http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/RSS.ashxVestas Win[d] PagesMon, 25 Feb 2008 13:31:59 +0100http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=1http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=1Win[d] W I N D , O I L A N D G A S No. 11 Ye a r 0 5 27 Februar y 2008 Water crisis looms The big change project · Consulting customers Torture testing · When lightning strikes Global Research lifts off Risks under the microscope · 12 crucial battles2008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=2http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=2No CO2, no H2O The Vestas vision of Wind, Oil and Gas is gradually beginning to materialise. But the progress in this area is not all plain sailing, because “clean coal” and “safe nuclear power” are also striving to stand out as the environmentally friendly solutions of the future to the ever-increasing demand for energy. Thus far, the climate debate has focused almost exclusively on CO2, but in many places around the globe, water – or the lack of it – is presenting a more pressing and immediate challenge. Wind power does not consume water when the turbines generate electricity. No single form of energy can stand alone, but Vestas is working to ensure that over the coming 12 years, the share of global electricity requirements covered by modern energy rises to at least 10 per cent. Demands will increase at the same pace, which is why Vestas has defined 12 MustWin Battles that are intended to position Vestas appropriately, because the ongoing development demands that we create a more efficient Vestas with much better dialogue and working relationships with our customers and suppliers. It also requires that we keep expanding, keep training and keep investing in new facilities. Another crucial element in Vestas’ development is our research and development department – which is the biggest in the industry. This department is sure to keep on creating new and revolutionary solutions, and in our new test centre we can run stress tests on our turbines to simulate 20 years of operation in just 20 days. This gives us a completely new range of options for quality assuring our products. Over the past two years, the Vestas Constitution has been one of the cornerstones of our strategic action plan The Will to Win. As you can read in this issue of the magazine, the Constitution has helped create a Vestas in which hard facts and figures now form the foundations for all decisions. At the weekly Government meetings, all parts of Vestas’ operations are closely monitored. Our profits for 2007 demonstrate that we are on course, and that we achieved our goals for turnover and earnings. In 2008, we will be taking the next step. This year, turnover is to rise to approximately EUR 5.7 billion, with an EBIT margin of 10–12 per cent, while our net working capital must not exceed 15 per cent at the end of 2008. 2007 was an exciting year. 2008 is sure to be at least as exciting and challenging. The passion and the will that all my colleagues display every single day constitute the real strength and energy that underpin Vestas’ market position as No. 1 in Modern Energy – in 2008, too. Ditlev Engel, President and CEO Vestas Wind Systems A/S2008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=3http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=3Content 4 Water: A crucial resource in short supply CO2 emissions are not the only global challenge. Worldwide resources of fresh water are under pressure, and the energy sector is one of the biggest water users. 30 The key battlefields After the budget, top priorities for the Vestas Government in 2008 are 12 new targets: the Must-Win Battles. 12 34 Customers set the agenda Vestas Technology R&D is to focus more on customers and markets – with support from the Technical Advisory Board. Prepared for the worst How Vestas minimises is financial risks and, in the worst case, limits the damage. 38 42 20 years in 20 days Failure is all in a day’s work at Vestas’ new test centre in Denmark. 16 From strong to unrivalled Global Research is here – a new network-based organisation with one long-term goal: to slash the cost of energy. On the way towards the right safety culture Two new safety training courses put Vestas a step nearer its ultimate goal: zero industrial injuries. 52 20 Standing up to Thor How Vestas makes its turbines virtually lightning-proof. Grounds for improvement A new earthing system improves turbine performance and electrical safety – and saves money too. 56 24 The important foundations are laid The 13 Constitution Projects launched in 2005 are now in place throughout Vestas. Win[d] spoke to their architect. Awards in France and China Vestas received two prestigious awards in 2007.2008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=4http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=4Water A crucial resource in short supply When heads of state and ministers of the environment from all parts of the world met up for the climate summit on Bali last year, all the talk was about CO2, CO2, and CO2 again. In contrast, few of the politicians seemed concerned about water – apart from the litres and litres they consumed in the baking Indonesian heat. 42008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=5http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=5In October 2007, DHI – an international consultancy and research organisation in the areas of water, the environment and health – finished an eye-opening report entitled “A Water for Energy Crisis?” In this report, which was made for Vestas, DHI examines the extent to which global water resources impose limitations on electricity generation – and thus on continued global growth. The conclusions should give every politician food for thought. A growing world In the twentieth century, the global population trebled, while global water consumption increased six times over during the same period. If this development continues at the same pace, there will be eight billion people in the world in 2025 – of whom four billion will live in regions where water is scarce. So where are we using all this water? Looking at the situation in the United States, figures released by the National Renewable Energy Laboratory (NREL) show that the energy sector accounts for 39 per cent of total water withdrawal, exceeded only by agriculture with 41 per cent. The corresponding figures in Europe show 31 per cent for the energy sector and 32 per cent for agriculture. However, what should be attracting particular political attention is the fact that thermo-electric energy production in the United States is expected to grow at such a rate that in 2025 – according to the American Energy Agency – the country will be generating 50 per cent more electricity than in 2000 from thermal sources. Europe seems to be keeping step here, too, with a report from Flörke & Alcamo (2004) stating that energy production here is expected to increase by 54 per cent in the period 2000-2030. The reason why few politicians appear to be concerned about these figures – at least, as regards water resources – is probably attributable in part to the fact that the increase 52008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=6http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=6In the twentieth century, the global population trebled, while global water consumption increased six times over during the same period. If this development continues at the same pace, in energy production is unlikely to affect the volume of water used by the power plants for cooling purposes. Nevertheless, there are two concepts that play a crucial role in this context: there will be eight billion people in the world in 2025 – of whom four billion will live in regions where water is scarce. Water withdrawal: The gross volume of fresh water removed from a source, either permanently or temporarily. In other words, some of the water withdrawn may well be returned to the source at a later date. Water consumption: The volume of water withdrawn from a source and which is no longer available because it has evaporated, been drunk, used in a product or on crops, or has otherwise been removed from the fresh water resources. If you simply look at water withdrawal, everything seems to be roses, even with the impressive growth forecast for energy production. In fact, calculations by the American Energy Agency indicate that 50 per cent growth can be achieved with hardly any change in water withdrawal. In Europe, it is actually expected that water withdrawal for energy generation will decrease by up to 65 per cent, despite the marked increase in energy production. What is worth noting, however, is the fact that the estimated water consumption in the same period will rise by 165 per cent in the United States, and by 130 per cent in Europe. So what is the reason for this apparent paradox? The answer is to be found in the two most important technologies for cooling power plants. A question of technological strategy The name of the principal author of the DHI report is Gareth James Lloyd. He is a Water Resources Management Specialist and explains about the two types of cooling systems: “One of the most popular technologies is known as a ‘once-through system’. As the name suggests, this involves drawing a huge volume of water into one end of the power plant, using it to cool the generators in connection with electricity production, and then return it to the source – a river, for example.” 62008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=7http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=7Water consumption for the production of electricity Gareth James Lloyd emphasises that although this translates into very high water withdrawal, water consumption is roughly limited to the volume of water that evaporates during the cooling process. Nevertheless, this consumption amounts to around 650 litres of water per MWh of electricity generated. “The other popular technology involves what is known as a ‘closed-loop cooling tower system’. The power plants that use this cooling technology operate with a much lower water withdrawal,” relates Gareth James Lloyd, who goes on to stress that, in contrast, water consumption in a closed system of this kind is more than double that of a once-through system – i.e. 1,330 litres of water per MWh generated. “And it is precisely here that we find the explanation of why water consumption is expected to rocket in the future.” Gareth James Lloyd relates that players in both the United States and the EU operate a fundamental strategy of building new power plants of the cooling-tower type. “At first glance, this strategy appears completely logical because after all, it allows room for energy production to grow without significantly increasing water withdrawal,” he says. However, he makes no attempt to hide the fact that the one-dimensional approach of limiting water withdrawal without taking into account the Energy source Estimated water consumption (litres/MWh) • Wind • Gas • Coal • Nuclear power • Oil • Hydroelectric power • Biomass (1st generation) 1 1,000 2,000 2,500 4,000 68,000 178,000 Table 1: Water consumption for the production of electricity using different technologies. Source: "A Water for Energy Crisis", DHI, October 2007. associated water consumption may result in insurmountable problems in relation to the fresh water resources, which will find it very difficult to keep pace with demand. This is a factor that is further exacerbated by the climate changes, to which we will return later in this article. “Of the more than 10,000 power plants operating in Europe in 2000, 66 per cent applied the once-through method, while the remaining 34 per cent used closed-loop cooling towers. If we assume that a power plant has a service life of 40 years, and that on the basis of the EU strategy in this area, we will be replacing all these power plants when they reach the end of their useful lives with coolingtower plants, then water consumption in the European energy sector will rise from 6.6 billion litres per day in 2000 to 15 billion litres per day in 2030.” To put this figure in perspective, Gareth James Lloyd adds that this volume of water is roughly equivalent to what 100 million Europeans use during a single day for drinking, washing, preparing food, etc. The right information? As is well known, politicians do not have the opportunity to investigate everything themselves. Instead, they have to make a 72008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=8http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=8“Politicians and the industrial sector should expand their concerns about CO2 emissions to include the issue of fresh water, too.” Gareth James Lloyd, Water Resources Management Specialist, DHI. great many of their decisions on the basis of the information they receive from experts in a variety of areas. This also applies to the issue of water, and it is here that there seems to be a not-insignificant difference in the information supplied to politicians in the United States and Europe. While people in the United States are focusing relatively clearly on the relationship between water consumption and energy production, the problem is viewed from a very different perspective in many places in Europe. For example, in July 2007 the Institute for European Environmental Policy (IEEP) published a report which stated, inter alia, that “water abstracted for energy production is considered a non-consumptive use …” However, as mentioned above, this is not strictly true. Far from it, in fact. The big difference As Table 1 on page 7 shows, there is a significant difference between the net volume of water used to generate 1 MWh of electricity at a modern wind power plant and that required by nuclear power plants, hydroelectric power plants and more conventional power plants, including those which use biomass as fuel. There is a simple explanation for this: the only water consumption linked to the operation of a wind turbine stems from the occasional washing of the blades. A process intended to help ensure that the aerodynamic properties, and thus the output, are retained over the years. Wind and water As wind power stands out significantly from other energy technologies when it comes to water consumption, it seems evident that increasing the proportion of wind power in a country’s energy mix would result in reductions of both water withdrawal and water consumption. The DHI report contains calculations of how much water could be saved in the United States and Europe if the proportion of wind power was increased to 20 per cent of total energy production. “Here, too, the results are of a nature that should make any responsible energy politician sit up and take note,” says Gareth James Lloyd. He then explains that in 2025, the United States would be able to save around 100 billion litres of abstracted water and 7 billion litres of consumed water by allowing wind power to cover one fifth of its energy production. Per day, that is. “If you look at the savings in water consumption, it is equivalent to what 28 million Americans use every day for washing, cooking, drinking, etc. – while the water withdrawal more than equals the total consumption of the entire population of the United States.” DHI has performed corresponding calculations for the European energy sector, and the figures here show that by increasing the proportion of wind power to 20 per cent in 2030, it would be possible to cut daily water withdrawal by around 18 billion litres, and to reduce water consumption by 3 billion litres. These figures correspond to the total daily consumption of 100 million and 18 billion Europeans, respectively. Climate change worsens the problem The scientific body that is listened to most attentively by politicians when it comes to climate change and global warming, is without a doubt the IPCC – the UN’s Intergovernmen- 82008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=9http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=992008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=10http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=10How different energy technologies use water FACTS ABOUT WIND TURBINES • No H2O consumption • No emission of CO2, Sox or Nox • No waste. 