Oil and Gas Pipeline

TCS’ Offering
CONFIDENTIAL

April 21, 2014

Copyright © 2011 Tata Consultancy Services
Limited
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Midstream in Oil and Gas Value Chain and complexity

Upstream Midstream Downstream

Gas Storage

Gas Separation, Pipeline

Liquefaction LNG Tanker Re-
Gathering, Transportation
(LNG) Shipment gasification
Processing (Gas)
Consumers
Complexities
Multiple Products Operational Operational Usage of Local
& Delivery Leakage Maximizing
Leakages peak Asset Usage Distribution
Product Scheduling Contracts Pumping
Oil and Gas Multiple Products Billing GHG Accidental Power
Production Market Demand Complexity Emissions Downtime
Risk Industrial
Remote Assessment
Remote maintenance monitoring
Dispersed Assets &
Surveillance Commercial
Pipeline Age
Nature’s Forces
Marketing/
Distribution
Crude/Product
Storage Pipeline
Transportation
Pipeline Terminal
Oil Refinery
Transportation Mgmt.
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Real-Time Information Flow Value Flow Petroleum Value Flow Natural Gas
 Oil & Gas Pipeline Systems
Plan
Commercial Technical Shipper Environment Route Route Regulatory
Feasibility Feasibility Commitments Impact Selection Survey Approvals
Analysis

Build

Regulatory & Environmental Requirements

HSE
ROW Acquisition

Location Procurement
Ownership Type Project Management
 Vendor Mgmt
Business Requirements

Size  COCO  Design

 LEASED  Construct
 Order & Purchase
 Third Party  Site Transportation
 Commission
 Store Mgmt

Operate
Customer services
 Gas Transportation Order to Cash Cycle
Nomination Confirmation  Scheduling  Allocation  Invoicing

Quality management Maintenance Governance Regulatory

 LIMS
Pipeline Operation
 Capacity Planning  Pipeline Surveillance Compliance
 Shipper Services  Preventive Maintenance
Pricing  Breakdown Management Regulatory Reporting
 Scheduling
 Regulatory approved  Corrosion Protection  Pipeline Safety Audits
 Energy Management
tariffs  Auto tank monitor  Pipeline Integrity Program
 Asset Management
Training  Facility Management  Service Maintenance  Litigation
 Technical/ Operational  Sustainability
 Soft Skill

Back office operations : Finance, Accounting , HR, Payroll, Procurement

Monitor
Analytics, BI, KM & Infrastructure
IT Frame
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Oil & Gas Pipelines
Global Business Overview

 Over 2,400,000 KM of Oil, Gas, Refined products transmission and 60,000 Km of gathering
pipelines across globe operated by more than 300 entities.
 More than 500,000 kilometers have been added in last five years.
 Asia Pacific is expected to witness the largest addition of pipelines in the world.
 Geopolitical and other issues continue to daunt the industry on ownership, contracts, security and
operation.
 Crude oil from the Canadian oil sands is increasingly being transported through pipelines to US
resulting in increase in investments in the North American pipeline infrastructure.
 Number of pipelines are being planned near the producing shale gas.
 Global capital expenditure on Oil & Gas pipelines is expected to be $57.5bn in 2011 with about
15% growth till 2020.
 Natural Gas transportation and Distribution to gain more prominence in near future. Estimated
Global reserve 6500 TCF i.e. 60 times the annual consumption.
 94% of NG and about 65% of Liquid Hydrocarbons are transported through Pipelines.
 Methane leakage from aging gas pipelines is one of the environmental biggest impacts &
concerns.

IT Market
Estimated Global IT Market in Pipelines is approx US$ 3.3-4.2 Bln USD (Including Hardware,
licence fees, implementation and Maintenance)

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Business Trends of Pipeline Transportation

