Utilities Digital Data Driven Innovation

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |

Riccardo Romani Cloud Infrastructure Presales Director

Innovation Workshop: The Journey to Digital Data Driven Utility

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. | 2

• Entrants from the digital economy are disrupting the Utility landscape with data-driven services

• The competition for customers is shifting to the online channel

• Renewables, distributed generation, and smart grids demand new capabilities and are triggering new business models

Data collection and exchange are growing

exponentially, creating digital threats but also valuable opportunities for those Utilities that

embraces the Data-driven business.

The data-driven revolution is coming to the Utility industry


Data-Driven Example #1 Google’s Project SunRoof

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Data-Driven Example #2 Tesla Solar Roof

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Utilities need Innovation partners to build their data-driven business and compete

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No Network Assets

100% Digital Data-Driven Business

Digital Data-driven Innovation Partner

Network Assests & Know How

Traditional Business

Cloud, Solutions, Technology

Oracle Provides innovation to Utilities in a compatible fashion with their core network assets, their field force and their current

business pocesses.


Oracle provides Innovative concepts that won’t require to re-invent Utility business from the roots

E.ON wasn’t born digital. With Oracle doesn’t need to be. Our solutions and expertise will enable E.ON to build a digital-ready architecture on a legacy foundation. Supporting open standards, Oracle uniquely works with what already E.On has today and can deliver what is needed for the future, providing a huge innovation .

Example of Oracle Innovation approach


Oracle also leverage on utilities financial innovative solutions to sustain business innovation

Utility chief financial officers need to be leading architects of their corporation. Financial executives are beginning to become involved in most areas of the business. Oracle Finance Innovation helps Utilities in getting the most from CFO dept. The very nature of finance in the energy industry is undergoing change. New tools, techniques, and concepts are transforming the whole discipline

“I am the Utility CFO. What Innovation is for me?”

By the mean of Digital finance innovation tools, Utilities can design and launch new services with a shorten time-to-market and calculating any

details of the ROI Moreover, Multi-utility companies like HERA can improve the design of

new services by better co-operating at group level, defining a clear path from the idea to the final aspect of the service , in every finance aspect.


How Oracle does that? With a cross-competence based Organization, where Customer Experience , Information & Operational Technologies, Artificial Intelligence & Big Data are integrated in a common vision.


Oracle Utilities Cross-Competence Organization

Customer

Grid/Network

Work & Asset

Meter

• Customer Care & Billing

• Customer Experience

• Energy Saving Advice

• Customer Analytics

• Meter Data Management

• Smart Grid Gateway

• Service Order Management

• Load Profiling and Settlements

• Meter Analytics

• Work & Asset Management

• Mobile Workforce Management

• Operational Device Management

• Work & Asset Analytics

• Network Outage Management

• Advanced Distribution Management

• Head-end and Grid integration

• Grid Analytics/Predictive Maintenance

Specialized skills….

CUSTOMER METER

WORK GRID

TECHNOLOGY & Cloud INFRASTRUCTURE

BUSINESS ANALYTICS

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Utilities Business Unit & CX


CT

Consumer Technology

IT

Informational Technology

OT

Operational Technology

INNOVATION Deliver ideal customer experience and allows for connecting consumer technology, like smart home devices or electric vehicles, at the edge of the grid.

Modeling Entire Distribution Grid

including Distributed Energy Resources,

ensuring stability and new levels of safety and

reliability

Combining Systems + Data Streams = Unlocking the Power of Innovation

Oracle Utilities Cross-Competence Organization Specialized skills….in a Integrated Vision


From where the journey starts…


“Smart meters and the smart grid. These innovations form the foundation of the digital utility, supplying the massive volumes of data that are its lifeblood. “

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Re-inventing any business is tough

Really?....

“ Develop and launch successful new business models quickly, achieve unprecedented automation and efficiency by putting intelligence at the heart of the smart grid“


Smart Grid Promise

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From Today’s Power System…

This electric power delivery infrastructure is not designed to meet the needs of a restructured electricity marketplace, the increasing demands of a digital society, or the increased use of renewable power production

1. The elements are not fully interconnected through a efficient communication network

2. There are almost no sensors to monitor the health of the system

3. The operations is done by legacy applications (i.e. SCADA) and reactive/preventive manual intervention systems

The system architecture is a tree-based model.


Smart Grid Promise …To Tomorrow’s ICT-based Power System New Power System allows a 2-way power flow and a customer participation in energy distribution by:

1. A substantial increase of number of renewable energy generation facilities

2. More sensors installed on the electricity network

3. A computer network added to the electricity network for a better control/supervision by real time messages

4. Operations done by adding predictive maintenance and automated intervention systems

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The system architecture is now based on a full meshed model and engineered as sum of sub-networks, communicating each-other. For

Utilities, this is also a enabling factor to sell new Services .