80 per cent recyclable Oil, coal, gas In thermo-electric power plants, the largest proportion of water by far is used to cool the generators. Nuclear power Water consumption at nuclear power plants is primarily used to cool the reactors in which the atoms are split. Hydroelectric power In hydroelectric power plants, generators convert the kinetic energy of the water into electricity (in the same way as a wind turbine converts the kinetic energy of the wind). However, by far the largest proportion of the water consumption is a result of vaporisation from the associated reservoirs. Biomass The water footprint linked to power plants that run on fuel from 1st generation biomass relates to two main uses: 1) watering the crops which eventually become biofuel; and 2) cooling the generators at the CHP station which ultimately convert the biomass into energy through combustion. tal Panel on Climate Change. In particular, the fourth report from the panel – published in 2007 – made the headlines, a report which specifically discussed the effects of climate change on global water resources. It actually stated that “global warming will hit through water”, and that a number of the greatest challenges in relation to dealing with global warming are linked to the development and administration of these water resources. According to Gareth James Lloyd, climate change affects our water resources in two areas: quantity and accessibility. “As regards quantity, global warming can result in too much or too little water, depending on where in the world you happen to be. Some areas, such as Southern Europe, will experience more droughts, while Central Europe will receive more water in the form of precipitation. Both can cause serious problems.” 102008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=11http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=11DEFINITIONS Water stress: Annual water supply < 1,700 m3 per person Water scarcity: Annual water supply < 1,000 m per person 3 Gareth James Lloyd Water Resources Management Specialist at DHI. Born in England, Gareth James Lloyd holds a Master’s Degree in Environmental Policy from Roskilde University, Denmark. When it comes to the other aspect, accessibility, timing is the key. For example, global warming is not expected to affect the total volume of precipitation in the United States. In contrast, some of the precipitation will take place at times of the year different from today, and this may lead to considerable challenges – not only for the agricultural sector but also, to a great extent, the energy sector. However, in many parts of the world, the greatest problem in relation to the accessibility of water will stem from the snow on the mountains melting earlier and faster than normal. “In the west of the United States, 75 per cent of the water supply comes from melted snow, so here it would be severely problematic if the snow starts to melt faster as the years pass,” says Gareth James Lloyd, and explains: “In the Rocky Mountains, for example, the meltwater runs down into the rivers, so in addition to the risk of flooding, the changing patterns in the water flows will mean that a number of hydroelectric power plants will quite simply not have the capacity to collect the water in their reservoirs during periods of elevated water flow.” Globally and locally Gareth James Lloyd calls climate change the big joker in the pack when it comes to the question of whether the world is facing a genuine water crisis. At the same time, he does not believe that we cannot simply look at these challenges in isolation in relation to energy, as the general growth in overall global welfare is at stake. “Unfortunately, the scope of the problem is often obscured by the fact that the global image looks relatively undramatic. However, if you view things from a more local perspective, there are many places in the world that may find themselves in a very serious situation in the foreseeable future,” he says. For this reason, he believes that politicians and the industrial sector should expand their concerns about CO2 emissions to include the issue of fresh water, too. A useful impression In the context of CO2, the concept of a “carbon footprint” is often used as an expression of how much carbon dioxide is emitted from the production of a specific product or service. According to Gareth James Lloyd, the same principle can be used to estimate the water consumption linked to a product or service. In this case, it would be a question of a “water footprint”. The size of this is defined as the total volume of water consumed to produce the product or service. “Operating with water footprints provides an unambiguous instrument in the decision-making processes of both politicians and companies,” explains Gareth James Lloyd, who would not be surprised if in the immediate future, industrial players and even households were required to neutralise their water footprints in exactly the same way as some airline passengers have the opportunity to neutralise their carbon footprints today. In any event, we have to face the fact that water is something we should take very seriously – as politicians, companies and consumers. 112008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=12http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=12122008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=13http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=13Customers set the agenda Customers and development departments rarely know much about one another – and seldom meet face to face. This is something Vestas Technology R&D aims to do something about through the establishment of the Technical Advisory Board. Here, customers have the opportunity to present their input – and no-holds-barred criticism – directly to the people who design Vestas’ wind turbines. Vestas’ wind turbines are still in need of improvement in a range of areas. That was one of the tough messages delivered by representatives of Vestas’ customers when, in October 2007, they participated in the Technical Advisory Board, which was set up on Vestas’ initiative. An unpleasant message, perhaps, but Vestas’ Technical Advisory Board, which meets once a year, was set up precisely to provide a forum for such honest criticism and open dialogue. Here, customers have the opportunity to get to grips with the subjects about which they are concerned with regard to Vestas’ services and products in particular, as Christina Aabo, Director of Product Management, explains: “It is a step towards becoming more open and explaining to customers how we are working to improve our products in general, and to follow up on areas in which our customers are experiencing problems.” Christina Aabo 132008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=14http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=14then goes on to emphasise that Vestas sees comments, suggestions and criticism from customers as the most important return on this new initiative. “The development of new technology is a longterm process, and we cannot simply sit back and kid ourselves that we think we know what customers will want in 3-4 years or even further in the future. It is essential to have input from several sides, and the meeting with “The development of new technology is a long-term process, and we cannot simply sit back and kid ourselves that we think we know what customers will want in 3-4 years or even further in the future. That is why input from customers is very valuable.” Christina Aabo, Director of Product Management, Vestas Technology R&D. The visit to Århus was marked by high levels of commitment and eagerness to contribute to the discussions from the participants, who included Mike Bourns, Managing Director of TransAlta Wind. He was thrilled with the opportunity to communicate directly with that part of the Vestas organisation responsible for the design of the products on which he makes demands. “As a company, it is easy to forget what customers actually want. So it is good to see that Vestas recognises the value of the input we can provide. In a process of this kind, customers’ decision-makers and senior technicians is very rewarding. In fact, the various types of input from customers and developers is remarkably valuable,” she explains. For the same reason, much of the programme is devoted to discussion and input for Vestas when the Technical Advisory Board meets. The board assembled for the first time in 2005 in Frankfurt, Germany, while the 2007 meeting was held in Århus, Denmark. Here, a number of representatives of Vestas’ customers got together with representatives of Vestas Technology R&D, among others, for a two-day meeting. The programme included the opportunity to visit Vestas’ new test centre at Århus Harbour, as well as presentations of Vestas’ initiatives to improve quality and delivery reliability from its suppliers, and a visit to the Vestas Performance & Diagnostics Centre (VPDC) in the heart of Vestas’ head office. Vestas will naturally be told some things that are not pleasant to hear. And now it is up to the company to prove that they take criticism seriously and are prepared to act upon it,” says Mike Bourns. Christina Aabo assures that the criticism will be used constructively. Over and above leading to direct improvements to the products, the meeting with the customers is also an exercise intended to change the mentality within the organisation, she explains. “Our customers think that we are still not good enough in a number of areas. This was made very clear to us during the meeting, and 142008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=15http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=15PRODUCT MANAGEMENT The Product Management Department under Vestas Technology R&D is responsible for a number of areas, including ensuring that Vestas develops the products and technologies that provide the greatest possible value to customers, and reinforcing market and customer orientation within the organisation. The department is the link between Vestas’ sales units and the research and development department, and it analyses the marketit is essential that everyone recognises this constructive feedback,” she says. “In this way, these meetings constitute the first step of a paradigm shift at Vestas Technology R&D towards our being more customer and market-focused in our work. It is essential that employees fully understand what the decisions we make in our everyday work actually mean to customers at the end of the day. That is why it is so important to meet customers face to face,” says Christina Aabo. This attitude really strikes a chord with customers. “I sincerely hope that this will make a difference in relation to the products of the future – and this is naturally in the interests of both Vestas and us, the customers,” says Mike Bourns. “Setting up the Technical Advisory Board is a very good idea – and a crucial initiative. I have had my confidence renewed in Vestas’ ability to sort out areas that are not working. Not all the challenges have been overcome, but I believe the will and capacity are there. And I hope they will continue in the same vein and become even more open in relation to using the input we customers provide.” Daniel Leuchtmann, Technical Manager, Difko Invest. related, technical, legal and political input which forms the background for the prioritisation of the development work. The head of the department is Christina Aabo, who has seven years of experience from Vestas Technology R&D. Most recently, she was ran the Product Management Department at Suzlon Energy, before returning to Vestas in 2007. “Both parties pa have shown a great deal of openness and honesty, and it is good that ope Vestas takes initiatives of this kind to tackle the problems we customers experience. Vestas is currently No. 1 in its field, and in this position, could be tempted to ‘lay back and count the money’. But Vestas is taking an initiative to assure that they are still No. 1 in five or ten years.” Raymond Laing, European Wind Asset Manager, BP Renewables. Com Comments from om customers: to 