 Higher pressure requirements in the pipeline system for obtaining more capacity.
 More gas based plants for instantaneous start up to counter erratic wind energy generation.
 Shall have to accommodate Larger “swings” in pipeline transportation as generating plant trips
ON and OFF multiple times during the day.
 Separation of core business from production and refining to continue and roll to rest of the globe
 Storage systems will be increasingly used for gas trading - rather than injections over summer to
meet high demand for the winter heating load.
 More power generation from Gas, the utilization of the main-line capacity will increase in
summer due to peak electricity demand, competing with storage fill for capacity utilization.
 Increased efficiency that will lower transportation costs through pipelines.
 Increased competition from unbundling of the Gas industry leading to new traders to emerge
and utilize the capacity much differently than the pipelines historical customers.
 Competition shall drive pipelines to create new services, develop new pricing models.
 Complicated contractual conditions on pipeline usage between operators and customers.
 Drastic shortening of pipeline contractual arrangements with those customers.
 Greater accountability on transmission losses by operators.
 Public pressure to regulate pipeline industry because of environmental and safety concerns.
Regulatory bodies to impose stricter regulations on operations & safety.
 Development of sophisticated tools, instruments and applications to monitor pipeline assets.
 Increased focus on monitoring against external threats/vandalism and disaster management.
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 Opportunities in Midstream

 Increased Environmental Issues on -

 Route Selection, Remediation
 Reclamation, Mitigation
 Regulatory and Community Issues
 Pubic Participation, Environmental Impact Assessments
 Increased focus on -
 GIS Development, Records Management
 Database Design, Remote Sensing
 GPS applications, Mobile applications
 Corrosion Defect Assessment, Inspection (internal and external), Fatigue/Fracture Control
 Non-Destructive Testing, Repairs, Welding and Joining, Cathodic Protection
 Reduce the cost of acquiring condition information to maintain safety of pipelines
 Integrate acquisitions of new pipelines.
 Optimize gas nominations, oil scheduling using analytics.
 Heavy spend on Asset Preservation and conforming to regulatory requirements.
 Increased Competition and regulatory intervention leading to -
 Increased Operation Efficiency
 Reduced Downtime
 Reduced Energy Consumption
 Decreased Environmental Emissions
 Integrated Power and Automation systems usage of variable drives 6
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 Oil & Gas Pipelines Offerings to be positioned*

Domain Centric –
 Route Selection & GIS based Project monitoring
SCADA (Migration, Fault detection, Data Polling apps, Interface Devt, Enterprise Systems Integration, EAM)
 Control Devices, Control Systems
 Sensor Technology, Measurement and Metering
 Corrosion Monitoring, Hydraulic Simulations & Leak Detection
Pipeline Monitoring, Remote Surveillance, Safety and Pipeline Integrity Management
 HSE, GRC, GIS
 Fuel (Gas/Liquid) Inventory Mgmt
 Asset Management, Pipeline capacity optimization and Product Scheduling, Pipeline Throughput Forecasting
IT Centric –
 Enterprise Apps
System Integration and consolidation
 Migration
 Reengineering
 Testing
 Application Rationalization

Product Vendors in Pipeline applications**

Honeywell Siemens Invensys Emerson Matricon
UCOS Logica Telvent Quorum Atmos Energy
ESI Allegro Maximo SAP, Oracle GE 7
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* (Blue) TCS is comfortable and has proven capability ** (Bold) We have alliances/Partnerships
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Potential Customers -- Predicaments

• Due to new regulatory compulsion, pipeline operators need to function as unbiased independent
body. Operators have separated from parent companies either as independent subsidiaries or
operate as consortium of Oil majors.
• The procurement procedure of these formed companies are still in formative stage. Parent
companies have either deputed manpower or decide on the procurement services indirectly.
• Engineering applications dominate in pipelines companies and IT procurement is done in with
functional personnel
• Due to diverse operation over vast geographies across US and localized requirements of
servicing, these companies have not focused on outsourcing services till recently.
• Local and niche companies over the years have been servicing these companies and very few
Indian IT companies have opened account in these companies.
• European Pipeline operators are scattered across various countries and same pipelines runs
through multiple countries having their own linguistic, cultural, economic and political identity .
• Language is the main barrier of targeting these companies and may require French, Portuguese,
Spanish, Greek, Italian, Russian etc speaking skills.

