industry transformation map

59 Pages·2017·5.54 MB·English

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ENERGY &
CHEMICALS
INDUSTRY TRANSFORMATION MAP
E&C ITM
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Overview
E&C ITM Strategy
Transformation – Leveraging & Enhancing existing base
Growth – Attracting & Anchoring new high value products
Productivity Innovation Jobs & Skills Internationalisation
(Plant Operations)
Improving manufacturingproductivity and Developing applied research Enhancing skills training, which Establishing avenues and
productslate through: capabilities to support specialty is central to continued industry putting in place enablers for
 Technologyupgrades & feedstock flexibility chemicals product innovation growth SMEs to grow
 Digitalization
 Market domain knowledge  Strengthening pool of  Support schemes
process technicians
 Work with leading companies
Productivity to develop market domain  Attraction & retention  Facilitate collaboration
(ProcessConstruction & Maintenance) knowledge  Skills deepening with MNCs & RIs where
relevant
 Enhancing skills training to
Improving the productivity of a key supporting
 Platform Technologies
meet demand for R&D roles
industry
 Position A*STAR and IHLs as  Assistance in gaining
 Increasing worker productivity
choice innovation partners  Equipping workforce with access to regional markets
 Improving project management practices
 Facilitate R&D consortiums
future skills
across the value chain
Key Enablers:
 Accelerating industry development through industry partnership
 Increased involvement of industry associations (SCIC, ASPRI) for productivity and manpower initiatives
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OVERVIEW
E&C ITM
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E&C Coverage
PCM Logistics
E&C
Fuel Advanced
LNG materials
Clean Energy
Utilities
E&C ITM
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Overview
E&C ITM Strategy
Transformation – Leveraging & Enhancing existing base
Growth – Attracting & Anchoring new high value products
Productivity Innovation Jobs & Skills Internationalisation
(Plant Operations)
Improving manufacturingproductivity and Developing applied research Enhancing skills training, which Establishing avenues and
productslate through: capabilities to support specialty is central to continued industry putting in place enablers for
 Technologyupgrades & feedstock flexibility chemicals product innovation growth SMEs to grow
 Digitalization
 Market domain knowledge  Strengthening pool of  Support schemes
process technicians
 Work with leading companies
Productivity to develop market domain  Attraction & retention  Facilitate collaboration
(ProcessConstruction & Maintenance) knowledge  Skills deepening with MNCs & RIs where
relevant
 Enhancing skills training to
Improving the productivity of a key supporting
 Platform Technologies
meet demand for R&D roles
industry
 Position A*STAR and IHLs as  Assistance in gaining
 Increasing worker productivity
choice innovation partners  Equipping workforce with access to regional markets
 Improving project management practices
 Facilitate R&D consortiums
future skills
across the value chain
Key Enablers:
 Accelerating industry development through industry partnership
 Increased involvement of industry associations (SCIC, ASPRI) for productivity and manpower initiatives
E&C contributes significantly to Singapore’s economy
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General
Energy &
2015 Performance 8%
Chemicals
Biomedical
9%
Total S$78 billion 29%
Output: (10-yr CAGR 1.7%)
Transport Singapore’s
Engineering 11% Manufacturing
Output (2015):
VA: 10.6 billion
S$283 bn
(10-yr CAGR 3.7%)
13%
Precision
Engineering
Employment: 28,400
30%
Electronics
Beyond Manufacturing
Headquarters
• >40 HQs
Linkage to Trading
• S$3.1 bn in wholesale
• Manufacturing provides substance
trade VA
to justify trading profit capture
Research & Development • Trading strengthens manufacturing:
• 20 innovation centres (i) Sourcing of competitive feedstock;
(ii) Outlets for refinery/cracker products
Singapore has become one of the world’s leading 7
E&C hubs
More than 40 years of development… Singapore is now
 >S$47 billion in cumulative FAI on JI  Asia’s leading oil trading hub (3rd
• ~75% from E&C companies largest globally)
• ~25% from utilities; logistics; and other
companies  Top 5 export refining hub
• >100 companies
 Top 10 global chemicals hub
Refining capacity of Ethylene output capacity Wide range of Across different end-markets
more than 1.3 million of 4 million Petrochemicals e.g. oilfield & water, consumer,
barrels/day tonnes/annum e.g. Elastomers, Polyolefins, lubricant additives, agrochemicals,
oxo-chemicals animal nutrition
E&C is a source of good jobs for Singaporeans
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Chemicals Job Profiles Multiple Pathways to Success
Across all manufacturing industries:
High localization (69%)
Razali Bin Abdul Rahman
• Graduated with O levels
Highest remuneration per worker (S$104k) • Rotated through multiple plant assignments
over30 years
Aggregated across job functions
• Currently Shift Superintendent, leading a
High proportion of PMET jobs (66%)
team of ~100 people who work to ensure
the smooth running of processing
operations.
Dennis Cheong
• Graduated with a degree in Chemical
Engineering from Australia; joined Shell in
1990 as a mid-career hire
• Rotated through multiple assignments in
Singapore, London, and Beijing.
• Currently VP of Shell’s lubricants supply chain
(Shell Eastern Trading Ltd)
E&C has also enabled the growth of local companies in
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supporting sectors
Logistics sector
• FY’15 rev: S$891mil; Group emp: 6k
• 2006: Invested S$55 mil in two logistics hubs
• Group Rev FY’15: S$203mil
• 2011: Invested S$180 mil in an integrated chemical logistics hub
Utilities sector
• Utilities (FY’15 Rev: S$4.2b; Group emp: >7k)
• Invested >S$1b in FAI and employs >200
• Provides wastewater treatment, steam, power, etc.
• Keppel Infrastructure (FY’15 Rev: S$2b, Emp: 2.75k)
• Invested >S$100m in FAI and employs >20
• Provides power to JI and mainland Singapore
Process Construction & Maintenance Sector
• FY’15 rev: S$688mil; Group emp: 6k
• Largest Singapore industrial engineering services company
• Offices in over 10 different countries
• FY’15 rev: S$121mil; Group emp: 2k
• Established its GHQ, CoE and TCT in Singapore
But contribution of local manufacturers is small 10
Manufacturing output of Singaporean E&C
S$1.4bn
companies (2015):
2%
98% >S$100M:
2 coys
2015 E&C Industry
S$50-100M:
Manufacturing Output
S$75.6bn 3 coys
S$10-50M:
32 coys
>S$10M:
Singaporean Companies Foreign MNCs
234 coys
Singaporean SMEs focus more on select functions within the specialty chemicals sector
• Company activities are concentrated primarily on blending / toll manufacturing