152008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=16http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=16Vestas Technology R&D has lined up its challenges and reorganised to meet them. A new function has emerged as a result – Global Research – a network-based organisation preparing to cut the cost of energy to an all-time low. From strong to unrivalled 162008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=17http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=17“Our goal is to have a borderless, global setup with hubs in Europe, Asia and North America. Via this network, we are aiming for an ongoing flow of ideas and technology for developing the best products and services.” Finn Strøm Madsen, President, Vestas Technology R&D. The year is 2012, and Vestas is no longer just the world leader in wind energy research and development. The major reorganisation of Vestas Technology R&D at the end of 2007 has made the anticipated impact. Vestas is now the world leader within the entire energy sector for research and development that is slashing the cost of energy. For Finn Strøm Madsen, President of Vestas Technology R&D, Vestas 2012 is more than an achievable vision – it is also a necessary one as a serious player in the energy technology race. “It is through technology that we need to differentiate ourselves. Our goal is to have a borderless, global setup with hubs in Europe, Asia and North America,” he says. “Via this network, we are aiming for an ongoing flow of ideas and technology for developing the best products and services.” Global Research One of the three main pillars of the new Vestas Technology R&D organisation is a new Global Research unit. Engineering & Products and Operations are the other two. “By turning research into a separate function, we can press forward with developing the technology that can achieve our ultimate purpose – reducing the cost of energy and, thereby, optimising the customer’s investment in our solutions. Most important in all this is drawing a straight line from research to engineering to products,” says Finn Strøm Madsen. To this end, the choice of Jan Kristiansen as Senior Vice President of Global Research is well considered. Previously Vice President of Electrical Systems at Vestas, he comes directly from an engineering environment, having previously worked with all links in the value chain. The first 100 days of the research unit’s existence are devoted to shaping the Global Research organisation and defining a longterm strategy. Breakthrough creation “Global Research must contribute to driving down the cost of energy by maturing new 172008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=18http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=18technologies to create breakthroughs that can be deployed into products,” Jan Kristiansen comments. “We will also chase radical improvement of existing technologies.” Key research areas are materials, aerodynamics and loads, electric drives and control systems, with specific attention paid to the need for integrated power plant systems. “Our responsibility is to make verified technology available that can be used with low risk of failure and high benefits,” Jan Kristensen adds. The critical network Four cornerstones have been identified in support of these research activities: the creation of a global network, research programmes with internal and external partners and top universities worldwide, a strategic focus on intellectual property rights, and ventures and acquisitions. Of these four, the global network is core – as via the network, the essential interactions will take place for efficient sourcing and sharing of knowledge, expertise and ideas. “We must be a network-based organisation, both because of our own globalisation but also because a global presence is essential to gaining access to key competences,” says Jan Kristiansen. That global network is taking form. Along with the world’s largest wind power research centre, currently under construction in Denmark, regional research centres are in place in Singapore and Chennai, India. Plans to establish another research centre in the USA have been announced. A final decision on the location of the US centre is expected by mid-2008, with a view to the centre becoming operational in early 2009. “We are primarily investigating opportunities in close proximity of large, prominent universities,” Finn Strøm Madsen adds. “It is vital for us to attract the best talents from the whole world – and participate in technological development alongside some of the world’s leading universities. So a location close to a strong university environment has first priority.” Around these hubs, Global Research will set up more development centres at technology hotspots, such as those opened during 2007 in Dortmund and London – Dortmund due to the wealth of advanced gear knowhow in the area; London due to the valuable knowledge available at Imperial College and Oxford University. A preferred partner External partnerships with universities and research institutes are a strong focal point – providing access to technical expertise, leverage on existing research and insight into new research fields. Here, Jan Kristiansen has a clear mission: “In the future, Global Research will be a preferred partner, meaning that other technology-driven industries and knowledge centres will strive to enter strategic partnerships with Vestas,” he states. In three years’ time, the research unit is expected to employ in excess of 300 people. Outside Vestas, hundreds more technology pioneers will be involved in partnerships with a direct bearing on the future performance of the world’s most advanced wind power systems. For each Vestas employee, the target is to have at least four more qualified people working on Vestas projects externally. Wind turbines that can be operated and serviced according to individual customer needs; technological breakthroughs that can snap the cost of energy curve – Vestas is building the muscles to do the job. The question is no longer when but how fast. At the current pace, 2012 looks realistic. 182008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=19http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=19Fly like a bird Technology R&D so far, so good If a bird in flight can counter turbulent winds by adapting its wings, so can a large wind turbine – that’s the theory to be proved in a new research project involving Vestas and the Risø National Laboratory at the Technical University of Denmark. Vestas established an office at the high-powered research laboratory last year. There, six employees work with basic research in aeroelastic design, aerodynamics and siting. Inspired by a natural phenomenon and supported by a DKK 15 million grant from the Danish National Advanced Technology Foundation, the objective of the new project is to improve the ability of wind turbine blades to operate in turbulence. The eventual outcome should lead to the implementation of new technology for more cost-efficient turbines. The project is one in a series of collaborations being launched between Vestas and independent research partners. Another is the Vestas Power Programme, a strategic research venture with north Denmark’s University of Aalborg, in 2006 ranked no. 2 in Europe for its work with effect electronics. Over the course of five years, the programme will support research in wind power plants, effect electronics and energy storage. Here, again, Vestas is optimistic of achieving breakthrough developments that will create new opportunities to increase turbine capacity and improve efficiency and functionality. Come 2012, the intention of Vestas Technology R&D is to have numerous research partnerships with universities and research institutes all over the world. Vestas Technology R&D first saw the light of day as an independent business unit in connection with The Will to Win strategy launched in 2005 – consolidating the Vestas tradition for focusing on technology. As 2007 drew to an end, the staff had almost doubled. By 2012, business unit president Finn Strøm Madsen anticipates significant growth in the number of employees – and the world’s leading technology organisation within energy systems. The global network of research and development centres and offices is growing equally fast. In addition to head office in Denmark, Vestas today has research centres in Singapore and India; blade technology centres in Denmark and the UK; and development offices in Germany and the UK. The world’s largest wind turbine test and validation centre, located in Denmark, was completed in 2007. Many more locations will be established in the coming years, among them the new research centre in the USA. Modern communication technologies tie the global technology network tightly together, forming a massive pool of knowledge and expertise for dynamic problem-solving, concept development and new designs by the Vestas Technology R&D team all over the world. 192008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=20http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=20Standing up to Thor Effective protection is essential to prevent lightning from damaging wind turbines. 202008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=21http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=21Thor, the Norse god of thunder, still wields a mighty hammer. Lightning strikes regularly damage buildings and trees, even occasionally killing people and animals. So it’s no surprise that wind turbines – taller than the biggest trees, deliberately sited in the most exposed locations – are natural targets for lightning. “Vestas turbines today are basically immune to lightning damage,” says Niels Birch Mogensen of the Power Components group, Vestas Technology R&D. “We have had our share of problems in the past, and of course it would be wrong to say that we will never see lightning damage again. But we have turbines in Japan that have survived hundreds of direct hits without damage.” Reaching such a level of confidence has taken a great deal of hard work, however. The increased use of carbon fibre in turbine blades, especially, has required careful research and testing of lightning protection systems. Vestas has also developed clever ways to prevent damage to bearings and electrical systems, lead the lightning current down the tower, and disperse it safely in the ground. Blasted blades The topmost blade is the highest point of a wind turbine by far, and the part most likely to attract lightning. The composite materials used to make blades – glass fibre, carbon fibre and sometimes wood – are also easily damaged by lightning. “Our very first blades had no lightning protection,” says Kaj Morbech Halling, manager of Vestas’ Blade Design Group. “It was innocent reasoning: the blades were made of glass fibre composite, which does not conduct electricity. We assumed that they wouldn’t be hit by lightning, but in fact we suffered some serious damage, especially in Germany and Japan.” A typical strike to an unprotected blade leaves a hole a centimetre or two across, he says, letting in water that weakens the blade and attracts further lightning, eventually leading to failure. A really bad strike can wreck the blade instantly. To protect the main structure of the blades, Vestas added metal blade tips and internal cables to carry the lightning current safely down to the blade root. This design worked well, says Kaj Morbech Halling, and many Vestas turbines with metal blade tips are still in use. Further research showed that small metal buttons known as lightning receptors perform just as well as solid metal blade tips, and at lower cost – as long as they are positioned in exactly the right places. With today’s very large blades there is an increased risk that lightning will strike at a point away from the tip. To ensure complete protection, every modern Vestas blade therefore has a lightning receptor in the tip, and more receptors at five-metre intervals along the blade down to a radius of 20 metres from the hub, Kaj Morbech Halling explains. Computer simulations and high-voltage laboratory tests on real blades confirm that lightning goes straight for the metal receptors, effectively protecting the composite part of the blades from direct strikes. This is harder to get right than it sounds, Niels Birch Mogensen confirms, and the construction details of the blade tip and the receptors are trade secrets. Crafty carbon Persuading lightning to hit the receptors, however, is only part of the story. As Kaj Morbech Halling explains, this is because the carbon fibre used in modern blades conducts electricity, yet not in the same way that metal does. Unless the blade design takes account of the different behaviour of carbon and metal, the lightning current may leave the metal cables linked to the receptors, having found an easier path through the carbon fibre. 