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Potential Customers -- Penetration thoughts

• Contacts and key personnel of target companies have been identified are being shortlisted.
• The list need to be elaborated from other sources for maximizing reach.
• Collaborate with local partners for entry and providing credibility and comfort of outsourcing.
(Small local niche players having connects with companies but not capable of large scale
execution should be targeted.)
• Target collaboration with consulting firms and construction firms for entry into pipeline companies.
• Regulatory bodies need to be appraised about capabilities for references in IT applications
touching on pipeline safety and Integrity.
• Penetrate E&P companies that have pipeline operations via their upstream group where we have
contacts; develop credibility and expand.
• Mailers followed with call campaign with focused emphasis on the prospects are planned and
need to be executed meticulously.
• Case studies, White papers, Capability decks, Web-n-airs are being designed for penetrating
these companies.
• Participation in seminars and conferences both for gaining knowledge and increasing visibility of
TCS is very crucial.
• COE need to be apprised of Business problems and issues for providing proactive IT solutions.
Meetings and Workshop with Business is essential for entry.
• Dedicated accountable time of Sales is essential for penetrating in new accounts.
• Appraisal of discussions need to flow back for improving the bouquet and solutions.

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TCS Technology/IT Solutions for Pipeline Industry
Stages

Construction Operations Maintenance Commercials

• Feasibility Analysis • Hydraulics Management • ROU Surveillance • Contract Management

Business

• Route Planning • Pipeline Monitoring • Maintenance Scheduling • Nomination Management

Process

• ROU Acquisition • Pipeline Scheduling • Pipeline Pigging • Metering

• Pipeline Construction • Energy Management • Performance Analysis • Imbalance calculation
• Pipeline Testing • Quality Management • Safety, Health and • Invoicing
• Inventory Management Environment

Pipeline Route Planning Pipeline Scheduler SCADA Remote Surveillance Inventory Mgmt
Land Lease System Historians Pipeline Stress Modeling Customer Portal/
GP SCADA Digital Surveillance System Metering & Accounting System
TCS Technology/

Automated Schedule Reconciler Pipeline Failure Prediction

IT Solutions

Inventory Management System Asset Management System

Pipeline Demand Forecasting
Enterprise Mobility Application PIMS
Leak Detection System
Integrated Pipeline Management System
Pipeline Data Management
ERP

Consulting in Environment Impact Analysis, Asset Mgmt Strategy, Route Planning

TCS Domain

Services

SCADA Security Audit and Consulting

IT\BPO

Enterprise IT Strategy Services

IT Application Rationalization Services
BPO Services

Business Apps IT Apps Business Apps with Business Apps with Consulting and 10
with Pipeline Exp. competency. other Exp. Services
Enterprise Applications by TCS for Pipeline Enterprises

GIS for Pipeline ROU & Environment Asset Management

• Accurate mapping of selected site including topography, vegetations, • Asset Management
habitations around ROU • Work Management
• Mapping of installations, instruments, tanks, consumption centers with • Spare Inventory Management
Geo-coordinates • Predictive Maintenance
• Integrate all parameters captured of the Objects above to display on • Maintenance planning and Budgeting
map • Asset maintenance analytics and Forecasting
Benefits • Procurement and Contract Management
• Ability to locate any over & buried pipeline assets across location Benefits
• Parameter display on map giving a realistic representation, with Pan • Enable higher Utilization of Pipeline assets
and Zoom In/Out tools • Reduce cost of maintenance of assets
• Enable field persons with access to site design and as build diagrams • Proactive maintenance of assets reducing catastrophic failures
• Reduction of time and cost for route planning activities for oil and gas • Spare parts optimization and reducing inventory cost
pipeline • Single version of Truth through single repository of all assets,
Experience maintenance schedules, history and their spare parts requirement
• TCS has successfully executed a Environment Impact Analysis Experience
assignment with Oil pipeline major in India • Successful implementation of Maximo for Global oil and gas major
• Successful implementation of Meridian for Indian Refinery major

• Enterprise wise Financial management • Minimizing manpower requirement

• Budgeting, costing, revenue, profitability • Quickest turnaround
• Spare parts & Service Vendor payments • Increase uptime with faster repairs
• Sales accounting • Logistics planning
Benefits
• Over forty years of experience in financial solutions Benefits
• Automatic & accurate accounting • Reduced lead time of procurement
• Sales, Procurement, customer & vendor fiscal management • Spare parts Management
• Budgeting, costing, analytics and monitoring • Lowering cost of Procurement
• Integration with other applications for accuracy, reduction of data • Service management
duplicity & manual effort, accuracy
• Stakeholder reporting Experience
Experience • TCS has strong experience in across the lifecycle of SCM, starting
• TCS has a rich experience in financial management as it executed from Consulting, Planning, Network design to Execution.
numerous financial management projects across the globe which • TCS has successfully executed a SCM project for global major in
includes successful execution of ERP with oil and gas major transportation, storage and distribution of bulk liquid chemicals

