Five hundred acres. Over 125 buildings. One massive energy bill. Something big had to change on the Microsoft campus—we needed to explore what building inefficiencies were causing such a large energy bill. Fixing this problem with “smart” technology was a unique business opportunity for Darrell Smith, Microsoft’s Director of Facilities and Energy. It also provided a proof point for the Internet of Things, and a win for sustainability. We were lucky enough to take a tour of one these smart buildings and see what this solution looks like in action. Here’s what we saw:
Making sense of the sensors with the Internet of Things
The campus, just like Microsoft, grew fast in the 1990s. Although buildings and labs were built quickly, each layer—the infrastructure, gas, electric, and so on—was completed in a silo. The result was a functional but inefficient workspace that made synchronizing maintenance efforts difficult. “It used to take me four to five hours with an army of men in trucks just to see how the campus was doing,” said Smith.
Although the campus was equipped with 30,000 sensor-enabled pieces of equipment, they weren’t connected. According to Smith, “every system was speaking a different language and we couldn’t understand any of it.” To rip out and replace the existing equipment would’ve cost more than $60 million. Smith knew this wasn’t an option—not only was it expensive but it was disruptive and too long a process.
“Sure, we could’ve done it over time,” said Darrell. “The conversation would’ve gone like this: me–‘I need to shut down your lab for energy maintenance.’ Them–‘How does 2021 sound?’” Instead, Smith and his team enlisted the help of three partners to create something better. The result was an “Internet of Things meets Big Data” solution that reasserts its value each day. (To read more about the Microsoft’s smart building sustainability revolution check out 88 Acres.)
200 problems, but savings ain’t one
Smith knew he had to get those sensors to talk to each other—and needed a way to glean meaningful insights from the data those sensors could provide. Smith did what any software company employee would do when an out-of-the-box solution wouldn’t fit: he made one up.
Smith, his team, and their partners found a way to get those 30,000 sensors to speak the same language by translating the data from different sensors into a single, universal “language.” The team then figured out exactly how to prioritize incoming issues by automatically analyzing that incoming data.
| "Every day there’s a list of 200 problems that cost the company hundreds of thousands annually, but by addressing the top 10 issues one at a time, Microsoft can cut that cost by 50 percent." |
Now more than 500 billion data transactions come streaming through the Redmond Operations Center (ROC) daily: everything from HVAC problems to electricity use to exhaust fans. The data is then sorted and listed according to the issue’s annual cost. Every day there’s a list of 200 problems that cost the company hundreds of thousands annually, but by addressing the top 10 issues one at a time, Microsoft can cut that cost by 50 percent.
According to Smith, 48 percent of problems can be fixed instantly and 52 percent need to be fixed manually. The difference now is in knowing how to prioritize those issues. With this data they’re able to keep track of how many times a particular unit breaks down. For example, Smith and his team uncovered an entire batch of defective HVAC units that had been causing problems for years. Microsoft realized $400K in energy rebates for only six buildings, and estimates paying back the investment in 18 months.
The “smart” thing to do
“I used to have no data with which to do my job. Now I have enough data for a thousand jobs,” said Smith. Already several universities and the Pentagon have shown interest in his solution. “What we’re doing here resonates with everyone. Our biggest competitor isn’t another company, it’s inaction,” concluded Smith. Using the Internet of Things to gather data, and analytics software to understand it, is an enormous business opportunity that powers sustainability. It’s also a way to prove that sustainability benefits the bottom line. Either way, everyone wins.
The reality is, this smart technology is already at hand. Wireless sensors and cloud computing make the Internet of Things affordable for businesses big and small. Although the decision to switch over requires an initial investment, it greatly reduces operating costs and pays itself back in little time.
What inefficiencies do you notice in your workplace? For every one thing you notice there’s much more that’s unseen. Today, we have the tools to start addressing these problems. How can your business begin to invest in smart technology?