212008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=22http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=22on two spring-loaded sliding contacts. The first contact presses against a stainless steel band fixed around the outside of the blade near the root, and connected to the metal conductor inside the blade. This maintains contact as the blade twists according to the demands of the pitch control mechanism in the hub. Lightning current travelling through the carbon fibre is not necessarily a problem in itself, but the way the blade is built can pose challenges. Blades for the V90-3.0 MW turbine, for example, use sections of carbon composite embedded in a glass fibre structure. This means that there is no continuous electrical path through the carbon fibre, and as a result, the lightning current can jump between carbon and metal. The resulting “flashover” can damage or even set fire to the carbon fibre. To prevent this, Vestas makes sure that there are good electrical connections between carbon and metal at critical points in the blade. By making intelligent use of these materials’ electrical properties, and adding specially-developed conductive materials where necessary, designDelicate internals Lightning currents can damage gears and bearings, so it is important to keep the blade hub, the main gearbox and the main bearing out of the lightning path. Vestas does this by transferring the lightning current directly from the base of the blade to the solid steel frame of the nacelle, using a clever system based ers ensure that lightning current is transferred smoothly along the blade, avoiding flashover. Like the design of the blade tip and the lightning receptors, the exact details of these internal connections are proprietary. What is most important is that they work reliably, as confirmed repeatedly by laboratory tests at many thousands of amps, Kaj Morbech Halling points out. A flexible metal braid links the first sliding contact to the second. The latter presses against a circular metal track attached to the nacelle frame, and follows the rotation of the entire hub. The complete system, known as the lightning current transfer unit (LCTU), ensures that lightning currents bypass the pitch control gears, the main gearbox and the main bearing. Also linked to the nacelle frame are small lightning conductors that protect the wind speed sensor, aviation light and other metal components on top of the nacelle. Confining the main lightning current to the nacelle frame greatly reduces the risk of damaging the electronic components inside the nacelle and tower. However, the electronics still need extra protection. This is done with 222008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=23http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=23Lightning lore Lightning is a form of static electricity created by the movement of raindrops and hail inside clouds. After several centuries of research, scientists still argue over precisely how this happens. Most lightning strokes take place within clouds and do not touch the ground. In recent years, exotic forms of lightning such as “sprites” and “blue jets” have been discovered at altitudes of up to 50 km. An average lightning stroke to ground carries a negative current of 40,000 amps (40 kA) and transfers 500 MJ of energy – enough to power a 20 W fluorescent light bulb for nine months. At the start of the stroke, the current increases at shielding, earth bonding and suppressors – all ways to stop lightning currents from inducing dangerous voltages in nearby circuits – and by choosing robust components that can withstand unexpectedly high voltages. Solid steel The final task is to channel the lightning current down the tower and safely to earth. The main obstacle here is the big yaw bearing that turns the nacelle towards the wind, so this is protected by another set of sliding contacts. Inside the tower, lightning conductors run down to ground level. The massive steelwork of the tower itself also provides an effective current path. At the bottom of the tower, the turbine’s earthing system disperses the lightning current safely into the soil (see Grounds for improvement on page 52). Like all natural phenomena, lightning remains inherently unpredictable, and Vestas maintenance crews do not work on turbines when thunderstorms are visible. “But if you did get caught in a storm, the safest place would definitely be on one of the platforms inside the turbine tower,” says Niels Birch Mogensen. “I’m confident that we have beaten the lightning problem.” about 40 kA per microsecond. Some strokes can reach 120 kA or more. All Vestas turbines are designed for peak currents of 200 kA. Much rarer “positive” lightning, which has been studied only recently, can carry huge amounts of energy and appear out of a clear sky, having travelled from a thunderstorm tens of kilometres away. The brightest part of lightning is usually a stroke from ground to cloud, following an initial “leader” from cloud to ground. Typically there are three or four such strokes in quick succession. Lightning heats nearby air to about 10,000˚C (18,000˚F) nearly instantly. The resulting expansion creates a shock wave that we hear as thunder. Lightning currents contain a mixture of frequencies reaching up to hundreds of kHz. At these high frequencies, current travels preferentially near the surface of electrical conductors (the skin effect), causing some complications for designers of lightning protection systems. Different locations have different types of lightning. The US state of Arizona, for example, has dry, sandy soil, dry air and high clouds, giving long, thin, purplish lightning discharges which crackle. Oklahoma, with a lower cloud base and damper soil, experiences big blue-white lightning strokes accompanied by explosive claps of thunder. Some areas have much more lightning than others. Lightning rarely strikes the poles or the open sea, though offshore wind turbines are often struck. Central Africa, especially the Democratic Republic of the Congo, has the world’s highest frequency of lightning strikes. One mountain village there is reported to suffer more than 150 strikes per square kilometre every year. Singapore, Florida, and Brazil are also renowned for lightning. 232008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=24http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=24Vestas Constitution The important foundations are laid 242008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=25http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=25May 2005: Ditlev Engel has just taken over as the new One of the new initiatives that attracted a great deal of attention in connection with Ditlev Engel’s accession was the formulation of a Vestas President and CEO of Vestas, and has presented Constitution. This comprised 13 projects, each of which defined a new way to communicate, a new way for Vestas to do business, or a new his strategic plan entitled The Will to Win. competence that was to be built up in order to improve performances and/or capability. Briefly put, the constitution was a tool that was The plan makes it plain that the largest wind turbine to help put Vestas in a position to act in the manner laid down in The Will to Win – and to achieve the stated aims regarding earnings, manufacturer in the world is facing a number of working capital and market share. The American connection particularly tangible challenges. And that significant In itself, the use of the concept of a constitution in the context of industry attracted a lot of interest among employees, shareholders, changes will have to be made in all parts of the financial analysts and the media. But what attracted just as much attention was the man who had been the principal architect behind organisation if the plan is to succeed. the 13 projects, and who was now to be the driving force behind the work to implement them in practice. This man was Bob Fritz, and when he received the phone call from Henrik Nørremark, Executive Vice President and CFO, at the start of 2005, he was just a few weeks into his retirement, following an impressive 30-year career in the American energy sector, most recently as Vice President, Wind Opera- 252008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=26http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=26New times When Bob Fritz and Vestas’ senior management team – the Vestas Government – started work on the assignment, they began by mapping out the challenges that were to form the basis for the new constitution. “We had to recognise the fact that the entire world around Vestas and the wind power industry had changed significantly in just a few years,” relates Bob, who goes on to state that in contrast, Vestas had not succeeded in making very much progress during the same period. This meant that Vestas found itself in a position in which three absolutely fundamental premises tions at the giant energy company FPL Energy in Florida. As Bob himself puts it, it took no more than 10 seconds for him to decide to put his new life as a pensioner on hold and head for Vestas’ headquarters in Denmark. “The reason why I had no doubts about accepting the challenge was that I had been one of Vestas’ customers in my last position at FPL. I knew that the company was staffed by some of the hardest working and most determined people I had ever met, so it was both a great challenge and a real honour to be given the opportunity to work with them,” he says. had altered radically, without the company having changed correspondingly: the market, the customers and the competition. “As regards the customers, a completely new and demanding segment had begun to fill the company’s order books – that of the large energy companies to which wind power is just another energy source in their portfolio. I, myself, had worked for one of these companies as one of Vestas’ customers, so I knew the greater and different demands that were being made with regard to quality, capability, forecasting, delivery reliability and the like,” says Bob, who continues: “Moreover, with regard to the competition we had moved in just a short space of time into a completely different league, especially after 262008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=27http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=27”I knew that Vestas was staffed by some of the hardest working and most determined people I had ever met, so it was both a great challenge and a real honour to be given the opportunity to work with them.” Bob Fritz, Senior Vice President, Vestas Constitution. companies such as Siemens and GE had come into the picture. These were companies that had been in the generating business for more than a century, and which were now bringing a serious amount of money and comprehensive know-how into the wind power market.” All in all, these new premises resulted in Vestas facing a whole range of requirements. Continuing to fail to live up to customers’ expectations was not an option. It was simply not possible to continue to base operations on the concept of average; it was essential to start to work systematically with variability. And the company could no longer make do with allowing the future to rest on the deviations of the past; instead, Vestas would have to start forecasting and working in a structured manner with risk management. 13 demands for improvement. 13 Constitution Projects Bob Fritz explains that the 13 projects can be divided into four main groups, each with its own ultimate aim. “Project Nos. 1 and 2 had to do with creating a unified global organisation. One Vestas, where knowledge sharing becomes an important management tool, where information flows freely back and forth between business units and across international borders, and where all employees know exactly where they fit into the big picture. The keyword for these two projects is therefore communication,” he says. The complicated nature of changeability In connection with the mapping of the challenges facing the Group, Vestas had also recognised a need for leadership development and a move into a more modern style and mechanism of management. Because even though Vestas had become a global company, it had still to start practising a global form of management. So this became the nucleus of Constitution Project No. 3. Project No. 4 also centred on developing new skills. “Vestas had to learn to work with variability in processes and performance measurement rather than the previous practice of operating with ‘average’ as the only measurement parameter.” With regard to this project, Bob explains that the intention was to introduce the Six Sigma improvement tool into all appropriate parts of the Group. Improved performance Project Nos. 5, 6 and 7 were all directed towards improving overall performance. While Project No. 5 was focused on improving product quality by reducing the number of defects in products from subcontractors and Vestas’ own assembly departments, Project No. 6 was intended to assure improved understanding of capacity and capability in relation to the volume manufactured. “Quite simply, the essence was that Vestas was to stay away from overcommitting and underperforming,” says Bob, referring to the well-known problems Vestas had previously experienced in the areas of inadequate quality, dissatisfactory performance and delayed delivery. Another significant change of direction comprised introducing a completely new approach to the risks linked to all parts of the supply chain, all the way from sale to service. As Bob puts it, under the new market conditions, the organisation could not continue simply to notice when something went wrong and then attempt to deal with the problem reactively. It was essential to take a proactive approach, to analyse the likelihood of various events occurring – and prepare clear guidelines for how to deal with them if and when they did. Risk management as an active management tool was therefore a key concept that was worked up in Project No. 7. Spotlight on capability The final six Constitution Projects – Nos. 8-13 – featured one crucial common denominator: 272008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=28http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=28increasing Vestas’ capability. This is a concept that is not to be confused with the more quantatively oriented capacity, as in contrast, it has to do with the ability of an organisation to produce products that live up to customer requirements. “For example, with Constitution Project No. 8, we have upgraded our competences in relation to delivering a reliable design,” explains Bob Fritz, before going on to stress that as a direct extension of this project, the company has laid the foundations for assessing wind turbine performance to a much greater extent than previously. “The feedback that we now systematically receive from our thousands of wind turbines all over the world as a result of Project No. 9 is used to revise the design, optimise performance and, consequently, increase customer satisfaction.” The big picture If a company is to operate proactively and constantly work to optimise its capability, it is essential that the management have the tools to monitor all areas of the complex apparatus and all the factors that directly or indirectly influence performance. Briefly put, it is crucial to keep things under control. And to stay ahead of development. To provide the Vestas Government with the necessary decision-making tools, Project No. 12 therefore focused on establishing a reporting system that would put the management in a position to step in and take the necessary decisions in time to ensure that performance and goals would not be affected. It starts at the top For Bob, one of the crucial factors in the success of the Vestas Constitution was the fact that all the projects stemmed from the Vestas Government and therefore had one or more of the Vice Presidents of the 12 business units as their primary executives – or “sponsors” as they are called at Vestas. “The members of the senior management team had to lead the way, to claim ownership of all the changes, and to demonstrate them.” The art of changing When Bob is asked to look back on the process Vestas employees have gone through during the past three years, he has no hesitation in singling out one particular feeling: pride. “Through my involvement with the Constitution Projects, I have had the opportunity to watch people taking on the numerous challenges and difficulties that are inevitably associated with change. They have had to change their behaviour and adapt their skills, and they have had to make all the new things work in their everyday activities. So let me tell it like it is: I couldn’t be more proud of the people at Vestas.” He then adds that change is one of the most difficult things a company or a person can undertake. “Some embrace it. Others have a tougher time of it. But as expected, the Vestas people figured it out.” Rooted in the culture If you still need convincing that the Vestas employees’ efforts in relation to the Vestas Constitution have borne fruit, Bob Fritz thinks that it is sufficient to take a quick look at Vestas 2008. Vestas has more control than ever before, and as Bob succinctly puts it: “When we say that ‘failure is not an option’, there is weight behind these words. That is actually how we think and act today, and the people here do not need T-shirts or badges emblazoned with smart slogans to keep a grip on the concept. That is just the way Vestas is today.” 