“A slightly higher number of Demo & Deployment projects than R&D projects can be found in United Kingdom and Italy, probably connected to their large programs of smartmetering, some of them part of a wider smart grid project.”

Smart Grid Promise : reality check

Smart Grid Projects Outlook 2014


Smart Metering Arises

• Italy has led the way in smart metering several years ago by upgrading over 35 million electricity meters, and it continues to push ahead in gas and, to a lesser extent, water meter deployments.

• Along with France, the U.K., and the Netherlands, Italy is one of the few major EU markets to have opted for the mass-market rollout of smart gas meters, following positive long-term cost-benefit analysis.

• By the end of 2014, all industrial gas meters sized G40 and above had been upgraded, followed a year later by G25 and G16 meters.

• In the mass-market segment, the actual rollout activities only started in 2014, following the entry into force of the above resolutions.

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And is good enough

• As a result, half of all lower end G10 industrial meters will have to be replaced by the end of 2016, with a full rollout mandated for the end of 2018.

• For household-class G4-G6 meters (representing roughly 90% of the country's total), the current replacement timetable for companies serving over 200,000 customers is this:


Examples of Data-driven Innovation Concepts from Oracle


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Within the next slides , few visual examples are provided by combining one or more of the following Oracle Solutions in order to show a service concept. Each of those solution will be presented one by one , with all the details, in each of the tracks of a next customer workshop: • TOA ( Next Generation Field Service ) • Analytics Data Lab • Augmente Customer Experience (CX ) and CX Data Management Platform • Energy Efficiency & Advanced Demand Side Management • Artificial Intelligence Chatbot for Utilities

As common underlying innovation, will be also presented the following track: • Utilities Digital Finance*

Most of Oracle Innovations that will be shown relies on a Hybrid Cloud model, mixing on-premise engineered

systems and public cloud

* : ( not shown as visual example – see slide 7 for insights ):


App built on Data Lab & Analytics that proactively alerts customer about maintenance issues before they become a problem. This concepts is based on well-known big data discovery /visualization & predictive maintenance algorhytms mechanisms that Oracle has successfully implemented for several industry segments.

Augmented Customer Experience with Next Generation Field Service and Analytics Data Lab Example of Predictive maintenance & Field Service using TOA and CX 1/2


The informations collected by the predictive maintenance system are sent to Utility field engineers, that schedule appointments with all the information they needed to fix faults at the first time of asking. Same technology could be used for different concepts such as Waste Management collection and data usage

Augmented Customer Experience with Next Generation Field Service and Analytics Data Lab Example of Predictive maintenance & Field Service using TOA and CX 2/2


Augmented Customer Experience with Advanced Demand Side Management Energy Efficiency & Cross-sell with CX and Opower

App & web marketplace built to engage customers through tailored approaches on multiple channels, including social. Marketing campaigns could rely on utility owned informations as well as customer segmentation external data provided from valuable and reliable sources , managed by Oracle. Once perfectly identified, customers could be easily addressed by energy efficiency campaigns or , as example, cross-selling of white goods and insurance services.


Artificial Intelligence and Analytics Data Lab

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The app is used to manage heating, lighting and hot water needs, following the advices from a virtual assitant that suggests the best usage of energy resources . This works in partnership with big data applications to understand the family’s context and energy usage patterns, that also helps Utility to better plan for peak usage and assess better forecasts.

Chatbot & Big Data

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Analytics data lab, Artificial Intelligence and Augmented Customer Experience

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App designed to provide a quick check on energy load , weather forecast, energy supplies available along a route, required time-schedule and plan a day for a entire family accordingly, suggesting the best use for the e-car. The customer can see a profile of their on-grid supply along with how much power has been generated by the local energy community and the best route to do a journet with a carbon-neutral footprint.

E-Mobility & Journey planner App for Vehicle to Grid


Our Proposal for a Workshop

Digital Transformation is a Journey

• Based on the experience on other Utilities and Industries , we can help you on your Digital Transformation Journey with a workshop focused on “innnovation quick-wins” .

• Quick wins are transformative enhancements proposals built on on six modules.

• The modules show applied concepts and solutions , rather than products.

Get in touch with your Oracle Cloud Infrastructure Sales Representative and

schedule a cross-lob workshop !

Energy Efficiency & Advanced Demand Side Management

CMO

Augmented Customer Experience for modern utility customers

CMO, Head of Sales

Utilities Digital Finance CFO

Next Generation Field Service CMO, Head of Operations

Analytics Data Lab CMO, Head of Operations

Artificial Intelligence: Chatbot for Utilities

CMO

• Target Audience for the modules is not hard-coded – however some modules are most suited for a CFO and some others for CMO or Head of Sales...etc...some guidance is provided here:

Utilities Digital Data Driven Innovation

Business

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