Financial Management SCM

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Maintenance/Operative Applications by TCS for
Remote Assets

SCADA Condition Monitoring /RCMO (OEM/Developed by TCS)

• Integral part for Pipeline for collecting, analyzing monitoring and • RCM is a framework to achieve maintenance program designed to
controlling pipeline operations realize the inherent reliability potential of equipment.
• Monitor and control Digital I/Os, Analog I/O, Serial interfaces • The RCM concept uses a decision logic to evaluate and construct
• Integration with IT and Engineering systems maintenance tasks which are based on the equipment functions and
• UI graphic designing failure modes
• SCADA security audit and testing
Benefits Benefits
• Technology agnostic competence, alliance with all leading product • 80 % of breakdowns are eliminated
vendors • Increases uptime,
• End to end competence from Data capturing, transmission, storage, • Increases asset life,
and analytics • Prevents major breakdowns
• Integration with asset Management , ERP avoiding duplicity & time lag
Experience Experience
• TCS has experience on major SCADA systems and has successful • TCS has successfully implemented the Meridian for the Oil refinery
executed projects in all geographies and across the industries major in India
• TCS has successful project experience with a gas pipeline major in UK

• Integration with ERP, GIS, Engineering and IT applications • Stores all historical data of parameters captured by SCADA
• Mapping of installations, instruments, tanks, consumption centers with • Creation of custom graphical trends to monitor various equipment and
Geo-coordinates conditions along pipelines
• Integrate all parameters captured of the Objects above to display on • Custom Reports based on captured parameters and Trend analytics
map on the mobile or wireless device • Storage of Diagnostic information
Benefits Benefits
• Efficient predictive and preventive maintenance • Collects and optimize vast amounts of data from across your
• Enhanced data integrity
operations for true process visualization
• Reduction in Manual Efforts and administrative workload
• Basis for driving operational performance improvements
• Improved planning of maintenance activities
• Provides high performance from a single, central repository of massive
• Improved pipeline integrity decision making process due to timely
volumes of historical data
access to information
• Designed for optimum delivery of these types of queries and other
• Reduce data errors due to automated process
needs that are based on the real day-to-day dynamically changing
Experience
requirements
80+ customer engagements
Experience
700+ consultants trained
1500+ years of domain experience TCS has worked on the all major historians available in the market OSI –
PI Historian, Aspen – IP21, Rockwell – RSSql, Honeywell - PHD 12
Mobile Service/Resource Management - 12 Historians
Maintenance/Operative Pipeline Applications by TCS
Pipeline Throughput Forecasting
Linear Program based model for predicting the Throughput of the
pipeline network with time period ranging from Short range
(months) to Long Range of 20 years
Benefits
• Forecast for pipeline throughput for entire network
• Option to explore the possible throughputs of competitors
network
• Capital Investment planning for expansion of the Pipeline
network
• Foresight to possible Asset Bottlenecks in pipeline network
Experiences
• Successful implementation for Canadian Oil pipeline Major
owning one of the longest crude oil pipelines in world
Predictive models for failures from historical data, CM with help of
statistical tools
• FEA analysis to Find stress and Compare against allowable from
industry standards
• Tag Risk Associated & Geo spatial Analysis
• Decision Support Systems for Asset Performance
Benefits
• Helps to plan inventory/spare parts forecasts
• Increases uptime with readiness based on forecasts
• Financial planning based on the forecasts
Experiences
• Rail-track - Geographically dispersed assets; Emphasis on failure
prevention
• Water/waste-water - Poor quality of infrastructure; Geographically
dispersed assets
Failure Predictive Models
Route Planning Application
Route Planning Application supports the feasibility analysis of the
cross- country oil and gas pipelines, and it systematically guides
the user to arrive upon the most feasible route depending upon
the user defined constraints.
Benefits
• Identification of possible routes and preparation of detailed
database for them
• Identification of parameters for route selection
• Identification of risk factors and constraints
• Assigning the suitability factor to each route for a given
parameters and constraints
• Analytical reporting
Experiences
• TCS has successfully executed the project in route planning
area in the Power industry
• Solution based on repetitive satellite imagery for surveillance for
change detection, Monitoring Oil and Gas transmission corridors,
detecting hazards & acts of aggression etc
Benefits
• Monitoring Oil and Gas transmission corridors
• Accurate economic analysis of ROW
• Progressive Monitoring vegetation intrusion
• Alarm classification and Alert generation
• Detecting hazards & acts of aggression
• Monitoring vegetation intrusion on transmission and distribution lines
by comparing repeated images
Experience
TCS has successful conducted a pilot project for a Indian gas pipeline
major
Remote Sensing - Surveillance
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New Solutions in Operation & Maintenance from TCS
Pipeline Stress Modelling
Pipeline Stress Modelling use XYZ PII data to compute pipeline
bending strain and strain changes and will use this for structural
analysis and integrity evaluation of the pipeline system in
geotechnical unstable areas.
• Read additional details such as (a) geographical coordinates of
the start and possibly end points (b) material, standard diameter
and thickness of pipe, etc
• Clean, smoothen the data and compute curvature all along the
length for both the runs
• Compute strains based on curvature changes across runs
• Compute stresses based on strains
• Assign criticality along the length for all points
• Show it in GIS with features for zooming, indication of location,
etc
• Facilitate user with analytical reports
• A remote surveillance solution based on Video, Audio, Infra red, Ultra
sonic for detection, Monitoring in remote, unmanned assets like Block
Valves, Gas processing Skids, Control centers, repeater stations,