282008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=29http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=29Robert P. Fritz. Or just plain Bob With 30 years of experience in the American energy sector – and with most of these in management positions – Bob is probably one of the people in the world who knows most about the generation and transmission of electricity. Over the years, Bob has headed up both power plants and transmission groups, and he has played central roles in connection with design, construction and operation. Before he retired (or, rather, thought he had retired), he spent several years in charge of the wind power portfolio at FLP Energy in Florida. Here, he did business with Vestas Americas – Vestas’ American sales and service company – several times, getting to know Henrik Nørremark, who was President of the company at that time. Since then, Henrik Nørremark has become Group CFO and a member of the Board of Management, and it was in that capacity that he phoned Bob at the start of 2005 to ask if he would be interested in taking on a major challenge “on the other side of the desk” – and on the other side of the Atlantic. As mentioned previously, Bob accepted the offer without hesitation, shelving his plans for retirement. To the question of how long he plans to keep going, Bob replies promptly: “Until I get old!” But then he adds: “Of course, there are some people who think I am already old – but that is only measured in years.” Pedestal? No thanks Bob is often identified as the chief architect behind the comprehensive change project that was the Vestas Constitution, and when, in November last year, he spoke at a Henley conference on change management, he was tellingly introduced as “Mr. Change”. However, the modest American is not at all keen on being placed in the spotlight – and recoils in horror from the thought of a pedestal. Of his own role in the project, he says: “I have interpreted some goals and translated them into appropriate actions and activities, but make no mistake – it was the people at Vestas who implemented these impressive changes, not me. My role was simply to help assist them along the way.” 292008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=30http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=30302008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=31http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=31The key battlefields The Vestas Government has defined 12 new projects, which are all pan-organisational and scheduled for completion by the end of 2008. Success in all these projects must be achieved. For this very reason, they have been termed “Must-Win Battles”. 312008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=32http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=32Vestas is a company in constant development, and the market for wind power is also changing almost from one week to the next. Therefore, all kinds of activities and projects are always underway, both within the individual business units and throughout the organisation. According to Ditlev Engel, President and CEO, a “melting pot” of this kind places high demands on the prioritisation of resources, particularly when it comes to the pan-organisational initiatives. “It is essential to maintain focus on the aspects that drive Vestas forwards, both now and in the years to come,” he says, before going on to explain that precisely this prioritisation and optimisation of resources forms the basis for the 12 new Must-Win Battles, which have been given the highest priority immediately after the budget in 2008. Selection and rejection The 12 Must-Win Battles have not simply been added to the comprehensive portfolio of projects that constantly drive Vestas onwards and expand the company’s position as No. 1 in Modern Energy. “During the evaluation process that the Vestas Government performed, we assessed all the pan-organisational projects to ensure that we are making optimal use of our resources. As a result, a number of projects have been put on hold,” says Ditlev Engel, before emphasising that many of these projects were otherwise very interesting. “However, we have quite simply analysed the value-creation potential of these projects, compared them to the necessary resources and determined which areas of initiative are most important to Vestas from the perspective of assuring our activities both now and in the future.” Ditlev Engel makes it clear that the concept of Must-Win Battles is an unambiguous statement of how absolutely crucial success in these areas is. And that it must be achieved before the end of the year. “It is not a question of ‘Maybe-Wins’ or ‘Win sometimes’. These are ‘Must-Wins’ – that is all there is to it.” spectrum. For example, one of the “battles” has to do with securing Vestas’ position as a peerless supplier of innovative and efficient service. This particular Must-Win Battle has therefore been entitled “Service Excellence”. Another project deals with the on-going cultivation of the Chinese market, while a third has the very tangible goal of training 200 employees in Six Sigma. The deadline for completion of this project is not 31 December 2008, however, but the end of March 2008. This project is the successor to one of the 13 Constitution Projects, which are described elsewhere in this issue of Win[d]. Ditlev Engel explains that – fully in line with the original plan – some of the Constitution Projects have not yet been fully implemented in the everyday operation of the company, and that focus on them remains of the greatest importance to the business. For this reason, the Vestas Government has chosen to continue them as Must-Win Battles, which means that, in the same way as all the other projects in the MustWin portfolio, they must be completed by the end of this year. Sponsors and Battle Managers Broad spectrum A look at the contents of the 12 pan-organisational projects reveals that they span a broad As mentioned previously, the new projects are all firmly rooted in the Vestas Government. This is further highlighted by the fact that each 322008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=33http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=33of the projects has been assigned not only a Battle Manager – who is to function as an operative project manager – but also a sponsor from the Vestas Government. The sponsors are responsible for driving the process forwards and maintaining the necessary focus and commitment within the organisation. One of the sponsors is Ole Borup Jakobsen, President of Vestas Blades. He is heading up Must-Win Battle No. 6, which has to do with developing Sourcing Excellence as a crucial platform for additional growth. Ole Borup Jakobsen stresses that the 12 Must-Win Battles are not new focus areas, but an expression of the ambitions and the will linked to each of them. “By designating an area a Must-Win Battle, we are emphasising the fact that it has top priority,” he says, and adds: “Refusal to provide full backing for the initiative is not an option in this context.” 332008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=34http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=34Prepared for the worst Focus on risk management is to improve Vestas’ capacity to stay one step ahead. 342008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=35http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=35How does Vestas react if a factory burns down or is flooded, if a supplier cannot deliver components, or if a crucial production machine breaks down? The answers to these questions and a host of others are to be found through a new initiative intended to map out and minimise the risks that may have a financial impact on the company’s business, or – if worst should come to worst – deal with the impact and minimise the damage. The initiative stems from the Group Finance & Operations function which, in collaboration with Vestas’ productions units, has identified and evaluated the scope of the risks faced by individual production units, as well as reporting on how each unit manages these risks. The result is a map of the biggest risk factors at Vestas, including, for example, limits on Vestas’ opportunities for organisational growth, the risk of losing a sub-contractor, and the level of customer satisfaction. Henrik Stamer, Director of Risk Management at Group Finance & Operations, explains: “With the mapping process, we have taken the first step towards systematising risk factors. Risk management not only gives us the opportunity to focus on and identify risks, but also opens up a range of options. In addition to minimising the likelihood of unforeseen losses, it gives us the option of taking calculated risks that will help the company to make money. It could be said that risk management is systematised common sense.” The new risk management structure was implemented for the first time as a pilot project at Vestas Blades. This division did a huge amount of work on the project in autumn 2007, resulting in a wide range of initiatives. One of the initiatives on which Vestas Blades has worked has to do with raising general awareness of risks. “To a large extent, risk management is all about using your common sense,” says Kjær Lundø Jakobsen, Vice President of Business Development at Vestas Blades. “The project does not contain a great deal that is new in and of itself, but what we are aiming for is to encourage employees to become more proactive when they spot a risk, and to identify it rather than simply saying ‘we could have told you that’ after an event has occurred. One of the tools to be used to this end comprises what are known as ‘Risk Q&As’. These describe examples of risks, and the intention is not only to inform employees, but also to encourage them to pinpoint potential risks to the business. Through a set of examples, we aim to inform people of the types of risks we would like them to report,” says Kjær Lundø Jakobsen. 352008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=36http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=36“Generally speaking, you could say that we have become more careful not to put all our eggs in one basket.” Kjær Lundø Jakobsen, Vice President of Business Development, Vestas Blades. For example, it is important to encourage people to report risks which may at first glance appear insignificant. “It may well be that a risk may appear small, but if it is to be found in many areas, it can suddenly become a major risk. For instance, there may be a fault in a machine that is repaired locally even though it is actually a batch fault. If a fault of this kind is not reported, the company will not be able to carry out preventative maintenance on all machines of the same type. Therefore, it is important that we at Vestas Blades have the opportunity to assume a ‘helicopter perspective’ and evaluate the big picture,” explains Kjær Lundø Jakobsen, who goes on to relate that the Risk Office will become a part of the Business Development Division. The Risk Office is intended precisely to be a place where employees can report risks. These can subsequently be assessed on the basis of the likelihood of the situation arising and the scope of the consequences should it arise. The next step involves preparing an action plan on the basis of the assessment with a view to managing the risk reported. “However, it is important to stress that it is a system designed to avoid slowing things down,” says Kjær Lundø Jakobsen. “We want to adopt a systematic, structured and professional approach, without becoming unnecessarily bureaucratic.” Kjær Lundø Jakobsen emphasises that the primary focus of risk management is on the financial impact on the company’s business. Risks associated with personnel, for example, will continue to be handled by the Group’s safety organisation. As a part of the risk management work, Vestas Blades has worked with Business Continuity Management (BCM), which is a tool for preparing scenarios for what is to be done should an accident occur. Henrik Stamer explains: “It is crucial that we know what might go wrong, that we have a plan for the initiatives we can launch in the event of things actually going awry, and that all employees know exactly what they