Entry Details

Organization:Johnson Controls Arabia
Login ID:JCArabia
Category applied for:IoT INTEGRATION INITIATIVE OF THE YEAR
Submission date:28-Oct-2024
Submission Entry:
1.) Given that buildings consume 40% of global energy, within which at least 40% is consumed by HVAC systems, how has the goal of 1.5 C additionally impacted your project opportunities? What specific products have you supplied or incorporated to support the 1.5 goal? (213)

Answer: In alignment with the global and local sustainability goals, Johnson Controls Arabia(JCA) realized the importance of advanced IoT and AI driven analytics technologies in buildings.

Using the OpenBlue (OB) IoT smart buildings platform from Johnson Controls, JCA promoted and applied the technology on both, equipment and buildings enterprise levels.

On building level, OB measures building performance and deliver outcomes that matter most: Energy Efficiency & Sustainability; Operational Efficiency & Equipment Performance; people wellbeing and safety. The inbuilt NetZero Advisor, enables setting, tracking and reporting decarbonization targets.
The system also is equipped with AI driven recommendation engine to detect faults and anomalies, highlight saving opportunities and support sustainable operation of equipment and spaces.

On equipment level, JCA supply YORK chillers with connectivity to the OB Smart Connected Chillers platform, that enables 24/7 monitoring of the chiller's parameters and proactive detection and diagnosis of energy and operational faults.


2.) Describe the bigger picture you see as an IoT service provider. How do socio-economic and sustainable development initiatives in the country, or countries, you are operating impact/influence you as a manufacturer, supplier or service-provider? (214)

Answer: The broader perspective as a leader in smart buildings IoT industry encompasses a pivotal role in advancing the sustainable development narrative, particularly in the ESG (Environmental, Social, Governance). In regions like Saudi Arabia, growing sustainability movements significantly influence our services and product development plans.
Governmental regulations and environmental awareness among clients drive us to innovate, ensuring our IoT solutions optimize energy efficiency and environmental stewardship.

Using OB IoT platform, we are committed to foster sustainable operation of building systems and spaces where we live and work, directly responding to the local and global sustainability imperatives and aligning with Saudi Vision 2030’s energy efficiency goals.
Furthermore, our engagement with industry stakeholders, communities, and customers fortifies our commitment to creating smarter, healthier, and more sustainable buildings.

Our holistic approach positioned us as a major contributor to the broader ESG and energy efficiency discourse, forging a sustainable legacy in the buildings industry.


3.) How has the global drive towards AI impacted your business in terms of sales cycles, conversion rates of prospects to contracts and improved profitability? (215)

Answer: When it comes to sales life cycle management, JCA embraced a comprehensive, digitally enabled approach to ensure streamlined process from prospect to conversion and customer satisfaction.

Sales stages are accurately defined as (Target, Qualify, Verify, propose, close), and are continuously tracked through our online CRM application, supported by Power BI dashboards to provide real time analytics across all products and sales stages.

On the other hand, and throughout the project lifecycle, client feedback surveys are done on regular basis by our customer support team, to ensure customer satisfaction about the provided services in all stages, for won and lost opportunities.

When it comes to digitally enabled solutions and services, we are applying the Software/Platform as a Service (SaaS/PaaS) approach, that allows the client to quickly deploy the service, pay as they utilize and avoid large upfront investments in technology infrastructure.


4.) To what extent do you believe you have the scope to feel concerned about, and to contribute to, the socio-economic and sustainable development of the country, or countries, you are operating in? How frequently are you able to precisely meet the specific needs of consultants and of developers/builders (clients)? (216)

Answer: Sustainability development in the building industry is our core business concern, as all of our products and solutions are centered around sustainable buildings and communities.
We have been able to satisfy our clients sustainability goals in all levels and throughout the building lifecycle, by providing a comprehensive solution approach, from efficient equipment to connected and digitally enabled sustainability platforms, and from project design support to building operations and optimization.

Compliance to the local and international sustainability standards (such as LEED & Mostadam) have been always an area of focus during our products and services development.

Furthermore, we have developed a Basis of Design team to provide an integrated design support to design constants, helping them planning for success when it comes to building sustainability. The "Design Consultants Digital Technologies" training program delivers technical trainings on digital technologies such as: IoT, digital twin, AFDD, AI and ML applications in buildings.


5.) What steps have you taken to ensure cyber security, so that customers’ personal or business data are not compromised? (217)

Answer: Johnon Control follows Zero-trust cybersecurity strategy across all connected products. i.e. hardware, software and hosted services.
We work with expert partners in government and industry to maintain our customers’ compliance with regulations and build their resilience against the increasing number and range of cyber threats.