Compressor stations
Benefits
• Motion Detection, Object Identification & Classification
• Multi-Scale Tracking
• Digital Video Storage for remote and unmanned pipeline assets
• Control Access & security log
• Manpower tracking
Experience
TCS has successfully executed the digital surveillance project for Indian
Oil and gas major
Digital Surveillance & Access Applications
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GP-SCADA (Geo-Programmed)
• Geo programmed SCADA provides contextual relevance of faults,
alarms, personnel, assets and exploring surroundings, topography for
logistics and Disaster planning
• Geo-reference all SCADA controlled Installations, instruments,
offices, consumption centers, tanks etc
Benefits
• Efficient Alarm/Fault management from GIS Map
• Enhanced logistics and Disaster planning & management
• Effective Operational planning based on constraints, inventory ,
consumption centers, personnel etc
• Control Access of personnel of vital installations and security log of all
access
Experience
TCS has successfully executed a GIS based search portal for seismic,
drilling and corporate data for a global oil and gas major
• Pipeline Integrity Management enables Pipeline companies to
implement Risk based Integrity Management Program complying with
PHMSA standards
Benefits
• Section wise Threat and Impact assessment for pipeline network
• Collation, Review and Analysis of inspection information, results of all
in-line inspections and pipeline operating conditions
• Risk categorization of Pipeline network
• Recommendations on Integrity Inspection Methods integrity
Assessment on Inspection results
• Mitigation plan based on the assessment
• Visual GIS based view of risks, threats and operating conditions
Pipeline Integrity Management
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Operation & Maintenance - New Solutions for Pipeline
Enterprises
Real Time Inventory Management
• Event Trigger based Inventory Calculation
• Captures Field Measurement snapshot for calculations
• Improved adherence to Petroleum quality guidelines and pipeline
integrity
• Approval Workflow for Inventory results
Benefits
• Improved utilization of line pack inventory
• Improves customer satisfaction by near real time batch tracking
• Dynamic and effective decision making through real time inventory
position
• Improved adherence to Petroleum quality guidelines
• Comparison of the actual batch status against the schedule and flag
out any mismatches
• Data integration of all pipeline Real-time systems Linkage of monitoring
devices with activities operational plans
• Real time reconciliation of planned activities against actual events
• Collate data logically to provide quick analytics
Benefits
• Reduce manual efforts and employees can focus on value adding
activities
• Reduce data duplicity and provide “Single version of truth”
• Provide access to updated and latest information and events for
efficient functioning of source applications
• Reduction in field errors by pushing events across real time
applications automatically
• Increase capacity with better optimization
• Increase customer satisfaction by efficient batch tracking, reducing
degradation
Automated Reconciler
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Planning & Scheduling
• Single engine based solution for Volumetric Allocation and Planning &
Scheduling
• Functionality of building schedules for Pipeline as well as Tanks
• Approval workflow for Managing Schedule
• Functionality of building schedule for both common stream and
batched mode operations
Benefits
• User configurable schedule evaluation metrics and measures
• Collaborative environment for managing the multiple scheduler
changes
• Improved prediction of delivery time
• Better utilization of Assets
• Reduce carryover volumes, cost of operations, pumping costs
Experience
• TCS has implemented a successful scheduling solution for Oil tankers
for Indian Oil and gas major
• Planning and Scheduling solution for railways in India
• Holistic solution of exchanging data and information between various
pipeline applications for triggering automated transactions, activities
and reconciling data for management reporting
• A central system integrator for data flow between engineering and
enterprise application like SCADA, GIS, Asset Management, Gas
Mgmt, Leak and Fault detection, CM/RCM, ERP/CRM, Mobile apps,
Benefits
• Complete automation, visibility, analytics and governance
• Reduction in downtime and manpower
• Reduction in Inventory, maintenance and surveillance costs
Integrated Pipeline Management
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New Operation & Maintenance Solutions from TCS
Leak Detection
• A network simulation is created and validated
• It simulates and predicts the network performance in a fault-free
network
• If field and simulated data match, the network is doing fine
• Deviation indicates a fault
• If the deviation is confined to a location only, then it is likely to be an
instrument fault
• If the deviation seems to begin at some monitored location and then
envelopes the entire network, like a ripple in a pool, it indicates leakage
Benefits
• Leak alarm within few minutes of leakage event
• Leak location within 10 minutes of leakage event
• Leak quantification within 20 minutes of leakage event
• Location accuracy within  0.5 % of total pipe length
• Quantification accuracy within 0.2 % of network flow
Pipeline Geo-SCAN
• Frame-work developed by TCS using and integrating open source tools
• SEE (Spatial Ent. Engine) a OGC standards complaint web platform
• With Flash charting component with business monitoring and reporting
• Links pipeline applications like SCADA, ERP, Asset Management
• Generate the report query based on the user selection from GIS map
• Connects with the multiple databases presenting a consolidated view
• SEE has all basic GIS functionalities along with advance features like
spatial analysis, spatial search, and query builder
• Provides GIS based visual features for risk level of each pipe segment
Benefits
• Consolidated singular view on various aspects of the pipeline data
• Cost effective application as it is based on open source GIS tools
• Easy to use as queries can be generated from GIS maps
• Intelligent display of data as the assets, offices, plants, equipments,
customer and vendor locations are geo-referenced
• Improves analytics and decision making due to interfaces with multiple
surveillance, Integrity and monitoring system