have to do to get production up and running again as soon as possible. In this way, we can stay one step ahead and ensure that any damage is kept to an absolute minimum.” The plan depends in part on the likelihood of something happening, and in part on the scope of the consequences if it actually does. “For example, we look at the major machines and processes at our factories and evaluate how long a production standstill we can cope with if an accident – such as a machine catching fire – happens,” relates Kjær Lundø Jakobsen and continues: “Depending on how critical to the process the machine is, we then prepare a plan that accurately reflects the problem and lays out the plan we are to follow to minimise the impact. For instance, in some cases we have distributed machines of the same type to different factories rather than having all the machines of one type at a single plant. In this way, we reduce the risk in the event that something goes wrong at one factory. Another factor that is taken into account in this decision is that some of Vestas Blades’ factories supply other plants, which means that if something goes wrong at the ‘supplier’ factory, it may result in two or three other plants having to shut down.” “The same situation applies in the area of knowledge,” explains Kjær Lundø Jakobsen. “Here, too, we are very careful to share it around, so as to avoid the situation of having a single person in a department possessing all the knowledge of a certain area. Generally speaking, you could say that we have become more careful not to put all our eggs in one basket.” At the concluding meeting for the pilot project, Ole Borup Jakobsen, President of Vestas Blades, made it very clear that he wanted to see plans prepared for all the factories, old and new. To date, Vestas Blades has prepared a2008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=37http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=37Systematised risks The initiative is intended to improve risk management at Vestas, which is divided into four key themes: Introduction of risk policy: A risk policy is to systematise things such that it is easier for employees to gain an overview of The ultimate aim is to prepare such plans for all Vestas Blades factories. The overriding scheme for this work was approved by the Vestas Blades management team at a meeting at the end of February. Following the completion of the pilot project at Vestas Blades, the intention is now to roll the plan out in Vestas Control Systems and, in the long term, in all Vestas’ business units. Improvement of general understanding of risk management (Risk Awareness) Employees must be encouraged to be proactive and speak up if they identify anything that may constitute a risk to the business. the subject. The aim is for all employees to be familiar with the risk policy. Risk Q&As Descriptions of examples of risks. They are intended not only to inform employees, but also to encourage them to pinpoint potential risks to the business themselves. Business Continuity Management/ Business Continuity Plans Plans for what is to be done to get the business up and running again quickly should an accident occur. 372008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=38http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=38382008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=39http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=39years in days A new test centre in Denmark is helping Vestas design wind turbines that are more reliable, in less time, for less money. The wind turbine industry has traditionally had a standard way to test new designs. First, the individual parts of a new turbine are tested. Next, a handful of prototype turbines are assembled and installed in the field. The prototypes run for a few months or years, and if all goes well, the new turbine goes into serial production. For years, manufacturers have struggled to estimate the long-term reliability of their wind turbines on the basis of these limited field 392008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=40http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=40years in days tests. According to Mark Colwell, Assistant Vice President, Technology R&D, the task is next to impossible. “A prototype turbine may validate operational performance,” he says, “but to fully validate the lifetime of a new model under normal operating conditions, we would have to run several turbines for the full 20 years, and longer.” Yet with such lengthy field tests out of the question, Vestas has had to make do with whatever data can be squeezed out of shorter trials. Not any more, thanks to pioneering work on reliability testing by Vestas Technology R&D. By operating turbine components under especially harsh conditions, engineers at the Vestas Test Center in Århus, Denmark, can now predict lifetime accurately from just a few days or weeks of testing. As Mark Colwell explains, the new techniques could largely eliminate the need for field tests, producing more information in less time and at much lower costs. The result will be turbines with predictable reliability. Narrowing the spread But how can any bench test be better than a field trial under real operating conditions? You need to start with a look at statistics, Mark Colwell explains. Most wind turbines have a design life of 20 years. That does not mean a turbine will stop working immediately it reaches its 20th Fast-forward to destruction Wind turbine manufacturers are not the only people who need to predict the life of machines or materials without waiting years. For several decades, engineers have been speeding up the process of learning how products The Test Center’s refurbished buildings on a 6,800 square metre site by the harbour at Århus are not as glamorous as Vestas’ future Technology R&D Centre, a few kilometres away on the northern edge of the city, but they are ideal for the purpose, with plenty of room for even the largest turbine components. The Center opened two years ago for tests on small equipment items. Work on larger facilities began in 2006, and the official opening was in October 2007. Although the Center will work with turbine components of any size, its showpieces are the two giant test stands for gearboxes and generators. Driven by electric motors with a power rating of 12 MW each, the test stands can operate components at well beyond their design loads, in freezing cold or boiling heat, with punishing levels of mechanical stress. Here, failure is not an option – it’s an essential part of the test procedure. birthday, however. The life of any model of wind turbine, or light bulb, or car, follows what statisticians call a distribution. Most identical machines, operating under similar conditions, will last for much the same length of time. Some will last considerably longer. A few will fail prematurely. Careful design and manufacture can make this distribution narrower, and extend the average life so that most “premature” failures don’t happen until after expected design life. But there will always be a spread of lifetimes, and because this is a statistical process, it is hard to make meaningful statements about lifetime without large numbers of tests over long periods of time. For some turbine components, especially those with a long history in other industries, Vestas already has plenty of data on reliability. But large, purpose-designed components such as gearboxes and generators are harder to test, and we cannot afford to wait 20 years. It’s time to pile on the pressure. 402008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=41http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=41fail by subjecting them to stresses, temperatures and vibration levels far beyond what they would normally experience. Highly accelerated life testing (HALT) – otherwise known as “torture testing” or “shake and bake” – can in hours or days reveal design flaws that might take months or years to appear in normal service. Cars, aircraft and electronic devices of all kinds are just some of the products whose reliability has been boosted by HALT. “When SMS text messaging came in, mobile phone manufacturers suddenly realised that their keypads couldn’t take the pounding they were getting,” says Mark Colwell. “HALT helped them design keypads that were up to the job, and today failures are rare.” Yet although a well-designed HALT test can show up weak points, it cannot of itself predict lifetime under ordinary conditions. Most of the work at the new Vestas Test Center will therefore use a newer group of techniques known as calibrated accelerated life testing (CALT), Mark Colwell explains. With CALT, engineers run tests over a range of abnormal conditions, in each case measuring the time to failure or for a specific level of wear to occur. They then use these figures to extrapolate what will happen under normal operating conditions. Simple CALT applications such as predicting the fatigue resistance of materials go back many years, but according to Mark Colwell its use for large wind turbine components is much more innovative. The test centre will use CALT to probe new and existing designs of gearboxes, generators and other components used in Vestas products. “Temperature stresses are a common cause of problems in electrical equipment,” Mark Colwell says. “So during generator testing, for example, we will lower the coolant temperature to –35˚C, then quickly push it up to 110˚C. At the same time we introduce variations in power output, frequency, and other stresses – it’s a hard life.” Customer needs Mark Colwell knows the customer’s perspective. Before joining Vestas, he worked as a wind turbine fleet quality manager with a large US generating company. “We were Vestas’ first big utility customer, with over 1,400 Vestas turbines. I’ve seen all the ways wind turbines can go wrong,” he says. “We took an aggressive approach to predicting and then improving the reliability of our turbines. Several years ago, I believe Vestas thought this approach was unique – they didn’t realise this was the norm in big power companies.” “Today, many of Vestas’ customers are big companies with a lot of engineering expertise. What they want above all is return on investment, and that means reliability and predictability. The new Vestas fully understands these expectations, and we are focused on delivering low cost of energy and high reliability.” “As part of Technology R&D, the Test Center will help Vestas produce better and more robust designs more quickly, with less need for field testing. What we are doing here is using strong and proven processes while being innovative at the same time, and that has to be the future.” 412008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=42http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=42On the way towards the right safety 422008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=43http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=43culture 432008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=44http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=44A corporate culture in which safety always has first priority starts with the senior management. At Vestas, the senior management has taken the lead and launched a range of different initiatives, including two very ambitious training programmes that have resulted in more than 2,500 Vestas employees receiving training in putting safety first in 2007. The training courses cover both the service technicians’ practical performance of their work, and the managers’ role in assuring the right safety culture. Working more than 100 metres above the ground on large and powerful wind turbines is a fact of (working) life for many of Vestas’ service technicians all over the world. This work involves risks of serious accidents of various kinds, but at Vestas the attitude is clear: safety comes first. It is an attitude that stems from the senior management of Vestas – the Vestas Government, which is made up of the company’s Board of Management and the Presidents of Vestas’ business units – and it is reflected in the fact that safety is always the first point on the agenda of the group’s weekly meetings. At these meetings, the Vestas Government discusses the most significant safety issues, and status reports are presented on the ongoing improvement activities. The ultimate aim for the incidence of industrial injuries is ambitious: none at all. From 2006 to 2007, the incidence of industrial injuries fell by 13 per cent. Despite the fact that this development is very positive, the results are still not satisfactory. One of the initiatives designed to help Vestas achieve its goal comprises two safety training courses, which were 442008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=45http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=45introduced in 2007. One of these is devoted to fundamental safety training and is intended for all service technicians at Vestas sales units. The other has to do with safety awareness, and is targeted at 600 managers from Vestas’ six sales units and Vestas Technology R&D. The two courses are being run in parallel at locations all over the world. In order to emphasise the extensive and constant focus on safety of the senior management, both courses start with the screening of a video recording of Ditlev Engel, President and CEO of Vestas, in which he makes it plain that it is essential to maintain constant focus on safety – not just for your own sake, but also for that of your colleagues and family. “Vestas cannot make a wind turbine a workplace completely free of risks and potential hazards, but the company can make it a safe workplace,” says Ditlev Engel before explaining: “Safety will not come about simply through our talking about it. It will arise through our being attentive and aware, following procedures, and always understanding how we are to act. Safety is to become an integral part of our culture and the way we work.” The attitude of the senior management is made crystal clear to the course participants: the acceptable number of industrial injuries at Vestas is zero! The members of the senior management team The right safety culture In order to build up a healthy