Here is an outline for Johnon Controls Cyber security strategy of the OpenBlue platform:

Security Controls Frameworks:
ISO/IEC 27001, SOC2
ISA/IEC 62443
CIS, OWASP, NIST Cyber Security

Network:
Encrypted communications TLS 1.3
Software Defined Perimeter / Firewalls
Micro-segmentation
BACnet/SC for BMS network
Managed admin access

Device Management:
Secure boot
Secure data storage
Secure remote update
Security logging and monitoring

Users & Devices
PKI digital certificates
SSO integration
Multi-Factor Authentication

Data Protection
Disk and database encryption
Logical multi-tenant data segregation
Backup and disaster recovery


6.) As manufacturer, supplier or service-provider, what specific actions do you take in terms of handholding on installation and training on operation, plus ensuring availability of aftersales support? (218)

Answer: When it comes to digital IoT solution projects, JCA engages with clients in an integrated design process helping them to define:
Site digital readiness parameters
Digital use cases considering sustainability and compliance requirements
Expected outcomes for every stakeholder
Overall delivery plan
Integration plan and the contribution of different parties

This means that the project execution process by itself, is an on-job training for the client staff. Furthermore, structured training for the operation team will be done after the implementation as a standard.

The implementation is done with by the on ground JCA projects team supported by JCI global engineering center through remote connection.

Through the OpenBlue Services Program, JCA will help clients meet their operational, financial, and sustainability goals.
We’ll help them identify, prioritize and implement changes that increase efficiency, minimize unplanned downtime, reduce energy consumption and deliver a healthier environment for occupants.


7.) What pricing policy do you follow as a manufacturer, supplier or service-provider of IoT products or services? What are you doing to attract customers - innovative commercial contracts, project financing, etc.? (219)

Answer: JCA provides IoT solutions through Software/Platform as a Service (SaaS/PaaS) business model. This will facilitate faster implementation with no or minimum upfront CPEX investment, as well as flexible payment depending on their data utilization and subscription options.

Furthermore, JCA provides different Value Bundles for clients to attract their attention to the benefits of IoT solutions, e.g.:

One year subscription for the OpenBlue Smart Connected Chillers application is provided free of charge as a standard with chillers delivery.

For the OpenBlue platform, various Sustainability Value Bundles with flexible payment options have been created to suite different customer
needs. e.g. NetZero Advisor and NetZero Advisor+ with different options for emissions tracking, energy management and utility bill management

For 3Yrs+ OpenBlue Platform subscriptions, JCA will completely absorb the installation fees as well as the IoT bridge hardware cost
Projects with guaranteed energy savings, JCA as an ESCO, follows TARSHEED financing model.


8.) What management strategies and guidelines have you established to counter payment delays and other such instances, which are affecting your cashflow as a manufacturer, supplier or service-provider, and are preventing an ideal building construction eco-system (involving all stakeholders) from forming? What creative strategies are you utilising to circumvent/overcome cash flow challenges? (220)

Answer: Johnson Controls Arabia employs proactive strategies to manage payment delays and cash flow challenges, fostering an ideal building construction ecosystem. Clear payment terms, open communication, and digital tools streamline processes, reducing delays. We prioritize financial resilience through prudent
planning and collaborate closely with suppliers and partners to optimize supply chain efficiency.

Our commitment to maintaining a healthy cash flow aligns with our goal of nurturing an ecosystem that benefits all stakeholders. By focusing on transparent and efficient financial processes, we contribute to a construction ecosystem that operates smoothly, benefiting not only our organization but also our clients and partners.
This approach reflects our dedication to creating value and facilitating successful building projects for all stakeholders involved.


9.) What do you envisage the future of IoT to be? What futuristic scenario are you working towards the supply of IoT devices and software? Are you providing completely cloud-based solutions on a recurring revenue model or on-premises installation of software for a one-time fee? (221)

Answer: The OpenBlue IoT platform is cloud based, with SaaS/PaaS business model (recurring revenue).

Backed with AI algorithms and advanced analytics, OpenBlue currently provides smart building services and recommendation engines for clients covering the following aspects: Sustainability, Operational & Equipment performance, occupant safety & wellbeing.

Further advancement of the AI, IoT and data technologies will lead the future advancement of smart building to be "Cognitive Buildings", enabling buildings to be self-adapting, self-healing and self-optimizing.

The building will be able to predict and learn occupants’ preferences and usage patterns.

Generative AI will take the operational experience to the next level of productivity as well. A facility manager will be able to ask the AI assistant, "What can we do to reduce the energy consumption by 7% during the coming 6 months?".

Cognitive building transformation will change from an “expense challenge” to a “revenue generating opportunity.


Supporting documents:
References:CCAUAE2426 || amin.khayat@jci.com

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