(570s) Saudi Aramco Enterprise-Wide Hydrocarbon Chain Optimization Initiative

In an environment of  very volatile and soaring demand for refined products in the Kingdom of Saudi Arabia, there is an increasing need for optimizing the entire hydrocarbon supply chain. . As the major stakeholder of most of the components of this supply chain, Saudi Aramco has recognized this need and embarked on a strategic initiative for optimizing and integrating the various components of its vast hydrocarbon operations covering oil, gas and NGL production, in addition to refinery production and product distribution network via different transportation modes. In order to build such an optimized and integrated supply chain network, it is essential to develop a suite of best-in-class software that is capable of handling the complexity of this system. The corporate initiative entails the development of advanced model-based optimization applications, high-fidelity process models, and planning & scheduling solutions. Full implementation of this strategic initiative will enhance the utilization of corporate assets, capture revenue enhancement opportunities and ensure proper, timely, and proactive decision making process while managing the company's complex hydrocarbon supply chain. This paper will focus on describing the business problem involved in the distribution of refined products by various transportation modes in addition to the integration of refinery, pipeline and ship scheduling solutions. The paper will highlight the benefits that can be achieved from using various optimization techniques coupled with enhanced visualization to implement an optimized solution which facilitates streamlining the process of generating schedules. The paper will illustrate how Key Performance Indicator (KPI) driven solutions are structured, integrated and mapped with planning decisions. It will further highlight the integration scheme between the planning and scheduling of various components of the supply chain.