1 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM June 18, 2002 Bob Williams Trends in Intelligent & Integrated Technologies –Vice President, Energy Management Solution - Invensys plc –Member-Board of Directors, Continental Automated Buildings Association (CABA) –Chair, CABA Integrated & Intelligent Buildings Council –Exec Committee, Council on Tall Buildings & Urban Habitat (CTBUH) –Corp Member, British Council for Offices (BCO)

2 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Integrated & intelligent buildings… How does it help me? 1. Optimize asset utilization How, when, why, by whom….. 2. Manage energy consumption “Utility costs are 30% of the average office building’s annual operating expenses.” (2000 BOMA Experience Exchange Report)

3 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Facts about this industry…. $120 billion per year of electricity and gas consumption $160 billion per year in operations and maintenance services provided by more than 40,000 suppliers From , commercial offices have become 11% less efficient in managing energy consumption Vacancy rates are climbing…rents and profits are declining Environmental pressures are increasing Increasing reliance on high-quality “off-grid” energy will continue The industry must find a way to increase services and profits while reducing costs

4 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Integrated & intelligent buildings… What is the impact? Increased ROI Increased resources for security and safety upgrades Enhances tenant comfort, convenience and “security-sense” Reduced energy consumption also reduces consumption of natural resources in generation & distribution process

5 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Integrated & intelligent buildings… This is about all buildings Office Buildings Hospitals Schools Multi-use Buildings Government Buildings Homes “Most of us live in a culture where for at least 5 days each week, we only use the outdoors to move from one building to another building.”

6 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM What is an intelligent building? or…… what makes a building intelligent?

7 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Owner / Occupant Property Developers / Operators Architecture Engineering Consultants / Analysts Building Security Energy Management HVAC Supplier Controls / Automation Software Technology Contractors Communications / IT Survey of 50 Building Industry Leaders Multiple Disciplines

8 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM United States Canada United Kingdom Germany Hong Kong Brazil Survey of 50 Building Industry Leaders Geographic Scope

9 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM When you hear the term “Intelligent Building”, what are 4-5 points that you think are primary characteristics of an Intelligent Building? Survey of 50 Building Industry Leaders Simple question….

10 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM No one knows - it’s a mystery A building with a heart A building with a brain A building that talks to other buildings An integrated building Flexible & intelligent workspaces Maximizes my return on investment Survey of 50 Building Industry Leaders Sample Answers

11 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM 24/7 Monitoring Breakdown Plant Tuning Conditioned Monitoring Car Park Utilisation COMMUNICATIONS Voice/Video/Data FIRE Functionality checks Detector service Fire, Life, Safety ACCESS Doors Buildings Occupancy Feed Forward ENERGY Utility Monitoring (Elec/Water/Gas/Oil) Tenant Building Air/Water Heat Lighting Back-up Generation HVAC Air-Handling Unit Boilers Pumps Fans Energy Control Variable Air Volume Air Quality LIFTS Breakdown Maintenance Traffic Performance SECURITY Doors PIR Integration LIGHTING Schedules Occupancy Sensing W G E What is an intelligent building?

12 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Database synergy law += “A consolidated database contains more information & can answer more questions than the sum of the information in the smaller databases before combination” -Oracle Combining systems that freely exchange information should result in increased efficiency, reduced costs and a safer and more comfortable environment...

13 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Access Controls integrated to other sub-systems Open communications & control protocols Integrated sub-systems IT integration Historical trending Anticipate needs of occupant Energy efficient Easy to use controls & interfaces Flexible Asset utilization controls & management tools Internet-based control Real-time monitoring of all systems Wireless protocols & IT infrastructure Elevator controls integrated with other sub-systems Intelligent & efficient building materials Flexible & intelligent work areas Survey of 50 Building Industry Leaders Primary Characteristics

14 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Survey of 50 Building Industry Leaders Results

15 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Definition: A building and its infrastructure which provides the owner, operator and occupant with an environment which is flexible, effective, comfortable and secure through the use of integrated technological building systems, communications and controls. Continental Automated Buildings Association

16 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Stakeholders Government and other industry agencies Real Estate developers Building Owners / Operators Architects Design engineers Construction industry Building equipment and system suppliers Technology developers Building occupants/end users

17 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Candidate Systems Intelligent Buildings Technologies can incorporate: Fire and life safety systems Heating ventilating and air conditioning (HVAC) Elevators and escalators Access control systems and security systems; Lighting management Energy management systems Telecommunications IT infrastructure Community infrastructure End user services

18 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM 1. Optimize asset utilization How, when, why, by whom….. 2. Manage energy consumption “Utility costs are 30% of the average office building’s annual operating expenses.” (2000 BOMA Experience Exchange Report) Benefits of integrated & intelligent building….

