline Process Model for Critical Process Equipment 31

3.1.11 Step 11: Optimizing Process Operation with a Developed Model 32

3.1.12 Step 12: Modeling and Optimization of Industrial Reactors 32

3.1.13 Step 13: Maximize Throughput of All Running Distillation Columns 33

3.1.14 Step 14: Apply New Design Methodology for Process Equipment 33

References 34

4 Strategy for Profit Maximization 35

4.1 Introduction 35

4.2 How is Operating Profit Defined in CPI? 36

4.3 Different Ways to Maximize Operating Profit 36

4.4 Process Cost Intensity 37

4.4.1 Definition of Process Cost Intensity 37

4.4.2 Concept of Cost Equivalent (CE) 39

4.4.3 Cost Intensity for a Total Site 39

4.5 Mapping the Whole Process in Monetary Terms and Gain Insights 40

4.6 Case Study of a Glycol Plant 40

4.7 Steps to Map the Whole Plant in Monetary Terms and Gain Insights 43

4.7.1 Step 1: Visualize the Plant as a Black Box 43 4.7.2 Step 2: Data Collection from a Data Historian and Preparation of Cost Data 46</p&gt...