• liner and isolated assets, manpower, customers, vendors and

employees spread over large geographical arena
• All these can be treated as objects having a geographical reference
• Search, analyze, collate and report from data captured against these
objects in various applications like SCADA, Asset Mgmt., ERPs, CRM
etc
• Search collate and analyze huge real-time, transactional, Batch and
stationary data across multiple applications
Benefits
• User friendly analytics and information management from diverse
systems and geographies without mastering contemporary analytical
and enterprise applications
• Quick collation of data from related from unrelated applications
• Logistics visibility for equipment repair/maintenance for managing
Disaster management in case of emergency
• Much faster, flexible way to analyze large volumes of data in real-time
from diverse applications spread across locations and geographies
Object Oriented Analytics
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TCS Expertise in Major Pipeline Applications
1000 person years of experience in
SCADA • Control systems assessment
and • Automation system design
Control • Instrumentation and panel engineering
Systems • SCADA security audit
• Interface Development & Integration

1000 person years of experience in

• Network Management System
Geospatial • Land Information System
Services • Risk Management Solution
• Locational Intelligence Solution
• Location Based Solutions

Over 350+ person years of experience in

Asset • Implementation & support
Manage- • Mobile Service Management
ment • Investment Planning System

250+ engagement across

Enterprise • Financials
Manage- • Sales & Distribution and CRM
• SRM and Portal Development
ment • HRM and HSE
• Mobile workforce Management

15000 person years of experience in

• Restructuring
Consulting • Application Consolidation
Services • Business Planning
• Quality and assurance 17
• Reengineering - 17
Thank You