19 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Challenges & Barriers Cost - who will pay? Lease structures Public education Technology “silos” Not all stakeholders aware of benefits Codes & standards do not always support integrated & intelligent processes “Rush” to judgment & short-term solutions “Real-time” monitoring & diagnostic tools not available on all sub-systems Tradition Education / Training for industry professionals

20 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Ken Sinclair AutomatedBuildings.com “Although we as an industry have said the words before, we have never reached our potential of providing intelligence or integration in our buildings. Ken Sinclair AutomatedBuildings.com May 2002 …As an industry, we must work harder and faster to educate sophisticated owners and designers as to the new capabilities of our industry, while learning about how they perceive our involvement in their corporate enterprise. To achieve these goals it is necessary to create new relationships with specialized building integration and intelligence designers to explore possibilities with the owners’ data enterprise.”

21 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Industry leadership activities CABA Intelligent & Integrated Building Council “ To encourage the development, promotion, pursuit and understanding of integrated technological building systems, communications and controls.” Booth members from all building disciplines Building Assessment & Building Enhancement Guidelines 24 Industry leaders - Report released May 31 David Maola, Executive Director 11:00 a.m. June 19 International Council for Research and Innovation in Building and Construction W098 - “Intelligent & Responsive Buildings” “To provide an international forum for discussion and critique on research, development and design activities related to intelligent architecture, technologies, systems and materials and their integration within the design, construction, operation and management of buildings.”

22 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Industry leadership activities CABA Intelligent & Integrated Building Council “ To encourage the development, promotion, pursuit and understanding of integrated technological building systems, communications and controls.” Booth members from all building disciplines Task force 1 - Interoperability / Standards Task force 2 - Middleware Task force 3 - Developing a test site Intelligent & Integrated Buildings Conference December 2-3 Toronto “An international conference that will focus on leading-edge intelligent and integrated buildings technology and information systems for the commercial building sector.”

23 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM "Assist the large building industry understand the strengths and overall features of the building control communication protocols that are available for use in designing and implementing an Intelligent Building. This will be accomplished by developing a non-biased, technical exposé and general questions geared to assist the non-technical end user establish Intelligent Building direction." What does CABA’s Protocol Task Force do?

24 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Evolution of Interoperability Multi-VendorCommonProtocols Technology Innovation Connectivity Modbus/DDE Integration BACnet/LonWorks Interoperability OPC/XML Open Standards Plug n Play Proprietary Systems Information is distributed on a transport layer Hardwire (Ethernet, Firewire, Serial) Optical (Fiber) Wireless (BlueTooth, WAP, IEEE ) IT Standards are driving the transfer, communications and transport layers….

25 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM What does CABA’s Middleware Task Force do? Promote and orchestrate awareness of the capabilities and benefits of middleware to the Intelligent and Integrated Building Council (IIBC) and building industry. Enhance the relationship between key building industry stakeholders and the community of technical companies that produce building automation middleware. Improve the business environment for middleware solutions in the building industry market. Serve as conduit to facilitate the appropriate elements of the IIBC mission.

26 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM What is Middleware? Middleware is an intelligent, enabling layer of software that manages the communication and interaction between building sub-systems. It acts as a universal translator between sub-systems and provides a common, consistent platform for managing the built environment.

27 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Middleware Architecture Middleware is the “glue” between disparate sub-systems within a building Devices : Data : Services Protocols : Standards Middleware Applications

28 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM What can Middleware do for me? Enables a scalable approach to building systems maintenance and management Allows integration of disparate technologies and/or legacy systems Utilizes standardized low-cost network resources Allows best-of-breed system choices Essential for the deployment and creation of advanced applications

29 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Standard Building Objects Fan Object Template $Fan Modeling Basic Objects - each fan has associated properties Documentation Programmable Functions Alarms/Events Inputs/Outputs Energy Profiling Electricity Rating Efficiency Load Profile / Forecast etc.

30 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Standard Building Objects / Templates AHU Object Fan ObjectValve Object Humidifier Object Etc. Alarms / Events Documentation Energy Profiling Inputs / Outputs Programmable Functions Multiple Basic Objects form a functional object / template Graphical Presentation Alarms / Events Documentation Energy Profiling Inputs / Outputs Programmable Functions Electricity Rating Efficiency Load Profile Over capacity / load shedding sensitivity etc.

31 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Site Modeling AHU Object $AHU1AHU Object $AHU2 Chiller Object $CHILLER2 Building ProfileElectricity Rating Efficiency Load Profile Over capacity / load shedding sensitivity Gas Rating Water Rating Tariffs Etc. Other Objects Security, Access, Fire,etc

32 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Regional Modeling Building Load Profile Over capacity / load shedding sensitivity per site / building Building Object 1 Regional/Customer Profile Building Object 2Building Object 3

33 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Power of Middleware & Multi-Vendor Common Protocols Regional/Customer Profile Regional Profile Site Profile Function Profile Device Profile

34 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Integrated & intelligent buildings… How does it help me? 1. Optimize asset utilization How, when, why, by whom….. 2. Manage energy consumption “Utility costs are 30% of the average office building’s annual operating expenses.” (2000 BOMA Experience Exchange Report)

35 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM The good news is that we are all listening to one another….

36 © 2002 Invensys plc - “Company Confidential” TM “Buildings NY 2002” - June ‘02 TM Your responsibility……. Continue to insist that all disciplines in the building industry continue to work together toward the common goal…meeting your needs and the needs of your customers!!