and deeply rooted safety culture, it is essential that the managers in all parts of the organisation understand the role at Vestas took the lead by participating in a training seminar focused on the role of senior executives in the context of safety. they have to play in promoting a safety culture in which safety always has top priority – and that they have the necessary knowledge about safety. For this reason, Vestas has established a safety awareness training course for sales unit managers with responsibility for activities on sites, and for managers at Vestas Technology R&D with responsibility for design. These 2007: 2008: 2012: Ultimate aim: 31.6 15 5 0 Targets for the incidence of industrial injuries 452008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=46http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=46“The acceptable number of industrial injuries at Vestas is zero.” Ditlev Engel, President and CEO, Vestas Wind Systems A/S. courses are held in collaboration with DuPont, which is one of the leading experts on safety in the world, and which has achieved impressive results with the establishment of good safety cultures both internally and as consultants to a variety of companies. The goal of the training course is to provide the managers with knowledge about safe behaviour, and about the managerial responsibility linked to the creation of a safety culture. The ultimate aim is to put them in a position to make the right decisions about safety on sites, in crisis situations and/or in the design phase. “It is important to reinforce the managers’ qualifications so that they can ensure that the work conditions are as they should be, and that their employees have the right equipment, the right qualifications and the right instructions,” says Tina Winther Schou, Engineer, Safety & Environment. To provide managers with practical knowledge about safety, a part of the training programme involves them performing what is known as a “safety walk”. This is a visit to a factory – internal or external – during which the participants are to observe and note the behaviour at the workplace, with a view to learning how to spot situations in which safety could be improved and which therefore require action. The safety awareness training programme lasts three days. By the end of 2007, around 80 managers had completed the course. The intention is for all 600 Vestas managers to have completed the course by the end of the second quarter of 2008. In addition to training managers in the right safety culture, it is also crucial that the employees who work in the wind turbines on a daily basis have the right training. For this very reason, a fundamental safety training course has been established – a course that all Vestas service technicians are to complete. This training programme is run in parallel with the safety awareness course. Theory and practice The fundamental safety training course for service technicians lasts around a week, depending on the competences of the individual participants. The programme is divided into four modules, the first of which is theoretical and the other three practical: ■ Theory – what sort of safety culture does Vestas want? First aid Fire prevention and fire-fighting Rescue from heights ■ ■ ■ The aim is to provide all Vestas service technicians – both experienced and new employees – with the same fundamental knowledge about safety, and to give them the tools they need to put safety first. This involves not only being able to carry out the practical work in a safe manner, but also building up an understanding of the attitude Vestas has towards safety, so as to know where to draw the line. Tina Winther Schou explains: “Previously, the most important success criterion for service technicians who arrived at a turbine that had stopped was that the turbine was operating again when they left. However, safety comes first – and this means that our technicians are to stop work if, in their opinion, it is not responsible from the 462008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=47http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=47DuPont DuPont was founded as a family business in 1802. Being a manufacturer of gun powder, DuPont learnt from a number of lethal explosions early in its history about the risks involved in manufacturing explosives. Rules that the founder, E.I DuPont, established already in 1811 made it quite clear that safety was to be seen as a management responsibility. This is still one of the foundation stones in DuPont’s safety philosophy. In the 20th century DuPont disperspective of safety to continue, i.e. if they do not have the equipment they need, if they have not received the appropriate training for the assignment, or if the weather is too bad, for example. It must be absolutely clear to our service technicians that this is just as important a success criterion as the turbine operating again when they leave. Ultimately, working for Vestas is to be safe.” By the end of 2007, all Vestas’ 2,500 service technicians had completed the training course in fundamental safety. And as of January 2008, all newly employed service technicians are required to complete this training course before they are allowed to work at a site. “We consider the introduction of these training courses to be an important step towards achieving our goal of zero industrial injuries. However, it is important to realise that it is not possible to force a process that involves changing people’s attitude to safety. We have already come a long way, but introducing a ‘Safety First culture’ is a long-term process, and one that demands unswerving focus from all levels of the organisation. Nevertheless, we are on the right track so now it is a matter of following the path we have laid out to achieve our goal. Safe behaviour in all respects is the way to go,” concludes Tina Winther Schou. covered and manufactured a raft of new products – nylon, cellophane, neoprene, Teflon® to name but a few and the diversification brought many new safety challenges to the business. However, by the 1940’s DuPont, through its study of reported incidents, became convinced that all injuries and illnesses could be prevented. With the ‘Goal of Zero’ DuPont has worked long and hard to eliminate workplace injuries and illnesses and is today a benchmark organisation for industrial health and safety. The incidence of industrial injuries at DuPont is approximately twenty times better than the US Industry average. The DuPont Safety Resources consulting business helps its clients to instil safety values in workplaces, often enabling those clients to make a ‘step-change’ improvement in safety performance. 472008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=48http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=48Kent Hougaard is one of the managers who has completed the safety awareness training course. He is an area service manager with responsibility for service and maintenance operations in the north-western region of Spain. Kent Hougaard is very impressed with the course for a number of reasons. For example, in contrast to previous initiatives, this course focuses on changing people’s attitudes towards safety through dialogue rather than via one-way communication from above. The new approach involves analysing examples of accidents, establishing why they occurred and then discussing how they could have been prevented. “In this way, we have become better at spotting where accidents may happen, and thus at evaluating where and when to take steps to prevent them,” says Kent Hougaard. Training and dialogue improve safety 482008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=49http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=49But why bother focusing so heavily on training managers in safety issues? After all, at the end of the day it is the people “out in the field” who are at the greatest risk of being involved in an accident. Kent Hougaard explains: “As a manager, you are constantly responsible for being aware of where potential risks exist, and for taking action as quickly as possible if you spot a potential danger area. In this way, we can deal with the situation in time to prevent an accident occurring.” The theoretical part of the course was supplemented by what are known as “safety walks”, which involved the participants visiting a factory and taking part in an exercise in identifying the risks with the potential to lead to accidents. At the same time, the purpose was to give managers the chance to get out and talk to the people who work “in the field” and to take a look at what they actually do. “Talking to individual employees was incredibly rewarding, because even though it is far from every time that you spot something wrong, there is always something that could be improved, and these aspects are highlighted when you engage in two-way communication with the people who work with them every day. It was really exciting to find out that it takes relatively little time to identify, and then deal with, potentially dangerous situations,” says Kent Hougaard. “As a manager, you are constantly responsible for being aware of where potential risks exist, and for taking action as quickly as possible if you spot a potential danger area. In this way, we can deal with the situation in time to prevent an accident occurring.” Kent Hougaard, area service manager, Vestas Mediterranean. One of the benefits of promoting the safety culture through dialogue is that this approach also increases the awareness of the individual employees and ensures that they think “safety” into all their work routines, rather than simply following the instructions they receive from above. “This is actually what we are aiming for: a situation in which all employees are fully aware that each and every one of them is responsible for safety. In this way, the knowledge that managers gain from the safety awareness courses spreads like ripples on a pond to every single employee,” says Kent Hougaard. The increased focus on safety that has distinguished the Vestas organisation for many years has generally met with a very positive response from the company’s employees. “Even though in many cases it has resulted in changes to procedures and a good deal of extra administrative work for individual employees, we have succeeded in appreciably raising awareness about how people should behave on site – not only with reference to themselves, but also to their surroundings. For example, the service technicians now make sure that the suppliers who are also working on the site actually have completed the necessary training to perform the work before allowing them to make a start,” says Kent Hougaard. Specifically, the two factors of the course that appealed most to Kent Hougaard are greater attention to safety in general and the importance of being visible among the employees. “In future, I will introduce regular safety walks as a practical tool to ensure that we work together to maintain the constant focus on safety,” he says. 492008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=50http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=50When asked what the backing from the senior management for the safety work actually means, Kent Hougaard has no hesitation in replying: “It is absolutely crucial!” He continues: “However, in this context it is important to recognise the backing from all management levels at Vestas, because without this it would be extremely difficult to push the initiative through – particularly because the increased focus on safety unavoidably costs both time and money. I have never met with a negative response if it has cost money to deal with a safety issue. In fact, I think accidents cost us more than training and education, so we are certainly on the right track, and we know we have the backing of the managers at all levels.” Spotlight on safety 502008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=51http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=51Claus Christensen, a service technician with Vestas Northern Europe, is one of the people who has completed the course in fundamental safety training – despite the fact that he has worked in the industry for ten years and knows it inside and out. As he has so much experience from the sector, it is only natural to ask if there is any point at all in his completing the course. “Absolutely,” replies Claus Christensen, who continues: “It is very useful to take a refresher course in what you already know, but may not remember all that clearly. Above all, it is essential to remember that “Some years ago, you could still meet service technicians with a relaxed attitude to safety regulations. Things are very different today. The attitude now is that if you do not abide by the safety regulations, you will quite simply not be allowed to work.” Claus Christensen, service technician, Vestas Northern Europe. regulations, you will quite simply not be allowed to work. One of the things we make sure to do is help one another check that everyone is following the regulations, and it is actually very rarely that I discover that people are not doing so. And when this happens, we make sure to remedy the situation ourselves.” Even though Claus Christensen has completed the training course in fundamental safety, this has not resulted in any specific changes in the way he deals with his everyday assignments. This is because the way he worked previously already satisfied all the requirements. However, there can be no doubt that the course is having an effect on Vestas. “It will certainly help to raise the standard, particularly because the greatest challenge for experienced people is to prevent things becoming simply a routine, because that is what is really dangerous. A lot of accidents happen because people think that everything is OK. But it is not enough to ‘think’ that they are – you have to know. This is one of the points that was hammered home during the course. The training programme is a good reminder that we are actually working in a potentially dangerous environment, and that it is important for us to help each other by talking about how vital it is for us to keep the spotlight on safety at all times, and never to take risks.” Claus Christensen relates that the service technicians’ attitude to safety has changed appreciably over the past 3-4 years. “Some years ago, you could still meet service technicians with a relaxed attitude to safety regulations. Things are very different today. The attitude now is that if you do not abide by the safety in future all new employees will be required to complete the course before they are allowed to come out to a site.” Claus Christensen states that the focus on the area from the senior management is also very important. “Without it, we would not have witnessed such a remarkable change in attitude in recent years. The messages are backed by actions – they are not just hot air.” 512008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=52http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=52Grounds for improvement Lower engineering and installation costs, stable electrical performance, better documentation and increased safety are the benefits of a new electrical earthing system for Vestas wind turbines. 522008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=53http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=53A new earthing system – or grounding system, if you are reading this in North America – developed by Vestas could cut the cost of installing a wind turbine by several thousand euros or dollars. It also greatly simplifies documentation procedures for both customers and Vestas sales business units. And the new system improves the safety and reliability of individual turbines and complete wind power plants. Behind the Vestas Earthing System are two basic ideas: using the turbine foundation as the main earth connection, and linking the earth connections of all the turbines on each site. This sounds simple, but in combination with various other earthing improvements it is original enough to form the basis of a patent application, explains Niels Birch Mogensen in the Power Components group of Vestas Technology. Power Components developed the new technology with help from Vestas Towers and the sales business units. Minimise your potential Earthing is essential to the safe operation of any electrical machine, including a wind turbine. An earth connection is an electrical link between the turbine and the ground; it protects against the effects of lightning and electrical faults by dispersing unwanted current safely into the soil. Without a good earth- 532008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=54http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=54Main Earth Bonding Bar Horizontal Earthing Connected To Next Turbine Horizontal Earthing Connected To Next Turbine/substation Min. 0,9m (3 Ft) Min. 0,9m (3 Ft) Min. 40m (Min. 44 Yd) Foundation Earthing Min. 40m (Min. 44 Yd) Principal drawing of new earthing system. ing system, a lightning strike or a electrical fault can kill people and damage the turbine. One challenge in designing an earthing system, Niels Birch Mogensen explains, is to make sure that under fault conditions everything remains at a safe voltage. When a wind turbine has to handle lightning currents that may reach hundreds of thousands of amps, the earthing system must prevent the creation of dangerous differences in electrical potential between different parts of the structure. Someone who is touching the tower when a turbine is struck by lightning could be killed by the induced voltage, even if the earthing system is able to protect the turbine itself from damage. In the worst case, current travelling through the soil can even create a dangerous voltage difference between the feet of a person standing many metres from the turbine. The new Vestas Earthing System reduces these risks to the absolute minimum. New standards bring flexibility Standards set by the International Electrotechnical Commission (IEC; see Earthing rules) control the design of earthing systems. The traditional method, as used for Vestas turbines until now, is to drive copper-coated steel rods into the ground until the electrical resistance is less than a certain value. In dry or rocky soils, this type of earthing might need a dozen or more rods, Niels Birch Mogensen says, each buried up to 100 metres deep. This is expensive to install, and it can be hard to predict how much work will be needed. And because traditional earthing is largely the customer’s responsibility, Vestas sales business units also reported that each new customer would ask the same questions about earthing. Recent changes to the IEC standards allow more flexibility in the design of earthing systems, and place more emphasis on performance under real conditions. Vestas has taken advantage of the fact that traditional earth connections based on earthing rods are no longer mandatory. “What we have done is to turn the whole foundation of the turbine – a heavily steel-reinforced concrete pad 15 or even 20 metres square – into one large earthing connection, and connected every turbine into a single large earthing system,” says Niels Birch Mogensen. A concrete solution In the new system, a copper earth conductor is cast into the concrete base, after having been attached to each of the hundreds of steel reinforcing bars inside the concrete. Vestas has also developed a similar system for the taller, narrower foundations often used in North America. In the event of a lightning strike or fault, the large area and uniform layout of the foundation steelwork prevents dangerous voltage gradients in the soil. “Even if the voltage of the whole system rises, someone standing near the tower or touching it would be like a bird sitting on a high-voltage cable,” says Niels Birch Mogensen. “As long as everything around you is at the same voltage, you are safe. It’s differences in voltage that cause currents to flow, and currents are what kill.” “We cannot say that the old method of earthing was unsafe,” he continues. “Systems like that still meet all the standards if they are properly installed. It’s simply that because the earthing system was not part of the turbine, it was not Vestas’ direct responsibility, even on a turnkey project. With the new system we are taking responsibility for the earthing system, and yes, it does give greater protection.” The other part of the new earthing system is a copper cable linking all the turbines to 542008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=55http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=55Earthing rules Vestas wind turbines, including their earthing systems, meet the standards laid down by the International Electrotechnical Commission (IEC; www.iec. ch) in Geneva. The standards relevant to earthing and lightning protection are: ■ IEC 62305 (lightning protection in general) IEC 61400-24 (lightning protection of wind turbines) IEC 60364-5-54 (earthing of low voltage systems) IEC 61936-1 (earthing of high voltage systems) ■ each other and to the substation. As well as satisfying the complete IEC requirements for the design of the earthing system, this adds lightning protection for the high-voltage cables carrying power away from the turbines, and provides more reliable fault detection at the substation. This kind of interconnection is typically required by the grid company, Niels Birch Mogensen explains, but in the past its exact function has often been unclear. Making the turbine interconnector an official part of the earthing system brings technical clarity, increases safety and saves money. Simpler and cheaper The new earthing system is installed by the foundation contractor, so it eliminates the need for an electrical contractor to do the job, and provides a solid earth connection as soon as the concrete has been poured. When the soil is highly conductive it is no more expensive than conventional earthing, and in poor soils it can be considerably cheaper. Because it is standardised, the new system eliminates uncertainty about earthing procedures and greatly improves documentation. A package of documents proving that the system meets IEC 62305 (see Earthing rules) and related standards can simply be handed over to the customer. The system is flexible enough to be adapted to the requirements of specific customers and grid companies, however. In the past, the various electrical systems in the turbine often needed separate earthing systems. The new design replaces these with a unified system that provides better protection against lightning, faults and electrical interference, and better safety for people working in or near the turbine. As Niels Birch Mogensen puts it: “Earthing may not be very glamorous, but it is important – and this is a big advance in running a safe and stable wind turbine.” ■ ■ IEC 62305 is a new five-part standard that addresses the principles of protecting structures against lightning; risk management; physical damage and hazard to life; electrical and electronic systems within structures; and services such as telecoms and power lines. IEC 62305 replaces and enlarges on the previous lightning standard, IEC 61024, and also forms the basis of a new European standard, EN 62305:2006. IEC 62305 is more flexible than its predecessors, and it is this flexibility that has made the new Vestas Earthing System possible. Vestas has a place on the committee that is working to update the lightning standard specific to wind turbines, IEC 61400-24. 552008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=56http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=56Awards in France and China The presentation of two prestigious awards marked a successful end to 2007. The sales company Vestas France received an award in recognition of the company’s commitment in France, and Vestas Asia Pacific could enjoy the satisfaction of seeing its work to expand wind energy in China bear fruit. 562008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=57http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=57In December, Vestas and ten other companies were presented with an award for their special commitment in China. The association for the promotion of DanishFrench trading relations presented Vestas France with the 2007 Danish French Chamber of Commerce Export Award. The presentation was made at the French Embassy in Copenhagen on 9 January this year. Her Excellency Bérengère Quincy, the French Ambassador to Denmark, and Gunnar Riberholdt, the Ambassador for the Chamber of Commerce, presented the award to Nicolas Wolff, the General Manager of Vestas France. At the ceremony, Ambassador Quincy called the Grenelle de L’Environnement (The Environment Round Table) held in Paris at the end of 2007 a clear political obligation regarding sustainable energy (25 per cent in 2020). She also mentioned the climate summit in 2009 and the key role Denmark is to play in this context, thanks to leading companies such as Vestas. “We are proud to receive this award,” says Nicolas Wolff. “It is a reward for our ongoing efforts to establish Vestas as the leading company on the wind energy market in France, which is still in its infancy.” The Danish-French Chamber of Commerce was established by a number of leading commercial figures and companies in Denmark and France. The export award is presented every year to a Danish company that exports to France. Companies that have previously received the Danish-French Chamber of Commerce Export Award include Bo Concept (2006) and Lundbeck France S.A. (2000). Award for special contribution in China On 7 December 2007, 11 companies from Japan, Denmark, the United States, Great Britain, Malaysia and South Korea were presented with a “TEDA Special Contributions Award”. The award is presented annually to companies that have participated actively in the TEDA collaboration, which is one of China’s most important development initiatives. Vestas was one of the recipients this year. “There are two reasons why Vestas is receiving this award. Firstly, we have more than fulfilled our investment plans – we have invested more heavily and employed more people than we promised; and secondly, we enjoy a remarkably good working relationship with the TEDA authorities,” explains Jørn Dalsgaard, General Manager for the Vestas factories in Tianjin, China. Jørn Dalsgaard was invited to give a speech as the representative of the 11 TEDA award recipients at the presentation ceremony, which was attended not only by representatives of the 11 companies, but also by 40 members of the TEDA Chamber of Commerce, Tianjin, representatives of the Chinese Government, and members of the local media. 572008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=58http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=582008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=59http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=59How about competitive, predictable, independent, fast and clean energy? Nature has given us the wind. It is time to let modern energy power us, and the best day to start is today.2008-02-25T13:31:59+01:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=60http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/1108/?Page=60Win[d] W I N D , O I L A N D G A S Contacts Vestas Northern Europe +45 97 30 00 00 Sales and service in the UK, Ireland, Scandinavia, Poland and the Baltic area. Vestas Central Europe +49 4841 9710 Sales and service in Germany, Austria, Benelux, Russia and Eastern Europe. Vestas Mediterranean +34 902 41 98 00 Sales and service in the countries of the Mediterranean region, the Middle East, Latin America, the Caribbean, and North and West Africa. Vestas Asia Pacific +65 6303 6500 Sales and service in Australia, New Zealand, China, Japan, India and the rest of Asia. Vestas Americas +1 503 327 2000 Sales and service in North America. Vestas Offshore +45 97 30 00 00 Sales and service, offshore. EDITORS: Peter Wenzel Kruse (Editor in Chief) and Hanne Poder Sørensen. TEXT: Klaus Bundgård, Cath Mersh, Peter Gisselmann Rasmussen, Charles Butcher, Hanne Poder Sørensen and Lisbeth Christensen. UK For more information about Vestas sales and service units, go to www.vestas.com and click on Contact. Vestas Wind Systems A/S Alsvej 21 · DK–8900 Randers · Denmark Tel. +45 97 30 00 00 · Fax +45 97 30 00 01 vestas@vestas.com · www.vestas.com2008-02-25T13:31:59+01:00